In the second quarter of 2025, as a result of organizational restructuring, we changed our identified segments and determined there are now two operating and reportable segments, Marketing and Products. There was no change to the Partner Network reporting unit. See Note 9, Segment Reporting, for further discussion of our operating and reportable segments. No impairment of goodwill was recognized in any of the periods presented. If revenue and gross profit performance deteriorate further, it is possible that there could be impairment of Goodwill in future periods in the Partner Network reporting unit. Goodwill was $82.4 million as of March 31, 2026 and December 31, 2025, all of which was attributable to the Partner Network reporting unit.

During the first quarter of 2026, we significantly reduced our marketing activities for search monetization in our publishing business and performed an analysis of the carrying value of the long-lived assets in our Marketing asset group. The asset group was tested for recoverability using the undiscounted cash flows over the remaining useful life of the primary asset in the asset group. The estimated net cash flows were determined utilizing internal forecasts. If forecasted net cash flows were less than the carrying amount of the asset group, an impairment expense would be measured by comparing the fair value of the asset group to its carrying amount. The carrying amount of an individual asset in the group cannot be reduced below its fair value.

We concluded that the carrying amount of the Marketing asset group exceeded the undiscounted cash flows. Consequently, our Marketing asset group was no longer recoverable from future operations and we recognized an impairment to our Marketing asset group trademarks, the only asset in the group to which an impairment could be allocated under ASC 360. The impairment of long-lived assets expense was $36.8 million during the three months ended March 31, 2026, presented in our condensed consolidated statements of operations.

During the first quarter of 2026, we implemented measures to optimize and improve operating efficiency in response to changes in products offered by Advertising Partners. As a result of these actions, we incurred $2.2 million of one-time costs which were recorded during the three months ended March 31, 2026, presented within salaries and benefits expense in our condensed consolidated statements of operations. These actions impacted our publishing business by reducing future cashflows.


	March 31, 2026
	Gross Carrying Amount		Accumulated Amortization		Net Carrying Amount
Internal-use software development costs	$	30,706	$	(16,809)	$	13,897
Intangible assets:
Developed technology	$	196,403	$	(196,390)	$	13
Trademarks and trade names	163,973		(62,892)		101,081
Software	5,100		(5,100)		—
Customer relationships	2,900		(2,636)		264
Total	$	368,376	$	(267,018)	$	101,358


	December 31, 2025
	Gross Carrying Amount		Accumulated Amortization		Net Carrying Amount
Internal-use software development costs	$	28,325	$	(14,653)	$	13,672
Intangible assets:
Developed technology	$	196,403	$	(192,670)	$	3,733
Trademarks and trade names	236,053		(92,250)		143,803
Software	5,100		(4,891)		209
Customer relationships	2,900		(2,556)		344
Total	$	440,456	$	(292,367)	$	148,089

The internal-use software development costs include work in progress which is not being amortized of $4.6 million and $2.9 million as of March 31, 2026 and December 31, 2025, respectively.


	Three Months Ended March 31,
	2026		2025
Amortization expense for internal-use software development	$	2,156	$	1,619
Amortization expense for intangible assets	$	9,909	$	18,651