PubMatic (PUBM) 10-Q 8 Aug 23 2023 Q2 Quarterly report Financial data

Cover

Cover - shares	6 Months Ended
	Jun. 30, 2023	Aug. 02, 2023
Document Information [Line Items]
Document Type	10-Q
Document Quarterly Report	true
Document Period End Date	Jun. 30, 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
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	Q2
Common Class A
Document Information [Line Items]
Entity Common Stock, Shares Outstanding		42,655,221
Common Class B
Document Information [Line Items]
Entity Common Stock, Shares Outstanding		9,212,791

CONDENSED CONSOLIDATED BALANCE

CONDENSED CONSOLIDATED BALANCE SHEETS - USD ($) $ in Thousands	Jun. 30, 2023	Dec. 31, 2022
Current assets
Cash and cash equivalents	$ 105,537	$ 92,382
Marketable securities	65,367	82,013
Accounts receivable, net	258,009	314,299
Prepaid expenses and other current assets	14,325	14,784
Total current assets	443,238	503,478
Property, equipment and software, net	65,663	71,156
Operating lease right-of-use assets	23,306	26,206
Acquisition-related intangible assets, net	6,654	8,299
Goodwill	29,577	29,577
Deferred tax assets	13,264	1,047
Other assets, non-current	1,964	2,412
TOTAL ASSETS	583,666	642,175
Current liabilities
Accounts payable	240,069	277,414
Accrued liabilities	22,871	18,936
Operating lease liabilities, current	5,840	5,676
Total current liabilities	268,780	302,026
Operating lease liabilities, non-current	18,178	20,915
Other liabilities, non-current	2,180	7,046
TOTAL LIABILITIES	289,138	329,987
Commitments and contingencies (Note 9)
Stockholders' equity
Preferred stock, $0.0001 par value per share, 10,000 shares authorized as of June 30, 2023 and December 31, 2022; No shares issued and outstanding as of June 30, 2023 and December 31, 2022	0	0
Common stock, value, issued	6	6
Treasury stock, at cost; 4,727 and 3,140 shares as of June 30, 2023 and December 31, 2022, respectively	(34,966)	(11,486)
Additional paid-in capital	213,115	195,677
Accumulated other comprehensive loss	(32)	(9)
Retained earnings	116,405	128,000
TOTAL STOCKHOLDERS’ EQUITY	294,528	312,188
TOTAL LIABILITIES AND STOCKHOLDERS' EQUITY	$ 583,666	$ 642,175

CONDENSED CONSOLIDATED BALANC_2

CONDENSED CONSOLIDATED BALANCE SHEETS (Parenthetical) - $ / shares	Jun. 30, 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	4,727,000	3,140,000
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	44,300,000	43,452,000
Common stock shares outstanding	42,713,000	43,452,000
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	12,369,000	12,393,000
Common stock shares outstanding	9,229,000	9,253,000

CONDENSED CONSOLIDATED STATEMEN

CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS - USD ($) shares in Thousands, $ in Thousands		3 Months Ended		6 Months Ended
		Jun. 30, 2023	Jun. 30, 2022	Jun. 30, 2023	Jun. 30, 2022
Income Statement [Abstract]
Revenue		$ 63,330	$ 63,032	$ 118,737	$ 117,584
Cost of revenue		25,067	18,974	48,930	36,966
Gross profit		38,263	44,058	69,807	80,618
Operating expenses:
Technology and development		6,730	5,075	13,247	9,847
Sales and marketing		19,810	18,212	42,937	34,667
General and administrative	[1]	18,857	10,977	31,429	21,727
Total operating expenses		45,397	34,264	87,613	66,241
Operating income (loss)		(7,134)	9,794	(17,806)	14,377
Interest income		2,176	325	4,067	448
Other income (expense), net		(221)	(373)	(686)	1,103
Income (loss) before income taxes		(5,179)	9,746	(14,425)	15,928
Provision (benefit) for income taxes		545	1,927	(2,830)	3,330
Net income (loss)		$ (5,724)	$ 7,819	$ (11,595)	$ 12,598
Earnings Per Share [Abstract]
Basic net income (loss) per share of Class A and Class B stock (in usd per share)		$ (0.11)	$ 0.15	$ (0.22)	$ 0.24
Diluted net income (loss) per share of Class A and Class B stock (in usd per share)		$ (0.11)	$ 0.14	$ (0.22)	$ 0.22
Weighted-average shares used to compute net income (loss) per share attributable to common stockholders:
Basic (in shares)		52,029	52,155	52,383	52,033
Diluted (in shares)		52,029	56,847	52,383	56,868
[1]Amounts for the three and six months ended June 30, 2023 include a provision for bad debt of $5.7 million relating to a Demand Side Platform (“DSP”) buyer of our platform that filed for Chapter 11 bankruptcy.

CONDENSED CONSOLIDATED STATEM_2

CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS (Parenthetical) - USD ($) $ in Thousands	3 Months Ended	6 Months Ended
	Jun. 30, 2023	Jun. 30, 2023	Jun. 30, 2022
Income Statement [Abstract]
Provision for doubtful accounts	$ 5,700	$ 5,675	$ 0

CONDENSED CONSOLIDATED STATEM_3

CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (LOSS) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2023	Jun. 30, 2022	Jun. 30, 2023	Jun. 30, 2022
Statement of Other Comprehensive Income [Abstract]
Net income (loss)	$ (5,724)	$ 7,819	$ (11,595)	$ 12,598
Other comprehensive income (loss):
Unrealized gain (loss) on marketable securities, net of tax	(40)	(148)	(23)	(351)
Comprehensive income (loss)	$ (5,764)	$ 7,671	$ (11,618)	$ 12,247

