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, 2016

Condensed Financial Information of Parent Company Only Disclosure [Abstract]


		Attributed (note 1)
	Liberty		Liberty	Liberty
	SiriusXM		Braves	Media	Inter-Group	Consolidated
	Group		Group	Group	Eliminations	Liberty
	amounts in millions
Assets
Current assets:
Cash and cash equivalents	$	526	149	554	—	1,229
Trade and other receivables, net		225	48	3	—	276
Other current assets		232	27	4	—	263
Total current assets		983	224	561	—	1,768
Intergroup interest in the Liberty Braves Group (note 2)		—	—	133	(133)	—
Investments in available-for-sale securities and other cost investments (note 3)		—	8	484	—	492
Investments in affiliates, accounted for using the equity method (note 4)		166	52	905	—	1,123

Property and equipment, at cost		1,985	647	160	—	2,792
Accumulated depreciation		(637)	(45)	(68)	—	(750)
		1,348	602	92	—	2,042

Intangible assets not subject to amortization
Goodwill		14,165	180	—	—	14,345
FCC licenses		8,600	—	—	—	8,600
Other		930	143	—	—	1,073
		23,695	323	—	—	24,018
Intangible assets subject to amortization, net		1,004	64	—	—	1,068
Other assets		140	12	226	—	378
Total assets	$	27,336	1,285	2,401	(133)	30,889

Liabilities and Equity
Current liabilities:
Intergroup payable (receivable) (note 7)	$	3	(1)	(2)	—	—
Accounts payable and accrued liabilities		715	72	21	—	808
Current portion of debt (note 5)		256	—	—	—	256
Deferred revenue		1,814	68	1	—	1,883
Other current liabilities		3	—	45	—	48
Total current liabilities		2,791	139	65	—	2,995
Long-term debt (note 5)		6,107	137	1,031	—	7,275
Deferred income tax liabilities		1,796	27	29	—	1,852
Redeemable intergroup interest (note 2)		—	133	—	(133)	—
Other liabilities		272	388	56	—	716
Total liabilities		10,966	824	1,181	(133)	12,838
Equity / Attributed net assets		9,980	447	1,220	—	11,647
Noncontrolling interests in equity of subsidiaries		6,390	14	—	—	6,404
Total liabilities and equity	$	27,336	1,285	2,401	(133)	30,889

STATEMENT OF OPERATIONS INFORMATION

Three months ended June 30, 2016


		Attributed (note 1)
	Liberty		Liberty	Liberty
	SiriusXM		Braves	Media	Consolidated
	Group		Group	Group	Liberty
	amounts in millions
Revenue:
Subscriber revenue	$	1,032	—	—	1,032
Other revenue		203	131	—	334
Total revenue		1,235	131	—	1,366
Operating costs and expenses, including stock-based compensation (note 6):
Cost of subscriber services (exclusive of depreciation shown separately below):
Revenue share and royalties		264	—	—	264
Programming and content		83	—	—	83
Customer service and billing		94	—	—	94
Other		45	—	—	45
Subscriber acquisition costs		129	—	—	129
Other operating expenses		20	102	—	122
Selling, general and administrative		180	19	9	208
Depreciation and amortization		77	13	3	93
		892	134	12	1,038
Operating income (loss)		343	(3)	(12)	328
Other income (expense):
Interest expense		(86)	—	(4)	(90)
Share of earnings (losses) of affiliates, net		2	2	14	18
Realized and unrealized gains (losses) on financial instruments, net		—	—	(32)	(32)
Unrealized gains (losses) on intergroup interest (note 2)		—	27	(27)	—
Other, net		—	(1)	6	5
		(84)	28	(43)	(99)
Earnings (loss) before income taxes		259	25	(55)	229
Income tax (expense) benefit		(99)	—	10	(89)
Net earnings (loss)		160	25	(45)	140
Less net earnings (loss) attributable to the noncontrolling interests		60	—	—	60
Net earnings (loss) attributable to Liberty stockholders	$	100	25	(45)	80

