Unaudited Selected Quarterly Financial Information (Tables)

12 Months Ended

Dec. 31, 2022

Accounting Changes and Error Corrections [Abstract]

Schedule of Error Corrections and Prior Period Adjustments

The following table presents summarized unaudited consolidated quarterly financial information for each of the quarters in the year ended December 31, 2022 (in thousands, except per share amounts):


	Three Months Ended
	December 31, 2022		September 30, 2022 As Restated		June 30, 2022 As Restated		March 31, 2022 As Restated
Revenue	$	146,626	$	155,277	$	162,649	$	155,427
Cost of revenue	47,448		50,314		57,151		56,182
Gross profit	99,178		104,963		105,498		99,245
Operating expenses:
Sales and marketing	47,920		67,369		71,721		76,874
Technology and development	18,821		17,457		16,197		17,959
General and administrative	27,497		30,103		28,969		29,488
Impairment of long-lived and other assets	11		237		—		—
Total operating expenses	94,249		115,166		116,887		124,321
Income (loss) from operations	4,929		(10,203)		(11,389)		(25,076)
Interest income (expense), net	1,032		535		29		(53)
Other income (expense), net	1,625		(2,536)		(2,022)		(1,544)
Impairment of other equity security	(3,000)		—		—		—
Income (loss) before income taxes	4,586		(12,204)		(13,382)		(26,673)
Provision for (benefit from) income taxes	2,842		(223)		(639)		(920)
Net income (loss)	$	1,744	$	(11,981)	$	(12,743)	$	(25,753)
Net income (loss) per share attributable to common stockholders—basic and diluted:	$	0.01	$	(0.06)	$	(0.06)	$	(0.13)
Weighted-average shares used to compute net income (loss) per share attributable to common stockholders—basic:	192,401		194,906		197,819		198,265
Weighted-average shares used to compute net income (loss) per share attributable to common stockholders—diluted:	193,327		194,906		197,819		198,265

Description of Restatement of Financial Information

In the following tables, we have presented a reconciliation of our unaudited condensed consolidated financial information as originally reported, to the as restated amounts as of and for the three months ended March 31, 2022, the three and six months ended June 30, 2022, and the three and nine months ended September 30, 2022. The restatements will be effected in future filings of our 2023 unaudited condensed consolidated financial statements within our Quarterly Reports on Form 10-Q.

The table below sets forth the unaudited condensed consolidated balance sheet information, including the balances as reported, adjustments and the balances as restated (in thousands, except per share amounts):


	September 30, 2022						June 30, 2022						March 31, 2022
	As Reported		Adjustments		As Restated		As Reported		Adjustments		As Restated		As Reported		Adjustments		As Restated
Assets
Current assets:
Cash and cash equivalents	$	211,812	$	—	$	211,812	$	215,537	$	—	$	215,537	$	247,504	$	—	$	247,504
Accounts receivable, net of allowance $4,419, $4,508. and $3,633, respectively	13,578		122		13,700		12,993		—		12,993		12,784		605		13,389
Prepaid expenses and other current assets	16,624		(264)		16,360		13,860		—		13,860		23,172		(242)		22,930
Current assets held for sale	22,722		—		22,722		—		—		—		—		—		—
Total current assets	264,736		(142)		264,594		242,390		—		242,390		283,460		363		283,823
Property and equipment, net	29,012		—		29,012		49,342		—		49,342		47,769		—		47,769
Goodwill	63,184		—		63,184		59,933		—		59,933		59,994		—		59,994
Intangible assets, net	13,552		—		13,552		14,570		—		14,570		15,361		—		15,361
Operating lease right-of-use assets	11,796		—		11,796		6,961		—		6,961		5,292		—		5,292
Deferred income taxes	27,473		2,803		30,276		25,685		4,064		29,749		24,849		3,877		28,726


