PubMatic (PUBM) 10-Q 9 May 23 2023 Q1 Quarterly report Financial data

Cover

Cover - shares	3 Months Ended
	Mar. 31, 2023	May 05, 2023
Document Information [Line Items]
Document Type	10-Q
Document Quarterly Report	true
Document Period End Date	Mar. 31, 2023
Document Transition Report	false
Entity File Number	001-39748
Entity Registrant Name	PUBMATIC, INC.
Entity Incorporation, State or Country Code	DE
Entity Tax Identification Number	20-5863224
Entity Address, Address Line One	601 Marshall St.
Entity Address, City or Town	Redwood City
Entity Address, State or Province	CA
Entity Address, Postal Zip Code	94063
Title of 12(b) Security	Class A common stock, $0.0001 par value per share
Trading Symbol	PUBM
Security Exchange Name	NASDAQ
Entity Current Reporting Status	Yes
Entity Interactive Data Current	Yes
Entity Filer Category	Large Accelerated Filer
Entity Small Business	false
Entity Emerging Growth Company	false
Entity Shell Company	false
Amendment Flag	false
Entity Central Index Key	0001422930
Current Fiscal Year End Date	--12-31
Document Fiscal Year Focus	2023
Document Fiscal Period Focus	Q1
Common Class A
Document Information [Line Items]
Entity Common Stock, Shares Outstanding		42,687,521
Common Class B
Document Information [Line Items]
Entity Common Stock, Shares Outstanding		9,250,062

CONDENSED CONSOLIDATED BALANCE

CONDENSED CONSOLIDATED BALANCE SHEETS - USD ($) $ in Thousands	Mar. 31, 2023	Dec. 31, 2022
Current Assets
Cash and cash equivalents	$ 79,260	$ 92,382
Marketable securities	93,932	82,013
Accounts receivable, net	253,007	314,299
Prepaid expenses and other current assets	14,150	14,784
Total Current Assets	440,349	503,478
Property, equipment and software, net	68,553	71,156
Operating lease right-of-use assets	24,841	26,206
Acquisition-related intangible assets, net	7,049	8,299
Goodwill	29,577	29,577
Deferred tax assets	4,946	1,047
Other assets, non-current	2,152	2,412
TOTAL ASSETS	577,467	642,175
Current Liabilities
Accounts payable	222,579	277,414
Accrued liabilities	19,314	18,936
Operating lease liabilities, current	5,708	5,676
Total Current Liabilities	247,601	302,026
Operating lease liabilities, non-current	19,785	20,915
Other liabilities, non-current	3,725	7,046
TOTAL LIABILITIES	271,111	329,987
Commitments and contingencies (Note 9)
Stockholders' Equity
Preferred stock, $0.0001 par value per share, 10,000,000 shares authorized as of March 31, 2023 and December 31, 2022; No shares issued and outstanding as of March 31, 2023 and December 31, 2022	0	0
Common stock, value, issued	6	6
Treasury stock, at cost; 3,727,267 and 3,140,437 shares as of March 31, 2023 and December 31, 2022, respectively	(19,384)	(11,486)
Additional paid-in capital	203,597	195,677
Accumulated other comprehensive income (loss)	8	(9)
Retained earnings	122,129	128,000
TOTAL STOCKHOLDERS’ EQUITY	306,356	312,188
TOTAL LIABILITIES AND STOCKHOLDERS' EQUITY	$ 577,467	$ 642,175

CONDENSED CONSOLIDATED BALANC_2

CONDENSED CONSOLIDATED BALANCE SHEETS (Parenthetical) - $ / shares	Mar. 31, 2023	Dec. 31, 2022
Preferred stock par value (in usd per share)	$ 0.0001	$ 0.0001
Preferred stock shares authorized	10,000,000	10,000,000
Preferred stock shares issued	0	0
Preferred stock shares outstanding	0	0
Treasury stock shares	3,727,267	3,140,437
Common Class A
Common stock par value (in usd per share)	$ 0.0001	$ 0.0001
Common stock shares authorized	1,000,000,000	1,000,000,000
Common stock shares issued	43,657,744	43,452,302
Common stock shares outstanding	43,070,914	43,452,302
Common Class B
Common stock par value (in usd per share)	$ 0.0001	$ 0.0001
Common stock shares authorized	1,000,000,000	1,000,000,000
Common stock shares issued	12,392,302	12,393,322
Common stock shares outstanding	9,251,865	9,252,885

CONDENSED CONSOLIDATED STATEMEN

CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2023	Mar. 31, 2022
Income Statement [Abstract]
Revenue	$ 55,407	$ 54,552
Cost of revenue	23,863	17,992
Gross profit	31,544	36,560
Operating expenses:
Technology and development	6,517	4,773
Sales and marketing	23,127	16,456
General and administrative	12,572	10,750
Total operating expenses	42,216	31,979
Operating income (loss)	(10,672)	4,581
Interest income	1,891	122
Other income (expense), net	(465)	1,479
Income (loss) before income taxes	(9,246)	6,182
Provision (benefit) for income taxes	(3,375)	1,403
Net income (loss)	$ (5,871)	$ 4,779
Net income (loss) per share attributable to common stockholders:
Basic (in usd per share)	$ (0.11)	$ 0.09
Diluted (in usd per share)	$ (0.11)	$ 0.08
Weighted-average shares used to compute net income (loss) per share attributable to common stockholders:
Basic (in shares)	52,740,352	51,910,572
Diluted (in shares)	52,740,352	56,888,179

CONDENSED CONSOLIDATED STATEM_2

CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (LOSS) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2023	Mar. 31, 2022
Statement of Other Comprehensive Income [Abstract]
Net income (loss)	$ (5,871)	$ 4,779
Other comprehensive income (loss):
Unrealized gain (loss) on marketable securities, net of tax	17	(203)
Comprehensive income (loss)	$ (5,854)	$ 4,576

CONDENSED CONSOLIDATED STATEM_3

CONDENSED CONSOLIDATED STATEMENTS OF STOCKHOLDERS’ EQUITY - USD ($) $ in Thousands	Total	Common Stock	Treasury Stock	Additional Paid-In Capital	Accumulated Other Comprehensive Income (Loss)	Retained Earnings
Beginning balance (in shares) at Dec. 31, 2021		51,854,749
Beginning balance at Dec. 31, 2021	$ 257,180	$ 6	$ (11,486)	$ 169,401	$ (36)	$ 99,295
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Stock-based compensation	5,469			5,469
Exercise of stock options (in shares)		130,958
Exercise of stock options	481			481
Issuance of common stock related to RSU vesting (in shares)		25,033
Other comprehensive income (loss)	(203)				(203)
Net income (loss)	4,779					4,779
Ending balance (in shares) at Mar. 31, 2022		52,010,740
Ending balance at Mar. 31, 2022	267,706	$ 6	(11,486)	175,351	(239)	104,074
Beginning balance (in shares) at Dec. 31, 2022		52,705,187
Beginning balance at Dec. 31, 2022	312,188	$ 6	(11,486)	195,677	(9)	128,000
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Stock-based compensation	$ 7,606			7,606
Exercise of stock options (in shares)	108,597	108,597
Exercise of stock options	$ 314			314
Repurchase of shares (in shares)		(586,830)
Repurchase of shares	(7,898)		(7,898)
Issuance of common stock related to RSU vesting (in shares)		95,825
Other comprehensive income (loss)	17				17
Net income (loss)	(5,871)					(5,871)
Ending balance (in shares) at Mar. 31, 2023		52,322,779
Ending balance at Mar. 31, 2023	$ 306,356	$ 6	$ (19,384)	$ 203,597	$ 8	$ 122,129

CONDENSED CONSOLIDATED STATEM_4

CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2023	Mar. 31, 2022
Statement of Cash Flows [Abstract]
Net income (loss)	$ (5,871)	$ 4,779
Adjustments to reconcile net income to net cash provided by operating activities:
Depreciation and amortization	11,432	7,183
Unrealized gain on equity investment	0	(1,373)
Stock-based compensation	7,059	5,136
Deferred income taxes	(4,327)	(1,645)
Accretion of discount on marketable securities	(1,057)	23
Non-cash operating lease expense	1,532	1,272
Other	(3)	54
Changes in operating assets and liabilities:
Accounts receivable	61,292	68,557
Prepaid expenses and other assets	894	2,054
Accounts payable	(55,387)	(58,588)
Accrued liabilities	(833)	(6,822)
Operating lease liabilities	(1,265)	(1,177)
Other liabilities, non-current	(712)	(139)
Net cash provided by operating activities	12,754	19,314
CASH FLOWS FROM INVESTING ACTIVITIES:
Purchases of property and equipment	(1,417)	(148)
Capitalized software development costs	(6,001)	(4,235)
Purchases of marketable securities	(40,343)	(39,422)
Proceeds from maturities of marketable securities	29,500	16,000
Net cash used in investing activities	(18,261)	(27,805)
CASH FLOWS FROM FINANCING ACTIVITIES:
Proceeds from exercise of stock options	314	481
Principal payments on finance lease obligations	(31)	(28)
Payments to acquire treasury stock	(7,898)	0
Net cash provided by (used in) financing activities	(7,615)	453
NET DECREASE IN CASH AND CASH EQUIVALENTS	(13,122)	(8,038)
CASH AND CASH EQUIVALENTS - Beginning of period	92,382	82,505
CASH AND CASH EQUIVALENTS - End of period	79,260	74,467
SUPPLEMENTAL DISCLOSURES OF CASH FLOW INFORMATION:
Income taxes paid	349	323
SUPPLEMENTAL DISCLOSURES OF NON-CASH INVESTING AND FINANCING INFORMATION:
Stock-based compensation capitalized as internal-use software costs	547	333
Property and equipment included in accounts payable and accrued liabilities	1,311	334
Capitalized software costs included in accounts payable and accrued liabilities	820	516
Operating lease right-of-use assets obtained in exchange for new lease obligations	167	4,632
Business combination purchase consideration - indemnification claims holdback	$ 2,148	$ 0

Organization and Description of

Organization and Description of Business	3 Months Ended
	Mar. 31, 2023
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Organization and Description of Business	Organization and Description of BusinessPubMatic, Inc. (together with its subsidiaries, the “Company” or “PubMatic”) was founded in 2006. The Company has offices in California, New York, Europe, Asia, and Australia. The Company provides a specialized cloud infrastructure platform that enables real-time programmatic advertising transactions. The purpose-built technology and infrastructure provides superior outcomes for both publishers and advertisers leveraging an efficient design, machine learning, and data processing capabilities, with customer alignment and global omnichannel reach.

