Liberty Media Corporation Quarterly report pursuant to Section 13 or 15(d)

Quarterly report pursuant to Section 13 or 15(d)

Financial Information for Tracking Stock Groups (Tables)

Financial Information for Tracking Stock Groups (Tables)

3 Months Ended

Mar. 31, 2018

Condensed Financial Information of Parent Company Only Disclosure [Abstract]

Condensed Balance Sheet

BALANCE SHEET INFORMATION

March 31, 2018


		Attributed (note 1)
	Liberty
	SiriusXM		Braves	Formula One	Inter-Group	Consolidated
	Group		Group	Group	Eliminations	Liberty
	amounts in millions
Assets
Current assets:
Cash and cash equivalents	$	658	114	270	—	1,042
Trade and other receivables, net		245	80	69	—	394
Other current assets		177	82	224	—	483
Total current assets		1,080	276	563	—	1,919
Intergroup interest in the Liberty Braves Group (note 1)		—	—	207	(207)	—
Investments in debt and equity securities (note 1)		1,031	8	534	—	1,573
Investments in affiliates, accounted for using the equity method (note 1)		651	97	910	—	1,658

Property and equipment, at cost		2,307	1,238	182	—	3,727
Accumulated depreciation		(973)	(64)	(87)	—	(1,124)
		1,334	1,174	95	—	2,603

Intangible assets not subject to amortization
Goodwill		14,247	180	3,956	—	18,383
FCC licenses		8,600	—	—	—	8,600
Other		931	143	—	—	1,074
		23,778	323	3,956	—	28,057
Intangible assets subject to amortization, net		964	49	5,002	—	6,015
Other assets		120	20	575	—	715
Total assets	$	28,958	1,947	11,842	(207)	42,540

Liabilities and Equity
Current liabilities:
Intergroup payable (receivable) (note 3)	$	(3)	(44)	47	—	—
Accounts payable and accrued liabilities		852	68	144	—	1,064
Current portion of debt (note 1)		5	31	—	—	36
Deferred revenue		1,910	140	413	—	2,463
Other current liabilities		4	9	11	—	24
Total current liabilities		2,768	204	615	—	3,587
Long-term debt (note 1)		7,951	568	5,558	—	14,077
Deferred income tax liabilities		1,523	68	(81)	—	1,510
Redeemable intergroup interest (note 1)		—	207	—	(207)	—
Other liabilities		281	518	92	—	891
Total liabilities		12,523	1,565	6,184	(207)	20,065
Equity / Attributed net assets		10,945	377	5,655	—	16,977
Noncontrolling interests in equity of subsidiaries		5,490	5	3	—	5,498
Total liabilities and equity	$	28,958	1,947	11,842	(207)	42,540

Condensed Statement of Operations

STATEMENT OF OPERATIONS INFORMATION

Three months ended March 31, 2018


		Attributed (note 1)
	Liberty
	SiriusXM		Braves	Formula One	Consolidated
	Group		Group	Group	Liberty
	amounts in millions
Revenue:
Subscriber revenue	$	1,117	—	—	1,117
Formula 1 revenue		—	—	114	114
Other revenue		258	28	—	286
Total revenue		1,375	28	114	1,517
Operating costs and expenses, including stock-based compensation (note 2):
Cost of subscriber services (exclusive of depreciation shown separately below):
Revenue share and royalties		310	—	—	310
Programming and content		101	—	—	101
Customer service and billing		94	—	—	94
Other		29	—	—	29
Cost of Formula 1 revenue		—	—	81	81
Subscriber acquisition costs		123	—	—	123
Other operating expenses		31	40	—	71
Selling, general and administrative		202	23	40	265
Depreciation and amortization		89	16	111	216
		979	79	232	1,290
Operating income (loss)		396	(51)	(118)	227
Other income (expense):
Interest expense		(97)	(6)	(47)	(150)
Share of earnings (losses) of affiliates, net		1	3	(12)	(8)
Realized and unrealized gains (losses) on financial instruments, net		58	—	95	153
Unrealized gains (losses) on intergroup interest (note 1)		—	(5)	5	—
Other, net		5	1	—	6
		(33)	(7)	41	1
Earnings (loss) before income taxes		363	(58)	(77)	228
Income tax (expense) benefit		(81)	6	60	(15)
Net earnings (loss)		282	(52)	(17)	213
Less net earnings (loss) attributable to the noncontrolling interests		82	—	—	82
Net earnings (loss) attributable to Liberty stockholders	$	200	(52)	(17)	131

STATEMENT OF OPERATIONS INFORMATION

Three months ended March 31, 2017


		Attributed (note 1)
	Liberty
	SiriusXM		Braves	Formula One	Consolidated
	Group		Group	Group	Liberty
	amounts in millions
Revenue:
Subscriber revenue	$	1,078	—	—	1,078
Formula 1 revenue		—	—	96	96
Other revenue		216	5	—	221
Total revenue		1,294	5	96	1,395
Operating costs and expenses, including stock-based compensation (note 2):
Cost of subscriber services (exclusive of depreciation shown separately below):
Revenue share and royalties		277	—	—	277
Programming and content		96	—	—	96
Customer service and billing		97	—	—	97
Other		27	—	—	27
Cost of Formula 1 revenue		—	—	68	68
Subscriber acquisition costs		127	—	—	127
Other operating expenses		24	17	—	41
Selling, general and administrative		184	19	36	239
Depreciation and amortization		90	2	72	164
		922	38	176	1,136
Operating income (loss)		372	(33)	(80)	259
Other income (expense):
Interest expense		(84)	—	(56)	(140)
Share of earnings (losses) of affiliates, net		3	3	(10)	(4)
Realized and unrealized gains (losses) on financial instruments, net		—	—	(12)	(12)
Unrealized gains (losses) on intergroup interest (note 1)		—	(28)	28	—
Other, net		6	3	8	17
		(75)	(22)	(42)	(139)
Earnings (loss) before income taxes		297	(55)	(122)	120
Income tax (expense) benefit		(108)	6	26	(76)
Net earnings (loss)		189	(49)	(96)	44
Less net earnings (loss) attributable to the noncontrolling interests		65	—	—	65
Net earnings (loss) attributable to Liberty stockholders	$	124	(49)	(96)	(21)

