XML 36 R26.htm IDEA: XBRL DOCUMENT v3.25.1
Restructuring Costs
 3 Months Ended
Mar. 31, 2025
Restructuring and Related Activities [Abstract]  
Restructuring Costs Restructuring Costs
2025 Restructuring Plan
During the three months ended March 31, 2025, our board of directors authorized a reduction of our global workforce as part of a restructuring plan intended to optimize our cost structure and focus our investment of resources in key priority areas to align with strategic changes (2025 Restructuring Plan).
As part of the 2025 Restructuring Plan, we reduced headcount throughout both our professional services and technology segments. The restructuring costs primarily related to severance and other team member costs from workforce reductions.
Restructuring liabilities related to the 2025 Restructuring Plan are included as a component of accrued liabilities on our condensed consolidated balance sheets. The following table summarizes our current year restructuring-related activities, including costs incurred, cash payments, and the resulting liability balances (in thousands):
Restructuring Liabilities
(unaudited)
Balance as of December 31, 2024
$— 
Severance and other restructuring costs
3,558 
Cash payments(2,919)
Balance as of March 31, 2025
$639 

The following table summarizes our 2025 Restructuring Plan costs by financial statement line item for the three months ended March 31, 2025 (in thousands):
Three Months Ended March 31, 2025
Total Severance and Other Team Member Costs
(unaudited)
Cost of revenue, excluding depreciation and amortization:
Technology$401 
Professional services998 
Sales and marketing352 
Research and development1,671 
General and administrative136 
Total $3,558 
Our restructuring activities as part of the 2025 Restructuring Plan are expected to be substantially complete by June 30, 2025. We expect additional restructuring costs of at least $0.5 million in the second quarter of 2025. Restructuring initiatives continue to be under evaluation, which may result in additional restructuring costs and associated payments.
2023 Restructuring Plan
During the quarter and year ended December 31, 2023, our board of directors authorized a reduction of our global workforce as part of a restructuring plan intended to optimize our cost structure and focus our investment of resources in key priority areas to align with strategic changes (2023 Restructuring Plan).
As part of the 2023 Restructuring Plan, we significantly reduced headcount throughout both our professional services and technology segments, including among our senior leadership team. The restructuring costs primarily related to severance and other team member costs from workforce reductions and impairment of a discontinued capitalized internal-use software project. As of December 31, 2024, the related restructuring liabilities were completely settled through cash outlays made to impacted team members.
The following table summarizes our 2023 Restructuring Plan costs by financial statement line item for the three months ended March 31, 2024 (in thousands).
Three Months Ended March 31, 2024
Severance and Other Team Member Costs
Impairment Charges(1)
Total
(unaudited)
Cost of revenue, excluding depreciation and amortization:
Technology$661 $— $661 
Professional services181 — 181 
Sales and marketing443 — 443 
Research and development449 — 449 
General and administrative79 — 79 
Total $1,813 $— $1,813 
2023 Restructuring Plan final, cumulative charges incurred through December 31, 2024
$8,240 $615 $8,855 
____________________
(1)Consists of impairment of a discontinued internal-use software project as part of the 2023 Restructuring Plan.