Basis of Presentation and Summa

Basis of Presentation and Summary of Significant Accounting Policies	3 Months Ended
	Mar. 31, 2023
Accounting Policies [Abstract]
Basis of Presentation and Summary of Significant Accounting Policies	Basis of Presentation and Summary of Significant Accounting Policies Fiscal Year The Company’s fiscal year ends on December 31, and its fiscal quarters end on March 31, June 30, September 30, and December 31. References to fiscal year 2023, for example, refer to the fiscal year ending December 31, 2023. Unaudited Interim Condensed Consolidated Financial Information The unaudited condensed consolidated financial statements include the accounts of PubMatic, Inc. and its wholly owned subsidiaries, and have been prepared in accordance with generally accepted accounting principles in the United States (“GAAP”) and following the requirements of the Securities and Exchange Commission (“SEC”) for interim reporting. As permitted under those rules, certain footnotes or other financial information that are normally required by GAAP can be condensed or omitted. These financial statements have been prepared on the same basis as the Company’s annual financial statements and, in the opinion of management, reflect all adjustments, consisting only of normal recurring adjustments, which are necessary for the fair statement of the Company’s financial information. These interim results are not necessarily indicative of the results to be expected for the fiscal year ending December 31, 2023 or for any other interim period or for any other future year. The accompanying unaudited condensed consolidated financial statements and related financial information should be read in conjunction with the audited consolidated financial statements and the related notes contained in the Company’s Annual Report on Form 10-K for the fiscal year ended December 31, 2022, as filed with the SEC on February 28, 2023 (the “Annual Report”). Basis of Presentation The accompanying condensed consolidated financial statements have been prepared in accordance with GAAP. The accompanying condensed consolidated financial statements include the accounts of PubMatic, Inc. and its wholly-owned subsidiaries. All intercompany accounts and transactions have been eliminated in consolidation. Certain prior period amounts reported in our condensed consolidated financial statements and notes thereto have been reclassified to conform to the current period presentation. Use of Estimates The preparation of the condensed consolidated financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the amounts of assets and liabilities reported, disclosures about contingent assets and liabilities, and reported amounts of revenue and expenses. The Company evaluates its estimates and assumptions on an ongoing basis using historical experience and other factors and adjusts those estimates and assumptions when facts and circumstances dictate. Actual results could materially differ from those estimates and assumptions. Due to the inherent uncertainty involved in making assumptions and estimates, events and changes in circumstances arising after March 31, 2023, may result in actual outcomes that differ from those contemplated by the Company’s assumptions and estimates. Concentration of Revenue and Accounts Receivable The Company defines its revenue concentration based on revenue recognized from individual publishers. For the three months ended March 31, 2023 and 2022, one publisher represented 11% and 14%, respectively, of the Company’s revenue. As of March 31, 2023, two buyers accounted for 32% and 20%, respectively, of accounts receivable. As of December 31, 2022, three buyers accounted for 33%, 15%, and 11%, respectively, of accounts receivable. Recently Adopted Accounting Pronouncements In October 2021, the Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update (“ASU”) No. 2021-08, Business Combinations (Topic 805): Accounting for Contract Assets and Contract Liabilities from Contracts with Customers, which requires contract assets and contract liabilities acquired in a business combination to be recognized and measured in accordance with Topic 606, Revenue from Contracts with Customers, as if the acquirer had originated the contracts. Under previous GAAP, such assets and liabilities were recognized by the acquirer at fair value on the acquisition date. The Company adopted ASU 2021-08 as of January 1, 2023. The adoption of ASU 2021-08 did not have a material impact on the Company’s condensed consolidated financial statements.

Fair Value Measurements

Fair Value Measurements	3 Months Ended
	Mar. 31, 2023
Fair Value Disclosures [Abstract]
Fair Value Measurements	Fair Value Measurements The following tables set forth the fair value of the Company’s financial assets and liabilities measured on a recurring basis by level within the fair value hierarchy (in thousands): March 31, 2023 Level 1 Level 2 Level 3 Total Financial Assets Money market funds $ 48,961 $ — $ — $ 48,961 Certificates of deposit — 8,257 — 8,257 Cash equivalents 48,961 8,257 — 57,218 Commercial paper — 59,745 — 59,745 Agency debt securities — 14,570 — 14,570 U.S. Treasury and government debt securities — 19,617 — 19,617 Marketable securities — 93,932 — 93,932 Total Financial Assets $ 48,961 $ 102,189 $ — $ 151,150 December 31, 2022 Level 1 Level 2 Level 3 Total Financial Assets Money market funds $ 48,884 $ — $ — $ 48,884 Certificates of deposit — 4,169 — 4,169 Cash equivalents 48,884 4,169 — 53,053 Commercial paper — 63,483 — 63,483 Agency debt securities — 5,778 — 5,778 U.S. Treasury and government debt securities — 12,752 — 12,752 Marketable securities — 82,013 — 82,013 Total Financial Assets $ 48,884 $ 86,182 $ — $ 135,066 The Company’s financial assets consist of Level 1 and 2 assets. The Company had no Level 3 assets or liabilities for the periods presented. The Company classifies its cash equivalents and marketable securities within Level 1 or Level 2 because they are valued using either quoted market prices or inputs other than quoted prices which are directly or indirectly observable in the market, including readily-available pricing sources for the identical underlying security which may not be actively traded. The Company’s fixed income available-for-sale securities consist of high quality, investment grade securities from diverse issuers. The valuation techniques used to measure the fair value of the Company’s marketable securities were derived from non-binding market consensus prices that are corroborated by observable market data and quoted market prices for similar instruments.

Balance Sheet Components

Balance Sheet Components	3 Months Ended
	Mar. 31, 2023
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Balance Sheet Components	Balance Sheet Components Marketable Securities The following tables summarize the Company’s marketable securities by significant investment categories (in thousands): March 31, 2023 Amortized Cost Unrealized Gain Unrealized Loss Fair Value Commercial paper $ 59,745 $ — $ — $ 59,745 Agency debt securities 14,556 14 — 14,570 U.S. Treasury and government debt securities 19,623 5 (11) 19,617 Total $ 93,924 $ 19 $ (11) $ 93,932 December 31, 2022 Amortized Cost Unrealized Gain Unrealized Loss Fair Value Commercial paper $ 63,483 $ — $ — $ 63,483 Agency debt securities 5,762 17 — 5,779 U.S. Treasury and government debt securities 12,777 2 (28) 12,751 Total $ 82,022 $ 19 $ (28) $ 82,013 The remaining contractual maturity of all marketable securities was within one year as of March 31, 2023 and December 31, 2022. Realized gains and losses were immaterial for the three months ended March 31, 2023 and 2022. As of March 31, 2023 and 2022, there were no securities that were in an unrealized loss position for more than twelve months. Property, Equipment and Software, Net Property, equipment and software, net consisted of the following (in thousands): March 31, December 31, Internal-use software $ 46,393 $ 40,794 Network hardware, computer equipment and software 130,963 129,212 Leasehold improvements 4,143 4,026 Furniture and fixtures 2,123 2,087 Property, equipment and software, gross 183,622 176,119 Less: accumulated depreciation and amortization (115,069) (104,963) Total property, equipment and software, net $ 68,553 $ 71,156 Depreciation and amortization expense related to property, equipment, and software (excluding amortization of internal-use software) was $7.3 million and $5.0 million for the three months ended March 31, 2023 and 2022, respectively. The Company capitalized $5.4 million and $3.3 million in software development costs during the three months ended March 31, 2023 and 2022, respectively. Amortization expense of internal-use software was $2.8 million and $2.2 million during the three months ended March 31, 2023 and 2022, respectively. These costs are included within cost of revenue in the condensed consolidated statements of operations. The Company did not recognize any impairment charges on its long-lived assets during the three months ended March 31, 2023 and 2022, respectively. Accounts Payable Accounts payable consisted of the following (in thousands): March 31, December 31, Payable to publishers $ 216,264 $ 266,506 Trade payables 6,315 10,908 Total accounts payable $ 222,579 $ 277,414 Accrued Liabilities Accrued liabilities consisted of the following (in thousands): March 31, December 31, Accrued compensation $ 9,899 $ 14,587 Accrued and other current liabilities 9,415 4,349 Total accrued liabilities $ 19,314 $ 18,936

