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)

6 Months Ended

Jun. 30, 2023

Condensed Balance Sheets

BALANCE SHEET INFORMATION

June 30, 2023

(unaudited)


		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	$	311	131	1,489	—	1,931
Trade and other receivables, net		660	52	110	—	822
Other current assets		354	72	355	—	781
Total current assets		1,325	255	1,954	—	3,534
Intergroup interests (note 1)		143	—	269	(412)	—
Investments in affiliates, accounted for using the equity method (note 1)		960	99	67	—	1,126

Property and equipment, at cost		2,975	1,037	747	—	4,759
Accumulated depreciation		(1,785)	(299)	(118)	—	(2,202)
		1,190	738	629	—	2,557

Intangible assets not subject to amortization
Goodwill		15,209	176	3,956	—	19,341
FCC licenses		8,600	—	—	—	8,600
Other		1,242	124	—	—	1,366
		25,051	300	3,956	—	29,307
Intangible assets subject to amortization, net		1,032	23	3,004	—	4,059
Other assets		524	85	1,254	(4)	1,859
Total assets	$	30,225	1,500	11,133	(416)	42,442

Liabilities and Equity
Current liabilities:
Intergroup payable (receivable) (note 3)	$	57	(2)	(55)	—	—
Accounts payable and accrued liabilities		1,374	65	315	—	1,754
Current portion of debt		753	7	27	—	787
Deferred revenue		1,287	142	724	—	2,153
Other current liabilities		69	3	27	—	99
Total current liabilities		3,540	215	1,038	—	4,793
Long-term debt (note 1)		11,977	532	2,923	—	15,432
Deferred income tax liabilities		2,011	51	—	(4)	2,058
Redeemable intergroup interests (note 1)		—	341	71	(412)	—
Other liabilities		587	147	146	—	880
Total liabilities		18,115	1,286	4,178	(416)	23,163
Equity / Attributed net assets		9,150	203	6,931	—	16,284
Noncontrolling interests in equity of subsidiaries		2,960	11	24	—	2,995
Total liabilities and equity	$	30,225	1,500	11,133	(416)	42,442

Condensed Statement of Operations

STATEMENT OF OPERATIONS INFORMATION

Three months ended June 30, 2023

(unaudited)


		Attributed (note 1)
	Liberty
	SiriusXM		Braves	Formula One	Consolidated
	Group		Group	Group	Liberty

	amounts in millions
Revenue:
Sirius XM Holdings revenue	$	2,250	—	—	2,250
Formula 1 revenue		—	—	724	724
Other revenue		—	270	—	270
Total revenue		2,250	270	724	3,244
Operating costs and expenses, including stock-based compensation (note 2):
Cost of Sirius XM Holdings services (exclusive of depreciation shown separately below):
Revenue share and royalties		732	—	—	732
Programming and content		153	—	—	153
Customer service and billing		124	—	—	124
Other		54	—	—	54
Cost of Formula 1 revenue (exclusive of depreciation shown separately below)		—	—	519	519
Subscriber acquisition costs		93	—	—	93
Other operating expenses		83	197	—	280
Selling, general and administrative		387	34	69	490
Impairment, restructuring and acquisition costs, net of recoveries		18	1	—	19
Depreciation and amortization		154	19	84	257
		1,798	251	672	2,721
Operating income (loss)		452	19	52	523
Other income (expense):
Interest expense		(137)	(9)	(54)	(200)
Share of earnings (losses) of affiliates, net		79	12	(1)	90
Realized and unrealized gains (losses) on financial instruments, net		(164)	4	64	(96)
Unrealized gains (losses) on intergroup interests (note 1)		10	(50)	40	—
Other, net		23	3	24	50
		(189)	(40)	73	(156)
Earnings (loss) before income taxes		263	(21)	125	367
Income tax (expense) benefit		(46)	(8)	(10)	(64)
Net earnings (loss)		217	(29)	115	303
Less net earnings (loss) attributable to the noncontrolling interests		51	—	(1)	50
Net earnings (loss) attributable to Liberty stockholders	$	166	(29)	116	253

STATEMENT OF OPERATIONS INFORMATION

Six months ended June 30, 2023

(unaudited)


		Attributed (note 1)
	Liberty
	SiriusXM		Braves	Formula One	Consolidated
	Group		Group	Group	Liberty

