Summary of Significant Accounting Policies (Tables)
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12 Months Ended |
Dec. 31, 2019 |
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| Summary of activity in the allowance for doubtful accounts |
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Balance |
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Additions |
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Balance |
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|
beginning |
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Charged |
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Deductions- |
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end of |
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of year |
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to expense |
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Other |
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write-offs |
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year |
|
|
|
amounts in millions |
|
2019 |
|
$ |
117 |
|
130 |
|
4 |
|
|
(122) |
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|
129 |
|
2018 |
|
$ |
92 |
|
123 |
|
3 |
|
|
(101) |
|
|
117 |
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2017 |
|
$ |
99 |
|
73 |
|
(1) |
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|
(79) |
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|
92 |
|
|
| Schedule of Property and Equipment |
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December 31, |
|
December 31, |
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2019 |
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2018 |
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|
|
amounts in millions |
|
Land |
|
$ |
128 |
|
128 |
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Buildings and improvements |
|
|
1,204 |
|
1,194 |
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Support equipment |
|
|
1,023 |
|
1,302 |
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Projects in progress |
|
|
169 |
|
61 |
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Finance lease right-of-use ("ROU") assets |
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|
282 |
|
— |
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Total property and equipment |
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$ |
2,806 |
|
2,685 |
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| Schedule of disaggregation of revenue |
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Year ended |
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|
December 31, 2019 |
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QxH |
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QVC Int'l |
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Zulily |
|
Corp and other |
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Total |
|
|
in millions |
|
Home |
$ |
3,047 |
|
905 |
|
422 |
|
729 |
|
5,103 |
|
Beauty |
|
1,299 |
|
659 |
|
53 |
|
— |
|
2,011 |
|
Apparel |
|
1,289 |
|
422 |
|
582 |
|
172 |
|
2,465 |
|
Accessories |
|
918 |
|
376 |
|
416 |
|
— |
|
1,710 |
|
Electronics |
|
1,141 |
|
107 |
|
15 |
|
— |
|
1,263 |
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Jewelry |
|
402 |
|
226 |
|
54 |
|
— |
|
682 |
|
Other revenue |
|
181 |
|
14 |
|
29 |
|
— |
|
224 |
|
Total Revenue |
$ |
8,277 |
|
2,709 |
|
1,571 |
|
901 |
|
13,458 |
|
|
|
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|
Year ended |
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|
December 31, 2018 |
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|
QxH |
|
QVC Int'l |
|
Zulily |
|
Corp and other |
|
Total |
|
|
in millions |
|
Home |
$ |
3,175 |
|
1,023 |
|
511 |
|
791 |
|
5,500 |
|
Beauty |
|
1,326 |
|
640 |
|
50 |
|
— |
|
2,016 |
|
Apparel |
|
1,323 |
|
453 |
|
684 |
|
180 |
|
2,640 |
|
Accessories |
|
933 |
|
273 |
|
472 |
|
— |
|
1,678 |
|
Electronics |
|
1,129 |
|
119 |
|
18 |
|
— |
|
1,266 |
|
Jewelry |
|
473 |
|
213 |
|
53 |
|
— |
|
739 |
|
Other revenue |
|
185 |
|
17 |
|
29 |
|
— |
|
231 |
|
Total Revenue |
$ |
8,544 |
|
2,738 |
|
1,817 |
|
971 |
|
14,070 |
|
|
| Summary of activity in allowance for sales returns |
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Balance beginning of year |
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Additions - charged to earnings |
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Deductions |
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Acquisition of HSN |
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Balance end of year |
|
|
in millions |
2019 |
$ |
266 |
|
2,336 |
|
(2,341) |
|
- |
|
261 |
2018 (1) |
$ |
267 |
|
2,434 |
|
(2,435) |
|
- |
|
266 |
2017 |
$ |
98 |
|
1,027 |
|
(1,023) |
|
35 |
|
137 |
|
(1) |
Amounts in 2018 and 2019 include the impact of adoption of ASC 606. |
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| Schedule of net earnings attributable to stockholders |
Net earnings (loss) attributable to Qurate Retail stockholders is comprised of the following (amounts in millions):
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Years ended December 31, |
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2019 |
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2018 |
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2017 |
|
Qurate Retail |
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Net earnings (loss) from continuing operations |
|
$ |
(456) |
|
674 |
|
1,208 |
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Net earnings (loss) from discontinued operations |
|
$ |
NA |
|
NA |
|
NA |
|
Liberty Ventures |
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|
|
|
|
|
|
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Net earnings (loss) from continuing operations |
|
$ |
NA |
|
101 |
|
781 |
|
Net earnings (loss) from discontinued operations |
|
$ |
NA |
|
141 |
|
452 |
|
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| Schedule of weighted average number of shares outstanding |
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Years ended December 31, |
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2019 |
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2018 |
|
2017 |
|
|
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|
number of shares in millions |
|
Basic WASO |
|
|
424 |
|
462 |
|
445 |
|
Potentially dilutive shares |
|
|
— |
|
3 |
|
3 |
|
Diluted WASO |
|
|
424 |
|
465 |
|
448 |
|
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| Liberty Ventures common stock |
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| Schedule of weighted average number of shares outstanding |
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Years ended December 31, |
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2019 |
|
2018 (1) |
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2017 |
|
|
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|
number of shares in millions |
|
Basic WASO |
|
|
NA |
|
86 |
|
86 |
|
Potentially dilutive shares |
|
|
NA |
|
1 |
|
1 |
|
Diluted WASO |
|
|
NA |
|
87 |
|
87 |
|
|
(1) |
All of the outstanding shares of Liberty Ventures Series A and B common stock were redeemed for GCI Liberty Series A and B common stock as a result of the GCI Liberty Split-Off on March 9, 2018. |
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| ASU 2014-09 |
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| Schedule of impact of new accounting pronouncements |
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As reported |
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Balance without |
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|
Year ended |
|
|
|
adoption of |
|
|
|
December 31, 2018 |
|
Impact of ASC 606 |
|
ASC 606 |
|
|
|
in millions |
|
Net revenue |
$ |
14,070 |
|
(154) |
|
13,916 |
|
|
|
|
|
|
|
|
|
Cost of retail sales |
$ |
9,209 |
|
(13) |
|
9,196 |
|
Selling, general and administrative expenses, including stock-based compensation and transaction related costs |
$ |
1,897 |
|
(126) |
|
1,771 |
|
Operating expense |
$ |
970 |
|
(2) |
|
968 |
|
Income tax (expense) benefit |
$ |
(60) |
|
2 |
|
(58) |
|
Net income |
$ |
916 |
|
(11) |
|
905 |
|
|