v3.26.1
Income Taxes (Tables)
 12 Months Ended
Dec. 31, 2025
Income Tax Disclosure [Abstract]  
Schedule of Domestic and Foreign Components of Loss Before Provision for Income Taxes on Continuing Operations
The domestic and foreign components of loss before provision for income taxes on continuing operations were as follows:
Year Ended December 31,
202520242023
Domestic$(59,109)$(33,156)$(59,254)
Foreign2,161 (138)5,144 
Total loss before income taxes$(56,948)$(33,294)$(54,110)
Schedule of Provision (Benefit) for Income Taxes On Continuing Operations
The provision / (benefit) for income taxes on continuing operations consisted of the following:
Year Ended December 31,
202520242023
Current provision / (benefit)
Federal$(118)$— $— 
State(47)49 92 
Foreign462 956 (1,689)
Total current provision / (benefit)$297 $1,005 $(1,597)
Deferred provision / (benefit)
Federal$(38)$1 $3 
State(25)11 (4)
Foreign152 (355)3,200 
Total deferred provision / (benefit)$89 $(343)$3,199 
Total provision / (benefit)
Federal$(156)$1 $3 
State(72)60 88 
Foreign614 601 1,511 
Total provision / (benefit)$386 $662 $1,602 
Schedule of Reconciliation of the U.S. Statutory Income Tax Rate On Continuing Operations to the Company's Effective Tax Rate
A reconciliation of the U.S. federal statutory income tax rate on continuing operations of 21% for the years ended December 31, 2025, 2024, and 2023 to the Company’s effective tax rate is as follows:
Year Ended December 31,
202520242023
U.S. federal statutory tax rate$(11,959)21.0 %$(6,992)21.0 %$(11,363)21.0 %
State and local income taxes, net of federal income tax effect1
(116)0.2 %(704)2.1 %198 (0.4)%
Foreign tax effects
Canada:
Other183 (0.3)%209 (0.6)%(83)0.2 %
Other foreign jurisdictions
Foreign exchange impacts364 (0.6)%325 (1.0)%(218)0.4 %
Change in valuation allowance(4,797)8.4 %(61)0.2 %(1,321)2.4 %
Return to accrual4,074 (7.2)%(54)0.2 %1,599 (3.0)%
Other322 (0.6)%39 (0.1)%339 (0.6)%
Effects of cross-border tax laws— — %— — %511 (0.9)%
Tax credits
Research and development credit— — %(2,135)6.4 %— — %
Change in valuation allowance5,964 (10.5)%8,266 (24.9)%9,526 (17.6)%
Nontaxable or non-deductible items
Stock-based compensation75 (0.1)%228 (0.7)%2,137 (3.9)%
Goodwill impairment6,342 (11.1)%— — %— — %
Loss on debt extinguishment993 (1.7)%— — %— — %
Warrant and derivative liabilities(321)0.6 %288 (0.9)%(36)0.1 %
Other non-taxable or non-deductible items161 (0.3)%308 (0.9)%294 (0.5)%
Uncertain tax positions— — %2 — %— — %
Other reconciling items
Return to accrual(881)1.5 %802 (2.4)%231 (0.4)%
Other(18)— %141 (0.4)%(212)0.2 %
Total tax expense$386 (0.7)%$662 (2.0)%$1,602 (3.0)%
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(1)For the year ended December 31, 2025, California made up greater than 50% of the effect of the U.S. state and local income tax category. For the years ended December 31, 2024, and 2023, California, New York, and New York City made up greater than 50% of the effect of the US. state and local income tax category.
Schedule of Significant Components of Deferred Tax Assets and Deferred Tax Liabilities
Significant components of deferred tax assets and liabilities as of December 31, 2025 and 2024 were as follows:
Year Ended December 31,
20252024
Deferred tax assets
Net operating loss and tax credit carryforwards$89,768 $86,005 
Accruals1,461 2,191 
Depreciation and amortization720 283 
Stock-based compensation1,648 773 
Bad debt65 177 
Interest expense6,833 4,713 
Lease liabilities6,735 8,830 
Section 174 capitalized R&D costs8,227 9,328 
Capitalized production expenses156 213 
Other1,610 1,373 
Total deferred tax asset$117,223 $113,886 
Valuation allowance(103,114)(99,097)
Net deferred tax asset$14,109 $14,789 
Deferred tax liabilities
Operating lease, right-of-use asset(5,647)(6,778)
Intangible assets(8,236)(7,720)
Other(24)— 
Total deferred tax liability$(13,907)$(14,498)
Net deferred tax asset$202 $291 
Schedule of Cash Paid for Income Taxes, Net of Refunds The following table presents taxes paid by respective jurisdiction in excess of 5% of total income taxes paid, net of refunds received.
Year Ended December 31,
202520242023
U.S. Federal$40 $673 $— 
U.S. state and local
California244 314 (63)
Illinois119 129 — 
New York43 73 48 
New York City4 39 4 
Pennsylvania68 76 7 
All other204 271 130 
Total U.S. State and Local682 902 126 
Non-US
Australia— (32)131 
Canada146 (1,142)896 
United Kingdom87 — — 
Germany7 30 — 
India— — 129 
Mexico31 72 — 
All Other19 11 14 
Total Non-U.S290 (1,061)1,170 
Total cash income taxes paid, net$1,012 $514 $1,296 
Year Ended December 31,
202520242023
Cash paid for income taxes, net$1,012 $514 $1,296 
Cash paid for interest3,921 11,926 17,169 
Non-cash investing and financing activities:
Debt assumed for acquisition of Girls Like Girls Film Inc.4,790 — — 
Non-cash debt repaid against Girls Like Girls Film Inc. Indebtedness3,600 — — 
Non-cash consideration from film financing arrangements500 — — 
Non-cash debt repaid against film financing arrangements210 — — 
Non-cash consideration from co-financing arrangements for feature films475 — — 
Capitalized interest for film financing arrangements2,702 — — 
Accrued debt issuance costs for Term Loan640 — — 
Accounts payable and accrued expenses related to property and equipment292 31 134 
Accrued deferred offering costs67 68 597 
Exchange of accounts receivable in exchange for investment in equity securities— — 750 
Non-cash contingent consideration for business combination424 — — 
Reconciliation of cash and cash equivalents and restricted cash within the consolidated balance sheets to the amounts shown in the statement of cash flows:
Cash and cash equivalents$8,465 $22,373 $10,637 
Restricted cash15,750 — — 
Noncurrent restricted cash3,524 16,275 25,000 
Total cash and cash equivalents and restricted cash$27,739 $38,648 $35,637 
Schedule of Income Tax Examinations The earliest years’ tax returns filed by the Company that are still subject to examination by the tax authorities in the major jurisdictions are as follows:
Years
United States2021
United Kingdom2022
Japan2020
Canada2021