Segments Information

3 Months Ended

Mar. 31, 2017

Segment Information

Segment Information

17. Segments Information

We have two reportable segments: (1) Consumer Services and Plans, and (2) Retail. The Company’s Consumer Services and Plans segment is comprised of emergency roadside assistance; property and casualty insurance programs; travel assist programs; extended vehicle service contracts; co-branded credit cards; vehicle financing and refinancing; membership clubs; and publications and directories. The Company’s Retail segment is comprised of new vehicles; used vehicles; parts and service; and finance and insurance. Corporate and other is comprised of the corporate operations of the Company.

The reportable segments identified above are the business activities of the Company for which discrete financial information is available and for which operating results are regularly reviewed by the Company’s chief operating decision maker to allocate resources and assess performance. The Company’s chief operating decision maker is its Chief Executive Officer.

Reportable segment revenue, segment income, floor plan interest expense, depreciation and amortization, other interest expense, total assets, and capital expenditures are as follows:

	Three Months Ended
	March 31,		March 31,
($ in thousands)	2017		2016
Revenue:
Consumer Services and Plans	$	50,246	$	44,998
Retail		833,569		752,750
Total consolidated revenue	$	883,815	$	797,748

	Three Months Ended
	March 31,		March 31,
($ in thousands)	2017		2016
Segment income (1):
Consumer Services and Plans	$	26,253	$	21,598
Retail		45,996		35,810
Total segment income		72,249		57,408
Corporate & other		(941)		(618)
Depreciation and amortization		(6,853)		(5,891)
Other interest expense, net		(9,404)		(12,748)
Other income (expense), net		17		—
Income from operations before income taxes	$	55,068	$	38,151

(1) Segment income is defined as income from operations before depreciation and amortization plus floor plan interest expense.

	Three Months Ended
	March 31,		March 31,
($ in thousands)	2017		2016
Depreciation and amortization:
Consumer Services and Plans	$	996	$	919
Retail		5,857		4,972
Total depreciation and amortization	$	6,853	$	5,891

	Three Months Ended
	March 31,		March 31,
($ in thousands)	2017		2016
Other interest expense, net:
Consumer Services and Plans	$	2	$	4
Retail		1,592		1,392
Total		1,594		1,396
Corporate & other		7,810		11,352
Total interest expense	$	9,404	$	12,748

	March 31,		December 31,
($ in thousands)	2017		2016
Assets:
Consumer Services and Plans	$	129,539	$	152,689
Retail		1,459,108		1,235,250
Total		1,588,647		1,387,939
Corporate & other		223,272		175,826
Total assets	$	1,811,919	$	1,563,765