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Discontinued Operations
 9 Months Ended
Sep. 30, 2025
Discontinued Operations and Disposal Groups [Abstract]  
Discontinued Operations Discontinued Operations
Divestiture
On June 30, 2025, the Company completed the sale of its Apps Business, as part of its strategic effort to divest non-core assets and dedicate its resources to advancing its advertising business. In connection with the transaction, the Company received $715.6 million in total consideration, consisting of $430.6 million in cash and 596.9 million ordinary shares of Tripledot, valued at $285.0 million. These shares represented approximately 22% of Tripledot’s outstanding ordinary shares and 20% of its fully diluted equity capitalization as of the closing date. The cash consideration of $430.6 million includes $400.0 million as specified in the purchase agreement and $30.6 million in preliminary purchase price adjustments based on estimated closing date net assets, which is subject to finalization in accordance with the terms of the purchase agreement.
The fair value of the equity consideration was determined based on the combined value of Tripledot and the Apps Business as of the closing date, estimated using a combination of the market approach, which incorporated valuation multiples of comparable public companies, and the income approach based on projected discounted cash flows. The significant assumptions used included estimates of future revenues and operating expenses, long-term growth rates, working capital requirements and discount rates, which are considered unobservable inputs and are classified as Level 3 within the fair value hierarchy. See Note 5 – Equity Method Investments for further details.
For tax purposes, the transfer of certain Apps Business subsidiaries was treated as an asset sale and resulted in a write-off of $125.6 million of deferred tax assets from the carrying value of Apps Business net assets, which was included in the provision for income taxes from discontinued operations. As a result of the divestiture, the Company derecognized net assets of $591.2 million and incurred transaction costs of $18.3 million, resulting in a pre-tax gain of $106.2 million, which was recorded in net income from discontinued operations for the nine months ended September 30, 2025.
In addition, the Company entered into a Transition Services Agreement (“TSA”) with Tripledot. Under the terms of the TSA, the Company agreed to provide limited administrative and transitional services related to the divested Apps Business for a period of up to six months following the closing date.
The following table summarizes the results of operations classified as discontinued operations, net of income taxes, in the condensed consolidated statements of operations for the three and nine months ended September 30, 2025 and 2024 (in thousands):

Three Months Ended September 30,Nine Months Ended September 30,
2025202420252024
Revenue$— $363,049 $640,830 $1,111,898 
Costs and expenses:
Cost of revenue— 148,740 209,442 479,134 
Sales and marketing— 142,769 242,547 443,688 
Research and development— 69,214 130,298 200,362 
General and administrative— 1,691 4,202 5,857 
Goodwill impairment— — 188,943 — 
Total costs and expenses— 362,414 775,432 1,129,041 
Income (loss) from operations— 635 (134,602)(17,143)
Other income (expense):
Gain on divestiture, net of transaction costs— — 106,229 — 
Other income (expense), net— (695)1,519 809 
Total other income (expense), net— (695)107,748 809 
Loss from discontinued operations before income taxes— (60)(26,854)(16,334)
Provision for (benefit from) income taxes— (1,407)72,590 (3,494)
Income (loss) from discontinued operations, net of income taxes$— $1,347 $(99,444)$(12,840)
The following table represents assets and liabilities that are classified as discontinued operations in the condensed consolidated balance sheets for the period presented (in thousands):
Assets:December 31,
2024
Cash and cash equivalents$44,381 
Accounts receivable, net130,911 
Prepaid expenses and other current assets16,063 
Total current assets of discontinued operations191,355 
Goodwill345,741 
Intangible assets, net423,826 
Other non-current assets167,682 
Total assets of discontinued operations$1,128,604 
Liabilities:
Accounts payable$59,125 
Accrued and other current liabilities45,202 
Deferred revenue32,786 
Total current liabilities of discontinued operations137,113 
Other non-current liabilities1,414 
Total liabilities of discontinued operations$138,527 
The following table summarizes significant non-cash operating items and capital expenditures related to discontinued operations, as reflected in the condensed consolidated statements of cash flows for the periods presented (in thousands):

Nine Months Ended September 30,
20252024
Amortization, depreciation and write-offs
$64,054 $226,315 
Stock-based compensation
$3,663 $15,629 
Goodwill impairment
$188,943 $— 
Acquisition of intangible assets
$22,429 $18,289 
Goodwill Impairment
The Company evaluates goodwill for impairment at the reporting unit level on an annual basis, or more frequently if events or changes in circumstances indicate that goodwill may be impaired.
On February 12, 2025, the Company entered into a non-binding term sheet to sell its Apps Business to Tripledot. As of March 31, 2025, the Apps Business was not classified as held for sale, as the criteria required for such classification had not yet been met. However, the Company identified the non-binding term sheet combined with negotiations throughout the first quarter of 2025 to sell the Apps Business as an indicator of impairment for the Apps reporting unit and performed an interim quantitative goodwill impairment test as of March 31, 2025. Based on this assessment, the Company determined that the carrying amount of the Apps reporting unit exceeded its estimated fair value and recorded a non-cash goodwill impairment charge of $188.9 million. This charge was included in loss from discontinued operations, net of income taxes, for the nine months ended September 30, 2025.
At the time the interim impairment test was performed, the Company had not yet determined the fair value of the total consideration, which was subject to the valuation of the equity consideration at the closing of the transaction. As a result, the Company estimated the fair value of the Apps reporting unit using the discounted cash flow method of the income approach. Key valuation inputs included projected future cash flows, risk-adjusted discount rates and long-term growth rates, which are based on management’s estimates and assumptions believed to be reasonable and reflective of known market conditions as of the interim impairment test date. The resulting fair value measurement is classified as Level 3 within the fair value hierarchy due to the use of significant unobservable inputs.