Quarterly report pursuant to Section 13 or 15(d)

Segment Information

v3.22.4
Segment Information
 9 Months Ended
Dec. 31, 2022
Segment Reporting [Abstract]  
Segment Information Segment Information
Operating segments are identified as components of an enterprise for 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 is the CODM.
As of March 31, 2022, the Company operated through three operating segments, each of which was a reportable segment. The three segments were On Device Media (“ODM”), In-App Media - AdColony (“IAM-A”), and In-App Media-Fyber (“IAM-F”). Effective April 1, 2022, the Company made certain changes to its organizational and management structure that resulted in the following: (1) the renaming of the On Device Media segment to On Device Solutions and (2) the integration of IAM-A and IAM-F into a single segment. The integration of IAM-A and IAM-F was completed to drive operating efficiencies and revenue synergies. As a result of the integration of IAM-A and IAM-F, the Company reassessed its operating and reportable segments in accordance with ASC 280, Segment Reporting. Effective April 1, 2022, the Company reports its results of operations through the following two segments, each of which represents an operating and reportable segment, as follows:
•On Device Solutions (“ODS”) - The Company re-named the ODM segment On Device Solutions to better reflect the nature of the segment's product offerings. This segment generates revenue from the delivery of mobile application media or content to end users. This segment provides focused 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 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.
•App Growth Platform (“AGP”) - This segment consists of the previously reported IAM-A and IAM-F segments. AGP customers are primarily advertisers and publishers and the segment provides platforms that allow mobile app publishers and developers to monetize their monthly active users via display, native, and video advertising. The AGP platforms allow demand side platforms, advertisers, agencies, and publishers to buy and sell digital ad impressions, primarily through programmatic, real-time bidding auctions and, in some cases, through direct-bought/sold advertiser budgets. The segment also provides brand and performance advertising products to advertisers and agencies.
The Company’s CODM evaluates segment performance and makes resource allocation decisions primarily based on segment net revenue and segment profit, as shown in the segment information summary table below. The Company’s CODM does not allocate other direct costs of revenue, 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, 2022
ODS AGP Eliminations Consolidated
Net revenue $ 96,316  $ 67,407  $ (1,413) $ 162,310 
License fees and revenue share 57,555  17,228  (1,413) 73,370 
Segment profit $ 38,761  $ 50,179  $ —  $ 88,940 
  Three months ended December 31, 2021
ODS AGP Eliminations Consolidated
Net revenue $ 133,594  $ 89,113  $ (5,889) $ 216,818 
License fees and revenue share 86,504  28,438  (5,889) 109,053 
Segment profit $ 47,090  $ 60,675  $ —  $ 107,765 
Nine months ended December 31, 2022
ODS AGP Eliminations Consolidated
Net revenue $ 323,419  $ 208,029  $ (5,646) $ 525,802 
License fees and revenue share 185,791  57,473  (5,646) 237,618 
Segment profit $ 137,628  $ 150,556  $ —  $ 288,184 
  Nine months ended December 31, 2021
ODS AGP Eliminations Consolidated
Net revenue $ 383,426  $ 192,764  $ (12,729) $ 563,461 
License fees and revenue share 232,122  64,976  (12,729) 284,369 
Segment profit $ 151,304  $ 127,788  $ —  $ 279,092 
Geographic Area Information
Long-lived assets, excluding deferred tax assets and intangible assets, by region follow:
  December 31, 2022 March 31, 2022
United States and Canada $ 27,029  $ 25,946 
Europe, Middle East, and Africa 11,709  5,086 
Asia Pacific and China 21  54 
Mexico, Central America, and South America —  — 
Consolidated property and equipment, net $ 38,759  $ 31,086 
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, 2022
ODS AGP Total
United States and Canada $ 38,949  $ 29,911  $ 68,860 
Europe, Middle East, and Africa 42,321  26,449  68,770 
Asia Pacific and China 12,975  10,564  23,539 
Mexico, Central America, and South America 2,071  483  2,554 
Elimination —  —  (1,413)
Consolidated net revenue $ 96,316  $ 67,407  $ 162,310 
  Three months ended December 31, 2021
ODS AGP Total
United States and Canada $ 74,431  $ 45,238  $ 119,669 
Europe, Middle East, and Africa 35,667  34,297  69,964 
Asia Pacific and China 19,877  8,547  28,424 
Mexico, Central America, and South America 3,619  1,031  4,650 
Elimination —  —  (5,889)
Consolidated net revenue $ 133,594  $ 89,113  $ 216,818 
  Nine months ended December 31, 2022
ODS AGP Total
United States and Canada $ 152,890  $ 115,957  $ 268,847 
Europe, Middle East, and Africa 125,463  68,118  193,581 
Asia Pacific and China 39,989  22,837  62,826 
Mexico, Central America, and South America 5,077  1,117  6,194 
Elimination —  —  (5,646)
Consolidated net revenue $ 323,419  $ 208,029  $ 525,802 
  Nine months ended December 31, 2021
ODS AGP Total
United States and Canada $ 220,662  $ 96,110  $ 316,772 
Europe, Middle East, and Africa 96,318  74,257  170,575 
Asia Pacific and China 54,636  20,090  74,726 
Mexico, Central America, and South America 11,810  2,307  14,117 
Elimination —  —  (12,729)
Consolidated net revenue $ 383,426  $ 192,764  $ 563,461