Balance Sheet Components

3 Months Ended

Mar. 31, 2025

Organization, Consolidation and Presentation of Financial Statements [Abstract]

6. Balance Sheet Components

Accounts Receivable and Allowance for Credit Losses

Accounts receivable, net of allowance for credit losses consists of the following:


	March 31, 2025		December 31, 2024
	(In thousands)
Accounts receivable	$	333,753	$	155,089
Allowance for credit losses	(5,367)		(5,922)
Accounts receivable, net of allowance for credit losses	$	328,386	$	149,167

One of the Company’s acquired subsidiaries sells a portion of trade accounts receivable on a non-recourse basis to a third-party financial institution pursuant to factoring. Total trade accounts receivable sold under the factoring arrangement were approximately $0.3 million from the Acquisition date through March 31, 2025, with $0.2 million remaining factored as of March 31, 2025. The factored balances are removed from accounts receivable and the difference between trade receivables and the proceeds received is recorded as interest expense in the Company’s condensed consolidated statements of operations, which was not material for the three months ended March 31, 2025.

The allowance for credit losses consists of the following activity:


	Three Months Ended March 31, 2025		Year Ended December 31, 2024
	(In thousands)
Allowance for credit losses, beginning balance	$	5,922	$	10,380
Provision for credit losses	419		2,445
Write-offs	(974)		(6,903)
Allowance for credit losses, ending balance	$	5,367	$	5,922

Prepaid Expenses and Other Current Assets

Prepaid expenses and other current assets consists of the following:


	March 31, 2025		December 31, 2024
	(In thousands)
Prepaid taxes	$	23,892	$	9,247
Prepaid traffic acquisition costs	8,918		11,379
Prepaid software licenses	5,059		2,233
Other prepaid expenses and other current assets	11,948		4,976
Total prepaid expenses and other current assets	$	49,817	$	27,835

Property, Equipment and Capitalized Software, Net

Property, equipment and capitalized software, net consists of the following:


	March 31, 2025		December 31, 2024
	(In thousands)
Capitalized software development costs(1)	$	89,751	$	88,302
Computer and equipment	69,227		68,303
Leasehold improvements	4,953		3,036
Furniture and fixtures	1,596		978
Software	3,166		3,137
Property, equipment, and capitalized software, gross	168,693		163,756
Less: accumulated depreciation and amortization	(120,814)		(118,506)
Total property, equipment and capitalized software, net	$	47,879	$	45,250

_____________________

(1) During the three months ended March 31, 2025, in connection with the post merger integration following the Acquisition, the Company decided to discontinue its vi video product offering and recorded a charge of $0.4 million to fully impair the remaining unamortized capitalized software development costs associated with this technology.

Accrued and Other Current Liabilities

Accrued and other current liabilities consists of the following:


	March 31, 2025		December 31, 2024
	(In thousands)
Accrued agency commissions	$	47,564	$	18,053
Accrued tax liabilities	25,423		9,002
Accrued professional fees	18,312		18,630
Interest payable	8,755		58
Operating lease obligations, current	8,658		4,033
Other	9,745		6,413
Total accrued and other current liabilities	$	118,457	$	56,189

The Company’s accounts payable includes $219.0 million and $193.4 million of traffic acquisition costs as of March 31, 2025 and December 31, 2024, respectively.