

	Quarter Ended March 31^(a)		Quarter Ended June 30 ^(b)		Quarter Ended September 30 ^(c)			Quarter Ended December 31^(d)
	(In thousands, except per share data)
Year Ended December 31, 2018
Revenue	$	995,075	$	1,059,122	$	1,104,592		$	1,104,103
Cost of revenue	201,962		218,224		237,238			253,722
Operating income	89,950		168,437		172,832			133,920
Net earnings	87,839		280,854		171,577			217,477
Net earnings attributable to IAC shareholders	71,082		218,353		145,774			191,752
Per share information attributable to IAC shareholders:
Basic earnings per share^(g)	$	0.86	$	2.61	$	1.75		$	2.29
Diluted earnings per share^(g)	$	0.71	$	2.32	$	1.49		$	2.04

	Quarter Ended March 31		Quarter Ended June 30		Quarter Ended September 30^(e)			Quarter Ended December 31^(f)
	(In thousands, except per share data)
Year Ended December 31, 2017
Revenue	$	760,833	$	767,387	$	828,434		$	950,585
Cost of revenue	145,958		139,033		166,290			199,727
Operating income (loss)	37,060		75,635		(18,589		)	94,360
Net earnings	28,463		80,557		225,639			23,349
Net earnings attributable to IAC shareholders	26,209		66,268		179,643			32,804
Per share information attributable to IAC shareholders:
Basic earnings per share^(g)	$	0.34	$	0.84	$	2.22		$	0.40
Diluted earnings per share^(g)	$	0.29	$	0.70	$	1.79		$	0.37

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^(a)

The first quarter of 2018 includes after-tax stock-based compensation expense of $14.6 million related to the modification of previously issued HomeAdvisor equity awards and previously issued Angie's List equity awards, both of which were converted into ANGI Homeservices' equity awards in the Combination, and the acceleration of certain converted equity awards resulting from the termination of Angie's List employees in connection with the Combination, as well as after-tax costs of $4.1 million related to the Combination (including $2.8 million of deferred revenue write-offs).


^(b)	The second quarter of 2018 includes:

after-tax stock-based compensation expense of $12.8 million related to the modification of previously issued HomeAdvisor equity awards and previously issued Angie's List equity awards, both of which were converted into ANGI Homeservices' equity awards in the Combination, and the acceleration of certain converted equity awards resulting from the termination of Angie's List employees in connection with the Combination, as well as after-tax costs of $2.0 million related to the Combination (including $1.8 million of deferred revenue write-offs).


ii.	after-tax realized and unrealized gains of $133.3 million related to the sale of a certain equity investment.


^(c)	The third quarter of 2018 includes after-tax stock-based compensation expense of $12.3 million related to the modification of previously issued HomeAdvisor equity awards and previously issued Angie's List equity awards, both of which were converted into ANGI Homeservices' equity awards in the Combination.


^(d)	The fourth quarter of 2018 includes:


i.	after-tax stock-based compensation expense of $14.4 million related to the modification of previously issued HomeAdvisor equity awards and previously issued Angie's List equity awards, both of which were converted into ANGI Homeservices' equity awards in the Combination.


ii.	combined after-tax gains of $92.5 million related to the sales of Dictionary.com, Electus, Felix and CityGrid.


iii.	after-tax impairment charges related to indefinite-lived intangible assets of $21.3 million.


^(e)	The third quarter of 2017 includes:


i.	after-tax stock-based compensation expense of $60.9 million related to the modification of previously issued HomeAdvisor vested awards, which were converted into ANGI Homeservices equity awards, and the acceleration of certain Angie’s List equity awards in connection with the Combination, as well as after-tax costs of $17.4 million related to the Combination.


ii.	a reduction to the income tax provision of $257.0 million related to excess tax benefits generated by the exercise, purchase and settlement of stock-based awards.

^(f)

The fourth quarter of 2017 includes after-tax stock-based compensation expense of $15.8 million related to the modification of previously issued HomeAdvisor unvested awards, which were converted into ANGI Homeservices equity awards, the expense related to previously issued Angie's List equity awards and the acceleration of certain Angie's List equity awards resulting from the termination of employees in connection with the Combination, as well as after-tax costs of $13.9 million related to the Combination (including $7.6 million of deferred revenue write-offs).


^(g)	Quarterly per share amounts may not add to the related annual per share amount because of differences in the average common shares outstanding during each period.