Quarterly report pursuant to Section 13 or 15(d)

Segment Information

v3.4.0.3
Segment Information
 3 Months Ended
Mar. 31, 2016
Segment Information

10. Segment Information

We manage our company and aggregate our operational and financial information in accordance with two reportable segments, which are aligned based on their products or services:

 

Gaiam Brand:    This segment includes all our branded yoga, fitness, and wellness products. It also includes our eco-travel subsidiary.
Gaia:    This segment includes our digital video streaming service. It also includes the results of Boulder Road LLC. We previously announced that we are pursuing the potential spin off of this segment into a separate company.

 

Amounts shown as “Other unallocated corporate expenses” in the table below are primarily expenses of being a public company or general corporate expenses which we do not allocate to our segments. Although we are able to track sales by channel, the management, allocation of resources, and analysis and reporting of expenses are presented on a combined basis, at the reportable segment level. Contribution margin is defined as net revenue less cost of goods sold and total operating expenses. Financial information for our segments is as follows:

 

     Three Months Ended
March 31,		  

(in thousands)

    2016      2015  

Net revenue:

      

Gaiam Brand

    $ 31,497       $ 34,532   

Gaia

      3,830         3,106   
  

 

 

     

 

 

  

Consolidated net revenue

      35,327         37,638   
  

 

 

     

 

 

  

Contribution loss:

      

Gaiam Brand

      (3,468 )       (53 ) 

Gaia

      (3,449 )       (2,359 ) 
  

 

 

     

 

 

  

Segment contribution loss

      (6,917 )       (2,412 ) 

Other unallocated corporate expenses

      (1,286 )       (473 ) 
  

 

 

     

 

 

  

Consolidated contribution loss

      (8,203 )       (2,885 ) 

Reconciliation of contribution loss to net loss attributable to Gaiam, Inc.:

      

Interest and other income (expense), net

      509         (484 ) 

Income tax benefit (expense)

      9         (49 ) 

Loss from discontinued operations

      —          (466 ) 

Net loss (income) attributable to noncontrolling interest

      61         (8 ) 
  

 

 

     

 

 

  

Net loss attributable to Gaiam, Inc.

    $ (7,624 )     $ (3,892 ) 
  

 

 

     

 

 

  

As discussed in Note 2, Gaia filed amendments to its registration statement on Form 10 with the SEC on September 9, 2015 and February 17, 2016. The segment amounts presented here and discussed elsewhere in this quarterly report on Form 10-Q vary insignificantly from the amounts reported by Gaia in the Form 10, as amended, as the Form 10 requires that certain items be recast for stand-alone presentation.