Document and Entity Information - shares	9 Months Ended
Document and Entity Information - shares	Sep. 30, 2019	Nov. 04, 2019
Cover [Abstract]
Document Type	10-Q
Amendment Flag	false
Document Period End Date	Sep. 30, 2019
Document Fiscal Year Focus	2019
Document Fiscal Period Focus	Q3
Document Quarterly Report	true
Document Transition Report	false
Title of 12(b) Security	Common Stock, $.01 Par Value
Trading Symbol	FORR
Security Exchange Name	NASDAQ
Entity Registrant Name	FORRESTER RESEARCH, INC.
Entity Central Index Key	0001023313
Current Fiscal Year End Date	--12-31
Entity Filer Category	Accelerated Filer
Entity Small Business	false
Entity Emerging Growth Company	false
Entity Common Stock, Shares Outstanding		18,622,000
Entity Current Reporting Status	Yes
Entity Interactive Data Current	Yes
Entity Shell Company	false
Entity Incorporation, State or Country Code	DE
Entity File Number	000-21433
Entity Tax Identification Number	04-2797789
Entity Address, Address Line One	60 Acorn Park Drive
Entity Address, City or Town	CAMBRIDGE
Entity Address, State or Province	MA
Entity Address, Postal Zip Code	02140
City Area Code	617
Local Phone Number	613-6000

Consolidated Balance Sheets - USD ($) $ in Thousands	Sep. 30, 2019	Dec. 31, 2018
Current Assets:
Cash and cash equivalents	$ 67,629	$ 140,296
Accounts receivable, net	54,612	67,318
Deferred commissions	13,641	15,677
Prepaid expenses and other current assets	14,988	12,802
Total current assets	150,870	236,093
Property and equipment, net	27,609	22,005
Operating lease right-of-use assets	71,093
Goodwill	238,826	85,165
Intangible assets, net	102,915	4,951
Other assets	7,018	5,310
Total assets	598,331	353,524
Current Liabilities:
Accounts payable	1,093	588
Accrued expenses and other current liabilities	70,888	54,065
Current portion of long-term debt	8,594
Deferred revenue	168,008	135,332
Total current liabilities	248,583	189,985
Long-term debt, net of deferred financing fees	123,355
Non-current operating lease liabilities	63,829
Other non-current liabilities	14,912	11,939
Total liabilities	450,679	201,924
Stockholders' Equity (Note 11):
Preferred stock, $0.01 par value Authorized - 500 shares; issued and outstanding - none
Common stock, $0.01 par value Authorized - 125,000 shares Issued - 23,247 and 22,951 shares as of September 30, 2019 and December 31, 2018, respectively Outstanding - 18,616 and 18,320 shares as of September 30, 2019 and December 31, 2018, respectively	232	230
Additional paid-in capital	212,656	200,696
Retained earnings	113,257	127,717
Treasury stock - 4,631 shares as of September 30, 2019 and December 31, 2018, at cost	(171,889)	(171,889)
Accumulated other comprehensive loss	(6,604)	(5,154)
Total stockholders’ equity	147,652	151,600
Total liabilities and stockholders’ equity	$ 598,331	$ 353,524

Consolidated Balance Sheets (Parenthetical) - $ / shares	Sep. 30, 2019	Dec. 31, 2018
Statement Of Financial Position [Abstract]
Preferred stock, par value	$ 0.01	$ 0.01
Preferred stock, shares authorized	500,000	500,000
Preferred stock, shares issued	0	0
Preferred stock, shares outstanding	0	0
Common stock, par value	$ 0.01	$ 0.01
Common stock, shares authorized	125,000,000	125,000,000
Common stock, shares issued	23,247,000	22,951,000
Common stock, shares outstanding	18,616,000	18,320,000
Treasury stock, shares	4,631,000	4,631,000