Available-for-sale debt securities	1,183		—		1,183		1,182		—		1,182		1,182		—		1,182
Other assets	12,877		(1)		12,876		13,319		(7)		13,312		13,157		—		13,157
Total assets	$	423,813	$	2,660	$	426,473	$	413,382	$	4,057	$	417,439	$	451,064	$	4,240	$	455,304
Liabilities and stockholders’ equity
Current liabilities:
Accounts payable	25,805		—		25,805		18,404		—		18,404		31,747		—		31,747
Accrued expenses and other current liabilities	59,916		(21)		59,895		55,820		(1,235)		54,585		56,509		97		56,606
Deferred revenue	168,705		(738)		167,967		163,140		—		163,140		163,729		(713)		163,016
Operating lease liabilities	2,054		—		2,054		1,542		—		1,542		1,607		—		1,607
Total current liabilities	256,480		(759)		255,721		238,906		(1,235)		237,671		253,592		(616)		252,976
Operating lease liabilities, non-current	9,568		—		9,568		4,842		—		4,842		3,505		—		3,505
Deferred revenue	1,013		—		1,013		1,137		—		1,137		1,283		—		1,283
Other liabilities	2,926		—		2,926		2,841		—		2,841		2,833		—		2,833
Total liabilities	269,987		(759)		269,228		247,726		(1,235)		246,491		261,213		(616)		260,597
Commitments and contingencies
Stockholders’ equity:
Preferred stock, $0.001 par value; 100,000 shares authorized; 0 issued or outstanding at September 30, 2022, June 30, 2022, and March 31, 2022, respectively	—		—		—		—		—		—		—		—		—
Common stock, $0.001 par value; 1,000,000 shares authorized; 193,848, 196,076, and 198,599 shares issued and outstanding at September 30, 2022, June 30, 2022, and March 31, 2022, respectively	193		—		193		196		—		196		198		—		198
Additional paid-in capital	1,015,068		—		1,015,068		994,558		—		994,558		969,731		—		969,731
Accumulated deficit	(865,933)		3,419		(862,514)		(830,952)		5,292		(825,660)		(779,723)		4,856		(774,867)
Accumulated other comprehensive income (loss)	4,498		—		4,498		1,854		—		1,854		(355)		—		(355)
Total stockholders’ equity	153,826		3,419		157,245		165,656		5,292		170,948		189,851		4,856		194,707
Total liabilities and stockholders’ equity	$	423,813	$	2,660	$	426,473	$	413,382	$	4,057	$	417,439	$	451,064	$	4,240	$	455,304

The table below sets forth the unaudited condensed consolidated statements of operations, including the balances as reported, adjustments and the as restated balances (in thousands, except per share amounts):


	Three Months Ended
	September 30, 2022						June 30, 2022						March 31, 2022
	As Reported		Adjustments		As Restated		As Reported		Adjustments		As Restated		As Reported		Adjustments		As Restated
Revenue	$	154,416	$	861	$	155,277	$	163,867	$	(1,218)	$	162,649	$	154,209	$	1,218	$	155,427
Cost of revenue	50,050		264		50,314		57,393		(242)		57,151		55,940		242		56,182
Gross profit	104,366		597		104,963		106,474		(976)		105,498		98,269		976		99,245
Operating expenses:
Sales and marketing	66,145		1,224		67,369		72,945		(1,224)		71,721		76,874		—		76,874
Technology and development	17,457		—		17,457		16,197		—		16,197		17,959		—		17,959
General and administrative	30,103		—		30,103		28,969		—		28,969		29,488		—		29,488
Impairment of long-lived and other assets	237		—		237		—		—		—		—		—		—
Total operating expenses	113,942		1,224		115,166		118,111		(1,224)		116,887		124,321		—		124,321
Loss from operations	(9,576)		(627)		(10,203)		(11,637)		248		(11,389)		(26,052)		976		(25,076)
Interest income (expense), net	535		—		535		29		—		29		(53)		—		(53)
Other expense, net	(2,536)		—		(2,536)		(2,022)		—		(2,022)		(1,544)		—		(1,544)
Loss before income taxes	(11,577)		(627)		(12,204)		(13,630)		248		(13,382)		(27,649)		976		(26,673)
(Benefit from) provision for income taxes	(1,469)		1,246		(223)		(451)		(188)		(639)		2,960		(3,880)		(920)
Net loss	$	(10,108)	$	(1,873)	$	(11,981)	$	(13,179)	$	436	$	(12,743)	$	(30,609)	$	4,856	$	(25,753)
Net loss per share attributable to common stockholders—basic and diluted:	$	(0.05)	$	—	$	(0.06)	$	(0.07)	$	—	$	(0.06)	$	(0.15)	$	—	$	(0.13)
Weighted-average shares used to compute net loss per share attributable to common stockholders—basic and diluted:	194,906		—		194,906		197,819		—		197,819		198,265		—		198,265

The table below sets forth the unaudited condensed consolidated statements of operations, including the balances as reported, adjustments and the balances as restated (in thousands, except per share amounts):


