Hemisphere Media (HMTV) 10-Q 10 May 18 2018 Q1 Quarterly report Financial data

Document and Entity Information

Document and Entity Information - shares	3 Months Ended
	Mar. 31, 2018	May 10, 2018
Entity Registrant Name	HEMISPHERE MEDIA GROUP, INC.
Entity Central Index Key	1,567,345
Document Type	10-Q
Document Period End Date	Mar. 31, 2018
Amendment Flag	false
Current Fiscal Year End Date	--12-31
Entity Current Reporting Status	Yes
Entity Filer Category	Accelerated Filer
Document Fiscal Year Focus	2,018
Document Fiscal Period Focus	Q1
Common Class A
Entity Common Stock, Shares Outstanding		19,711,064
Common Class B
Entity Common Stock, Shares Outstanding		19,720,381

Condensed Consolidated Balance

Condensed Consolidated Balance Sheets - USD ($) $ in Thousands	Mar. 31, 2018	Dec. 31, 2017
Current Assets
Cash	$ 107,377	$ 124,299
Accounts receivable, net of allowance for doubtful accounts of $2,413 and $2,327, respectively	22,409	20,007
Due from related parties	2,397	2,169
Programming rights	7,605	7,723
Prepaids and other current assets	12,242	12,517
Total current assets	152,030	166,715
Programming rights, net of current portion	12,637	11,520
Property and equipment, net	25,416	24,433
Broadcast license	41,356	41,356
Goodwill	164,887	164,887
Other intangibles, net	48,380	51,661
Deferred income taxes	4,471	4,802
Equity method investments	38,481	30,907
Interest rate swap	2,253	773
Other assets	487	832
Total Assets	490,398	497,886
Current Liabilities
Accounts payable	4,303	3,465
Due to related parties	2,557	1,885
Accrued agency commissions	853	4,064
Accrued compensation and benefits	3,942	5,540
Accrued marketing	5,227	4,997
Other accrued expenses	3,438	3,795
Programming rights payable	3,953	2,920
Investee losses in excess of investment	5,372	2,806
Current portion of long-term debt	534	2,133
Total current liabilities	30,179	31,605
Programming rights payable, net of current portion	803	1,101
Long-term debt, net of current portion	205,121	205,509
Deferred income taxes	18,763	18,763
Defined benefit pension obligation	2,055	2,004
Total Liabilities	256,921	258,982
Stockholders' Equity
Preferred stock, $0.0001 par value; 50,000,000 shares authorized; 0 shares issued and outstanding at March 31, 2018 and December 31, 2017
Additional paid-in capital	266,345	265,329
Treasury stock, at cost 5,393,331 and 5,390,107 at March 31, 2018 and December 31, 2017, respectively	(57,337)	(57,303)
Retained earnings	22,842	30,401
Accumulated other comprehensive income	1,622	472
Total Stockholders' Equity	233,477	238,904
Total Liabilities and Stockholders' Equity	490,398	497,886
Common Class A
Stockholders' Equity
Common stock	3	3
Treasury stock, at cost 5,393,331 and 5,390,107 at March 31, 2018 and December 31, 2017, respectively	(21,900)
Common Class B
Stockholders' Equity
Common stock	$ 2	$ 2

Condensed Consolidated Balance3

Condensed Consolidated Balance Sheets (Parenthetical) - USD ($) $ in Thousands	Mar. 31, 2018	Dec. 31, 2017
Accounts receivable, allowance for doubtful accounts	$ 2,413	$ 2,327
Preferred stock, par value (in dollars per share)	$ 0.0001	$ 0.0001
Preferred stock, shares authorized	50,000,000	50,000,000
Preferred stock, shares issued	0	0
Preferred stock, shares outstanding	0	0
Treasury stock, shares	5,393,331	5,390,107
Common Class A
Common stock, par value (in dollars per share)	$ 0.0001	$ 0.0001
Common stock, shares authorized	100,000,000	100,000,000
Common stock, shares issued	25,173,137	25,171,433
Treasury stock, shares	1,800,000
Common Class B
Common stock, par value (in dollars per share)	$ 0.0001	$ 0.0001
Common stock, shares authorized	33,000,000	33,000,000
Common stock, shares issued	20,800,998	20,800,998
Common stock, shares outstanding	20,800,998	20,800,998

Condensed Consolidated Statemen

Condensed Consolidated Statements of Operations - USD ($) shares in Thousands, $ in Thousands	3 Months Ended
	Mar. 31, 2018	Mar. 31, 2017
Condensed Consolidated Statements of Operations
Net revenues	$ 29,035	$ 33,159
Operating Expenses:
Cost of revenues	9,427	10,245
Selling, general and administrative	10,584	9,492
Depreciation and amortization	3,997	4,115
Other expenses	233	2,250
Gain on disposition of assets	(3)
Total operating expenses	24,238	26,102
Operating income	4,797	7,057
Other Expenses:
Interest expense, net	(2,884)	(2,628)
Loss on equity method investments	(9,795)
Total other expense	(12,679)	(2,628)
(Loss) income before income taxes	(7,882)	4,429
Income tax benefit (expense)	323	(1,684)
Net (loss) income	$ (7,559)	$ 2,745
(Loss) earnings per share:
Basic (in dollars per share)	$ (0.19)	$ 0.07
Diluted (in dollars per share)	$ (0.19)	$ 0.07
Weighted average shares outstanding:
Basic (in shares)	38,955	40,514
Diluted (in shares)	38,955	40,760

Condensed Consolidated Stateme5

Condensed Consolidated Statement of Comprehensive (Loss) Income - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2018	Mar. 31, 2017
Condensed Consolidated Statement of Comprehensive (Loss) Income
Net (loss) income	$ (7,559)	$ 2,745
Change in fair value of interest rate swap, net of income taxes	1,150
Comprehensive (loss) income	$ (6,409)	$ 2,745

Condensed Consolidated Stateme6

Condensed Consolidated Statements of Changes in Stockholders' Equity - 3 months ended Mar. 31, 2018 - USD ($) shares in Thousands, $ in Thousands	Common StockCommon Class A	Common StockCommon Class B	Additional Paid-In Capital	Treasury StockCommon Class A	Retained Earnings	Accumulated Other Comprehensive Loss	Total
Balance at the beginning of the period at Dec. 31, 2017	$ 3	$ 2	$ 265,329	$ (57,303)	$ 30,401	$ 472	$ 238,904
Balance at the beginning of the period (in shares) at Dec. 31, 2017	25,171	20,801
Condensed Consolidated Statements of Changes in Stockholders' Equity
Net loss					(7,559)		(7,559)
Stock-based compensation			996				996
Repurchase of Class A common stock				(34)			(34)
Exercise of warrants	$ 0		20				20
Exercise of warrants (in shares)	2
Other comprehensive income, net of tax						1,150	1,150
Balance at the end of the period at Mar. 31, 2018	$ 3	$ 2	$ 266,345	$ (57,337)	$ 22,842	$ 1,622	$ 233,477
Balance at the end of the period (in shares) at Mar. 31, 2018	25,173	20,801

Condensed Consolidated Stateme7

Condensed Consolidated Statements of Cash Flows - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2018	Mar. 31, 2017
Reconciliation of Net (Loss) Income to Net Cash Provided by Operating Activities:
Net (loss) income	$ (7,559)	$ 2,745
Adjustments to reconcile net (loss) income to net cash provided by operating activities:
Depreciation and amortization	3,997	4,115
Program amortization	2,490	3,463
Amortization of deferred financing costs and original issue discount	146	181
Stock-based compensation	996	1,070
Provision for bad debts	84	1
Gain on disposition of assets	(3)
Loss on equity method investments	9,795
Decrease (increase) in:
Accounts receivable	(2,486)	1,433
Due from related parties	(228)	99
Programming rights	(3,489)	(6,511)
Prepaids and other assets	(1,945)	1,693
(Decrease) increase in:
Accounts payable	838	(752)
Due to related parties	672	86
Accrued expenses	(4,991)	(6,569)
Programming rights payable	735	1,004
Taxes payable	55	1,248
Other liabilities	2,617	(293)
Net cash provided by operating activities	1,724	3,013
Cash Flows From Investing Activities:
Funding of equity method investments	(14,803)
Capital expenditures	(1,696)	(84)
Net cash used in investing activities	(16,499)	(84)
Cash Flows From Financing Activities:
Repayments of long-term debt	(2,133)	(533)
Financing fees		(1,114)
Purchase of treasury stock	(34)
Proceeds from exercise of warrants	20
Net cash used in financing activities	(2,147)	(1,647)
Net (decrease) increase in cash	(16,922)	1,282
Cash:
Beginning	124,299	163,090
Ending	107,377	164,372
Cash payments for:
Interest	$ 2,768	2,502
Income taxes		$ 47

