0001549346-24-000034 | 10-Q | XBRL Viewer

Other (Expense) / Income, net (Tables)

6 Months Ended

Jun. 30, 2024

Other Nonoperating Income (Expense) [Abstract]

Summary of the Company's Other (Expense) Income, Net Activity

The following table presents a summary of the Company’s other income and expense activity included in the accompanying Consolidated Statements of Operations for the three and six months ended June 30, 2024 and 2023 (in thousands):


	Three Months Ended June 30,				Six Months Ended June 30,
	2024		2023		2024		2023
Foreign currency (loss) / gain	$	(1,268)	$	551	$	(1,860)	$	1,662



Interest expense	(561)		(493)		(1,123)		(724)
Interest income, unrealized gain / (loss) on investments, and other	(2,277)		668		2,521		833
Total other (expense) / income, net	$	(4,106)	$	726	$	(462)	$	1,771

Income Taxes	6 Months Ended
Income Taxes	Jun. 30, 2024
Income Tax Disclosure [Abstract]
Income Taxes	Income Taxes The Company’s effective tax rates yielded a net expense of 78.1% and 2.7% for the three months ended June 30, 2024 and 2023, respectively, and a net expense of 46.6% and 10.7% for the six months ended June 30, 2024 and 2023, respectively. During the three and six months ended June 30, 2024, the net effect of discrete items increased the effective tax rate by 59.7% and 27.6%, respectively. The discrete items for the three and six months ended June 30, 2024 relate to shortfalls on equity award vestings and a one-time charge of $6.3 million related to the reversal of a deferred tax asset resulting from the expiration of equity awards granted to the Company’s Founder and Executive Chairman. Excluding discrete items, the Company’s effective tax rate would have been 18.4% and 19.0% for the three and six months ended June 30, 2024, respectively. During the three and six months ended June 30, 2023, the net effect of discrete items decreased the effective tax rate by 13.6% and 7.1%, respectively. The discrete items for the three and six months ended June 30, 2023, relate to the non-taxable bargain purchase gain associated with the acquisition of Giphy. Excluding discrete items, the Company’s effective tax rate would have been 16.3% and 17.8% for the three and six months ended June 30, 2023, respectively. The Company has computed the provision for income taxes based on the estimated annual effective tax rate excluding a loss jurisdiction with no tax benefit and the application of discrete items, if any, in the applicable period. During the three and six months ended June 30, 2024 and 2023, uncertain tax positions recorded by the Company were not significant. To the extent the remaining uncertain tax positions are ultimately recognized, the Company’s effective tax rate may be impacted in future periods. The Company recognizes interest expense and tax penalties related to unrecognized tax benefits in income tax expense in the Consolidated Statements of Operations. The Company’s accrual for interest and penalties related to unrecognized tax benefits was not significant for the three and six months ended June 30, 2024 and 2023. During the six months ended June 30, 2024 and 2023, the Company paid net cash taxes of $12.6 million and $6.8 million, respectively.

- Definition

The entire disclosure for income tax.

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+ Details

Goodwill and Intangible Assets - Changes in Goodwill (Details) $ in Thousands	6 Months Ended
	Jun. 30, 2024 USD ($)
Changes in goodwill
Balance at the beginning of the period	$ 383,325
Goodwill related to acquisitions	19,843
Foreign currency translation adjustment	(394)
Balance at the end of the period	$ 402,774

- Definition

Amount, after accumulated impairment loss, of asset representing future economic benefit arising from other asset acquired in business combination or from joint venture formation or both, that is not individually identified and separately recognized.

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+ Details

Summary of Operations and Significant Accounting Policies	6 Months Ended
	Jun. 30, 2024
Accounting Policies [Abstract]
Summary of Operations and Significant Accounting Policies	Summary of Operations and Significant Accounting Policies Summary of Operations Shutterstock, Inc. (the “Company” or “Shutterstock”) is a leading global creative platform connecting brands and businesses to high quality content. The Company’s platform brings together users and contributors of content by providing readily-searchable content that customers pay to license and by compensating contributors as their content is licensed. Contributors upload their content to the Company’s web properties in exchange for royalty payments based on customer download activity. Beyond content, customers also leverage the Company’s platform to assist with the entire creative process from ideation through creative execution. Digital content licensed to customers for their creative needs includes images, footage, music, and 3D models (the Company’s “Content” offering). Content revenues represent the majority of the Company’s business and are supported by the Company’s searchable creative platform and driven by the Company’s large contributor network. In addition, customers have needs that are beyond traditional content license products and services. These include (i) licenses to metadata associated with the Company’s images, footage, music tracks and 3D models through the Company’s data offering, (ii) distribution and advertising services from the Company’s Giphy business, which consists of GIFs (graphics interchange format visuals) that serve as a critical ingredient in text- and message- based conversations and in contextual advertising settings, (iii) specialized solutions for high-quality content matched with production tools and services through Shutterstock Studios and (iv) other tailored white-glove services (collectively, the Company’s “Data, Distribution, and Services” offerings). The Company’s Content offering includes: •Images - consisting of photographs, vectors and illustrations. Images are typically used in visual communications, such as websites, digital and print marketing materials, corporate communications, books, publications and other similar uses. •Footage - consisting of video clips, premium footage filmed by industry experts and cinema grade video effects, available in HD and 4K formats. Footage is often integrated into websites, social media, marketing campaigns and cinematic productions. •Music - consisting of high-quality music tracks and sound effects, which are often used to complement images and footage. •3 Dimensional (“3D”) Models - consisting of 3D models, used in a variety of industries such as advertising, media and video production, gaming, retail, education, design and architecture. •Generative AI Content - consisting of images generated from algorithms trained with high-quality, ethically sourced content. Customers can generate images by entering a description of their desired content into model prompts. On February 1, 2024, the Company acquired Backgrid USA, Inc. and Backgrid London, Ltd. (collectively “Backgrid”). Backgrid supplies media organizations with real-time celebrity content. See Note 3 Acquisitions. Basis of Presentation The unaudited condensed consolidated financial statements and accompanying notes have been prepared in accordance with accounting principles generally accepted in the United States of America (“GAAP”) for interim financial information and with the instructions to Form 10-Q and Article 10 of Regulation S-X. Accordingly, these financial statements do not include all information and footnotes required by GAAP for complete financial statements. The interim Consolidated Balance Sheet as of June 30, 2024, and the Consolidated Statements of Operations, Comprehensive Income and Stockholders’ Equity for the three and six months ended June 30, 2024 and 2023, and the Consolidated Statements of Cash Flows for the six months ended June 30, 2024 and 2023 are unaudited. The Consolidated Balance Sheet as of December 31, 2023, included herein, was derived from the audited financial statements as of that date, but does not include all disclosures required by GAAP. These unaudited interim financial statements have been prepared on a basis consistent with the Company’s annual financial statements and, in the opinion of management, reflect all adjustments, which include all normal recurring adjustments necessary to fairly state the Company’s financial position as of June 30, 2024, and its consolidated results of operations, comprehensive income, stockholders’ equity and cash flows for the three and six months ended June 30, 2024 and 2023. The financial data and the other financial information disclosed in the notes to the financial statements related to these periods are also unaudited. The results of operations for the six months ended June 30, 2024 are not necessarily indicative of the results to be expected for the fiscal year ending December 31, 2024 or for any other future annual or interim period. These financial statements should be read in conjunction with the Company’s audited consolidated financial statements and notes thereto as of and for the year ended December 31, 2023 included in the Company’s Annual Report on Form 10-K, which was filed with the SEC on February 26, 2024. The unaudited consolidated financial statements include the accounts of the Company and its wholly owned subsidiaries. All intercompany balances and transactions have been eliminated in consolidation. Certain immaterial changes in presentation have been made to conform the prior period presentation to current period reporting. Use of Estimates The preparation of the consolidated financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the amounts reported and disclosed in the financial statements. Actual results could differ from those estimates. Such estimates include, but are not limited to, the determination of the allowance for doubtful accounts, the volume of expected unused licenses for our subscription-based products, the assessment of recoverability of property and equipment, the fair value of acquired goodwill and intangible assets, the amount of non-cash equity-based compensation, the assessment of recoverability of deferred tax assets, the measurement of income tax and contingent non-income tax liabilities and the determination of the incremental borrowing rate used to calculate the lease liability. Cash and Cash Equivalents The Company’s cash and cash equivalents consist primarily of bank deposits. Accounts Receivable and Allowance for Doubtful Accounts The Company’s accounts receivable consists of customer obligations due under normal trade terms, carried at their face value less an allowance for doubtful accounts, if required. The Company determines its allowance for doubtful accounts and credit losses based on an evaluation of (i) the aging of its accounts receivable considering historical receivables loss rates, (ii) on a customer-by-customer basis, where appropriate, and (iii) the economic environments in which the Company operates. For certain Data, Distribution, and Services transactions, the Company has $69.9 million of unbilled receivables of which $38.0 million are recorded in Accounts Receivable and $31.9 million are recorded in Other Assets, as of June 30, 2024. During the six months ended June 30, 2024, the Company recorded bad debt recovery of $1.8 million. As of June 30, 2024 and December 31, 2023, the Company’s allowance for doubtful accounts was approximately $4.6 million and $6.3 million, respectively. The allowance for doubtful accounts is included as a reduction of accounts receivable on the Consolidated Balance Sheets. The Company has certain customer arrangements that contain financing elements. Interest income earned from these financing receivables is recorded on the effective interest method and is included within interest income on the Consolidated Statements of Operations. As of June 30, 2024 and December 31, 2023, approximately $12.6 million and $16.0 million of financing receivables, respectively, were included in accounts receivable and other assets on the Consolidated Balance Sheets. In addition, as of June 30, 2024 and December 31, 2023, two customers accounted for approximately 29% of the accounts receivable balance. Chargeback and Sales Refund Allowance The Company establishes a chargeback allowance and sales refund reserve allowance based on factors surrounding historical credit card chargeback trends, historical sales refund trends and other information. As of June 30, 2024 and December 31, 2023, the Company’s combined allowance for chargebacks and sales refunds was $0.4 million, which was included as a component of other current liabilities on the Consolidated Balance Sheets. Revenue Recognition A significant portion of the Company’s revenue is earned from the license of content. Content licenses are generally purchased on a monthly or annual basis, whereby a customer pays for a predetermined quantity of content that may be downloaded over a specific period of time, or, on a transactional basis, whereby a customer pays for individual content licenses at the time of download. The Company also generates revenue from tools available through the Company’s platform. For contracts that contain multiple performance obligations, the Company allocates the transaction price to each performance obligation based on a relative standalone selling price. The standalone selling price is determined based on the price at which the performance obligation is sold separately, or if not observable through past transactions, is estimated taking into account available information including internally approved pricing guidelines and pricing information of comparable products. The Company recognizes revenue upon the satisfaction of performance obligations. The Company recognizes revenue on both its subscription-based and transaction-based products when content is downloaded by a customer, at which time the license is provided. In addition, the Company estimates expected unused licenses for subscription-based products and recognizes the revenue associated with the unused licenses as digital content is downloaded and licenses are obtained for such content by the customer during the subscription period. The estimate of unused licenses is based on historical download activity and future changes in the estimate could impact the timing of revenue recognition of the Company’s subscription products. For revenue associated with tools available through the Company’s platform, revenue is recognized on a straight-line basis over the subscription period. The Company expenses contract acquisition costs as incurred, to the extent that the amortization period would otherwise be one year or less. For customers making electronic payments, collectability is probable at the time the order or contract is entered. A significant portion of the Company’s customers purchase products by making electronic payments with a credit card at the time of the transaction. Customer payments received in advance of revenue recognition are contract liabilities and are recorded as deferred revenue. Customers that do not pay in advance are invoiced and are required to make payments under standard credit terms. Collectability for customers who pay on credit terms allowing for payment beyond the date at which service commences, is based on a credit evaluation for certain new customers and transaction history with existing customers. The Company recognizes revenue gross of contributor royalties because the Company is the principal in the transaction as it is the party responsible for the performance obligation and it controls the product or service before transferring it to the customer. The Company also licenses content to customers through third-party resellers. Third-party resellers sell the Company’s products directly to customers as the principal in those transactions. Accordingly, the Company recognizes revenue net of costs paid to resellers. The Company also reports revenue net of return and chargeback allowances. These allowances are based off historical trends when available.