Consolidated Statements of Operations - USD ($) shares in Thousands, $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2019	Sep. 30, 2018	Sep. 30, 2019	Sep. 30, 2018
Revenues:
Total revenues	$ 108,596	$ 84,890	$ 337,428	$ 258,992
Operating expenses:
Selling and marketing	41,605	31,051	127,655	96,771
General and administrative	13,533	11,192	39,944	32,871
Depreciation	2,121	1,965	6,310	6,056
Amortization of intangible assets	5,654	402	16,963	770
Acquisition and integration costs	2,394	977	7,848	1,306
Total operating expenses	110,236	79,948	345,330	245,311
Income (loss) from operations	(1,640)	4,942	(7,902)	13,681
Interest expense	(1,904)		(6,341)
Other income (expense), net	127	319	(229)	472
Losses on investments, net	(17)	(17)	(61)	(62)
Income (loss) before income taxes	(3,434)	5,244	(14,533)	14,091
Income tax expense (benefit)	(735)	1,294	(73)	4,086
Net income (loss)	$ (2,699)	$ 3,950	$ (14,460)	$ 10,005
Basic income (loss) per common share	$ (0.15)	$ 0.22	$ (0.78)	$ 0.55
Diluted income (loss) per common share	$ (0.15)	$ 0.21	$ (0.78)	$ 0.55
Basic weighted average common shares outstanding	18,546	18,088	18,448	18,030
Diluted weighted average common shares outstanding	18,546	18,433	18,448	18,353
Cash dividends declared per common share		$ 0.20		$ 0.60
Research Services [Member]
Revenues:
Total revenues	$ 74,548	$ 56,332	$ 219,436	$ 166,332
Advisory Services and Events [Member]
Revenues:
Total revenues	34,048	28,558	117,992	92,660
Cost of Services and Fulfillment [Member]
Operating expenses:
Cost of services and fulfillment	$ 44,929	$ 34,361	$ 146,610	$ 107,537

Consolidated Statements of Comprehensive Income (Loss) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2019	Sep. 30, 2018	Sep. 30, 2019	Sep. 30, 2018
Statement Of Income And Comprehensive Income [Abstract]
Net income (loss)	$ (2,699)	$ 3,950	$ (14,460)	$ 10,005
Other comprehensive loss, net of taxes:
Foreign currency translation	(1,614)	(602)	(1,450)	(2,293)
Net change in market value of investments		65		12
Other comprehensive loss	(1,614)	(537)	(1,450)	(2,281)
Comprehensive income (loss)	$ (4,313)	$ 3,413	$ (15,910)	$ 7,724

- Definition

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

+ References + Details

Consolidated Statements of Cash Flows - USD ($) $ in Thousands	9 Months Ended
	Sep. 30, 2019	Sep. 30, 2018
Cash flows from operating activities:
Net income (loss)	$ (14,460)	$ 10,005
Adjustments to reconcile net income (loss) to net cash provided by operating activities:
Depreciation	6,310	6,056
Amortization of intangible assets	16,963	770
Net losses from investments	61	62
Deferred income taxes	(9,257)	(1,305)
Stock-based compensation	8,605	6,191
Operating lease right-of-use asset amortization and impairments	9,647
Amortization of deferred financing fees	720
Amortization of discount on investments		(17)
Foreign currency losses	524	462
Changes in assets and liabilities, net of acquisitions:
Accounts receivable	33,384	31,857
Deferred commissions	2,036	3,716
Prepaid expenses and other current assets	(610)	(68)
Accounts payable	828	19
Accrued expenses and other liabilities	(6,550)	(12,111)
Deferred revenue	6,532	(8,205)
Operating lease liabilities	(9,111)
Net cash provided by operating activities	45,622	37,432
Cash flows from investing activities:
Acquisitions, net of cash acquired	(237,684)	(9,250)
Purchases of property and equipment	(8,362)	(3,161)
Purchases of marketable investments		(31,831)
Proceeds from sales and maturities of marketable investments		33,802
Other investing activity	29
Net cash used in investing activities	(246,017)	(10,440)
Cash flows from financing activities:
Proceeds from borrowings, net of costs	171,275
Payments on borrowings	(40,688)
Payment of debt issuance costs	(857)
Deferred acquisition payments	(2,802)
Dividends paid on common stock		(10,839)
Repurchases of common stock		(9,946)
Proceeds from issuance of common stock under employee equity incentive plans	5,589	11,217
Taxes paid related to net share settlements of stock-based compensation awards	(2,232)	(2,509)
Net cash provided by (used in) financing activities	130,285	(12,077)
Effect of exchange rate changes on cash, cash equivalents and restricted cash	(1,212)	(2,648)
Net change in cash, cash equivalents and restricted cash	(71,322)	12,267
Cash and cash equivalents, beginning of period	140,296	79,790
Cash, cash equivalents and restricted cash, end of period	68,974	92,057
Supplemental disclosure of cash flow information:
Cash paid for interest	5,466
Cash paid for income taxes	$ 3,305	$ 3,263

Interim Consolidated Financial Statements

9 Months Ended

Sep. 30, 2019

Accounting Policies [Abstract]

Interim Consolidated Financial Statements

Note 1 — Interim Consolidated Financial Statements

Basis of Presentation

The accompanying unaudited interim consolidated financial statements have been prepared in accordance with accounting principles generally accepted in the United States of America (“GAAP”) for interim financial information and pursuant to the rules and regulations of the Securities and Exchange Commission (“SEC”) for reporting on Form 10-Q. Accordingly, certain information and footnote disclosures required for complete financial statements are not included herein. The year-end balance sheet data was derived from audited financial statements but does not include all disclosures required by accounting principles generally accepted in the United States of America. It is recommended that these financial statements be read in conjunction with the consolidated financial statements and related notes that appear in the Forrester Research, Inc. (“Forrester”) Annual Report on Form 10-K for the year ended December 31, 2018. In the opinion of management, all adjustments (consisting of normal recurring adjustments) considered necessary for a fair statement of the financial position, results of operations, comprehensive income (loss) and cash flows as of the dates and for the periods presented have been included. The results of operations for the three and nine months ended September 30, 2019 may not be indicative of the results for the year ending December 31, 2019, or any other period.

