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Restructuring
12 Months Ended
Dec. 31, 2024
Restructuring and Related Activities [Abstract]  
Restructuring Restructuring
From time to time, we implement restructuring plans and other cost savings initiatives, which may include workforce
reductions as well as re-balancing of products and services. These restructuring activities are part of our strategic focus on
scaling and re-balancing our cost structure to drive improved profitability.
In the fourth quarter of 2024, we launched initiatives to sunset a product feature used to attract and retain consumers
and healthcare providers to our platform, which included a reduction in force. These initiatives were substantially completed
as of December 31, 2024.
In the second quarter of 2023, we launched initiatives to de-prioritize certain solutions under our pharma manufacturer
solutions offering. These initiatives were substantially completed as of December 31, 2023.
We did not have any material restructuring related activities in 2022.
The following table summarizes restructuring related costs by type incurred for the years ended December 31, 2024
and 2023:
Year Ended December 31,
(in thousands)
2024
2023
Non-cash charges (1) (2)
$7,329
$55,723
Cash charges
Personnel related costs (3)
1,993
9,430
Contract costs (4)
566
10,000
Total restructuring related costs
$9,888
$75,153
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(1)For the year ended December 31, 2024, non-cash charges principally relate to a $6.8 million loss on disposal of
software license used to support the product feature that was sunset and presented within sales and marketing
expenses in the consolidated statement of operations.
(2)For the year ended December 31, 2023, non-cash charges principally relate to (i) $46.7 million amortization of
acquired intangible assets related to vitaCare and capitalized internal-use software that were accelerated through
December 31, 2023 and presented within depreciation and amortization in the consolidated statement of
operations; and (ii) a $7.0 million loss on the disposal of certain capitalized software that were not yet ready for
their intended use and presented within product development and technology expenses in the consolidated
statement of operations. Non-cash charges also included $1.3 million loss on disposal of allocated goodwill
attributable to vitaCare.
(3)Cash charges on personnel related costs consist of termination charges arising from severance obligations,
continuation of salaries and benefits over a notification period during which impacted employees did not provide
active service, and other customary employee benefit payments in connection with a reduction in force. For the
year ended December 31, 2024, the majority of these costs were recognized in product development and
technology expenses in the consolidated statement of operations. For the year ended December 31, 2023, $4.5
million of these costs were recognized in cost of revenue, $2.4 million in product development and technology, $2.2
million in sales and marketing with the remainder in general and administrative expenses in the consolidated
statement of operations.
(4)For the year ended December 31, 2023, this cash payment relates to the termination of certain contracts with a
pharma manufacturer solutions client, which was recognized as a reduction of revenue in the consolidated
statement of operations.
As of December 31, 2024 and 2023, the liability associated with our restructuring related activities was not material.