CONDENSED CONSOLIDATED STATEM_4

CONDENSED CONSOLIDATED STATEMENTS OF STOCKHOLDERS’ EQUITY - USD ($) shares in Thousands, $ 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		51,855
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)		131
Exercise of stock options	481			481
Issuance of common stock related to RSU vesting (in shares)		25
Other comprehensive income (loss)	(203)				(203)
Net income (loss)	4,779					4,779
Ending balance (in shares) at Mar. 31, 2022		52,011
Ending balance at Mar. 31, 2022	267,706	$ 6	(11,486)	175,351	(239)	104,074
Beginning balance (in shares) at Dec. 31, 2021		51,855
Beginning balance at Dec. 31, 2021	257,180	$ 6	(11,486)	169,401	(36)	99,295
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Net income (loss)	12,598
Ending balance (in shares) at Jun. 30, 2022		52,338
Ending balance at Jun. 30, 2022	283,916	$ 6	(11,486)	183,890	(387)	111,893
Beginning balance (in shares) at Mar. 31, 2022		52,011
Beginning balance at Mar. 31, 2022	267,706	$ 6	(11,486)	175,351	(239)	104,074
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Stock-based compensation	5,780			5,780
Exercise of stock options (in shares)		96
Exercise of stock options	357			357
Issuance of common stock related to employee stock purchase plan (in shares)		142
Issuance of common stock related to employee stock purchase plan	2,402			2,402
Issuance of common stock related to RSU vesting (in shares)		90
Other comprehensive income (loss)	(148)				(148)
Net income (loss)	7,819					7,819
Ending balance (in shares) at Jun. 30, 2022		52,338
Ending balance at Jun. 30, 2022	283,916	$ 6	(11,486)	183,890	(387)	111,893
Beginning balance (in shares) at Dec. 31, 2022		52,705
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)		109
Exercise of stock options	314			314
Repurchase of shares (in shares)		(587)
Repurchase of shares	(7,898)		(7,898)
Issuance of common stock related to RSU vesting (in shares)		96
Other comprehensive income (loss)	17				17
Net income (loss)	(5,871)					(5,871)
Ending balance (in shares) at Mar. 31, 2023		52,323
Ending balance at Mar. 31, 2023	306,356	$ 6	(19,384)	203,597	8	122,129
Beginning balance (in shares) at Dec. 31, 2022		52,705
Beginning balance at Dec. 31, 2022	$ 312,188	$ 6	(11,486)	195,677	(9)	128,000
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Exercise of stock options (in shares)	390
Net income (loss)	$ (11,595)
Ending balance (in shares) at Jun. 30, 2023		51,942
Ending balance at Jun. 30, 2023	294,528	$ 6	(34,966)	213,115	(32)	116,405
Beginning balance (in shares) at Mar. 31, 2023		52,323
Beginning balance at Mar. 31, 2023	306,356	$ 6	(19,384)	203,597	8	122,129
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Stock-based compensation	7,924			7,924
Exercise of stock options (in shares)		281
Exercise of stock options	623			623
Issuance of common stock related to employee stock purchase plan (in shares)		65
Issuance of common stock related to employee stock purchase plan	971			971
Repurchase of shares (in shares)		(999)
Repurchase of shares	(15,582)		(15,582)
Issuance of common stock related to RSU vesting (in shares)		272
Other comprehensive income (loss)	(40)				(40)
Net income (loss)	(5,724)					(5,724)
Ending balance (in shares) at Jun. 30, 2023		51,942
Ending balance at Jun. 30, 2023	$ 294,528	$ 6	$ (34,966)	$ 213,115	$ (32)	$ 116,405

CONDENSED CONSOLIDATED STATEM_5

CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($) $ in Thousands	6 Months Ended
	Jun. 30, 2023	Jun. 30, 2022
Statement of Cash Flows [Abstract]
Net income (loss)	$ (11,595)	$ 12,598
Adjustments to reconcile net income to net cash provided by operating activities:
Depreciation and amortization	22,330	14,505
Unrealized gain on equity investment	0	(458)
Stock-based compensation	14,325	10,527
Provision for doubtful accounts	5,675	0
Deferred income taxes	(13,555)	(2,396)
Accretion of discount on marketable securities	(2,042)	(15)
Non-cash operating lease expense	3,067	2,998
Other	4	99
Changes in operating assets and liabilities:
Accounts receivable	41,743	22,942
Prepaid expenses and other assets	907	547
Accounts payable	(30,078)	(13,698)
Accrued liabilities	1,875	(5,565)
Operating lease liabilities	(2,740)	(2,385)
Other liabilities, non-current	(1,314)	83
Net cash provided by operating activities	28,602	39,782
CASH FLOWS FROM INVESTING ACTIVITIES:
Purchases of property and equipment	(2,552)	(12,384)
Capitalized software development costs	(9,919)	(6,777)
Purchases of marketable securities	(46,715)	(82,616)
Proceeds from sales of marketable securities	18,873	0
Proceeds from maturities of marketable securities	46,500	28,200
Net cash provided by (used in) investing activities	6,187	(73,577)
CASH FLOWS FROM FINANCING ACTIVITIES:
Proceeds from issuance of common stock for employee stock purchase plan	971	2,402
Proceeds from exercise of stock options	937	838
Principal payments on finance lease obligations	(62)	(56)
Payments to acquire treasury stock	(23,480)	0
Net cash provided by (used in) financing activities	(21,634)	3,184
NET INCREASE (DECREASE) IN CASH AND CASH EQUIVALENTS	13,155	(30,611)
CASH AND CASH EQUIVALENTS - Beginning of period	92,382	82,505
CASH AND CASH EQUIVALENTS - End of period	105,537	51,894
SUPPLEMENTAL DISCLOSURES OF CASH FLOW INFORMATION:
Income taxes paid	10,499	1,842
SUPPLEMENTAL DISCLOSURES OF NON-CASH INVESTING AND FINANCING INFORMATION:
Stock-based compensation capitalized as internal-use software costs	1,205	722
Property and equipment included in accounts payable and accrued liabilities	2,350	6,837
Capitalized software costs included in accounts payable and accrued liabilities	1,685	1,047
Business combination purchase consideration - indemnification claims holdback	$ 2,148	$ 0