Revenue (Tables)

6 Months Ended

Jun. 30, 2024

Revenue from Contract with Customer [Abstract]

Disaggregation of Revenue

The Company’s revenues by product offering for the three and six months ended June 30, 2024 and 2023 are as follows (in thousands):


	Three Months Ended June 30,				Six Months Ended June 30,
	2024		2023		2024		2023
Content	$	169,951	$	186,963	$	343,781	$	380,947
Data, Distribution, and Services	50,102		21,877		90,587		43,173
Total Revenue	$	220,053	$	208,840	$	434,368	$	424,120

Accrued Expenses - Schedule of Accrued Expenses (Details) - USD ($) $ in Thousands	Jun. 30, 2024	Dec. 31, 2023
Payables and Accruals [Abstract]
Compensation	$ 45,782	$ 75,752
Non-income taxes	23,329	23,702
Website hosting and marketing fees	8,612	11,804
Other expenses	19,187	20,185
Total accrued expenses	$ 96,910	$ 131,443

Insider Trading Arrangements	3 Months Ended	6 Months Ended
Insider Trading Arrangements	Jun. 30, 2024 shares	Jun. 30, 2024 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
Jon Oringer [Member]
Trading Arrangements, by Individual
Material Terms of Trading Arrangement		On May 28, 2024, during an open trading window, Jon Oringer, our Founder and Executive Chairman of the Board, entered into a written plan for the sale of the Company’s common stock intended to satisfy the affirmative defense conditions of Rule 10b5-1(c) (the “2024 Oringer Plan”). The 2024 Oringer Plan expires in August 2025, and includes the potential sale of up to 225,000 shares monthly of our common stock.
Name	Jon Oringer
Title	Founder and Executive Chairman of the Board
Rule 10b5-1 Arrangement Adopted	true
Adoption Date	May 28, 2024
Expiration Date	August 2025
Arrangement Duration	430 days
Aggregate Available	225,000	225,000

Summary of Operations and Significant Accounting Policies (Policies)	6 Months Ended
	Jun. 30, 2024
Accounting Policies [Abstract]
Basis of Presentation	Basis of Presentation The unaudited condensed consolidated financial statements and accompanying notes have been prepared in accordance with accounting principles generally accepted in the United States of America (“GAAP”) for interim financial information and with the instructions to Form 10-Q and Article 10 of Regulation S-X. Accordingly, these financial statements do not include all information and footnotes required by GAAP for complete financial statements.
Unaudited Interim Financial Statements	The interim Consolidated Balance Sheet as of June 30, 2024, and the Consolidated Statements of Operations, Comprehensive Income and Stockholders’ Equity for the three and six months ended June 30, 2024 and 2023, and the Consolidated Statements of Cash Flows for the six months ended June 30, 2024 and 2023 are unaudited. The Consolidated Balance Sheet as of December 31, 2023, included herein, was derived from the audited financial statements as of that date, but does not include all disclosures required by GAAP. These unaudited interim financial statements have been prepared on a basis consistent with the Company’s annual financial statements and, in the opinion of management, reflect all adjustments, which include all normal recurring adjustments necessary to fairly state the Company’s financial position as of June 30, 2024, and its consolidated results of operations, comprehensive income, stockholders’ equity and cash flows for the three and six months ended June 30, 2024 and 2023. The financial data and the other financial information disclosed in the notes to the financial statements related to these periods are also unaudited. The results of operations for the six months ended June 30, 2024 are not necessarily indicative of the results to be expected for the fiscal year ending December 31, 2024 or for any other future annual or interim period. These financial statements should be read in conjunction with the Company’s audited consolidated financial statements and notes thereto as of and for the year ended December 31, 2023 included in the Company’s Annual Report on Form 10-K, which was filed with the SEC on February 26, 2024. The unaudited consolidated financial statements include the accounts of the Company and its wholly owned subsidiaries. All intercompany balances and transactions have been eliminated in consolidation. Certain immaterial changes in presentation have been made to conform the prior period presentation to current period reporting.
Use of Estimates	Use of Estimates The preparation of the consolidated financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the amounts reported and disclosed in the financial statements. Actual results could differ from those estimates. Such estimates include, but are not limited to, the determination of the allowance for doubtful accounts, the volume of expected unused licenses for our subscription-based products, the assessment of recoverability of property and equipment, the fair value of acquired goodwill and intangible assets, the amount of non-cash equity-based compensation, the assessment of recoverability of deferred tax assets, the measurement of income tax and contingent non-income tax liabilities and the determination of the incremental borrowing rate used to calculate the lease liability.
Cash and Cash Equivalents	Cash and Cash Equivalents The Company’s cash and cash equivalents consist primarily of bank deposits.
Accounts Receivable and Allowance for Doubtful Accounts	Accounts Receivable and Allowance for Doubtful Accounts The Company’s accounts receivable consists of customer obligations due under normal trade terms, carried at their face value less an allowance for doubtful accounts, if required. The Company determines its allowance for doubtful accounts and credit losses based on an evaluation of (i) the aging of its accounts receivable considering historical receivables loss rates, (ii) on a customer-by-customer basis, where appropriate, and (iii) the economic environments in which the Company operates.
Chargeback and Sales Refund Allowance and Revenue Recognition	Chargeback and Sales Refund Allowance The Company establishes a chargeback allowance and sales refund reserve allowance based on factors surrounding historical credit card chargeback trends, historical sales refund trends and other information. As of June 30, 2024 and December 31, 2023, the Company’s combined allowance for chargebacks and sales refunds was $0.4 million, which was included as a component of other current liabilities on the Consolidated Balance Sheets. Revenue Recognition A significant portion of the Company’s revenue is earned from the license of content. Content licenses are generally purchased on a monthly or annual basis, whereby a customer pays for a predetermined quantity of content that may be downloaded over a specific period of time, or, on a transactional basis, whereby a customer pays for individual content licenses at the time of download. The Company also generates revenue from tools available through the Company’s platform. For contracts that contain multiple performance obligations, the Company allocates the transaction price to each performance obligation based on a relative standalone selling price. The standalone selling price is determined based on the price at which the performance obligation is sold separately, or if not observable through past transactions, is estimated taking into account available information including internally approved pricing guidelines and pricing information of comparable products. The Company recognizes revenue upon the satisfaction of performance obligations. The Company recognizes revenue on both its subscription-based and transaction-based products when content is downloaded by a customer, at which time the license is provided. In addition, the Company estimates expected unused licenses for subscription-based products and recognizes the revenue associated with the unused licenses as digital content is downloaded and licenses are obtained for such content by the customer during the subscription period. The estimate of unused licenses is based on historical download activity and future changes in the estimate could impact the timing of revenue recognition of the Company’s subscription products. For revenue associated with tools available through the Company’s platform, revenue is recognized on a straight-line basis over the subscription period. The Company expenses contract acquisition costs as incurred, to the extent that the amortization period would otherwise be one year or less. For customers making electronic payments, collectability is probable at the time the order or contract is entered. A significant portion of the Company’s customers purchase products by making electronic payments with a credit card at the time of the transaction. Customer payments received in advance of revenue recognition are contract liabilities and are recorded as deferred revenue. Customers that do not pay in advance are invoiced and are required to make payments under standard credit terms. Collectability for customers who pay on credit terms allowing for payment beyond the date at which service commences, is based on a credit evaluation for certain new customers and transaction history with existing customers. The Company recognizes revenue gross of contributor royalties because the Company is the principal in the transaction as it is the party responsible for the performance obligation and it controls the product or service before transferring it to the customer. The Company also licenses content to customers through third-party resellers. Third-party resellers sell the Company’s products directly to customers as the principal in those transactions. Accordingly, the Company recognizes revenue net of costs paid to resellers. The Company also reports revenue net of return and chargeback allowances. These allowances are based off historical trends when available.

- Definition

Disclosure of accounting policy for credit loss on financial instrument measured at amortized cost basis, net investment in lease, off-balance sheet credit exposure, and available-for-sale debt security. Includes, but is not limited to, methodology used to estimate allowance for credit loss, how writeoff of uncollectible amount is recognized, and determination of past due status and nonaccrual status.

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Fair Value Measurements and Long-term Investments - Narrative (Details) - USD ($) $ in Millions		12 Months Ended
	Mar. 27, 2024	Dec. 31, 2018	Jun. 30, 2024	Dec. 31, 2023
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Long-term investments			$ 5.0	$ 5.0
Other Assets
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Long-term investments			$ 23.8
Meitu, Inc.
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Fair value of hierarchy securities	$ 18.4
Equity securities, realized gain	$ 3.4
Variable Interest Entity, Not Primary Beneficiary \| Zcool Network Technology Limited \| Convertible Preferred Stock
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Investment value		$ 15.0

Acquisitions - Business Acquisition, Pro Forma Information (Details) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2024	Jun. 30, 2023	Jun. 30, 2024	Jun. 30, 2023
Revenue
As Reported	$ 220,053	$ 208,840	$ 434,368	$ 424,120
Pro Forma	220,053	217,626	435,312	441,692
Income before income taxes
As Reported	16,560	51,381	36,950	92,795
Pro Forma	$ 18,164	$ 15,793	$ 41,194	$ 44,557

- Definition

Amount of income (loss) from continuing operations, including income (loss) from equity method investments, before deduction of income tax expense (benefit), and income (loss) attributable to noncontrolling interest.

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Amount, excluding tax collected from customer, of revenue from satisfaction of performance obligation by transferring promised good or service to customer. Tax collected from customer is tax assessed by governmental authority that is both imposed on and concurrent with specific revenue-producing transaction, including, but not limited to, sales, use, value added and excise.

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+ Details

Consolidated Statements of Cash Flows - USD ($) $ in Thousands	6 Months Ended
	Jun. 30, 2024	Jun. 30, 2023
CASH FLOWS FROM OPERATING ACTIVITIES
Net income	$ 19,746	$ 82,856
Adjustments to reconcile net income to net cash provided by operating activities:
Depreciation and amortization	42,696	38,102
Deferred taxes	503	(146)
Non-cash equity-based compensation	26,126	23,586
Bad debt expense	(1,772)	1,025
Bargain purchase gain	0	(41,940)
Unrealized (gain) / loss on investments, net	(131)	0
Changes in operating assets and liabilities:
Accounts receivable	(3,879)	5,709
Prepaid expenses and other current and non-current assets	(25,299)	(29,834)
Accounts payable and other current and non-current liabilities	(16,899)	(4,144)
Contributor royalties payable	10,688	1,822
Deferred revenue	(15,514)	19,553
Net cash provided by operating activities	36,265	96,589
CASH FLOWS FROM INVESTING ACTIVITIES
Capital expenditures	(23,536)	(22,870)
Business combination, net of cash acquired	(19,474)	(53,721)
Cash received related to Giphy Retention Compensation	36,522	15,752
Acquisition of content	(1,821)	(5,252)
Security deposit payment	82	(37)
Net cash used in investing activities	(8,227)	(66,128)
CASH FLOWS FROM FINANCING ACTIVITIES
Repurchase of treasury shares	(20,592)	(4,000)
Proceeds from exercise of stock options	0	3
Cash paid related to settlement of employee taxes related to RSU vesting	(8,859)	(14,545)
Payment of cash dividends	(21,327)	(19,387)
Proceeds from credit facility	0	30,000
Repayment of credit facility	0	(50,000)
Net cash used in financing activities	(50,778)	(57,929)
Effect of foreign exchange rate changes on cash	(2,879)	(540)
Net decrease in cash and cash equivalents	(25,619)	(28,008)
Cash and cash equivalents, beginning of period	100,490	115,154
Cash and cash equivalents, end of period	74,871	87,146
Supplemental Disclosure of Cash Information:
Cash paid for income taxes	12,560	6,795
Cash paid for interest	$ 1,005	$ 429

Accrued Expenses (Tables)

6 Months Ended

Jun. 30, 2024

Payables and Accruals [Abstract]

Schedule of Accrued Expenses

Accrued expenses consisted of the following (in thousands):


	As of June 30, 2024		As of December 31, 2023
Compensation	$	45,782	$	75,752
Non-income taxes	23,329		23,702

Website hosting and marketing fees	8,612		11,804



Other expenses	19,187		20,185
Total accrued expenses	$	96,910	$	131,443

Goodwill and Intangible Assets - Intangible Assets (Details) - USD ($) $ in Thousands	Jun. 30, 2024	Dec. 31, 2023
Amortizing intangible assets
Gross Carrying Amount	$ 311,845	$ 310,088
Accumulated Amortization	(147,337)	(125,692)
Net Carrying Amount	164,508	184,396
Customer relationships
Amortizing intangible assets
Gross Carrying Amount	89,734	90,350
Accumulated Amortization	(30,471)	(26,982)
Net Carrying Amount	$ 59,263	63,368
Weighted Average Life (Years)	12 years
Trade name
Amortizing intangible assets
Gross Carrying Amount	$ 38,132	37,937
Accumulated Amortization	(10,483)	(9,272)
Net Carrying Amount	$ 27,649	28,665
Weighted Average Life (Years)	12 years
Developed technology
Amortizing intangible assets
Gross Carrying Amount	$ 116,296	115,914
Accumulated Amortization	(74,315)	(61,376)
Net Carrying Amount	$ 41,981	54,538
Weighted Average Life (Years)	5 years
Contributor content
Amortizing intangible assets
Gross Carrying Amount	$ 67,424	65,628
Accumulated Amortization	(31,895)	(27,897)
Net Carrying Amount	$ 35,529	37,731
Weighted Average Life (Years)	8 years
Patents
Amortizing intangible assets
Gross Carrying Amount	$ 259	259
Accumulated Amortization	(173)	(165)
Net Carrying Amount	$ 86	$ 94
Weighted Average Life (Years)	18 years

Acquisitions - Narrative (Details) - USD ($) $ in Thousands			3 Months Ended		6 Months Ended
Acquisitions - Narrative (Details) - USD ($) $ in Thousands	Feb. 01, 2024	Jun. 23, 2023	Jun. 30, 2024	Jun. 30, 2023	Jun. 30, 2024	Jun. 30, 2023
Business Acquisition [Line Items]
Net cash to acquire business					$ 19,474	$ 53,721
Bargain purchase gain			$ 0	$ 41,940	0	$ 41,940
Giphy, Inc.
Business Acquisition [Line Items]
Cash paid on closing		$ 57,750
Transaction costs		30,000
Net cash to acquire business		53,000
Nonrecurring benefits receivable		123,500
Expenses payment in installments		$ 1,250
Period of services provided		2 years
Revenue to be recognized		$ 30,000
Bargain purchase gain		50,261
Contingent consideration, asset			43,700		43,700
Contingent consideration, asset, current			31,500		31,500
Contingent consideration, asset, noncurrent			$ 12,200		$ 12,200
Giphy, Inc. \| General and administrative
Business Acquisition [Line Items]
Transaction costs		3,000
Giphy, Inc. \| Mandated Payments Consideration - Recurring
Business Acquisition [Line Items]
Nonrecurring benefits receivable		35,600
Giphy, Inc. \| Mandated Payments Consideration - Nonrecurring
Business Acquisition [Line Items]
Nonrecurring benefits receivable		$ 87,900
Giphy, Inc. \| Developed technology
Business Acquisition [Line Items]
Estimated useful life		7 years
Giphy, Inc. \| Trade name
Business Acquisition [Line Items]
Estimated useful life		15 years
Backgrid USA, Inc. and Backgrid London LTD
Business Acquisition [Line Items]
Cash paid on closing	$ 20,000
Transaction costs	$ 1,500
Backgrid USA, Inc. and Backgrid London LTD \| Developed technology
Business Acquisition [Line Items]
Estimated useful life	5 years
Backgrid USA, Inc. and Backgrid London LTD \| Trade name
Business Acquisition [Line Items]
Estimated useful life	10 years

