v3.24.0.1
Segment Reporting and Geographic Information, as restated
 6 Months Ended
Jun. 30, 2023
Segment Reporting [Abstract]  
Segment Reporting and Geographic Information, as restated

17. Segment Reporting and Geographic Information, as restated

 

The Company operates its business along four operating segments, which are segregated on the basis of revenue stream: Gaming, Virtual Sports, Interactive and Leisure. The Company believes this method of segment reporting reflects both the way its business segments are managed and the way the performance of each segment is evaluated.

 

The following tables present revenue, cost of sales, excluding depreciation and amortization, selling, general and administrative expenses, depreciation and amortization, stock-based compensation expense and acquisition related transaction expenses, operating profit/(loss) and total capital expenditures for the periods ended June 30, 2023 and June 30, 2022, respectively, by business segment. Certain unallocated corporate function costs have not been allocated to the Company’s reportable operating segments because these costs are not allocable and to do so would not be practical. Corporate function costs consist primarily of selling, general and administrative expenses, depreciation and amortization and capital expenditures.

 

Segment Information

 

Three Months Ended June 30, 2023

 

   Gaming   Virtual Sports   Interactive   Leisure   Corporate Functions   Total 
   (in millions) 
Revenue:                              
Service  $19.8   $15.1   $6.7   $25.9   $—   $67.5 
Product sales   11.3    —    —    0.6    —    11.9 
Total revenue   31.1    15.1    6.7    26.5    —    79.4 
Cost of sales, excluding depreciation and amortization:                              
Cost of service   (6.5)   (0.4)   (0.4)   (13.2)   —    (20.5)
Cost of product sales   (8.4)   —    —    —    —    (8.4)
Selling, general and administrative expenses   (5.0)   (1.6)   (2.7)   (6.8)   (7.4)   (23.5)
Stock-based compensation expense   (0.4)   (0.2)   (0.1)   (0.4)   (2.0)   (3.1)
Acquisition and integration related transaction expenses   —    —    —    —    —    — 
Depreciation and amortization   (4.6)   (0.8)   (1.0)   (3.0)   (0.7)   (10.1)
Segment operating income (loss)   6.2    12.1    2.5    3.1    (10.1)   13.8 
                               
Net operating income                           $13.8 
                               
Total capital expenditures for the three months ended June 30, 2023  $2.1   $1.2   $0.5   $3.8   $1.0   $8.6 

 

Three Months Ended June 30, 2022

 

   Gaming  

Virtual

Sports

   Interactive   Leisure  

Corporate

Functions

   Total 
   (in millions) 
Revenue:                              
Service  $19.6   $13.8   $5.3   $25.4   $—   $64.1 
Product sales   5.8    —    —    0.6    —    6.4 
Total revenue   25.4    13.8    5.3    26.0    —    70.5 
Cost of sales, excluding depreciation and amortization:                              
Cost of service   (5.7)   (0.5)   (0.3)   (11.3)   —    (17.8)
Cost of product sales   (4.1)   —    —    (0.5)   —    (4.6)
Selling, general and administrative expenses   (6.3)   (1.7)   (2.2)   (6.6)   (6.3)   (23.1)
Stock-based compensation expense   (0.3)   (0.2)   (0.2)   (0.1)   (1.8)   (2.6)
Acquisition and integration related transaction expenses   —    —    —    —    —    — 
Depreciation and amortization   (5.1)   (0.6)   (0.3)   (3.5)   (0.7)   (10.2)
Segment operating income (loss)   3.9    10.8    2.3    4.0    (8.8)   12.2 
                               
Net operating income                           $12.2 
                               
Total capital expenditures for the three months ended June 30, 2022  $5.0   $0.7   $0.7   $1.9   $0.7   $9.0 

 

 

Six Months Ended June 30, 2023

 

   Gaming  

Virtual

Sports

   Interactive   Leisure  

Corporate

Functions

   Total 
   (in millions) 
Revenue:                              
Service  $40.0   $29.9   $12.6   $42.5   $—   $125.0 
Product sales   18.2    —    —    1.1    —    19.3 
Total revenue   58.2    29.9    12.6    43.6    —    144.3 
Cost of sales, excluding depreciation and amortization:                              
Cost of service   (12.4)   (0.8)   (0.7)   (21.6)   —    (35.5)
Cost of product sales   (14.2)   —    —    (0.9)   —    (15.1)
Selling, general and administrative expenses   (10.7)   (3.3)   (5.2)   (13.7)   (16.9)   (49.8)
Stock-based compensation expense   (0.7)   (0.4)   (0.3)   (0.5)   (4.1)   (6.0)
Acquisition and integration related transaction expenses   —    —    —    —    —    — 
Depreciation and amortization   (9.1)   (1.6)   (1.6)   (6.1)   (1.1)   (19.5)
Segment operating income (loss)   11.1    23.8    4.8    0.8    (22.1)   18.4 
                               
Net operating income                           $18.4 
                               
Total capital expenditures for the six months ended June 30, 2023  $4.5   $1.6   $1.6   $9.0   $1.5   $18.2 

 

Six Months Ended June 30, 2022

 

   Gaming  

Virtual

Sports

   Interactive   Leisure  

Corporate

Functions

   Total 
   (in millions) 
Revenue:                              
Service  $40.7   $25.1   $9.9   $44.4   $—   $120.1 
Product sales   9.5    —    —    1.2    —    10.7 
Total revenue   50.2    25.1    9.9    45.6    —    130.8 
Cost of sales, excluding depreciation and amortization:                              
Cost of service   (11.7)   (0.9)   (0.6)   (21.4)   —    (34.6)
Cost of product sales   (6.4)   —    —    (0.7)   —    (7.1)
Selling, general and administrative expenses   (11.3)   (3.4)   (3.6)   (13.2)   (12.0)   (43.5)
Stock-based compensation expense   (0.6)   (0.3)   (0.3)   (0.3)   (3.9)   (5.4)
Acquisition and integration related transaction expenses   (0.1)   —    —    —    (0.1)   (0.2)
Depreciation and amortization   (10.3)   (1.4)   (0.9)   (7.1)   (1.2)   (20.9)
Segment operating income (loss)   9.8    19.1    4.5    2.9    (17.2)   19.1 
                               
Net operating income                           $19.1 
                               
Total capital expenditures for the six months ended June 30, 2022  $7.9   $1.2   $1.6   $5.9   $1.9   $18.5 

 

 

Geographic Information

 

Geographic information for revenue is set forth below:

 

   2023   2022   2023   2022 
  

Three Months Ended

June 30,

  

Six Months Ended

June 30,

 
   2023   2022   2023   2022 
   (in millions)   (in millions) 
Total revenue                    
UK  $61.8   $55.5   $110.8   $101.4 
Greece   5.3    5.4    10.9    11.0 
Rest of world   12.3    9.6    22.6    18.4 
Total  $79.4   $70.5   $144.3   $130.8 

 

UK revenue includes revenue from customers headquartered in the UK, but whose revenue is generated globally.

 

Geographic information of our non-current assets excluding goodwill is set forth below:

 

  

June 30,

2023

  

December 31,

2022

 
   (in millions) 
UK  $85.4   $82.7 
Greece   4.7    5.8 
Rest of world   21.2    16.3 
Total  $111.3   $104.8 

 

Software development costs are included as attributable to the market in which they are utilized.