Restructuring and Related Charges

12 Months Ended

Dec. 31, 2024

Restructuring and Related Activities [Abstract]

17. Restructuring and Related Charges

In April 2024, following a strategic review of the combined business after completion of the Merger, the Company announced a workforce reduction plan (the "Strategic Reorganization") to reduce operating costs and focus on long-term growth opportunities. Under this Strategic Reorganization, the Company reduced its workforce by approximately 10% of its total workforce, with the majority of these employees separating by July 2024. Employees who were impacted by the Strategic Reorganization were eligible to receive severance and other benefits contingent upon an impacted employee's execution of a separation agreement. Certain impacted employees were covered by employment agreements or existing severance plans that provided termination benefits.

One-time termination benefits were recorded pursuant to ASC 420, Exit or Disposal Cost Obligations, while termination benefits under ongoing benefit arrangement were recorded pursuant to ASC 712, Compensation - Nonretirement Postemployment Benefits.

The Company recognized restructuring charges of approximately $12.5 million during the year ended December 31, 2024, related to a restructuring plan implemented after the Merger to integrate operations and realize synergies.

For the years ended December 31, 2023 and 2022, the Company recognized restructuring and related charges of $7.1 million and $9.7 million, respectively, related to a restructuring plan implemented in 2022 to improve the Company's operational efficiency.

The Company also continues to recognize ongoing restructuring charges from its restructuring plans for facility-related costs, which will continue through the termination of the facility leases.

The following table summarizes the change in the Company’s restructuring and other related liabilities for the years ended December 31, 2024, 2023, and 2022 (in thousands):


	Severance and other employee- related benefits(1)			Facility Costs			Other(2)			Total
Balance at December 31, 2021	$	—		$	—		$	—		$	—
Restructuring and related charges		5,849			2,885			998			9,732
Cash payments		(1,835	)		(2,885	)		(979	)		(5,699	)
Balance at December 31, 2022		4,014			—			19			4,033
Restructuring and related charges		2,379			4,160			537			7,076
Cash payments		(5,568	)		(4,160	)		(556	)		(10,284	)
Balance at December 31, 2023		825			—			—			825
Restructuring and related charges		8,988			2,779			733			12,500
Cash payments		(8,232	)		(2,779	)		(733	)		(11,744	)
Balance at December 31, 2024	$	1,581		$	—		$	—		$	1,581

(1)

Restructuring liabilities are recorded in accrued liabilities on the consolidated balance sheets. Substantially all severance and other employee-related benefits related to ongoing benefit arrangements and were recorded pursuant to ASC 712.

(2)

Other restructuring liabilities are comprised mainly of sublease commissions and are recorded in other accrued liabilities on the consolidated balance sheets.

The Company’s restructuring and related charges by segment and corporate were as follows (in thousands):


	Year Ended December 31,
	2024		2023		2022
Restructuring:
Proteomics	$	—	$	1,010	$	1,363
Genomics		—		714		1,273
Corporate expenses		12,500		5,352		7,096
Total restructuring and related charges	$	12,500	$	7,076	$	9,732