Senior Secured Credit Facilitie

Senior Secured Credit Facilities Agreement	3 Months Ended
	Mar. 31, 2023
Debt Disclosure [Abstract]
Senior Secured Credit Facilities Agreement	Senior Secured Credit Facilities Agreement On October 17, 2022, the Company entered into a Senior Secured Credit Facilities Credit Agreement (the “Credit Agreement”) with the several lenders parties thereto (the “Lenders”), and Silicon Valley Bank (“SVB”), as administrative agent, lead arranger, issuing lender, and swingline lender. The Credit Agreement matures on October 17, 2027. The Credit Agreement provides a revolving credit facility in an aggregate principal amount of $110.0 million (“the Revolving Credit Facility”), including a $25.0 million letter of credit sub-facility and a $25.0 million swingline sub-facility. The Company’s obligations under the Revolving Credit Facility and the letter of credit sub-facility (described in Note 9) with SVB are secured by substantially all of its assets excluding its intellectual property. The Company may, subject to certain customary conditions, on one or more occasions increase commitments under the Revolving Credit Facility in an amount not to exceed $90.0 million in the aggregate (the “Incremental Facility”). Each Lender will have discretion to determine whether it will participate in any Incremental Facility. Borrowings under the Revolving Credit Facility will accrue interest at rates equal, at the Company’s election, to (i) the applicable secured overnight financing rate (“SOFR”), plus the applicable margin for such loans, or (ii) the alternate base rate (“ABR”), which is defined as the highest of (a) the prime rate in effect from time to time, (b) the federal funds effective rate in effect from time to time plus 0.50%, and (c) the adjusted term SOFR for a one (1) month tenor in effect from time to time plus 1.0%, plus the applicable margin for such loans. The applicable margin for borrowings bearing interest on the SOFR ranges from 2.00% to 2.75%, and the applicable margin for borrowings bearing interest based on the ABR ranges from 1.00% to 1.75%. As of March 31, 2023, the applicable interest rate under the revolving credit facility was 7.00%. The Company will pay a quarterly commitment fee during the term of the Credit Agreement for the non-use of available funds ranging from 0.25% to 0.35%. In addition, the Credit Agreement provides a mechanism to determine a successor reference rate to the applicable reference rate if, among other things, the applicable reference rate becomes unavailable or is generally replaced as a benchmark interest rate. The Credit Agreement contains customary representations and warranties as well as customary affirmative and negative covenants. Negative covenants include, among others, limitations on incurrence of indebtedness, liens, disposition of property and investments by the Company and its subsidiaries. In addition, the Credit Agreement requires the Company to maintain certain interest coverage, leverage and senior leverage ratios. To date, the Company is in compliance with the affirmative and negative covenants. The Credit Agreement contains customary events of default. Upon the occurrence and during the continuance of an event of default, the Lenders may declare the outstanding advances and all other obligations under the Credit Agreement immediately due and payable. The Company may use amounts borrowed under the Credit Agreement for general corporate purposes or working capital financing. The Company may borrow additional amounts under the Credit Agreement from time to time as opportunities and needs arise.

Leases

Leases	3 Months Ended
	Mar. 31, 2023
Leases [Abstract]
Leases	Leases Operating lease cost is recognized on a straight-line basis over the lease term. Finance lease cost is recognized as a combination of the amortization expense for the right-of-use assets and interest expense for the outstanding lease liabilities, and results in a front-loaded expense pattern over the lease term. Short-term and variable lease costs are not material to the Company’s condensed consolidated financial statements. The components of lease cost were as follows (in thousands): Three Months Ended March 31, 2023 2022 Operating lease cost $ 1,834 $ 1,393 Finance lease cost - amortization of right-of-use assets 43 43 Finance lease cost - interest on lease liabilities 4 5 Total lease cost $ 1,881 $ 1,441 As of March 31, 2023, a weighted average discount rate of 3.25% and 2.24% has been applied to the remaining operating and finance lease payments, respectively, to calculate the lease liabilities included within the condensed consolidated balance sheets. The weighted average remaining lease term of operating and finance leases is 4.4 and 5.0 years, respectively, as of March 31, 2023. As of March 31, 2023, the maturities of lease liabilities under operating and finance leases were as follows (in thousands): Operating Leases Finance Leases Total Remainder of 2023 $ 5,013 $ 105 $ 5,118 2024 6,589 145 6,734 2025 5,146 149 5,295 2026 5,359 153 5,512 2027 4,259 158 4,417 Thereafter 990 41 1,031 Total minimum lease payments 27,356 751 28,107 Less: imputed interest (1,863) (41) (1,904) Total present value of lease liabilities $ 25,493 $ 710 $ 26,203
Leases	Leases Operating lease cost is recognized on a straight-line basis over the lease term. Finance lease cost is recognized as a combination of the amortization expense for the right-of-use assets and interest expense for the outstanding lease liabilities, and results in a front-loaded expense pattern over the lease term. Short-term and variable lease costs are not material to the Company’s condensed consolidated financial statements. The components of lease cost were as follows (in thousands): Three Months Ended March 31, 2023 2022 Operating lease cost $ 1,834 $ 1,393 Finance lease cost - amortization of right-of-use assets 43 43 Finance lease cost - interest on lease liabilities 4 5 Total lease cost $ 1,881 $ 1,441 As of March 31, 2023, a weighted average discount rate of 3.25% and 2.24% has been applied to the remaining operating and finance lease payments, respectively, to calculate the lease liabilities included within the condensed consolidated balance sheets. The weighted average remaining lease term of operating and finance leases is 4.4 and 5.0 years, respectively, as of March 31, 2023. As of March 31, 2023, the maturities of lease liabilities under operating and finance leases were as follows (in thousands): Operating Leases Finance Leases Total Remainder of 2023 $ 5,013 $ 105 $ 5,118 2024 6,589 145 6,734 2025 5,146 149 5,295 2026 5,359 153 5,512 2027 4,259 158 4,417 Thereafter 990 41 1,031 Total minimum lease payments 27,356 751 28,107 Less: imputed interest (1,863) (41) (1,904) Total present value of lease liabilities $ 25,493 $ 710 $ 26,203

Business Combination

Business Combination	3 Months Ended
	Mar. 31, 2023
Business Combination and Asset Acquisition [Abstract]
Business Combination	Business CombinationOn September 16, 2022, the Company acquired all outstanding stock of ConsultMates, Inc. (dba “Martin”), a media measurement and reporting platform, for $30.8 million. The acquisition is in response to growing demand from the Company’s buy-side customers for enhanced tools to take advantage of the Company’s global omnichannel inventory, including market-leading addressability solutions and innovative technology to enable supply path optimization. The assets acquired and liabilities assumed were recorded at fair value. The purchase price excludes $14.2 million of post-acquisition cash compensation arrangements for certain key acquired employees to be paid ratably over three years following the closing of the acquisition (subject to forfeiture upon termination). The purchase price was attributed to $7.9 million of developed technology intangible assets, $1.0 million of customer relationship intangible assets, $23.3 million of goodwill, $1.1 million of deferred tax liabilities, and $0.3 million of net liabilities assumed. The fair values of assets acquired and liabilities assumed may change over the measurement period as additional information is received. The measurement period will end no later than one year from the acquisition date. The goodwill recognized was primarily attributable to the assembled workforce and the expected synergies from integrating Martin’s technology into the Company’s platform. Goodwill is not expected to be deductible for tax purposes. The financial results of Martin are included in the Company’s condensed consolidated financial statements from the date of acquisition. Separate operating results and pro forma results of operations for Martin have not been presented as the effect of this acquisition was not material to the Company’s financial results.

Acquisition-related Intangible

Acquisition-related Intangible Assets, Net	3 Months Ended
	Mar. 31, 2023
Goodwill and Intangible Assets Disclosure [Abstract]
Acquisition-related Intangible Assets, Net	Acquisition-related Intangible Assets, Net Acquisition-related Intangible Assets, Net Acquisition-related intangible assets, net consisted of the following (in thousands): March 31, 2023 Gross Carrying Amount Accumulated Amortization Net Carrying Amount Developed technology $ 7,900 $ 851 $ 7,049 Customer relationships 1,000 1,000 — Total acquisition-related intangible assets $ 8,900 $ 1,851 $ 7,049 December 31, 2022 Gross Carrying Amount Accumulated Amortization Net Carrying Amount Developed technology $ 7,900 $ 456 $ 7,444 Customer relationships 1,000 145 855 Total acquisition-related intangible assets $ 8,900 $ 601 $ 8,299 The weighted average remaining useful life of developed technology was 4.5 years as of March 31, 2023. Amortization expense related to acquisition-related intangibles was $1.3 million for the three months ended March 31, 2023. As of March 31, 2023, estimated future amortization expense for acquisition-related intangible assets was as follows (in thousands): Remainder of 2023 $ 1,185 2024 1,580 2025 1,580 2026 1,580 2027 1,124 Total estimated future amortization expense for acquisition-related intangible assets $ 7,049

