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DISCONTINUED OPERATIONS | 12 Months Ended
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Dec. 31, 2025
Discontinued Operations and Disposal Groups [Abstract] |
DISCONTINUED OPERATIONS | NOTE 3: DISCONTINUED OPERATIONS On December 8, 2025, the Company entered into a Put Option Agreement to divest our Video business to Leone Media Inc. for $145 million, subject to working capital and other adjustments. The following table summarizes the carrying values of the assets and liabilities classified as held-for-sale in our consolidated balance sheet as of December 31, 2025:
|  |  |  | As of December 31,
(in thousands) |  |  |  | 2025 |  | 2024
Assets |  |  |  |  |  |  |  |
Accounts receivable, net |  |  |  | $ | 38,895 |  | $ | 34,289
Inventories |  |  |  |  | 23,890 |  |  | 20,944
Prepaids and other current assets |  |  |  |  | 13,207 |  |  | 12,714
Property and equipment, net |  |  |  |  | 1,296 |  |  | 1,661
Goodwill |  |  |  |  | 123,479 |  |  | 176,103
Deferred income taxes, net |  |  |  |  | 8,742 |  |  | 7,122
Other non-current assets |  |  |  |  | 14,452 |  |  | 14,178
Total assets held for sale |  |  |  | $ | 223,961 |  | $ | 267,011
Liabilities |  |  |  |  |  |  |  |
Current portion of other borrowings |  |  |  | $ | 5,605 |  | $ | 4,941
Accounts payable |  |  |  |  | 8,004 |  |  | 6,932
Deferred revenue |  |  |  |  | 26,577 |  |  | 32,684
Other current liabilities |  |  |  |  | 22,936 |  |  | 17,695
Other long-term borrowings |  |  |  |  | 8,076 |  |  | 8,694
Other non-current liabilities |  |  |  |  | 14,473 |  |  | 16,020
Total liabilities to be disposed of |  |  |  | $ | 85,671 |  | $ | 86,966
The operating results of the discontinued operations only reflect revenues and expenses that are directly attributable to the Video business that will be eliminated from continuing operations. The following table presents key components of "Loss from discontinued operations, net of tax" for the years ended December 31, 2025, 2024 and 2023:
| Year Ended December 31,
(in thousands) | 2025 |  | 2024 |  | 2023
Revenue | $ | 210,317 |  | $ | 190,522 |  | $ | 219,425
Cost of revenue |  | 68,614 |  |  | 64,708 |  |  | 85,001
Total gross profit |  | 141,703 |  |  | 125,814 |  |  | 134,424
Operating expenses: |  |  |  |  |  |  |  |
Research and development |  | 46,955 |  |  | 48,401 |  |  | 56,574
Selling, general and administrative |  | 73,969 |  |  | 73,955 |  |  | 85,396
Impairment of goodwill |  | 57,521 |  |  | — |  |  | —
Asset impairment and other charges |  | — |  |  | 1,824 |  |  | —
Restructuring and related charges |  | 422 |  |  | 13,232 |  |  | 311
Total operating expenses |  | 178,867 |  |  | 137,412 |  |  | 142,281
Loss from discontinued operations |  | (37,164) |  |  | (11,598) |  |  | (7,857)
Interest expense, net |  | (699) |  |  | (861) |  |  | (669)
Other income (expense), net |  | 1,116 |  |  | (1,144) |  |  | (178)
Loss from discontinued operations before income taxes |  | (36,747) |  |  | (13,603) |  |  | (8,704)
Provision for (benefit from) income taxes |  | 7,779 |  |  | (2,102) |  |  | (4,360)
Loss from discontinued operations, net of tax | $ | (44,526) |  | $ | (11,501) |  | $ | (4,344)
Cash flows related to discontinued operations have not been segregated and are included in the Consolidated Statements of Cash Flows for all periods presented. The following table provides selected financial information related to cash flows from discontinued operations:
| Year Ended December 31,
(in thousands) | 2025 |  | 2024 |  | 2023
Cash provided by operating activities | $ | 2,532 |  | $ | 2,778 |  | $ | 1,754
Cash used in investing activities |  | (801) |  |  | (1,775) |  |  | (718)
Cash used in financing activities | $ | (1,731) |  | $ | (1,003) |  | $ | (1,036)
Upon classification as held for sale, we recognized a goodwill impairment charge of $57.5 million within "Net loss from discontinued operations" in the consolidated statements of operations. We expect the transaction, which is subject to customary closing conditions and regulatory approvals, to close during the first half of fiscal 2026.

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- Definition The entire disclosure related to a disposal group. Includes, but is not limited to, a discontinued operation, disposal classified as held-for-sale or disposed of by means other than sale or disposal of an individually significant component. + References Reference 1: http://fasb.org/us-gaap/role/ref/legacyRef -Topic 205 -SubTopic 20 -Name Accounting Standards Codification -Publisher FASB -URI https://asc.fasb.org/205-20/tableOfContent Reference 2: http://fasb.org/us-gaap/role/ref/legacyRef -Topic 360 -Name Accounting Standards Codification -Publisher FASB -URI https://asc.fasb.org/360/tableOfContent + Details
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