Organization and Description of

Organization and Description of Business	6 Months Ended
	Jun. 30, 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	6 Months Ended
	Jun. 30, 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 June 30, 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 June 30, 2023 and 2022, one publisher represented less than 10% and 12%, respectively, and 10% and 13% for the six months ended June 30, 2023 and 2022, respectively, of the Company’s revenue. As of June 30, 2023, two buyers accounted for 30% and 19%, respectively, of accounts receivable. As of December 31, 2022, three buyers accounted for 33%, 15%, and 11%, respectively, of accounts receivable. Accounts Receivable and Allowance for Credit Losses Accounts receivable are recorded at the invoiced amount, are unsecured, and do not bear interest. The allowance for credit losses is based on the best estimate of the amount of probable credit losses in existing accounts receivable. The allowance for credit losses is determined based on historical collection experience and the review in each period of the status of the then outstanding accounts receivable, while taking into consideration current customer information, collection history, and other relevant data. Account balances are written off against the allowance when the Company believes it is probable the receivable will not be recovered. The following table presents the changes in the allowance for credit losses (in thousands): Three Months Ended June 30, Six Months Ended June 30, 2023 2022 2023 2022 Allowance for credit losses, beginning balance $ 1,765 $ 1,765 $ 1,765 $ 1,765 Increase in provision for expected credit losses 14,547 — 14,547 — Write-offs (1,467) — (1,467) — Allowance for credit losses, ending balance $ 14,845 $ 1,765 $ 14,845 $ 1,765 During the three and six months ended June 30, 2023, the provision for expected credit losses associated with accounts receivable increased by $14.5 million relating to uncollectible receivables for a DSP buyer of the Company’s platform that filed for Chapter 11 bankruptcy on June 30, 2023. Of the total uncollectible receivables from the DSP buyer of $14.5 million, $8.8 million was subject to chargeback to publishers of the Company and recorded as contra payable to publishers related to expected recoveries. The result was $5.7 million of bad debt expense for the three and six months ended June 30, 2023. 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	6 Months Ended
	Jun. 30, 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): June 30, 2023 Level 1 Level 2 Level 3 Total Financial Assets Money market funds $ 83,097 $ — $ — $ 83,097 Certificates of deposit — 10,305 — 10,305 Cash equivalents 83,097 10,305 — 93,402 Commercial paper — 41,804 — 41,804 Agency debt securities — 14,720 — 14,720 U.S. Treasury and government debt securities — 8,843 — 8,843 Marketable securities — 65,367 — 65,367 Total financial assets $ 83,097 $ 75,672 $ — $ 158,769 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	6 Months Ended
	Jun. 30, 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): June 30, 2023 Amortized Cost Unrealized Gain Unrealized Loss Fair Value Commercial paper $ 41,804 $ — $ — $ 41,804 Agency debt securities 14,732 — (12) 14,720 U.S. Treasury and government debt securities 8,863 — (20) 8,843 Total $ 65,399 $ — $ (32) $ 65,367 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 June 30, 2023 and December 31, 2022. Realized gains and losses were immaterial for the six months ended June 30, 2023 and 2022. As of June 30, 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): June 30, December 31, Internal-use software $ 51,830 $ 40,794 Network hardware, computer equipment and software 132,619 129,212 Leasehold improvements 4,548 4,026 Furniture and fixtures 2,126 2,087 Property, equipment and software, gross 191,123 176,119 Less: accumulated depreciation and amortization (125,460) (104,963) Total property, equipment and software, net $ 65,663 $ 71,156 Depreciation and amortization expense related to property, equipment, and software (excluding amortization of internal-use software) was $7.2 million and $4.9 million for the three months ended June 30, 2023 and 2022, respectively, and $14.6 million and $9.9 million for the six months ended June 30, 2023 and 2022, respectively. The Company capitalized $5.4 million and $3.5 million in software development costs during the three months ended June 30, 2023 and 2022, respectively, and $10.8 million and $6.7 million for the six months ended June 30, 2023 and 2022, respectively. Amortization expense of internal-use software was $3.3 million and $2.4 million during the three months ended June 30, 2023 and 2022, respectively, and $6.1 million and $4.6 million for the six months ended June 30, 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 six months ended June 30, 2023 and 2022, respectively. Accounts Payable Accounts payable consisted of the following (in thousands): June 30, December 31, Payable to publishers $ 226,551 $ 266,506 Trade and other payables 13,518 10,908 Total accounts payable $ 240,069 $ 277,414 Accrued Liabilities Accrued liabilities consisted of the following (in thousands): June 30, December 31, Accrued compensation $ 12,615 $ 14,587 Accrued and other current liabilities 10,256 4,349 Total accrued liabilities $ 22,871 $ 18,936

Senior Secured Credit Facilitie

Senior Secured Credit Facilities Agreement	6 Months Ended
	Jun. 30, 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 June 30, 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.

Leases

Leases	6 Months Ended
	Jun. 30, 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 June 30, Six Months Ended June 30, 2023 2022 2023 2022 Operating lease cost $ 1,834 $ 1,923 $ 3,668 $ 3,300 Finance lease cost 48 48 95 96 Total lease cost $ 1,882 $ 1,971 $ 3,763 $ 3,396 As of June 30, 2023, a weighted average discount rate of 3.26% 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 4.2 and 4.8 years, respectively, as of June 30, 2023. As of June 30, 2023, the maturities of lease liabilities under operating and finance leases were as follows (in thousands): Operating Leases Finance Leases Total Remainder of 2023 $ 3,330 $ 70 $ 3,400 2024 6,587 145 6,732 2025 5,148 149 5,297 2026 5,361 153 5,514 2027 4,260 158 4,418 Thereafter 997 41 1,038 Total minimum lease payments 25,683 716 26,399 Less: imputed interest (1,665) (37) (1,702) Total present value of lease liabilities $ 24,018 $ 679 $ 24,697
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 June 30, Six Months Ended June 30, 2023 2022 2023 2022 Operating lease cost $ 1,834 $ 1,923 $ 3,668 $ 3,300 Finance lease cost 48 48 95 96 Total lease cost $ 1,882 $ 1,971 $ 3,763 $ 3,396 As of June 30, 2023, a weighted average discount rate of 3.26% 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 4.2 and 4.8 years, respectively, as of June 30, 2023. As of June 30, 2023, the maturities of lease liabilities under operating and finance leases were as follows (in thousands): Operating Leases Finance Leases Total Remainder of 2023 $ 3,330 $ 70 $ 3,400 2024 6,587 145 6,732 2025 5,148 149 5,297 2026 5,361 153 5,514 2027 4,260 158 4,418 Thereafter 997 41 1,038 Total minimum lease payments 25,683 716 26,399 Less: imputed interest (1,665) (37) (1,702) Total present value of lease liabilities $ 24,018 $ 679 $ 24,697

Business Combination

Business Combination	6 Months Ended
	Jun. 30, 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	6 Months Ended
	Jun. 30, 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): June 30, 2023 Gross Carrying Amount Accumulated Amortization Net Carrying Amount Developed technology $ 7,900 $ 1,246 $ 6,654 Customer relationships 1,000 1,000 — Total acquisition-related intangible assets $ 8,900 $ 2,246 $ 6,654 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 4.25 years as of June 30, 2023. Amortization expense related to acquisition-related intangibles was $0.4 million for the three months ended June 30, 2023 and $1.6 million for the six months ended June 30, 2023. As of June 30, 2023, estimated future amortization expense for acquisition-related intangible assets was as follows (in thousands): Remainder of 2023 $ 790 2024 1,580 2025 1,580 2026 1,580 2027 1,124 Total estimated future amortization expense for acquisition-related intangible assets $ 6,654

