Product and Geographic Sales Information (Tables)

3 Months Ended

Mar. 31, 2022

Schedule of Revenue by reportable segment

The following table presents the Company’s revenues by transaction type based on revenue recognition pattern for the periods presented:













	Three Months Ended March 31,
	2022		2021(1)
Subscription revenues	$	403.8	$	239.0
Re-occurring revenues	114.5		109.5
Transactional and other revenues	143.7		82.9
Total revenues, gross	662.0		431.4
Deferred revenues adjustment(2)	0.2		(3.0)
Total revenues, net	$	662.2	$	428.4


(1) Certain prior period amounts have been reclassified to conform to current period presentation.
(2) Reflects the deferred revenues adjustment made as a result of purchase accounting prior to the adoption of ASU No. 2021-08, Accounting for Contract Assets and Contract Liabilities from Contracts with Customers. In the fourth quarter of 2021, Clarivate adopted ASU No. 2021-08 which allows an acquirer to account for the related revenue contracts in accordance with ASC 606 Revenue from Contracts with Customers, as if it had originated the contracts. This guidance was applied retrospectively to all business combinations for which the acquisition date occurs during or subsequent to 2021.

The following table summarizes revenue by reportable segment for the periods indicated:


	Three Months Ended March 31,
	2022		2021
Science Segment	$	420.4	$	191.3
Intellectual Property Segment	241.8		237.1
Total Revenues, net	$	662.2	$	428.4

Schedule of Segment Reporting Information, by Segment

Adjusted EBITDA by segment

The following table presents segment profitability and a reconciliation to net income for the periods indicated:


	Three Months Ended March 31,
	2022		2021
Science Segment Adjusted EBITDA	$	151.2	$	90.6
Intellectual Property Segment Adjusted EBITDA	111.1		74.2
Total Adjusted EBITDA	$	262.3	$	164.8
Provision for income taxes	(16.3)		(0.3)
Depreciation and amortization	(176.4)		(131.6)
Interest expense and amortization of debt discount, net	(59.5)		(37.4)


Mark to market gain on financial instruments(1)	100.4		51.2
Deferred revenues adjustment(2)	0.2		(3.0)
Transaction related costs(3)	(6.7)		22.9
Share-based compensation expense	(37.0)		(39.0)
Restructuring and impairment(4)	(11.7)		(67.9)
Other(5)	14.2		(15.7)
Net income (loss)	$	69.5	$	(56.0)
Dividends on preferred shares	(18.7)		—
Net income (loss) attributable to ordinary shares	$	50.8	$	(56.0)
























(1) Reflects mark-to-market adjustments on financial instruments under ASC 815, Derivatives and Hedging. Warrant instruments that do not meet the criteria to be considered indexed to an entity's own stock shall be initially classified as a liability at their estimated fair values, regardless of the likelihood that such instruments will ever be settled in cash. In periods subsequent to issuance, changes in the estimated fair value of the liabilities are reported through earnings.
(2) Reflects the deferred revenues adjustment made as a result of purchase accounting prior to the adoption of ASU No. 2021-08, "Accounting for Contract Assets and Contract Liabilities from Contracts with Customers". In the fourth quarter of 2021, Clarivate adopted ASU No. 2021-08 which allows an acquirer to account for the related revenue contracts in accordance with ASC 606, Revenue from Contracts with Customers, as if it had originated the contracts. This guidance was applied retrospectively to all business combinations for which the acquisition date occurs during or subsequent to 2021.
(3) Includes costs incurred to complete business combination transactions, including acquisitions, dispositions and capital market activities and include advisory, legal, and other professional and consulting costs. During the three months ended March, 31, 2021, this also includes the mark-to-market adjustments on the contingent stock consideration associated with the CPA Global and DRG acquisitions.
(4) Primarily reflects costs related to restructuring and impairment associated with One Clarivate, ProQuest and CPA Global Programs. Refer to Note 21 - Restructuring and Impairment for further information.
(5) Includes primarily the net impact of foreign exchange gains and losses related to the re-measurement of balances and other items that do not reflect our ongoing operating performance.