Cover Page - shares	6 Months Ended
Cover Page - shares	Jun. 30, 2024	Aug. 02, 2024
Cover [Abstract]
Document Type	10-Q
Document Quarterly Report	true
Document Period End Date	Jun. 30, 2024
Document Transition Report	false
Entity File Number	001-35669
Entity Registrant Name	SHUTTERSTOCK, INC.
Entity Incorporation, State or Country Code	DE
Entity Tax Identification Number	80-0812659
Entity Address, Address Line One	350 Fifth Avenue, 20th Floor
Entity Address, City or Town	New York
Entity Address, State or Province	NY
Entity Address, Postal Zip Code	10118
City Area Code	646
Local Phone Number	710-3417
Title of 12(b) Security	Common Stock, $0.01 par value per share
Trading Symbol	SSTK
Security Exchange Name	NYSE
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
Entity Common Stock, Shares Outstanding		35,418,308
Entity Central Index Key	0001549346
Amendment Flag	false
Current Fiscal Year End Date	--12-31
Document Fiscal Year Focus	2024
Document Fiscal Period Focus	Q2

Consolidated Statements of Operations - USD ($) shares in Thousands, $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2024	Jun. 30, 2023	Jun. 30, 2024	Jun. 30, 2023
Income Statement [Abstract]
Revenue	$ 220,053	$ 208,840	$ 434,368	$ 424,120
Operating expenses:
Cost of revenue	91,254	84,416	179,458	162,579
Sales and marketing	51,881	48,392	108,117	95,919
Product development	19,859	29,218	40,910	44,624
General and administrative	36,393	38,099	68,471	71,914
Total operating expenses	199,387	200,125	396,956	375,036
Income from operations	20,666	8,715	37,412	49,084
Bargain purchase gain	0	41,940	0	41,940
Other (expense) / income, net	(4,106)	726	(462)	1,771
Income before income taxes	16,560	51,381	36,950	92,795
Provision for income taxes	12,935	1,368	17,204	9,939
Net income	$ 3,625	$ 50,013	$ 19,746	$ 82,856
Earnings per share:
Basic (in dollars per share)	$ 0.10	$ 1.39	$ 0.55	$ 2.31
Diluted (in dollars per share)	$ 0.10	$ 1.37	$ 0.55	$ 2.27
Weighted average common shares outstanding:
Basic (in shares)	35,697	36,047	35,644	35,952
Diluted (in shares)	35,982	36,406	36,023	36,490

Acquisitions

6 Months Ended

Jun. 30, 2024

Business Combination, Asset Acquisition, and Joint Venture Formation [Abstract]

Acquisitions

Backgrid

On February 1, 2024, the Company completed its acquisition of all of the outstanding shares of Backgrid USA, Inc. and Backgrid London LTD, (collectively, “Backgrid”), for approximately $20 million, subject to customary working capital adjustments. The total purchase price was paid with existing cash on hand. In connection with the acquisition, the Company incurred approximately $1.5 million of transaction costs in total, which are included in general and administrative expenses on the Consolidated Statements of Operations.

Backgrid supplies media organizations with real-time celebrity content. The Company believes this acquisition expands Shutterstock Editorial’s Newsroom offering of editorial images and footage across celebrity, red carpet and live-events.

The identifiable intangible assets, trademark and developed technology, have useful lives of approximately 10 years and 5 years, respectively. The goodwill arising from the transaction is primarily attributable to expected operational synergies and is not deductible for income tax purposes.

The Backgrid transaction was accounted for using the acquisition method and, accordingly, the results of the acquired business have been included in the Company’s results of operations from the acquisition date. The fair value of consideration transferred in this business combination has been allocated to the intangible and tangible assets acquired and liabilities assumed at the acquisition date, with the remaining unallocated amount recorded as goodwill. The identifiable intangible assets of this

acquisition are being amortized on a straight-line basis. The fair value of the trademark and developed technology was determined using the excess earnings and relief-from-royalty methods.

The aggregate purchase price for this acquisition has been allocated to the assets acquired and liabilities assumed as follows (in thousands):


Assets acquired and liabilities assumed:	Backgrid
Cash and cash equivalents	$	1,718
Accounts receivable	732
Other assets	77

Intangible assets:
Trade name	300
Developed technology	900
Intangible assets	1,200
Goodwill	19,843

Total assets acquired	$	23,570


Contributor royalties payable	(849)
Accrued expenses	(1,302)
Deferred tax liability	(271)

Total liabilities assumed	(2,422)
Net assets acquired	$	21,148

Giphy, Inc.

On May 22, 2023, the Company entered into a Stock Purchase Agreement with Meta Platforms, Inc. (“Meta”) dated May 22, 2023 (the “Purchase Agreement”). On June 23, 2023, the Company completed its acquisition of all of the outstanding shares of Giphy, Inc. (“Giphy”) from Meta. The consideration paid by the Company pursuant to the Purchase Agreement was $53 million in net cash, in addition to cash acquired, assumed debt and other working capital adjustments. The consideration was paid with existing cash on hand. Giphy is a New York-based company that operates a collection of GIFs and stickers that supplies casual conversational content. The Company believes its acquisition of Giphy extends Shutterstock’s audience touchpoints beyond primarily professional marketing and advertising use cases and expands into casual conversations.

In January 2023, the United Kingdom Competition and Markets Authority (the “CMA”) issued its final order requiring Meta to divest its ownership of Giphy, which Meta acquired in 2020. In connection with the closing of the acquisition, whose terms were preapproved by the CMA, the Company and Meta entered into a transitional services agreement (the “TSA”) pursuant to which Meta is responsible for certain costs related to retention of Giphy employees, including (i) recurring salary, bonus, and benefits through August 2024, which would be $35.6 million if all employees are retained through August 2024, and (ii) nonrecurring items, totaling $87.9 million, comprised of one-time employment inducement bonuses and the cash value of unvested Meta equity awards (collectively, the “Giphy Retention Compensation”) and certain costs related to technology and integration expenses, totaling $30 million to be paid in $1.25 million monthly installments through May 2025.

The Giphy Retention Compensation will be paid to the individuals for being employees of the Company subsequent to the completion of the acquisition. Accordingly, it was determined that the payments by the Company are for future service requirements and will be reflected as operating expenses, less any amounts earned by the employees prior to the acquisition, in the Company’s Statements of Operations as incurred. The Giphy Retention Compensation is reflected as a reduction of the purchase price and has been funded into an escrow account.

The Giphy purchase price was calculated as follows:


	Purchase Price
Purchase price	$	53,000
Cash acquired and other working capital adjustments	4,750
Cash paid on closing	$	57,750

Fair value of Giphy Retention Compensation contingent consideration1	(98,723)
Fair value of consideration attributable to pre-combination service2	34,972

Net purchase price	$	(6,001)

1 - This amount consists of $123.5 million of Giphy Retention Compensation, adjusted for $18.9 million of income tax obligations associated with the receipt of the Giphy Retention Compensation and $5.9 million for the time value of money.

2 - Relates to the cash value of replaced unvested Meta equity awards attributable to pre-combination services.

Upon closing of the acquisition, the Company also entered into an agreement with Meta whereby the Company will provide Meta with access to Giphy content that is displayed through an API for a period of two years. The Company determined that the API arrangement represents a transaction separate from the business combination and was priced below market. Therefore, the Company allocated $30 million of the purchase price to these services, which represents the step-up to fair market value. This amount has been recognized in deferred revenue and will be recognized as revenue over-time as the API is provided.

The identifiable intangible assets, which include developed technology and the trade name have weighted average useful lives of approximately 7 years and 15 years, respectively. The fair value of the developed technology was determined using the cost to recreate method, and the fair value of the trade name was determined using the relief-from-royalty method.

The Giphy transaction was accounted for using the acquisition method and, accordingly, the results of the acquired business have been included in the Company’s results of operations from the acquisition date. The fair value of consideration transferred in this business combination has been allocated to the intangible and tangible assets acquired and liabilities assumed at the acquisition date, with the excess of the fair value of the net assets acquired over the net consideration received recorded as a bargain purchase gain. The identifiable intangible assets of these acquisitions are being amortized on a straight-line basis.

The aggregate purchase price for this acquisition has been allocated to the assets acquired and liabilities assumed as follows (in thousands):


Assets acquired and liabilities assumed:	Giphy
Cash and cash equivalents	$	4,030

Prepaid expenses and other current assets	1,416

Right of use assets	1,243
Intangible assets:

Trade name	21,000
Developed technology2	19,500

Intangible assets	40,500

Deferred tax asset1	1,463
Other assets	1,647
Total assets acquired	$	50,299

Accounts payable, accrued expenses and other liabilities	(4,949)



Lease liability	(1,090)
Total liabilities assumed	(6,039)
Net assets acquired	$	44,260
Net purchase price	(6,001)
Bargain purchase gain	$	50,261

1 - During the three months ended September 30, 2023, the Company revised its preliminary allocation of the Giphy purchase price to the assets acquired and liabilities assumed by $9.9 million associated with additional information analyzed related to the deferred income tax balances. The measurement and allocation of the purchase price is preliminary and will be finalized within the allowable measurement period once the Company finalizes its assessment of fair value of intangible assets, income tax balances and other assets acquired and liabilities assumed.

2 - During the three months ended December 31, 2023, the Company revised its preliminary allocation of the Giphy purchase price to the assets acquired and liabilities assumed by $1.6 million associated with additional information analyzed related to the valuation of the Developed Technology asset. The measurement and allocation of the purchase price is preliminary and will be finalized within the allowable measurement period once the Company finalizes its assessment of fair value of intangible assets, income tax balances and other assets acquired and liabilities assumed.

The Company recognized a non-taxable bargain purchase gain of $50.3 million, representing the excess of the fair value of the net assets acquired in addition to the net consideration to be received from Meta. The bargain purchase gain is the result of the CMA’s regulatory order requiring Meta’s divestiture of Giphy and the Giphy Retention Compensation payments. In connection with the acquisition, the Company incurred approximately $3.0 million of transaction costs, which are included in general and administrative expenses on the Consolidated Statements of Operations.

As of June 30, 2024, Shutterstock’s receivable of $43.7 million, is against an escrow fully funded by Meta. $31.5 million and $12.2 million are included within Prepaid expenses and other current assets and Other assets, respectively, on the Consolidated Balance Sheet.

Pro-Forma Financial Information (unaudited)

The following unaudited pro forma consolidated financial information (in thousands) reflects the results of operations of the Company for the three and six months ended June 30, 2024 and 2023, respectively, as if the Backgrid acquisition had been completed on January 1, 2023, and as if the Giphy acquisition had been completed on January 1, 2022, after giving effect to certain purchase accounting adjustments, primarily related to Giphy Retention Compensation - non-recurring, intangible assets and transaction costs. These pro forma results have been prepared for comparative purposes only and are based on estimates and assumptions that have been made solely for purposes of developing such pro forma information and are not necessarily indicative of what the Company’s operating results would have been, had the acquisitions actually taken place at the beginning of the previous annual period.


	Three Months Ended June 30,				Six Months Ended June 30,
	2024		2023		2024		2023
Revenue
As Reported	$	220,053	$	208,840	$	434,368	$	424,120
Pro Forma	220,053		217,626		435,312		441,692
Income before income taxes
As Reported	$	16,560	$	51,381	$	36,950	$	92,795
Pro Forma	18,164		15,793		41,194		44,557

Pay vs Performance Disclosure - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
Pay vs Performance Disclosure - USD ($) $ in Thousands	Jun. 30, 2024	Jun. 30, 2023	Jun. 30, 2024	Jun. 30, 2023
Pay vs Performance Disclosure
Net income	$ 3,625	$ 50,013	$ 19,746	$ 82,856

- Definition

The portion of profit or loss for the period, net of income taxes, which is attributable to the parent.

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+ Details

Goodwill and Intangible Assets (Tables)

6 Months Ended

Jun. 30, 2024

Goodwill and Intangible Assets Disclosure [Abstract]

Schedule of Changes in Goodwill

The following table summarizes the changes in the carrying value of the Company’s goodwill balance during the six months ended June 30, 2024 (in thousands):


	Goodwill
Balance as of December 31, 2023	$	383,325
Goodwill related to acquisitions	19,843
Foreign currency translation adjustment	(394)

Balance as of June 30, 2024	$	402,774

Schedule of Intangible Assets

Intangible assets, all of which are subject to amortization, consisted of the following as of June 30, 2024 and December 31, 2023 (in thousands):


	As of June 30, 2024							As of December 31, 2023
	Gross Carrying Amount		Accumulated Amortization		Net Carrying Amount		Weighted Average Life (Years)	Gross Carrying Amount		Accumulated Amortization		Net Carrying Amount
Amortizing intangible assets:
Customer relationships	$	89,734	$	(30,471)	$	59,263	12	$	90,350	$	(26,982)	$	63,368
Trade name	38,132		(10,483)		27,649		12	37,937		(9,272)		28,665
Developed technology	116,296		(74,315)		41,981		5	115,914		(61,376)		54,538
Contributor content	67,424		(31,895)		35,529		8	65,628		(27,897)		37,731

Patents	259		(173)		86		18	259		(165)		94

Total	$	311,845	$	(147,337)	$	164,508		$	310,088	$	(125,692)	$	184,396

- Definition

Tabular disclosure of goodwill by reportable segment and in total which includes a rollforward schedule.