Commitments and Contingencies

Commitments and Contingencies	6 Months Ended
	Jun. 30, 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 and six months ended June 30, 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 June 30, 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	6 Months Ended
	Jun. 30, 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 June 30, 2023, $51.5 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 and six months ended June 30, 2023, the Company repurchased 999,366 and 1,586,196 aggregate shares of Class A common stock for $15.6 million and $23.5 million, respectively. 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 June 30, 2023, the Company has reserved 6,653,813 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 as of December 31, 2022 6,476 $ 7.38 6.10 $ 55,516 Options granted 1,375 15.33 Options exercised (390) 2.40 Options canceled (160) 17.02 Options expired (16) 33.92 Outstanding as of June 30, 2023 7,285 $ 8.88 6.29 $ 82,416 Vested and exercisable as of June 30, 2023 5,246 $ 5.84 5.33 $ 73,135 As of June 30, 2023, unrecognized stock-based compensation of $19.5 million related to unvested stock options will be recognized on a straight-line basis over a weighted average period of 2.59 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 as of December 31, 2022 1,582 $ 26.49 Granted 2,278 $ 16.03 Vested (368) $ 23.90 Canceled or forfeited (216) $ 18.98 Unvested as of June 30, 2023 3,276 $ 20.00 As of June 30, 2023, unrecognized stock-based compensation of $60.0 million related to unvested RSUs will be recognized on a straight-line basis over a weighted average period of 3.04 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 June 30, 2023, the Company had reserved 464,796 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 June 30, 2023, $0.2 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 six months ended June 30, 2023, there were 65,092 shares of our Class A common stock purchased under the ESPP. As of June 30, 2023, unrecognized stock-based compensation expense related to the ESPP was $1.1 million, which is expected to be recognized over a weighted-average period of 0.92 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 June 30, Six Months Ended June 30, 2023 2022 2023 2022 Cost of revenue $ 387 $ 327 $ 702 $ 605 Technology and development 1,089 907 2,097 1,784 Sales and marketing 2,614 2,098 5,323 4,005 General and administrative 3,176 2,059 6,203 4,133 Total stock-based compensation expense 7,266 5,391 14,325 10,527 Tax benefit from stock-based compensation (1,390) (875) (2,708) (1,706) Total stock-based compensation expense, net of tax effect $ 5,876 $ 4,516 $ 11,617 $ 8,821

Net Income (Loss) Per Share Att

Net Income (Loss) Per Share Attributable to Common Stockholders	6 Months Ended
	Jun. 30, 2023
Earnings Per Share [Abstract]
Net Income (Loss) Per Share Attributable to Common Stockholders	Net Income (Loss) Per Share Attributable to Common StockholdersThe 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 per share data): Three Months Ended June 30, Six Months Ended June 30, 2023 2022 2023 2022 Numerator: Net income (loss) attributable to common stockholders – basic $ (5,724) $ 7,819 $ (11,595) $ 12,598 Denominator: Weighted average shares outstanding – basic 52,029 52,155 52,383 52,033 Options to purchase common stock — 4,686 — 4,807 Restricted stock — 6 — 5 Employee stock purchase plan shares — — — 23 Weighted average shares outstanding – diluted 52,029 56,847 52,383 56,868 Net income (loss) per share attributable to common stockholders – diluted $ (0.11) $ 0.14 $ (0.22) $ 0.22 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 June 30, Six Months Ended June 30, 2023 2022 2023 2022 Options to purchase common stock 2,239 1,051 2,066 982 Unvested restricted stock units 890 1,349 1,671 1,001 ESPP 58 43 75 33 Total common stock equivalents excluded from net income per share attributable to common stockholders – diluted 3,187 2,443 3,812 2,016

Income Taxes

Income Taxes	6 Months Ended
	Jun. 30, 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 a provision for income taxes of $0.5 million and $1.9 million for the three months ended June 30, 2023 and 2022, respectively, and an income tax benefit of $2.8 million and provision for income taxes of $3.3 million for the six months ended June 30, 2023 and 2022, respectively. The effective income tax rate was (11)% and 20% for the three months ended June 30, 2023 and 2022, respectively, and 20% and 21% for the six months ended June 30, 2023 and 2022, respectively. The income tax benefit for the six months ended June 30, 2023 is related to an increase in U.S. year-to-date pre-tax book loss and tax benefit from foreign-derived intangible income (FDII), foreign tax credit and research tax credit, partially offset by an increase in tax expense primarily related to nondeductible stock-based compensation, global intangible low-taxed income (GILTI), and Section 162(m) limitation on the tax deductibility of officers compensation. 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	6 Months Ended
	Jun. 30, 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 June 30, Six Months Ended June 30, 2023 2022 2023 2022 United States $ 37,891 $ 38,278 $ 70,531 $ 71,046 EMEA 19,815 17,044 37,659 31,685 APAC 4,484 6,775 8,462 12,896 Rest of the world 1,140 935 2,085 1,957 Total $ 63,330 $ 63,032 $ 118,737 $ 117,584 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): June 30, December 31, United States $ 75,125 $ 80,021 Rest of the world 13,844 17,341 Total $ 88,969 $ 97,362

401(k) Plan

401(k) Plan	6 Months Ended
	Jun. 30, 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 $0.7 million in matching contributions to the 401(k) Plan for each of the six months ended June 30, 2023 and 2022.

Pay vs Performance Disclosure

Pay vs Performance Disclosure - USD ($) $ in Thousands	3 Months Ended				6 Months Ended
	Jun. 30, 2023	Mar. 31, 2023	Jun. 30, 2022	Mar. 31, 2022	Jun. 30, 2023	Jun. 30, 2022
Pay vs Performance Disclosure
Net income (loss)	$ (5,724)	$ (5,871)	$ 7,819	$ 4,779	$ (11,595)	$ 12,598

Insider Trading Arrangements

Insider Trading Arrangements	3 Months Ended	6 Months Ended
	Jun. 30, 2023 shares	Jun. 30, 2023 shares
Trading Arrangements, by Individual
Non-Rule 10b5-1 Arrangement Adopted	false
Rule 10b5-1 Arrangement Terminated	false
Non-Rule 10b5-1 Arrangement Terminated	false
Paulina Klimenko [Member]
Trading Arrangements, by Individual
Material Terms of Trading Arrangement		In the second quarter of 2023, the following trading plans were adopted or terminated: Trading Arrangement Name Title Action Date Rule 10b5-1* Non-Rule 10b5-1** Total Shares to be Sold Expiration Date Paulina Klimenko (2) Chief Growth Officer Adopted 5/11/2023 X (1) 139,637 7/12/2024 * Intended to satisfy the affirmative defense of Rule 10b5-1(c). ** Not intended to satisfy the affirmative defense of Rule 10b5-1(c). (1) The 10b5-1 plan included a representation from the officer to the broker administering the plan that they were not in possession of any material nonpublic information regarding the Company or the securities subject to the plan. A similar representation was made to the Company in connection with the adoption of the plan under the Company’s insider trading policy. Those representations were made as of the date of adoption of the 10b5-1 plan, and speak only as of that date. In making those representations, there is no assurance with respect to any material non-public information of which the officer was unaware, or with respect to any material non-public information acquired by the officer or the Company after the date of the representation. (2) The aggregate number of RSU Shares that will be available for sale under the plan is not yet determinable because the shares available will be net of shares sold to satisfy tax withholding obligations that arise in connection with the vesting and settlement of such RSU awards. As such, for purposes of this disclosure, the shares included in this table reflect the aggregate maximum number of shares underlying Ms. Klimenko's RSUs without excluding the shares that will be sold to satisfy the tax withholding obligations.
Name	Paulina Klimenko (2)
Title	Chief Growth Officer
Rule 10b5-1 Arrangement Adopted	true
Adoption Date	5/11/2023
Arrangement Duration	428 days
Aggregate Available	139,637	139,637

Basis of Presentation and Sum_2

Basis of Presentation and Summary of Significant Accounting Policies (Policies)	6 Months Ended
	Jun. 30, 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 June 30, 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.