Nature of business

Nature of business	3 Months Ended
	Mar. 31, 2018
Nature of business
Nature of business	Note 1. Nature of business Nature of business: The accompanying Unaudited Condensed Consolidated Financial Statements include the accounts of Hemisphere Media Group, Inc. (“Hemisphere” or the “Company”), the parent holding company of Cine Latino, Inc. (“Cinelatino”), WAPA Holdings, LLC (formerly known as InterMedia Español Holdings, LLC) (“WAPA Holdings”), and HMTV Cable, Inc., the parent company of the entities for the acquired networks consisting of Pasiones, Television Dominicana, and Centroamerica TV. Hemisphere was incorporated in Delaware on January 16, 2013, and consummated its initial public offering on April 4, 2013. In these notes, the terms “Company,” “we,” “us” or “our” mean Hemisphere and all subsidiaries included in our Unaudited Condensed Consolidated Financial Statements. Basis of presentation: The accompanying Unaudited Condensed Consolidated Financial Statements for Hemisphere and its subsidiaries have been prepared in accordance with accounting principles generally accepted in the United States of America (“GAAP”) for interim financial information and with the instructions to Form 10-Q and Article 10 of Regulation S-X. Accordingly, certain information and note disclosures normally included in annual financial statements prepared in accordance with GAAP have been condensed or omitted pursuant to those rules and regulations, although we believe that the disclosures made are adequate to make the information not misleading. In our opinion, all adjustments (consisting only of normal recurring adjustments) considered necessary for a fair statement have been included. Our financial condition as of, and operating results, for the three months ended March 31, 2018 are not necessarily indicative of the financial condition or results that may be expected for any future interim period or for the year ending December 31, 2018. These Unaudited Condensed Consolidated Financial Statements should be read in conjunction with the audited consolidated financial statements and notes thereto included in our Annual Report on Form 10-K for the year ended December 31, 2017. Net (loss) earnings per common share: Basic (loss) earnings per share (“EPS”) are computed by dividing income attributable to common stockholders by the number of weighted-average outstanding shares of common stock. Diluted EPS reflects the effect of the assumed exercise of stock options and vesting of restricted shares only in the periods in which such effect would have been dilutive. The following table sets forth the computation of the common shares outstanding used in determining basic and diluted EPS ( amounts in thousands, except per share amounts): Three Months Ended March 31, 2018 2017 Numerator for (loss) earnings per common share calculation: Net (loss) income $ ) $ Denominator for (loss) earnings per common share calculation: Weighted-average common shares, basic Effect of dilutive securities Stock options, restricted stock and warrants — Weighted-average common shares, diluted (Loss Per Share) Earnings Per Share Basic $ ) $ Diluted $ ) $ We apply the treasury stock method to measure the dilutive effect of our outstanding warrants, stock options and restricted stock awards and include the respective common share equivalents in the denominator of our diluted income per common share calculation. Per the Accounting Standards Codification (“ASC”) 260 accounting guidance, under the treasury stock method, the incremental shares (difference between the number of shares assumed issued and the number of shares assumed purchased) shall be included in the denominator of the diluted EPS computation (ASC 260-10-45-23). The assumed exercise only occurs when the warrants are “In the Money” (exercise price is lower than the average market price for the period). If the warrants are “Out of the Money” (exercise price is higher than the average market price for the period), the exercise is not assumed since the result would be anti-dilutive. Potentially dilutive securities representing 2.1 million shares of common stock as of the three months ended March 31, 2018 and March 31, 2017, respectively, were excluded from the computation of diluted income per common share for this period because their effect would have been anti-dilutive. The net income per share amounts are the same for our Class A common stock, par value $0.0001 per share (“Class A common stock”) and Class B common stock, par value $0.0001 per share (“Class B common stock”), because the holders of each class are legally entitled to equal per share distributions whether through dividends or in liquidation. As a result of the net loss for the three months ended March 31, 2018, 0.2 million outstanding awards were not included in the computation of diluted (loss) earnings per share because their effect was anti-dilutive. Use of estimates: In preparing these financial statements, management had to make estimates and assumptions that affected the reported amounts of assets and liabilities and the disclosures of contingent assets and liabilities as of the balance sheet dates, and the reported revenues and expenses for the three months ended March 31, 2018 and 2017. Such estimates are based on historical experience and other assumptions that are considered appropriate in the circumstances. However, actual results could differ from those estimates. Recently adopted Accounting Standards: On January 1, 2018, we adopted, on a modified retrospective basis, Financial Accounting Standards Board (the “FASB”) ASC Topic 606, Revenue from Contracts with Customers (“ASC 606”) (the “new revenue standard”), which provides accounting guidance that establishes a new revenue recognition framework in GAAP for all companies and industries. The core principle of the new revenue framework is that an entity should recognize revenue from the transfer of promised goods or services to customers in an amount that reflects the consideration the entity expects to receive for those goods or services. The revenue framework includes a five-step model to determine the timing and amount of revenue to recognize related to contracts with customers. In addition, this revenue framework requires new or expanded disclosures related to the amounts of revenue recognized and judgments made by companies when following this framework. The adoption of the new accounting guidance did not result in changes in the way the Company records subscriber and retransmission fees, advertising revenue or content licensing fees. Guidance pertaining to the evaluation of whether revenue should be presented on a gross or net basis was changed in connection with the new revenue standard and the application of such change has been made in the presentation of revenues in the consolidated financial statements. The adoption of the new revenue standard did not have a material impact to our unaudited statement of operations for the three months ended March 31, 2018, and did not have a material impact to our unaudited consolidated balance sheet as of March 31, 2018. Accounting guidance not yet adopted: In February 2018, the FASB issued Accounting Standards Update (“ASU”) 2018 02—Income Statement—Reporting Comprehensive Income (Topic 220): Reclassification of certain tax effects from Accumulated other comprehensive income . The amendments in this ASU apply to any entity that has items of other comprehensive income (“OCI”) for which the related tax effects are presented in OCI, as previously required by GAAP. This ASU allows a one time reclassification from OCI to Retained earnings for stranded tax effects resulting from the Tax Cuts and Jobs Act enacted on December 22, 2017. The amendments in this ASU are effective for all entities for annual periods beginning after December 31, 2018. Early adoption is permitted and the effect of the adoption should be reflected as of the beginning of the fiscal year of adoption. We are currently evaluating the impact of this Update on our consolidated financial statements. In August 2017, the FASB issued ASU 2017-12 — Derivatives and Hedging (Topic 815): Targeted Improvements to Accounting for Hedging Activities . The amendments in this ASU apply to any entity that elects to apply hedge accounting and is intended to better align an entity’s risk management activities and financial reporting for hedging relationships. The ASU amends effectiveness testing requirements, income statement presentation and disclosures and permits additional risk management strategies to qualify for hedge accounting. The amendments in this ASU are effective for fiscal years beginning after December 15, 2019. Early application is permitted; the effect of the adoption should be reflected as of the beginning of the fiscal year of adoption. We are currently evaluating the impact of this Update on our consolidated financial statements. In February 2016, the FASB issued ASU 2016 02—Leases (Topic 842). ASU 2016 02 amends the FASB ASC, creating Topic 842, Leases. Topic 842 affects any entity that enters into a lease, with specified scope exemptions, and supersedes Topic 840, Leases. The core principle of Topic 842 is that a lessee should recognize the assets and liabilities that arise from leases, including operating leases. The recognition, measurement and presentation of expenses and cash flows from a lease by a lessee have not changed significantly from previous GAAP. The principle difference from previous guidance is that the assets and liabilities arising from an operating lease should be recognized in the statement of financial position. The guidance will be effective for the first interim period of our 2019 fiscal year. Early application of the amendments in this update is permitted. We are currently evaluating the impact of this Update on our consolidated financial statements.

Revenue Recognition

Revenue Recognition	3 Months Ended
	Mar. 31, 2018
Revenue Recognition
Revenue Recognition	Note 2. Revenue Recognition We transitioned to the FASB ASC Topic 606, Revenue from Contracts with Customers (“ASC 606”), from ASC 605, Revenue Recognition , on January 1, 2018 using the modified retrospective method. Our condensed consolidated financial statements reflect the application of ASC 606 guidance beginning January 1, 2018, while our condensed consolidated financial statements for prior periods were prepared under ASC 605 guidance. There were no cumulative effects of our transition to ASC 606. For more information, see Note 1, “Basis of Presentation” of Notes to Unaudited Condensed Consolidated Financial Statements. The following table presents the revenues disaggregated by revenue source (amounts in thousands) Three months ended March 31, Revenues by type 2018 2017 Subscriber and Retransmission fees $ $ Advertising revenue Other revenue Total revenue $ $ The following is a description of principal activities from which we generate our revenue: Subscriber and Retransmission fees: We enter into arrangements with multi-channel video distributors, such as cable, satellite and telecommunications companies (referred to as “MVPDs”) to provide a continuous feed of our programming generally based on a per subscriber fee pursuant to multi-year contracts, referred to as “affiliation agreements”, which typically provide for annual rate increases. We have used the practical expedient related to the right to invoice and recognize revenue at the amount to which we have the right to invoice for services performed. The specific subscriber and retransmission fees we earn vary from period to period, distributor to distributor and also vary among our Networks, but are generally based upon the number of each distributor’s paying subscribers who receive our Networks. Changes in subscriber and retransmission fees are primarily derived from changes in contractual per subscriber rates charged for our Networks and changes in the number of subscribers. MVPDs report their subscriber numbers to us generally on a two month lag. We record revenue based on estimates of the number of subscribers utilizing the most recently received remittance reporting of each MVPD, which is consistent with our past practice and industry practice. Revenue is recognized on a month by month basis when the performance obligations to provide service to the MVPDs is satisfied. Payment is typically received within 60 days. Advertising revenue: Advertising revenues are generated from the sale of commercial time, which is typically sold pursuant to sale orders with advertisers providing for an agreed upon commitment and price per spot. We recognize revenue from the sale of advertising as performance obligations are satisfied upon airing of the advertising; therefore, revenue is recognized at a point in time when each advertising spot is transmitted. Agency fees are calculated based on a stated percentage applied to gross billing revenue for our advertising inventory and are reported as a reduction of advertising revenue. Payment is typically due and received within 30 days. Other revenue: Other revenues are derived primarily through the licensing of our content to third parties. We enter into agreements to license content and recognize revenue when the performance obligation is satisfied and control is transferred, which is generally upon delivery of the content. Comparison to Amounts if ASC 605 Had Been in Effect The following table reflects the impact of adoption of ASC 606 on our condensed consolidated statements of operations for the three months ended March 31, 2018 and the amounts as if the ASC 605 were still in effect (“ASC 605 Presentation”) (amounts in thousands) Three months ended March 31, 2018 ASC 606 ASC 605 Reported Reclassification Presentation Total revenue $ $ ) $ Operating expenses $ $ ) $ Operating income $ $ — $

