Annual report [Section 13 and 15(d), not S-K Item 405]

Restructuring (Tables)

v3.25.4
Restructuring (Tables)
12 Months Ended
Dec. 31, 2025
Restructuring and Related Activities [Abstract]  
Schedule of Components of Restructuring Charges

The components of the restructuring charges were as follows:

 

 

 

Year ended December 31,

 

 

 

 

 

2025

 

 

2024

 

 

2023

 

 

Impairment and accelerated amortization of right-of-use assets

 

 

$

6,812

 

 

$

7,016

 

 

$

6,113

 

 

Contract termination and other associated costs

 

 

 

640

 

 

 

2,397

 

 

 

4,102

 

 

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

 

 

 

523

 

 

 

12,631

 

 

 

1,704

 

 

Other restructuring costs

 

 

 

2,668

 

 

 

7,554

 

 

 

2,048

 

 

Total restructuring charges, net

 

 

$

10,643

 

 

$

29,598

 

 

$

13,967

 

 

(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 year ended December 31, 2025 and 2024 is net of, among other things, $7,245 and $4,057 for gain, respectively, on lease termination related to a lease for which the Company had previously recognized an impairment on the related right-of-use asset.

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

 

 

Year ended December 31,

 

 

 

2025

 

 

2024

 

 

2023

 

Costs of product revenue

 

$

 

 

$

113

 

 

$

384

 

Selling, general and administrative expenses

 

 

3,831

 

 

 

22,469

 

 

 

13,491

 

Impairment of goodwill and other noncurrent assets

 

 

6,812

 

 

 

7,016

 

 

 

92

 

Total restructuring charges, net

 

$

10,643

 

 

$

29,598

 

 

$

13,967

 

 

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 consolidated balance sheets:

 

 

 

 

Balance at December 31, 2024

 

$

5,235

 

Charges incurred

 

 

4,583

 

Payments

 

 

(7,417

)

Balance at December 31, 2025

 

$

2,401