Basis of Presentation and Sum_3

Basis of Presentation and Summary of Significant Accounting Policies (Tables)	6 Months Ended
	Jun. 30, 2023
Accounting Policies [Abstract]
Accounts Receivable, Allowance for Credit Loss	The following table presents the changes in the allowance for credit losses (in thousands): Three Months Ended June 30, Six Months Ended June 30, 2023 2022 2023 2022 Allowance for credit losses, beginning balance $ 1,765 $ 1,765 $ 1,765 $ 1,765 Increase in provision for expected credit losses 14,547 — 14,547 — Write-offs (1,467) — (1,467) — Allowance for credit losses, ending balance $ 14,845 $ 1,765 $ 14,845 $ 1,765

Fair Value Measurements (Tables

Fair Value Measurements (Tables)	6 Months Ended
	Jun. 30, 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): June 30, 2023 Level 1 Level 2 Level 3 Total Financial Assets Money market funds $ 83,097 $ — $ — $ 83,097 Certificates of deposit — 10,305 — 10,305 Cash equivalents 83,097 10,305 — 93,402 Commercial paper — 41,804 — 41,804 Agency debt securities — 14,720 — 14,720 U.S. Treasury and government debt securities — 8,843 — 8,843 Marketable securities — 65,367 — 65,367 Total financial assets $ 83,097 $ 75,672 $ — $ 158,769 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)	6 Months Ended
	Jun. 30, 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): June 30, 2023 Amortized Cost Unrealized Gain Unrealized Loss Fair Value Commercial paper $ 41,804 $ — $ — $ 41,804 Agency debt securities 14,732 — (12) 14,720 U.S. Treasury and government debt securities 8,863 — (20) 8,843 Total $ 65,399 $ — $ (32) $ 65,367 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): June 30, December 31, Internal-use software $ 51,830 $ 40,794 Network hardware, computer equipment and software 132,619 129,212 Leasehold improvements 4,548 4,026 Furniture and fixtures 2,126 2,087 Property, equipment and software, gross 191,123 176,119 Less: accumulated depreciation and amortization (125,460) (104,963) Total property, equipment and software, net $ 65,663 $ 71,156
Schedule of Accounts Payable and Accrued Liabilities	Accounts payable consisted of the following (in thousands): June 30, December 31, Payable to publishers $ 226,551 $ 266,506 Trade and other payables 13,518 10,908 Total accounts payable $ 240,069 $ 277,414
Schedule of Accrued Liabilities	Accrued liabilities consisted of the following (in thousands): June 30, December 31, Accrued compensation $ 12,615 $ 14,587 Accrued and other current liabilities 10,256 4,349 Total accrued liabilities $ 22,871 $ 18,936

Leases (Tables)

Leases (Tables)	6 Months Ended
	Jun. 30, 2023
Leases [Abstract]
Lease, Cost	The components of lease cost were as follows (in thousands): Three Months Ended June 30, Six Months Ended June 30, 2023 2022 2023 2022 Operating lease cost $ 1,834 $ 1,923 $ 3,668 $ 3,300 Finance lease cost 48 48 95 96 Total lease cost $ 1,882 $ 1,971 $ 3,763 $ 3,396
Lessee, Operating Lease, Liability, Maturity	As of June 30, 2023, the maturities of lease liabilities under operating and finance leases were as follows (in thousands): Operating Leases Finance Leases Total Remainder of 2023 $ 3,330 $ 70 $ 3,400 2024 6,587 145 6,732 2025 5,148 149 5,297 2026 5,361 153 5,514 2027 4,260 158 4,418 Thereafter 997 41 1,038 Total minimum lease payments 25,683 716 26,399 Less: imputed interest (1,665) (37) (1,702) Total present value of lease liabilities $ 24,018 $ 679 $ 24,697
Finance Lease, Liability, Fiscal Year Maturity	As of June 30, 2023, the maturities of lease liabilities under operating and finance leases were as follows (in thousands): Operating Leases Finance Leases Total Remainder of 2023 $ 3,330 $ 70 $ 3,400 2024 6,587 145 6,732 2025 5,148 149 5,297 2026 5,361 153 5,514 2027 4,260 158 4,418 Thereafter 997 41 1,038 Total minimum lease payments 25,683 716 26,399 Less: imputed interest (1,665) (37) (1,702) Total present value of lease liabilities $ 24,018 $ 679 $ 24,697

Acquisition-related Intangibl_2

Acquisition-related Intangible Assets, Net (Tables)	6 Months Ended
	Jun. 30, 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): June 30, 2023 Gross Carrying Amount Accumulated Amortization Net Carrying Amount Developed technology $ 7,900 $ 1,246 $ 6,654 Customer relationships 1,000 1,000 — Total acquisition-related intangible assets $ 8,900 $ 2,246 $ 6,654 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 June 30, 2023, estimated future amortization expense for acquisition-related intangible assets was as follows (in thousands): Remainder of 2023 $ 790 2024 1,580 2025 1,580 2026 1,580 2027 1,124 Total estimated future amortization expense for acquisition-related intangible assets $ 6,654

Stockholders_ Equity and Stoc_2

Stockholders’ Equity and Stock Option Plans (Tables)	6 Months Ended
	Jun. 30, 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 as of December 31, 2022 6,476 $ 7.38 6.10 $ 55,516 Options granted 1,375 15.33 Options exercised (390) 2.40 Options canceled (160) 17.02 Options expired (16) 33.92 Outstanding as of June 30, 2023 7,285 $ 8.88 6.29 $ 82,416 Vested and exercisable as of June 30, 2023 5,246 $ 5.84 5.33 $ 73,135 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 as of December 31, 2022 1,582 $ 26.49 Granted 2,278 $ 16.03 Vested (368) $ 23.90 Canceled or forfeited (216) $ 18.98 Unvested as of June 30, 2023 3,276 $ 20.00
Share-based Payment Arrangement, Expensed and Capitalized, Amount	Total stock-based compensation expense recognized in the condensed consolidated statements of operations was as follows (in thousands): Three Months Ended June 30, Six Months Ended June 30, 2023 2022 2023 2022 Cost of revenue $ 387 $ 327 $ 702 $ 605 Technology and development 1,089 907 2,097 1,784 Sales and marketing 2,614 2,098 5,323 4,005 General and administrative 3,176 2,059 6,203 4,133 Total stock-based compensation expense 7,266 5,391 14,325 10,527 Tax benefit from stock-based compensation (1,390) (875) (2,708) (1,706) Total stock-based compensation expense, net of tax effect $ 5,876 $ 4,516 $ 11,617 $ 8,821