Related party transactions

Related party transactions	3 Months Ended
	Mar. 31, 2018
Related party transactions
Related party transactions	Note 3. Related party transactions The Company has various agreements with MVS, a Mexican media and television conglomerate, which has directors and stockholders in common with the Company as follows: · An agreement through August 1, 2017, pursuant to which MVS provides Cinelatino with satellite and support services including origination, uplinking and satellite delivery of two feeds of Cinelatino’s channel (for U.S. and Latin America), master control and monitoring, dubbing, subtitling and close captioning, and other support services (the “Satellite and Support Services Agreement”). This agreement was amended on May 20, 2015, to expand the services MVS provides to Cinelatino to include commercial insertion and editing services to support advertising sales on Cinelatino’s U.S. feed. We continue to operate under the terms of this agreement while we negotiate the renewal. Expenses incurred under this agreement are included in cost of revenues in the accompanying unaudited condensed consolidated statements of operations. Total expenses incurred were $0.7 million and $0.6 million for each of the three months ended March 31, 2018 and 2017, respectively, and are included in cost of revenues. · An affiliation agreement through August 1, 2017, for the distribution and exhibition of Cinelatino’s programming service through Dish Mexico (d/b/a Comercializadora de Frecuencias Satelitales, S. de R.L. de C.V.), an MVS affiliate that transmits television programming services throughout Mexico. We continue to operate under the terms of this agreement while we negotiate the renewal. Total revenues recognized were $0.5 million and $0.6 million for the three months ended March 31, 2018 and 2017, respectively. Amounts due from MVS pursuant to the agreements noted above amounted to $2.4 million and $2.2 million at March 31, 2018 and December 31, 2017, respectively. Amounts due to MVS pursuant to the agreements noted above amounted to $2.6 million and $1.9 million at March 31, 2018 and December 31, 2017, respectively. We renewed a three-year consulting agreement effective April 9, 2016 with James M. McNamara, a member of the Company’s board of directors, to provide the development, production and maintenance of programming, affiliate relations, identification and negotiation of carriage opportunities, and the development, identification and negotiation of new business initiatives including sponsorship, new channels, direct-to-consumer programs and other interactive initiatives. Total expenses incurred under this agreement are included in selling, general and administrative expenses and amounted to $0.1 million for the three months ended March 31, 2018 and 2017. No amounts were due to this related party at March 31, 2018 and December 31, 2017. We have entered into programming agreements with Panamax Films, LLC (“Panamax”), an entity owned by James M. McNamara, for the licensing of three specific movie titles. Expenses incurred under this agreement are included in cost of revenues in the accompanying unaudited condensed consolidated statements of operations, and amounted to $0.0 million for each of the three month periods ended March 31, 2018 and 2017. At March 31, 2018 and December 31, 2017, $0.1 million is included in programming rights in the accompanying unaudited condensed consolidated balance sheets related to these agreements. We entered into agreements effective February 1, 2015, to license the rights to motion pictures from Lions Gate Films, Inc. (“Lionsgae”) for a total license fee of $1.0 million. Some of the titles are owned or controlled by Pantelion Films, LLC (“Pantelion”), for which Lionsgate acts as Pantelion’s exclusive licensing agent. Pantelion is a joint venture made up of several organizations, including Panamax (an entity owned by James M. McNamara), Lionsgate and Grupo Televisa. Fees paid by Cinelatino to Lionsgate may be remunerated to Pantelion in accordance with their financial arrangements. Expenses incurred under this agreement are included in cost of revenues in the accompanying unaudited condensed consolidated statements of operations, and amounted to $0.0 million and $0.1 million for the three month periods ended March 31, 2018 and 2017, respectively. At March 31, 2018 and December 31, 2017, $0.0 million and $0.1 million, respectively, is included in programming rights in the accompanying unaudited condensed consolidated balance sheets. We entered into an agreement effective June 22, 2017, to purchase the rights to motion pictures from Frontera Productions, LLC. One of our former Board members holds an equity stake in this entity. The total license fee is $0.1 million. Expenses incurred under this agreement are included in cost of revenues in the accompanying consolidated statements of operations, and amounted to $0.0 million for the three months ended March 31, 2018. At March 31, 2018 and December 31, 2017, $0.1 million and $0.0 million, respectively, is included in programming rights related to this agreement, in the accompanying consolidated balance sheet. There was no amount due to this related party as of March 31, 2018 and December 31, 2017.

Goodwill and intangible assets

Goodwill and intangible assets	3 Months Ended
	Mar. 31, 2018
Goodwill and intangible assets
Goodwill and intangible assets	Note 4. Goodwill and intangible assets Goodwill and intangible assets consist of the following at March 31, 2018 and December 31, 2017 ( amounts in thousands ): March 31, December 31, 2018 2017 Broadcast license $ $ Goodwill Other intangibles Total intangible assets $ $ A summary of changes in the Company’s goodwill and other indefinite-lived intangible assets, on a net basis, for the three months ended March 31, 2018 is as follows (amounts in thousands) : Net Balance at Additions Impairment Net Balance at Broadcast license $ $ — $ — $ Goodwill — — Brands — — Other intangibles — — Total indefinite-lived intangibles $ $ — $ — $ A summary of the changes in the Company’s other amortizable intangible assets for the three months ended March 31, 2018 is as follows (amounts in thousands) : Net Balance at Additions Amortization Net Balance at Affiliate relationships $ $ — $ ) $ Advertiser relationships — ) Non-compete agreement — ) Other intangibles ) Total finite-lived intangibles $ $ $ ) $ The aggregate amortization expense of the Company’s amortizable intangible assets was $3.3 million and $3.4 million for the three months ended March 31, 2018 and 2017, respectively. The weighted average remaining amortization period is 3.3 years at March 31, 2018. Future estimated amortization expense is as follows (amounts in thousands): Year Ending December 31, Amount Remainder of 2018 $ 2019 2020 2021 2022 and thereafter Total $

Equity method investments

Equity method investments	3 Months Ended
	Mar. 31, 2018
Equity method investments
Equity method investments	Note 5. Equity method investments The Company makes investments that support its underlying business strategy and enable it to enter new markets. The carrying values of the Company’s equity method investments are typically consistent with its ownership in the underlying net assets of the investees, with the exception of Canal 1 and Pantaya. Due to losses in excess of capital contributions, the Company has recorded nearly 100% of the losses on Canal 1. The Company has recorded losses in excess of the amount invested in Pantaya. Certain of the Company’s equity investments are variable interest entities, for which the Company is not the primary beneficiary. On November 3, 2016, we acquired a 25% interest in Pantaya, a newly formed joint venture with Lionsgate, to launch a Spanish-language OTT movie service. The service launched on August 1, 2017. The investment is deemed a variable interest entity (“VIE”) that is accounted for under the equity method. As of March 31, 2018, we have not funded any capital contributions to Pantaya. In accordance with U.S. GAAP, since we are committed to provide future capital contributions to Pantaya, we continue to record our proportionate share of losses on a one quarter lag. For the three months ended March 31, 2018, we have recorded $2.6 million in Loss on equity method investments related to Pantaya, which is presented as a liability in the accompanying balance sheet. There was no loss incurred in the three months ended March 31, 2017. The Company’s maximum exposure to loss on our investment in Pantaya is limited to our funding commitment. On November 30, 2016, we, in partnership with Colombian content producers, Radio Television Interamericana S.A., Compania de Medios de Informacion S.A.S. and NTC Nacional de Television y Comunicaciones S.A., were awarded a ten (10) year renewable television broadcast concession license for Canal 1 in Colombia. Canal 1 is one of only three national broadcast television networks in Colombia. The partnership began operating Canal 1 on May 1, 2017. On February 7, 2018, Colombian regulatory authorities approved an increase in our ownership in the joint venture to 40%. The joint venture is deemed a VIE that is accounted for under the equity method. We earn a preferred return on the capital funded, which is recorded quarterly as an offset to the loss on the investment. As of March 31, 2018, we have recorded $49.8 million in Equity method investments related to Canal 1. We record the income or loss on investment on a one quarter lag. For the three months ended March 31, 2018, we recorded $7.1 million, net of preferred return, in Loss on equity method investments. The Canal 1 joint venture losses to date have exceeded the capital contributions of the common equity partners and as a result, in accordance with equity method accounting, equity losses in excess of the common equity have been recorded against the next layer of the capital structure, in this case, preferred equity. The Company is currently the sole preferred equity holder in Canal 1 and therefore, the Company has recorded nearly 100% of the losses of the joint venture. For the three months ended March 31, 2018, we recorded $1.4 million of income, as an offset to losses incurred in Loss on equity method investments. There was no loss incurred for the three months ended March 31, 2017. The net balance recorded in Equity method investments related to Canal 1 joint venture was $33.6 million and $25.9 million at March 31, 2018 and December 31, 2017, respectively. On April 28, 2017, we acquired a 25.5% interest in REMEZCLA, a digital media company targeting English speaking and bilingual U.S. Hispanics millennials through innovative content. As of March 31, 2018, we have recorded $5.0 million in Equity method investments related to REMEZCLA. The Company records the income or loss on investment on a one quarter lag. For the three months ended March 31, 2018, we have recorded $0.3 million in Loss on equity method investments related to this investment. Additionally, we earned a preferred return on capital funded. For the three months ended March 31, 2018, we recorded $0.2 million of income as an offset to the loss incurred in loss on equity method investments. The net investment recorded in Equity method investments was $4.9 million and $5.0 million at March 31, 2018 and December 31, 2017, respectively. We have no additional commitment to fund the operations of the venture which limits the maximum exposure to loss on our investment in Remezcla to our investment of $5.0 million. The Company records the income or loss on investments on a one quarter lag. Summary unaudited financial data for our equity investments in the aggregate as of the three months ended December 31, 2017 are included below (amounts in thousands) : Equity Method Investees Amount Current assets $ Non-current assets $ Current liabilities $ Non-current liabilities $ Redeemable stock and noncontrolling interests $ Net revenue $ Operating loss $ ) Net loss $ )

Income taxes

Income taxes	3 Months Ended
	Mar. 31, 2018
Income taxes
Income taxes	Note 6. Income taxes The 2017 Tax Cut and Jobs Act (“Tax Act”) was signed into law on December 22, 2017. The Tax Act revised the U.S. corporate income tax by, among other things, lowering the statutory corporate tax rate from 35% to 21% in 2018, eliminating certain deductions, imposing a mandatory one-time transition tax, or deemed repatriation tax on accumulated earnings of foreign subsidiaries as of 2017 that were previously tax deferred. The Company generates income in higher tax rate foreign locations, which result in foreign tax credits. The lower federal corporate tax rate reduces the likelihood or our utilization of foreign tax credits created by income taxes paid in Puerto Rico and Latin America, resulting in a valuation allowance. For the three months ended March 31, 2018 and 2017, our income tax expense has been computed utilizing the estimated annual effective rates of 47.7% and 35.9%, respectively. The difference between the annual effective rate of 47.7 % and the statutory Federal income tax rate of 21% in the three month period ended March 31, 2018, is primarily due to the impact of the Tax Act and the related impact to the valuation allowance on foreign tax credits. The annual effective tax rate related to income generated in the U.S. is 22.3%. Due to the reduced U.S. tax rate, the Company determined that a portion of its foreign income, which is taxed at a higher rate, will result in the generation of excess foreign tax credits that will not be available to offset U.S. tax. As a result, 25.3% of the annual effective rate relates to the required valuation allowance against the excess foreign tax credits, bringing the annual effective tax rate for the three month period ended March 31, 2018 to 47.7%. The difference between the annual effective rate of 35.9% and the statutory Federal income tax rate of 35% in the three month period ended March 31, 2017, is primarily due to state taxes. The Company evaluated the impact of the interest income limitation from the Tax Act and do not expect that there will not be a limitation on the ability to deduct interest expense for tax purposes for the year ended December 31, 2018. Income tax benefit was $0.3 million for the three month period ended March 31, 2018 compared to an income tax expense of $1.7 million for the three month period ended March 31, 2017.