Commitments and Contingencies

Commitments and Contingencies	3 Months Ended
	Mar. 31, 2023
Commitments and Contingencies Disclosure [Abstract]
Commitments and Contingencies	Commitments and Contingencies Purchase Obligations The Company’s purchase obligations primarily relate to minimum contractual payments due to data center providers. During the three months ended March 31, 2023, there were no material changes to the Company’s non-cancelable purchase obligations disclosed in the Company’s Annual Report on Form 10-K for the fiscal year ended December 31, 2022. Letters of Credit As of March 31, 2023 and December 31, 2022, the Company had two irrevocable letters of credit outstanding related to non-cancelable facilities leases in the amounts of $3.5 million and $0.5 million, with annual automatic renewal and final expiration dates in July 2028 and April 2025, respectively. Legal Matters From time to time, the Company is or may be involved in various claims and other legal matters arising in the normal course of business. The Company records an accrual for a liability relating to claims and other legal matters when it is both probable that a liability has been incurred and the amount of the loss can be reasonably estimated. Any such accruals are reviewed at least quarterly and adjusted for the impacts of negotiations, rulings, settlements, and other information or events pertaining to a particular matter, or on the advice of legal counsel. To date, the Company has not incurred a material loss, or a material loss in excess of a recorded accrual, with respect to any claims and other legal matters arising in the normal course of business. However, the outcomes of claims and other legal matters are inherently unpredictable and subject to significant uncertainties. If the Company subsequently concludes that there is a reasonable possibility that a loss exceeding amounts already recognized may be incurred, and the amount of such additional loss would be material, the Company will either disclose the estimated additional loss or state that such an estimate cannot be made. Indemnification

Stockholders_ Equity and Stock

Stockholders’ Equity and Stock Option Plans	3 Months Ended
	Mar. 31, 2023
Equity [Abstract]
Stockholders’ Equity and Equity Incentive Plans	Stockholders’ Equity and Equity Incentive Plans Share Repurchases In February 2023, the Company’s board of directors authorized the Company to repurchase up to $75 million of its Class A common stock (“2023 Repurchase Program”). As of March 31, 2023, $67.1 million remains available for repurchases. Shares are repurchased in a manner deemed in the best interest of the Company and its stockholders, dependent upon business, economic and market conditions, corporate and regulatory requirements, prevailing stock prices and other considerations. In accordance with the authorization of the Company’s board of directors, during the three months ended March 31, 2023, we repurchased 586,830 aggregate shares of Class A common stock for $7.9 million. Repurchases are executed from time to time, subject to general business and market conditions and other investment opportunities, through open market purchases or privately negotiated transactions, in accordance with Rule 10b-18 and/or Rule 10b5-1 of the Exchange Act. The 2023 Repurchase Program is scheduled to terminate on December 31, 2024. Equity Incentive Plans The Company maintains the 2020 Equity Incentive Plan (“2020 Plan”), pursuant to which the Company may grant stock options, restricted stock awards, stock appreciation rights, restricted stock units (“RSUs”), deferred stock units (“DSUs”) performance awards, and stock bonus awards. As of March 31, 2023, the Company has reserved 6,597,753 shares of Class A common stock for the issuance of awards under the 2020 Plan. These available shares will increase automatically on January 1 for each of the first ten calendar years during the term of the 2020 Plan by the number of shares equal to the lesser of five percent (5%) of the aggregate number of outstanding shares of all classes of the Company’s common stock outstanding as of the immediately preceding December 31, or a number as may be determined by the Company’s board of directors or compensation committee. No new awards were issued under the Company’s prior 2006 Plan or 2017 Plan (“Prior Plans”) after the effective date of the 2020 Plan. To the extent outstanding awards under the 2006 Plan and the 2017 Plan are forfeited, expire unexercised, or would otherwise have been returned to the share reserve under the Prior Plans, the shares of Class B common stock subject to such awards instead will be available for future issuance as Class A common stock under the 2020 Plan. Stock Options The following table summarizes stock option activity and related information under the Company’s equity incentive plans: Stock Options Number of Shares Underlying Outstanding Options Weighted-Average Exercise Price Weighted Average Remaining Contractual Term (Years) Aggregate Intrinsic Value (in thousands) Outstanding — December 31, 2022 6,476,239 $ 7.38 6.10 $ 55,516 Options granted 1,313,004 15.40 Options exercised (108,597) 2.88 Options canceled (2,570) 6.14 Options expired (15,538) $ 33.92 Outstanding — March 31, 2023 7,662,538 $ 8.76 6.24 $ 59,796 Vested and exercisable — March 31, 2023 5,245,258 $ 5.27 5.23 $ 53,940 As of March 31, 2023, unrecognized stock-based compensation of $23.0 million related to unvested stock options will be recognized on a straight-line basis over a weighted average period of 2.76 years. Restricted Stock Units The following table summarizes RSU activity and related information under the Company’s 2020 Plan: RSUs Number of Shares Weighted-Average Grant Date Fair Value per Share Unvested — December 31, 2022 1,581,982 $ 26.49 Granted 2,049,867 $ 16.07 Vested (95,825) $ 29.92 Canceled/Forfeited (26,512) $ 21.60 Unvested — March 31, 2023 3,509,512 $ 20.35 As of March 31, 2023, unrecognized stock-based compensation of $65.3 million related to unvested RSUs will be recognized on a straight-line basis over a weighted average period of 3.26 years. 2020 Employee Stock Purchase Plan In November 2020, the Company’s board of directors adopted, and its stockholders approved, the 2020 Employee Stock Purchase Plan (“ESPP”), which became effective in connection with the Company’s IPO. A total of 500,000 shares of the Company’s Class A common stock were initially reserved for issuance under the ESPP. The aggregate number of shares reserved for issuance under the ESPP will increase automatically on January 1st of each of the first ten calendar years during the term of the ESPP by the number of shares equal to the lesser of (a) 1% of the total outstanding shares of all classes of the Company’s common stock as of the immediately preceding December 31, and (b) such number of shares of common stock as determined by the Company’s board of directors. The aggregate number of shares issued over the term of the ESPP may not exceed 7,500,000 shares of Class A common stock. As of March 31, 2023, the Company had reserved 529,888 shares of its Class A common stock for issuance under the ESPP. Under the ESPP, Class A common stock will be purchased for the accounts of employees participating in the ESPP on each purchase date at a price per share equal to 85% of the lesser of: (a) the fair market value on the offering date or (b) the fair market value on the purchase date. The ESPP provides for, at maximum, 27 month offering periods and each offering period may consist of one or more six-month purchase periods, whereby the latest offering period commenced on June 1, 2022, and the offering periods thereafter consist of two six-month purchase periods ending May 31, 2023. As of March 31, 2023, $0.7 million has been withheld on behalf of employees for a future purchase under the ESPP due to the timing of payroll deductions and is included in accrued liabilities. For the three months ended March 31, 2023, there were no shares of our Class A common stock purchased under the ESPP. As of March 31, 2023, unrecognized stock-based compensation expense related to the ESPP was $0.1 million, which is expected to be recognized over a weighted-average period of 0.17 years. Stock-Based Compensation Total stock-based compensation expense recognized in the condensed consolidated statements of operations was as follows (in thousands): Three Months Ended March 31, 2023 2022 Cost of revenue $ 316 $ 278 Technology and development 1,008 877 Sales and marketing 2,709 1,907 General and administrative 3,026 2,074 Total stock-based compensation expense 7,059 5,136 Tax benefit from stock-based compensation (1,318) (831) Total stock-based compensation expense, net of tax effect $ 5,741 $ 4,305

Net Income (Loss) Per Share Att

Net Income (Loss) Per Share Attributable to Common Stockholders	3 Months Ended
	Mar. 31, 2023
Earnings Per Share [Abstract]
Net Income (Loss) Per Share Attributable to Common Stockholders	Net Income (Loss) Per Share Attributable to Common Stockholders The Company has two classes of common stock, Class A and Class B. Basic and diluted earnings per share (“EPS”) attributable to common stockholders for Class A and Class B common stock were the same because they were entitled to the same liquidation and dividend rights. The following table sets forth the computation of the Company’s basic and diluted net income (loss) per share (in thousands, except share and per share data): Three Months Ended March 31, 2023 2022 Numerator: Net income (loss) attributable to common stockholders – basic $ (5,871) $ 4,779 Denominator: Weighted average common shares outstanding – basic 52,740,352 51,910,572 Net income (loss) per share attributable to common stockholders – basic: $ (0.11) $ 0.09 Numerator: Net income (loss) attributable to common stockholders – diluted $ (5,871) $ 4,779 Denominator: Weighted average shares outstanding – basic 52,740,352 51,910,572 Options to purchase common stock — 4,926,804 Restricted stock — 4,348 Employee stock purchase plan shares — 46,455 Weighted average shares outstanding – diluted 52,740,352 56,888,179 Net income (loss) per share attributable to common stockholders – diluted $ (0.11) $ 0.08 The following weighted-average outstanding shares of common stock equivalents were excluded from the computation of diluted net income (loss) per share attributable to common stockholders for the periods presented because including them would have been anti-dilutive: Three Months Ended March 31, 2023 2022 Options to purchase common stock 1,892,052 913,742 Unvested restricted stock units 2,451,338 653,061 ESPP 91,661 21,566 Total common stock equivalents excluded from net income per share attributable to common stockholders – diluted 4,435,051 1,588,369

Income Taxes

Income Taxes	3 Months Ended
	Mar. 31, 2023
Income Tax Disclosure [Abstract]
Income Taxes	Income Taxes The Company computes its provision (benefit) for income taxes by applying the estimated annual effective tax rate to pretax income and adjusts the provision for discrete tax items recorded in the period. The Company recorded an income tax benefit of $3.4 million and provision for income taxes of $1.4 million for the three months ended March 31, 2023 and 2022, respectively. Accordingly, the Company has recorded the tax benefit for the U.S. losses incurred during the three months ended March 31, 2023. The effective income tax rate was 37% and 23% for the three months ended March 31, 2023 and 2022, respectively. The income tax benefit for the three months ended March 31, 2023 is related to an increase in nondeductible stock-based compensation, Section 162(m) limitation on the tax deductibility of officers compensation, state taxes and global intangible low-taxed income (GILTI) inclusion offset by deductions for equity awards, tax benefit from foreign-derived intangible income (FDII), foreign tax credits, federal and state research credits, and other effects created by the capitalization and amortization of research and development expenses for tax purposes. Realization of the Company’s deferred tax assets is dependent primarily on the generation of future taxable income. In considering the need for a valuation allowance, the Company considers its historical, as well as future projected, taxable income along with other objectively verifiable evidence. Objectively verifiable evidence includes the Company’s realization of tax attributes, assessment of tax credits, and utilization of net operating loss carryforwards during the year.

