| Segment information |
Segment information for the years ended December 31, 2014, 2013 and 2012 is as follows:
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Independent Brokerage and Advisory Services |
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Ladenburg |
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Insurance Brokerage |
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Corporate |
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Total |
2014 |
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Revenues |
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$ |
816,581 |
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$ |
73,298 |
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$ |
26,164 |
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$ |
5,210 |
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$ |
921,253 |
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Income (loss) before income taxes |
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10,520 |
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14,846 |
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(841 |
) |
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(14,519 |
) |
(1) |
10,006 |
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EBITDA, as adjusted (5)
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50,596 |
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16,174 |
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2,315 |
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(7,907 |
) |
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61,178 |
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Identifiable assets |
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350,225 |
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39,845 |
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67,941 |
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52,747 |
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510,758 |
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Depreciation and amortization |
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14,978 |
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665 |
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2,743 |
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11 |
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18,397 |
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Interest |
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5,460 |
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67 |
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297 |
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1,166 |
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6,990 |
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Capital expenditures |
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6,058 |
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1,002 |
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253 |
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134 |
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7,447 |
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Non-cash compensation |
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6,751 |
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612 |
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116 |
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3,062 |
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10,541 |
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2013 |
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Revenues |
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$ |
723,246 |
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(2) |
$ |
69,603 |
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$ |
— |
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$ |
267 |
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(3) |
$ |
793,116 |
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Income (loss) before income taxes |
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4,850 |
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|
11,689 |
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— |
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(14,135 |
) |
(1)(4) |
2,404 |
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EBITDA, as adjusted (5)
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52,549 |
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13,188 |
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— |
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(8,534 |
) |
(4) |
57,203 |
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Identifiable assets |
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320,239 |
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33,950 |
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— |
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6,631 |
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|
360,820 |
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Depreciation and amortization |
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14,475 |
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|
791 |
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— |
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49 |
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15,315 |
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Interest |
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12,527 |
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75 |
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— |
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2,836 |
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15,438 |
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Capital expenditures |
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4,898 |
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1,963 |
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— |
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— |
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6,861 |
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Non-cash compensation |
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3,667 |
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646 |
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— |
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2,453 |
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6,766 |
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2012 |
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Revenues |
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$ |
598,851 |
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$ |
45,701 |
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$ |
— |
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$ |
5,559 |
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$ |
650,111 |
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Income (loss) before income taxes |
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(6,087 |
) |
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65 |
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— |
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(8,870 |
) |
(1) |
(14,892 |
) |
EBITDA, as adjusted (5)
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35,890 |
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1,829 |
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— |
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(1,891 |
) |
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35,828 |
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Identifiable assets |
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318,005 |
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|
17,636 |
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— |
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2,488 |
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|
338,129 |
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Depreciation and amortization |
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15,158 |
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|
835 |
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— |
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68 |
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16,061 |
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Interest |
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19,803 |
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79 |
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— |
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4,659 |
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24,541 |
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Capital expenditures |
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5,356 |
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115 |
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— |
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6 |
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5,477 |
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Non-cash compensation |
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1,640 |
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850 |
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— |
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2,254 |
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4,744 |
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(1) |
Includes interest on revolving credit and forgivable loan notes, compensation, professional fees and other general and administrative expenses. |
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(2) |
Includes brokerage commissions of $4,240 and $908 in the Ladenburg and Independent brokerage and advisory services segments, respectively, related to the sale of the Company's Series A Preferred Stock (eliminated in consolidation).
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(3) |
Includes the elimination of $5,148 of revenue referred to in footnote (2).
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(4) |
Includes the elimination of $2,545, consisting of $5,148 of revenue, net of employee brokerage commission expenses of $2,603 charged to additional paid-in capital related to sale of the Company's Series A Preferred Stock.
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(5) |
The following table reconciles EBITDA, as adjusted, to income (loss) before income taxes for the years ended December 31, 2014, 2013 and 2012: |
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Year Ended December 31, |
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EBITDA, as adjusted |
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2014 |
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2013 |
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2012 |
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Independent Brokerage and Advisory Services |
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$ |
50,596 |
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$ |
52,549 |
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$ |
35,890 |
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Ladenburg |
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16,174 |
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13,188 |
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1,829 |
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Insurance Brokerage |
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2,315 |
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— |
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— |
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Corporate |
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(7,907 |
) |
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(8,534 |
) |
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(1,891 |
) |
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Total segments |
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61,178 |
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57,203 |
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* |
35,828 |
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* |
Adjustments: |
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Interest income |
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245 |
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194 |
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185 |
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Change in fair value of contingent consideration |
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12 |
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(121 |
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7,111 |
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Loss on extinguishment of debt |
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(548 |
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(4,547 |
) |
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— |
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Interest expense |
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(6,990 |
) |
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(15,438 |
) |
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(24,541 |
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Depreciation and amortization |
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(18,397 |
) |
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(15,315 |
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(16,061 |
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Non-cash compensation expense |
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(10,541 |
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(6,766 |
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(4,744 |
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Amortization of retention and forgivable loans |
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(11,041 |
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(11,544 |
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(11,664 |
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Financial advisor acquisition expense |
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(1,489 |
) |
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(1,194 |
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(1,006 |
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Acquisition-related expense |
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(2,342 |
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— |
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— |
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Loss attributable to noncontrolling interest |
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(81 |
) |
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(68 |
) |
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— |
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Income (loss) before income taxes |
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$ |
10,006 |
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$ |
2,404 |
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$ |
(14,892 |
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* Includes increases of $5,578 in 2013 and $5,324 in 2012 related to amortization of forgivable loans and financial advisor acquisition expenses to conform to the 2014 presentation.
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