Annual report [Section 13 and 15(d), not S-K Item 405]

Income Taxes (Tables)

v3.25.4
Income Taxes (Tables)
 12 Months Ended
Dec. 31, 2025
Income Tax Disclosure [Abstract]  
Schedule of the Components of Loss Before Taxes
The components of loss before taxes are as follows (in thousands):
Year Ended December 31,
2025 2024 2023
United States $ (910,122) $ (597,424) $ (506,243)
International (18,413) (10,481) (6,668)
Loss before income taxes $ (928,535) $ (607,905) $ (512,911)
Schedule of Provision For Income Taxes
The provision for income taxes is as follows (in thousands):
Year Ended December 31,
2025 2024 2023
Current
Federal $ —  $ —  $ — 
State —  14  6 
Foreign 1,307  115  133 
Total current provision $ 1,307  $ 129  $ 139 
Deferred
Federal —  —  — 
State —  —  — 
Total deferred benefit —  —  — 
Total provision (benefit) $ 1,307  $ 129  $ 139 
Schedule of Effective Tax Rate Reconciliation
A reconciliation of the provision for income taxes to the amount computed by applying the 21% statutory U.S. federal income tax rate to income before income taxes after the adoption of ASU 2023-09 is as follows:
Year Ended December 31,
2025
(in thousands)
 %
Tax at U.S. Statutory Rate $ (194,992) 21.0  %
State and Local Income Taxes (2) —  %
Foreign Tax Effects
  Effect of Foreign Operations 4,096  (0.4) %
Tax Credits
  Research and development tax credits (31,180) 3.4  %
Changes in Valuation Allowances 177,069  (19.2) %
Nontaxable and Nondeductible items
  Share-based compensation, net (1)
(11,839) 1.3  %
  Other Adjustments 12,499  (1.3) %
  Change in Fair Value of Derivative 44,488  (4.8) %
Changes in Unrecognized Tax Benefits 1,168  (0.1) %
Effective Tax Rate $ 1,307  (0.1) %
(1) Includes amounts related to non-deductible stock-based compensation, including non-deductible executive compensation, in addition to excess tax benefits or shortfalls from stock-based compensation. Our tax provision includes $13 million of excess tax benefits for 2025.
A reconciliation of the provision for income taxes to the amount computed by applying the 21% statutory U.S. federal income tax rate to income before income taxes for years prior to the adoption of ASU 2023-09 is as follows:
Year Ended December 31,
2024 2023
% %
Tax at federal statutory rate (21.0) % (21.0) %
State taxes, net of federal benefit —  % (1.6) %
Permanent differences 3.5  % 16.8  %
Change in valuation allowance 22.4  % 9.0  %
Tax credits (4.9) % (3.2) %
Effective income tax rate 0.0  % 0.0  %
Schedule of Deferred Income Tax Assets
Significant components of the Company’s net deferred tax assets (in thousands):
December 31,
2025 2024 2023
Deferred tax assets:
Net operating loss carryforwards $ 403,606  $ 190,451  $ 138,735 
Research and development credits 165,103  115,651  55,492 
Accruals and reserves —  567  2,479 
Property and equipment 3,277  2,892  3,110 
Stock-based compensation 14,075  6,094  16,396 
Goodwill 3,921  2,965  4,311 
Intangibles 207  2,769  2,234 
    Lease Liability 642  515  664 
    Capitalized R&D 160,300  173,217  88,985 
    Other 12  —  — 
Total deferred tax assets 751,143  495,121  312,406 
Valuation allowance (736,003) (481,760) (295,740)
Net deferred tax assets $ 15,140  $ 13,361  $ 16,666 
Deferred tax liabilities
Contractual agreement (15,479) (13,361) (16,666)
Total deferred tax liabilities (15,479) (13,361) (16,666)
Net deferred tax assets $ (339) $ —  $ — 
Schedule of the Changes in the Gross Amount of Unrecognized Tax Benefits
The following shows the changes in the gross amount of unrecognized tax benefits as follows (in thousands):
Year Ended December 31,
2025 2024 2023
Unrecognized tax benefits, beginning of the year $ 42,045  $ 20,241  $ 14,571 
Increases related to prior year tax positions 563  6,925  684 
Decreases related to prior year tax positions —  —  (1,037)
Increases related to current year tax positions 16,335  14,879  6,023 
Unrecognized tax benefits, end of year $ 58,943  $ 42,045  $ 20,241