Quarterly report pursuant to Section 13 or 15(d)

SEGMENT REPORTING (Tables)

v3.19.3
SEGMENT REPORTING (Tables)
9 Months Ended
Sep. 30, 2019
Segment Reporting [Abstract]  
Schedule of segment reporting
Summary financial data on the Company’s segments is given below, together with a reconciliation to the same data for the Company as a whole:
 
 
Entertainment Golf
 
Traditional Golf
 
Corporate
 
Total
Nine Months Ended September 30, 2019
 
 
 
 
 
 
 
 
Revenues
 
 
 
 
 
 
 
 
Golf operations
 
$
2,720

 
$
160,169

 
$

 
$
162,889

Sales of food and beverages
 
4,167

 
33,193

 

 
37,360

Total revenues
 
6,887

 
193,362

 

 
200,249

Operating costs
 
 
 
 
 
 
 
 
Operating expenses (A)
 
6,807

 
163,090

 

 
169,897

Cost of sales - food and beverages
 
1,106

 
9,352

 

 
10,458

General and administrative expense (B)
 
10,349

 
12,713

 
10,977

 
34,039

General and administrative expense - acquisition and transaction expenses (C)
 
3,094

 
539

 
309

 
3,942

Depreciation and amortization
 
3,119

 
12,528

 
122

 
15,769

Pre-opening costs (D)
 
7,229

 

 

 
7,229

Impairment and other losses
 
1,270

 
4,807

 

 
6,077

Realized and unrealized (gain) on investments
 

 

 

 

Total operating costs
 
32,974

 
203,029

 
11,408

 
247,411

Operating loss
 
(26,087
)
 
(9,667
)
 
(11,408
)
 
(47,162
)
Other income (expenses)
 
 
 
 
 
 
 
 
Interest and investment income
 
311

 
84

 
404

 
799

Interest expense (E)
 
(245
)
 
(6,140
)
 
(1,856
)
 
(8,241
)
Capitalized interest (E)
 

 
583

 
1,650

 
2,233

Other (loss) income, net
 
(7
)
 
11,582

 
1,380

 
12,955

Total other income (expenses)
 
59

 
6,109

 
1,578

 
7,746

Income tax expense
 

 

 
162

 
162

Net loss
 
(26,028
)
 
(3,558
)
 
(9,992
)
 
(39,578
)
Preferred dividends
 

 

 
(4,185
)
 
(4,185
)
Loss applicable to common stockholders
 
$
(26,028
)
 
$
(3,558
)
 
$
(14,177
)
 
$
(43,763
)
Summary segment financial data (continued).
 
 
Entertainment Golf
 
Traditional Golf
 
Corporate
 
Total
Three Months Ended September 30, 2019
 
 
 
 
 
 
 
 
Revenues
 
 
 
 
 
 
 
 
Golf operations
 
$
1,431

 
$
59,366

 
$

 
$
60,797

Sales of food and beverages
 
2,256

 
11,629

 

 
13,885

Total revenues
 
3,687

 
70,995

 

 
74,682

Operating costs
 
 
 
 
 
 
 
 
Operating expenses (A)
 
3,202

 
60,252

 

 
63,454

Cost of sales - food and beverages
 
604

 
3,252

 

 
3,856

General and administrative expense (B)
 
3,433

 
4,500

 
2,467

 
10,400

General and administrative expense - acquisition and transaction expenses (C)
 
2,117

 
207

 
31

 
2,355

Depreciation and amortization
 
1,450

 
4,192

 
81

 
5,723

Pre-opening costs (D)
 
4,350

 

 

 
4,350

Impairment and other losses
 
1,152

 
720

 

 
1,872

Realized and unrealized loss on investments
 

 

 

 

Total operating costs
 
16,308

 
73,123

 
2,579

 
92,010

Operating loss
 
(12,621
)
 
(2,128
)
 
(2,579
)
 
(17,328
)
Other income (expenses)
 
 
 
 
 
 
 
 
Interest and investment income
 
64

 
24

 
103

 
191

Interest expense (E)
 
(103
)
 
(2,088
)
 
(599
)
 
(2,790
)
Capitalized interest (E)
 

 
169

 
560

 
729

Other (loss) income, net
 

 
6,896

 
445

 
7,341

Total other income (expenses)
 
(39
)
 
5,001

 
509

 
5,471

Income tax expense
 

 

 
162

 
162

Net (loss) income
 
(12,660
)
 
2,873

 
(2,232
)
 
(12,019
)
Preferred dividends
 

 

 
(1,395
)
 
(1,395
)
(Loss) income applicable to common stockholders
 
$
(12,660
)
 
$
2,873

 
$
(3,627
)
 
$
(13,414
)

 
 
Entertainment Golf
 
Traditional Golf
 
Corporate (F)
 
Total
September 30, 2019
 
 
 
 
 
 
 
 
Total assets
 
176,366

 
319,279

 
40,261

 
535,906

Total liabilities
 
42,841

 
346,593

 
62,816

 
452,250

Preferred stock
 

 

 
61,583

 
61,583

Equity attributable to common stockholders
 
$
133,525

 
$
(27,314
)
 
$
(84,138
)
 
$
22,073

 
 
 
 
 
 
 
 
 
Additions to property and equipment (including finance leases) during the nine months ended September 30, 2019
 
$
56,977

 
$
10,661

 
$
1,733

 
$
69,371


Summary segment financial data (continued).

