Company: BLLN
Filing Date: 2025-10-07
Form Type: S-1
Source: 0001193125-25-233697
Chunk: 376

Company: BillionToOne, Inc.
Filing Date: 2025-10-07
Form: S-1
Chunk 376
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 Section 382 analysis. Based on the available objective evidence, management believes it is more likely than not that the net deferred tax assets of the Company will not be fully realizable for the years ended December 31, 2023 and 2024. Accordingly, the Company has established a full valuation allowance against its net deferred tax assets due to the uncertainty surrounding the realization of such assets. The valuation allowance increased by approximately $16.1 million and $10.1 million during the years ended December 31, 2023 and 2024, respectively. The Company records unrecognized tax benefits, where appropriate, for all uncertain income tax positions. The Company recorded unrecognized tax benefits for uncertain tax positions of $1.4 million and $2.2 million as of F-36

B ILLIONT OO NE, INC. Notes to Financial Statements December 31, 2023 and 2024, respectively, none of which would impact the effective tax rate if recognized, because the benefit would be offset by an increase in the valuation allowance. A reconciliation of the beginning and ending balance of total unrecognized tax benefits is as follows (in thousands):

|                                                   |     |   |  2023 |   |     |   |  2024 |
|:--------------------------------------------------|:----|:--|------:|:--|:----|:--|------:|
| Unrecognized tax benefits - beginning of period   |     | $ |   818 |   |     | $ | 1,410 |
| Increases related to current year’s tax positions |     |   |   629 |   |     |   |   774 |
| Decreases related to prior years’ tax positions   |     |   |   (37 | ) |     |   |     - |
| Unrecognized tax benefits - end of period         |     | $ | 1,410 |   |     | $ | 2,184 |

The Company’s policy is to recognize interest and penalties accrued on any unrecognized tax benefits as a component of income tax expense. During the year ended December 31, 2023 and 2024, the Company recognized no interest and penalties associated with unrecognized tax benefits. There are no tax positions for which it is reasonably possible that the total amounts of unrecognized tax benefits will significantly increase or decrease within 12 months of the reporting date. Due to the net operating loss carryforwards, all years remain open for income tax examination by tax authorities in the United States, various