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Income Taxes (Tables)

12 Months Ended

Dec. 31, 2025

Schedule of Income/(Loss) Before Income Taxes

For the years ended December 31, 2025, 2024, and 2023, our income (loss) before income taxes was comprised of the following (in thousands):


	Year Ended December 31,
	2025		2024		2023
Domestic	$	(17,496)	$	(55,183)	$	(89,925)
Foreign	23,940		(36,025)		(18,307)
Total	$	6,444	$	(91,208)	$	(108,232)

Schedule of Components of Income Tax Expense

For the years ended December 31, 2025, 2024, and 2023, our income tax expense was comprised of the following (in thousands):


	Year Ended December 31,
	2025		2024		2023
Current:
Federal	$	22	$	(10)	$	34
State	171		149		223
Foreign	5,360		1,864		4,523
Total current expense	5,553		2,003		4,780
Deferred:
Federal	—		—		—
State	—		—		—
Foreign	(342)		(949)		(1,571)
Total deferred benefit	(342)		(949)		(1,571)
Total income tax expense	$	5,211	$	1,054	$	3,209

Schedule of Reconciliation of Statutory to Effective Income Tax Rate

For the year ended December 31, 2025, the provision for income taxes differs from the amount computed by applying the federal statutory income tax rates to our income before the provision for income taxes as follows:


	Year Ended December 31, 2025
	Total		%
U.S. federal statutory tax rate	$	1,353	21.0	%
State income taxes, net of federal income tax effect(1)	171		2.7
Foreign tax effects
Switzerland
Statutory income tax rate differential	(1,193)		(18.5)
Net operating loss expiration	2,185		33.9
Unrealized currency translation gain	1,873		29.1
Changes in valuation allowances	(5,039)		(78.2)
Other	199		3.1
Other foreign jurisdictions	2,008		31.2
Effect of cross-border tax laws
Global intangible low-taxed income	(2,283)		(35.4)
Other	33		0.5
Tax credits
Research & development tax credits	(3,991)		(61.9)
Changes in valuation allowances	5,937		92.1
Non-taxable or Non-deductible Items
Share-based compensation	2,999		46.5
Other	937		14.5
Changes to unrecognized tax benefits	22		0.3
Total tax provision and effective tax rate	$	5,211	80.9	%

(1) State taxes in Texas primarily make up this category. The largest state by apportionment percentage is Virginia.

For the years ended December 31, 2024 and 2023, the provision for income taxes differs from the amount computed by applying the federal statutory income tax rates to our income before the provision for income taxes as follows:


	Percentage of Pretax Earnings
	2024		2023
U.S. federal statutory tax rate	21.0	%	21.0	%
State tax expense	4.3		3.8
Foreign rate differential	(4.0)		(3.1)
Nondeductible expenses	(1.0)		(0.7)
Foreign tax expense	0.1		(0.4)
Equity compensation	3.7		(2.4)
Tax credits	7.3		9.5
Unrecognized tax benefits	(1.5)		(1.8)
Global intangible low-taxed income	(3.0)		—
Change in tax rate	0.8		(0.9)
Other	(0.5)		0.2
Return to provision	3.3		—
Deferred adjustments	(1.4)		(3.0)
Change in valuation allowance	(30.3)		(25.2)
Total	(1.2)	%	(3.0)	%

Schedule of Deferred Tax Assets and Liabilities

As of December 31, 2025 and 2024, significant components of our deferred tax assets and liabilities were as follows (in thousands):


	As of December 31,
	2025		2024
Deferred tax assets:
Net operating losses	$	114,153	$	107,170
Tax credits	39,002		34,885
Deferred revenue	310		521
Equity compensation	5,024		3,994
Lease liabilities	16,138		17,465
Accrued compensation	5,864		3,225
Bad debt	598		502
Other accrued expense	663		318
Capitalized research and development costs	36,186		45,820
Other	3,855		4,033
Gross deferred tax assets	221,793		217,933
Less: Valuation allowance	(191,198)		(187,969)
Total deferred tax assets	30,595		29,964

Deferred tax liabilities:
Prepaid expenses	(11,518)		(13,298)
Right-of-use assets	(7,809)		(8,406)

Depreciation	(2,363)		(3,245)
Intangible assets	(380)		(688)
Other	(3,675)		(198)
Total deferred tax liabilities	(25,745)		(25,835)
Net deferred tax assets	$	4,850	$	4,129

Schedule of Valuation Allowance

The following table summarizes the activity related to our valuation allowances for the years ended December 31, 2025, 2024, and 2023 (in thousands):


	Year Ended December 31,
	2025		2024		2023
Beginning balance	$	187,969	$	161,966	$	132,581
Charged to expense	(437)		27,605		27,267
Foreign currency translation adjustments	3,666		(1,602)		2,118
Deductions from reserve	—		—		—
Ending balance	$	191,198	$	187,969	$	161,966

Schedule of Cash Paid, Net of Refunds

For the years ended December 31, 2025, 2024, and 2023, cash paid, net of refunds received, consisted of the following:


	Year Ended December 31,
	2025		2024		2023
Federal	$	—	$	—	$	—
Aggregated state and local jurisdictions(1)	162		115		154
Disaggregated foreign jurisdictions:
Australia	829		298		664
Canada	389		84		447
India	524		766		212
Italy	684		359		586
Mexico	31		204		162
Netherlands	41		237		162
Spain	670		263		567
United Kingdom	1,666		798		835
Other(1)	124		210		210
Net cash paid for income taxes	5,120		3,334		3,999

[1] No jurisdictions are individually above the threshold of 5% of total income taxes paid, net of refunds received, for the periods presented.

Schedule of Unrecognized Tax Benefits Roll Forward

The following table summarizes the activity related to our unrecognized tax benefit from December 31, 2022 to December 31, 2025 (in thousands):


Balance as of December 31, 2022	$	4,488
Additions for tax positions in current years	1,740
Additions for tax positions in prior years	256
Reductions due to lapse in statutes of limitations	—
Settlements	—
Balance as of December 31, 2023	6,484
Additions for tax positions in current years	1,374
Reductions for tax positions in prior years	(18)
Reductions due to lapse in statutes of limitations	—
Settlements	—
Balance as of December 31, 2024	7,840
Additions for tax positions in current years	1,001
Additions for tax positions in prior years	7
Reductions due to lapse in statutes of limitations	—
Settlements	—
Balance as of December 31, 2025	$	8,848