Long-term debt

Long-term debt	3 Months Ended
	Mar. 31, 2018
Long-term debt
Long-term debt	Note 7. Long-term debt Long-term debt at March 31, 2018 and December 31, 2017 consists of the following (amounts in thousands) : March 31, 2018 December 31, 2017 Senior Notes due February 2024 $ $ Less: Current portion $ $ On February 14, 2017 (the “Closing Date”), the Borrowers amended the Term Loan Facility (the “Second Amended Term Loan Facility”). The Second Amended Term Loan Facility provides for a $213.3 million senior secured term loan B facility, which matures on February 14, 2024. The Second Amended Term Loan Facility, bears interest at the Borrowers’ option of either (i) London Inter-bank Offered Rate (“LIBOR’) plus a margin of 3.50% (decreased from a margin of 4.00% under the Term Loan Facility) or (ii) or an Alternate Base Rate (“ABR”) plus a margin of 2.50% (decreased from a margin of 3.00% under the Term Loan Facility). There is no LIBOR floor (a decrease from a LIBOR floor of 1.00% under the Term Loan Facility). The Second Amended Term Loan Facility, among other terms, provides for an uncommitted incremental loan option (the “Incremental Facility”) allowing for increases for borrowings under the Second Amended Term Loan Facility and borrowing of new tranches of term loans, up to an aggregate principal amount equal to (i) $65.0 million plus (ii) an additional amount (the “Incremental Facility Increase”) provided, that after giving effect to such Incremental Facility Increase (as well as any other additional term loans), on a pro forma basis, the First Lien Net Leverage Ratio (as defined in the Second Amended Term Loan Facility) for the most recent four consecutive fiscal quarters does not exceed 4.00:1.00 and the Total Net Leverage Ratio (as defined in the Second Amended Term Loan Facility) for the most recent four consecutive fiscal quarters does not exceed 6.00:1.00. The First Lien Net Leverage Ratio and the Total Net Leverage Ratio each cap the cash netted against debt up to a maximum amount of $60.0 million (increased from $45.0 million under the Term Loan Facility). Additionally, the Second Amended Term Loan Facility also provides for an uncommitted incremental revolving loan option (the “Incremental Revolving Facility”) allowing for an aggregate principal amount of up to $30.0 million, which will be secured on a pari passu basis by the collateral securing the Second Amended Term Loan Facility. The Second Amended Term Loan Facility requires the Borrowers to make amortization payments (in quarterly installments) equal to 1.00% per annum with respect to the Second Amended Term Loan Facility with any remaining amount due at final maturity. The Second Amended Term Loan Facility principal payments commenced on March 31, 2017, with a final installment due on February 14, 2024. Voluntary prepayments are permitted, in whole or in part, subject to certain minimum prepayment requirements. In addition, pursuant to the terms of the Second Amended Term Loan Facility, within 90 days after the end of each fiscal year, the Borrowers are required to make a prepayment of the loan principal in an amount equal to a percentage of the excess cash flow of the most recently completed fiscal year. Excess cash flow is generally defined as net (loss) income plus depreciation and amortization expense, less mandatory prepayments of the term loan, income taxes and capital expenditures, and adjusted for the change in working capital. The percentage of the excess cash flow used to determine the amount of the prepayment of the loan declines from 50% to 25%, and again to 0% at lower leverage ratios. Pursuant to the terms of the Second Amended Term Loan Facility, our net leverage ratio was 2.95x at December 31, 2017, resulting in an excess cash flow percentage of 25% and therefore, an excess cash flow payment of $2.1 million was made in March 2018. As permitted under the Second Amended Term Loan Facility, the excess cash flow payment will be allocated at our election and in direct order of maturity, accordingly, we will not be required to make the scheduled quarterly loan amortization payments for the next three quarters. As of March 31, 2018, the original issue discount balance was $2.0 million, net of accumulated amortization of $1.5 million and was recorded as a reduction to the principal amount of the Second Amended Term Loan Facility outstanding as presented on the unaudited condensed consolidated balance sheet and will be amortized as a component of interest expense over the term of the Second Amended Term Loan Facility. In accordance with ASU 2015-15 Interest—Imputation of Interest (Subtopic 835-30) Presentation and Subsequent Measurement of Debt Issuance Costs Associated with Line of Credit Arrangements, deferred financing fees of $1.5 million, net of accumulated amortization of $1.8 million, are presented as a reduction to the Second Amended Term Loan Facility outstanding at March 31, 2018 as presented on the unaudited condensed consolidated balance sheet, and will be amortized as a component of interest expense over the term of the Second Amended Term Loan Facility. The carrying value of the long-term debt approximates fair value at March 31, 2018 and December 31, 2017 and was derived from quoted market prices by independent dealers (Level 2 in the fair value hierarchy under ASC 820, Fair Value Measurements and Disclosures ). The following are the maturities of our long-term debt as of March 31, 2018 ( amounts in thousands ): Year Ending December 31, Amount Remainder of 2018 $ — 2019 2020 2021 2022 and thereafter Total $

Derivative instruments

Derivative instruments	3 Months Ended
	Mar. 31, 2018
Derivative instruments
Derivative instruments	Note 8. Derivative instruments We use derivative financial instruments in the management of our interest rate exposure. Our strategy is to eliminate the cash flow risk on a portion of the variable rate debt caused by changes in the designated benchmark interest rate, LIBOR. The Company does not enter into or hold derivative financial instruments for speculative trading purposes. On May 4, 2017, we entered into two identical pay-fixed, receive-variable, interest rate swaps with two different counter parties, to hedge the variability in the LIBOR interest payments on an aggregate notional value of $100.0 million of our Second Amended Term Loan Facility beginning May 31, 2017, through the expiration of the swaps on March 31, 2022. At inception, these interest rate swaps were designated as cash flow hedges of interest rate risk, and as such, the effective portion of unrealized changes in market value is recorded in Accumulated other comprehensive income (“AOCI”). Any losses from hedge ineffectiveness will be recognized in current operations. The change in the fair value of the interest rate swap agreements in the three months ended March 31, 2018 resulted in an unrealized gain of $1.5 million, and was included in AOCI net of taxes. The Company paid $0.1 million of net interest on the settlement of the interest rate swap agreements for the three months ended March 31, 2018. As of March 31, 2018, the Company estimates that none of the unrealized gain included in AOCI related to these interest rate swap agreements will be realized and reported in operations within the next twelve months. No gain or loss was recorded in operations for the three months ended March 31, 2018. The aggregate fair value of the interest rate swaps was $2.3 million and $0.8 million as of March 31, 2018 and December 31, 2017, respectively. These were recorded in Swap assets in non-current assets on the unaudited condensed consolidated balance sheets. By entering into derivative instrument contracts, we are exposed to counterparty credit risk. Counterparty credit risk is the failure of the counterparty to perform under the terms of the derivative contract. When the fair value of a derivative contract is in an asset position, the counterparty has a liability to us, which creates credit risk for us. We attempt to minimize this risk by selecting counterparties with investment grade credit ratings and regularly monitoring our market position with each counterparty. Our derivative instruments do not contain any credit-risk related contingent features.

Fair Value Measurements

Fair Value Measurements	3 Months Ended
	Mar. 31, 2018
Fair Value Measurements
Fair Value Measurements	Note 9. Fair Value Measurements Our derivatives are valued using a discounted cash flow analysis that incorporates observable market parameters, such as interest rate yield curves, classified as Level 2 within the valuation hierarchy. Derivative valuations incorporate credit risk adjustments that are necessary to reflect the probability of default by us or the counterparty. The following table presents our assets and liabilities measured at fair value on a recurring basis and the levels of inputs used to measure fair value, which include derivatives designated as cash flow hedging instruments, as well as their location on our unaudited condensed consolidated balance sheet as of March 31, 2018 and December 31, 2017 ( amounts in thousands ): Estimated Fair Value March 31, 2018 Category Balance Sheet Location Level 1 Level 2 Level 3 Total Cash flow hedges: Interest rate swap Interest rate swap - Asset — $ — $ Estimated Fair Value December 31, 2017 Category Balance Sheet Location Level 1 Level 2 Level 3 Total Cash flow hedges: Interest rate swap Interest rate swap - Asset — $ — $ Certain non-financial assets and liabilities are measured at fair value on a nonrecurring basis. These assets and liabilities are not measured at fair value on an ongoing basis but are subject to periodic impairment tests. These items primarily include long-lived assets, goodwill and other intangible assets. As of March 31, 2018, there were no assets and liabilities measured at fair value on a recurring basis. The carrying amounts of cash, accounts receivable and accounts payable approximate fair value because of the short maturity of these items. The carrying value of the long-term debt approximates fair value because this instrument bears interest at a variable rate, is pre-payable, and is at terms currently available to the Company.

