v3.25.4
Income Taxes (Tables)
 12 Months Ended
Dec. 31, 2025
Income Tax Disclosure [Abstract]  
Schedule of Loss Before Provision for (Benefit from) Income Taxes
Loss before provision for (benefit from) income taxes consisted of the following for the years ended December 31, 2025, 2024, and 2023 (in thousands):
Year Ended December 31,
202520242023
United States$(420,193)$(517,547)$(900,325)
Foreign24,995 (149,586)102,480 
Total$(395,198)$(667,133)$(797,845)
Schedule of Components of Provision for Income Taxes
The components of the provision for income taxes consists of the following for the years ended December 31, 2025, 2024, and 2023 (in thousands):
Year Ended December 31,
202520242023
Current:
Federal$1,504 $4,063 $3,393 
State(308)1,022 584 
Foreign27,249 17,748 29,502 
Total current tax expense28,445 22,833 33,479 
Deferred:
Federal3,406 (421)5,184 
State— 861 (3,749)
Foreign(25,556)(26,119)(6,437)
Total deferred tax benefit(22,150)(25,679)(5,002)
Total tax provision (benefit)$6,295 $(2,846)$28,477 
Schedule of Income Tax Provision for (Benefit from) Reconciliation
Reconciliations of the income tax provision at the U.S. federal statutory tax rate to the provision for (benefit from) income taxes for the year ended December 31, 2025, is as follows (in thousands, except percentages):
Year Ended December 31, 2025
$
%
U.S. federal statutory tax rate$(82,992)21.00 %
Changes in income taxes resulting from:
State and local income taxes, net of federal benefit (1)
(308)0.08 %
Foreign tax effects
Israel
Incentive tax rate15,089 (3.82)%
Other(4,905)1.24 %
Denmark
Changes in valuation allowance(16,142)4.08 %
Other(2,357)0.60 %
United Kingdom
Foreign currency exchange5,695 (1.44)%
Other(11,093)2.81 %
Other foreign jurisdictions13,430 (3.41)%
Effect of changes in tax laws or rates enacted in the current period— — %
Effect of cross-border tax laws1,323 (0.33)%
Tax Credits
Research & Development Credits(7,146)1.81 %
Changes in valuation allowances104,386 (26.41)%
Nontaxable or nondeductible items
Stock-based compensation(17,819)4.51 %
Non-deductible compensation14,365 (3.64)%
Other(3,462)0.88 %
Changes in unrecognized tax benefits(1,769)0.45 %
Total tax provision (benefit)$6,295 (1.59)%
(1)    State taxes in New York and New York City made up the majority (greater than 50%) of the tax effect in this category.
Reconciliations of the income tax provision at the U.S. federal statutory tax rate to the provision for (benefit from) income taxes for the years ended December 31, 2024 and 2023 are as follows (in thousands):
Year Ended December 31,
20242023
U.S. federal statutory tax rate$(167,584)$(138,742)
Changes in income taxes resulting from:
State tax expense, net of federal benefit1,529 (1,980)
Foreign income taxed at different rates10,606 1,543 
Federal research and development credits(3,358)(10,172)
Stock-based compensation50,954 50,640 
Tax effects of restructuring3,253 (293,435)
Base-erosion and anti-abuse tax— — 
Change in valuation allowance90,598 420,846 
Other11,156 (223)
Total tax provision (benefit)$(2,846)$28,477 
Schedule of Deferred Tax Assets and Liabilities
The types of temporary differences that give rise to significant portions of our deferred tax assets and liabilities as of December 31, 2025 and 2024 are set forth below (in thousands):
As of December 31,
20252024
Deferred tax assets:
Net operating losses$440,347 $401,330 
Tax credits129,428 119,681 
Stock-based compensation51,376 68,178 
Capitalized R&D expenditures651,267 672,828 
Operating lease liabilities29,601 39,615 
Other68,026 62,340 
Gross deferred tax assets1,370,045 1,363,972 
Valuation allowance(1,264,670)(1,167,316)
Total deferred tax assets105,375 196,656 
Deferred tax liabilities:
Intangible Asset(123,225)(221,869)
Depreciation and Amortization(11,972)(21,694)
Operating lease ROU assets(20,978)(25,762)
Total deferred tax liabilities(156,175)(269,325)
Net deferred tax assets (liabilities), net of valuation allowances$(50,800)$(72,669)
1)    Certain prior year amounts have been reclassified to conform to current year presentation.
Schedule of Unrecognized Tax Benefits Excluding Accrued Net Interest and Penalties
A reconciliation of the beginning and ending amount of total gross unrecognized tax benefits, excluding accrued net interest and penalties, is as follows (in thousands):
As of December 31,
202520242023
Unrecognized tax benefits, beginning balance$179,780 $182,515 $176,584 
Gross increases for tax positions taken in prior years379 454 4,215 
Gross decreases for tax positions taken in prior years(3,049)(11,338)(8,361)
Gross increases for tax positions taken in current year5,254 9,001 10,573 
Reductions resulting from lapses of statues of limitations— (668)(660)
Foreign exchange gains and losses377 (184)164 
Unrecognized tax benefits, ending balance$182,741 $179,780 $182,515 
Schedule of Components of the Cash Paid for (Refunded from) Income Taxes, Net
The components of the cash paid for (refunded from) income taxes, net, consists of the following for the year ended December 31, 2025 (in thousands):
Year Ended December 31,
2025
Federal$580 
State(543)
Foreign10,552 
Total cash paid for income taxes, net of refunds:$10,589