Income Taxes (Tables)

12 Months Ended

Dec. 31, 2024

Schedule of Income before Income Tax, Domestic and Foreign

The domestic and foreign components of income (loss) before provision for income taxes consisted of the following (in thousands):


	Fiscal Year Ended December 31,
	2024		2023		2022
Domestic	$	(88,789)	$	(110,640)	$	(155,528)
Foreign	7,851		6,999		3,939
Total net loss before taxes	$	(80,938)	$	(103,641)	$	(151,589)

Schedule of Components of Income Tax Expense (Benefit)

The provision for income taxes consisted of the following (in thousands):


	Fiscal Year Ended December 31,
	2024		2023		2022
Current
Federal	$	—	$	—	$	—
State	512		324		45
Foreign	3,912		3,494		2,241
Total current income tax expense	4,424		3,818		2,286
Deferred:
Federal	—		—		—
State	—		—		—
Foreign	(74)		(165)		—
Total deferred income tax benefit	(74)		(165)		—
Total provision for income taxes	$	4,350	$	3,653	$	2,286

Schedule of Effective Income Tax Rate Reconciliation

The reconciliation between the statutory federal income tax rate and the Company’s effective tax rate as a percentage of loss before income taxes is as follows:


	Fiscal Year Ended December 31,
	2024		2023		2022
Federal tax expense	21.00	%	21.00	%	21.00	%
State taxes, net of federal benefit	0.49	%	0.50	%	1.24	%
Foreign rate differential	(0.28)	%	(1.40)	%	(0.33)	%
Withholding taxes	(2.43)	%	(1.77)	%	(0.60)	%
Nondeductible compensation	(6.18)	%	(10.20)	%	(2.52)	%
Stock-based compensation	(9.48)	%	(1.84)	%	(3.18)	%
Change in valuation allowance	(16.40)	%	(18.33)	%	(21.41)	%
Research and development credits	7.57	%	7.94	%	4.69	%
Nontaxable dividends	—	%	1.31	%	—	%
Other	0.34	%	(0.73)	%	(0.40)	%
Effective tax rate	(5.37)	%	(3.52)	%	(1.51)	%

Schedule of Deferred Tax Assets and Liabilities

Significant components of the net deferred tax assets (liabilities) for the fiscal years ended December 31, 2024 and 2023, consisted of the following (in thousands):


	December 31,		December 31,
	2024		2023
Deferred tax assets:
Accruals and reserves	$	3,852	$	4,409
Deferred revenue	64,179		62,000
Net operating loss	21,983		36,508
Research and development tax credits	34,772		28,645
Stock-based compensation expense	4,005		6,242
Indirect tax reserves	377		240
Property and equipment, net	2,088		2,000
Capitalized research and development costs	48,726		35,505
Operating lease liabilities	2,152		1,460
Other deferred tax assets	3,052		564
Gross deferred tax assets	185,186		177,573
Valuation allowance	(165,488)		(150,915)
Total deferred tax assets	19,698		26,658
Deferred tax liabilities:
Deferred contract costs	(9,329)		(16,791)
Operating lease right-of-use-assets	(2,064)		(1,129)
Other deferred tax liabilities	(8,067)		(8,573)
Total deferred tax liabilities	(19,460)		(26,493)
Net deferred tax assets	$	238	$	165

Schedule of Unrecognized Tax Benefits Roll Forward

A reconciliation of the beginning and ending balance of unrecognized tax benefit is as follows (in thousands):


	Fiscal Year Ended December 31,
	2024		2023		2022
Gross unrecognized tax benefits at the beginning of the year	$	7,232	$	5,310	$	3,608
Increases related to prior year tax positions	133		58		224
Increases related to current year tax positions	1,667		1,864		1,478
Statues of limitations expirations	—		—		—
Gross unrecognized tax benefits at the end of the year	$	9,032	$	7,232	$	5,310