Net Income (Loss) Per Share A_2

Net Income (Loss) Per Share Attributable to Common Stockholders (Tables)	6 Months Ended
	Jun. 30, 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 per share data): Three Months Ended June 30, Six Months Ended June 30, 2023 2022 2023 2022 Numerator: Net income (loss) attributable to common stockholders – basic $ (5,724) $ 7,819 $ (11,595) $ 12,598 Denominator: Weighted average shares outstanding – basic 52,029 52,155 52,383 52,033 Options to purchase common stock — 4,686 — 4,807 Restricted stock — 6 — 5 Employee stock purchase plan shares — — — 23 Weighted average shares outstanding – diluted 52,029 56,847 52,383 56,868 Net income (loss) per share attributable to common stockholders – diluted $ (0.11) $ 0.14 $ (0.22) $ 0.22
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 per share data): Three Months Ended June 30, Six Months Ended June 30, 2023 2022 2023 2022 Numerator: Net income (loss) attributable to common stockholders – basic $ (5,724) $ 7,819 $ (11,595) $ 12,598 Denominator: Weighted average shares outstanding – basic 52,029 52,155 52,383 52,033 Options to purchase common stock — 4,686 — 4,807 Restricted stock — 6 — 5 Employee stock purchase plan shares — — — 23 Weighted average shares outstanding – diluted 52,029 56,847 52,383 56,868 Net income (loss) per share attributable to common stockholders – diluted $ (0.11) $ 0.14 $ (0.22) $ 0.22
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 June 30, Six Months Ended June 30, 2023 2022 2023 2022 Options to purchase common stock 2,239 1,051 2,066 982 Unvested restricted stock units 890 1,349 1,671 1,001 ESPP 58 43 75 33 Total common stock equivalents excluded from net income per share attributable to common stockholders – diluted 3,187 2,443 3,812 2,016

Segment Reporting (Tables)

Segment Reporting (Tables)	6 Months Ended
	Jun. 30, 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 June 30, Six Months Ended June 30, 2023 2022 2023 2022 United States $ 37,891 $ 38,278 $ 70,531 $ 71,046 EMEA 19,815 17,044 37,659 31,685 APAC 4,484 6,775 8,462 12,896 Rest of the world 1,140 935 2,085 1,957 Total $ 63,330 $ 63,032 $ 118,737 $ 117,584 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): June 30, December 31, United States $ 75,125 $ 80,021 Rest of the world 13,844 17,341 Total $ 88,969 $ 97,362

Basis of Presentation and Sum_4

Basis of Presentation and Summary of Significant Accounting Policies - Concentration Risk Percentage (Details) - Customer Concentration Risk - Accounts Receivable	3 Months Ended		6 Months Ended		12 Months Ended
	Jun. 30, 2023	Jun. 30, 2022	Jun. 30, 2023	Jun. 30, 2022	Dec. 31, 2022
One Publisher
Concentration Risk [Line Items]
Concentration risk, percentage	10%	12%	10%	13%
Buyer One
Concentration Risk [Line Items]
Concentration risk, percentage			30%		33%
Buyer Two
Concentration Risk [Line Items]
Concentration risk, percentage			19%		15%
Buyer Three
Concentration Risk [Line Items]
Concentration risk, percentage					11%

Basis of Presentation and Sum_5

Basis of Presentation and Summary of Significant Accounting Policies - Allowance for Doubtful Accounts (Details) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2023	Jun. 30, 2022	Jun. 30, 2023	Jun. 30, 2022
Accounts Receivable, Allowance for Credit Loss [Roll Forward]
Allowance for credit losses, beginning balance	$ 1,765	$ 1,765	$ 1,765	$ 1,765
Increase in provision for expected credit losses	14,547	0	14,547	0
Write-offs	(1,467)	0	(1,467)	0
Allowance for credit losses, ending balance	$ 14,845	$ 1,765	$ 14,845	$ 1,765

Basis of Presentation and Sum_6

Basis of Presentation and Summary of Significant Accounting Policies - Accounts Receivable (Details) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2023	Jun. 30, 2022	Jun. 30, 2023	Jun. 30, 2022
Accounting Policies [Abstract]
Increase in provision for expected credit losses	$ 14,547	$ 0	$ 14,547	$ 0
Accounts receivable, chargeback to publishers	8,800		8,800
Provision for doubtful accounts	$ 5,700		$ 5,675	$ 0

Fair Value Measurements (Detail

Fair Value Measurements (Details) - Fair Value, Recurring - USD ($) $ in Thousands	Jun. 30, 2023	Dec. 31, 2022
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Marketable securities, fair value	$ 65,367	$ 82,013
Total financial assets	158,769	135,066
Cash equivalents
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Cash and cash equivalents, fair value	93,402	53,053
Money market funds
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Cash and cash equivalents, fair value	83,097	48,884
Certificates of deposit
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Cash and cash equivalents, fair value	10,305	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	83,097	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	83,097	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	83,097	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	65,367	82,013
Total financial assets	75,672	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	10,305	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	10,305	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	41,804	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	41,804	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	14,720	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	14,720	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	8,843	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	8,843	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	Jun. 30, 2023	Dec. 31, 2022
Debt Securities, Available-for-sale [Line Items]
Amortized Cost	$ 65,399	$ 82,022
Unrealized Gain	0	19
Unrealized Loss	(32)	(28)
Marketable securities	65,367	82,013
Commercial paper
Debt Securities, Available-for-sale [Line Items]
Amortized Cost	41,804	63,483
Unrealized Gain	0	0
Unrealized Loss	0	0
Marketable securities	41,804	63,483
Agency debt securities
Debt Securities, Available-for-sale [Line Items]
Amortized Cost	14,732	5,762
Unrealized Gain	0	17
Unrealized Loss	(12)	0
Marketable securities	14,720	5,779
U.S. Treasury and government debt securities
Debt Securities, Available-for-sale [Line Items]
Amortized Cost	8,863	12,777
Unrealized Gain	0	2
Unrealized Loss	(20)	(28)
Marketable securities	$ 8,843	$ 12,751

