Summary of Significant Accounting Policies (Tables)

6 Months Ended

Jul. 01, 2022

Accounting Policies [Abstract]

Summary of IT Solutions and Services and Non-Strategic Technology Services as Percentage of Total Revenue

The segment revenue for the quarter and two quarters ended July 1, 2022 and July 2, 2021 was as follows:

For the Quarter Ended:											Year-over-Year
(amounts in thousands)	July 1, 2022					July 2, 2021					Change
North America IT Solutions and Services		24.6	%	$	20,339		18.2	%	$	16,762		21.3	%
Europe IT Solutions and Services		44.9	%		37,160		47.8	%		44,054		(15.6	)%
Non-Strategic Technology Services		30.5	%		25,260		34.0	%		31,348		(19.4	)%
Total		100.0	%	$	82,759		100.0	%	$	92,164		(10.2	)%

For the Two Quarters Ended:											Year-over-Year
(amounts in thousands)	July 1, 2022					July 2, 2021					Change
North America IT Solutions and Services		23.7	%	$	40,773		18.6	%	$	35,216		15.8	%
Europe IT Solutions and Services		46.2	%		79,638		47.6	%		90,061		(11.6	)%
Non-Strategic Technology Services		30.1	%		51,765		33.8	%		64,016		(19.1	)%
Total		100.0	%	$	172,176		100.0	%	$	189,293		(9.0	)%

Revenue by Vertical Market as Percentage of Total Revenue

The Company’s revenue by vertical market as a percentage of total revenue for the quarter and two quarters ended July 1, 2022 and July 2, 2021 was as follows:

	For the Quarter Ended						For the Two Quarters Ended
	July 1, 2022			July 2, 2021			July 1, 2022			July 2, 2021
Technology service providers		24.2	%		28.9	%		23.9	%		28.6	%
Healthcare		17.6	%		14.5	%		17.5	%		15.0	%
Financial services		15.3	%		17.5	%		15.8	%		17.4	%
Manufacturing		15.2	%		12.7	%		14.5	%		12.6	%
Energy		6.6	%		5.9	%		5.9	%		5.7	%
General markets		21.1	%		20.5	%		22.4	%		20.7	%
Total		100.0	%		100.0	%		100.0	%		100.0	%

Revenue by Contract Type

The Company’s revenue from contracts accounted for under time-and-material, progress billing and percentage-of-completion methods as a percentage of consolidated revenue for the quarter and two quarters ended July 1, 2022 and July 2, 2021 was as follows:

	For the Quarter Ended						For the Two Quarters Ended
	July 1, 2022			July 2, 2021			July 1, 2022			July 2, 2021
Time-and-material		77.7	%		79.2	%		77.6	%		79.3	%
Progress billing		17.7	%		18.7	%		18.1	%		18.4	%
Percentage-of-completion		4.6	%		2.1	%		4.3	%		2.3	%
Total		100.0	%		100.0	%		100.0	%		100.0	%

Schedule of Revenue by Geographic Location

The Company recorded revenue in the quarter and two quarters ended July 1, 2022 and July 2, 2021 as follows:

For the Quarter Ended:	July 1, 2022					July 2, 2021					Year-over-Year Change
(amounts in thousands)
North America		54.4	%	$	45,042		51.0	%	$	47,002		(4.2	)%
Europe		45.6	%		37,717		49.0	%		45,162		(16.5	)%
Total		100.0	%	$	82,759		100.0	%	$	92,164		(10.2	)%

For the Two Quarters Ended:	July 1, 2022					July 2, 2021					Year-over-Year Change
(amounts in thousands)
North America		53.0	%	$	91,304		51.2	%	$	96,854		(5.7	)%
Europe		47.0	%		80,872		48.8	%		92,439		(12.5	)%
Total		100.0	%	$	172,176		100.0	%	$	189,293		(9.0	)%

Schedule of Property, Equipment and Capitalized Software

Property, equipment and capitalized software at July 1, 2022 and December 31, 2021 were recorded as follows:     

(amounts in thousands)	July 1, 2022			December 31, 2021
Property, equipment and capitalized software	$	14,097		$	15,628
Accumulated depreciation and amortization		(9,721	)		(10,386	)
Property, equipment and capitalized software, net	$	4,376		$	5,242

Schedule of Capitalized Software Costs

The Company capitalizes software projects developed for commercial use. The change in the Company’s capitalized software cost balance during the quarter and two quarters ended July 1, 2022 and July 2, 2021 was as follows:

	For the Quarter Ended						For the Two Quarters Ended
(amounts in thousands)	July 1, 2022			July 2, 2021			July 1, 2022			July 2, 2021
Capitalized software, beginning balance	$	1,573		$	2,423		$	1,607		$	2,397
Foreign currency translation		(89	)		(7	)		(123	)		19
Capitalized software	$	1,484		$	2,416		$	1,484		$	2,416

Schedule of Amortization Expense and Accumulated Amortization

Amortization expense and accumulated amortization for these projects for the quarter and two quarters ended July 1, 2022 and July 2, 2021 are as follows:

	For the Quarter Ended				For the Two Quarters Ended
(amounts in thousands)	July 1, 2022		July 2, 2021		July 1, 2022		July 2, 2021
Accumulated amortization, beginning balance	$	1,050	$	1,415	$	978	$	1,280
Amortization expense		34		118		106		253
Accumulated amortization	$	1,084	$	1,533	$	1,084	$	1,533

Summary of Changes in Carrying Amount of Goodwill

The changes in the carrying amount of goodwill for the two quarters ended July 1, 2022 are as follows:

(amounts in thousands)
Balance at December 31, 2021	$	19,676
Foreign currency translation		(1,572	)
Balance at July 1, 2022	$	18,104

Summary of Acquired Intangible Assets

Acquired intangible assets at July 1, 2022 consist of the following:

(amounts in thousands)	Estimated Economic Life	Gross Carrying Amount		Accumulated Amortization			Foreign Currency Translation			Net Carrying Amount
Trademarks	2 years	$	1,532	$	(1,346	)	$	(186	)	$	—
Technology	10 years		591		(129	)		(38	)		424
Customer relationships	7-13 years		10,496		(3,315	)		(1,386	)		5,795
Total		$	12,619	$	(4,790	)	$	(1,610	)	$	6,219

Acquired intangible assets at December 31, 2021 consist of the following:

(amounts in thousands)	Estimated Economic Life	Gross Carrying Amount		Accumulated Amortization			Foreign Currency Translation			Net Carrying Amount
Trademarks	2 years	$	1,532	$	(1,454	)	$	(70	)	$	8
Technology	10 years		591		(110	)		10			491
Customer relationships	7-13 years		10,496		(3,121	)		(594	)		6,781
Total		$	12,619	$	(4,685	)	$	(654	)	$	7,280

Summary of Estimated Amortization Expense

Estimated amortization expense for the remainder of 2022, the five succeeding years, and thereafter is as follows:

Year	Annual Amortization
(amounts in thousands)
2022 (remaining)	$	472
2023		943
2024		943
2025		943
2026		943
2027		551
Thereafter		1,424
Total	$	6,219