Stockholders' equity

Stockholders' equity	3 Months Ended
	Mar. 31, 2018
Stockholders' equity
Stockholders' equity	Note 10. Stockholders’ equity Capital stock As of March 31, 2018, the Company had 20,283,906 shares of Class A common stock (including shares subject to forfeiture), and 20,800,998 shares of Class B common stock (including shares subject to forfeiture), issued and outstanding. Subsequent the quarter ended March 31, 2018, certain shares of our capital stock were forfeited pursuant to contractual requirements. For more information, see Note 13, “Subsequent events” of Notes to Unaudited Condensed Consolidated Financial Statements. On June 20, 2017, the Company announced that its Board of Directors authorized the repurchase of up to $25.0 million of the Company’s Class A common stock, par value $0.0001 per share (“Class A common stock”). Under the Company’s stock repurchase program, management is authorized to purchase shares of the Company’s common stock from time to time through open market purchases at prevailing prices, subject to stock price, business and market conditions and other factors. During the three months ended March 31, 2018, the Company repurchased 3,225 shares of Class A common stock under the repurchase program for an aggregate purchase price of $0.0 million. As of March 31, 2018, the Company repurchased 1.8 million shares of Class A common stock under the repurchase program for an aggregate purchase price of $21.9 million, and was recorded as treasury stock on the unaudited condensed consolidated balance sheet. As of March 31, 2018, the Company had $3.1 million of remaining authorization for future repurchases under the existing stock repurchase program, which will expire on July 17, 2018. Warrants At March 31, 2018, 12.1 million Warrants, exercisable into 6.0 million shares of our Class A common stock, were issued and outstanding. Each Warrant entitles the holder to purchase one-half of one share of our Class A common stock at a price of $6.00 per half share. Warrants may be exercised only through the date of expiration and are only exercisable for a whole number of shares of common stock (i.e. only an even number of Warrants may be exercised at any given time by a registered holder). As a result, a holder must exercise at least two Warrants at an effective exercise price of $12.00 per share. Following the completion of the quarter ended March 31, 2018, all 12.1 million Warrants expired on April 4, 2018. For more information, see Note 13, “Subsequent events” of Notes to Unaudited Condensed Consolidated Financial Statements. There were 3,408 Warrants exercised during the three months ended March 31, 2018. In connection with such exercises 1,704 shares of Class A common stock were issued and the Company received $0.0 million in cash proceeds. Equity incentive plans Effective May 16, 2016, the stockholders of all classes of capital stock of the Company approved at the annual stockholder meeting the Hemisphere Media Group, Inc. Amended and Restated 2013 Equity Incentive Plan (the “2013 Equity Incentive Plan”) to increase the number of shares of Class A common stock that may be delivered under the 2013 Equity Incentive Plan to an aggregate of 7.2 million shares of our Class A common stock. At March 31, 2018, 2.7 million shares remained available for issuance of stock options or other stock-based awards under our 2013 Equity Incentive Plan (including shares of restricted Class A common stock surrendered to the Company in payment of taxes required to be withheld in respect of vested shares of restricted Class A common stock, which are available for re-issuance). The expiration date of the 2013 Equity Incentive Plan, on and after which date no awards may be granted, is April 4, 2023. The Company’s board of directors, or a committee thereof, administers the 2013 Equity Incentive Plan and has the sole and plenary authority to, among other things: (i) designate participants; (ii) determine the type, size, and terms and conditions of awards to be granted; and (iii) determine the method by which an award may be settled, exercised, canceled, forfeited or suspended. The Company’s time-based restricted stock awards and option awards generally vest in three equal annual installments beginning on the first anniversary of the grant date, subject to the grantee’s continued employment or service with the Company. The Company’s event-based restricted stock awards and option awards generally vest upon the Company’s Class A common stock attaining a $15.00 closing price per share, as quoted on the NASDAQ Global Market, on at least 10 trading days, subject to the grantee’s continued employment or service with the Company. Other event-based restricted stock awards granted to certain members of our Board vest on the day preceding the Company’s annual stockholder meeting. Stock-based compensation Stock-based compensation expense related to stock options and restricted stock was $1.0 million and $1.1 million for the three months ended March 31, 2018 and 2017, respectively. At March 31, 2018, there was $1.6 million of total unrecognized compensation cost related to unvested stock options, which is expected to be recognized over a weighted-average period of 1.3 years. At March 31, 2018, there was $1.9 million of total unrecognized compensation cost related to unvested restricted stock, which is expected to be recognized over a weighted-average period of 1.4 years. Stock options The fair value of stock options granted is estimated at the date of grant using the Black-Scholes option pricing model for time-based options and the Monte Carlo simulation model for event-based options. The expected term of options granted is derived using the simplified method under ASC 718-10-S99-1/SEC Topic 14.D for “plain vanilla” options and the Monte Carlo simulation for event-based options. Expected volatility is based on the historical volatility of the Company’s competitors given its lack of trading history. The risk-free interest rate is based on the U.S. Treasury yield for a period consistent with the expected term of the option in effect at the time of the grant. The Company has estimated forfeitures of 1.5%, as the awards are granted to management for which the Company expects lower turnover, and has assumed no dividend yield, as dividends have never been paid to stock or option holders and will not be paid for the foreseeable future. Black-Scholes Option Valuation Assumptions Three Months Ended Year Ended Risk-free interest rate % % Dividend yield — — Volatility % % Weighted-average expected term (years) The following table summarizes stock option activity for the three months ended March 31, 2018 (shares and intrinsic value in thousands) : Number of shares Weighted-average Weighted-average Aggregate intrinsic Outstanding at December 31, 2017 $ $ Granted — Exercised — — — — Forfeited — — — — Expired — — — — Outstanding at March 31, 2018 $ $ Vested at March 31, 2018 $ $ Exercisable at March 31, 2018 $ $ The weighted average grant date fair value of options granted for the three months ended March 31, 2018 was $4.89. At March 31, 2018, 0.3 million options granted are unvested, event-based options. Restricted stock Certain employees and directors have been awarded restricted stock under the 2013 Equity Incentive Plan. The time-based restricted stock grants vest primarily over a period of three years. The fair value and expected term of event-based restricted stock grants is estimated at the grant date using the Monte Carlo simulation model. The following table summarizes restricted share activity for the three months ended March 31, 2018 ( shares in thousands ): Number of shares Weighted-average Outstanding at December 31, 2017 $ Granted — — Vested — — Forfeited — — Outstanding at March 31, 2018 $ At March 31, 2018, 0.2 million shares of restricted stock issued were unvested, event-based shares.

Contingencies

Contingencies	3 Months Ended
	Mar. 31, 2018
Contingencies
Contingencies	Note 11. Contingencies We are involved in various legal actions, generally related to our operations. Management believes, based on advice from legal counsel, that the outcomes of such legal actions will not adversely affect our financial condition.

Commitments

Commitments	3 Months Ended
	Mar. 31, 2018
Commitments
Commitments	Note 12. Commitments We have entered into certain rental property contracts with third parties, which are accounted for as operating leases. Rental expense was $0.5 million and $0.2 million for the three months ended March 31, 2018 and 2017, respectively. We have certain commitments including various operating leases. Future minimum payments for these commitments and other commitments, primarily programming, are as follows (amounts in thousands) : Year Ending December 31, Operating Leases Other Total Remainder of 2018 $ $ $ 2019 2020 2021 2022 and thereafter Total $ $ $

Subsequent events

Subsequent events	3 Months Ended
	Mar. 31, 2018
Subsequent events
Subsequent events	Note 13. Subsequent events On April 4, 2018, 0.5 million shares of Class A common stock and 1.1 million shares of Class B common stock were forfeited because the closing sales price of the Class A common stock did not equal or exceed $15.00 per share for any 20 trading days within at least one 30-trading day period within 60 months of April 4, 2013. On April 4, 2018, all 12.1 million outstanding Warrants expired. On May 3, 2018, the Company entered into a definitive agreement to acquire a seventy five percent (75%) interest in Snap Global, LLC, an independent distributor of content in Latin America to broadcast, pay-TV and OTT platforms. The closing of the transaction is subject to the completion of certain closing conditions.

Nature of business (Policies)