STATEMENT OF OPERATIONS INFORMATION

Three months ended June 30, 2015


		Attributed (note 1)
	Liberty		Liberty	Liberty
	SiriusXM		Braves	Media	Consolidated
	Group		Group	Group	Liberty
	amounts in millions
Revenue:
Subscriber revenue	$	936	—	—	936
Other revenue		183	103	—	286
Total revenue		1,119	103	—	1,222
Operating costs and expenses, including stock-based compensation (note 6):
Cost of subscriber services (exclusive of depreciation shown separately below):
Revenue share and royalties		331	—	—	331
Programming and content		61	—	—	61
Customer service and billing		94	—	—	94
Other		34	—	—	34
Subscriber acquisition costs		137	—	—	137
Other operating expenses		18	85	—	103
Selling, general and administrative		169	15	15	199
Depreciation and amortization		81	9	2	92
		925	109	17	1,051
Operating income (loss)		194	(6)	(17)	171
Other income (expense):
Interest expense		(76)	(1)	(6)	(83)
Share of earnings (losses) of affiliates, net		3	2	(5)	—
Realized and unrealized gains (losses) on financial instruments, net		—	—	40	40
Other, net		—	—	6	6
		(73)	1	35	(37)
Earnings (loss) before income taxes		121	(5)	18	134
Income tax (expense) benefit		(30)	1	(6)	(35)
Net earnings (loss)		91	(4)	12	99
Less net earnings (loss) attributable to the noncontrolling interests		38	—	—	38
Net earnings (loss) attributable to Liberty stockholders	$	53	(4)	12	61

STATEMENT OF OPERATIONS INFORMATION

Six months ended June 30, 2016


		Attributed (note 1)
	Liberty		Liberty	Liberty
	SiriusXM		Braves	Media	Consolidated
	Group		Group	Group	Liberty
	amounts in millions
Revenue:
Subscriber revenue	$	2,041	—	—	2,041
Other revenue		394	135	—	529
Total revenue		2,435	135	—	2,570
Operating costs and expenses, including stock-based compensation (note 6):
Cost of subscriber services (exclusive of depreciation shown separately below):
Revenue share and royalties		516	—	—	516
Programming and content		168	—	—	168
Customer service and billing		191	—	—	191
Other		78	—	—	78
Subscriber acquisition costs		261	—	—	261
Other operating expenses		39	130	—	169
Selling, general and administrative		347	33	29	409
Legal settlement, net		—	—	(511)	(511)
Depreciation and amortization		156	18	6	180
		1,756	181	(476)	1,461
Operating income (loss)		679	(46)	476	1,109
Other income (expense):
Interest expense		(167)	—	(7)	(174)
Share of earnings (losses) of affiliates, net		9	4	(7)	6
Realized and unrealized gains (losses) on financial instruments, net		—	—	(40)	(40)
Unrealized gains (losses) on intergroup interest (note 2)		—	27	(27)	—
Other, net		1	(1)	12	12
		(157)	30	(69)	(196)
Earnings (loss) before income taxes		522	(16)	407	913
Income tax (expense) benefit		(199)	16	(163)	(346)
Net earnings (loss)		323	—	244	567
Less net earnings (loss) attributable to the noncontrolling interests		122	—	—	122
Net earnings (loss) attributable to Liberty stockholders	$	201	—	244	445

STATEMENT OF OPERATIONS INFORMATION

Six months ended June 30, 2015


		Attributed (note 1)
	Liberty		Liberty	Liberty
	SiriusXM		Braves	Media	Consolidated
	Group		Group	Group	Liberty
	amounts in millions
Revenue:
Subscriber revenue	$	1,843	—	—	1,843
Other revenue		352	108	—	460
Total revenue		2,195	108	—	2,303
Operating costs and expenses, including stock-based compensation (note 6):
Cost of subscriber services (exclusive of depreciation shown separately below):
Revenue share and royalties		544	—	—	544
Programming and content		123	—	—	123
Customer service and billing		186	—	—	186
Other		65	—	—	65
Subscriber acquisition costs		259	—	—	259
Other operating expenses		35	98	—	133
Selling, general and administrative		341	28	32	401
Depreciation and amortization		158	14	4	176
		1,711	140	36	1,887
Operating income (loss)		484	(32)	(36)	416
Other income (expense):
Interest expense		(149)	(1)	(10)	(160)
Share of earnings (losses) of affiliates, net		(4)	4	(37)	(37)
Realized and unrealized gains (losses) on financial instruments, net		—	—	12	12
Other, net		—	—	8	8
		(153)	3	(27)	(177)
Earnings (loss) before income taxes		331	(29)	(63)	239
Income tax (expense) benefit		(155)	10	24	(121)
Net earnings (loss)		176	(19)	(39)	118
Less net earnings (loss) attributable to the noncontrolling interests		76	—	—	76
Net earnings (loss) attributable to Liberty stockholders	$	100	(19)	(39)	42