Segment Information

Segment Information	3 Months Ended
	Mar. 31, 2023
Segment Reporting [Abstract]
Segment Information	Segment Information The following table presents total revenue by geographic area based on the publisher’s billing address (in thousands): Three Months Ended March 31, 2023 2022 United States $ 32,640 $ 32,768 EMEA 17,844 14,641 APAC 3,978 6,121 Rest of the world 945 1,022 Total $ 55,407 $ 54,552 The following table presents long-lived assets, net, which consist primarily of property and equipment and operating lease right-of-use assets, by geographic area (in thousands): March 31, December 31, United States $ 77,715 $ 80,021 Rest of the world 15,679 17,341 Total $ 93,394 $ 97,362

401(k) Plan

401(k) Plan	3 Months Ended
	Mar. 31, 2023
Retirement Benefits [Abstract]
401(k) Plan	401(k) PlanThe Company has a 401(k) Savings Plan (the “401(k) Plan”) that qualifies as a deferred salary arrangement under Section 401(k) of the Internal Revenue Code. Under the 401(k) Plan, participating employees may elect to contribute up to 100% of their eligible compensation, subject to certain limitations. The 401(k) Plan provides for a discretionary employer matching contribution. The Company made $0.4 million in matching contributions to the 401(k) Plan for the each of the three months ended March 31, 2023 and 2022.

Subsequent Event

Subsequent Event	3 Months Ended
	Mar. 31, 2023
Subsequent Events [Abstract]
Subsequent Event	Subsequent Event

Basis of Presentation and Sum_2

Basis of Presentation and Summary of Significant Accounting Policies (Policies)	3 Months Ended
	Mar. 31, 2023
Accounting Policies [Abstract]
Basis of Presentation	Basis of Presentation The accompanying condensed consolidated financial statements have been prepared in accordance with GAAP. The accompanying condensed consolidated financial statements include the accounts of PubMatic, Inc. and its wholly-owned subsidiaries. All intercompany accounts and transactions have been eliminated in consolidation. Certain prior period amounts reported in our condensed consolidated financial statements and notes thereto have been reclassified to conform to the current period presentation.
Use of Estimates	Use of Estimates The preparation of the condensed consolidated financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the amounts of assets and liabilities reported, disclosures about contingent assets and liabilities, and reported amounts of revenue and expenses. The Company evaluates its estimates and assumptions on an ongoing basis using historical experience and other factors and adjusts those estimates and assumptions when facts and circumstances dictate. Actual results could materially differ from those estimates and assumptions. Due to the inherent uncertainty involved in making assumptions and estimates, events and changes in circumstances arising after March 31, 2023, may result in actual outcomes that differ from those contemplated by the Company’s assumptions and estimates.
Concentration of Revenue and Accounts Receivable	Concentration of Revenue and Accounts ReceivableThe Company defines its revenue concentration based on revenue recognized from individual publishers
Recently Adopted Accounting Pronouncements	Recently Adopted Accounting Pronouncements In October 2021, the Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update (“ASU”) No. 2021-08, Business Combinations (Topic 805): Accounting for Contract Assets and Contract Liabilities from Contracts with Customers, which requires contract assets and contract liabilities acquired in a business combination to be recognized and measured in accordance with Topic 606, Revenue from Contracts with Customers, as if the acquirer had originated the contracts. Under previous GAAP, such assets and liabilities were recognized by the acquirer at fair value on the acquisition date. The Company adopted ASU 2021-08 as of January 1, 2023. The adoption of ASU 2021-08 did not have a material impact on the Company’s condensed consolidated financial statements.

Fair Value Measurements (Tables

Fair Value Measurements (Tables)	3 Months Ended
	Mar. 31, 2023
Fair Value Disclosures [Abstract]
Schedule of Fair Value, Assets and Liabilities Measured on Recurring Basis	The following tables set forth the fair value of the Company’s financial assets and liabilities measured on a recurring basis by level within the fair value hierarchy (in thousands): March 31, 2023 Level 1 Level 2 Level 3 Total Financial Assets Money market funds $ 48,961 $ — $ — $ 48,961 Certificates of deposit — 8,257 — 8,257 Cash equivalents 48,961 8,257 — 57,218 Commercial paper — 59,745 — 59,745 Agency debt securities — 14,570 — 14,570 U.S. Treasury and government debt securities — 19,617 — 19,617 Marketable securities — 93,932 — 93,932 Total Financial Assets $ 48,961 $ 102,189 $ — $ 151,150 December 31, 2022 Level 1 Level 2 Level 3 Total Financial Assets Money market funds $ 48,884 $ — $ — $ 48,884 Certificates of deposit — 4,169 — 4,169 Cash equivalents 48,884 4,169 — 53,053 Commercial paper — 63,483 — 63,483 Agency debt securities — 5,778 — 5,778 U.S. Treasury and government debt securities — 12,752 — 12,752 Marketable securities — 82,013 — 82,013 Total Financial Assets $ 48,884 $ 86,182 $ — $ 135,066

Balance Sheet Components (Table

Balance Sheet Components (Tables)	3 Months Ended
	Mar. 31, 2023
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Debt Securities, Available-for-sale	The following tables summarize the Company’s marketable securities by significant investment categories (in thousands): March 31, 2023 Amortized Cost Unrealized Gain Unrealized Loss Fair Value Commercial paper $ 59,745 $ — $ — $ 59,745 Agency debt securities 14,556 14 — 14,570 U.S. Treasury and government debt securities 19,623 5 (11) 19,617 Total $ 93,924 $ 19 $ (11) $ 93,932 December 31, 2022 Amortized Cost Unrealized Gain Unrealized Loss Fair Value Commercial paper $ 63,483 $ — $ — $ 63,483 Agency debt securities 5,762 17 — 5,779 U.S. Treasury and government debt securities 12,777 2 (28) 12,751 Total $ 82,022 $ 19 $ (28) $ 82,013
Property, Plant and Equipment	Property, equipment and software, net consisted of the following (in thousands): March 31, December 31, Internal-use software $ 46,393 $ 40,794 Network hardware, computer equipment and software 130,963 129,212 Leasehold improvements 4,143 4,026 Furniture and fixtures 2,123 2,087 Property, equipment and software, gross 183,622 176,119 Less: accumulated depreciation and amortization (115,069) (104,963) Total property, equipment and software, net $ 68,553 $ 71,156
Schedule of Accounts Payable and Accrued Liabilities	Accounts payable consisted of the following (in thousands): March 31, December 31, Payable to publishers $ 216,264 $ 266,506 Trade payables 6,315 10,908 Total accounts payable $ 222,579 $ 277,414
Schedule of Accrued Liabilities	Accrued liabilities consisted of the following (in thousands): March 31, December 31, Accrued compensation $ 9,899 $ 14,587 Accrued and other current liabilities 9,415 4,349 Total accrued liabilities $ 19,314 $ 18,936

Leases (Tables)

Leases (Tables)	3 Months Ended
	Mar. 31, 2023
Leases [Abstract]
Lease, Cost	The components of lease cost were as follows (in thousands): Three Months Ended March 31, 2023 2022 Operating lease cost $ 1,834 $ 1,393 Finance lease cost - amortization of right-of-use assets 43 43 Finance lease cost - interest on lease liabilities 4 5 Total lease cost $ 1,881 $ 1,441
Lessee, Operating Lease, Liability, Maturity	As of March 31, 2023, the maturities of lease liabilities under operating and finance leases were as follows (in thousands): Operating Leases Finance Leases Total Remainder of 2023 $ 5,013 $ 105 $ 5,118 2024 6,589 145 6,734 2025 5,146 149 5,295 2026 5,359 153 5,512 2027 4,259 158 4,417 Thereafter 990 41 1,031 Total minimum lease payments 27,356 751 28,107 Less: imputed interest (1,863) (41) (1,904) Total present value of lease liabilities $ 25,493 $ 710 $ 26,203
Finance Lease, Liability, Fiscal Year Maturity	As of March 31, 2023, the maturities of lease liabilities under operating and finance leases were as follows (in thousands): Operating Leases Finance Leases Total Remainder of 2023 $ 5,013 $ 105 $ 5,118 2024 6,589 145 6,734 2025 5,146 149 5,295 2026 5,359 153 5,512 2027 4,259 158 4,417 Thereafter 990 41 1,031 Total minimum lease payments 27,356 751 28,107 Less: imputed interest (1,863) (41) (1,904) Total present value of lease liabilities $ 25,493 $ 710 $ 26,203