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+ Details

Property and Equipment - Narrative (Details) - USD ($) $ in Millions	3 Months Ended		6 Months Ended
	Jun. 30, 2024	Jun. 30, 2023	Jun. 30, 2024	Jun. 30, 2023	Dec. 31, 2023
Property and Equipment
Capitalized amount	$ 9.6	$ 11.3	$ 18.6	$ 21.6
Amortization expense	9.8	8.4	19.4	16.8
Internal use software	59.5		59.5		$ 60.3
Cost of revenue
Property and Equipment
Depreciation	10.0	8.7	19.9	17.3
Selling, General and Administrative Expenses
Property and Equipment
Depreciation	0.4	0.4	0.8	0.9
Property And Equipment
Property and Equipment
Depreciation	$ 10.4	$ 9.1	$ 20.7	$ 18.2

Revenue - Disaggregation of Revenue (Details) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2024	Jun. 30, 2023	Jun. 30, 2024	Jun. 30, 2023
Deferred Revenue Arrangement [Line Items]
Total revenue	$ 220,053	$ 208,840	$ 434,368	$ 424,120
Content
Deferred Revenue Arrangement [Line Items]
Total revenue	169,951	186,963	343,781	380,947
Data, Distribution, and Services
Deferred Revenue Arrangement [Line Items]
Total revenue	$ 50,102	$ 21,877	$ 90,587	$ 43,173

- Definition

+ References

+ Details

Net Income Per Share (Tables)

6 Months Ended

Jun. 30, 2024

Earnings Per Share [Abstract]

Schedule of Weighted Average Number of Shares

The following table sets forth the computation of basic and diluted net income per share for the three and six months ended June 30, 2024 and 2023 (in thousands):


	Three Months Ended June 30,				Six Months Ended June 30,
	2024		2023		2024		2023
Net income	$	3,625	$	50,013	$	19,746	$	82,856
Shares used to compute basic net income per share	35,697		36,047		35,644		35,952
Dilutive potential common shares
Stock options	49		119		66		136
Unvested restricted stock awards	236		240		313		402

Shares used to compute diluted net income per share	35,982		36,406		36,023		36,490
Basic net income per share	$	0.10	$	1.39	$	0.55	$	2.31
Diluted net income per share	$	0.10	$	1.37	$	0.55	$	2.27

Dilutive shares included in the calculation	1,051		1,112		1,204		1,400
Anti-dilutive shares excluded from the calculation	1,992		1,041		1,329		611

Fair Value Measurements and Long-term Investments - Fair Value, Assets Measured on Recurring Basis (Details) $ in Thousands	Jun. 30, 2024 USD ($)
Level 1
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Fair value of hierarchy securities	$ 15,130

- Definition

Amount of investment in equity security measured at fair value with change in fair value recognized in net income (FV-NI).

+ References

Reference 1: http://www.xbrl.org/2003/role/exampleRef
-Topic 820
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-Name Accounting Standards Codification
-Section 55
-Paragraph 100
-Publisher FASB
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Reference 2: http://www.xbrl.org/2009/role/commonPracticeRef
-Topic 820
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Reference 3: http://www.xbrl.org/2009/role/commonPracticeRef
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Reference 4: http://www.xbrl.org/2009/role/commonPracticeRef
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Reference 6: http://www.xbrl.org/2003/role/exampleRef
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Reference 7: http://www.xbrl.org/2003/role/exampleRef
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Reference 8: http://www.xbrl.org/2003/role/disclosureRef
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Reference 9: http://www.xbrl.org/2003/role/disclosureRef
-Topic 210
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-Publisher FASB
-URI https://asc.fasb.org/1943274/2147480566/210-10-S99-1

Reference 10: http://www.xbrl.org/2003/role/disclosureRef
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-Section 45
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-URI https://asc.fasb.org/1943274/2147482736/825-10-45-1A

Reference 11: http://www.xbrl.org/2003/role/disclosureRef
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-Publisher FASB
-URI https://asc.fasb.org/1943274/2147478777/944-210-S99-1

+ Details

Accrued Expenses - Narrative (Details) - USD ($) $ in Millions	Jun. 30, 2024	Dec. 31, 2023
Payables and Accruals [Abstract]
Accrued severance costs	$ 1.2	$ 7.7

Accrued Expenses

6 Months Ended

Jun. 30, 2024

Payables and Accruals [Abstract]

Accrued Expenses

Accrued expenses consisted of the following (in thousands):


	As of June 30, 2024		As of December 31, 2023
Compensation	$	45,782	$	75,752
Non-income taxes	23,329		23,702

Website hosting and marketing fees	8,612		11,804



Other expenses	19,187		20,185
Total accrued expenses	$	96,910	$	131,443

As of June 30, 2024 and December 31, 2023, compensation-related accrued expenses included amounts due to Giphy employees for compensation earned pre-acquisition and severance costs associated with workforce optimizations. Approximately $1.2 million and $7.7 million of severance costs associated with workforce optimization is included within accrued expenses as of June 30, 2024 and December 31, 2023, respectively.

Consolidated Statements of Stockholders' Equity - USD ($) shares in Thousands, $ in Thousands	Total	Common Stock	Treasury Stock	Additional Paid-in Capital	Accumulated Other Comprehensive (Loss) / Income	Retained Earnings
Beginning balance (in shares) at Dec. 31, 2022		39,605
Beginning balance (in shares) at Dec. 31, 2022			3,776
Beginning balance at Dec. 31, 2022	$ 447,482	$ 396	$ (200,008)	$ 391,482	$ (15,439)	$ 271,051
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Equity-based compensation	23,586			23,586
Issuance of common stock in connection with employee stock option exercises and RSU vesting (in shares)		461
Issuance of common stock in connection with employee stock option exercises and RSU vesting	2	$ 4		(2)
Common shares withheld for settlement of taxes in connection with equity-based compensation (in shares)		(182)
Common shares withheld for settlement of taxes in connection with equity-based compensation	(12,340)	$ (2)		(12,338)
Repurchase of treasury shares (in shares)			80
Repurchase of treasury shares	(4,000)		$ (4,000)
Cash dividends paid	(19,387)					(19,387)
Other comprehensive loss	1,308				1,308
Net income	82,856					82,856
Ending balance at Jun. 30, 2023	519,507	$ 398	$ (204,008)	402,728	(14,131)	334,520
Ending balance (in shares) at Jun. 30, 2023		39,884
Ending balance (in shares) at Jun. 30, 2023			3,856
Beginning balance (in shares) at Mar. 31, 2023		39,690
Beginning balance (in shares) at Mar. 31, 2023			3,776
Beginning balance at Mar. 31, 2023	476,534	$ 396	$ (200,008)	395,934	(14,020)	294,232
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Equity-based compensation	14,943			14,943
Issuance of common stock in connection with employee stock option exercises and RSU vesting (in shares)		317
Issuance of common stock in connection with employee stock option exercises and RSU vesting	0	$ 3		(3)
Common shares withheld for settlement of taxes in connection with equity-based compensation (in shares)		(123)
Common shares withheld for settlement of taxes in connection with equity-based compensation	(8,147)	$ (1)		(8,146)
Repurchase of treasury shares (in shares)			80
Repurchase of treasury shares	(4,000)		$ (4,000)
Cash dividends paid	(9,725)					(9,725)
Other comprehensive loss	(111)				(111)
Net income	50,013					50,013
Ending balance at Jun. 30, 2023	$ 519,507	$ 398	$ (204,008)	402,728	(14,131)	334,520
Ending balance (in shares) at Jun. 30, 2023		39,884
Ending balance (in shares) at Jun. 30, 2023			3,856
Beginning balance (in shares) at Dec. 31, 2023	35,572	39,982
Beginning balance (in shares) at Dec. 31, 2023	4,410		4,410
Beginning balance at Dec. 31, 2023	$ 527,094	$ 399	$ (228,213)	424,229	(11,974)	342,653
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Equity-based compensation	26,126			26,126
Issuance of common stock in connection with employee stock option exercises and RSU vesting (in shares)		501
Issuance of common stock in connection with employee stock option exercises and RSU vesting	0	$ 5		(5)
Common shares withheld for settlement of taxes in connection with equity-based compensation (in shares)		(197)
Common shares withheld for settlement of taxes in connection with equity-based compensation	(8,855)	$ (2)		(8,853)
Repurchase of treasury shares (in shares)			517
Repurchase of treasury shares	(20,592)		$ (20,592)
Cash dividends paid	(21,327)					(21,327)
Other comprehensive loss	(1,780)				(1,780)
Net income	19,746					19,746
Ending balance at Jun. 30, 2024	$ 520,412	$ 402	$ (248,805)	441,497	(13,754)	341,072
Ending balance (in shares) at Jun. 30, 2024	35,359	40,286
Ending balance (in shares) at Jun. 30, 2024	4,927		4,927
Beginning balance (in shares) at Mar. 31, 2024		40,013
Beginning balance (in shares) at Mar. 31, 2024			4,410
Beginning balance at Mar. 31, 2024	$ 541,275	$ 399	$ (228,213)	434,416	(13,438)	348,111
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Equity-based compensation	14,976			14,976
Issuance of common stock in connection with employee stock option exercises and RSU vesting (in shares)		449
Issuance of common stock in connection with employee stock option exercises and RSU vesting	0	$ 5		(5)
Common shares withheld for settlement of taxes in connection with equity-based compensation (in shares)		(176)
Common shares withheld for settlement of taxes in connection with equity-based compensation	(7,892)	$ (2)		(7,890)
Repurchase of treasury shares (in shares)			517
Repurchase of treasury shares	(20,592)		$ (20,592)
Cash dividends paid	(10,664)					(10,664)
Other comprehensive loss	(316)				(316)
Net income	3,625					3,625
Ending balance at Jun. 30, 2024	$ 520,412	$ 402	$ (248,805)	$ 441,497	$ (13,754)	$ 341,072
Ending balance (in shares) at Jun. 30, 2024	35,359	40,286
Ending balance (in shares) at Jun. 30, 2024	4,927		4,927

Geographic Information (Tables)

6 Months Ended

Jun. 30, 2024

Segment Reporting [Abstract]

Schedule of Geographic Revenue

The following table presents the Company’s revenue based on customer location (in thousands):


	Three Months Ended June 30,				Six Months Ended June 30,
	2024		2023		2024		2023
North America	$	120,120	$	96,202	$	230,547	$	195,342
Europe	53,373		58,413		108,773		117,447
Rest of the world	46,560		54,225		95,048		111,331
Total revenue	$	220,053	$	208,840	$	434,368	$	424,120

Schedule of Long-lived Tangible Assets

The Company’s long-lived tangible assets were located as follows (in thousands):


	As of June 30,		As of December 31,
	2024		2023
North America	$	44,752	$	46,531
Europe	18,248		17,695
Rest of the world	69		74
Total long-lived tangible assets	$	63,069	$	64,300

Fair Value Measurement and Long-term Investments (Tables)

6 Months Ended

Jun. 30, 2024

Fair Value Disclosures [Abstract]

Fair Value, Assets Measured on Recurring Basis

Its fair value level hierarchy and amount at June 30, 2024 are as follows:


	As of June 30, 2024
Hierarchy Level:	Fair Value
Level 1	$	15,130

Subsequent Events	6 Months Ended
Subsequent Events	Jun. 30, 2024
Subsequent Events [Abstract]
Subsequent Events	Subsequent Events Envato Acquisition On July 22, 2024, the Company completed its previously announced acquisition of Envato Pty Ltd. (“Envato”) pursuant to a Share Purchase Agreement (the “Purchase Agreement”) entered into on May 1, 2024, pursuant to which the Company purchased all of the issued and outstanding capital stock of Envato. The aggregate consideration paid by the Company, after customary working capital and other adjustments in accordance with the terms of the Purchase Agreement, was $250 million. We are currently in the process of valuing the assets acquired and liabilities assumed in the acquisition. Amended and Restated Credit Facility The Envato acquisition was funded through an amended and restated credit agreement (the “A&R Credit Agreement”), which was entered into among the Company, as borrower, certain direct and indirect subsidiaries of the Company as guarantors, the lenders party thereto, and Bank of America, N.A., as Administrative Agent for the lenders. The A&R Credit Agreement provides for a five-year (i) senior unsecured term loan facility (the “Term Loan”) in an aggregate principal amount of $125.0 million and (ii) senior unsecured revolving credit facility (the “Revolver”) in an aggregate principal amount of $250.0 million. The A&R Credit Agreement provides for a letter of credit subfacility and a swingline facility. At the Company’s option, loans under the A&R Credit Agreement accrue interest at a per annum rate based on either (i) the base rate plus a margin ranging from 0.375% to 0.750%, determined based on the Company’s consolidated net leverage ratio or (ii) the Term SOFR rate (for interest periods of 1, 3 or 6 months) plus a margin ranging from 1.375% to 1.750%, determined based on the Company’s consolidated net leverage ratio, plus a credit spread adjustment of 0.100%. On July 22, 2024, the Company borrowed $280 million under the A&R Credit Agreement, of which $125 million was funded from the Term Loan and $155 million funded from the Revolver. The A&R Credit Agreement contains customary affirmative and negative covenants, including, without limitation, covenants limiting the ability of the Company and its subsidiaries to, among other things, incur debt, grant liens, undergo certain fundamental changes, make investments, make certain restricted payments, dispose of assets, enter into transactions with affiliates, and enter into burdensome agreements, in each case, subject to limitations and exceptions set forth in the A&R Credit Agreement. The Company is also required to maintain compliance with a consolidated leverage ratio and a consolidated interest coverage ratio, in each case, determined in accordance with the terms of the A&R Credit Agreement. The A&R Credit Agreement also contains customary events of default that include, among other things, certain payment defaults, cross defaults to other indebtedness, inaccuracy of representations and warranties, covenant defaults, change of control defaults, judgment defaults, and bankruptcy and insolvency defaults. If an event of default exists, the Administrative Agent on behalf of the lenders may require immediate payment of all obligations under the A&R Credit Agreement and may exercise certain other rights and remedies provided for under the A&R Credit Agreement, the other loan documents and applicable law. Under certain circumstances, a default interest rate will apply to certain obligations during the existence of an event of default under the A&R Credit Agreement at a per annum rate equal to 2.00% above the applicable interest rate.

