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Discontinued Operations | 6 Months Ended
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Jun. 30, 2025
Discontinued Operations and Disposal Groups [Abstract] |
Discontinued Operations | Discontinued Operations On March 18, 2024, the Company discontinued the Sports Illustrated media business (the “SI Business”) that was operated under the Licensing Agreement with ABG-SI, LLC (“ABG”) dated June 14, 2019 (as amended to date, the “Licensing Agreement”). This discontinuation of the SI Business (i.e., discontinued operations) followed the termination of the Licensing Agreement by ABG on January 18, 2024. The last date of any obligation of the Company to perform under the Licensing Agreement was March 18, 2024. In connection with the termination, certain ABG Warrants vested (further described in Note 14). On April 29, 2025, the ABG Group Legal Matters (as further described in Note 18) were resolved through a confidential settlement with outstanding liabilities being released by all sides. In connection with the settlement, all ABG Warrants were forfeited. The table below sets forth the income (loss) from discontinued operations:
| Three Months Ended June 30, |  | Six Months Ended June 30,
| 2025 |  | 2024 |  | 2025 |  | 2024
Revenue (1) | $ | 45,107 |  |  | $ | 404 |  |  | $ | 45,107 |  |  | $ | 22,252 |
Cost of revenue (2) | (1,344) |  |  | 865 |  |  | (1,367) |  |  | 14,846 |
Gross profit (loss) | 46,451 |  |  | (461) |  |  | 46,474 |  |  | 7,406 |
Operating expenses: |  |  |  |  |  |  |
Selling and marketing (2) | (805) |  |  | 499 |  |  | (805) |  |  | 12,002 |
General and administrative (3) | (48,971) |  |  | 301 |  |  | (48,971) |  |  | 45,493 |
Depreciation and amortization | — |  |  | — |  |  | — |  |  | 2,401 |
Loss on impairment of assets (4) | — |  |  | — |  |  | — |  |  | 39,391 |
Total operating expenses (income) | (49,776) |  |  | 800 |  |  | (49,776) |  |  | 99,287 |
Income (loss) from discontinued operations | 96,227 |  |  | (1,261) |  |  | 96,250 |  |  | (91,881) |
Income tax provision | — |  |  | 12 |  |  | — |  |  | (6) |
Net income (loss) from discontinued operations | $ | 96,227 |  |  | $ | (1,249) |  |  | $ | 96,250 |  |  | $ | (91,887) |
(1) Revenue for the three and six months ended June 30, 2025 include the derecognition of SI related subscription liabilities of $45,107 for which the Company has no remaining obligations. (2) Cost of revenue and selling and marking expenses for the three and six months ended June 30, 2025, include adjustments to previously reported accounts payable that were settled for a reduced amount. (3) General and administrative expenses for the three and six months ended June 30, 2025, include a reversal of SI business related liabilities, including a $45,000 termination fee liability (recorded in the six months ended June 30, 2024), a $3,750 royalty fee liability and $221 of previously reported accounts payable that was settled for a reduced amount. (4) Loss on impairment of assets for the six months ended June 30, 2024 of $39,391, includes $8,601 for the impairment of intangible assets and $30,790 for the impairment of subscription acquisition costs. The table below sets forth the major classes of liabilities of the discontinued operations:
| As of
| June 30, 2025 |  | December 31, 2024
Liabilities |  |  |
Accounts payable | $ | — |  |  | $ | 1,783 |
Accrued expenses and other | — |  |  | 519 |
Subscription refund liability | — |  |  | 423 |
Royalty fee liability (1) | — |  |  | 3,750 |
Termination fee liability (1) | — |  |  | 45,000 |
Subscription liability | — |  |  | 44,684 |
Current/total liabilities from discontinued operations | $ | — |  |  | $ | 96,159 |
(1) Further details related to the royalty fee liability of $3,750 and termination fee liability of $45,000 are described under the heading ABG Group Legal Matters in Note 18. The table below sets forth the cash flows of the discontinued operations:
| Six Months Ended June 30,
| 2025 |  | 2024
Cash flows from operating activities from discontinued operations |  |  |
Net income (loss) from discontinued operations | $ | 96,250 |  |  | $ | (91,887) |
Adjustments to reconcile net income (loss) to net cash provided by operating activities: |  |  |
Amortization of intangible assets | — |  |  | 2,401 |
Loss on impairment of assets | — |  |  | 39,391 |
Stock-based compensation | — |  |  | 564 |
Change in operating assets and liabilities: |  |  |
Accounts receivable, net | — |  |  | 12,121 |
Subscription acquisition costs | — |  |  | 6,131 |
Prepayments and other current assets | — |  |  | 807 |
Accounts payable | (1,783) |  |  | 2,931 |
Accrued expenses and other | (519) |  |  | (203) |
Subscription refund liability | (423) |  |  | 20 |
Subscription liability | (44,684) |  |  | (8,042) |
Royalty fee liability | (3,750) |  |  | — |
Termination fee liability | (45,000) |  |  | 45,000 |
Net cash provided by operating activities from discontinued operations | $ | 91 |  |  | $ | 9,234 |
Further details regarding legal matters in connection with the discontinued operations are provided under the heading ABG Group Legal Matters in Note 18.

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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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