Nature of business (Policies)	3 Months Ended
	Mar. 31, 2018
Nature of business
Basis of presentation:	Basis of presentation: The accompanying Unaudited Condensed Consolidated Financial Statements for Hemisphere and its subsidiaries have been prepared in accordance with accounting principles generally accepted in the United States of America (“GAAP”) for interim financial information and with the instructions to Form 10-Q and Article 10 of Regulation S-X. Accordingly, certain information and note disclosures normally included in annual financial statements prepared in accordance with GAAP have been condensed or omitted pursuant to those rules and regulations, although we believe that the disclosures made are adequate to make the information not misleading. In our opinion, all adjustments (consisting only of normal recurring adjustments) considered necessary for a fair statement have been included. Our financial condition as of, and operating results, for the three months ended March 31, 2018 are not necessarily indicative of the financial condition or results that may be expected for any future interim period or for the year ending December 31, 2018. These Unaudited Condensed Consolidated Financial Statements should be read in conjunction with the audited consolidated financial statements and notes thereto included in our Annual Report on Form 10-K for the year ended December 31, 2017.
Net (loss) earnings per common share:	Net (loss) earnings per common share: Basic (loss) earnings per share (“EPS”) are computed by dividing income attributable to common stockholders by the number of weighted-average outstanding shares of common stock. Diluted EPS reflects the effect of the assumed exercise of stock options and vesting of restricted shares only in the periods in which such effect would have been dilutive. The following table sets forth the computation of the common shares outstanding used in determining basic and diluted EPS ( amounts in thousands, except per share amounts): Three Months Ended March 31, 2018 2017 Numerator for (loss) earnings per common share calculation: Net (loss) income $ ) $ Denominator for (loss) earnings per common share calculation: Weighted-average common shares, basic Effect of dilutive securities Stock options, restricted stock and warrants — Weighted-average common shares, diluted (Loss Per Share) Earnings Per Share Basic $ ) $ Diluted $ ) $ We apply the treasury stock method to measure the dilutive effect of our outstanding warrants, stock options and restricted stock awards and include the respective common share equivalents in the denominator of our diluted income per common share calculation. Per the Accounting Standards Codification (“ASC”) 260 accounting guidance, under the treasury stock method, the incremental shares (difference between the number of shares assumed issued and the number of shares assumed purchased) shall be included in the denominator of the diluted EPS computation (ASC 260-10-45-23). The assumed exercise only occurs when the warrants are “In the Money” (exercise price is lower than the average market price for the period). If the warrants are “Out of the Money” (exercise price is higher than the average market price for the period), the exercise is not assumed since the result would be anti-dilutive. Potentially dilutive securities representing 2.1 million shares of common stock as of the three months ended March 31, 2018 and March 31, 2017, respectively, were excluded from the computation of diluted income per common share for this period because their effect would have been anti-dilutive. The net income per share amounts are the same for our Class A common stock, par value $0.0001 per share (“Class A common stock”) and Class B common stock, par value $0.0001 per share (“Class B common stock”), because the holders of each class are legally entitled to equal per share distributions whether through dividends or in liquidation. As a result of the net loss for the three months ended March 31, 2018, 0.2 million outstanding awards were not included in the computation of diluted (loss) earnings per share because their effect was anti-dilutive.
Use of estimates:	Use of estimates: In preparing these financial statements, management had to make estimates and assumptions that affected the reported amounts of assets and liabilities and the disclosures of contingent assets and liabilities as of the balance sheet dates, and the reported revenues and expenses for the three months ended March 31, 2018 and 2017. Such estimates are based on historical experience and other assumptions that are considered appropriate in the circumstances. However, actual results could differ from those estimates.
Recently adopted Accounting Standards and Accounting guidance not yet adopted :	Recently adopted Accounting Standards: On January 1, 2018, we adopted, on a modified retrospective basis, Financial Accounting Standards Board (the “FASB”) ASC Topic 606, Revenue from Contracts with Customers (“ASC 606”) (the “new revenue standard”), which provides accounting guidance that establishes a new revenue recognition framework in GAAP for all companies and industries. The core principle of the new revenue framework is that an entity should recognize revenue from the transfer of promised goods or services to customers in an amount that reflects the consideration the entity expects to receive for those goods or services. The revenue framework includes a five-step model to determine the timing and amount of revenue to recognize related to contracts with customers. In addition, this revenue framework requires new or expanded disclosures related to the amounts of revenue recognized and judgments made by companies when following this framework. The adoption of the new accounting guidance did not result in changes in the way the Company records subscriber and retransmission fees, advertising revenue or content licensing fees. Guidance pertaining to the evaluation of whether revenue should be presented on a gross or net basis was changed in connection with the new revenue standard and the application of such change has been made in the presentation of revenues in the consolidated financial statements. The adoption of the new revenue standard did not have a material impact to our unaudited statement of operations for the three months ended March 31, 2018, and did not have a material impact to our unaudited consolidated balance sheet as of March 31, 2018. Accounting guidance not yet adopted: In February 2018, the FASB issued Accounting Standards Update (“ASU”) 2018 02—Income Statement—Reporting Comprehensive Income (Topic 220): Reclassification of certain tax effects from Accumulated other comprehensive income . The amendments in this ASU apply to any entity that has items of other comprehensive income (“OCI”) for which the related tax effects are presented in OCI, as previously required by GAAP. This ASU allows a one time reclassification from OCI to Retained earnings for stranded tax effects resulting from the Tax Cuts and Jobs Act enacted on December 22, 2017. The amendments in this ASU are effective for all entities for annual periods beginning after December 31, 2018. Early adoption is permitted and the effect of the adoption should be reflected as of the beginning of the fiscal year of adoption. We are currently evaluating the impact of this Update on our consolidated financial statements. In August 2017, the FASB issued ASU 2017-12 — Derivatives and Hedging (Topic 815): Targeted Improvements to Accounting for Hedging Activities . The amendments in this ASU apply to any entity that elects to apply hedge accounting and is intended to better align an entity’s risk management activities and financial reporting for hedging relationships. The ASU amends effectiveness testing requirements, income statement presentation and disclosures and permits additional risk management strategies to qualify for hedge accounting. The amendments in this ASU are effective for fiscal years beginning after December 15, 2019. Early application is permitted; the effect of the adoption should be reflected as of the beginning of the fiscal year of adoption. We are currently evaluating the impact of this Update on our consolidated financial statements. In February 2016, the FASB issued ASU 2016 02—Leases (Topic 842). ASU 2016 02 amends the FASB ASC, creating Topic 842, Leases. Topic 842 affects any entity that enters into a lease, with specified scope exemptions, and supersedes Topic 840, Leases. The core principle of Topic 842 is that a lessee should recognize the assets and liabilities that arise from leases, including operating leases. The recognition, measurement and presentation of expenses and cash flows from a lease by a lessee have not changed significantly from previous GAAP. The principle difference from previous guidance is that the assets and liabilities arising from an operating lease should be recognized in the statement of financial position. The guidance will be effective for the first interim period of our 2019 fiscal year. Early application of the amendments in this update is permitted. We are currently evaluating the impact of this Update on our consolidated financial statements.

Nature of business (Tables)

Nature of business (Tables)	3 Months Ended
	Mar. 31, 2018
Nature of business
Schedule of the computation of the common shares outstanding used in determining basic and diluted EPS	The following table sets forth the computation of the common shares outstanding used in determining basic and diluted EPS ( amounts in thousands, except per share amounts): Three Months Ended March 31, 2018 2017 Numerator for (loss) earnings per common share calculation: Net (loss) income $ ) $ Denominator for (loss) earnings per common share calculation: Weighted-average common shares, basic Effect of dilutive securities Stock options, restricted stock and warrants — Weighted-average common shares, diluted (Loss Per Share) Earnings Per Share Basic $ ) $ Diluted $ ) $

Revenue Recognition (Tables)

Revenue Recognition (Tables)	3 Months Ended
	Mar. 31, 2018
Revenue Recognition
Schedule of disaggregation of revenue	(amounts in thousands) Three months ended March 31, Revenues by type 2018 2017 Subscriber and Retransmission fees $ $ Advertising revenue Other revenue Total revenue $ $
Schedule of application of changes in the presentation of revenues in the consolidated financial statements.	(amounts in thousands) Three months ended March 31, 2018 ASC 606 ASC 605 Reported Reclassification Presentation Total revenue $ $ ) $ Operating expenses $ $ ) $ Operating income $ $ — $

Goodwill and intangible assets

Goodwill and intangible assets (Table)	3 Months Ended
	Mar. 31, 2018
Goodwill and intangible assets
Schedule of goodwill and intangible assets	Goodwill and intangible assets consist of the following at March 31, 2018 and December 31, 2017 ( amounts in thousands ): March 31, December 31, 2018 2017 Broadcast license $ $ Goodwill Other intangibles Total intangible assets $ $
Summary of the changes in goodwill and other indefinite-lived intangible assets	A summary of changes in the Company’s goodwill and other indefinite-lived intangible assets, on a net basis, for the three months ended March 31, 2018 is as follows (amounts in thousands) : Net Balance at Additions Impairment Net Balance at Broadcast license $ $ — $ — $ Goodwill — — Brands — — Other intangibles — — Total indefinite-lived intangibles $ $ — $ — $
Summary of the changes in other amortizable intangible assets	A summary of the changes in the Company’s other amortizable intangible assets for the three months ended March 31, 2018 is as follows (amounts in thousands) : Net Balance at Additions Amortization Net Balance at Affiliate relationships $ $ — $ ) $ Advertiser relationships — ) Non-compete agreement — ) Other intangibles ) Total finite-lived intangibles $ $ $ ) $
Schedule of future estimated amortization expense	Future estimated amortization expense is as follows (amounts in thousands): Year Ending December 31, Amount Remainder of 2018 $ 2019 2020 2021 2022 and thereafter Total $

Equity method investments (Tabl

Equity method investments (Tables)	3 Months Ended
	Mar. 31, 2018
Equity method investments
Schedule of financial data of equity method investments	Summary unaudited financial data for our equity investments in the aggregate as of the three months ended December 31, 2017 are included below: (amounts in thousands): Equity Method Investees Amount Current assets $ Non-current assets $ Current liabilities $ Non-current liabilities $ Redeemable stock and noncontrolling interests $ Net revenue $ Operating loss $ ) Net loss $ )

Long-term debt (Tables)

Long-term debt (Tables)	3 Months Ended
	Mar. 31, 2018
Long-term debt
Schedule of long-term debt	Long-term debt at March 31, 2018 and December 31, 2017 consists of the following (amounts in thousands) : March 31, 2018 December 31, 2017 Senior Notes due February 2024 $ $ Less: Current portion $ $
Schedule of maturities of long-term debt	The following are the maturities of our long-term debt as of March 31, 2018 ( amounts in thousands ): Year Ending December 31, Amount Remainder of 2018 $ — 2019 2020 2021 2022 and thereafter Total $

Fair Value Measurements (Tables

Fair Value Measurements (Tables)	3 Months Ended
	Mar. 31, 2018
Fair Value Measurements
Schedule of assets and liabilities that are measured at fair value on a recurring basis	The following table presents our assets and liabilities measured at fair value on a recurring basis and the levels of inputs used to measure fair value, which include derivatives designated as cash flow hedging instruments, as well as their location on our unaudited condensed consolidated balance sheet as of March 31, 2018 and December 31, 2017 ( amounts in thousands ): Estimated Fair Value March 31, 2018 Category Balance Sheet Location Level 1 Level 2 Level 3 Total Cash flow hedges: Interest rate swap Interest rate swap - Asset — $ — $ Estimated Fair Value December 31, 2017 Category Balance Sheet Location Level 1 Level 2 Level 3 Total Cash flow hedges: Interest rate swap Interest rate swap - Asset — $ — $

Stockholders' equity (Tables)

