Restructuring

6 Months Ended

Jun. 30, 2022

Restructuring and Related Activities [Abstract]

Note 8 - Restructuring

On March 8, 2022, the Company announced that it adopted a restructuring plan to discontinue its existing operations in Russia and remove its apps from the Apple App Store and Google Play Store in Russia and Belarus. The Company plans to substantially exit its Russian operations by the end of 2022. In connection with the restructuring plan, approximately 120 employees were impacted. The Company expects to incur restructuring charges totaling approximately $7.0 million to $8.0 million, consisting primarily of right-of-use asset impairment, severance benefits, relocation and other related costs during the twelve months ended December 31, 2022.

The following table presents the total restructuring charges by function (in thousands):


	Three Months Ended June 30, 2022		Six Months Ended June 30, 2022
Cost of revenue	$	56	$	139
Selling and marketing		11		34
General and administrative		5,386		5,772
Product development		363		1,216
Total	$	5,816	$	7,161

During the three months ended June 30, 2022, the Company determined that the Moscow office was fully impaired and recorded an impairment charge of $4.4 million, which was included in “General and administrative” expense in the accompanying condensed consolidated statements of operations. The remaining amounts were primarily related to employee severance and relocation costs. Including the impairment charge, the Company incurred restructuring charges of $5.8 million and $7.2 million during the three and six months ended June 30, 2022, respectively.

The following table summarizes the restructuring related liabilities (in thousands):


	Employee Related Benefits			Other			Total
Balance as of December 31, 2021	$	—		$	—		$	—
Restructuring charges		2,611			163			2,774
Cash payments		(1,636	)		(163	)		(1,799	)
Balance as of June 30, 2022	$	975		$	—		$	975