Acquisition-related Intangibl_2

Acquisition-related Intangible Assets, Net (Tables)	3 Months Ended
	Mar. 31, 2023
Goodwill and Intangible Assets Disclosure [Abstract]
Schedule of Acquired Indefinite-Lived Intangible Assets by Major Class	Acquisition-related intangible assets, net consisted of the following (in thousands): March 31, 2023 Gross Carrying Amount Accumulated Amortization Net Carrying Amount Developed technology $ 7,900 $ 851 $ 7,049 Customer relationships 1,000 1,000 — Total acquisition-related intangible assets $ 8,900 $ 1,851 $ 7,049 December 31, 2022 Gross Carrying Amount Accumulated Amortization Net Carrying Amount Developed technology $ 7,900 $ 456 $ 7,444 Customer relationships 1,000 145 855 Total acquisition-related intangible assets $ 8,900 $ 601 $ 8,299
Schedule of Finite-Lived Intangible Assets, Future Amortization Expense	As of March 31, 2023, estimated future amortization expense for acquisition-related intangible assets was as follows (in thousands): Remainder of 2023 $ 1,185 2024 1,580 2025 1,580 2026 1,580 2027 1,124 Total estimated future amortization expense for acquisition-related intangible assets $ 7,049

Stockholders_ Equity and Stoc_2

Stockholders’ Equity and Stock Option Plans (Tables)	3 Months Ended
	Mar. 31, 2023
Equity [Abstract]
Disclosure of Share-based Compensation Arrangements by Share-based Payment Award	The following table summarizes stock option activity and related information under the Company’s equity incentive plans: Stock Options Number of Shares Underlying Outstanding Options Weighted-Average Exercise Price Weighted Average Remaining Contractual Term (Years) Aggregate Intrinsic Value (in thousands) Outstanding — December 31, 2022 6,476,239 $ 7.38 6.10 $ 55,516 Options granted 1,313,004 15.40 Options exercised (108,597) 2.88 Options canceled (2,570) 6.14 Options expired (15,538) $ 33.92 Outstanding — March 31, 2023 7,662,538 $ 8.76 6.24 $ 59,796 Vested and exercisable — March 31, 2023 5,245,258 $ 5.27 5.23 $ 53,940 The following table summarizes RSU activity and related information under the Company’s 2020 Plan: RSUs Number of Shares Weighted-Average Grant Date Fair Value per Share Unvested — December 31, 2022 1,581,982 $ 26.49 Granted 2,049,867 $ 16.07 Vested (95,825) $ 29.92 Canceled/Forfeited (26,512) $ 21.60 Unvested — March 31, 2023 3,509,512 $ 20.35
Share-based Payment Arrangement, Expensed and Capitalized, Amount	otal stock-based compensation expense recognized in the condensed consolidated statements of operations was as follows (in thousands): Three Months Ended March 31, 2023 2022 Cost of revenue $ 316 $ 278 Technology and development 1,008 877 Sales and marketing 2,709 1,907 General and administrative 3,026 2,074 Total stock-based compensation expense 7,059 5,136 Tax benefit from stock-based compensation (1,318) (831) Total stock-based compensation expense, net of tax effect $ 5,741 $ 4,305

Net Income (Loss) Per Share A_2

Net Income (Loss) Per Share Attributable to Common Stockholders (Tables)	3 Months Ended
	Mar. 31, 2023
Earnings Per Share [Abstract]
Schedule of Earnings per Share, Basic, by Common Class, Including Two Class Method	The following table sets forth the computation of the Company’s basic and diluted net income (loss) per share (in thousands, except share and per share data): Three Months Ended March 31, 2023 2022 Numerator: Net income (loss) attributable to common stockholders – basic $ (5,871) $ 4,779 Denominator: Weighted average common shares outstanding – basic 52,740,352 51,910,572 Net income (loss) per share attributable to common stockholders – basic: $ (0.11) $ 0.09 Numerator: Net income (loss) attributable to common stockholders – diluted $ (5,871) $ 4,779 Denominator: Weighted average shares outstanding – basic 52,740,352 51,910,572 Options to purchase common stock — 4,926,804 Restricted stock — 4,348 Employee stock purchase plan shares — 46,455 Weighted average shares outstanding – diluted 52,740,352 56,888,179 Net income (loss) per share attributable to common stockholders – diluted $ (0.11) $ 0.08
Schedule of Earnings per Share, Diluted, by Common Class, Including Two Class Method	The following table sets forth the computation of the Company’s basic and diluted net income (loss) per share (in thousands, except share and per share data): Three Months Ended March 31, 2023 2022 Numerator: Net income (loss) attributable to common stockholders – basic $ (5,871) $ 4,779 Denominator: Weighted average common shares outstanding – basic 52,740,352 51,910,572 Net income (loss) per share attributable to common stockholders – basic: $ (0.11) $ 0.09 Numerator: Net income (loss) attributable to common stockholders – diluted $ (5,871) $ 4,779 Denominator: Weighted average shares outstanding – basic 52,740,352 51,910,572 Options to purchase common stock — 4,926,804 Restricted stock — 4,348 Employee stock purchase plan shares — 46,455 Weighted average shares outstanding – diluted 52,740,352 56,888,179 Net income (loss) per share attributable to common stockholders – diluted $ (0.11) $ 0.08
Schedule of Antidilutive Securities Excluded from Computation of Earnings per Share	The following weighted-average outstanding shares of common stock equivalents were excluded from the computation of diluted net income (loss) per share attributable to common stockholders for the periods presented because including them would have been anti-dilutive: Three Months Ended March 31, 2023 2022 Options to purchase common stock 1,892,052 913,742 Unvested restricted stock units 2,451,338 653,061 ESPP 91,661 21,566 Total common stock equivalents excluded from net income per share attributable to common stockholders – diluted 4,435,051 1,588,369

Segment Reporting (Tables)

Segment Reporting (Tables)	3 Months Ended
	Mar. 31, 2023
Segment Reporting [Abstract]
Schedule of Revenue from External Customers and Long-Lived Assets, by Geographical Areas	The following table presents total revenue by geographic area based on the publisher’s billing address (in thousands): Three Months Ended March 31, 2023 2022 United States $ 32,640 $ 32,768 EMEA 17,844 14,641 APAC 3,978 6,121 Rest of the world 945 1,022 Total $ 55,407 $ 54,552 The following table presents long-lived assets, net, which consist primarily of property and equipment and operating lease right-of-use assets, by geographic area (in thousands): March 31, December 31, United States $ 77,715 $ 80,021 Rest of the world 15,679 17,341 Total $ 93,394 $ 97,362

Basis of Presentation and Sum_3

Basis of Presentation and Summary of Significant Accounting Policies - Concentration Risk Percentage (Details) - Customer Concentration Risk - Accounts Receivable	3 Months Ended		6 Months Ended
	Mar. 31, 2023	Mar. 31, 2022	Jun. 30, 2022
One Publisher
Concentration Risk [Line Items]
Concentration risk, percentage	11%	14%
Buyer One
Concentration Risk [Line Items]
Concentration risk, percentage	33%		32%
Buyer Two
Concentration Risk [Line Items]
Concentration risk, percentage	15%		20%
Buyer Three
Concentration Risk [Line Items]
Concentration risk, percentage	11%

Fair Value Measurements (Detail

Fair Value Measurements (Details) - Fair Value, Recurring - USD ($) $ in Thousands	Mar. 31, 2023	Dec. 31, 2022
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Marketable securities, fair value	$ 93,932	$ 82,013
Total Financial Assets	151,150	135,066
Cash equivalents
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Cash and cash equivalents, fair value	57,218	53,053
Money market funds
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Cash and cash equivalents, fair value	48,961	48,884
Certificates of deposit
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Cash and cash equivalents, fair value	8,257	4,169
Level 1
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Marketable securities, fair value	0	0
Total Financial Assets	48,961	48,884
Level 1 | Cash equivalents
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Cash and cash equivalents, fair value	48,961	48,884
Level 1 | Money market funds
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Cash and cash equivalents, fair value	48,961	48,884
Level 1 | Certificates of deposit
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Cash and cash equivalents, fair value	0	0
Level 2
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Marketable securities, fair value	93,932	82,013
Total Financial Assets	102,189	86,182
Level 2 | Cash equivalents
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Cash and cash equivalents, fair value	8,257	4,169
Level 2 | Money market funds
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Cash and cash equivalents, fair value	0	0
Level 2 | Certificates of deposit
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Cash and cash equivalents, fair value	8,257	4,169
Level 3
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Marketable securities, fair value	0	0
Total Financial Assets	0	0
Level 3 | Cash equivalents
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Cash and cash equivalents, fair value	0	0
Level 3 | Money market funds
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Cash and cash equivalents, fair value	0	0
Level 3 | Certificates of deposit
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Cash and cash equivalents, fair value	0	0
Commercial paper
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Marketable securities, fair value	59,745	63,483
Commercial paper | Level 1
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Marketable securities, fair value	0	0
Commercial paper | Level 2
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Marketable securities, fair value	59,745	63,483
Commercial paper | Level 3
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Marketable securities, fair value	0	0
Agency debt securities
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Marketable securities, fair value	14,570	5,778
Agency debt securities | Level 1
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Marketable securities, fair value	0	0
Agency debt securities | Level 2
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Marketable securities, fair value	14,570	5,778
Agency debt securities | Level 3
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Marketable securities, fair value	0	0
U.S. Treasury and government debt securities
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Marketable securities, fair value	19,617	12,752
U.S. Treasury and government debt securities | Level 1
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Marketable securities, fair value	0	0
U.S. Treasury and government debt securities | Level 2
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Marketable securities, fair value	19,617	12,752
U.S. Treasury and government debt securities | Level 3
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Marketable securities, fair value	$ 0	$ 0