Fair Value Measurements

The carrying amounts reflected in the Consolidated Balance Sheets for cash and cash equivalents, accounts receivable, accounts payable, and accrued expenses approximate fair value due to their short-term maturities. The Company believes that the carrying amount of its variable-rate borrowings reasonably approximate their fair values because the rates of interest on those borrowings reflect current market rates of interest. See Note 6 – Fair Value Measurements, for the fair value of the Company’s assets and liabilities.

Presentation of Restricted Cash

The following table summarizes the end-of-period cash and cash equivalents from the Company's Consolidated Balance Sheets and the total cash, cash equivalents and restricted cash as presented in the accompanying Consolidated Statements of Cash Flows (in thousands).

	Nine Months Ended September 30,
	2019		2018
Cash and cash equivalents	$	67,629	$	92,057
Restricted cash classified in (1):
Prepaid expenses and other current assets		717		—
Other assets		628		—
Cash, cash equivalents and restricted cash shown in statement of cash flows	$	68,974	$	92,057

(1)	Restricted cash consists primarily of collateral required for letters of credit. The short-term or long-term classification is determined in accordance with the expiration of the underlying lease as the letters of credit are non-cancellable while the leases are in effect.

Adoption of New Accounting Pronouncements

In February 2016, the Financial Accounting Standards Board (FASB) issued Accounting Standards Update (“ASU”) No. 2016-02, Leases (Topic 842). The standard requires lessees to recognize the assets and liabilities from leases on the balance sheet and disclose qualitative and quantitative information about the lease arrangements. Lessor accounting is largely unchanged. Leases are classified as either financing or operating, with classification affecting the pattern of expense recognition in the income statement. In July 2018, the FASB issued ASU 2018-11, Leases (Topic 842): Targeted Improvements, which allowed for an additional adoption method, and for lessors, provides a practical expedient for the separation of lease and non-lease components within a contract.

On January 1, 2019, the Company adopted Topic 842 using the modified retrospective method in which prior periods are not adjusted. Under this method, the cumulative effect of applying the standard is recorded at the date of initial application. Adoption of the standard did not result in the Company recording a cumulative effect adjustment. Adoption of the standard resulted in the recognition of operating lease right-of-use (“ROU”) assets of $53.3 million, operating lease liabilities of $60.8 million and the elimination of deferred rent of $7.5 million on the adoption date. In addition, the Company recorded $10.4 million of operating lease ROU assets and operating lease liabilities on January 3, 2019 as a result of the acquisition of SiriusDecisions (see Note 2 – Acquisitions). Adoption of the standard did not have a material impact on the Company’s results of operations or cash flows.

The Company elected the package of practical expedients permitted under Topic 842 that allows the carry forward of the historical lease classification for all leases that existed as of the adoption date. In addition, the Company elected to exempt short term leases from recognition of ROU assets and lease liabilities and elected not to separate lease and non-lease components within its leases.

The Company determines whether an arrangement is a lease at inception of the arrangement. The Company accounts for a lease when it has the right to control the leased asset for a period of time while obtaining substantially all of the assets’ economic benefits. All of the Company’s leases are operating leases, the majority of which are for office space. Operating lease ROU assets and non-current operating lease liabilities are included as individual line items on the Consolidated Balance Sheets while short-term operating lease liabilities are recorded within accrued expenses and other current liabilities.

Operating lease ROU assets and operating lease liabilities are recognized based on the present value of the future minimum lease payments over the lease term at commencement date. The discount rate used to determine the present value of the lease payments is the Company’s incremental borrowing rate based on the information available at lease inception, as generally an implicit rate in the lease is not readily determinable. An operating lease ROU asset includes all lease payments, lease incentives and initial direct costs incurred. Some of the Company’s leases include options to extend or terminate the lease. When determining the lease term, these options are included in the measurement and recognition of the Company’s ROU assets and lease liabilities when it is reasonably certain that the Company will exercise the option. The Company considers various economic factors when making this determination, including, but not limited to, the significance of leasehold improvements incurred in the office space, the difficulty in replacing the asset, underlying contractual obligations, or specific characteristics unique to a particular lease.