Stockholders' equity (Tables)	3 Months Ended
	Mar. 31, 2018
Stockholders' equity
Summary of stock option activity	The following table summarizes stock option activity for the three months ended March 31, 2018 (shares and intrinsic value in thousands) : Number of shares Weighted-average Weighted-average Aggregate intrinsic Outstanding at December 31, 2017 $ $ Granted — Exercised — — — — Forfeited — — — — Expired — — — — Outstanding at March 31, 2018 $ $ Vested at March 31, 2018 $ $ Exercisable at March 31, 2018 $ $
Summary of restricted share activity	The following table summarizes restricted share activity for the three months ended March 31, 2018 ( shares in thousands ): Number of shares Weighted-average Outstanding at December 31, 2017 $ Granted — — Vested — — Forfeited — — Outstanding at March 31, 2018 $
Time Based Stock Option | Black Scholes Pricing Model
Stockholders' equity
Schedule of valuation assumptions	Black-Scholes Option Valuation Assumptions Three Months Ended Year Ended Risk-free interest rate % % Dividend yield — — Volatility % % Weighted-average expected term (years)

Commitments (Tables)

Commitments (Tables)	3 Months Ended
	Mar. 31, 2018
Commitments
Future minimum payments for these commitments and other commitments, primarily programming	Future minimum payments for these commitments and other commitments, primarily programming, are as follows (amounts in thousands) : Year Ending December 31, Operating Leases Other Total Remainder of 2018 $ $ $ 2019 2020 2021 2022 and thereafter Total $ $ $

Nature of business (Details)

Nature of business (Details) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands	3 Months Ended
	Mar. 31, 2018	Mar. 31, 2017	Dec. 31, 2017
Numerator for (loss) earnings per common share calculation:
Net (loss) income	$ (7,559)	$ 2,745
Denominator for (loss) earnings per common share calculation:
Weighted-average common shares, basic	38,955	40,514
Effect of dilutive securities:
Stock options, restricted stock and warrants		246
Weighted-average common shares, diluted	38,955	40,760
(Loss Per Share) Earnings Per Share
Basic (in dollars per share)	$ (0.19)	$ 0.07
Diluted (in dollars per share)	$ (0.19)	$ 0.07
Shares excluded from the computation of diluted income per common share	2,100	2,100
Outstanding awards excluded from computation of diluted earnings per share	200
Aggregate purchase price of Class A common stock	$ 34
Common Class A
(Loss Per Share) Earnings Per Share
Par value of common stock (in dollars per share)	$ 0.0001		$ 0.0001
Common Class B
(Loss Per Share) Earnings Per Share
Par value of common stock (in dollars per share)	$ 0.0001		$ 0.0001

Revenue Recognition (Details)

Revenue Recognition (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2018	Mar. 31, 2017
Revenues
Total revenue	$ 29,035	$ 33,159
Affiliate fees
Revenues
Total revenue	$ 18,433	19,453
Revenue, remaining performance obligation, expected timing of satisfaction, period	60 days
Advertising revenue
Revenues
Total revenue	$ 9,918	13,567
Revenue, remaining performance obligation, expected timing of satisfaction, period	30 days
Other
Revenues
Total revenue	$ 684	$ 139

Revenue Recognition - Compariso

Revenue Recognition - Comparison to Amounts if ASC 605 Had Been in Effect (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2018	Mar. 31, 2017
Comparison to Amounts if ASC 605 Had Been in Effect
Total revenue	$ 29,035	$ 33,159
Operating expenses	24,238	26,102
Operating income	4,797	$ 7,057
ASU 2014-09 | ASC 605 Presentation
Comparison to Amounts if ASC 605 Had Been in Effect
Total revenue	28,229
Operating expenses	23,432
Operating income	4,797
ASU 2014-09 | Reclassification
Comparison to Amounts if ASC 605 Had Been in Effect
Total revenue	(806)
Operating expenses	$ (806)

Related Party Transactions (Det

Related Party Transactions (Details) $ in Millions	Apr. 09, 2016	Mar. 31, 2018USD ($)item	Mar. 31, 2017USD ($)	Dec. 31, 2017USD ($)
MVS Multivision Digital Sde RLde CV and Affiliates
Related party transactions
Due from related parties, net of allowance for doubtful accounts		$ 2.4		$ 2.2
Due to related parties		$ 2.6		1.9
MVS Multivision Digital Sde RLde CV and Affiliates | Satellite and Support Services Agreement | Cinelatino
Related party transactions
Number of channel feeds delivered through satellite | item		2
Total expense		$ 0.7	$ 0.6
MVS Multivision Digital Sde RLde CV and Affiliates | Affiliation Agreement
Related party transactions
Revenue recognized from related party		0.5	0.6
Director | Consulting Agreement with Director
Related party transactions
Total expense		0.1	0.1
Term of agreement	3 years
Due to related parties		0		0
Panamax Films, LLC | Programming Agreements
Related party transactions
Total expense		$ 0	0
Number of specific movie titles to be distributed | item		3
Programming rights		$ 0.1	0.1
Lionsgate | Movie License Agreement | Cinelatino
Related party transactions
Total expense		0	0.1
Programming rights		0		0.1
License fee under agreement with related party		1
Frontera Productions LLC | Services Agreement
Related party transactions
Total expense			$ 0
Due from related parties, net of allowance for doubtful accounts		0.1		0
Due to related parties		0		$ 0
License fee under agreement with related party		$ 0.1

Goodwill and intangible asset34

Goodwill and intangible assets (Details) - USD ($) $ in Thousands	Mar. 31, 2018	Dec. 31, 2017
Goodwill and intangible assets
Broadcast license	$ 41,356	$ 41,356
Goodwill	164,887	164,887
Other intangibles	48,380	51,661
Total intangible assets	$ 254,623	$ 257,904

Goodwill and intangible Asset35

Goodwill and intangible Assets - Indefinite Lived Net Balance (Details) $ in Thousands	Mar. 31, 2018USD ($)
Changes in the goodwill
Net balance at the beginning of the period	$ 164,887
Net balance at the end of the period	164,887
Changes in the goodwill and other indefinite lived intangible assets, on a net basis
Net balance at the beginning of the period	222,929
Net balance at the end of the period	222,929
Broadcast license
Changes in other indefinite-lived intangible assets
Net balance at the beginning of the period	41,356
Net balance at the end of the period	41,356
Brands
Changes in other indefinite-lived intangible assets
Net balance at the beginning of the period	15,986
Net balance at the end of the period	15,986
Other intangibles
Changes in other indefinite-lived intangible assets
Net balance at the beginning of the period	700
Net balance at the end of the period	$ 700

Goodwill and intangible asset36

Goodwill and intangible assets - Other Amortizable Intangible (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2018	Mar. 31, 2017	Mar. 31, 2018
Changes in other amortizable intangible assets
Balance at the beginning of the period	$ 34,975
Additions	33
Amortization	(3,314)	$ (3,300)
Net balance at the end of the period	31,694
Future estimated amortization expense
Remainder of 2018			$ 9,933
2,019			8,497
2,020			6,069
2,021			5,757
2022 and thereafter			1,438
Total	34,975		31,694
Affiliate relationships
Changes in other amortizable intangible assets
Balance at the beginning of the period	32,343
Amortization	(3,017)
Net balance at the end of the period	29,326
Future estimated amortization expense
Total	32,343		29,326
Advertiser relationships
Changes in other amortizable intangible assets
Balance at the beginning of the period	1,240
Amortization	(138)
Net balance at the end of the period	1,102
Future estimated amortization expense
Total	1,240		1,102
Non-compete agreement
Changes in other amortizable intangible assets
Balance at the beginning of the period	1,235
Amortization	(137)
Net balance at the end of the period	1,098
Future estimated amortization expense
Total	1,235		1,098
Other intangibles
Changes in other amortizable intangible assets
Balance at the beginning of the period	157
Additions	33
Amortization	(22)
Net balance at the end of the period	168
Future estimated amortization expense
Total	$ 157		$ 168

Equity method investments - (De

Equity method investments - (Details) $ in Thousands	Nov. 30, 2016item	Mar. 31, 2018USD ($)	Mar. 31, 2017USD ($)	Feb. 07, 2018	Dec. 31, 2017USD ($)	Apr. 28, 2017	Nov. 03, 2016
Equity method investments
Loss on equity method investments		$ 5,372			$ 2,806
Equity method investments		38,481			30,907
Loss from equity method investments		9,795
PANTAYA
Equity method investments
Ownership Percentage							25.00%
Loss from equity method investments		2,600	$ 0
Canal 1
Equity method investments
Equity method investments		49,800
Loss from equity method investments		$ 7,100
Percentage of losses recorded		100.00%
Return on capital equity investment		$ 1,400	$ 0
Net equity method investments		33,600			25,900
Colombian content producers, Radio television and NTC nacional | Television broadcast license
Equity method investments
Ownership Percentage				40.00%
License life (in years)	10 years
Number of national broadcast television networks | item	3
REMEZCLA
Equity method investments
Ownership Percentage						25.50%
Equity method investments		5,000
Loss from equity method investments		300
Return on capital equity investment		200
Net equity method investments		4,900			$ 5,000
Maximum exposure to loss		$ 5,000

Equity Method Investments - Sum

Equity Method Investments - Summarized unaudited financial data (Details) $ in Thousands	3 Months Ended
	Mar. 31, 2018USD ($)
Summary financial information of equity method investments
Current assets	$ 7,234
Non-current assets	56,783
Current liabilities	35,109
Non-current liabilities	52,514
Redeemable stock and noncontrolling interests	14,235
Net revenue	4,396
Operating loss	(17,473)
Net loss	$ (19,788)

Income taxes (Details)

Income taxes (Details) - USD ($) $ in Thousands	3 Months Ended		12 Months Ended
	Mar. 31, 2018	Mar. 31, 2017	Dec. 31, 2017
Effective tax rates reconciliation
Annual income tax rate (as a percent)	47.70%	35.90%
Statutory federal income tax rate (as a percent)	21.00%		35.00%
Annual effective rate relates to the required valuation allowance (as a percent)	25.30%
Income tax expense	$ (323)	$ 1,684
U.S.
Effective tax rates reconciliation
Annual income tax rate (as a percent)	22.30%

Long-term debt (Details)

