Acquisitions (Tables)

12 Months Ended

Dec. 31, 2021

Business Combination and Asset Acquisition [Abstract]

Summary of the Fair Value of Identifiable Assets Acquired and Liabilities Assumed

The following table summarizes the preliminary allocation of the purchase consideration to the acquisition-date fair value of the assets acquired and liabilities assumed (in thousands):

	Provisional Amounts at December 31, 2021
Cash and cash equivalents	$	12,155
Accounts receivable and other current assets	21,840
Intangible assets
Customer Relationships—estimated useful life of 12 years	155,000
Developed Technology—estimated useful life of 6 years	77,000
Tradename—estimated useful life of 5 years	8,000
Goodwill	761,747
Operating lease right-of-use assets	8,130
Property and equipment, net	1,897
Finance lease right-of-use assets	43,156
Other assets	16,791
Accounts payable, accrued liabilities and other current liabilities	(15,540)
Deferred revenue	(5,600)
Operating lease liabilities	(8,130)
Finance lease liabilities	(43,156)
Deferred income tax liability	(65,473)
Total purchase consideration	$	967,817

The following table summarizes the fair value of identifiable assets acquired and liabilities assumed (in thousands):

Cash	$	1,043
Accounts receivable and other current assets	1,457
Intangible assets
Apps—estimated useful life of 5 years	17,040
Tradename—estimated useful life of 5 years	260
Developed Technology—estimated useful life of 2 years	590
Property, equipment and other tangible assets	369
Goodwill	9,805
Accounts payable, accrued liabilities and other liabilities	(4,935)
Total purchase consideration	$	25,629

The following table summarizes the fair value of identifiable assets acquired and liabilities assumed (in thousands):

Cash	$	2,787
Accounts receivable, net	1,850
Intangible Assets
Apps—estimated useful life of 5 years	44,000
Tradename—estimated useful life of 5 years	900
Goodwill	20,198
Other tangible assets	131
Accounts payable	(2,492)
Other liabilities	(11,142)
Total valuation	56,232
Redeemable noncontrolling interest	(2,556)
Total purchase consideration	$	53,676

The following table summarizes the fair value of identifiable assets acquired and liabilities assumed (in thousands):

Cash	$	37,767
Accounts receivable and other current assets	27,284
Intangible assets
Tradename—estimated useful life of 10 years	13,000
Apps—estimated useful life of 3—5 years	272,000
IP license—useful life of 2 years	28,551
Goodwill	82,353
Right-of-use assets under operating leases	125,639
Property, equipment and other tangible assets	42,312
Accounts payable, accrued liabilities and other liabilities	(81,591)
Deferred revenue	(43,200)
License obligations	(35,685)
Operating lease liabilities	(139,875)
Total purchase consideration	$	328,555

Supplemental Pro Forma Information

The unaudited supplemental pro forma information below presents the combined historical results of operations of the Company, Machine Zone and Adjust for each of the periods presented as if Adjust had been acquired as of January 1, 2020 and Machine Zone had been acquired as of January 1, 2019 (in thousands):

	Year Ended December 31,
	2021		2020		2019
Revenue	$	2,829,060	$	1,625,476	$	1,332,476
Net income (loss)	36,614		(179,415)		(105,353)

The unaudited supplemental pro forma information above include the following adjustments to net income (loss) in the appropriate pro forma periods (in thousands):

	Year Ended December 31,
	2021		2020		2019
An (increase) in amortization expense related to the fair value of acquired identifiable intangible assets, net of the amortization expense already reflected in actual historical results	$	(7,325)	$	(48,006)	$	(61,969)
A net increase (decrease) in revenue related to fair value adjustment	$	1,901	$	54,126	$	(61,928)
A decrease (increase) in expenses related to transaction expenses	$	14,115	$	(2,327)	$	—
An decrease (increase) in interest expense related to new debt financing, net of interest expense related to pre-existing debt settled as part of the acquisitions	$	(2,640)	$	93,432	$	147,943
A (decrease) in other income - liability classified warrants	$	—	$	(1,730)	$	(9,040)
An (increase) in tax provision	$	(1,381)	$	(21,906)	$	(3,305)