Commitments and Contingencies - Narrative (Details)	Jun. 30, 2024 USD ($)
Other Commitments [Line Items]
Other obligations	$ 68,700,000
Maturity of unconditional purchase obligations
Remainder of 2024	28,700,000
2025	34,300,000
2026	5,700,000
Indemnification Agreement
Indemnifications
Maximum possible loss per customer	10,000
Liabilities related to indemnification	$ 0

Net Income Per Share

6 Months Ended

Jun. 30, 2024

Earnings Per Share [Abstract]

Net Income Per Share

Basic net income per share is computed using the weighted average number of shares of common stock outstanding for the period, excluding unvested RSUs and stock options. Diluted net income per share is based upon the weighted average shares of common stock outstanding for the period plus dilutive potential shares of common stock, including unvested RSUs and stock options using the treasury stock method.

The following table sets forth the computation of basic and diluted net income per share for the three and six months ended June 30, 2024 and 2023 (in thousands):


	Three Months Ended June 30,				Six Months Ended June 30,
	2024		2023		2024		2023
Net income	$	3,625	$	50,013	$	19,746	$	82,856
Shares used to compute basic net income per share	35,697		36,047		35,644		35,952
Dilutive potential common shares
Stock options	49		119		66		136
Unvested restricted stock awards	236		240		313		402

Shares used to compute diluted net income per share	35,982		36,406		36,023		36,490
Basic net income per share	$	0.10	$	1.39	$	0.55	$	2.31
Diluted net income per share	$	0.10	$	1.37	$	0.55	$	2.27

Dilutive shares included in the calculation	1,051		1,112		1,204		1,400
Anti-dilutive shares excluded from the calculation	1,992		1,041		1,329		611

Property and Equipment

6 Months Ended

Jun. 30, 2024

Property, Plant and Equipment [Abstract]

Property and Equipment

Property and equipment is summarized as follows (in thousands):


	As of June 30, 2024		As of December 31, 2023
Computer equipment and software	$	326,551	$	308,473
Furniture and fixtures	10,901		10,829
Leasehold improvements	19,887		19,153
Property and equipment	357,339		338,455
Less accumulated depreciation	(294,270)		(274,155)
Property and equipment, net	$	63,069	$	64,300

Depreciation expense related to property and equipment was $10.4 million and $9.1 million for the three months ended June 30, 2024 and 2023, respectively, and $20.7 million and $18.2 million for the six months ended June 30, 2024 and 2023, respectively. Cost of revenues included depreciation expense of $10.0 million and $8.7 million for the three months ended June 30, 2024 and 2023, respectively, and $19.9 million and $17.3 million for the six months ended June 30, 2024 and 2023, respectively. General and administrative expense included depreciation expense of $0.4 million for the three months ended June 30, 2024 and 2023, and $0.8 million and $0.9 million for the six months ended June 30, 2024 and 2023, respectively.

Capitalized Internal-Use Software

The Company capitalized costs related to the development of internal-use software of $9.6 million and $11.3 million for the three months ended June 30, 2024 and 2023, respectively, and $18.6 million and $21.6 million for the six months ended June 30, 2024 and 2023, respectively. Capitalized amounts are included as a component of property and equipment under computer equipment and software on the Consolidated Balance Sheets.

The portion of total depreciation expense related to capitalized internal-use software was $9.8 million and $8.4 million for the three months ended June 30, 2024 and 2023, respectively, and $19.4 million and $16.8 million for the six months ended June 30, 2024 and 2023, respectively. Depreciation expense related to capitalized internal-use software is included in cost of revenue in the Consolidated Statements of Operations.

As of June 30, 2024 and December 31, 2023, the Company had capitalized internal-use software of $59.5 million and $60.3 million, respectively, net of accumulated depreciation, which was included in property and equipment, net.

Acquisitions (Tables)

6 Months Ended

Jun. 30, 2024

Business Combination, Asset Acquisition, and Joint Venture Formation [Abstract]

Schedule of Aggregate Purchase Price Allocation to Assets Acquired and Liabilities Assumed

The aggregate purchase price for this acquisition has been allocated to the assets acquired and liabilities assumed as follows (in thousands):


Assets acquired and liabilities assumed:	Backgrid
Cash and cash equivalents	$	1,718
Accounts receivable	732
Other assets	77

Intangible assets:
Trade name	300
Developed technology	900
Intangible assets	1,200
Goodwill	19,843

Total assets acquired	$	23,570


Contributor royalties payable	(849)
Accrued expenses	(1,302)
Deferred tax liability	(271)

Total liabilities assumed	(2,422)
Net assets acquired	$	21,148

The aggregate purchase price for this acquisition has been allocated to the assets acquired and liabilities assumed as follows (in thousands):


Assets acquired and liabilities assumed:	Giphy
Cash and cash equivalents	$	4,030

Prepaid expenses and other current assets	1,416

Right of use assets	1,243
Intangible assets:

Trade name	21,000
Developed technology2	19,500

Intangible assets	40,500

Deferred tax asset1	1,463
Other assets	1,647
Total assets acquired	$	50,299

Accounts payable, accrued expenses and other liabilities	(4,949)



Lease liability	(1,090)
Total liabilities assumed	(6,039)
Net assets acquired	$	44,260
Net purchase price	(6,001)
Bargain purchase gain	$	50,261

Schedule of Business Acquisitions by Acquisition, Contingent Consideration

The Giphy purchase price was calculated as follows:


	Purchase Price
Purchase price	$	53,000
Cash acquired and other working capital adjustments	4,750
Cash paid on closing	$	57,750

Fair value of Giphy Retention Compensation contingent consideration1	(98,723)
Fair value of consideration attributable to pre-combination service2	34,972

Net purchase price	$	(6,001)

2 - Relates to the cash value of replaced unvested Meta equity awards attributable to pre-combination services.

Business Acquisition, Pro Forma Information

These pro forma results have been prepared for comparative purposes only and are based on estimates and assumptions that have been made solely for purposes of developing such pro forma information and are not necessarily indicative of what the Company’s operating results would have been, had the acquisitions actually taken place at the beginning of the previous annual period.


	Three Months Ended June 30,				Six Months Ended June 30,
	2024		2023		2024		2023
Revenue
As Reported	$	220,053	$	208,840	$	434,368	$	424,120
Pro Forma	220,053		217,626		435,312		441,692
Income before income taxes
As Reported	$	16,560	$	51,381	$	36,950	$	92,795
Pro Forma	18,164		15,793		41,194		44,557

Property and Equipment (Tables)

6 Months Ended

Jun. 30, 2024

Property, Plant and Equipment [Abstract]

Summary of Property and Equipment

Property and equipment is summarized as follows (in thousands):


	As of June 30, 2024		As of December 31, 2023
Computer equipment and software	$	326,551	$	308,473
Furniture and fixtures	10,901		10,829
Leasehold improvements	19,887		19,153
Property and equipment	357,339		338,455
Less accumulated depreciation	(294,270)		(274,155)
Property and equipment, net	$	63,069	$	64,300

Geographic Information - Schedule of Geographic Revenue (Details) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2024	Jun. 30, 2023	Jun. 30, 2024	Jun. 30, 2023
Segment Reporting Information [Line Items]
Total revenue	$ 220,053	$ 208,840	$ 434,368	$ 424,120
North America
Segment Reporting Information [Line Items]
Total revenue	120,120	96,202	230,547	195,342
Europe
Segment Reporting Information [Line Items]
Total revenue	53,373	58,413	108,773	117,447
Rest of the world
Segment Reporting Information [Line Items]
Total revenue	$ 46,560	$ 54,225	$ 95,048	$ 111,331

- Definition

+ References

+ Details

Consolidated Balance Sheets (Parenthetical) - USD ($) $ in Thousands	Jun. 30, 2024	Dec. 31, 2023
Statement of Financial Position [Abstract]
Allowance for doubtful accounts	$ 4,616	$ 6,335
Common stock, par value (in dollars per share)	$ 0.01	$ 0.01
Common stock, shares authorized (in shares)	200,000,000	200,000,000
Common stock, shares issued (in shares)	40,286,000	39,982,000
Common stock, shares outstanding (in shares)	35,359,000	35,572,000
Treasury stock, shares held in treasury (in shares)	4,927,000	4,410,000

Acquisitions - Schedule of Business Acquisitions by Acquisition, Contingent Consideration (Details) - USD ($) $ in Thousands		6 Months Ended
	Jun. 23, 2023	Jun. 30, 2024	Jun. 30, 2023
Asset Acquisition, Contingent Consideration [Line Items]
Net cash to acquire business		$ 19,474	$ 53,721
Giphy, Inc.
Asset Acquisition, Contingent Consideration [Line Items]
Net cash to acquire business	$ 53,000
Cash acquired and other working capital adjustments	4,750
Cash paid on closing	57,750
Net purchase price	(6,001)
Nonrecurring benefits receivable	123,500
Income tax obligation	18,900
Time value of money	(5,900)
Fair value of Giphy Retention Compensation contingent consideration \| Giphy, Inc.
Asset Acquisition, Contingent Consideration [Line Items]
Fair value consideration	(98,723)
Fair value of consideration attributable to pre-combination service \| Giphy, Inc.
Asset Acquisition, Contingent Consideration [Line Items]
Fair value consideration	$ 34,972

Goodwill and Intangible Assets - Narrative (Details) - USD ($) $ in Millions	3 Months Ended		6 Months Ended
	Jun. 30, 2024	Jun. 30, 2023	Jun. 30, 2024	Jun. 30, 2023
Amortizing intangible assets
Amortization expense	$ 11.0	$ 10.1	$ 22.0	$ 19.9
Remainder of 2024	16.1		16.1
2025	27.6		27.6
2026	25.3		25.3
2027	19.1		19.1
2028	16.5		16.5
2029	15.4		15.4
Thereafter	44.5		44.5
Cost of revenue
Amortizing intangible assets
Amortization expense	10.0	9.4	20.0	18.6
Selling, General and Administrative Expenses
Amortizing intangible assets
Amortization expense	$ 1.0	$ 0.7	$ 2.0	$ 1.3

Stockholders’ Equity and Equity-Based Compensation (Tables)

6 Months Ended

Jun. 30, 2024

Share-Based Payment Arrangement [Abstract]

Summary of Non-cash Equity-based Compensation Expense Included in the Company's Statement of Operations

The following table summarizes non-cash equity-based compensation expense, net of forfeitures, by financial statement line item included in the accompanying Consolidated Statements of Operations for the three and six months ended June 30, 2024 and 2023 (in thousands):


	Three Months Ended June 30,				Six Months Ended June 30,
	2024		2023		2024		2023
Cost of revenue	$	300	$	306	$	524	$	490
Sales and marketing	3,167		2,487		5,178		3,091
Product development	4,171		4,221		6,456		6,669
General and administrative	7,338		7,929		13,968		13,336
Total	$	14,976	$	14,943	$	26,126	$	23,586

Summary of Operations and Significant Accounting Policies - Narrative (Details) - USD ($) $ in Thousands	6 Months Ended		12 Months Ended
	Jun. 30, 2024	Jun. 30, 2023	Dec. 31, 2023
Concentration Risk [Line Items]
Unbilled contracts receivable	$ 69,900
Bad debt expense (reversal)	(1,772)	$ 1,025
Allowance for doubtful accounts	4,616		$ 6,335
Allowance for credit loss	12,600		16,000
Chargeback and sales refund allowances	400		$ 400
Accounts Receivable
Concentration Risk [Line Items]
Unbilled contracts receivable	38,000
Other Assets
Concentration Risk [Line Items]
Unbilled contracts receivable	$ 31,900
Accounts Receivable \| Customer Concentration Risk \| Two Customers
Concentration Risk [Line Items]
Concentration risk percentage	29.00%		29.00%

Geographic Information - Schedule of Long-lived Tangible Assets (Details) - USD ($) $ in Thousands	Jun. 30, 2024	Dec. 31, 2023
Geographic revenue based on customer location and long-lived tangible assets
Total long-lived tangible assets	$ 63,069	$ 64,300
North America
Geographic revenue based on customer location and long-lived tangible assets
Total long-lived tangible assets	44,752	46,531
Europe
Geographic revenue based on customer location and long-lived tangible assets
Total long-lived tangible assets	18,248	17,695
Rest of the world
Geographic revenue based on customer location and long-lived tangible assets
Total long-lived tangible assets	$ 69	$ 74

Fair Value Measurements and Long-term Investments

6 Months Ended

Jun. 30, 2024

Fair Value Disclosures [Abstract]

Fair Value Measurements and Long-term Investments

Fair Value Measurements

The Company had no assets or liabilities requiring fair value hierarchy disclosures as of June 30, 2024 or December 31, 2023, except as noted below.

Other Fair Value Measurements

The carrying amounts of cash and cash equivalents, accounts receivable, accounts payable and accrued expenses approximate fair value because of the short-term nature of these instruments. Debt consists of principal amounts outstanding under our credit facility, which approximates fair value as underlying interest rates are reset regularly based on current market rates and is classified as Level 2. The Company’s non-financial assets, which include long-lived assets, intangible assets and goodwill, are not required to be measured at fair value on a recurring basis. However, if the Company is required to evaluate a non-financial asset for impairment, whether due to certain triggering events or because annual impairment testing is required, a resulting asset impairment would require that the non-financial asset be recorded at fair value.

Long-term Investments

Investment in Meitu, Inc. (“Meitu”)

In 2018, the Company invested $15.0 million in convertible preferred shares issued by ZCool Technologies Limited (“ZCool”) (the “Preferred Shares”). ZCool’s primary business is the operation of an e-commerce platform in the People’s Republic of China (the “PRC”) whereby customers can pay to license content contributed by creative professionals. ZCool and its affiliates have been the exclusive distributor of Shutterstock content in China since 2014. The Company used the measurement alternative and the investment in ZCool was reported at cost, adjusted for impairments or any observable price changes in ordinary transactions with identical or similar investments.

