Annual report pursuant to Section 13 and 15(d)

Segment Information

v3.22.0.1
Segment Information
 12 Months Ended
Dec. 31, 2021
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 to enable them to deliver an intelligent financial life to their clients.
•Envestnet Data & Analytics – leading data aggregation and data intelligence 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 year ended December 31, 2021 and 2020.

See “Note 14—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.:
  Year Ended December 31,
  2021 2020 2019
(in thousands)
Envestnet Wealth Solutions $ 124,651  $ 91,501  $ 67,713 
Envestnet Data & Analytics 2,033  (9,943) (25,262)
Nonsegment operating expenses (86,143) (62,117) (58,524)
Income (loss) from operations 40,541  19,441  (16,073)
Interest expense, net of interest income (16,104) (30,392) (29,173)
Other income (expense), net (4,076) 2,906  (2,849)
Consolidated income (loss) before income tax benefit 20,361  (8,045) (48,095)
Income tax provision (benefit) 7,667  (5,401) (30,893)
Consolidated net income (loss) 12,694  (2,644) (17,202)
Add: Net (income) loss attributable to non-controlling interest 602  (466) 420 
Consolidated net income (loss) attributable to Envestnet, Inc. $ 13,296  $ (3,110) $ (16,782)

A summary of consolidated total assets, consolidated depreciation and amortization and consolidated capital expenditures by segment follows:
  December 31,
  2021 2020
Segment assets:
 (in thousands)
Envestnet Wealth Solutions $ 1,720,779  $ 1,634,153 
Envestnet Data & Analytics 520,403  510,137 
Consolidated total assets $ 2,241,182  $ 2,144,290 

  Year Ended December 31,
  2021 2020 2019
Segment depreciation and amortization:
 (in thousands)
Envestnet Wealth Solutions $ 90,073  $ 80,714  $ 65,746 
Envestnet Data & Analytics 27,694  32,947  35,525 
Consolidated depreciation and amortization $ 117,767  $ 113,661  $ 101,271 

  Year Ended December 31,
  2021 2020 2019
Segment capital expenditures:
 (in thousands)
Envestnet Wealth Solutions $ 65,264  $ 46,891  $ 42,395 
Envestnet Data & Analytics 23,637  20,105  11,548 
Consolidated capital expenditures $ 88,901  $ 66,996  $ 53,943