Segment Information (Tables)

9 Months Ended

Sep. 30, 2019

Segment information for the three and nine months ended September 30, 2019 and 2018 was as follows:



Three Months Ended September 30, 2019	Independent Advisory and Brokerage Services		Ladenburg		Insurance Brokerage			Corporate				Total
Revenues	$	305,204	$	23,519	$	44,914		$	895			$	374,532
Income (loss) before income taxes	20,238		5,191		1,719			(11,851		)	⁽¹⁾	15,297
EBITDA, as adjusted ⁽³⁾	28,466		5,210		2,343			(4,933		)		31,086
Identifiable assets ⁽²⁾	539,991		58,679		101,780			117,674				818,124
Depreciation and amortization	4,653		120		468			5				5,246
Interest	133		1		58			6,026				6,218
Capital expenditures	2,892		—		2			(3		)		2,891
Non-cash compensation	251		178		—			1,107				1,536

Three Months Ended September 30, 2018
Revenues	$	300,015	$	15,180	$	32,960		$	720			$	348,875
Income (loss) before income taxes	18,538		821		(145		)	(6,557		)	⁽¹⁾	12,657
EBITDA, as adjusted ⁽³⁾	27,224		1,110		239			(3,264		)		25,309
Identifiable assets ⁽²⁾	509,270		49,841		90,920			150,560				800,591
Depreciation and amortization	5,457		122		261			5				5,845
Interest	311		2		76			2,817				3,206
Capital expenditures	3,780		95		31			(8		)		3,898
Non-cash compensation	317		176		—			887				1,380



Nine Months Ended September 30, 2019	Independent Advisory and Brokerage Services		Ladenburg			Insurance Brokerage		Corporate				Total
Revenues	$	890,024	$	56,763		$	124,689	$	2,091			$	1,073,567
Income (loss) before income taxes	52,334		8,524			2,254		(33,474		)	⁽¹⁾	29,638
EBITDA, as adjusted ⁽³⁾	78,040		9,217			4,160		(13,246		)		78,171
Identifiable assets ⁽²⁾	539,991		58,679			101,780		117,674				818,124
Depreciation and amortization	15,270		359			1,412		16				17,057
Interest	365		(10		)	177		16,308				16,840
Capital expenditures	9,100		—			35		(91		)		9,044
Non-cash compensation	765		536			—		3,173				4,474

Nine Months Ended September 30, 2018
Revenues	$	875,015	$	55,614		$	101,945	$	3,441			$	1,036,015
Income (loss) before income taxes	45,926		7,113			556		(19,418		)	⁽¹⁾	34,177
EBITDA, as adjusted ⁽³⁾	72,456		8,029			2,093		(11,266		)		71,312
Identifiable assets ⁽²⁾	509,270		49,841			90,920		150,560				800,591
Depreciation and amortization	16,332		345			726		13				17,416
Interest	861		50			415		5,900				7,226
Capital expenditures	10,035		351			101		16				10,503
Non-cash compensation	936		529			113		2,864				4,442


⁽¹⁾	Includes interest expense, compensation, professional fees, and other general and administrative expenses related to the Corporate segment.


⁽²⁾	Identifiable assets are presented as of the end of the period.


⁽³⁾	The following table reconciles income before income taxes for the three and nine months ended September 30, 2019 and 2018 to EBITDA, as adjusted.



	Three Months Ended September 30, 2019						Nine Months Ended September 30, 2019
	2019			2018			2019			2018
Income before income taxes	$	15,297		$	12,657		$	29,638		$	34,177
Adjustments:
Interest income	(882		)	(810		)	(2,138		)	(1,688		)
Change in fair value of contingent consideration	93			54			290			165
Interest expense	6,218			3,206			16,840			7,226
Depreciation and amortization	5,246			5,845			17,057			17,416
Non-cash compensation expense	1,536			1,380			4,474			4,442
Amortization of retention and forgivable loans	139			97			391			280
Amortization of contract acquisition costs	2,988			2,488			8,639			7,059
Financial advisor recruiting expense	9			115			18			291
Acquisition-related expense	—			—			24			913
Income attributable to noncontrolling interest	79			(13		)	58			(22		)
Other ^{(1) (2)}	363			290			2,880			1,053
EBITDA, as adjusted	$	31,086		$	25,309		$	78,171		$	71,312

EBITDA, as adjusted
Independent Advisory and Brokerage Services	$	28,466		$	27,224		$	78,040		$	72,456
Ladenburg	5,210			1,110			9,217			8,029
Insurance Brokerage	2,343			239			4,160			2,093
Corporate	(4,933		)	(3,264		)	(13,246		)	(11,266		)
Total segments	$	31,086		$	25,309		$	78,171		$	71,312


⁽¹⁾	Includes severance costs of $160 and $1,269, excise and franchise tax expense of $134 and $416, compensation expense that may be paid in stock of $399 and $1,256, non-recurring expenses related to a block repurchase of our common stock and other legal matters of $(55) and $214 and reversal of a write-off for a sublease commitment of $(275) for the three and nine months ended September 30, 2019.


⁽²⁾	Includes severance costs of $0 and $174, excise and franchise tax expense of $164 and $486 and compensation expense that may be paid in stock of $126 and $393 for the three and nine months ended September 30, 2018.