On March 27, 2024, ZCool was acquired by Meitu, and the Company’s Preferred Shares in ZCool were exchanged for $18.4 million of Meitu common shares, resulting in an investment carrying value increase of $3.4 million, which is recorded in Other (expense) / income, net in the Consolidated Statement of Operations. Meitu’s primary business is the provision of online advertising and other internet value added services in the PRC, and its common shares are publicly traded on the Main Board of The Stock Exchange of Hong Kong Limited. This investment is recorded at fair value on a recurring basis, with changes in fair value being recorded in Other (expense) / income, net in the Consolidated Statement of Operations. Its fair value level hierarchy and amount at June 30, 2024 are as follows:


	As of June 30, 2024
Hierarchy Level:	Fair Value
Level 1	$	15,130

Other Long-Term Investments

In connection with its Data, Distribution, and Services business, the Company may receive equity instruments in addition to cash for revenue contract consideration. As of June 30, 2024, the Company has $23.8 million recorded in Other Assets in the Consolidated Balance Sheet from equity instruments received. There were no customer equity instruments recorded at December 31, 2023. The Company estimated the value of these equity instruments based on issuers’ recent market transactions. The Company will use the measurement alternative for fair value since the equity instruments do not have a readily determinable fair value and will report the instruments at cost, adjusted for impairments or any observable price changes in ordinary transactions with identical or similar investments.

As of June 30, 2024 and December 31, 2023, the Company also had a long-term investment in an equity security with no readily determinable fair value totaling $5.0 million. The Company uses the measurement alternative for fair value and the investment’s carrying value is reported at cost, adjusted for impairments or any observable price changes in ordinary transactions with identical or similar investments.

- Definition

The entire disclosure for the fair value of financial instruments (as defined), including financial assets and financial liabilities (collectively, as defined), and the measurements of those instruments as well as disclosures related to the fair value of non-financial assets and liabilities. Such disclosures about the financial instruments, assets, and liabilities would include: (1) the fair value of the required items together with their carrying amounts (as appropriate); (2) for items for which it is not practicable to estimate fair value, disclosure would include: (a) information pertinent to estimating fair value (including, carrying amount, effective interest rate, and maturity, and (b) the reasons why it is not practicable to estimate fair value; (3) significant concentrations of credit risk including: (a) information about the activity, region, or economic characteristics identifying a concentration, (b) the maximum amount of loss the entity is exposed to based on the gross fair value of the related item, (c) policy for requiring collateral or other security and information as to accessing such collateral or security, and (d) the nature and brief description of such collateral or security; (4) quantitative information about market risks and how such risks are managed; (5) for items measured on both a recurring and nonrecurring basis information regarding the inputs used to develop the fair value measurement; and (6) for items presented in the financial statement for which fair value measurement is elected: (a) information necessary to understand the reasons for the election, (b) discussion of the effect of fair value changes on earnings, (c) a description of [similar groups] items for which the election is made and the relation thereof to the balance sheet, the aggregate carrying value of items included in the balance sheet that are not eligible for the election; (7) all other required (as defined) and desired information.

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+ Details

Debt - Narrative (Details) - USD ($)		3 Months Ended		6 Months Ended
Debt - Narrative (Details) - USD ($)	May 06, 2022	Jun. 30, 2024	Jun. 30, 2023	Jun. 30, 2024	Jun. 30, 2023	Dec. 31, 2023
Line of Credit Facility [Line Items]
Interest expense		$ 561,000	$ 493,000	$ 1,123,000	$ 724,000
Revolving Credit Facility \| Line of Credit
Line of Credit Facility [Line Items]
Line of credit, term	5 years
Maximum borrowing capacity	$ 100,000,000
Available additional revolving loan commitments	100,000,000
Payment of debt issuance costs	$ 600,000
Line of credit		30,000,000		30,000,000		$ 30,000,000
Remaining borrowing capacity		68,000,000		68,000,000
Interest expense		$ 600,000		$ 1,100,000
Revolving Credit Facility \| Line of Credit \| Minimum
Line of Credit Facility [Line Items]
Commitment fee percentage	0.15%
Revolving Credit Facility \| Line of Credit \| Minimum \| Base Rate
Line of Credit Facility [Line Items]
Variable rate, basis spread	0.125%
Revolving Credit Facility \| Line of Credit \| Minimum \| Secured Overnight Financing Rate (SOFR)
Line of Credit Facility [Line Items]
Variable rate, basis spread	1.125%
Revolving Credit Facility \| Line of Credit \| Maximum
Line of Credit Facility [Line Items]
Commitment fee percentage	0.225%
Revolving Credit Facility \| Line of Credit \| Maximum \| Base Rate
Line of Credit Facility [Line Items]
Variable rate, basis spread	0.50%
Revolving Credit Facility \| Line of Credit \| Maximum \| Secured Overnight Financing Rate (SOFR)
Line of Credit Facility [Line Items]
Variable rate, basis spread	1.50%

Geographic Information

6 Months Ended

Jun. 30, 2024

Segment Reporting [Abstract]

Geographic Information

The following table presents the Company’s revenue based on customer location (in thousands):


	Three Months Ended June 30,				Six Months Ended June 30,
	2024		2023		2024		2023
North America	$	120,120	$	96,202	$	230,547	$	195,342
Europe	53,373		58,413		108,773		117,447
Rest of the world	46,560		54,225		95,048		111,331
Total revenue	$	220,053	$	208,840	$	434,368	$	424,120

The United States, included in North America in the above table, accounted for 50% and 43% of consolidated revenue for the six months ended June 30, 2024 and 2023, respectively. No other country accounts for more than 10% of the Company’s revenue in any period presented.

The Company’s long-lived tangible assets were located as follows (in thousands):


	As of June 30,		As of December 31,
	2024		2023
North America	$	44,752	$	46,531
Europe	18,248		17,695
Rest of the world	69		74
Total long-lived tangible assets	$	63,069	$	64,300

The United States, included in North America in the above table, accounted for 67% and 68% of total long-lived tangible assets as of June 30, 2024 and December 31, 2023, respectively. Ireland, included in Europe in the above table, accounted for 22% and 21% of total long-lived tangible assets as of June 30, 2024 and December 31, 2023, respectively. No other country accounts for more than 10% of the Company’s long-lived tangible assets in any period presented.

- Definition

The entire disclosure for reporting segments including data and tables. Reportable segments include those that meet any of the following quantitative thresholds a) it's reported revenue, including sales to external customers and intersegment sales or transfers is 10 percent or more of the combined revenue, internal and external, of all operating segments b) the absolute amount of its reported profit or loss is 10 percent or more of the greater, in absolute amount of 1) the combined reported profit of all operating segments that did not report a loss or 2) the combined reported loss of all operating segments that did report a loss c) its assets are 10 percent or more of the combined assets of all operating segments.

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+ Details

Commitments and Contingencies	6 Months Ended
Commitments and Contingencies	Jun. 30, 2024
Commitments and Contingencies Disclosure [Abstract]
Commitments and Contingencies	Commitments and Contingencies As of June 30, 2024, the Company had total non-lease obligations in the amount of approximately $68.7 million, which consisted primarily of minimum royalty guarantees and unconditional purchase obligations related to contracts for infrastructure and other business services. As of June 30, 2024, the Company’s non-lease obligations for the remainder of 2024 and for the years ending December 31, 2025, and 2026 were approximately $28.7 million, $34.3 million, and $5.7 million, respectively. Legal Matters From time to time, the Company may become party to litigation in the ordinary course of business, including direct claims brought by or against the Company with respect to intellectual property, contracts, employment and other matters, as well as claims brought against the Company’s customers for whom the Company has a contractual indemnification obligation. The Company assesses the likelihood of any adverse judgments or outcomes with respect to these matters and determines loss contingency assessments on a gross basis after assessing the probability of occurrence of a loss and whether a loss is reasonably estimable. In addition, the Company considers other relevant factors that could impact its ability to reasonably estimate a loss. A determination of the amount of reserves required, if any, for these contingencies is made after analyzing each matter. The Company reviews reserves, if any, at least quarterly and may change the amount of any such reserve in the future due to new developments or changes in strategy in handling these matters. Although the results of litigation and threats of litigation, investigations and claims cannot be predicted with certainty, the Company currently believes that the final outcome of these matters will not have a material adverse effect on its business, consolidated financial position, results of operations, or cash flows. Regardless of the outcome, litigation can have an adverse impact on the Company because of defense and settlement costs, diversion of management resources and other factors. The Company currently has no material active litigation matters and, accordingly, no material reserves related to litigation. Indemnification and Employment Agreements In the ordinary course of business, the Company enters into contractual arrangements under which it agrees to provide indemnification of varying scope and terms to customers with respect to certain matters, including, but not limited to, losses arising out of the breach of the Company’s intellectual property warranties for damages to the customer directly attributable to the Company’s breach. The Company is not responsible for any damages, costs, or losses to the extent such damages, costs or losses arise as a result of the modifications made by the customer, or the context in which an image is used. The standard maximum aggregate obligation and liability to any one customer for all claims is generally limited to ten thousand dollars. The Company offers certain of its customers greater levels of indemnification, including unlimited indemnification and believes that it has appropriate insurance coverage in place to adequately cover indemnification claims, if necessary. As of and for the six months ended June 30, 2024, the Company made no material payments for losses on customer indemnification claims and recorded no liabilities related to indemnification for loss contingencies, before considering any insurance recoveries. Pursuant to the Company’s charter documents and separate written indemnification agreements, the Company has certain indemnification obligations to its executive officers, certain employees and directors, as well as certain former officers and directors. The Company has also entered into employment agreements with its executive officers and certain employees. These agreements specify various employment-related matters, including annual compensation, performance incentive bonuses, and severance benefits in the event of termination or in the event of a change in control or otherwise, with or without cause.

Revenue

6 Months Ended

Jun. 30, 2024

Revenue from Contract with Customer [Abstract]

Revenue

The Company distributes its products through two primary offerings:

Content: The majority of the Company’s customers license image, video, music and 3D content for commercial purposes either directly through the Company’s self-service web properties or through the Company’s dedicated sales teams. Content customers have the flexibility to purchase subscription-based plans that are paid on a monthly or annual basis. Customers are also able to license content on a transactional basis. These customers generally license content under the Company’s standard or enhanced licenses, with additional licensing options available to meet customers’ individual needs. Certain content customers also have unique content, licensing and workflow needs. These customers communicate with dedicated sales professionals, service and research teams which provide a number of tailored enhancements to their creative workflows including non-standard licensing rights, multi-seat access, ability to pay on credit terms, multi-brand licensing packages, increased indemnification protection and content licensed for use-cases outside of those available on the e-commerce platform.

Data, Distribution, and Services: The Company’s Data, Distribution, and Services offerings address customer demand for products and services that are beyond the stock image, footage music and 3D model licenses. These offerings include access to the Company’s metadata for machine learning and generative artificial intelligence model training and high-quality production and custom content at scale provided by Shutterstock Studios.

The Company’s revenues by product offering for the three and six months ended June 30, 2024 and 2023 are as follows (in thousands):


	Three Months Ended June 30,				Six Months Ended June 30,
	2024		2023		2024		2023
Content	$	169,951	$	186,963	$	343,781	$	380,947
Data, Distribution, and Services	50,102		21,877		90,587		43,173
Total Revenue	$	220,053	$	208,840	$	434,368	$	424,120

Deferred revenue reported on the balance sheet represents unfulfilled performance obligations for which the Company has either received payment or has outstanding receivables. The June 30, 2024 deferred revenue balance will be earned as content is downloaded or upon the expiration of subscription-based products, and nearly all is expected to be earned within the next twelve months. $131.1 million of total revenue recognized for the six months ended June 30, 2024 was reflected in deferred revenue as of December 31, 2023. In addition, as of June 30, 2024, the Company has approximately $91.8 million of contracted but unsatisfied performance obligations relating primarily to our data deal offerings, which are not included as a component of deferred revenue and that the Company expects to recognize over a five year period.

- Definition

The entire disclosure of revenue from contract with customer to transfer good or service and to transfer nonfinancial asset. Includes, but is not limited to, disaggregation of revenue, credit loss recognized from contract with customer, judgment and change in judgment related to contract with customer, and asset recognized from cost incurred to obtain or fulfill contract with customer. Excludes insurance and lease contracts.

