v3.26.1
Segment and Geographic Information
 6 Months Ended
Jun. 30, 2026
Segment Reporting [Abstract]  
Segment and Geographic Information
14. Segment and Geographic Information
Segment Information
We have one reportable segment as our chief operating decision maker, our Chief Executive Officer, reviews consolidated profitability measures in managing the business. Specifically, our chief operating decision maker uses consolidated net income
as the measure of segment profit or loss for evaluating performance and allocating resources through comparison of actual amounts against budgeted and prior period amounts in order to make strategic decisions.
The following table presents the calculation of segment net income:
Three months ended June 30,Six months ended June 30,
2026202520262025
(in thousands)
Revenue$804,905 $499,627 $1,468,316 $891,988 
Adjusted cost of revenue(1)
70,055 45,696 126,177 82,568 
Adjusted gross profit734,850 453,931 1,342,139 809,420 
Adjusted operating expenses(2)
392,040 287,182 733,359 527,400 
Stock-based compensation and related taxes106,836 95,104 185,684 202,509 
Depreciation and amortization4,258 3,934 8,468 7,897 
Interest (income) expense, net(25,027)(21,056)(48,912)(41,470)
Income tax expense (benefit)3,987 (439)5,734 (2,160)
Other segment expenses(3)
(92)(91)977 (211)
Segment net income$252,848 $89,297 $456,829 $115,455 
Consolidated net income$252,848 $89,297 $456,829 $115,455 
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(1)Adjusted cost of revenue is cost of revenue adjusted for stock-based compensation and related taxes as follows:
Three months ended June 30,Six months ended June 30,
2026202520262025
(in thousands)
Cost of revenue$70,308 $45,900 $126,575 $82,989 
Less:
Stock-based compensation and related taxes253 204 398 421 
Adjusted cost of revenue$70,055 $45,696 $126,177 $82,568 
(2)Adjusted operating expenses is operating expenses (comprised of research and development, sales and marketing, and general and administrative expenses) adjusted for stock-based compensation and related taxes and depreciation and amortization as follows:
Three months ended June 30,Six months ended June 30,
2026202520262025
(in thousands)
Operating expenses$502,881 $386,016 $927,113 $737,385 
Less:
Stock-based compensation and related taxes106,583 94,900 185,286 202,088 
Depreciation and amortization4,258 3,934 8,468 7,897 
Adjusted operating expenses$392,040 $287,182 $733,359 $527,400 
(3)Other segment expenses primarily includes realized gains and losses on sales of marketable securities and foreign currency transaction gains and losses.