Quarterly report [Sections 13 or 15(d)]

Restructuring (Tables)

v3.25.1
Restructuring (Tables)
3 Months Ended
Mar. 31, 2025
Restructuring and Related Activities [Abstract]  
Schedule of Components of Restructuring Charges

The components of the restructuring charges were as follows:

 

 

Three months ended March 31,

 

 

 

2025

 

 

2024

 

Impairment and accelerated amortization of right-of-use assets

 

$

1,915

 

 

$

 

Contract termination and other associated costs

 

 

328

 

 

 

522

 

Loss (gain) on lease terminations and sale or disposal of assets, net (1)

 

 

(177

)

 

 

4,016

 

Other restructuring costs

 

 

336

 

 

 

2,216

 

Total restructuring charges, net

 

$

2,402

 

 

$

6,754

 

 

(1)
Loss on lease termination and sale or disposal of assets represents net losses on studio lease terminations and sales or disposal of studio assets primarily related to studio property and equipment. Amount for the three months ended March 31, 2024 is net of, among other things, a $3,636 gain on lease termination related to a lease for which the Company had recognized accelerated right-of-use asset amortization.

The restructuring charges are recorded within the following financial statement captions on the Company’s condensed consolidated statements of operations:

 

 

Three months ended March 31,

 

 

 

2025

 

 

2024

 

Costs of product revenue

 

$

 

 

$

96

 

Selling, general and administrative expenses

 

 

487

 

 

 

6,658

 

Impairment of goodwill and other noncurrent assets

 

 

1,915

 

 

 

 

Total restructuring charges, net

 

$

2,402

 

 

$

6,754

 

Schedule of Changes in Restructuring Charges

The following table provides the components of and changes in the Company’s restructuring charges, included in accounts payable and accrued expenses on the condensed consolidated balance sheets:

 

 

 

 

Balance at December 31, 2024

 

$

5,235

 

Charges incurred

 

 

1,123

 

Payments

 

 

(3,141

)

Balance at March 31, 2025

 

$

3,217