Balance Sheet Components - Sche

Balance Sheet Components - Schedule of Property, Equipment and Software, Net (Details) - USD ($) $ in Thousands	Jun. 30, 2023	Dec. 31, 2022
Property, Plant and Equipment [Line Items]
Property, equipment and software, gross	$ 191,123	$ 176,119
Less: accumulated depreciation and amortization	(125,460)	(104,963)
Property, equipment and software, net	65,663	71,156
Internal-use software
Property, Plant and Equipment [Line Items]
Property, equipment and software, gross	51,830	40,794
Network hardware, computer equipment and software
Property, Plant and Equipment [Line Items]
Property, equipment and software, gross	132,619	129,212
Leasehold improvements
Property, Plant and Equipment [Line Items]
Property, equipment and software, gross	4,548	4,026
Furniture and fixtures
Property, Plant and Equipment [Line Items]
Property, equipment and software, gross	$ 2,126	$ 2,087

Balance Sheet Components - Narr

Balance Sheet Components - Narrative (Details) - USD ($) $ in Millions	3 Months Ended		6 Months Ended
	Jun. 30, 2023	Jun. 30, 2022	Jun. 30, 2023	Jun. 30, 2022
Property, Plant and Equipment [Line Items]
Depreciation, depletion and amortization	$ 7.2	$ 4.9	$ 14.6	$ 9.9
Capitalized computer software additions	5.4	3.5	10.8	6.7
Internal-use software
Property, Plant and Equipment [Line Items]
Amortization	$ 3.3	$ 2.4	$ 6.1	$ 4.6

Balance Sheet Components - Sc_2

Balance Sheet Components - Schedule of Accounts Payable (Details) - USD ($) $ in Thousands	Jun. 30, 2023	Dec. 31, 2022
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Payable to publishers	$ 226,551	$ 266,506
Trade and other payables	13,518	10,908
Total accounts payable	$ 240,069	$ 277,414

Balance Sheet Components - Sc_3

Balance Sheet Components - Schedule of Accrued Liabilities (Details) - USD ($) $ in Thousands	Jun. 30, 2023	Dec. 31, 2022
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Accrued compensation	$ 12,615	$ 14,587
Accrued and other current liabilities	10,256	4,349
Accrued liabilities	$ 22,871	$ 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		6 Months Ended
	Jun. 30, 2023	Jun. 30, 2022	Jun. 30, 2023	Jun. 30, 2022
Leases [Abstract]
Operating lease cost	$ 1,834	$ 1,923	$ 3,668	$ 3,300
Finance lease cost	48	48	95	96
Total lease cost	$ 1,882	$ 1,971	$ 3,763	$ 3,396

Leases - Narrative (Details)

Leases - Narrative (Details)	Jun. 30, 2023
Leases [Abstract]
Operating leases	3.26%
Finance leases	2.24%
Operating lease term	4 years 2 months 12 days
Finance lease term	4 years 9 months 18 days

Leases - Lease Maturity (Detail

Leases - Lease Maturity (Details) $ in Thousands	Jun. 30, 2023 USD ($)
Operating Leases
Remainder of 2023	$ 3,330
2024	6,587
2025	5,148
2026	5,361
2027	4,260
Thereafter	997
Total minimum lease payments	25,683
Less: imputed interest	(1,665)
Total present value of lease liabilities	24,018
Finance Leases
Remainder of 2023	70
2024	145
2025	149
2026	153
2027	158
Thereafter	41
Total minimum lease payments	716
Less: imputed interest	(37)
Total present value of lease liabilities	679
Total
Remainder of 2023	3,400
2024	6,732
2025	5,297
2026	5,514
2027	4,418
Thereafter	1,038
Total minimum lease payments	26,399
Less: imputed interest	(1,702)
Total present value of lease liabilities	$ 24,697

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	Jun. 30, 2023	Dec. 31, 2022
Acquired Finite-Lived Intangible Assets [Line Items]
Gross Carrying Amount	$ 8,900	$ 8,900
Accumulated Amortization	2,246	601
Net Carrying Amount	6,654	8,299
Developed technology
Acquired Finite-Lived Intangible Assets [Line Items]
Gross Carrying Amount	7,900	7,900
Accumulated Amortization	1,246	456
Net Carrying Amount	6,654	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) - USD ($) $ in Millions	3 Months Ended	6 Months Ended
	Jun. 30, 2023	Jun. 30, 2023
Acquired Finite-Lived Intangible Assets [Line Items]
Amortization of intangible assets	$ 0.4	$ 1.6
Developed technology
Acquired Finite-Lived Intangible Assets [Line Items]
Acquired finite-lived intangible assets, weighted average useful life	4 years 3 months

Acquisition-related Intangibl_5

Acquisition-related Intangible Assets, Net - Estimated Future Amortization (Details) - USD ($) $ in Thousands	Jun. 30, 2023	Dec. 31, 2022
Goodwill and Intangible Assets Disclosure [Abstract]
Remainder of 2023	$ 790
2024	1,580
2025	1,580
2026	1,580
2027	1,124
Net Carrying Amount	$ 6,654	$ 8,299

Commitments and Contingencies -

Commitments and Contingencies - Narrative (Details) $ in Millions	Jun. 30, 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	6 Months Ended
	May 31, 2023 purchasePeriod	Jun. 01, 2022 purchasePeriod	Nov. 30, 2020 shares	Jun. 30, 2023 USD ($) shares	Jun. 30, 2023 USD ($) calendarYear shares	Feb. 28, 2023 USD ($)
Class of Stock [Line Items]
Number of calendar years | calendarYear					10
Discount from market price, purchase date					5%
Number of purchase periods | purchasePeriod	2	1
Amount withheld for employee stock purchase plan				$ 0.2	$ 0.2
Share-based Payment Arrangement, Option
Class of Stock [Line Items]
Share-based payment arrangement, nonvested award, option, cost not yet recognized, amount				19.5	$ 19.5
Share-based payment arrangement, nonvested award, cost not yet recognized, period for recognition					2 years 7 months 2 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 14 days
Share-based payment arrangement, nonvested award, excluding option, cost not yet recognized, amount				$ 60	$ 60
ESPP
Class of Stock [Line Items]
Common stock reserved for issuance (in shares) | shares				464,796	464,796
Number of calendar years | calendarYear					10
Share-based payment arrangement, nonvested award, cost not yet recognized, period for recognition					11 months 1 day
Share-based payment arrangement, nonvested award, excluding option, cost not yet recognized, amount				$ 1.1	$ 1.1
Percentage of outstanding stock maximum			1%
Discount from market price, purchase date					85%
Offering period					27 months
Purchase period	6 months	6 months
Common Class A
Class of Stock [Line Items]
Common stock reserved for issuance (in shares) | shares				6,653,813	6,653,813
Issuance of common stock related to employee stock purchase plan (in shares) | shares					65,092
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				$ 51.5	$ 51.5
Stock repurchased and retired during period (in shares) | shares				999,366	1,586,196
Stock repurchased and retired during period, value				$ 15.6	$ 23.5