+ References

Reference 1: http://www.xbrl.org/2003/role/disclosureRef
-Topic 606
-SubTopic 10
-Name Accounting Standards Codification
-Section 50
-Paragraph 9
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147479806/606-10-50-9

Reference 2: http://www.xbrl.org/2003/role/disclosureRef
-Topic 606
-SubTopic 10
-Name Accounting Standards Codification
-Section 50
-Paragraph 10
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147479806/606-10-50-10

Reference 3: http://www.xbrl.org/2003/role/disclosureRef
-Topic 606
-SubTopic 10
-Name Accounting Standards Codification
-Section 50
-Paragraph 15
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147479806/606-10-50-15

Reference 4: http://www.xbrl.org/2003/role/disclosureRef
-Topic 606
-SubTopic 10
-Name Accounting Standards Codification
-Section 50
-Paragraph 12
-Subparagraph (a)
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147479806/606-10-50-12

Reference 5: http://www.xbrl.org/2003/role/disclosureRef
-Topic 606
-SubTopic 10
-Name Accounting Standards Codification
-Section 50
-Paragraph 12
-Subparagraph (b)
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147479806/606-10-50-12

Reference 6: http://www.xbrl.org/2003/role/disclosureRef
-Topic 606
-SubTopic 10
-Name Accounting Standards Codification
-Section 50
-Paragraph 12
-Subparagraph (c)
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147479806/606-10-50-12

Reference 7: http://www.xbrl.org/2003/role/disclosureRef
-Topic 606
-SubTopic 10
-Name Accounting Standards Codification
-Section 50
-Paragraph 12
-Subparagraph (d)
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147479806/606-10-50-12

Reference 8: http://www.xbrl.org/2003/role/disclosureRef
-Topic 606
-SubTopic 10
-Name Accounting Standards Codification
-Section 50
-Paragraph 12
-Subparagraph (e)
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147479806/606-10-50-12

Reference 9: http://www.xbrl.org/2003/role/disclosureRef
-Topic 606
-SubTopic 10
-Name Accounting Standards Codification
-Section 50
-Paragraph 13
-Subparagraph (b)(2)
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147479806/606-10-50-13

Reference 10: http://www.xbrl.org/2003/role/disclosureRef
-Name Accounting Standards Codification
-Topic 606
-Publisher FASB
-URI https://asc.fasb.org/606/tableOfContent

+ Details

Consolidated Statements of Comprehensive Income - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2024	Jun. 30, 2023	Jun. 30, 2024	Jun. 30, 2023
Statement of Comprehensive Income [Abstract]
Net income	$ 3,625	$ 50,013	$ 19,746	$ 82,856
Foreign currency translation (loss) / gain	(316)	(111)	(1,780)	1,308
Other comprehensive (loss) / income	(316)	(111)	(1,780)	1,308
Comprehensive income	$ 3,309	$ 49,902	$ 17,966	$ 84,164

- Definition

Amount after tax of increase (decrease) in equity from transactions and other events and circumstances from net income and other comprehensive income, attributable to parent entity. Excludes changes in equity resulting from investments by owners and distributions to owners.

+ References + Details

- Definition

The portion of profit or loss for the period, net of income taxes, which is attributable to the parent.

+ References

+ Details

Subsequent Events (Details) - USD ($)			6 Months Ended
Subsequent Events (Details) - USD ($)	Jul. 22, 2024	May 06, 2022	Jun. 30, 2024	Jun. 30, 2023
Subsequent Event [Line Items]
Proceeds from credit facility			$ 0	$ 30,000,000
Revolving Credit Facility \| Line of Credit
Subsequent Event [Line Items]
Line of credit, term		5 years
Maximum borrowing capacity		$ 100,000,000
Revolving Credit Facility \| Line of Credit \| Minimum \| Base Rate
Subsequent Event [Line Items]
Variable rate, basis spread		0.125%
Revolving Credit Facility \| Line of Credit \| Minimum \| Secured Overnight Financing Rate (SOFR)
Subsequent Event [Line Items]
Variable rate, basis spread		1.125%
Revolving Credit Facility \| Line of Credit \| Maximum \| Base Rate
Subsequent Event [Line Items]
Variable rate, basis spread		0.50%
Revolving Credit Facility \| Line of Credit \| Maximum \| Secured Overnight Financing Rate (SOFR)
Subsequent Event [Line Items]
Variable rate, basis spread		1.50%
Subsequent Event \| Line of Credit
Subsequent Event [Line Items]
Line of credit, term	5 years
Variable rate, basis spread	0.10%
Proceeds from credit facility	$ 280,000,000
Subsequent Event \| Line of Credit \| Minimum \| Base Rate
Subsequent Event [Line Items]
Variable rate, basis spread	0.375%
Subsequent Event \| Line of Credit \| Minimum \| Secured Overnight Financing Rate (SOFR)
Subsequent Event [Line Items]
Variable rate, basis spread	1.375%
Subsequent Event \| Line of Credit \| Maximum \| Base Rate
Subsequent Event [Line Items]
Variable rate, basis spread	0.75%
Subsequent Event \| Line of Credit \| Maximum \| Secured Overnight Financing Rate (SOFR)
Subsequent Event [Line Items]
Variable rate, basis spread	1.75%
Subsequent Event \| Envato
Subsequent Event [Line Items]
Net purchase price	$ 250,000,000
Subsequent Event \| Secured Debt \| Line of Credit
Subsequent Event [Line Items]
Debt instrument, face amount	125,000,000
Proceeds from credit facility	125,000,000
Subsequent Event \| Revolving Credit Facility \| Line of Credit
Subsequent Event [Line Items]
Maximum borrowing capacity	250,000,000
Proceeds from credit facility	$ 155,000,000

Revenue - Narrative (Details) $ in Millions	6 Months Ended
Revenue - Narrative (Details) $ in Millions	Jun. 30, 2024 USD ($) channel
Segment Reporting Information [Line Items]
Number of primary channels for content offerings \| channel	2
Disposal group deferred revenue	$ 131.1
Revenue, remaining performance obligation, amount	$ 91.8
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2024-07-01
Segment Reporting Information [Line Items]
Period of performance obligation recognition	5 years

Income Taxes (Details) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
Income Taxes (Details) - USD ($) $ in Thousands	Jun. 30, 2024	Jun. 30, 2023	Jun. 30, 2024	Jun. 30, 2023
Income Tax Disclosure [Abstract]
Effective tax rate, expense (benefit)	78.10%	2.70%	46.60%	10.70%
Effective income tax rate reconciliation, tax expense (benefit)	59.70%	(13.60%)	27.60%	(7.10%)
Effective income tax rate reconciliation, tax expense (benefit), share-based payment arrangement, amount	$ 6,300		$ 6,300
Effective tax rate, excluding discrete items	18.40%	16.30%	19.00%	17.80%
Cash paid (refunded) for income taxes			$ 12,560	$ 6,795

Property and Equipment - Summary of Property and Equipment (Details) - USD ($) $ in Thousands	Jun. 30, 2024	Dec. 31, 2023
Property and Equipment
Property and equipment	$ 357,339	$ 338,455
Less accumulated depreciation	(294,270)	(274,155)
Property and equipment, net	63,069	64,300
Computer equipment and software
Property and Equipment
Property and equipment	326,551	308,473
Furniture and fixtures
Property and Equipment
Property and equipment	10,901	10,829
Leasehold improvements
Property and Equipment
Property and equipment	$ 19,887	$ 19,153

Other (Expense) / Income, net (Details) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2024	Jun. 30, 2023	Jun. 30, 2024	Jun. 30, 2023
Other Nonoperating Income (Expense) [Abstract]
Foreign currency (loss) / gain	$ (1,268)	$ 551	$ (1,860)	$ 1,662
Interest expense	(561)	(493)	(1,123)	(724)
Interest income, unrealized gain / (loss) on investments, and other	(2,277)	668	2,521	833
Total other (expense) / income, net	$ (4,106)	$ 726	$ (462)	$ 1,771

Acquisitions - Schedule of Aggregate Purchase Price Allocation to Assets Acquired and Liabilities Assumed (Details) - USD ($) $ in Thousands		3 Months Ended				6 Months Ended
	Jun. 23, 2023	Jun. 30, 2024	Dec. 31, 2023	Sep. 30, 2023	Jun. 30, 2023	Jun. 30, 2024	Jun. 30, 2023	Feb. 01, 2024
Business Combination, Recognized Identifiable Assets Acquired, Goodwill, and Liabilities Assumed, Net [Abstract]
Goodwill		$ 402,774	$ 383,325			$ 402,774
Bargain purchase gain		$ 0			$ 41,940	$ 0	$ 41,940
Backgrid USA, Inc. and Backgrid London LTD
Business Combination, Recognized Identifiable Assets Acquired, Goodwill, and Liabilities Assumed, Net [Abstract]
Cash and cash equivalents								$ 1,718
Accounts receivable								732
Other assets								77
Intangible assets								1,200
Goodwill								19,843
Total assets acquired								23,570
Contributor royalties payable								(849)
Accrued expenses								(1,302)
Deferred tax liability								(271)
Total liabilities assumed								(2,422)
Net assets acquired								21,148
Backgrid USA, Inc. and Backgrid London LTD \| Trade name
Business Combination, Recognized Identifiable Assets Acquired, Goodwill, and Liabilities Assumed, Net [Abstract]
Intangible assets								300
Backgrid USA, Inc. and Backgrid London LTD \| Developed technology
Business Combination, Recognized Identifiable Assets Acquired, Goodwill, and Liabilities Assumed, Net [Abstract]
Intangible assets								$ 900
Giphy, Inc.
Business Combination, Recognized Identifiable Assets Acquired, Goodwill, and Liabilities Assumed, Net [Abstract]
Cash and cash equivalents	$ 4,030
Other assets	1,647
Right of use assets	1,243
Prepaid expenses and other current assets	1,416
Intangible assets	40,500
Deferred tax ssset	1,463
Total assets acquired	50,299
Accounts payable, accrued expenses and other liabilities	(4,949)
Lease liability	(1,090)
Total liabilities assumed	(6,039)
Net assets acquired	44,260
Net purchase price	(6,001)
Bargain purchase gain	50,261
Adjustment consideration			$ 1,600	$ 9,900
Giphy, Inc. \| Trade name
Business Combination, Recognized Identifiable Assets Acquired, Goodwill, and Liabilities Assumed, Net [Abstract]
Intangible assets	21,000
Giphy, Inc. \| Developed technology
Business Combination, Recognized Identifiable Assets Acquired, Goodwill, and Liabilities Assumed, Net [Abstract]
Intangible assets	$ 19,500

Debt	6 Months Ended
Debt	Jun. 30, 2024
Debt Disclosure [Abstract]
Debt	Debt On May 6, 2022, the Company entered into a five-year $100 million unsecured revolving loan facility (the “Credit Facility”) with Bank of America, N.A., as Administrative Agent and other lenders. The Credit Facility includes a letter of credit sub-facility and a swingline facility and it also permits, subject to the satisfaction of certain conditions, up to $100 million of additional revolving loan commitments with the consent of the Administrative Agent. At the Company’s option, revolving loans accrue interest at a per annum rate based on either (i) the base rate plus a margin ranging from 0.125% to 0.500%, determined based on the Company’s consolidated leverage ratio or (ii) the Term Secured Overnight Financing Rate (“SOFR”) (for interest periods of 1, 3 or 6 months) plus a margin ranging from 1.125% to 1.5%, determined based on the Company’s consolidated leverage ratio. The Company is also required to pay an unused commitment fee ranging from 0.150% to 0.225%, determined based on the Company’s consolidated leverage ratio. In connection with the execution of this agreement, the Company paid debt issuance costs of approximately $0.6 million. As of June 30, 2024 and December 31, 2023, the Company had $30 million of outstanding borrowings under the Credit Facility. As of June 30, 2024, the Company had a remaining borrowing capacity of $68 million, net of standby letters of credit. For the three and six months ended June 30, 2024, the Company recognized interest expense of $0.6 million and $1.1 million, respectively. The Credit Facility contains financial covenants and requirements restricting certain of the Company’s activities, which are usual and customary for this type of credit facility. The Company is also required to maintain compliance with a consolidated leverage ratio and a consolidated interest coverage ratio, in each case, determined in accordance with the terms of the Credit Facility. As of June 30, 2024, the Company was in compliance with these covenants.

- Definition

The entire disclosure for information about short-term and long-term debt arrangements, which includes amounts of borrowings under each line of credit, note payable, commercial paper issue, bonds indenture, debenture issue, own-share lending arrangements and any other contractual agreement to repay funds, and about the underlying arrangements, rationale for a classification as long-term, including repayment terms, interest rates, collateral provided, restrictions on use of assets and activities, whether or not in compliance with debt covenants, and other matters important to users of the financial statements, such as the effects of refinancing and noncompliance with debt covenants.

+ References

Reference 1: http://www.xbrl.org/2003/role/disclosureRef
-Topic 470
-SubTopic 10
-Name Accounting Standards Codification
-Section 50
-Paragraph 6
-Subparagraph (b)
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147481544/470-10-50-6

Reference 2: http://www.xbrl.org/2003/role/disclosureRef
-Topic 470
-SubTopic 10
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-Section 50
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-Publisher FASB
-URI https://asc.fasb.org/1943274/2147481544/470-10-50-6

Reference 3: http://www.xbrl.org/2003/role/disclosureRef
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-Name Accounting Standards Codification
-Section 50
-Paragraph 1
-Subparagraph (d)
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147477092/405-40-50-1

Reference 4: http://www.xbrl.org/2003/role/disclosureRef
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-Name Accounting Standards Codification
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-Subparagraph (a)(3)
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147477092/405-40-50-1

Reference 5: http://www.xbrl.org/2003/role/disclosureRef
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-Name Accounting Standards Codification
-Section 50
-Paragraph 1
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-URI https://asc.fasb.org/1943274/2147477092/405-40-50-1

Reference 6: http://www.xbrl.org/2003/role/disclosureRef
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Reference 7: http://www.xbrl.org/2003/role/disclosureRef
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Reference 8: http://www.xbrl.org/2003/role/disclosureRef
-Topic 470
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-Publisher FASB
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Reference 9: http://www.xbrl.org/2003/role/disclosureRef
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-Name Accounting Standards Codification
-Section S99
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-Subparagraph (SX 210.4-08(c))
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-URI https://asc.fasb.org/470/tableOfContent

Reference 11: http://www.xbrl.org/2003/role/disclosureRef
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-Publisher FASB
-URI https://asc.fasb.org/1943274/2147482925/835-30-45-2

Reference 12: http://www.xbrl.org/2003/role/disclosureRef
-Topic 470
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-Section 50
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-URI https://asc.fasb.org/1943274/2147481139/470-20-50-1B

Reference 13: http://www.xbrl.org/2003/role/disclosureRef
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-Section 50
-Paragraph 1B
-Subparagraph (g)
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147481139/470-20-50-1B

Reference 14: http://www.xbrl.org/2003/role/disclosureRef
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Reference 15: http://www.xbrl.org/2003/role/disclosureRef
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Reference 16: http://www.xbrl.org/2003/role/disclosureRef
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Reference 17: http://www.xbrl.org/2003/role/disclosureRef
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Reference 18: http://www.xbrl.org/2003/role/disclosureRef
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Reference 19: http://www.xbrl.org/2003/role/disclosureRef
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-Publisher FASB
-URI https://asc.fasb.org/1943274/2147481139/470-20-50-1I