Long-term debt (Details) $ in Thousands	Feb. 14, 2017USD ($)item	Jul. 31, 2014	Mar. 31, 2018USD ($)	Dec. 31, 2017USD ($)item
Long-term debt
Less: Current portion			$ (534)	$ (2,133)
Long-term debt less current portion			205,121	205,509
Deferred financing costs			1,500
Maturities of long-term debt
2,019			2,133
2,020			2,133
2,021			2,133
2022 and thereafter			202,682
Total maturities			209,081
Senior Notes due February 2024
Long-term debt
Long-term Debt			205,655	$ 207,642
Second Amended Term Loan Facility
Long-term debt
Amount of term loan	$ 213,300
Amortization payments (in percentage)	1.00%
OID			2,000
Accumulated amortization of original issue discount			1,500
Accumulated amortization			$ 1,800
Second Amended Term Loan Facility | First Lien and Total Net Leverage Ratio
Long-term debt
Debt caps amount	$ 60,000
Second Amended Term Loan Facility | LIBOR
Long-term debt
Interest rate margin (as a percent)	3.50%
Interest rate floor (as a percent)	0.00%
Second Amended Term Loan Facility | Alternate Base Rate (ABR)
Long-term debt
Interest rate margin (as a percent)	2.50%
Amended Term Loan Facility
Long-term debt
Debt caps amount	$ 45,000
Borrowing capacity	$ 30,000
Amended Term Loan Facility | First Lien Net Leverage Ratio
Long-term debt
Number of consecutive fiscal quarters | item	4
Uncommitted accordion option multiplier of net leverage ratio | item	4
Amended Term Loan Facility | Total Net Leverage Ratio
Long-term debt
Number of consecutive fiscal quarters | item	4
Uncommitted accordion option multiplier of net leverage ratio | item	6
Existing Senior Secured Term Loan B Facility
Long-term debt
Uncommitted accordion option base amount	$ 65,000
Uncommitted accordion option multiplier of net leverage ratio | item				2.95
Maximum period after each fiscal year for prepayment of debt			90 days
Prepayment of debt as a percentage of excess cash flow			50.00%
First prepayment of debt as a percentage of excess cash flow, if lower leverage ratio is maintained			25.00%
Second prepayment of debt as a percentage of excess cash flow, if lower leverage ratio is maintained			0.00%
Payment of excess cash flow			$ 2,100
Existing Senior Secured Term Loan B Facility | LIBOR
Long-term debt
Interest rate margin (as a percent)		4.00%
Interest rate floor (as a percent)		1.00%
Existing Senior Secured Term Loan B Facility | Alternate Base Rate (ABR)
Long-term debt
Interest rate margin (as a percent)		3.00%

Derivative instruments (Details

Derivative instruments (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2018	Dec. 31, 2017	May 31, 2017
Derivative
Net change in fair value of cash flow hedge	$ 1,500
Interest rate swap	2,253	$ 773
Gain loss in fair value	0
Interest Rate Swap
Derivative
Interest rate expense	100
Interest rate swap	$ 2,300	$ 800
LIBOR | Nondesignated | Interest Rate Swap
Derivative
Notional amount			$ 100,000

Fair Value Measurements (Detail

Fair Value Measurements (Details) - USD ($) $ in Thousands	Mar. 31, 2018	Dec. 31, 2017
Fair Value Measurements
Interest rate swap	$ 2,253	$ 773
Cash flow hedges | Interest rate swap
Fair Value Measurements
Interest rate swap	2,253	773
Cash flow hedges | Interest rate swap | Level 2
Fair Value Measurements
Interest rate swap	$ 2,253	$ 773

Stockholders' equity - Capital

Stockholders' equity - Capital stock (Details) - USD ($) $ / shares in Units, $ in Thousands	3 Months Ended
	Mar. 31, 2018	Dec. 31, 2017	Jun. 20, 2017
Capital stock
Amount of stock repurchased	$ 34
Treasury stock, shares	5,393,331	5,390,107
Treasury stock, value	$ 57,337	$ 57,303
Common Class B
Capital stock
Common stock shares issued, including forfeiture	20,800,998
Common stock shares outstanding, including forfeiture	20,800,998
Common Class A
Capital stock
Common stock shares issued, including forfeiture	20,283,906
Common stock shares outstanding, including forfeiture	20,283,906
Authorized repurchase amount			$ 25,000
Stock repurchase price (in dollars per share)			$ 0.0001
Treasury stock, shares	1,800,000
Treasury stock, value	$ 21,900
Remaining authorization for future repurchases	$ 3,100
Common Class A | Treasury Stock
Capital stock
Number of shares repurchased	3,225
Amount of stock repurchased	$ 34

Stockholders' equity - Warrants

Stockholders' equity - Warrants (Details). $ / shares in Units, $ in Thousands	3 Months Ended
	Mar. 31, 2018USD ($)$ / shares$ / itemshares
Warrants
Issued (in shares)	12,100,000
Exercise price of warrants per half share | $ / item	6
Minimum number of warrants exercisable by holder (in shares)	2
Exercise price of warrants (in dollars per share) | $ / shares	$ 12
Number of warrants exercised	3,408
Proceeds from exercise of warrant for Class A common stock | $	$ 20
Common Class A
Warrants
Warrants exercisable into number of shares	6,000,000
Number of shares entitled to warrant holders (as a percent)	0.5
Shares issued upon exercise of warrants	1,704
Proceeds from exercise of warrant for Class A common stock | $	$ 0

Stockholders' equity - Other (D

Stockholders' equity - Other (Details) $ / shares in Units, shares in Thousands, $ in Thousands	3 Months Ended		12 Months Ended
	Mar. 31, 2018USD ($)Ditem$ / sharesshares	Mar. 31, 2017USD ($)	Dec. 31, 2017USD ($)$ / sharesshares
Stockholders' equity
Shares available for issuance	2,700
Valuation assumptions
Risk-free interest rate (as a percent)	2.65%
Common Class A
Stockholders' equity
Shares authorized for issuance	7,200
Stock options
Stock-based compensation
Stock-based compensation expense (in dollars) | $	$ 1,000	$ 1,000
Unrecognized compensation cost related to unvested stock options (in dollars) | $	$ 1,600
Weighted-average periods over which unrecognized compensation cost recognized	1 year 3 months 18 days
Estimated forfeitures (as a percent)	1.50%
Valuation assumptions
Dividend yield (as a percent)	0.00%
Number of shares
Outstanding at the beginning of the period (in shares)	2,898
Granted (in shares)	10
Outstanding at the end of the period (in shares)	2,908		2,898
Vested at the end of the period (in shares)	1,937
Exercisable at the end of the period (in shares)	1,937
Weighted-average exercise price
Outstanding at the beginning of the period (in dollars per share) | $ / shares	$ 11.62
Granted (in dollars per share) | $ / shares	11.70
Outstanding at the end of the period (in dollars per share) | $ / shares	11.62		$ 11.62
Vested at the end of the period (in dollars per share) | $ / shares	11.73
Exercisable at the end of the period (in dollars per share) | $ / shares	$ 11.73
Weighted-average remaining contractual term
Outstanding	6 years 3 months 18 days		6 years 6 months
Granted	6 years
Vested at the end of the period	5 years 7 months 6 days
Exercisable at the end of the period	5 years 7 months 6 days
Aggregate intrinsic value
Outstanding at the beginning of the period (in dollars) | $	$ 1,738
Outstanding at the end of the period (in dollars) | $	1,339		$ 1,738
Vested at the end of the period (in dollars) | $	1,024
Exercisable at the end of the period (in dollars) | $	$ 1,024
Weighted-average grant date fair value of options granted (in dollars per share) | $ / shares	$ 4.89
Restricted Stock
Stock-based compensation
Stock-based compensation expense (in dollars) | $	$ 1,100	$ 1,100
Unrecognized compensation cost related to unvested restricted stock (in dollars) | $	$ 1,900
Weighted-average periods over which unrecognized compensation cost recognized	1 year 4 months 24 days
Number of shares
Outstanding at the beginning of the period (in shares)	504
Outstanding at the end of the period (in shares)	504		504
Weighted-average grant date fair value
Outstanding at the beginning of the period (in dollars per share) | $ / shares	$ 10.23
Outstanding at the end of the period (in dollars per share) | $ / shares	$ 10.23		$ 10.23
Time Based Restricted Stock and Stock Option
Stockholders' equity
Number of equal annual installments for vesting of awards | item	3
Time Based Stock Option | Black Scholes Pricing Model
Valuation assumptions
Risk-free interest rate (as a percent)			2.18%
Volatility (as a percent)	39.00%		25.80%
Weighted-average expected term(years)	6 years		6 years
Time Based Restricted Stock
Weighted-average grant date fair value
Vesting period	3 years
Event Based Restricted Stock and Stock Option | Common Class A
Stockholders' equity
Closing price per share to be attained for vesting of awards to begin (in dollars per share) | $ / shares	$ 15
Event Based Restricted Stock and Stock Option | Common Class A | Minimum
Stockholders' equity
Number of trading days on which the closing price per share should attain the specified price per share for vesting of awards to begin | D	10
Event Based Stock Option
Aggregate intrinsic value
Unvested options	300
Event Based Restricted Stock
Aggregate intrinsic value
Unvested options	200

Commitments (Details)

Commitments (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2018	Mar. 31, 2017
Commitments
Rental expense	$ 500	$ 200
Future minimum payments for operating leases
Remainder of 2018	1,579
2,019	449
2,020	358
2,021	343
2022 and thereafter	655
Total	3,384
Future minimum payments for other commitments
Remainder of 2018	11,652
2,019	7,239
2,020	3,521
2,021	2,892
2022 and thereafter	200
Total	25,504
Future minimum payments for operating leases and other commitments
Remainder of 2018	13,231
2,019	7,688
2,020	3,879
2,021	3,235
2022 and thereafter	855
Total	$ 28,888

Subsequent events (Details)

Subsequent events (Details) - Subsequent events shares in Millions	Apr. 04, 2018D$ / sharesshares	May 03, 2018
Subsequent events
Number of trading days | D	20
Number of consecutive trading days | D	30
Maximum period (in months)	60 months
Number of warrants expired	12.1
Snap Global, LLC
Subsequent events
Voting interest acquired (as a percent)		75.00%
Common Class A
Subsequent events
Number of shares forfeited	0.5
Stock trigger price (in dollars per share) | $ / shares	$ 15
Common Class B
Subsequent events
Number of shares forfeited	1.1