Subsequent to entering into a lease arrangement, the Company reassesses the certainty of exercising options to extend or terminate a lease. When it becomes reasonably certain that the Company will exercise an option, the Company accounts for the change in circumstances as a lease modification, which results in the remeasurement of the ROU asset and lease liability as of the modification date.

Lease expense for operating leases is recognized on a straight-line basis over the lease term based on the total lease payments (which include initial direct costs and lease incentives). The expense is included in operating expenses in the Consolidated Statements of Operations.

The Company’s lease agreements generally contain lease and non-lease components. Non-lease components are fixed charges stated in an agreement and primarily include payments for parking at the leased office facilities. The Company accounts for the lease and fixed payments for non-lease components as a single lease component under Topic 842, which increases the amount of the ROU assets and lease liabilities.

Most of the Company’s lease agreements also contain variable payments, primarily maintenance-related costs, which are expensed as incurred and not included in the measurement of the ROU assets and lease liabilities.

The Company incurred $0.1 million and $0.4 million of ROU asset impairments during the three and nine months ended September 30, 2019, respectively, related to facility leases from the SiriusDecisions, Inc. acquisition.

Leases with an initial term of twelve months or less are not recorded on the Consolidated Balance Sheets and are not material.

The components of lease expense were as follows (in thousands):

	Three Months Ended			Nine Months Ended
	September 30, 2019			September 30, 2019
Operating lease cost	$	3,851		$	11,215
Short-term lease cost		80			420
Variable lease cost		1,197			3,888
Sublease income		(54	)		(121	)
Total lease cost	$	5,074		$	15,402

Additional lease information is summarized in the following table (in thousands, except lease term and discount rate):

	Nine Months Ended
	September 30, 2019
Cash paid for amounts included in the measurement of operating lease liabilities	$	9,111
Operating right-of-use assets obtained in exchange for lease obligations	$	17,770
Weighted-average remaining lease term - operating leases (years)		6.6
Weighted-average discount rate - operating leases		5.1	%

Future minimum lease payments under non-cancellable leases as of September 30, 2019 are as follows (in thousands):

2019	$	2,789
2020		15,546
2021		13,772
2022		13,321
2023		13,025
Thereafter		36,443
Total lease payments		94,896
Less imputed interest		(14,889	)
Present value of lease liabilities	$	80,007

Lease balances as of September 30, 2019 are as follows (in thousands):

Operating lease right-of-use assets	$	71,093

Short-term operating lease liabilities (1)	$	16,178
Non-current operating lease liabilities		63,829
Total operating lease liabilities	$	80,007

(1)	Included in accrued expenses and other current liabilities

The Company’s leases do not contain residual value guarantees, material restrictions or covenants, and all sublease transactions are not material.

Lease Disclosures Under Prior GAAP

Under prior GAAP, as of December 31, 2018, the Company’s future contractual obligations for operating leases were as follows (in thousands):

2019	$	12,498
2020		11,762
2021		10,145
2022		8,552
2023		7,856
Thereafter		22,222
Total minimum lease payments	$	73,035

Acquisitions

9 Months Ended

Sep. 30, 2019

Business Combinations [Abstract]

Acquisitions

Note 2 — Acquisitions

The Company accounts for business combinations in accordance with the acquisition method of accounting as prescribed by Accounting Standards Codification (“ASC”) 805, Business Combinations. The acquisition method of accounting requires the Company to record the assets and liabilities acquired based on their estimated fair values as of the acquisition date, with any excess of the consideration transferred over the estimated fair value of the net assets acquired, including identifiable intangible assets, to be recorded to goodwill.

GlimpzIt

On June 22, 2018, Forrester acquired substantially all of the assets of SocialGlimpz, Inc. (“GlimpzIt”), an artificial intelligence and machine-learning provider based in San Francisco. The acquisition is part of Forrester's plan to build a real-time customer experience or CX cloud solution, integrating a range of inputs to help companies monitor and improve customer experience. Forrester intends to deploy the GlimpzIt technology to extend the analytics engine in Forrester’s planned real-time CX cloud. The acquisition of GlimpzIt was determined to be an acquisition of a business under the provisions of ASC 805. The total purchase price was approximately $1.3 million, which was paid in cash on the acquisition date, and has been allocated as $0.7 million of goodwill and $0.6 million of an intangible asset representing technology, which is being amortized over its estimated useful life of five years. The acquired working capital was insignificant. Forrester may also be required to pay an additional $0.3 million in cash (of which $0.1 million was paid in 2019), contingent on the achievement of certain employment conditions by key employees, which is being recognized as compensation expense over the related service period of two years. Goodwill was allocated to the Product segment and is deductible for income tax purposes. Goodwill is attributable to the acquired workforce as well as future synergies.

