Segment Information and Discontinued Operations

6 Months Ended

Jun. 30, 2022

Segment Information [Abstract]

Segment Information and Discontinued Operations

16.SEGMENT INFORMATION AND DISCONTINUED OPERATIONS

Prior to the deconsolidation of Enjoy UK, the Company managed its operations through two operating and reportable segments that were based on geographic location: North America (United States and Canada operations) and Europe (United Kingdom operations by Enjoy UK). Enjoy UK was deconsolidated on June

30, 2022 due to the Company's ceding of its controlling interest as a result of Enjoy UK's insolvency filing. The deconsolidation event resulting from the disposition of controlling interest constitutes a disposal of a segment deemed to be a strategic shift having major effect on the Company’s operations and financial results, and accordingly the results of operations of Enjoy UK are presented as discontinued operations in the condensed statements of operations and comprehensive loss. Consequently, the results of North American operations are presented as continuing operations.

Entity-wide Disclosures

The Company’s revenue distribution for its North American operations was as follows:

	Three Months Ended June 30,						Six Months Ended June 30,
	2022			2021			2022			2021
United States		94	%		87	%		92	%		85	%
Canada		6	%		13	%		8	%		15	%
		100	%		100	%		100	%		100	%

During the three months ended June 30, 2022 and 2021, there were two and three customers, respectively, with revenues individually in excess of 10% of total consolidated net revenues, which are reported under continuing operations and discontinued operations. Net revenues for these customers were approximately $15.9 million and $3.2 million in the three months ended June 30, 2022 and approximately $14.0 million, $3.7 million, and $2.3 million in the three months ended June 30, 2021. During the three months ended June 30, 2022, one customer is reflected in the North American operations and one customer is reflected in the European operations. During three months ended June 30, 2021 two customers are reflected in the North American operations and one customer is reflected in the European operations.

During the six months ended June 30, 2022 and 2021, there were three customers with revenues individually in excess of 10% of total consolidated net revenues, which are reported under continuing operations and discontinued operations. Net revenues for these customers were approximately $31.7 million, $6.5 million, and $5.0 million in the six months ended June 30, 2022 and approximately $25.5 million, $7.5 million, and $4.8 million in the six months ended June 30, 2021. During the six months ended June 30, 2022, two customers are reflected in the North American operations and one customer is reflected in the European operations. During six months ended June 30, 2021 two customers are reflected in the North American operations and one customer is reflected in the European operations.

Income (loss) from Discontinued Operations

	Three Months Ended June 30,						Six Months Ended June 30,
	2022			2021			2022			2021
Revenue		3,206			3,704			6,467			7,534
Operating expenses:
Cost of revenue		4,651			6,172			9,654			11,703
Operations and technology		4,370			4,023			8,898			7,684
General and administrative		1,163			1,727			2,819			2,703
Impairment charges		12,807			—			12,807			—
Restructuring expenses		2,153			—			2,153			—
Total operating expenses		25,144			11,922			36,331			22,090
Loss from operations		(21,938	)		(8,218	)		(29,864	)		(14,556	)
Interest expense		(14	)		(13	)		(28	)		(25	)
Gain on deconsolidation		7,853			—			7,853			—
Other income (expense), net		—			(15	)		—			197
Loss before provision for income taxes		(14,099	)		(8,246	)		(22,039	)		(14,384	)
Provision/(benefit) for income taxes		9			(4	)		26			55
Loss from discontinued operations		(14,108	)		(8,242	)		(22,065	)		(14,439	)

Restructuring expenses noted in the above table relate to payments in lieu of notice termination benefits.

Assets and Liabilities of Discontinued Operations as of December 31, 2021

	December 31,
	2021
Current assets:
Cash and cash equivalents	$	991
Accounts receivable, net		2,501
Prepaid expenses and other current assets		832
Total current assets		4,324
Noncurrent assets:
Property and equipment, net		4,678
Other assets		1,703
Total noncurrent assets		6,381
Total assets	$	10,705
Current liabilities:
Accounts payable	$	1,039
Accrued expenses and other current liabilities		3,611
Total current liabilities		4,650
Total liabilities		4,650