	Nine Months Ended						Six Months Ended
	September 30, 2022						June 30, 2022
	As Reported		Adjustments		As Restated		As Reported		Adjustments		As Restated
Revenue	$	472,492	$	861	$	473,353	$	318,076	$	—	$	318,076
Cost of revenue	163,383		264		163,647		113,333		—		113,333
Gross profit	309,109		597		309,706		204,743		—		204,743
Operating expenses:
Sales and marketing	215,964		—		215,964		149,819		(1,224)		148,595
Technology and development	51,613		—		51,613		34,156		—		34,156
General and administrative	88,560		—		88,560		58,457		—		58,457
Impairment of long-lived and other assets	237		—		237		—		—		—
Total operating expenses	356,374		—		356,374		242,432		(1,224)		241,208
Loss from operations	(47,265)		597		(46,668)		(37,689)		1,224		(36,465)
Interest income (expense), net	511		—		511		(24)		—		(24)
Other expense, net	(6,102)		—		(6,102)		(3,566)		—		(3,566)
Loss before income taxes	(52,856)		597		(52,259)		(41,279)		1,224		(40,055)
Provision for (benefit from) income taxes	1,040		(2,822)		(1,782)		2,509		(4,068)		(1,559)
Net loss	$	(53,896)	$	3,419	$	(50,477)	$	(43,788)	$	5,292	$	(38,496)
Net loss per share attributable to common stockholders—basic and diluted:	$	(0.27)	$	—	$	(0.26)	$	(0.22)	$	—	$	(0.19)
Weighted-average shares used to compute net loss per share attributable to common stockholders—basic and diluted:	196,984		—		196,984		198,040		—		198,040

The tables below sets forth the unaudited condensed consolidated statements of comprehensive (loss) income, including balances as reported, adjustments and balances as restated amounts (in thousands):


	Three Months Ended
	September 30, 2022						June 30, 2022						March 31, 2022
	As Reported		Adjustments		As Restated		As Reported		Adjustments		As Restated		As Reported		Adjustments		As Restated
Net Loss	$	(10,108)	$	(1,873)	$	(11,981)	$	(13,179)	$	436	$	(12,743)	$	(30,609)	$	4,856	$	(25,753)
Total other comprehensive income	2,644		—		2,644		2,209		—		2,209		1,440		—		1,440
Total comprehensive loss	$	(7,464)	$	(1,873)	$	(9,337)	$	(10,970)	$	436	$	(10,534)	$	(29,169)	$	4,856	$	(24,313)


	Nine Months Ended September 30, 2022						Six Months Ended June 30, 2022
	As Reported		Adjustments		As Restated		As Reported		Adjustments		As Restated
Net loss	$	(53,896)	$	3,419	$	(50,477)	$	(43,788)	$	5,292	$	(38,496)
Total other comprehensive income	6,293		—		6,293		3,649		—		3,649
Total comprehensive loss	$	(47,603)	$	3,419	$	(44,184)	$	(40,139)	$	5,292	$	(34,847)

The table below sets forth the unaudited condensed consolidated statements of stockholders’ equity, including balances as reported, adjustments and balances as restated amounts (in thousands):


	Common Stock			Additional Paid-In Capital		Accumulated Deficit		Accumulated Other Comprehensive (Loss) income		Total Stockholders’ Equity
	Shares	Amount
Balance at March 31, 2022 as reported	198,599	$	198	$	969,731	$	(779,723)	$	(355)	$	189,851
Cumulative adjustments to net loss	—	—		—		4,856		—		4,856
Balance at March 31, 2022 as restated	198,599	$	198	$	969,731	$	(774,867)	$	(355)	$	194,707

Balance at June 30, 2022 as reported	196,079	$	196	$	994,558	$	(830,952)	$	1,854	$	165,656
Cumulative adjustments to net loss	—	—		—		5,292		—		5,292
Balance at June 30, 2022 as restated	196,079	$	196	$	994,558	$	(825,660)	$	1,854	$	170,948

Balance at September 30, 2022 as reported	193,848	$	193	$	1,015,068	$	(865,933)	$	4,498	$	153,826
Cumulative adjustments to net loss	—	—		—		3,419		—		3,419
Balance at September 30, 2022 as restated	193,848	$	193	$	1,015,068	$	(862,514)	$	4,498	$	157,245