FeedbackNow

On July 6, 2018, Forrester acquired 100% of the issued and outstanding shares of S.NOW SA, a Switzerland-based business that operates as FeedbackNow. FeedbackNow is a maker of physical buttons and monitoring software that companies deploy to measure, analyze, and improve customer experience. The acquisition is part of Forrester's plan to build a real-time CX cloud solution. FeedbackNow provides a high-volume input source for the real-time CX cloud solution. The Company paid $8.4 million on the closing date and, during the nine months ended September 30, 2019, the Company paid an additional $0.8 million for the acquired working capital. An additional $1.5 million “holdback” is payable during a two-year period from the closing date and is subject to typical indemnity provisions from the seller. The Company paid $0.5 million of this during the nine months ended September 30, 2019. In addition, the sellers may earn up to CHF 4.2 million ($4.3 million at September 30, 2019) based on the financial performance of FeedbackNow during the two-year period following the closing date, with up to $1.8 million and $2.5 million payable during 2019 and 2020, respectively, if the financial targets are met. In the third quarter of 2019, the first-year financial targets were met and as such $1.8 million was paid to the sellers during the same period. The remaining range of undiscounted amounts that could be payable under this arrangement for the second-year financial targets is zero to $2.5 million. The fair value of this contingent consideration arrangement as of the acquisition date was $3.4 million, which was recognized as purchase price. Measurement period adjustments were insignificant during 2019.

SiriusDecisions, Inc.

On January 3, 2019, Forrester acquired 100% of the issued and outstanding shares of SiriusDecisions, Inc. (“SiriusDecisions”), a privately-held company based in Wilton, Connecticut with approximately 350 employees globally. Forrester believes that the combination of its expertise in strategy with SiriusDecisions’ focus on operational excellence will create additional market opportunities for the Company, including cross-selling services to the respective client bases, extending SiriusDecisions’ platform, methodologies, data, and best-practices tools into new roles, and accelerating international and industry growth. The acquisition of SiriusDecisions was determined to be an acquisition of a business under the provisions of ASC 805.

Pursuant to the terms of the merger agreement, the Company paid $246.8 million at closing after certain transaction expense adjustments, which was subject to a working capital adjustment, and included the purchase price of $245.0 million plus an estimate of cash acquired and reduced by an estimate of certain working capital items. At the time of the merger, each vested SiriusDecisions stock option was converted into the right to receive the excess of the per share merger consideration over the exercise price of such stock option. All unvested SiriusDecisions stock options were cancelled without payment of any consideration.

Total Consideration Transferred

The following table summarizes the fair value of the aggregate consideration paid for SiriusDecisions (in thousands):

Cash paid at close (1)	$	246,801
Working capital adjustment (2)		(1,259	)
Total	$	245,542

(1)	The cash paid at close represents the gross contractual amount paid. Net cash paid, which accounts for the cash acquired of $7.9 million and the working capital adjustment of $1.3 million, was $237.7 million and is reflected as an investing activity in the Consolidated Statements of Cash Flows.

(2)	Amount represents the final amount receivable from the sellers based upon working capital as defined, which was received in the third quarter of 2019.

The following table summarizes the preliminary allocation of the purchase price to the fair value of the assets acquired and liabilities assumed for the acquisition of SiriusDecisions (in thousands):

Assets:
Cash and cash equivalents	$	7,858
Accounts receivable		19,237
Prepaids and other current assets		3,660
Fixed assets		4,169
Goodwill (1) (2)		154,906
Acquired intangible assets (3)		115,000
Other assets		265
Total assets		305,095
Liabilities:
Accounts payable and accrued liabilities		8,924
Deferred revenue		26,143
Deferred tax liability (2)		22,357
Long-term deferred revenue		1,037
Other long-term liabilities		1,092
Total liabilities		59,553
Net assets acquired	$	245,542

(1)	Goodwill represents the expected revenue and cost synergies from combining SiriusDecisions with Forrester as well as the value of the acquired workforce.

(2)	During the third quarter of 2019, the Company recorded a $1.8 million measurement period adjustment related to deferred taxes. The adjustment reduced the allocation of the purchase price to both deferred tax liabilities and goodwill.

(3)

All of the acquired intangible assets are finite-lived. The determination of the fair value of the finite-lived intangible assets required management judgment and the consideration of a number of factors. In determining the fair values, management primarily relied on income valuation methodologies, in particular discounted cash flow models. The discounted cash flow models required the use of estimates, including projected cash flows related to the particular asset, the useful lives of the particular assets, the selection of royalty and discount rates used in the models and certain published industry benchmark data. In establishing the estimated useful lives of the acquired intangible assets, the Company relied primarily on the duration of the cash flows utilized in the valuation model. Of the $115.0 million assigned to acquired intangible assets, $13.0 million was assigned to the technology asset class with useful lives of 1 to 8 years (with a weighted average amortization period of 3.2 years), $13.0 million to backlog with a useful life of 2.0 years, $77.0 million to customer relationships with a useful life of 9.25 years, and $12.0 million to trade names with a useful life of 15.5 years. The weighted-average amortization period for the total acquired intangible assets is 8.4 years. Amortization of acquired intangible assets was $5.4 million and $16.3 million for the three and nine months ended September 30, 2019, respectively.