+ Details

Net Income Per Share (Details) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2024	Jun. 30, 2023	Jun. 30, 2024	Jun. 30, 2023
Earnings Per Share [Abstract]
Net income	$ 3,625	$ 50,013	$ 19,746	$ 82,856
Shares used to compute basic net income per share (in shares)	35,697	36,047	35,644	35,952
Dilutive potential common shares
Stock options (in shares)	49	119	66	136
Unvested restricted stock awards (in shares)	236	240	313	402
Shares used to compute diluted net income per share (in shares)	35,982	36,406	36,023	36,490
Basic net income per share (in dollars per share)	$ 0.10	$ 1.39	$ 0.55	$ 2.31
Diluted net income per share (in dollars per share)	$ 0.10	$ 1.37	$ 0.55	$ 2.27
Dilutive securities included in the calculation (in shares)	1,051	1,112	1,204	1,400
Anti-dilutive securities excluded from the calculation (in shares)	1,992	1,041	1,329	611

Consolidated Balance Sheets - USD ($) shares in Thousands, $ in Thousands	Jun. 30, 2024	Dec. 31, 2023
Current assets:
Cash and cash equivalents	$ 74,871	$ 100,490
Accounts receivable, net of allowance of $4,616 and $6,335	97,442	91,139
Prepaid expenses and other current assets	68,534	100,944
Total current assets	240,847	292,573
Property and equipment, net	63,069	64,300
Right-of-use assets	15,392	15,395
Intangible assets, net	164,508	184,396
Goodwill	402,774	383,325
Deferred tax assets, net	23,779	24,874
Other assets	93,497	71,152
Total assets	1,003,866	1,036,015
Current liabilities:
Accounts payable	10,545	9,108
Accrued expenses	96,910	131,443
Contributor royalties payable	65,705	54,859
Deferred revenue	186,522	203,463
Debt	30,000	30,000
Other current liabilities	42,649	23,513
Total current liabilities	432,331	452,386
Deferred tax liability, net	3,744	4,182
Lease liabilities	26,433	29,404
Other non-current liabilities	20,946	22,949
Total liabilities	483,454	508,921
Commitments and contingencies (Note 14)
Stockholders’ equity:
Common stock, $0.01 par value; 200,000 shares authorized; 40,286 and 39,982 shares issued and 35,359 and 35,572 shares outstanding as of June 30, 2024 and December 31, 2023, respectively	402	399
Treasury stock, at cost; 4,927 and 4,410 shares as of June 30, 2024 and December 31, 2023	(248,805)	(228,213)
Additional paid-in capital	441,497	424,229
Accumulated other comprehensive loss	(13,754)	(11,974)
Retained earnings	341,072	342,653
Total stockholders’ equity	520,412	527,094
Total liabilities and stockholders’ equity	$ 1,003,866	$ 1,036,015
Treasury Stock, Common, Shares	4,927	4,410

Stockholders’ Equity and Equity-Based Compensation

6 Months Ended

Jun. 30, 2024

Share-Based Payment Arrangement [Abstract]

Stockholders’ Equity and Equity-Based Compensation

Stockholders’ Equity

Common Stock

The Company issued approximately 273,000 and 194,000 shares of common stock during the three months ended June 30, 2024 and 2023, respectively, related to the exercise of stock options and the vesting of Restricted Stock Units.

Treasury Stock

In June 2023, the Company’s Board of Directors approved a share repurchase program (the “2023 Share Repurchase Program”), providing authorization to repurchase up to $100 million of its common stock.

The Company expects to fund future repurchases, if any, through a combination of cash on hand, cash generated by operations and future financing transactions, if appropriate. Accordingly, the 2023 Share Repurchase Program is subject to the Company having available cash to fund repurchases. Under the 2023 Share Repurchase Program, management is authorized to purchase shares of the Company’s common stock from time to time through open market purchases or privately negotiated transactions at prevailing prices as permitted by securities laws and other legal requirements, and subject to market conditions and other factors.

As of June 30, 2024, the Company has repurchased approximately 4.9 million shares of common stock under the 2023 Share Repurchase Program at an average per-share cost of $50.49. During the three and six months ended June 30, 2024, the Company repurchased approximately 517,000 shares of common stock at an average cost of $39.83 under the 2023 Share Repurchase Program. During the three and six months ended June 30, 2023, the Company repurchased approximately 80,400 shares of its common stock at an average cost of $49.78 under the 2023 Share Repurchase Program. As of June 30, 2024, the Company had $51.2 million of remaining authorization for purchases under the 2023 Share Repurchase Program.

Dividends

The Company declared and paid cash dividends of $0.30 and $0.60 per share of common stock, or $10.7 million and $21.3 million during the three and six months ended June 30, 2024, respectively, and $0.27 and $0.54 per share of common stock, or $9.7 million and $19.4 million, during the three and six months ended June 30, 2023, respectively.

On July 22, 2024, the Company’s Board of Directors declared a quarterly cash dividend of $0.30 per share of outstanding common stock payable on September 12, 2024 to stockholders of record at the close of business on August 29, 2024. Future declarations of dividends are subject to the final determination of the Board of Directors, and will depend on, among other things, the Company’s future financial condition, results of operations, capital requirements, capital expenditure requirements, contractual restrictions, anticipated cash needs, business prospects, provisions of applicable law and other factors the Board of Directors may deem relevant.

Equity-Based Compensation

The Company recognizes stock-based compensation expense for all equity-based compensation awards, including employee Restricted Stock Units and Performance-based Restricted Stock Units (“PRSUs” and, collectively with Restricted Stock Units, “RSUs”) and stock options, based on the fair value of each award on the grant date. Awards granted prior to June 1, 2022 were granted under the Company’s Amended and Restated 2012 Omnibus Equity Incentive Plan (the “2012 Plan”). At the Annual Meeting held on June 2, 2022, the Company’s stockholders approved the 2022 Omnibus Equity Incentive Plan (the “2022 Plan”). Awards granted subsequent to June 2, 2022 were granted under the 2022 Plan. At the Annual Meeting held on June 6, 2024, the Company’s stockholders approved the Amended and Restated 2022 Omnibus Equity Incentive Plan (the “2022 Amended and Restated Plan”). Awards granted subsequent to June 6, 2024 were granted under the 2022 Amended and Restated Plan.


	Three Months Ended June 30,				Six Months Ended June 30,
	2024		2023		2024		2023
Cost of revenue	$	300	$	306	$	524	$	490
Sales and marketing	3,167		2,487		5,178		3,091
Product development	4,171		4,221		6,456		6,669
General and administrative	7,338		7,929		13,968		13,336
Total	$	14,976	$	14,943	$	26,126	$	23,586

For the three and six months ended June 30, 2024 and 2023, substantially all of the Company’s non-cash equity-based compensation expense related to RSUs.

Stock Option Awards

During the six months ended June 30, 2024, no options to purchase shares of its common stock were granted. As of June 30, 2024, there were approximately 299,000 options vested and exercisable with a weighted average exercise price of $34.14.

Restricted Stock Unit Awards

During the six months ended June 30, 2024, the Company had RSU grants, net of forfeitures, of approximately 1,519,000. As of June 30, 2024, there are approximately 2,956,000 non-vested RSUs outstanding with a weighted average grant-date fair value of $53.13. As of June 30, 2024, the total unrecognized non-cash equity-based compensation expense related to the non-vested RSUs was approximately $108.3 million, which is expected to be recognized through 2028.

During the six months ended June 30, 2024 and 2023, shares of common stock with an aggregate value of $8.9 million and $12.3 million were withheld upon vesting of RSUs and paid in connection with related remittance of employee withholding taxes to taxing authorities.

Stockholders’ Equity and Equity-Based Compensation - Narrative (Details) - USD ($)		3 Months Ended		6 Months Ended
	Jul. 22, 2024	Jun. 30, 2024	Jun. 30, 2023	Jun. 30, 2024	Jun. 30, 2023
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Shares issued (in shares)		273,000	194,000
Value remaining for repurchase		$ 51,200,000		$ 51,200,000
Payment of cash dividend (in dollars per share)		$ 0.30	$ 0.27	$ 0.60	$ 0.54
Cash dividend paid		$ 10,700,000	$ 9,700,000	$ 21,300,000	$ 19,400,000
Value of shares withheld				$ 8,859,000	14,545,000
Subsequent Event
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Quarterly cash dividend, declared (in dollars per share)	$ 0.30
Common Stock
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Authorized purchase amount (up to)			$ 100,000,000		$ 100,000,000
Repurchase of treasury shares (in shares)		517,000	80,400	4,900,000	80,400
Shares repurchased, average per share cost (in dollars per share)		$ 39.83	$ 49.78	$ 50.49	$ 49.78
Employee Stock Option
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Options granted (in shares)				0
Options vested and exercisable (in shares)		299,000		299,000
Options vested and exercisable, weighted average exercise price (in dollars per share)		$ 34.14		$ 34.14
Restricted Stock Units (RSUs)
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Number of shares granted (in shares)				1,519,000
Nonvested shares outstanding (in shares)		2,956,000		2,956,000
Weighted average grant-date fair value (in dollars per share)		$ 53.13		$ 53.13
Unrecognized non-cash equity-based compensation charge		$ 108,300,000		$ 108,300,000
Value of shares withheld				$ 8,900,000	$ 12,300,000

Stockholders’ Equity and Equity-Based Compensation - Summary of Non-cash Equity-based Compensation Expense Included in the Company's Statement of Operations (Details) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2024	Jun. 30, 2023	Jun. 30, 2024	Jun. 30, 2023
Non-cash equity-based compensation expense
Non-cash equity-based compensation	$ 14,976	$ 14,943	$ 26,126	$ 23,586
Cost of revenue
Non-cash equity-based compensation expense
Non-cash equity-based compensation	300	306	524	490
Sales and marketing
Non-cash equity-based compensation expense
Non-cash equity-based compensation	3,167	2,487	5,178	3,091
Product development
Non-cash equity-based compensation expense
Non-cash equity-based compensation	4,171	4,221	6,456	6,669
General and administrative
Non-cash equity-based compensation expense
Non-cash equity-based compensation	$ 7,338	$ 7,929	$ 13,968	$ 13,336

Geographic Information - Narrative (Details) - Geographic concentration	6 Months Ended		12 Months Ended
	Jun. 30, 2024	Jun. 30, 2023	Dec. 31, 2023
United States \| Revenue benchmark
Product Information [Line Items]
Concentration risk percentage	50.00%	43.00%
United States \| Total long-lived tangible assets
Product Information [Line Items]
Concentration risk percentage	67.00%		68.00%
IRELAND \| Total long-lived tangible assets
Product Information [Line Items]
Concentration risk percentage	22.00%		21.00%

Goodwill and Intangible Assets

6 Months Ended

Jun. 30, 2024

Goodwill and Intangible Assets Disclosure [Abstract]

Goodwill and Intangible Assets

Goodwill

The Company’s goodwill balance is attributable to its Content reporting unit and is tested for impairment annually on October 1 or upon a triggering event. No triggering events were identified during the six months ended June 30, 2024.

The following table summarizes the changes in the carrying value of the Company’s goodwill balance during the six months ended June 30, 2024 (in thousands):


	Goodwill
Balance as of December 31, 2023	$	383,325
Goodwill related to acquisitions	19,843
Foreign currency translation adjustment	(394)

Balance as of June 30, 2024	$	402,774

Intangible Assets

Intangible assets, all of which are subject to amortization, consisted of the following as of June 30, 2024 and December 31, 2023 (in thousands):


	As of June 30, 2024							As of December 31, 2023
	Gross Carrying Amount		Accumulated Amortization		Net Carrying Amount		Weighted Average Life (Years)	Gross Carrying Amount		Accumulated Amortization		Net Carrying Amount
Amortizing intangible assets:
Customer relationships	$	89,734	$	(30,471)	$	59,263	12	$	90,350	$	(26,982)	$	63,368
Trade name	38,132		(10,483)		27,649		12	37,937		(9,272)		28,665
Developed technology	116,296		(74,315)		41,981		5	115,914		(61,376)		54,538
Contributor content	67,424		(31,895)		35,529		8	65,628		(27,897)		37,731

Patents	259		(173)		86		18	259		(165)		94

Total	$	311,845	$	(147,337)	$	164,508		$	310,088	$	(125,692)	$	184,396

Amortization expense was $11.0 million and $10.1 million for the three months ended June 30, 2024 and 2023, respectively, and $22.0 million and $19.9 million for the six months ended June 30, 2024 and 2023, respectively. Cost of revenue included amortization expense of $10.0 million and $9.4 million for the three months ended June 30, 2024 and 2023, respectively, and $20.0 million and $18.6 million for the six months ended June 30, 2024 and 2023, respectively. General and administrative expense included amortization expense of $1.0 million and $0.7 million for the three months ended June 30, 2024 and 2023, respectively, and $2.0 million and $1.3 million for the six months ended June 30, 2024 and 2023, respectively.

The Company determined that there was no indication of impairment of the intangible assets for any period presented. Estimated amortization expense is: $16.1 million for the remaining six months of 2024, $27.6 million in 2025, $25.3 million in 2026, $19.1 million in 2027, $16.5 million in 2028, $15.4 million in 2029 and $44.5 million thereafter.

Other (Expense) / Income, net

6 Months Ended

Jun. 30, 2024

Other Nonoperating Income (Expense) [Abstract]

Other (Expense) / Income, net


	Three Months Ended June 30,				Six Months Ended June 30,
	2024		2023		2024		2023
Foreign currency (loss) / gain	$	(1,268)	$	551	$	(1,860)	$	1,662



Interest expense	(561)		(493)		(1,123)		(724)
Interest income, unrealized gain / (loss) on investments, and other	(2,277)		668		2,521		833
Total other (expense) / income, net	$	(4,106)	$	726	$	(462)	$	1,771