Condensed Statement of Cash Flows

STATEMENT OF CASH FLOWS INFORMATION

Six months ended June 30, 2016


		Attributed (note 1)
	Liberty		Liberty	Liberty
	SiriusXM		Braves	Media	Consolidated
	Group		Group	Group	Liberty
	amounts in millions
Cash flows from operating activities:
Net earnings (loss)	$	323	—	244	567
Adjustments to reconcile net earnings to net cash provided by operating activities:
Depreciation and amortization		156	18	6	180
Stock-based compensation		54	4	10	68
Excess tax benefit from stock-based compensation		(1)	—	(74)	(75)
Share of (earnings) loss of affiliates, net		(9)	(4)	7	(6)
Unrealized (gains) losses on intergroup interest, net		—	(27)	27	—
Realized and unrealized (gains) losses on financial instruments, net		—	—	40	40
Deferred income tax expense (benefit)		190	(20)	10	180
Intergroup tax allocation		3	(4)	1	—
Other charges (credits), net		26	1	(4)	23
Changes in operating assets and liabilities
Current and other assets		7	(60)	2	(51)
Payables and other liabilities		34	111	116	261
Net cash provided (used) by operating activities		783	19	385	1,187
Cash flows from investing activities:
Investments in and loans to cost and equity investees		—	(8)	(3)	(11)
Cash proceeds from sale of investments		—	—	58	58
Capital expended for property and equipment		(67)	(93)	—	(160)
Purchases of short term investments and other marketable securities		—	—	(258)	(258)
Sales of short term investments and other marketable securities		—	—	273	273
Other investing activities, net		(4)	(10)	26	12
Net cash provided (used) by investing activities		(71)	(111)	96	(86)
Cash flows from financing activities:
Borrowings of debt		1,387	66	—	1,453
Repayments of debt		(744)	(71)	(1)	(816)
Intergroup (payments) receipts		9	(34)	25	—
Shares repurchased by subsidiary		(996)	—	—	(996)
Proceeds from Liberty Braves common stock rights offering		—	203	—	203
Excess tax benefit from stock-based compensation		1	—	74	75
Taxes paid in lieu of shares issued for stock-based compensation		(6)	—	(4)	(10)
Other financing activities, net		51	64	(97)	18
Net cash provided (used) by financing activities		(298)	228	(3)	(73)
Net increase (decrease) in cash and cash equivalents		414	136	478	1,028
Cash and cash equivalents at beginning of period		112	13	76	201
Cash and cash equivalents at end of period	$	526	149	554	1,229

STATEMENT OF CASH FLOWS INFORMATION

Six months ended June 30, 2015


		Attributed (note 1)
	Liberty		Liberty	Liberty
	SiriusXM		Braves	Media	Consolidated
	Group		Group	Group	Liberty
	amounts in millions
Cash flows from operating activities:
Net earnings (loss)	$	176	(19)	(39)	118
Adjustments to reconcile net earnings to net cash provided by operating activities:
Depreciation and amortization		158	14	4	176
Stock-based compensation		74	2	15	91
Excess tax benefit from stock-based compensation		(12)	—	(23)	(35)
Share of (earnings) loss of affiliates, net		4	(4)	37	37
Realized and unrealized (gains) losses on financial instruments, net		—	—	(12)	(12)
Deferred income tax expense (benefit)		139	(7)	(51)	81
Intergroup tax allocation		(2)	(3)	5	—
Intergroup tax (payments) receipts		—	1	(1)	—
Other charges (credits), net		11	2	2	15
Changes in operating assets and liabilities
Current and other assets		(136)	(26)	6	(156)
Payables and other liabilities		279	54	34	367
Net cash provided (used) by operating activities		691	14	(23)	682
Cash flows from investing activities:
Cash proceeds from dispositions of investments		—	—	149	149
Proceeds (payments) from settlement of financial instruments, net		—	—	(19)	(19)
Capital expended for property and equipment		(61)	(78)	—	(139)
Purchases of short term investments and other marketable securities		—	—	(32)	(32)
Sales of short term investments and other marketable securities		—	—	180	180
Other investing activities, net		—	2	(24)	(22)
Net cash provided (used) by investing activities		(61)	(76)	254	117
Cash flows from financing activities:
Borrowings of debt		1,258	85	—	1,343
Repayments of debt		(661)	—	—	(661)
Intergroup (payments) receipts		7	—	(7)	—
Repurchases of Liberty common stock		—	—	(300)	(300)
Shares repurchased by subsidiary		(1,084)	—	—	(1,084)
Taxes paid in lieu of shares issued for stock-based compensation		(16)	—	(11)	(27)
Excess tax benefit from stock-based compensation		12	—	23	35
Other financing activities, net		—	—	4	4
Net cash provided (used) by financing activities		(484)	85	(291)	(690)
Net increase (decrease) in cash and cash equivalents		146	23	(60)	109
Cash and cash equivalents at beginning of period		148	11	522	681
Cash and cash equivalents at end of period	$	294	34	462	790