The allocation of the purchase price for SiriusDecisions is preliminary with respect to the valuation of acquired intangible assets, deferred taxes, and goodwill. The Company expects to obtain the remainder of the information to complete the allocation of purchase price by the end of 2019.

The Company’s financial statements include the operating results of SiriusDecisions beginning on January 3, 2019, the date of the acquisition. SiriusDecision’s operating results and the related goodwill are being reported as its own operating segment (refer to Note 12 – Operating Segments). The goodwill is not deductible for income tax purposes. The acquisition of SiriusDecisions added approximately $16.8 million and $59.5 million of additional revenue and $22.2 million and $79.2 million of direct expenses, including intangible amortization, for the three and nine months ended September 30, 2019, respectively. Had the Company acquired SiriusDecisions in prior periods, the Company’s operating results would have been materially different, and as a result the following unaudited pro forma financial information is presented as if SiriusDecisions had been acquired by the Company on January 1, 2018 (in thousands):

	Three Months Ended						Nine Months Ended
	September 30,						September 30,
	2019			2018			2019			2018
Pro forma total revenue	$	110,224		$	101,848		$	347,751		$	318,094
Pro forma net loss	$	(1,092	)	$	(2,511	)	$	(5,359	)	$	(9,951	)

The pro forma results have been prepared in accordance with U.S. GAAP and include the following pro forma adjustments for the three and nine months ended September 30, 2018: (1) an increase in interest expense and amortization of debt issuance costs related to the financing of the SiriusDecisions acquisition (refer to Note 4 – Debt for further information on the Company’s borrowings related to the acquisition); (2) a decrease in revenue as a result of the fair value adjustment to deferred revenue; and (3) an adjustment for depreciation and amortization expenses as a result of the preliminary purchase price allocation for finite-lived intangible assets and property and equipment. In addition, the nine months ended September 30, 2018 has been adjusted to increase operating costs to recognize acquisition costs incurred upon the close of the acquisition. The three and nine months ended September 30, 2019 have been adjusted to add the year two amounts, and eliminate the year one amounts, for the fair value of deferred revenue, depreciation and amortization expense and interest expense. In addition, the nine months ended September 30, 2019 have been adjusted to eliminate the acquisition costs incurred upon the close of the acquisition.

The Company recognized $1.7 million of acquisition costs for the three months ended March 31, 2019 and the nine months ended September 30, 2019 related to the SiriusDecisions acquisition. The costs primarily consisted of investment banker fees and other professional services costs and are included in acquisition and integration costs within the Consolidated Statements of Operations.

Goodwill and Intangible Assets

9 Months Ended

Sep. 30, 2019

Goodwill And Intangible Assets Disclosure [Abstract]

Goodwill and Intangible Assets

Note 3 — Goodwill and Intangible Assets

Goodwill

The change in the carrying amount of goodwill for the nine months ended September 30, 2019 is summarized as follows (in thousands):

	Total
Balance at December 31, 2018	$	85,165
Acquisition		154,906
Translation adjustments		(1,245	)
Balance at September 30, 2019	$	238,826

As of September 30, 2019, the Company had no accumulated goodwill impairment losses.

Finite-Lived Intangible Assets

During the nine months ended September 30, 2019, $115.0 million of intangible assets were added as a result of the acquisition of SiriusDecisions.

The carrying values of finite-lived intangible assets are as follows (in thousands):

	September 30, 2019
	Gross				Net
	Carrying		Accumulated		Carrying
	Amount		Amortization		Amount
Amortizable intangible assets:
Customer relationships	$	109,551	$	37,784	$	71,767
Technology		16,577		5,347		11,230
Backlog		13,000		4,875		8,125
Trade name		12,438		645		11,793
Total	$	151,566	$	48,651	$	102,915

	December 31, 2018
	Gross				Net
	Carrying		Accumulated		Carrying
	Amount		Amortization		Amount
Amortizable intangible assets:
Customer relationships	$	32,823	$	31,604	$	1,219
Technology		3,610		295		3,315
Trade name		443		26		417
Total	$	36,876	$	31,925	$	4,951

Estimated intangible asset amortization expense as of September 30, 2019 is as follows (in thousands):

