Quarterly report [Sections 13 or 15(d)]

Information About QVC Group's Operating Segments

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Information About QVC Group's Operating Segments
 6 Months Ended
Jun. 30, 2026
Segment Reporting, Disclosure of Other Information about Entity's Reportable Segments [Abstract]  
Information About QVC Group's Operating Segments
(10) Information About QVC Group's Operating Segments
QVC Group, through its ownership interests in subsidiaries and other companies, is primarily engaged in the video and online commerce industries. QVC Group identifies its reportable segments as (A) those operating segments that represent 10% or more of its consolidated annual revenue, annual Adjusted OIBDA (as defined below) or total assets and (B) those equity method affiliates whose share of earnings represent 10% or more of QVC Group's annual pre-tax earnings.
The QVC Group Chief Operating Decision Maker (“CODM”), the Chief Executive Officer, evaluates performance and makes decisions about allocating resources to its operating segments based on financial measures such as revenue, cost of goods sold, gross profit, operating expense, advertising expense, selling, general and administrative expenses (“SG&A”) and Adjusted OIBDA (as defined below), in addition to average sales price per unit, number of units shipped and revenue or sales per customer equivalent. In addition, QVC Group reviews nonfinancial measures such as unique website visitors, conversion rates and active customers, as appropriate.
For segment reporting purposes, QVC Group defines Adjusted OIBDA as total revenue, net less cost of goods sold, operating expenses, and SG&A excluding stock-based compensation and, where applicable, separately identified items impacting comparability. QVC Group believes this measure is an important indicator of the operational strength and
performance of its businesses by identifying those items that are not directly a reflection of each business’ performance or indicative of ongoing business trends. In addition, this measure allows management to view operating results and perform analytical comparisons and benchmarking between businesses and identify strategies to improve performance. This measure of performance excludes depreciation and amortization, stock-based compensation, and where applicable, separately identified impairments, litigation settlements, restructuring (benefits) costs, pre-petition charges (primarily professional fees directly related to, and incurred prior to, the filing of the Chapter 11 Cases), and (gain) loss on sale of assets, that are included in the measurement of operating income (loss) pursuant to GAAP. Accordingly, Adjusted OIBDA should be considered in addition to, but not as a substitute for, operating income (loss), net earnings (loss), cash flows provided by operating activities and other measures of financial performance prepared in accordance with GAAP. QVC Group generally accounts for intersegment sales and transfers as if the sales or transfers were to third parties, that is, at current prices.
For the six months ended June 30, 2026, QVC Group has identified the following operating segments as its reportable segments:
•QxH – QVC U.S. and HSN market and sell a wide variety of consumer products in the U.S., primarily by means of their televised shopping programs and via the internet through their websites (including social media) and mobile applications.
•QVC International – QVC International markets and sells a wide variety of consumer products in several foreign countries, primarily by means of its televised shopping programs and via the internet through its international websites (including social media) and mobile applications.
•CBI – CBI consists of a portfolio of aspirational home and apparel brands in the U.S. that sell merchandise through brick-and-mortar retail locations as well as via the internet through their websites.
QVC Group's operating segments are strategic business units that offer different products and services. They are managed separately because each segment requires different technologies, distribution channels and marketing strategies. The accounting policies of the segments are the same as those described in the Company's Summary of Significant Accounting Policies in the 2025 10-K.
Performance Measures
Disaggregated total revenue, net by segment and product category consisted of the following:
Three months ended June 30, 2026
QxH QVC Int'l CBI Total
in millions
Home $ 468  227  197  892 
Apparel 277  97  36  410 
Beauty 173  126  —  299 
Accessories 155  48  —  203 
Jewelry 63  35  —  98 
Electronics 44  16  —  60 
Other revenue 36  —  —  36 
Total revenue, net $ 1,216  549  233  1,998 
Six months ended June 30, 2026
QxH QVC Int'l CBI Total
in millions
Home $ 965  450  344  1,759 
Apparel 524  193  77  794 
Beauty 352  241  —  593 
Accessories 302  96  —  398 
Jewelry 128  72  —  200 
Electronics 104  35  —  139 
Other revenue 72  —  —  72 
Total revenue, net $ 2,447  1,087  421  3,955 

