Quarterly report pursuant to Section 13 or 15(d)

Segment Information

v3.22.1
Segment Information
 9 Months Ended
Dec. 31, 2021
Segment Reporting [Abstract]  
Segment Information Segment Information
Operating segments are identified as components of an enterprise about which separate discrete financial information is available for evaluation by the chief operating decision maker (“CODM”) in making decisions regarding resource allocation and assessing performance. The Company has determined that its Chief Executive Officer ("CEO") is the CODM.
Prior to the acquisitions of both AdColony and Fyber disclosed above in Note 4, "Acquisitions," the Company had one operating and reportable segment called Media Distribution. As a result of the acquisitions, the Company reassessed its operating and reportable segments in accordance with ASC 280, Segment Reporting. Effective April 1, 2021, the Company reports its results of operations through the following three segments, each of which represents an operating and reportable segment, as follows:
•On Device Media ("ODM") - This segment is the legacy single operating and reporting segment of Digital Turbine prior to the AdColony and Fyber acquisitions. This segment generates revenues from services that deliver mobile application media or content media to end users. The Company provides ODM solutions to all participants in the mobile application ecosystem that want to connect with end users and consumers who hold the device, including mobile carriers and device original equipment manufacturers (“OEMs”) that participate in the app economy, app publishers and developers, and brands and advertising agencies. This segment's product offerings are enabled through relationships with mobile device carriers and OEMs.
•In App Media – AdColony ("IAM-A") - This segment is inclusive of the acquired AdColony business and generates revenues from services provided as an end-to-end platform for brands, agencies, publishers, and application developers to deliver advertising to consumers on mobile devices around the world. IAM-A customers are primarily advertisers.
•In App Media – Fyber ("IAM-F") - This segment is inclusive of the acquired Fyber business and generates revenues from services provided to mobile application developers and digital publishers to monetize their content through advanced technologies, innovative advertisement formats, and data-driven decision making. IAM-F customers are primarily publishers.
The Company's CODM evaluates segment performance and makes resource allocation decisions primarily through the metric of net revenues less associated license fees and revenue share, as shown in the segment information summary table below. The Company's CODM does not allocate other direct costs of revenues, operating expenses, interest and other income / (expense), net, or provision for income taxes to these segments for the purpose of evaluating segment performance. Additionally, the Company does not allocate assets to segments for internal reporting purposes as the CODM does not manage the Company's segments by such metrics.
A summary of segment information follows:
Three months ended December 31, 2021
Restated Restated Restated Restated
ODM IAM-A IAM-F Eliminations Consolidated
Net revenues $ 133,594  $ 58,425  $ 30,688  $ (5,889) $ 216,818 
License fees and revenue share 86,504  28,438  —  (5,889) 109,053 
Segment profit $ 47,090  $ 29,987  $ 30,688  $ —  $ 107,765 
  Three months ended December 31, 2020
ODM IAM-A IAM-F Eliminations Consolidated
Net revenues $ 88,592  $ —  $ —  $ —  $ 88,592 
License fees and revenue share 50,144  —  —  —  50,144 
Segment profit $ 38,448  $ —  $ —  $ —  $ 38,448 
Nine months ended December 31, 2021
Restated Restated Restated Restated
ODM IAM-A IAM-F Eliminations Consolidated
Net revenues $ 383,426  $ 129,368  $ 63,396  $ (12,729) $ 563,461 
License fees and revenue share 232,122  64,976  —  (12,729) 284,369 
Segment profit $ 151,304  $ 64,392  $ 63,396  $ —  $ 279,092 
  Nine months ended December 31, 2020
ODM IAM-A IAM-F Eliminations Consolidated
Net revenues $ 218,497  $ —  $ —  $ —  $ 218,497 
License fees and revenue share 122,976  —  —  —  122,976 
Segment profit $ 95,521  $ —  $ —  $ —  $ 95,521 
Geographic Area Information
Long-lived assets, excluding deferred tax assets and intangible assets, by region follow:
  December 31, 2021 March 31, 2021
United States and Canada $ 20,026  $ 12,995 
Europe, Middle East, and Africa 5,729  40 
Asia Pacific and China 107  15 
Mexico, Central America, and South America —  — 
Consolidated property and equipment, net $ 25,862  $ 13,050 
Net revenue by geography is based on the billing addresses of the Company's customers and a reconciliation of disaggregated revenue by segment follows:
  Three months ended December 31, 2021
Restated Restated Restated
ODM IAM-A IAM-F Total
United States and Canada $ 74,431  $ 27,852  $ 17,386  $ 119,669 
Europe, Middle East, and Africa 35,667  25,856  8,441  69,964 
Asia Pacific and China 19,877  3,790  4,757  28,424 
Mexico, Central America, and South America 3,619  927  104  4,650 
Elimination —  —  —  (5,889)
Consolidated net revenue $ 133,594  $ 58,425  $ 30,688  $ 216,818 
  Three months ended December 31, 2020
ODM IAM-A IAM-F Total
United States and Canada $ 59,192  $ —  $ —  $ 59,192 
Europe, Middle East, and Africa 21,168  —  —  21,168 
Asia Pacific and China 7,047  —  —  7,047 
Mexico, Central America, and South America 1,185  —  —  1,185 
Consolidated net revenue $ 88,592  $ —  $ —  $ 88,592 
  Nine months ended December 31, 2021
Restated Restated Restated
ODM IAM-A IAM-F Total
United States and Canada $ 220,662  $ 60,912  $ 35,198  $ 316,772 
Europe, Middle East, and Africa 96,318  57,332  16,925  170,575 
Asia Pacific and China 54,636  9,028  11,062  74,726 
Mexico, Central America, and South America 11,810  2,096  211  14,117 
Elimination —  —  —  (12,729)
Consolidated net revenue $ 383,426  $ 129,368  $ 63,396  $ 563,461 
  Nine months ended December 31, 2020
ODM IAM-A IAM-F Total
United States and Canada $ 144,550  $ —  $ —  $ 144,550 
Europe, Middle East, and Africa 54,051  —  —  54,051 
Asia Pacific and China 18,159  —  —  18,159 
Mexico, Central America, and South America 1,737  —  —  1,737 
Consolidated net revenue $ 218,497  $ —  $ —  $ 218,497