Year ending December 31, 2019 (remainder)	$	5,653
Year ending December 31, 2020		18,822
Year ending December 31, 2021		12,322
Year ending December 31, 2022		10,984
Year ending December 31, 2023		10,812
Thereafter		44,322
Total	$	102,915

Debt

9 Months Ended

Sep. 30, 2019

Debt Disclosure [Abstract]

Debt

Note 4 — Debt

In connection with the acquisition of SiriusDecisions, the Company entered into a $200.0 million Credit Agreement on January 3, 2019 (the “Closing Date”). The Credit Agreement provides for: (1) senior secured term loans in an aggregate principal amount of $125.0 million (the “Term Loans”) and (2) a senior secured revolving credit facility in an aggregate principal amount of $75.0 million (the “Revolving Credit Facility” and, together with the Term Loans, the “Facilities”). On the Closing Date, the full $125.0 million of the Term Loans and $50.0 million of the Revolving Credit Facility were used to finance a portion of the acquisition of SiriusDecisions and to pay certain fees, costs and expenses incurred in connection with the acquisition and the Facilities. The Facilities are scheduled to mature on January 3, 2024.

The Facilities permit the Company to borrow incremental term loans and/or increase commitments under the Revolving Credit Facility in an aggregate principal amount up to $50.0 million, subject to approval by the administrative agent and certain customary terms and conditions.

The Facilities can be repaid early, in part or in whole, at any time and from time to time, without premium or penalty, other than customary breakage reimbursement requirements for London Interbank Offering Rate (“LIBOR”) based loans. The Term Loans must be prepaid with net cash proceeds of (i) certain debt incurred or issued by Forrester and its restricted subsidiaries and (ii) certain asset sales and condemnation or casualty events, subject to certain reinvestment rights.

Amounts borrowed under the Facilities bear interest, at Forrester’s option, at a rate per annum equal to either (i) LIBOR for the applicable interest period plus a margin that is between 1.75% and 2.50% based on Forrester’s consolidated total leverage ratio or (ii) the alternate base rate plus a margin that is between 0.75% and 1.50% based on Forrester’s consolidated total leverage ratio. In addition, the Company will pay a commitment fee that is between 0.25% and 0.35% per annum, based on Forrester’s consolidated total leverage ratio, on the average daily unused portion of the Revolving Credit Facility, payable quarterly, in arrears.

The Term Loans require repayment of the outstanding principal balance in quarterly installments each year, commencing on March 31, 2019 with the balance repayable on the maturity date, subject to customary exceptions. The amount payable in each year as of September 30, 2019 is set forth in the table below (in thousands):

2019 (remainder)	$	1,563
2020		9,375
2021		12,500
2022		12,500
2023		15,625
Thereafter		68,750
Total remaining principal payments	$	120,313

The Revolving Credit Facility does not require repayment prior to maturity, subject to customary exceptions. In addition to financing the acquisition, proceeds from the Revolving Credit Facility can also be used towards working capital and general corporate purposes. Up to $5.0 million of the Revolving Credit Facility is available for the issuance of letters of credit, and any drawings under the letters of credit must be reimbursed within one business day.

Forrester incurred $1.8 million in costs related to the Revolving Credit Facility, which are recorded in other assets on the Consolidated Balance Sheets. These costs are being amortized as interest expense on a straight-line basis over the five-year term of the Revolving Credit Facility. Forrester incurred $2.8 million in costs related to the Term Loans, which are recorded as a reduction to the face value of long-term debt on the Consolidated Balance Sheets. These costs are being amortized as interest expense utilizing the effective interest rate method.

Outstanding Borrowings

The following table summarizes the Company’s total outstanding borrowings as of the dates indicated (in thousands):

Description:	September 30, 2019			December 31, 2018
Term loan facility (1)	$	120,313		$	—
Revolving credit facility (1) (2)		14,000			—
Principal amount outstanding (3)		134,313			—
Less: Deferred financing fees		(2,364	)		—
Net carrying amount	$	131,949		$	—

(1)

The contractual annualized interest rate as of September 30, 2019 on the Term loan facility was 4.375%, which consisted of LIBOR of 2.125% plus a margin of 2.25%, and the annualized interest rate on the Revolving Credit Facility was 4.3125%, which consisted of LIBOR of 2.0625% plus a margin of 2.25%.

(2)	The Company had $61.0 million of available borrowing capacity on the revolver (not including the expansion feature) as of September 30, 2019.

(3)	The weighted average annual effective rates on the Company's total debt outstanding for the three and nine months ended September 30, 2019, were 4.53% and 4.88%, respectively.