	amounts in millions
Revenue:
Sirius XM Holdings revenue	$	4,394	—	—	4,394
Formula 1 revenue		—	—	1,105	1,105
Other revenue		—	301	—	301
Total revenue		4,394	301	1,105	5,800
Operating costs and expenses, including stock-based compensation (note 2):
Cost of Sirius XM Holdings services (exclusive of depreciation shown separately below):
Revenue share and royalties		1,432	—	—	1,432
Programming and content		303	—	—	303
Customer service and billing		246	—	—	246
Other		106	—	—	106
Cost of Formula 1 revenue (exclusive of depreciation shown separately below)		—	—	725	725
Subscriber acquisition costs		183	—	—	183
Other operating expenses		162	236	—	398
Selling, general and administrative		772	60	144	976
Impairment, restructuring and acquisition costs, net of recoveries		50	1	—	51
Depreciation and amortization		315	34	168	517
		3,569	331	1,037	4,937
Operating income (loss)		825	(30)	68	863
Other income (expense):
Interest expense		(273)	(18)	(105)	(396)
Share of earnings (losses) of affiliates, net		72	11	(3)	80
Realized and unrealized gains (losses) on financial instruments, net		(162)	3	17	(142)
Unrealized gains (losses) on intergroup interest (note 1)		64	(63)	(1)	—
Other, net		26	4	34	64
		(273)	(63)	(58)	(394)
Earnings (loss) before income taxes		552	(93)	10	469
Income tax (expense) benefit		(115)	5	(4)	(114)
Net earnings (loss)		437	(88)	6	355
Less net earnings (loss) attributable to the noncontrolling interests		88	—	(1)	87
Net earnings (loss) attributable to Liberty stockholders	$	349	(88)	7	268

STATEMENT OF OPERATIONS INFORMATION

Three months ended June 30, 2022

(unaudited)


		Attributed (note 1)
	Liberty
	SiriusXM		Braves	Formula One	Consolidated
	Group		Group	Group	Liberty

	amounts in millions
Revenue:
Sirius XM Holdings revenue	$	2,254	—	—	2,254
Formula 1 revenue		—	—	744	744
Other revenue		—	260	—	260
Total revenue		2,254	260	744	3,258
Operating costs and expenses, including stock-based compensation (note 2):
Cost of Sirius XM Holdings services (exclusive of depreciation shown separately below):
Revenue share and royalties		711	—	—	711
Programming and content		152	—	—	152
Customer service and billing		126	—	—	126
Other		58	—	—	58
Cost of Formula 1 revenue (exclusive of depreciation shown separately below)		—	—	534	534
Subscriber acquisition costs		91	—	—	91
Other operating expenses		72	175	—	247
Selling, general and administrative		419	33	68	520
Impairment, restructuring and acquisition costs, net of recoveries		1	—	—	1
Depreciation and amortization		152	17	93	262
		1,782	225	695	2,702
Operating income (loss)		472	35	49	556
Other income (expense):
Interest expense		(125)	(6)	(30)	(161)
Share of earnings (losses) of affiliates, net		54	8	(1)	61
Realized and unrealized gains (losses) on financial instruments, net		296	1	83	380
Unrealized gains (losses) on intergroup interests (note 1)		(35)	35	—	—
Other, net		4	1	17	22
		194	39	69	302
Earnings (loss) before income taxes		666	74	118	858
Income tax (expense) benefit		(168)	(10)	(6)	(184)
Net earnings (loss)		498	64	112	674
Less net earnings (loss) attributable to the noncontrolling interests		51	—	2	53
Less net earnings (loss) attributable to redeemable noncontrolling interest		—	—	(1)	(1)
Net earnings (loss) attributable to Liberty stockholders	$	447	64	111	622

STATEMENT OF OPERATIONS INFORMATION

Six months ended June 30, 2022

(unaudited)


		Attributed (note 1)
	Liberty
	SiriusXM		Braves	Formula One	Consolidated
	Group		Group	Group	Liberty

	amounts in millions
Revenue:
Sirius XM Holdings revenue	$	4,440	—	—	4,440
Formula 1 revenue		—	—	1,104	1,104
Other revenue		—	283	—	283
Total revenue		4,440	283	1,104	5,827
Operating costs and expenses, including stock-based compensation (note 2):
Cost of Sirius XM Holdings services (exclusive of depreciation shown separately below):
Revenue share and royalties		1,381	—	—	1,381
Programming and content		292	—	—	292
Customer service and billing		251	—	—	251
Other		112	—	—	112
Cost of Formula 1 revenue (exclusive of depreciation shown separately below)		—	—	729	729
Subscriber acquisition costs		181	—	—	181
Other operating expenses		139	198	—	337
Selling, general and administrative		823	55	124	1,002
Impairment, restructuring and acquisition costs, net of recoveries		1	—	—	1
Depreciation and amortization		304	35	183	522
		3,484	288	1,036	4,808
Operating income (loss)		956	(5)	68	1,019
Other income (expense):
Interest expense		(247)	(12)	(59)	(318)
Share of earnings (losses) of affiliates, net		36	12	(1)	47
Realized and unrealized gains (losses) on financial instruments, net		357	6	76	439
Unrealized gains (losses) on intergroup interests (note 1)		(15)	36	(21)	—
Other, net		24	21	22	67
		155	63	17	235
Earnings (loss) before income taxes		1,111	58	85	1,254
Income tax (expense) benefit		(269)	(7)	(8)	(284)
Net earnings (loss)		842	51	77	970
Less net earnings (loss) attributable to the noncontrolling interests		107	—	11	118
Less net earnings (loss) attributable to redeemable noncontrolling interest		—	—	(10)	(10)
Net earnings (loss) attributable to Liberty stockholders	$	735	51	76	862

Condensed Statement of Cash Flows

STATEMENT OF CASH FLOWS INFORMATION

Six months ended June 30, 2023

(unaudited)


