Quarterly report pursuant to Section 13 or 15(d)

Segment Information

v3.20.2
Segment Information
 6 Months Ended
Jun. 30, 2020
Segment Reporting [Abstract]  
Segment Information Segment Information
 
Business segments are generally organized around the Company's business services. The Company's business segments are:
 
•Envestnet Wealth Solutions – a leading provider of unified wealth management software and services to empower financial advisors and institutions.

•Envestnet Data & Analytics – a leading data aggregation and data analytics platform powering dynamic, cloud-based innovation for digital financial services.

The information in the following tables is derived from the Company’s internal financial reporting used for corporate management purposes. Nonsegment operating expenses include salary and benefits for certain corporate officers, certain types of professional service expenses and insurance, acquisition related transaction costs, restructuring charges, and other non-recurring and/or non-operationally related expenses. Intersegment revenues were not material for the three and six months ended June 30, 2020 and 2019.
 
See “Note 11—Revenues and Cost of Revenues” for detail of revenues by segment.
The following table presents a reconciliation from Income (loss) from operations by segment to consolidated net income (loss) attributable to Envestnet, Inc.:
  Three Months Ended Six Months Ended
  June 30, June 30,
  2020 2019 2020 2019
Envestnet Wealth Solutions $ 19,867    $ 12,379    $ 31,207    $ 29,223   
Envestnet Data & Analytics (941)   (8,960)   (5,526)   (16,888)  
Nonsegment operating expenses (14,918)   (23,676)   (29,290)   (41,329)  
Income (loss) from operations 4,008    (20,257)   (3,609)   (28,994)  
Other expense, net (8,173)   (7,512)   (9,710)   (13,275)  
Consolidated loss before income tax provision (benefit) (4,165)   (27,769)   (13,319)   (42,269)  
Income tax provision (benefit) 1,306    (28,382)   (658)   (24,614)  
Consolidated net income (loss) (5,471)   613    (12,661)   (17,655)  
Add: Net loss attributable to non-controlling interest 547    280    401    363   
Consolidated net income (loss) attributable to Envestnet, Inc. $ (4,924)   $ 893    $ (12,260)   $ (17,292)  
 
A summary of consolidated total assets, consolidated depreciation and amortization and consolidated capital expenditures follows:
June 30, December 31,
  2020 2019
Segment assets:    
Envestnet Wealth Solutions $ 1,323,409    $ 1,297,891   
Envestnet Data & Analytics 507,996    503,993   
Consolidated assets $ 1,831,405    $ 1,801,884   

  Three Months Ended Six Months Ended
  June 30, June 30,
  2020 2019 2020 2019
Segment depreciation and amortization:        
Envestnet Wealth Solutions $ 20,081    $ 16,376    $ 39,501    $ 27,643   
Envestnet Data & Analytics 8,362    10,539    16,625    18,789   
Consolidated depreciation and amortization $ 28,443    $ 26,915    $ 56,126    $ 46,432   
 
Three Months Ended Six Months Ended
  June 30, June 30,
  2020 2019 2020 2019
Segment capital expenditures:        
Envestnet Wealth Solutions $ 11,200    $ 10,027    $ 21,390    $ 20,865   
Envestnet Data & Analytics 5,100    1,939    8,642    3,533   
Consolidated capital expenditures $ 16,300    $ 11,966    $ 30,032    $ 24,398