The Facilities contain certain customary restrictive loan covenants, including among others, financial covenants that apply a maximum leverage ratio and minimum fixed charge coverage ratio. The negative covenants limit, subject to various exceptions, the Company’s ability to incur additional indebtedness, create liens on assets, merge, consolidate, liquidate or dissolve any part of the Company, sell assets, pay dividends or other payments in respect to capital stock, change fiscal year, or enter into certain transactions with affiliates and subsidiaries. The Company was in full compliance with the covenants as of September 30, 2019. The Facilities also contain customary events of default, representations, and warranties.

All obligations under the Facilities are unconditionally guaranteed by each of the Company’s existing and future, direct and indirect material wholly-owned domestic subsidiaries, other than certain excluded subsidiaries, and are collateralized by a first priority lien on substantially all tangible and intangible assets including intellectual property and all of the capital stock of the Company and its subsidiaries (limited to 65% of the voting equity of certain subsidiaries).

Accumulated Other Comprehensive Loss

9 Months Ended

Sep. 30, 2019

Equity [Abstract]

Accumulated Other Comprehensive Loss

Note 5 — Accumulated Other Comprehensive Loss

The components of accumulated other comprehensive loss are as follows (in thousands):

				Total
	Cumulative			Accumulated
	Translation			Other Comprehensive
	Adjustment			Loss
Balance at January 1, 2019	$	(5,154	)	$	(5,154	)
Foreign currency translation		(1,450	)		(1,450	)
Balance at September 30, 2019	$	(6,604	)	$	(6,604	)

							Total
	Net Unrealized			Cumulative			Accumulated
	Loss on Marketable			Translation			Other Comprehensive
	Investments			Adjustment			Loss
Balance at January 1, 2018	$	(115	)	$	(1,897	)	$	(2,012	)
Reclassification of stranded tax effects from tax reform		(26	)		—			(26	)
Foreign currency translation		—			(2,293	)		(2,293	)
Unrealized gain on investments, net of tax of $4		12			—			12
Balance at September 30, 2018	$	(129	)	$	(4,190	)	$	(4,319	)

				Total
	Cumulative			Accumulated
	Translation			Other Comprehensive
	Adjustment			Loss
Balance at July 1, 2019	$	(4,990	)	$	(4,990	)
Foreign currency translation		(1,614	)		(1,614	)
Balance at September 30, 2019	$	(6,604	)	$	(6,604	)

							Total
	Net Unrealized			Cumulative			Accumulated
	Loss on Marketable			Translation			Other Comprehensive
	Investments			Adjustment			Loss
Balance at July 1, 2018	$	(194	)	$	(3,588	)	$	(3,782	)
Foreign currency translation		—			(602	)		(602	)
Unrealized gain on investments, net of tax of $21		65			—			65
Balance at September 30, 2018	$	(129	)	$	(4,190	)	$	(4,319	)

Fair Value Measurements

9 Months Ended

Sep. 30, 2019

Fair Value Disclosures [Abstract]

Fair Value Measurements

Note 6 — Fair Value Measurements

The Company measures certain financial assets at fair value on a recurring basis, including cash equivalents, available-for-sale securities and any contingent purchase price related to acquisitions. The fair values of these financial assets have been classified as Level 1, 2 or 3 within the fair value hierarchy as described in the accounting standards for fair value measurements.

Level 1 — Fair value based on quoted prices in active markets for identical assets or liabilities.

Level 2 — Fair value based on inputs other than Level 1 inputs that are observable, either directly or indirectly, such as quoted prices for similar assets or liabilities; quoted prices in markets that are not active; or other inputs that are observable or can be corroborated by observable market data for substantially the full term of the assets or liabilities.

Level 3 — Fair value based on unobservable inputs that are supported by little or no market activity and such inputs are significant to the fair value of the assets or liabilities.

During the nine months ended September 30, 2019 and 2018, the Company did not transfer assets or liabilities between levels of the fair value hierarchy. The following table represents the Company’s fair value hierarchy for its financial assets and liabilities that are measured at fair value on a recurring basis (in thousands):

	As of September 30, 2019
	Level 1		Level 2		Level 3			Total
Assets:
Money market funds (1)	$	5,367	$	—	$	—		$	5,367
Total Assets:	$	5,367	$	—	$	—		$	5,367

Liabilities
Contingent purchase price (2)	$	—	$	—	$	(2,443	)	$	(2,443	)
Total Liabilities:	$	—	$	—	$	(2,443	)	$	(2,443	)

	As of December 31, 2018
	Level 1		Level 2		Level 3		Total
Assets:
Money market funds (1)	$	255	$	—	$	—

Consolidated Statements of Cash Flows (Parenthetical) $ in Millions	9 Months Ended
	Sep. 30, 2019 USD ($)
Statement Of Cash Flows [Abstract]
Non-cash financing activities, debt issuance costs	$ 3.7