Three months ended June 30, 2025
QxH QVC Int'l CBI Total
in millions
Home $ 527  233  214  974 
Apparel 299  112  38  449 
Beauty 208  138  —  346 
Accessories 180  56  —  236 
Jewelry 62  37  —  99 
Electronics 76  16  —  92 
Other revenue 39  1  —  40 
Total revenue, net $ 1,391  593  252  2,236 
Six months ended June 30, 2025
QxH QVC Int'l CBI Total
in millions
Home $ 1,065  456  374  1,895 
Apparel 557  211  78  846 
Beauty 419  258  —  677 
Accessories 353  102  —  455 
Jewelry 125  70  —  195 
Electronics 165  31  —  196 
Other revenue 75  2  —  77 
Total revenue, net $ 2,759  1,130  452  4,341 
Other performance measures reviewed by the CODM are as follows:
Three months ended June 30, 2026
QxH QVC Int'l CBI Corporate and other Total
amounts in millions
Total revenue, net $ 1,216  549  233  —  1,998 
Cost of goods sold (excluding depreciation and amortization) 805  359  129  —  1,293 
Gross profit 411  190  104  —  705 
Operating expense 90  45  10  —  145 
Advertising expense 73  13  42  —  128 
SG&A (excluding stock-based compensation, advertising and pre-petition charges) 149  79  33  8  269 
Adjusted OIBDA $ 99  53  19  (8) 163 


Six months ended June 30, 2026
QxH QVC Int'l CBI Corporate and other Total
amounts in millions
Total revenue, net $ 2,447  1,087  421  —  3,955 
Cost of goods sold (excluding depreciation and amortization) 1,629  715  237  —  2,581 
Gross profit 818  372  184  —  1,374 
Operating expense 182  90  19  —  291 
Advertising expense 143  21  83  —  247 
SG&A (excluding stock-based compensation, advertising and pre-petition charges) 302  159  72  14  547 
Adjusted OIBDA $ 191  102  10  (14) 289 


Three months ended June 30, 2025
QxH QVC Int'l CBI Corporate and other Total
amounts in millions
Total revenue, net $ 1,391  593  252  —  2,236 
Cost of goods sold (excluding depreciation and amortization) 900  381  141  —  1,422 
Gross profit 491  212  111  —  814 
Operating expense 107  47  10  —  164 
Advertising expense 68  10  45  —  123 
SG&A (excluding stock-based compensation, advertising and pre-petition charges) 166  80  39  4  289 
Adjusted OIBDA $ 150  75  17  (4) 238 
Six months ended June 30, 2025
QxH QVC Int'l CBI Corporate and other Total
amounts in millions
Total revenue, net $ 2,759  1,130  452  —  4,341 
Cost of goods sold (excluding depreciation and amortization) 1,823  729  256  —  2,808 
Gross profit 936  401  196  —  1,533 
Operating expense 218  90  19  —  327 
Advertising expense 123  18  84  —  225 
SG&A (excluding stock-based compensation, advertising and pre-petition charges) 323  155  80  8  566 
Adjusted OIBDA $ 272  138  13  (8) 415 

Other Information
June 30, 2026 December 31, 2025
Total assets Property and equipment, net Total assets Property and equipment, net
amounts in millions
QxH (1) $ 4,290  153  4,780  166 
QVC International 1,901  135  1,927  150 
CBI 485  85  495  85 
Corporate and other 311  —  441  — 
Consolidated QVC Group $ 6,987  373  7,643  401 
(1) QxH Property and equipment, net as of June 30, 2026 and December 31, 2025 excludes assets classified as assets held for sale in the condensed consolidated balance sheet.
Six months ended June 30,
2026 2025
Capital Expenditures Capital Expenditures
amounts in millions
QxH $ 55  49 
QVC International 10  14 
CBI 8  9 
Consolidated QVC Group $ 73  72 
Three months ended June 30,
2026 2025
Depreciation Amortization Depreciation Amortization
amounts in millions
QxH $ 9  49  26  58 
QVC International 7  6  7  7 
CBI 4  4  3  4 
Consolidated QVC Group $ 20  59  36  69 
Six months ended June 30,
2026 2025
Depreciation Amortization Depreciation Amortization
amounts in millions
QxH $ 18  101  53  113 
QVC International 13  13  14  13 
CBI 7  7  8  6 
Consolidated QVC Group $ 38  121  75  132 

    The following table provides a reconciliation of Adjusted OIBDA to Operating income (loss) and Earnings (loss) before income taxes:
Three months ended
June 30,		 Six months ended
June 30,
2026 2025 2026 2025
amounts in millions
Adjusted OIBDA $ 163  238  289  415 
Depreciation and amortization (79) (105) (159) (207)
Gain (loss) on sale of assets —  —  10  — 
Pre-petition charges (33) (6) (74) (6)
Stock-based compensation —  (4) —  (8)
Impairment of intangible assets —  (930) —  (930)
Impairment of goodwill —  (1,465) —  (1,465)
Restructuring benefits (costs) —  —  —  (57)
Operating income (loss) 51  (2,272) 66  (2,258)
Reorganization items, net (49) —  (49) — 
Interest expense (26) (117) (158) (229)
Interest and dividend income 12  7  24  15 
Realized and unrealized gains (losses) on financial instruments, net 8  (21) 87  (36)
Other, net —  (8) 1  (6)
Earnings (loss) before income taxes $ (4) (2,411) (29) (2,514)