Company: LPSN
Filing Date: 2025-11-13
Form Type: 10-Q
Source: 0001102993-25-000187
Chunk: 6

Company: LIVEPERSON INC
Filing Date: 2025-11-13
Form: 10-Q
Item: Part I, Item 2
Chunk 6
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5 million, in addition to a reduction in depreciation of $1.8 million primarily related to a lower internal-use software balance due to impairments during 2024.

Total depreciation and amortization decreased by 50% to $17.2 million for the nine months ended September 30, 2025 from $34.8 million for the comparable period in 2024. The decrease was primarily driven by the lower intangible asset balance due to impairments during 2024, which drove a reduction in amortization of $11.0 million, in addition to a reduction in depreciation of $6.5 million primarily related to a lower internal-use software balance due to impairments during 2024.

41

Restructuring Costs

We maintain restructuring initiatives to realign our cost structure with our current business model, in which we have flattened the Company’s organizational structure to align to more efficient sales and service support. While the Company’s restructuring efforts are ongoing, the 2024 restructuring activities were substantially completed by December 31, 2024, and the Company expects the 2025 restructuring activities to be substantially completed by December 31, 2025.

Three Months Ended September 30,Nine Months Ended September 30,20252024$ Change% Change20252024$ Change% Change(Dollars in thousands)(Dollars in thousands)Restructuring costs$9,312$1,448$7,864 543 %$11,178$7,876$3,302 42 %Percentage of total revenue15 %2 %6 %3 %

Restructuring costs increased by 543% to $9.3 million for the three months ended September 30, 2025, from $1.4 million for the comparable period in 2024. This increase is attributable to an increase in severance and other associated costs due to the 2025 Restructuring Plan during the third quarter of 2025. 

Restructuring costs increased by 42% to $11.2 million for the nine months ended September 30, 2025, from $7.9 million for the comparable period in 2024. This increase is attributable to a $2.8 million increase in severance and other associated costs due to the 2025 Restructuring Plan during the third quarter of 2025, and a $0.6 million reversal of IT infrastructure contract termination costs in the comparable period.

Impairment of Goodwill