v3.25.4
RESTRUCTURING COSTS
12 Months Ended
Dec. 31, 2025
Restructuring and Related Activities [Abstract]  
RESTRUCTURING COSTS

14. RESTRUCTURING COSTS

 

During October 2023, the Company committed to effectively align resources with business priorities and improve profitability through a reduction in the workforce for the Healthcare IT segment. The Company identified opportunities for improvements in its workforce realignment, strategy and staffing, and increased its focus on performance management, to ensure it has the right skillsets and number of employees to execute its long-term vision. In addition, the Company instituted certain other expense reductions.

 

A majority of the impacted employees exited in the fourth quarter of 2023. The Company incurred expenses of approximately $1.4 million related to the reduction in workforce of which approximately $154,000 and $606,000 were incurred in 2025 and 2024, respectively. These restructuring expenses consisted of one-time termination benefits, including but not limited to, severance payments and healthcare benefits.

 

 

The following table summarizes restructuring costs for 2025 and 2024:

 

   2025   2024 
   Year Ended December 31, 
   2025   2024 
   ($ in thousands) 
Severance and separation costs  $154   $606 
Equity awards acceleration costs associated with severance   -    - 
Other exit related costs   -    - 
Total restructuring and other costs  $154   $606 

 

 

The expense associated with the restructuring is included in restructuring costs in the consolidated statement of operations for the years ended December 31, 2025 and 2024. The liabilities associated with restructuring costs are included in accrued expenses in the consolidated balance sheet. The following table summarizes activity related to liabilities associated with restructuring costs:

 

   Severance and
separation costs
  

Other exit

related costs

   Total restructuring
and other costs
 
   ($ in thousands) 
Balance as of January 1, 2025  $-   $-   $- 
Additions   154    -    154 
Payments and other adjustments   (154)   -    (154)
Balance as of December 31, 2025  $-   $-   $- 
                
Balance as of January 1, 2024  $145   $26   $171 
Additions   606    -    606 
Payments and other adjustments   (751)   (26)   (777)
Balance as of December 31, 2024  $-   $-   $-