Company: MMI
Filing Date: 2025-08-07
Form Type: 10-Q
Source: 0001578732-25-000040
Chunk: 42

Company: Marcus & Millichap, Inc.
Filing Date: 2025-08-07
Form: 10-Q
Item: Part I, Item 1
Chunk 42
---
 loss and concluded that this method (the “discrete method”), as allowed by ASC 740-270-30-18, is more appropriate than the AETR method for the three and six months ended June 30, 2025. Under the discrete method, the Company calculated its U.S. income tax benefit as though the interim year-to-date period was an annual period.As a result of the change from the AETR method to the discrete method, the Company recognized a provision for income taxes of $7.3 million during the three months ended June 30, 2025, effectively reversing a significant portion of the income tax benefit of $9.5 million accrued during the three months ended March 31, 2025. The Company recognized a provision for income taxes of $2.1 million during the three months ended June 30, 2024. The effective income tax rate for the three months ended June 30, 2025 was (194.5)% under the discrete method, compared with (61.1)% for the same period in 2024 under the AETR method. The benefit for income taxes was $2.2 million for the six months ended June 30, 2025, compared to $2.6 million in the same period in 2024. The effective income tax rate for the six months ended June 30, 2025 was 12.5% under the discrete method, compared with 14.6% for the same period in 2024 under the AETR method. For both the six months ended June 30, 2025 and 2024, the effective tax rate differs from the 21% federal statutory tax rate primarily due to non-deductible items and state income taxes.

25

Table of ContentsMARCUS & MILLICHAP, INC. NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS(Unaudited) 

11.    Loss per Share 

Basic and diluted loss per share for the three and six months ended June 30, 2025 and 2024, respectively, consisted of the following (in thousands, except per share data): Three Months EndedJune 30,Six Months EndedJune 30,2025202420252024Numerator (Basic and Diluted):Net loss$(11,035)$(5,538)$(15,457)$(15,525)Change in value for stock settled consideration(1)— 3 5 24