The table below sets forth the unaudited condensed consolidated statements of cash flows, including balances as reported, adjustments and balances as restated amounts (in thousands):


	Nine Months Ended September 30, 2022						Six Months Ended June 30, 2022						Three Months Ended March 31, 2022
	As Reported		Adjustments		As Restated		As Reported		Adjustments		As Restated		As Reported		Adjustments		As Restated

Cash flows from operating activities
Net loss	$	(53,896)	$	3,419	$	(50,477)	$	(43,788)	$	5,292	$	(38,496)	$	(30,609)	$	4,856	$	(25,753)
Adjustments to reconcile net loss to net cash provided by operating activities:
Depreciation and amortization	16,187		—		16,187		10,933		—		10,933		5,394		—		5,394
Amortization of right-of-use assets	1,290		—		1,290		852		—		852		378		—		378
Amortization of debt issuance costs	170		—		170		112		—		112		56		—		56
Impairment of other equity securities	170		—		170		170		—		170		170		—		170
Impairment of long-lived assets	237		—		237		—		—		—		—		—		—
Stock-based compensation	64,490		—		64,490		44,712		—		44,712		21,865		—		21,865
Deferred income taxes	166		(2,803)		(2,637)		1,955		(4,064)		(2,109)		2,791		(3,877)		(1,086)
Change in fair value of contingent consideration	(150)		—		(150)		(150)		—		(150)		—		—		—
Unrealized foreign exchange loss	5,958		—		5,958		3,405		—		3,405		1,379		—		1,379
Other	(1)		—		(1)		(1)		—		(1)		—		—		—
Changes in operating assets and liabilities, net of effects of business combination:
Accounts receivable	(2,902)		(122)		(3,024)		(2,357)		—		(2,357)		(2,150)		(605)		(2,755)
Prepaid expenses and other current assets	(560)		264		(296)		(417)		—		(417)		(6,706)		242		(6,464)
Other assets	(864)		1		(863)		(345)		7		(338)		(811)		—		(811)
Accounts payable	(6,417)		—		(6,417)		(13,553)		—		(13,553)		(117)		—		(117)
Accrued expenses and other liabilities	7,606		(21)		7,585		8,156		(1,235)		6,921		5,675		97		5,772
Operating lease liabilities	(1,599)		—		(1,599)		(1,642)		—		(1,642)		(770)		—		(770)
Income tax payable	22		—		22		15		—		15		7		—		7
Deferred revenue	22,108		(738)		21,370		16,700		—		16,700		17,185		(713)		16,472
Net cash provided by operating activities	52,015		—		52,015		24,757		—		24,757		13,737		—		13,737
Cash flows from investing activities
Acquisition, net of cash acquired	(2,532)		—		(2,532)		—		—		—		—		—		—
Proceeds from acquisition working capital adjustment	307		—		307		307		—		307		304		—		304
Purchase of property and equipment	(16,441)		—		(16,441)		(10,379)		—		(10,379)		(4,911)		—		(4,911)
Net cash used in investing activities	(18,666)		—		(18,666)		(10,072)		—		(10,072)		(4,607)		—		(4,607)
Cash flows from financing activities
Repayment of capital lease obligations	—		—		—		—		—		—		(4)		—		(4)
Payment of contingent consideration	(600)		—		(600)		(600)		—		(600)		—		—		—
Repurchase of common stock	(61,736)		—		(61,736)		(39,155)		—		(39,155)		(1,094)		—		(1,094)
Shares surrendered for settlement of minimum statutory tax withholding	(41)		—		(41)		(30)		—		(30)		(11)		—		(11)
Proceeds from issuance of stock under employee stock plans	1,682		—		1,682		1,487		—		1,487		237		—		237
Net cash (used in) financing activities	(60,695)		—		(60,695)		(38,298)		—		(38,298)		(872)		—		(872)
Effect of exchange rate changes on cash and cash equivalents	(139)		—		(139)		(147)		—		(147)		(51)		—		(51)
Net (decrease) increase in cash and cash equivalents, and restricted cash equivalents	(27,485)		—		(27,485)		(23,760)		—		(23,760)		8,207		—		8,207
Cash and cash equivalents, and restricted cash equivalents, at beginning of the period	239,297		—		239,297		239,297		—		239,297		239,297		—		239,297
Cash and cash equivalents at end of the period	$	211,812	$	—	$	211,812	$	215,537	$	—	$	215,537	$	247,504	$	—	$	247,504