Condensed Statement of Cash Flows

STATEMENT OF CASH FLOWS INFORMATION

Three months ended March 31, 2018


		Attributed (note 1)
	Liberty
	SiriusXM		Braves	Formula One	Consolidated
	Group		Group	Group	Liberty
	amounts in millions
Cash flows from operating activities:
Net earnings (loss)	$	282	(52)	(17)	213
Adjustments to reconcile net earnings to net cash provided by operating activities:
Depreciation and amortization		89	16	111	216
Stock-based compensation		40	—	6	46
Share of (earnings) loss of affiliates, net		(1)	(3)	12	8
Unrealized (gains) losses on intergroup interest, net		—	5	(5)	—
Realized and unrealized (gains) losses on financial instruments, net		(58)	—	(95)	(153)
Noncash interest expense (benefit)		(1)	1	—	—
Deferred income tax expense (benefit)		73	(2)	(51)	20
Intergroup tax allocation		—	(4)	4	—
Other charges (credits), net		—	11	6	17
Changes in operating assets and liabilities
Current and other assets		(12)	(17)	(68)	(97)
Payables and other liabilities		(19)	97	276	354
Net cash provided (used) by operating activities		393	52	179	624
Cash flows from investing activities:
Investments in equity method affiliates and debt and equity securities		(389)	—	(4)	(393)
Cash proceeds from sale of investments		—	—	9	9
Capital expended for property and equipment		(82)	(6)	(1)	(89)
Other investing activities, net		—	37	12	49
Net cash provided (used) by investing activities		(471)	31	16	(424)
Cash flows from financing activities:
Borrowings of debt		1,021	7	289	1,317
Repayments of debt		(569)	(89)	(496)	(1,154)
Series C Liberty SiriusXM stock repurchases		(31)	—	—	(31)
Subsidiary shares repurchased by subsidiary		(309)	—	—	(309)
Cash dividends paid by subsidiary		(15)	—	—	(15)
Taxes paid in lieu of shares issued for stock-based compensation		(27)	—	(1)	(28)
Other financing activities, net		51	—	(1)	50
Net cash provided (used) by financing activities		121	(82)	(209)	(170)
Effect of foreign exchange rate changes on cash, cash equivalents and restricted cash		—	—	2	2
Net increase (decrease) in cash, cash equivalents and restricted cash		43	1	(12)	32
Cash, cash equivalents and restricted cash at beginning of period		625	140	282	1,047
Cash, cash equivalents and restricted cash at end of period	$	668	141	270	1,079

STATEMENT OF CASH FLOWS INFORMATION

March 31, 2017


		Attributed (note 1)
	Liberty
	SiriusXM		Braves	Formula One	Consolidated
	Group		Group	Group	Liberty
	amounts in millions
Cash flows from operating activities:
Net earnings (loss)	$	189	(49)	(96)	44
Adjustments to reconcile net earnings to net cash provided by operating activities:
Depreciation and amortization		90	2	72	164
Stock-based compensation		34	2	8	44
Share of (earnings) loss of affiliates, net		(3)	(3)	10	4
Unrealized (gains) losses on intergroup interest, net		—	28	(28)	—
Realized and unrealized (gains) losses on financial instruments, net		—	—	12	12
Noncash interest expense (benefit)		2	—	—	2
Deferred income tax expense (benefit)		107	31	(12)	126
Intergroup tax allocation		(5)	(37)	42	—
Other charges (credits), net		4	—	(2)	2
Changes in operating assets and liabilities
Current and other assets		(14)	(15)	37	8
Payables and other liabilities		(100)	53	44	(3)
Net cash provided (used) by operating activities		304	12	87	403
Cash flows from investing activities:
Investments in equity method affiliates and debt and equity securities		—	(2)	(3)	(5)
Net cash paid for the acquisition of Formula 1		—	—	(1,647)	(1,647)
Capital expended for property and equipment		(54)	(102)	—	(156)
Other investing activities, net		(7)	18	—	11
Net cash provided (used) by investing activities		(61)	(86)	(1,650)	(1,797)
Cash flows from financing activities:
Borrowings of debt		330	114	1,400	1,844
Repayments of debt		(194)	(32)	(928)	(1,154)
Proceeds from issuance of Series C Liberty Formula One common stock		—	—	1,550	1,550
Subsidiary shares repurchased by subsidiary		(306)	—	—	(306)
Cash dividends paid by subsidiary		(15)	—	—	(15)
Taxes paid in lieu of shares issued for stock-based compensation		(20)	—	(2)	(22)
Other financing activities, net		5	—	—	5
Net cash provided (used) by financing activities		(200)	82	2,020	1,902
Effect of foreign exchange rate changes on cash, cash equivalents and restricted cash		—	—	1	1
Net increase (decrease) in cash, cash equivalents and restricted cash		43	8	458	509
Cash, cash equivalents and restricted cash at beginning of period		297	107	168	572
Cash, cash equivalents and restricted cash at end of period	$	340	115	626	1,081