Balance Sheet Components

3 Months Ended

Mar. 31, 2024

Deferred Costs, Capitalized, Prepaid, and Other Assets Disclosure [Abstract]

Note Receivable

Note receivable included in other long-term assets on the condensed consolidated balance sheets consisted of the following as of March 31, 2024 and December 31, 2023:


	March 31,		December 31,
	2024		2023
Note receivable	$	2,000	$	2,000

On July 7, 2023, the Company entered into a Loan and Security Agreement (together, the “Credit Agreement”) whereby it would lend approximately $2.0 million to Big Run Studio (“Big Run”). The designated rate on the credit facility is 11.5%, with interest-only for the first six months being paid, at Big Run’s option each month, (1) in cash or (2) in-kind and compounded monthly to the principal. The interest-only period may be extended in six month increments upon mutual written agreement between Big Run and Skillz. After the interest-only period, principal and interest shall be payable monthly in equal installments. The default rate is 16.5% per annum. Late charges will be assessed at 5% of the payment amount overdue if not paid within five business days of its due date. The credit facility will mature on June 1, 2025, subject to applicable permitted prepayments; provided that upon the occurrence of a six-month extension of the interest-only period, the Company may, at its discretion, also extend the maturity date of the loan by a commensurate six months. The credit facility is perfected by way of a Uniform Commercial Code-1 statement whereby the Company is provided first-order secured rights in the event of default by Big Run.

For the three months ended March 31, 2024, the Company recognized $0.1 million of interest income related to this Credit Agreement.

See Note 16, Subsequent Events.

Prepaid Expenses and Other Current Assets

Prepaid expenses and other current assets consisted of the following as of March 31, 2024 and December 31, 2023:


	March 31,		December 31,
	2024		2023
Credit card processing reserve	$	1,000	$	1,000
Prepaid expenses	3,809		4,364
Other current assets	1,106		1,357
Prepaid expenses and other current assets	$	5,915	$	6,721

Property and Equipment, net

Property and equipment consisted of the following as of March 31, 2024 and December 31, 2023:


	March 31,		December 31,
	2024		2023
Land	$	980	$	980
Building	12,529		10,541
Capitalized internal-use software	9,113		9,113
Computer equipment and servers	1,782		1,410
Furniture and fixtures	329		278
Leasehold improvements	117		117
Construction in progress	—		1,745

Total property and equipment	24,850		24,184
Accumulated depreciation and amortization	(10,029)		(9,635)
Property and equipment, net	$	14,821	$	14,549

Property and equipment, net and operating lease right-of-use assets by geography was as follows:


	March 31,		December 31,
	2024		2023
United States	$	14,462	$	14,186
Other countries	359		363
Total	$	14,821	$	14,549

Other Current Liabilities

Other current liabilities consisted of the following as of March 31, 2024 and December 31, 2023:


	March 31,		December 31,
	2024		2023
Accrued sales and marketing expenses	$	2,430	$	2,275
Accrued compensation	2,988		2,070
Accrued publisher fees	3,024		3,607
End-user liability, net	6,154		6,590
Accrued developer revenue share	1,037		1,086
Short-term lease obligations	779		831
Accrued legal expenses	7,625		7,949
Accrued interest expenses	3,877		554
Indirect tax liabilities	12,052		11,206
Accrued operating expenses	8,133		9,715
Other	755		899
Other current liabilities	$	48,854	$	46,782