 
 
Entertainment Golf
 
Traditional Golf
 
Corporate
 
Total
Nine Months Ended September 30, 2018
 
 
 
 
 
 
 
 
Revenues
 
 
 
 
 
 
 
 
Golf operations
 
$
1,565

 
$
190,067

 
$

 
$
191,632

Sales of food and beverages
 
1,782

 
51,669

 

 
53,451

Total revenues
 
3,347

 
241,736

 

 
245,083

Operating costs
 
 
 
 
 
 
 
 
Operating expenses (A)
 
3,599

 
191,152

 

 
194,751

Cost of sales - food and beverages
 
432

 
14,981

 

 
15,413

General and administrative expense (B)
 
4,515

 
12,781

 
9,448

 
26,744

General and administrative expense - acquisition and transaction expenses (C)
 
2,024

 
706

 
137

 
2,867

Depreciation and amortization
 
1,148

 
13,198

 
12

 
14,358

Pre-opening costs (D)
 
2,048

 

 

 
2,048

Impairment and other losses
 

 
5,498

 
147

 
5,645

Realized and unrealized (gain) on investments
 

 
(283
)
 

 
(283
)
Total operating costs
 
13,766

 
238,033

 
9,744

 
261,543

Operating (loss) income
 
(10,419
)
 
3,703

 
(9,744
)
 
(16,460
)
Other income (expenses)
 
 
 
 
 
 
 
 
Interest and investment income
 
196

 
144

 
1,042

 
1,382

Interest expense (E)
 

 
(12,149
)
 
(1,661
)
 
(13,810
)
Capitalized interest (E)
 

 
580

 
290

 
870

Other (loss) income, net
 

 
(8,715
)
 
1,558

 
(7,157
)
Total other income (expenses)
 
196

 
(20,140
)
 
1,229

 
(18,715
)
Income tax expense
 

 

 

 

Net loss
 
(10,223
)
 
(16,437
)
 
(8,515
)
 
(35,175
)
Preferred dividends
 

 

 
(4,185
)
 
(4,185
)
Loss applicable to common stockholders
 
$
(10,223
)
 
$
(16,437
)
 
$
(12,700
)
 
$
(39,360
)


Summary segment financial data (continued).
 
 
Entertainment Golf
 
Traditional Golf
 
Corporate
 
Total
Three Months Ended September 30, 2018
 
 
 
 
 
 
 
 
Revenues
 
 
 
 
 
 
 
 
Golf operations
 
$
710

 
$
68,218

 
$

 
$
68,928

Sales of food and beverages
 
830

 
17,661

 

 
18,491

Total revenues
 
1,540

 
85,879

 

 
87,419

Operating costs
 
 
 
 
 
 
 
 
Operating expenses (A)
 
1,765

 
68,565

 

 
70,330

Cost of sales - food and beverages
 
204

 
4,976

 

 
5,180

General and administrative expense (B)
 
1,878

 
4,313

 
3,189

 
9,380

General and administrative expense - acquisition and transaction expenses (C)
 
570

 
199

 

 
769

Depreciation and amortization
 
614

 
3,877

 
4

 
4,495

Pre-opening costs (D)
 
245

 

 

 
245

Impairment and other losses
 

 
4,172

 

 
4,172

Realized and unrealized loss on investments
 

 
48

 

 
48

Total operating costs
 
5,276

 
86,150

 
3,193

 
94,619

Operating loss
 
(3,736
)
 
(271
)
 
(3,193
)
 
(7,200
)
Other income (expenses)
 
 
 
 
 
 
 
 
Interest and investment income
 
85

 
48

 
334

 
467

Interest expense (E)
 

 
(4,050
)
 
(597
)
 
(4,647
)
Capitalized interest (E)
 

 
238

 
119

 
357

Other (loss) income, net
 

 
(3,548
)
 
496

 
(3,052
)
Total other income (expenses)
 
85

 
(7,312
)
 
352

 
(6,875
)
Income tax expense
 

 

 

 

Net loss
 
(3,651
)
 
(7,583
)
 
(2,841
)
 
(14,075
)
Preferred dividends
 

 

 
(1,395
)
 
(1,395
)
Loss applicable to common stockholders
 
$
(3,651
)
 
$
(7,583
)
 
$
(4,236
)
 
$
(15,470
)
(A)
Operating expenses include rental expenses recorded under operating leases for carts and equipment in the amount of $0.2 million and $0.7 million for the three and nine months ended September 30, 2019, respectively, and $0.5 million and $1.6 million for the three and nine months ended September 30, 2018, respectively.
(B)
General and administrative expenses include severance expense in the amount of $0.5 million and $1.6 million for the three and nine months ended September 30, 2019, respectively, and zero and $0.1 million for the three and nine months ended September 30, 2018, respectively.
(C)
Acquisition and transaction expenses include costs related to completed and potential acquisitions and transactions, which may include advisory, legal, accounting and other professional or consulting fees.
(D)
Pre-opening costs are expensed as incurred and consist primarily of site-related marketing expenses, lease expense, employee payroll, travel and related expenses, training costs, food, beverage and other operating expenses incurred prior to opening an Entertainment Golf venue.
(E)
Interest expense includes the accretion of membership deposit liabilities in the amount of $1.8 million and $5.4 million for the three and nine months ended September 30, 2019, respectively, and $1.7 million and $5.1 million for the three and nine months ended September 30, 2018, respectively. Interest expense and capitalized interest are combined in interest expense, net on the Consolidated Statements of Operations.
(F)
Total assets in the corporate segment include an equity method investment in the amount of $23.6 million as of September 30, 2019 recorded in other investments on the Consolidated Balance Sheets.