Vistaprint 2013 Annual Report Download - page 82

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15. Segment Information
Effective July 1, 2012, we changed our internal reporting structure to reorganize primarily on a functional
basis in order to best support our long-term growth strategy. This reorganization has resulted in revised allocations
of costs within our reportable segments. The information is reported internally to our Chief Executive Officer, who
constitutes our Chief Operating Decision Maker (“CODM”) for purposes of making decisions about how to allocate
resources and assess performance. Beginning the quarter ended September 30, 2012, the CODM reviews revenue
and the revised income or loss from operations based on three geographic operating segments: North America,
Europe, and Most of World, which includes our historical Asia Pacific business and global emerging markets.
Historic results included in this report have been reclassified where applicable to conform to this new operating
segment structure.
Consistent with our historical reporting, the costs associated with shared central functions are not allocated
to the reporting segments and instead are reported and disclosed under the caption “Corporate and global
functions,” which includes expenses related to corporate support functions, software and manufacturing
engineering, and the global component of our IT operations and customer service, sales and design support. As a
result of our July 1, 2012 reorganization, the cost of our North America and Europe legal, human resource, and
facilities management functions were reclassified to "Corporate and global functions," whereas, the cost of these
same functions outside North America and Europe remains in our Most of World segment. We do not allocate non-
operating income to our segment results. There are no internal revenue transactions between our reporting
segments and all intersegment transfers are recorded at cost for presentation to the CODM, for example, products
manufactured by our Venlo, the Netherlands facility for the Most of World segment; therefore, there is no
intercompany profit or loss recognized on these transactions. At this time, we do not fully allocate support costs
across operating segments or corporate and global functions, which may limit the comparability of income from
operations by segment. Our balance sheet information is not presented to the CODM on an allocated basis and
therefore we do not present asset information by segment.
Revenue by segment and geography is based on the country-specific website through which the
customer’s order was transacted. The following tables set forth revenue and income from operations by operating
segment.
Year Ended June 30,
2013 2012 2011
Revenue:
North America. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 644,326 $ 543,860 $ 452,770
Europe . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 452,202 415,213 321,716
Most of World . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 70,950 61,196 42,523
Total revenue . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 1,167,478 $ 1,020,269 $ 817,009
Year Ended June 30,
2013 2012 2011
Income (loss) from operations:
North America. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 204,632 $ 165,803 $ 149,010
Europe . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 102,196 99,059 99,969
Most of World . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . (8,441) 1,728 6,420
Corporate and global functions. . . . . . . . . . . . . . . . . . . . . . . . . . . (252,263) (211,416) (162,319)
Total income from operations. . . . . . . . . . . . . . . . . . . . . . . . . $ 46,124 $ 55,174 $ 93,080
Form 10-K