Quarterly report [Sections 13 or 15(d)]

SEGMENT REPORTING (Tables)

v3.26.1
SEGMENT REPORTING (Tables)
 6 Months Ended
Jun. 30, 2026
Segment Reporting [Abstract]  
Schedule of Segment Information
The following table presents the Company’s segment information:
Three Months Ended June 30, 2026 Three Months Ended June 30, 2025
playGAMES playAWARDS Total playGAMES playAWARDS Total
Net revenue
Virtual currency $ 41,886  $ 781  $ 42,667  $ 47,981  $ 227  $ 48,208 
Advertising 12,316  —  12,316  11,128  —  11,128 
Other —  9  9  —  2  2 
54,202  790  54,992  59,109  229  59,338 
Segment expenses
Cost of sales 10,743  78  10,821  14,539  24  14,563 
Payroll & related 10,071  1,279  11,350  9,079  1,453  10,532 
User acquisition 11,806  —  11,806  9,066  —  9,066 
Other(1)
10,109  362  10,471  9,950  1,138  11,088 
42,729  1,719  44,448  42,634  2,615  45,249 
Reportable segment AEBITDA $ 11,473  $ (929) $ 10,544  $ 16,475  $ (2,386) $ 14,089 
Other operating expense
Corporate and other $ 3,241  $ 3,375 
Restructuring expenses 4,789  60 
Other reconciling items —  (2)
Stock-based compensation 2,354  4,608 
Depreciation and amortization 9,709  9,535 
20,093  17,576 
Non-operating income (expense)
Change in fair value of contingent consideration
 (2,480) 169 
Interest income, net 634  946 
Other expense (397) (367)
(2,243) 748 
Loss before income taxes (11,792) (2,739)
Income tax expense (1,482) (209)
Net loss $ (13,274) $ (2,948)
(1)Consists of legal, rent, information technology, outside services, marketing, and other general and administrative expenses.
Six Months Ended June 30, 2026 Six Months Ended June 30, 2025
playGAMES playAWARDS Total playGAMES playAWARDS Total
Net revenue
Virtual currency $ 86,591  $ 1,324  $ 87,915  $ 98,673  $ 375  $ 99,048 
Advertising 25,473  —  25,473  22,991  —  22,991 
Other —  14  14  —  8  8 
112,064  1,338  113,402  121,664  383  122,047 
Segment expenses
Cost of sales 22,734  132  22,866  30,302  40  30,342 
Payroll & related 20,082  2,767  22,849  18,254  3,020  21,274 
User acquisition 28,499  —  28,499  19,223  —  19,223 
Other(1)
20,603  860  21,463  19,101  1,998  21,099 
91,918  3,759  95,677  86,880  5,058  91,938 
Reportable segment AEBITDA 20,146  (2,421) 17,725  34,784  (4,675) 30,109 
Other operating expense
Corporate and other $ 6,851  $ 6,908 
Restructuring expenses 9,441  1,395 
Other reconciling items 7  1 
Stock-based compensation
 4,738  8,866 
Depreciation and amortization 19,542  19,167 
40,579  36,337 
Non-operating income (expense)
Change in fair value of contingent consideration
 300  (156)
Interest income, net 1,356  1,852 
Other expense (660) (739)
996  957 
Loss before income taxes (21,858) (5,271)
Income tax expense (2,092) (557)
Net loss $ (23,950) $ (5,828)
(1)Consists of legal, rent, information technology, outside services, marketing, and other general and administrative expenses.
Schedule of Reorganization Plan
The following table presents the charges for the 2026 Reorganization Plan, which is reflected in “Restructuring and related” in the Condensed Consolidated Statements of Operations:
playGAMES playAWARDS Corporate and Other Total
Employee termination benefits
 $ 1,461  $ 261  $ 565  $ 2,287 
Lease-related charges(1)
121  68  149  338 
Asset-related charges(2)
191  3  6  200 
Other
 14  7  31  52 
Three months ended March 31, 2026 $ 1,787  $ 339  $ 751  $ 2,877 
Employee termination benefits
 1,741  —  93  1,834 
Lease-related charges(1)
635  (24) (62) 549 
Asset-related charges(2)
302  11  27  340 
Other
 120  6  15  141 
Three months ended June 30, 2026 2,798  (7) 73  2,864 
Six months ended June 30, 2026 $ 4,585  $ 332  $ 824  $ 5,741 
(1)Lease-related charges primarily represent accelerated amortization of operating lease right of use ("ROU") assets due to a change in useful life. See Note 11—Leases for further discussion.
(2)Asset-related charges primarily represent impairment and loss on disposal of property and equipment.
Schedule of Liabilities Associated with Reorganization Plans
The following table summarizes the activity related to the liabilities associated with the Company's reorganization plan:
Employee Termination Benefits Lease-Related Charges Asset-Related Charges Other Total
Balance as of December 31, 2025
 $ —  $ —  $ —  $ —  $ — 
Reorganization charges and adjustments 4,122  887  540  192  5,741 
Non-cash charges (138) (837) (540) (30) (1,545)
Payments (1,703) (37) —  (130) (1,870)
Balance as of June 30, 2026
 $ 2,281  $ 13  $ —  $ 32  $ 2,326