Stockholders_ Equity and Stoc_4

Stockholders’ Equity and Stock Option Plans - Summary of Stock Option Activity and Related Information (Details) $ / shares in Units, shares in Thousands, $ in Thousands	6 Months Ended	12 Months Ended
	Jun. 30, 2023 USD ($) $ / shares shares	Dec. 31, 2022 USD ($) $ / shares shares
Number of Shares Underlying Outstanding Options (in thousands)
Beginning balance (in shares) | shares	6,476
Options granted (in shares) | shares	1,375
Options exercised (in shares) | shares	(390)
Options canceled (in shares) | shares	(160)
Options expired (in shares) | shares	(16)
Ending balance (in shares) | shares	7,285	6,476
Vested (in shares) | shares	5,246
Weighted-Average Exercise Price
Beginning balance (in usd per share) | $ / shares	$ 7.38
Options granted (in usd per share) | $ / shares	15.33
Options exercised (in usd per share) | $ / shares	2.40
Options canceled (in usd per share) | $ / shares	17.02
Options expired (in usd per share) | $ / shares	33.92
Ending balance (in usd per share) | $ / shares	8.88	$ 7.38
Vested (in usd per share) | $ / shares	$ 5.84
Share-based Compensation Arrangement by Share-based Payment Award, Options, Additional Disclosures [Abstract]
Weighted average remaining contractual term (years)	6 years 3 months 14 days	6 years 1 month 6 days
Weighted average remaining contractual term vested (in years)	5 years 3 months 29 days
Aggregate intrinsic value, awards outstanding | $	$ 82,416	$ 55,516
Aggregate intrinsic value, vested | $	$ 73,135

Stockholders_ Equity and Stoc_5

Stockholders’ Equity and Stock Option Plans - Summary of Restricted Stock Units and Related Information (Details) - Unvested restricted stock units shares in Thousands	6 Months Ended
	Jun. 30, 2023 $ / shares shares
Number of Shares Underlying Outstanding Options (in thousands)
Unvested beginning balance (in shares) | shares	1,582
Granted (in shares) | shares	2,278
Vested (in shares) | shares	(368)
Canceled/Forfeited (in shares) | shares	(216)
Unvested ending balance (in shares) | shares	3,276
Weighted-Average Exercise Price
Unvested beginning balance (in usd per share) | $ / shares	$ 26.49
Granted (in usd per share) | $ / shares	16.03
Vested (in usd per share) | $ / shares	23.90
Canceled/Forfeited (in usd per share) | $ / shares	18.98
Unvested ending balance (in usd per share) | $ / shares	$ 20

Stockholders_ Equity and Stoc_6

Stockholders’ Equity and Stock Option Plans - Stock-based Compensation Expense (Details) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2023	Jun. 30, 2022	Jun. 30, 2023	Jun. 30, 2022
Share-based Payment Arrangement, Expensed and Capitalized, Amount [Line Items]
Total stock-based compensation expense	$ 7,266	$ 5,391	$ 14,325	$ 10,527
Tax benefit from stock-based compensation	(1,390)	(875)	(2,708)	(1,706)
Total stock-based compensation expense, net of tax effect	5,876	4,516	11,617	8,821
Cost of revenue
Share-based Payment Arrangement, Expensed and Capitalized, Amount [Line Items]
Total stock-based compensation expense	387	327	702	605
Technology and development
Share-based Payment Arrangement, Expensed and Capitalized, Amount [Line Items]
Total stock-based compensation expense	1,089	907	2,097	1,784
Sales and marketing
Share-based Payment Arrangement, Expensed and Capitalized, Amount [Line Items]
Total stock-based compensation expense	2,614	2,098	5,323	4,005
General and administrative
Share-based Payment Arrangement, Expensed and Capitalized, Amount [Line Items]
Total stock-based compensation expense	$ 3,176	$ 2,059	$ 6,203	$ 4,133

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, shares in Thousands, $ in Thousands	3 Months Ended				6 Months Ended
	Jun. 30, 2023	Mar. 31, 2023	Jun. 30, 2022	Mar. 31, 2022	Jun. 30, 2023	Jun. 30, 2022
Numerator:
Net income (loss)	$ (5,724)	$ (5,871)	$ 7,819	$ 4,779	$ (11,595)	$ 12,598
Denominator:
Weighted average common shares outstanding – basic	52,029		52,155		52,383	52,033
Denominator:
Weighted average common shares outstanding – basic	52,029		52,155		52,383	52,033
Options to purchase common stock (in shares)	0		4,686		0	4,807
Restricted stock (in shares)	0		6		0	5
Weighted average shares outstanding – diluted	0		0		0	23
Weighted average shares outstanding – diluted	52,029		56,847		52,383	56,868
Net income (loss) per share attributable to common stockholders – diluted (in usd per share)	$ (0.11)		$ 0.14		$ (0.22)	$ 0.22

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 shares in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2023	Jun. 30, 2022	Jun. 30, 2023	Jun. 30, 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	3,187	2,443	3,812	2,016
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	2,239	1,051	2,066	982
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	890	1,349	1,671	1,001
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	58	43	75	33

Income Taxes - Narrative (Detai

Income Taxes - Narrative (Details) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2023	Jun. 30, 2022	Jun. 30, 2023	Jun. 30, 2022
Income Tax Disclosure [Abstract]
Provision (benefit) for income taxes	$ 545	$ 1,927	$ (2,830)	$ 3,330
Effective income tax rate reconciliation, percent	(11.00%)	20%	20%	21%

Segment Reporting (Details)

Segment Reporting (Details) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2023	Jun. 30, 2022	Jun. 30, 2023	Jun. 30, 2022	Dec. 31, 2022
Revenues from External Customers and Long-Lived Assets [Line Items]
Revenue	$ 63,330	$ 63,032	$ 118,737	$ 117,584
Total	88,969		88,969		$ 97,362
United States
Revenues from External Customers and Long-Lived Assets [Line Items]
Revenue	37,891	38,278	70,531	71,046
Total	75,125		75,125		80,021
EMEA
Revenues from External Customers and Long-Lived Assets [Line Items]
Revenue	19,815	17,044	37,659	31,685
APAC
Revenues from External Customers and Long-Lived Assets [Line Items]
Revenue	4,484	6,775	8,462	12,896
Rest of the world
Revenues from External Customers and Long-Lived Assets [Line Items]
Revenue	1,140	$ 935	2,085	$ 1,957
Total	$ 13,844		$ 13,844		$ 17,341

401(k) Plan - Narrative (Detail

401(k) Plan - Narrative (Details) - USD ($) $ in Millions	6 Months Ended
	Jun. 30, 2023	Jun. 30, 2022
Retirement Benefits [Abstract]
Defined contribution plan, maximum annual contributions per employee, percent	100%
Defined contribution plan, employer discretionary contribution amount	$ 0.7	$ 0.7