Company: TRUE
Filing Date: 2025-08-07
Form Type: 10-Q
Source: 0001327318-25-000036
Chunk: 162

Company: TrueCar, Inc.
Filing Date: 2025-08-07
Form: 10-Q
Item: Part I, Item 1
Chunk 162
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 Date Fair ValueOutstanding — December 31, 20243,253,741 $4.01 Granted2,267,368 2.41 Vested(155,994)4.97 Forfeited(819,030)4.97 Outstanding — June 30, 20254,546,085 $3.01 At June 30, 2025, total remaining stock-based compensation expense for non-vested performance stock units was $8.4 million, which is expected to be recognized over a weighted-average period of 2.2 years. For the three months ended June 30, 2025 and 2024, the Company recorded $1.1 million and $0.9 million in stock-based compensation expense for performance stock units, respectively. For the six months ended June 30, 2025 and 2024, the Company recorded $2.2 million and $1.6 million in stock-based compensation expense for performance stock units, respectively.

16

Stock-based Compensation CostThe Company recorded stock-based compensation cost relating to stock options, restricted stock units, and performance stock units in the following categories on the accompanying condensed consolidated statements of comprehensive loss (in thousands): Three Months Ended June 30,Six Months Ended June 30, 2025202420252024Cost of revenue$94 $62 $181 $114 Sales and marketing561 516 1,108 915 Technology and development509 532 1,063 1,028 General and administrative2,115 2,079 4,273 3,764 Total stock-based compensation expense3,279 3,189 6,625 5,821 Amount capitalized to internal-use software197 177 401 367 Total stock-based compensation cost$3,476 $3,366 $7,026 $6,188 

7.    Income Taxes

In determining quarterly provisions for income taxes, the Company uses the annual estimated effective tax rate applied to the actual year-to-date loss, adjusted for discrete items, if any, that are taken into account in the relevant period. The Company’s annual estimated effective tax rate differs from the statutory rate primarily as a result of state taxes and changes in the Company’s valuation allowance.The Company recorded income tax expense of less than $0.1 million for the three and six months ended June 30, 2025