v3.26.1
Restructuring Costs
6 Months Ended
Jun. 30, 2026
Restructuring and Related Activities [Abstract]  
Restructuring Costs Restructuring Costs
Project Nexus
In April 2026, as part of a strategic initiative designed to fundamentally transform the Company's operating model, simplify its organizational structure, and align resources around its highest-conviction technology opportunities (Project Nexus), our Board authorized a workforce reduction throughout both our professional services and technology segments. The restructuring costs primarily related to severance and other team member costs from workforce reductions.
Restructuring liabilities related to Project Nexus are included as a component of accrued liabilities on our consolidated balance sheets. The following table summarizes our Project Nexus restructuring-related activities, including costs incurred, cash payments, and the resulting liability balances (in thousands):
Restructuring Liability Rollforward
Balance as of December 31, 2025
$— 
Severance and other restructuring costs
3,706 
Cash payments(2,498)
Balance as of June 30, 2026
$1,208 
The following table summarizes our Project Nexus restructuring costs by financial statement line item for the three months ended June 30, 2026 (in thousands):
Three Months Ended June 30, 2026
Severance and Other Team Member Costs
Other(1)
Total
Cost of revenue, excluding depreciation and amortization:
Technology$296 $— $296 
Professional services264 — 264 
Sales and marketing1,251 — 1,251 
Research and development1,490 — 1,490 
General and administrative342 63 405 
Total $3,643 $63 $3,706 
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(1)Includes legal and advisory fees related to significant board of director refreshment that are non-recurring and outside the ordinary course of our business.

There were no restructuring costs as part of Project Nexus during the three months ended March 31, 2026. We expect additional restructuring costs as part of Project Nexus of at least $0.5 million during the second half of 2026. We continue to evaluate our restructuring initiatives, which may result in additional restructuring costs and associated payments in the future.
August 2025 Restructuring Plan
In August 2025, our board of directors authorized a reduction of our global workforce as part of a restructuring plan intended to optimize our cost structure and focus our investment of resources in key priority areas to align with strategic changes (August 2025 Restructuring Plan). As part of the August 2025 Restructuring Plan, we reduced headcount throughout both our professional services and technology segments. The restructuring costs primarily related to severance and other team member costs from workforce reductions. Our restructuring activities and related costs as part of the August 2025 Restructuring Plan were complete by March 31, 2026.
Restructuring liabilities related to the August 2025 Restructuring Plan are included as a component of accrued liabilities on our consolidated balance sheets. The following table summarizes our August 2025 Restructuring Plan restructuring-related activities, including costs incurred, cash payments, and the resulting liability balances (in thousands):
Restructuring Liability Rollforward
Balance as of December 31, 2025
$704 
Severance and other restructuring costs
1,791 
Cash payments(2,495)
Balance as of June 30, 2026
$— 
The following table summarizes our August 2025 Restructuring Plan costs by financial statement line item for the six months ended June 30, 2026, of which none related to the three months ended June 30, 2026, and the total cumulative charges (in thousands):
Six Months Ended June 30, 2026
Severance and Other Team Member Costs
Other(1)
Total
Cost of revenue, excluding depreciation and amortization:
Technology$— $— $— 
Professional services302 — 302 
Sales and marketing109 — 109 
Research and development100 — 100 
General and administrative987 293 1,280 
Total $1,498 $293 $1,791 
August 2025 Restructuring Plan final, cumulative charges incurred through June 30, 2026
$6,823 $742 $7,565 
____________________
(1)Includes legal and advisory fees related to shareholder activism defense costs regarding our former CEO’s retirement and transition and significant board of director refreshment that are non-recurring and outside the ordinary course of our business.
January 2025 Restructuring Plan
In January 2025, our board of directors authorized a reduction of our global workforce as part of a restructuring plan intended to optimize our cost structure and focus our investment of resources in key priority areas to align with strategic changes (January 2025 Restructuring Plan). As part of the January 2025 Restructuring Plan, we reduced headcount throughout both our professional services and technology segments. The restructuring costs primarily related to severance and other team member costs from workforce reductions. Our restructuring activities as part of the January 2025 Restructuring Plan were complete by June 30, 2025 and as of December 31, 2025, the related restructuring liabilities were completely settled through cash outlays made to impacted team members.
The following table summarizes our January 2025 Restructuring Plan costs by financial statement line item for the six months ended June 30, 2025 (in thousands), of which less than $0.4 million related to the three months ended June 30, 2025:
Six Months Ended
June 30, 2025
Total Severance and Other Team Member Costs
(unaudited)
Cost of revenue, excluding depreciation and amortization:
Technology$401 
Professional services1,142 
Sales and marketing352 
Research and development1,908 
General and administrative136 
Total $3,939