Company: LPSN
Filing Date: 2025-03-14
Form Type: 10-K
Source: 0001102993-25-000018
Chunk: 109

Company: LIVEPERSON INC
Filing Date: 2025-03-14
Form: 10-K
Item: Item 7
Chunk 109
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 31, 2024, from $22.7 million for the year ended December 31, 2023. This decrease is primarily attributable to a $6.9 million decrease in IT infrastructure contract termination costs. In addition, severance and other associated costs decreased by $4.6 million due to fewer reductions in our workforce compared to the year ended December 31, 2023. Refer to Note 13 – Restructuring for additional information about the restructuring initiative.

Impairment of Goodwill

Year Ended December 31,20242023% Change(Dollars in thousands)Impairment of goodwill$60,551$11,895 409%Percentage of total revenue19 %3%

Goodwill impairment was $60.6 million for the year ended December 31, 2024, primarily related to goodwill impairment of $56.9 million as a result of our impairment test on October 1, 2024, and to a lesser extent, goodwill impairment of $3.6 million related to the WildHealth business, which was sold during the second quarter of 2024. Refer to Note 5 - Goodwill and Intangible Assets, net, for additional information about the impairments.

Impairment of Intangibles and Other Assets

Year Ended December 31,20242023% Change(Dollars in thousands)Impairment of intangibles and other assets$46,872 $7,974 488%Percentage of total revenue15 %2%

Impairment of intangibles and other assets was $46.9 million for the year ended December 31, 2024. This impairment consisted of non-cash charges of $23.7 million related to developed technology, $11.0 million related to customer relationships, $0.5 million related to trademarks, $9.5 million related to property and equipment - internal-use software development costs, and $2.2 million attributable to the intangible assets associated with our WildHealth reporting unit, which was fully divested during 2024. Refer to Note 5 - Goodwill and Intangible Assets, net, for additional information about the impairments.

50

Total Other Income, net

Total other income, net consists primarily of gain on debt extinguishment, fair value adjustments for our Warrants, foreign currency gains and losses and loss from our equity method investment. Interest expense represents interest expense from our convertible senior notes, amortization of debt issuance costs and debt discount. Interest income