Balance Sheet Components - Summ

Balance Sheet Components - Summary of Marketable Securities (Details) - USD ($) $ in Thousands	Mar. 31, 2023	Dec. 31, 2022
Debt Securities, Available-for-sale [Line Items]
Amortized Cost	$ 93,924	$ 82,022
Unrealized Gain	19	19
Unrealized Loss	(11)	(28)
Marketable securities	93,932	82,013
Commercial paper
Debt Securities, Available-for-sale [Line Items]
Amortized Cost	59,745	63,483
Unrealized Gain	0	0
Unrealized Loss	0	0
Marketable securities	59,745	63,483
Agency debt securities
Debt Securities, Available-for-sale [Line Items]
Amortized Cost	14,556	5,762
Unrealized Gain	14	17
Unrealized Loss	0	0
Marketable securities	14,570	5,779
U.S. Treasury and government debt securities
Debt Securities, Available-for-sale [Line Items]
Amortized Cost	19,623	12,777
Unrealized Gain	5	2
Unrealized Loss	(11)	(28)
Marketable securities	$ 19,617	$ 12,751

Balance Sheet Components - Sche

Balance Sheet Components - Schedule of Property, Equipment and Software, Net (Details) - USD ($) $ in Thousands	Mar. 31, 2023	Dec. 31, 2022
Property, Plant and Equipment [Line Items]
Property, equipment and software, gross	$ 183,622	$ 176,119
Less: accumulated depreciation and amortization	(115,069)	(104,963)
Property, equipment and software, net	68,553	71,156
Internal-use software
Property, Plant and Equipment [Line Items]
Property, equipment and software, gross	46,393	40,794
Network hardware, computer equipment and software
Property, Plant and Equipment [Line Items]
Property, equipment and software, gross	130,963	129,212
Leasehold improvements
Property, Plant and Equipment [Line Items]
Property, equipment and software, gross	4,143	4,026
Furniture and fixtures
Property, Plant and Equipment [Line Items]
Property, equipment and software, gross	$ 2,123	$ 2,087

Balance Sheet Components - Narr

Balance Sheet Components - Narrative (Details) - USD ($) $ in Millions	3 Months Ended
	Mar. 31, 2023	Mar. 31, 2022
Property, Plant and Equipment [Line Items]
Depreciation, depletion and amortization	$ 7.3	$ 5
Capitalized computer software additions	5.4	3.3
Internal-use software
Property, Plant and Equipment [Line Items]
Amortization	$ 2.8	$ 2.2

Balance Sheet Components - Sc_2

Balance Sheet Components - Schedule of Accounts Payable (Details) - USD ($) $ in Thousands	Mar. 31, 2023	Dec. 31, 2022
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Payable to publishers	$ 216,264	$ 266,506
Trade payables	6,315	10,908
Total accounts payable	$ 222,579	$ 277,414

Balance Sheet Components - Sc_3

Balance Sheet Components - Schedule of Accrued Liabilities (Details) - USD ($) $ in Thousands	Mar. 31, 2023	Dec. 31, 2022
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Accrued compensation	$ 9,899	$ 14,587
Accrued and other current liabilities	9,415	4,349
Accrued liabilities	$ 19,314	$ 18,936

Senior Secured Credit Facilit_2

Senior Secured Credit Facilities Agreement (Details) - Revolving Credit Facility - Credit Agreement $ in Millions	Oct. 17, 2022 USD ($)
Line of Credit
Line of Credit Facility [Line Items]
Maximum borrowing capacity	$ 110
Line of credit facility, accordion feature, increase limit	$ 90
Line of Credit | Minimum
Line of Credit Facility [Line Items]
Line of credit facility, commitment fee percentage	0.25%
Line of Credit | Maximum
Line of Credit Facility [Line Items]
Line of credit facility, commitment fee percentage	0.35%
Line of Credit | Fed Funds Effective Rate Overnight Index Swap Rate
Line of Credit Facility [Line Items]
Debt instrument, basis spread on variable rate	0.50%
Line of Credit | Secured Overnight Financing Rate (SOFR)
Line of Credit Facility [Line Items]
Debt instrument, basis spread on variable rate	1%
Line of Credit | Secured Overnight Financing Rate (SOFR) | Minimum
Line of Credit Facility [Line Items]
Debt instrument, basis spread on variable rate	2%
Line of Credit | Secured Overnight Financing Rate (SOFR) | Maximum
Line of Credit Facility [Line Items]
Debt instrument, basis spread on variable rate	2.75%
Line of Credit | Alternate Base Rate | Minimum
Line of Credit Facility [Line Items]
Debt instrument, basis spread on variable rate	1%
Line of Credit | Alternate Base Rate | Maximum
Line of Credit Facility [Line Items]
Debt instrument, basis spread on variable rate	1.75%
Line of Credit | Applicable Interest Rate
Line of Credit Facility [Line Items]
Debt instrument, basis spread on variable rate	7%
Letter of Credit
Line of Credit Facility [Line Items]
Maximum borrowing capacity	$ 25
Swingline Sub-Facility
Line of Credit Facility [Line Items]
Maximum borrowing capacity	$ 25

Leases - Lease Cost (Details)

Leases - Lease Cost (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2023	Mar. 31, 2022
Leases [Abstract]
Operating lease cost	$ 1,834	$ 1,393
Finance lease cost - amortization of right-of-use assets	43	43
Finance lease cost - interest on lease liabilities	4	5
Total lease cost	$ 1,881	$ 1,441

Leases - Narrative (Details)

Leases - Narrative (Details)	Mar. 31, 2023
Leases [Abstract]
Operating leases	3.25%
Finance leases	2.24%
Operating lease term	4 years 4 months 24 days
Finance lease term	5 years

Leases - Lease Maturity (Detail

Leases - Lease Maturity (Details) $ in Thousands	Mar. 31, 2023 USD ($)
Operating Leases
Remainder of 2023	$ 5,013
2024	6,589
2025	5,146
2026	5,359
2027	4,259
Thereafter	990
Total minimum lease payments	27,356
Less: imputed interest	(1,863)
Total present value of lease liabilities	25,493
Finance Leases
Remainder of 2023	105
2024	145
2025	149
2026	153
2027	158
Thereafter	41
Total minimum lease payments	751
Less: imputed interest	(41)
Total present value of lease liabilities	710
Total
Remainder of 2023	5,118
2024	6,734
2025	5,295
2026	5,512
2027	4,417
Thereafter	1,031
Total minimum lease payments	28,107
Less: imputed interest	(1,904)
Total present value of lease liabilities	$ 26,203

Business Combination (Details)

Business Combination (Details) - Martin $ in Millions	Sep. 16, 2022 USD ($)
Business Acquisition [Line Items]
Business combination, consideration transferred	$ 30.8
Business combination, separately recognized transactions, expenses and losses recognized	$ 14.2
Business combination, acquisition costs, payment term	3 years
Goodwill, acquired during period	$ 23.3
Business combination, recognized identifiable assets acquired and liabilities assumed, deferred tax liabilities	1.1
Business combination, recognized identifiable assets acquired and liabilities assumed, liabilities	0.3
Developed Technology Rights
Business Acquisition [Line Items]
Finite-lived intangible assets acquired	7.9
Customer Relationships
Business Acquisition [Line Items]
Finite-lived intangible assets acquired	$ 1

Acquisition-related Intangibl_3

Acquisition-related Intangible Assets, Net - Acquisition-Related Intangible Assets, Net (Details) - USD ($) $ in Thousands	Mar. 31, 2023	Dec. 31, 2022
Acquired Finite-Lived Intangible Assets [Line Items]
Gross Carrying Amount	$ 8,900	$ 8,900
Accumulated Amortization	1,851	601
Net Carrying Amount	7,049	8,299
Developed technology
Acquired Finite-Lived Intangible Assets [Line Items]
Gross Carrying Amount	7,900	7,900
Accumulated Amortization	851	456
Net Carrying Amount	7,049	7,444
Customer Relationships
Acquired Finite-Lived Intangible Assets [Line Items]
Gross Carrying Amount	1,000	1,000
Accumulated Amortization	1,000	145
Net Carrying Amount	$ 0	$ 855

Acquisition-related Intangibl_4

Acquisition-related Intangible Assets, Net - Narrative (Details) $ in Millions	3 Months Ended
	Mar. 31, 2023 USD ($)
Acquired Finite-Lived Intangible Assets [Line Items]
Amortization of intangible assets	$ 1.3
Developed technology
Acquired Finite-Lived Intangible Assets [Line Items]
Acquired finite-lived intangible assets, weighted average useful life	4 years 6 months

Acquisition-related Intangibl_5

Acquisition-related Intangible Assets, Net - Estimated Future Amortization (Details) - USD ($) $ in Thousands	Mar. 31, 2023	Dec. 31, 2022
Goodwill and Intangible Assets Disclosure [Abstract]
Remainder of 2023	$ 1,185
2024	1,580
2025	1,580
2026	1,580
2027	1,124
Net Carrying Amount	$ 7,049	$ 8,299

Commitments and Contingencies -

Commitments and Contingencies - Narrative (Details) $ in Millions	Mar. 31, 2023 USD ($) instrument	Dec. 31, 2022 instrument
Other Commitments [Line Items]
Number of letters of credit | instrument	2	2
Irrevocable Letters of Credit due July 2028
Other Commitments [Line Items]
Letters of credit outstanding, amount	$ 3.5
Irrevocable Letters of Credit due April 2025
Other Commitments [Line Items]
Letters of credit outstanding, amount	$ 0.5

