Income Taxes

3 Months Ended

Jun. 30, 2025

Income Tax Disclosure [Abstract]

Income Taxes

Income Taxes

For the three months ended June 30, 2025 and 2024, the Company recorded an income tax provision of $9 thousand and an income tax provision of $1.0 million, respectively. The effective tax rate for the three months ended June 30, 2025 was approximately 0.0%, compared to approximately 20.3% for the three months ended June 30, 2024, and the effective tax rate for the three months ended June 30, 2025 was approximately 0.0%, compared to approximately 20.3% for the three months ended June 30, 2024. The effective tax rate for the three months ended June 30, 2025 differs from the statutory rate primarily as a result of the goodwill impairment and the Company maintaining a valuation allowance against the majority of our deferred tax assets.

As of June 30, 2025, the Company maintained a valuation allowance against the majority of our deferred tax assets for which realization cannot be considered more likely than not at this time. Management assesses the need for the valuation allowance on a quarterly basis. In assessing the need for a valuation allowance, the Company considers all positive and negative evidence, including future reversals of existing taxable temporary differences, projected future taxable income, tax planning strategies, and past financial performance.