Company: CSTL
Filing Date: 2025-11-03
Form Type: 10-Q
Source: 0001628280-25-048254
Chunk: 48

Company: CASTLE BIOSCIENCES INC
Filing Date: 2025-11-03
Form: 10-Q
Item: Item 1
Chunk 48
---
 We maintain a full valuation allowance for deferred tax assets including operating loss carryforwards and R&D credits and other tax credits.

As of December 31, 2024, we had federal NOL carryforwards of $129.4 million, of which $52.9 million will begin to expire in 2031 if not utilized to offset federal taxable income, and $76.5 million may be carried forward indefinitely. As of December 31, 2024, we also had state NOL carryforwards of $86.5 million, which begin to expire in 2028 if not utilized to offset state taxable income.

34

Results of Operations

Comparison of the Three Months Ended September 30, 2025 and 2024

The following table summarizes our results of operations for the periods indicated (in thousands, except percentages):

 Three Months EndedSeptember 30,Change 20252024(unaudited)NET REVENUES$83,043 $85,782 $(2,739)(3.2)%OPERATING EXPENSESCost of sales (exclusive of amortization of acquired intangible assets)18,704 15,609 3,095 19.8 %Research and development12,960 12,323 637 5.2 %Selling, general and administrative55,907 50,499 5,408 10.7 %Amortization of acquired intangible assets2,276 2,272 4 0.2 %Total operating expenses, net89,847 80,703 9,144 11.3 %Operating (loss) income(6,804)5,079 (11,883)(234.0)%Interest income2,833 3,404 (571)(16.8)%Changes in fair value of equity securities3,561 — 3,561 NAInterest expense(24)(201)177 88.1 %Other expense48 — 48 NA(Loss) income before income taxes(386)8,282 (8,668)(104.7)%Income tax expense115 6,013 (5,898)(98.1)%Net (loss) income$(501)$2,269 $(2,770)(122.1)%

NA = Not applicable

The following table indicates the amount of stock-based compensation expense (non-cash) reflected in the line items above (in thousands):

Three Months EndedSeptember