Company: QLYS
Filing Date: 2025-05-06
Form Type: 10-Q
Source: 0001107843-25-000017
Chunk: 261

Company: QUALYS, INC.
Filing Date: 2025-05-06
Form: 10-Q
Item: Part I, Item 2
Chunk 261
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2024, primarily due to an increase in marketing expenses related to advertising of $1.3 million and trade shows of $1.0 million. The remaining increase is attributable to an increase in personnel costs, driven by increased headcount and an increase in sales commissions.

General and Administrative Expenses

Three Months EndedMarch 31,Change20252024$%(in thousands, except percentages)General and administrative$17,404 $16,908 $496 3 %

General and administrative expenses increased by $0.5 million for the three months ended March 31, 2025 compared to the same period in 2024, primarily due to an increase in personnel costs, including stock-based compensation, of $0.7 million, driven by increased headcount, partially offset by a decrease in legal fees of $0.2 million.

Total other income, net

Three Months EndedMarch 31,Change20252024$%(in thousands, except percentages)Total other income, net$6,552 $4,724 $1,828 39 %

Total other income, net increased by $1.8 million for the three months ended March 31, 2025, compared to the same periods in 2024, primarily due to favorable changes in foreign currency of $1.7 million, and an increase in interest income of $0.1 million.

Income tax provision

Three Months EndedMarch 31,Change20252024$%(in thousands, except percentages)Income tax provision$10,773 $9,754 $1,019 10 %

Income tax provision increased by $1.0 million for the three months ended March 31, 2025 compared to the same period in 2024, primarily due to the tax effect of an increase in pretax income and a decrease in excess tax benefits arising from stock-based compensation compared to the prior year. The increase in tax expense was partially offset by an increase in foreign derived intangible income benefit and an increase in research and development tax credit.  

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Key Operating and Non-GAAP Financial Performance Metrics

In addition to measures of financial performance presented in our condensed consolidated financial statements, we monitor the key metrics set forth below to help us evaluate growth trends, establish budgets, measure the effectiveness of our sales and marketing efforts and assess operational efficiencies.

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Net Dollar Expansion Rate

We evaluate our ability to retain and grow existing customers by assessing our net dollar expansion rate on a last twelve months, or LTM,