SEGMENT REPORTING

12 Months Ended

Dec. 31, 2023

Segment Reporting [Abstract]

SEGMENT REPORTING

SEGMENT REPORTING

Business segments are defined as components of an enterprise about which discrete financial information is available that is evaluated regularly by the chief operating decision maker in deciding how to allocate resources and in assessing operating performance. Our operations are organized by management into operating segments by line of business. Subsequent to the disposal of the automotive reportable segment, we have determined that we have two reportable segments as defined in GAAP for segment reporting: powersports and vehicle transportation services. Our powersports segment consists of the sale and distribution of new and pre-owned vehicles, principally consisting of motorcycles and other powersports vehicles. Our vehicle transportation services segment provides nationwide transportation brokerage services between dealerships and auctions. Our vehicle transportation services reportable segment has been determined to represent one operating segment and reporting unit. The accounting policies of the segments are the same and are described in Note 1.

The following table summarizes revenue, operating income (loss) from continuing operations, depreciation and amortization, and interest expense which are the measures by which management allocates resources to its continuing segments to each of our reportable segments.

($ in millions)	Powersports		Vehicle Transportation Services		Eliminations		Total
2023
Revenue from external customers	$	1,310.2	$	56.2	$	—	$	1,366.4
Revenue from other operating segments(1)	—		0.4		(0.4)		—
Goodwill and franchise rights impairment charge	(60.1)		—		—		(60.1)
Operating income (loss)	(75.2)		5.7		—		(69.5)
Depreciation and amortization	22.0		—		—		22.0
Interest expense	77.2		—		—		77.2
2022
Revenue from external customers	$	1,404.9	$	54.0	$	—	$	1,458.9
Revenue from other operating segments(1)	—		3.3		(3.3)		—
Goodwill and franchise rights impairment charge	(324.3)		—		—		(324.3)
Operating income (loss)	(265.0)		4.9		—		(260.1)
Depreciation and amortization expense	23.0		—		—		23.0
Interest expense	52.1		—		—		52.1

(1) Primarily revenue from the automotive segment, which is reported as discontinued operations.

Total assets by operating segment as of December 31 were as follows:

($ in millions)	Powersports		Vehicle Transportation Services		Eliminations(1)		Discontinued Operations		Total
Total assets at December 31, 2023	$	1,766.3	$	4.0	$	(844.0)	$	—	$	926.3
Total assets at December 31, 2022	$	1,872.2	$	3.9	$	(860.3)	$	11.4	$	1,027.2

(1)Related to the acquisitions of Wholesale, Inc. and Express, RideNow, and Freedom Powersports, and receivables and other balances for intercompany activities.