Income Taxes |
6 Months Ended |
|---|---|
Jun. 30, 2025 | |
| Income Tax Disclosure [Abstract] | |
| Income Taxes | 13. Income Taxes Our quarterly tax provision and the estimated annual effective tax rate are estimates based on several factors, including changes in pre-tax income (or loss), the mix of jurisdictions to which such income relates, discrete items (such as windfalls or shortfalls from stock-based compensation) in the period, which are offset with our valuation allowance. Income tax provision (benefit) was $5.6 million and $(10.4) million for the three months ended June 30, 2025 and 2024, respectively, and income tax provision (benefit) was $9.5 million and $(6.4) million for the six months ended June 30, 2025 and 2024, respectively. The change in income taxes for the three and six months ended June 30, 2025, compared to the same periods in the prior year, is primarily due to a tax benefit of $14.3 million generated from the Device42 acquisition in the prior year, and higher tax expense due to higher foreign profits before tax this year. We continue to maintain a full valuation allowance against our U.S. federal and state deferred tax assets. While we have seen improvements in profitability, we will continue to evaluate all available positive and negative evidence in future periods to determine whether a release of the valuation allowance is warranted.
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