Quarterly report [Sections 13 or 15(d)]

Discontinued Operations

v3.25.1
Discontinued Operations
3 Months Ended
Mar. 31, 2025
Discontinued Operations  
Discontinued Operations

(2) Discontinued Operations

On September 9, 2024, Liberty completed the split-off of its wholly owned subsidiary, Liberty Sirius XM Holdings (the “Liberty Sirius XM Holdings Split-Off”). The Liberty Sirius XM Holdings Split-Off was accomplished through the

redemption by the Company of each outstanding share of Liberty SiriusXM common stock in exchange for 0.8375 of a share of Liberty Sirius XM Holdings common stock, with cash paid in lieu of fractional shares. Liberty Sirius XM Holdings was comprised of the businesses, assets and liabilities attributed to the Liberty SiriusXM Group immediately prior to the Liberty Sirius XM Holdings Split-Off. The Liberty Sirius XM Holdings Split-Off was intended to be tax-free to holders of Liberty SiriusXM common stock (except with respect to cash received in lieu of fractional shares).

Following the Liberty Sirius XM Holdings Split-Off, on September 9, 2024, a wholly owned subsidiary of Liberty Sirius XM Holdings merged with and into Sirius XM Holdings, with Sirius XM Holdings surviving the merger as a wholly owned subsidiary of Liberty Sirius XM Holdings (the “Merger” and, together with the Liberty Sirius XM Holdings Split-Off, the “Transactions”). As a result of the Transactions, Liberty Sirius XM Holdings became an independent public company separate from Liberty.

As disclosed in note 1, Liberty Sirius XM Holdings is presented as a discontinued operation in the Company’s condensed consolidated financial statements as the Liberty Sirius XM Holdings Split-Off represents a strategic shift that had a major effect on the Company’s operations and financial results.

The following table provided details about the major classes of line items constituting earnings (loss) from discontinued operations, net of tax as presented in the condensed consolidated statements of operations.

Three months ended

March 31, 2024

amounts in millions

Revenue

$

2,162

Cost of Sirius XM Holdings services (exclusive of depreciation shown separately below)

1,037

Operating expense

 

176

Selling, general and administrative

 

372

Impairment, restructuring and acquisition costs

13

Depreciation and amortization

 

155

 

1,753

Operating income (loss)

 

409

Other income (expense):

Interest expense

 

(129)

Other, net

 

29

 

(100)

Earnings (loss) from discontinued operations before income taxes

 

309

Income tax (expense) benefit

 

(68)

Net earnings (loss) from discontinued operations

 

241

Less net earnings (loss) from discontinued operations attributable to the noncontrolling interests

 

42

Net earnings (loss) from discontinued operations attributable to Liberty stockholders

$

199