v3.25.4
Income taxes (Tables)
 12 Months Ended
Dec. 31, 2025
Income Tax Disclosure [Abstract]  
Schedule of Components of Income Tax Expense (Benefit)
Income tax expense (benefit) consisted of the following:
Year ended December 31,
(in thousands)
202520242023
Current
Federal$1 $1 $3 
State72 (28)162 
Foreign1,689 2,478 3,176 
Total current$1,762 $2,451 $3,341 
Deferred
Federal$87 $222,087 $(14,018)
State— 74,886 (3,828)
Foreign190 (202)(45)
Total deferred$277 $296,771 $(17,891)
Total income tax expense (benefit)
Federal$88 $222,088 $(14,015)
State72 74,858 (3,666)
Foreign1,879 2,276 3,131 
Total income tax expense (benefit)$2,039 $299,222 $(14,550)
Income taxes paid (net of refunds) that equal or exceed 5% of total income taxes paid (net of refunds received) consisted of the following:
Year ended December 31,
(in thousands)
202520242023
U.S. federal$— $— $— 
States
Arkansas(91)71 87 
California(47)— 102 
Illinois(80)— 156 
Minnesota— — 28 
Montana— (100)125 
New York— — 44 
Pennsylvania— (88)55 
Texas— — 117 
Other66 (17)97 
(152)(134)811 
Foreign
Australia191 — 160 
China— 234 65 
Germany - Munich— — (39)
Japan - federal171 390 179 
Japan - local130 235 139 
Netherlands236 229 (2,171)
Philippines— — 44 
Romania75 — 95 
United Kingdom156 99 211 
Other39 40 (31)
998 1,227 (1,348)
Total$846 $1,093 $(537)
Schedule of Income before Income Tax, Domestic and Foreign oss) before income taxes consisted of the following:
Year ended December 31,
(in thousands)
202520242023
United States$(99,883)$(142,195)$(79,514)
Foreign8,435 9,106 11,781 
Loss before income taxes$(91,448)$(133,089)$(67,733)
Schedule of Effective Income Tax Rate Reconciliation
Year ended December 31,
202520242023
$%$%
$
%
(in thousands, except percentages)
Tax at U.S. federal statutory rate (21%)$(19,204)21.0 %$(27,949)21.0 %$(14,224)21.0 %
State income taxes, net of federal benefit(415)0.5 74,864 (56.3)(3,699)5.5 
Foreign tax effects
France
Non-taxable and nondeductible items(873)1.0 (631)0.5 (881)1.3 
Other, net363 (0.4)(10)— 156 (0.3)
Other foreign jurisdiction(164)0.2 184 (0.1)260 (0.4)
Effects of cross-border tax laws
Federal taxation of foreign disregarded entities1,361 (1.5)1,546 (1.2)2,123 (3.1)
Tax credits
Research tax credits(1,317)1.4 (3,569)2.7 (3,736)5.5 
Changes in valuation allowance - federal14,356 (15.7)247,750 (186.1)— — 
Non-taxable and nondeductible items
Tax effect on share-based compensation3,722 (4.1)5,132 (3.9)3,125 (4.6)
Goodwill impairment2,537 (2.8)— — — — 
Other, net75 (0.1)508 (0.4)656 (1.0)
Worldwide changes in unrecognized tax benefits1,598 (1.7)1,397 (1.0)1,670 (2.4)
Income tax provision at effective tax rate$2,039 (2.2)%$299,222 (224.8)%$(14,550)21.5 %
Schedule of Deferred Tax Assets and Liabilities
Deferred income taxes reflect the net tax effects of temporary differences between the carrying amounts of assets and liabilities for financial reporting purposes and the amounts used for income tax purposes. Significant components of the Company’s deferred tax assets and deferred tax liabilities were as follows:
Year ended December 31,
(in thousands)
20252024
Deferred tax assets:
Net operating loss carryforwards$190,968 $110,724 
Tax credit carryforwards104,319 101,895 
Stock-based compensation3,163 4,531 
Allowance for returns1,098 1,706 
Intangible assets2,536 1,873 
Depreciation and amortization1,455 1,177 
Operating lease liabilities4,532 6,784 
Capitalized research and development costs19,697 80,310 
Accruals and reserves19,361 21,944 
Total deferred tax assets347,129 330,944 
Valuation allowance(344,611)(327,367)
Net deferred tax assets, net of valuation allowance$2,518 $3,577 
Deferred tax liabilities:
Operating lease right-of-use assets$(2,635)$(3,424)
Total deferred tax liabilities(2,635)(3,424)
Net deferred tax assets (liabilities)$(117)$153 
Schedule of Unrecognized Tax Benefits Roll Forward
A reconciliation of the beginning and ending amount of gross unrecognized income tax benefits are as follows:
Year ended December 31,
(in thousands)
202520242023
Balance at January 1$27,019 $25,836 $23,414 
Increase related to current year tax positions5,815 4,665 4,948 
Decrease related to prior year tax positions(3,173)(3,482)(2,526)
Balance at December 31$29,661 $27,019 $25,836 
Schedule of Cash Flow, Supplemental Disclosures
Income taxes paid (net of refunds) that equal or exceed 5% of total income taxes paid (net of refunds received) consisted of the following:
Year ended December 31,
(in thousands)
202520242023
U.S. federal$— $— $— 
States
Arkansas(91)71 87 
California(47)— 102 
Illinois(80)— 156 
Minnesota— — 28 
Montana— (100)125 
New York— — 44 
Pennsylvania— (88)55 
Texas— — 117 
Other66 (17)97 
(152)(134)811 
Foreign
Australia191 — 160 
China— 234 65 
Germany - Munich— — (39)
Japan - federal171 390 179 
Japan - local130 235 139 
Netherlands236 229 (2,171)
Philippines— — 44 
Romania75 — 95 
United Kingdom156 99 211 
Other39 40 (31)
998 1,227 (1,348)
Total$846 $1,093 $(537)