Stockholders_ Equity and Stoc_3

Stockholders’ Equity and Stock Option Plans - Narrative (Details) $ in Millions				3 Months Ended
	May 31, 2023 purchasePeriod	Jun. 01, 2022 purchasePeriod	Nov. 30, 2020 shares	Mar. 31, 2023 USD ($) calendarYear shares	Feb. 28, 2023 USD ($)
Class of Stock [Line Items]
Number of calendar years | calendarYear				10
Share-based payment arrangement, nonvested award, excluding option, cost not yet recognized, amount				$ 65.3
Discount from market price, purchase date				5%
Number of purchase periods | purchasePeriod		1
Amount withheld for employee stock purchase plan				$ 0.7
Subsequent Event
Class of Stock [Line Items]
Number of purchase periods | purchasePeriod	2
Share-based Payment Arrangement, Option
Class of Stock [Line Items]
Share-based payment arrangement, nonvested award, option, cost not yet recognized, amount				$ 23
Share-based payment arrangement, nonvested award, cost not yet recognized, period for recognition				2 years 9 months 3 days
Unvested restricted stock units
Class of Stock [Line Items]
Share-based payment arrangement, nonvested award, cost not yet recognized, period for recognition				3 years 3 months 3 days
ESPP
Class of Stock [Line Items]
Common stock reserved for issuance (in shares) | shares				529,888
Number of calendar years | calendarYear				10
Share-based payment arrangement, nonvested award, cost not yet recognized, period for recognition				2 months 1 day
Share-based payment arrangement, nonvested award, excluding option, cost not yet recognized, amount				$ 0.1
Percentage of outstanding stock maximum			1%
Discount from market price, purchase date				85%
Offering period				27 months
Purchase period		6 months
ESPP | Subsequent Event
Class of Stock [Line Items]
Purchase period	6 months
Common Class A
Class of Stock [Line Items]
Common stock reserved for issuance (in shares) | shares				6,597,753
Issuance of common stock related to employee stock purchase plan (in shares) | shares				0
Common Class A | ESPP
Class of Stock [Line Items]
Common stock reserved for issuance (in shares) | shares			500,000
Number of shares authorized | shares			7,500,000
2023 Repurchase Program
Class of Stock [Line Items]
Stock repurchase program, authorized amount					$ 75
Stock repurchase program, remaining authorized repurchase amount				$ 67.1
Stock repurchased and retired during period (in shares) | shares				586,830
Stock repurchased and retired during period, value				$ 7.9

Stockholders_ Equity and Stoc_4

Stockholders’ Equity and Stock Option Plans - Summary of Stock Option Activity and Related Information (Details) - USD ($) $ / shares in Units, $ in Thousands	3 Months Ended	12 Months Ended
	Mar. 31, 2023	Dec. 31, 2022
Number of Shares Underlying Outstanding Options
Beginning balance (in shares)	6,476,239
Options granted (in shares)	1,313,004
Options exercised (in shares)	(108,597)
Options canceled (in shares)	(2,570)
Options expired (in shares)	(15,538)
Ending balance (in shares)	7,662,538	6,476,239
Vested (in shares)	5,245,258
Weighted-Average Exercise Price
Beginning balance (in usd per share)	$ 7.38
Options granted (in usd per share)	15.40
Options exercised (in usd per share)	2.88
Options canceled (in usd per share)	6.14
Options expired (in usd per share)	33.92
Ending balance (in usd per share)	8.76	$ 7.38
Vested (in usd per share)	$ 5.27
Share-based Compensation Arrangement by Share-based Payment Award, Options, Additional Disclosures [Abstract]
Weighted average remaining contractual term (years)	6 years 2 months 26 days	6 years 1 month 6 days
Weighted average remaining contractual term vested (in years)	5 years 2 months 23 days
Aggregate intrinsic value, awards outstanding	$ 59,796	$ 55,516
Aggregate intrinsic value, vested	$ 53,940

Stockholders_ Equity and Stoc_5

Stockholders’ Equity and Stock Option Plans - Summary of Restricted Stock Units and Related Information (Details) - Unvested restricted stock units	3 Months Ended
	Mar. 31, 2023 $ / shares shares
Number of Shares Underlying Outstanding Options
Unvested beginning balance (in shares) | shares	1,581,982
Granted (in shares) | shares	2,049,867
Vested (in shares) | shares	(95,825)
Canceled/Forfeited (in shares) | shares	(26,512)
Unvested ending balance (in shares) | shares	3,509,512
Weighted-Average Exercise Price
Unvested beginning balance (in usd per share) | $ / shares	$ 26.49
Granted (in usd per share) | $ / shares	16.07
Vested (in usd per share) | $ / shares	29.92
Canceled/Forfeited (in usd per share) | $ / shares	21.60
Unvested ending balance (in usd per share) | $ / shares	$ 20.35

Stockholders_ Equity and Stoc_6

Stockholders’ Equity and Stock Option Plans - Stock-based Compensation Expense (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2023	Mar. 31, 2022
Share-based Payment Arrangement, Expensed and Capitalized, Amount [Line Items]
Total stock-based compensation expense	$ 7,059	$ 5,136
Tax benefit from stock-based compensation	(1,318)	(831)
Total stock-based compensation expense, net of tax effect	5,741	4,305
Cost of revenue
Share-based Payment Arrangement, Expensed and Capitalized, Amount [Line Items]
Total stock-based compensation expense	316	278
Technology and development
Share-based Payment Arrangement, Expensed and Capitalized, Amount [Line Items]
Total stock-based compensation expense	1,008	877
Sales and marketing
Share-based Payment Arrangement, Expensed and Capitalized, Amount [Line Items]
Total stock-based compensation expense	2,709	1,907
General and administrative
Share-based Payment Arrangement, Expensed and Capitalized, Amount [Line Items]
Total stock-based compensation expense	$ 3,026	$ 2,074

Net Income (Loss) Per Share A_3

Net Income (Loss) Per Share Attributable to Common Stockholders - Basic and Diluted Net Income per Share (Details) - USD ($) $ / shares in Units, $ in Thousands	3 Months Ended
	Mar. 31, 2023	Mar. 31, 2022
Numerator:
Net income (loss)	$ (5,871)	$ 4,779
Denominator:
Weighted average common shares outstanding – basic	52,740,352	51,910,572
Net income per share attributable to common stockholders – basic: (in usd per share)	$ (0.11)	$ 0.09
Numerator:
Net income (loss) attributable to common stockholders – diluted	$ (5,871)	$ 4,779
Denominator:
Weighted average common shares outstanding – basic	52,740,352	51,910,572
Options to purchase common stock (in shares)	0	4,926,804
Restricted stock (in shares)	0	4,348
Weighted average shares outstanding – diluted	0	46,455
Weighted average shares outstanding – diluted	52,740,352	56,888,179
Net income (loss) per share attributable to common stockholders – diluted (in usd per share)	$ (0.11)	$ 0.08

Net Income (Loss) Per Share A_4

Net Income (Loss) Per Share Attributable to Common Stockholders - Schedule of Antidilutive Securities Excluded from Computation of Earnings per Share (Details) - shares	3 Months Ended
	Mar. 31, 2023	Mar. 31, 2022
Earnings Per Share, Diluted, by Common Class, Including Two Class Method [Line Items]
Total common stock equivalents excluded from net income per share attributable to common stockholders – diluted	4,435,051	1,588,369
Options to purchase common stock
Earnings Per Share, Diluted, by Common Class, Including Two Class Method [Line Items]
Total common stock equivalents excluded from net income per share attributable to common stockholders – diluted	1,892,052	913,742
Unvested restricted stock units
Earnings Per Share, Diluted, by Common Class, Including Two Class Method [Line Items]
Total common stock equivalents excluded from net income per share attributable to common stockholders – diluted	2,451,338	653,061
ESPP
Earnings Per Share, Diluted, by Common Class, Including Two Class Method [Line Items]
Total common stock equivalents excluded from net income per share attributable to common stockholders – diluted	91,661	21,566

Income Taxes - Narrative (Detai

Income Taxes - Narrative (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2023	Mar. 31, 2022
Income Tax Disclosure [Abstract]
Provision (benefit) for income taxes	$ (3,375)	$ 1,403
Effective income tax rate reconciliation, percent	37%	23%

Segment Reporting (Details)

Segment Reporting (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2023	Mar. 31, 2022	Dec. 31, 2022
Revenues from External Customers and Long-Lived Assets [Line Items]
Revenue	$ 55,407	$ 54,552
Total	93,394		$ 97,362
United States
Revenues from External Customers and Long-Lived Assets [Line Items]
Revenue	32,640	32,768
Total	77,715		80,021
EMEA
Revenues from External Customers and Long-Lived Assets [Line Items]
Revenue	17,844	14,641
APAC
Revenues from External Customers and Long-Lived Assets [Line Items]
Revenue	3,978	6,121
Rest of the world
Revenues from External Customers and Long-Lived Assets [Line Items]
Revenue	945	$ 1,022
Total	$ 15,679		$ 17,341

401(k) Plan - Narrative (Detail

401(k) Plan - Narrative (Details) - USD ($) $ in Millions	3 Months Ended
	Mar. 31, 2023	Mar. 31, 2022
Retirement Benefits [Abstract]
Defined contribution plan, maximum annual contributions per employee, percent	100%
Defined contribution plan, employer discretionary contribution amount	$ 0.4	$ 0.4