		Attributed (note 1)
	Liberty
	SiriusXM		Braves	Formula One	Consolidated
	Group		Group	Group	Liberty

	amounts in millions
Cash flows from operating activities:
Net earnings (loss)	$	437	(88)	6	355
Adjustments to reconcile net earnings (loss) to net cash provided by operating activities:
Depreciation and amortization		315	34	168	517
Stock-based compensation		94	6	10	110
Non-cash impairment and restructuring costs		21	—	—	21
Share of (earnings) loss of affiliates, net		(72)	(11)	3	(80)
Unrealized (gains) losses on intergroup interests, net		(64)	63	1	—
Realized and unrealized (gains) losses on financial instruments, net		162	(3)	(17)	142
Deferred income tax expense (benefit)		(33)	(3)	1	(35)
Intergroup tax allocation		86	(2)	(84)	—
Intergroup tax (payments) receipts		(33)	(3)	36	—
Other charges (credits), net		(12)	4	—	(8)
Changes in operating assets and liabilities
Current and other assets		1	(5)	(91)	(95)
Payables and other liabilities		(48)	44	275	271
Net cash provided (used) by operating activities		854	36	308	1,198
Cash flows from investing activities:
Investments in equity method affiliates and debt and equity securities		(41)	—	(173)	(214)
Cash proceeds from dispositions		(1)	—	68	67
Capital expended for property and equipment, including internal-use software and website development		(334)	(30)	(180)	(544)
Other investing activities, net		(1)	—	(19)	(20)
Net cash provided (used) by investing activities		(377)	(30)	(304)	(711)
Cash flows from financing activities:
Borrowings of debt		2,048	16	—	2,064
Repayments of debt		(2,563)	(19)	(59)	(2,641)
Intergroup (repayments) borrowings		202	—	(202)	—
Subsidiary shares repurchased by subsidiary		(199)	—	—	(199)
Cash dividends paid by subsidiary		(33)	—	—	(33)
Taxes paid in lieu of shares issued for stock-based compensation		(19)	(1)	(8)	(28)
Other financing activities, net		36	8	19	63
Net cash provided (used) by financing activities		(528)	4	(250)	(774)
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		(51)	10	(244)	(285)
Cash, cash equivalents and restricted cash at beginning of period		370	173	1,733	2,276
Cash, cash equivalents and restricted cash at end of period	$	319	183	1,489	1,991

STATEMENT OF CASH FLOWS INFORMATION

Six months ended June 30, 2022

(unaudited)


		Attributed (note 1)
	Liberty
	SiriusXM		Braves	Formula One	Consolidated
	Group		Group	Group	Liberty

	amounts in millions
Cash flows from operating activities:
Net earnings (loss)	$	842	51	77	970
Adjustments to reconcile net earnings (loss) to net cash provided by operating activities:
Depreciation and amortization		304	35	183	522
Stock-based compensation		99	6	7	112
Share of (earnings) loss of affiliates, net		(36)	(12)	1	(47)
Unrealized (gains) losses on intergroup interests, net		15	(36)	21	—
Realized and unrealized (gains) losses on financial instruments, net		(357)	(6)	(76)	(439)
Deferred income tax expense (benefit)		161	(6)	26	181
Intergroup tax allocation		65	13	(78)	—
Intergroup tax (payments) receipts		(42)	9	33	—
Other charges (credits), net		(13)	(11)	(10)	(34)
Changes in operating assets and liabilities
Current and other assets		11	(8)	(117)	(114)
Payables and other liabilities		(162)	65	167	70
Net cash provided (used) by operating activities		887	100	234	1,221
Cash flows from investing activities:
Investments in equity method affiliates and debt and equity securities		(1)	(5)	(3)	(9)
Cash proceeds from dispositions		50	47	51	148
Cash (paid) received for acquisitions, net of cash acquired		(137)	—	—	(137)
Capital expended for property and equipment, including internal-use software and website development		(196)	(8)	(251)	(455)
Other investing activities, net		4	—	74	78
Net cash provided (used) by investing activities		(280)	34	(129)	(375)
Cash flows from financing activities:
Borrowings of debt		2,634	40	—	2,674
Repayments of debt		(2,320)	(138)	(243)	(2,701)
Liberty stock repurchases		(319)	—	(37)	(356)
Subsidiary shares repurchased by subsidiary		(415)	—	—	(415)
Cash dividends paid by subsidiary		(217)	—	—	(217)
Taxes paid in lieu of shares issued for stock-based compensation		(71)	—	26	(45)
Other financing activities, net		(3)	(7)	27	17
Net cash provided (used) by financing activities		(711)	(105)	(227)	(1,043)
Effect of foreign exchange rate changes on cash, cash equivalents and restricted cash		—	—	(8)	(8)
Net increase (decrease) in cash, cash equivalents and restricted cash		(104)	29	(130)	(205)
Cash, cash equivalents and restricted cash at beginning of period		606	244	2,074	2,924
Cash, cash equivalents and restricted cash at end of period	$	502	273	1,944	2,719