Company: PGYWW
Filing Date: 2025-08-07
Form Type: 10-Q
Source: 0001883085-25-000169
Chunk: 157

Company: Pagaya Technologies Ltd.
Filing Date: 2025-08-07
Form: 10-Q
Item: Part I, Item 8
Chunk 157
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.3 5.7— Vested and exercisable, June 30, 202516,554,033 $19.3 5.7$— At June 30, 2025, unrecognized compensation expense related to options to restricted shares was approximately $8.0 million, which is expected to be recognized over a remaining weighted-average period of 1.2 years. Employee Stock Purchase Plan—The Employee Stock Purchase Plan (“ESPP”) allows eligible employees to purchase shares of our Class A Ordinary Shares at a discounted price, normally through payroll deductions, subject to the terms of the ESPP and applicable law. During the six months ended June 30, 2025, 55,876 shares were issued under the ESPP. As of June 30, 2025, 776,837 shares of Class A Ordinary Shares were reserved for issuance under the ESPP. Compensation expense related to the ESPP was $0.1 million and $0.3 million for the three and six months ended June 30, 2025, respectively.Share-Based Compensation ExpenseThe following table presents the components and classification of share-based compensation for the three and six months ended June 30, 2025 and 2024 (in thousands): Three Months Ended June 30,Six Months Ended June 30,2025202420252024Technology, data and product development$1,326 $3,069 $2,423 $5,974 Sales and marketing8,731 3,867 13,511 6,719 General and administrative8,171 11,108 15,466 20,826 Total$18,228 $18,044 $31,400 $33,519 

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NOTE 13 - INCOME TAXES 

Corporate Income TaxOrdinary taxable income in Israel is subject to a corporate tax rate of 23%. However, the Company has received an approval from the Israeli Tax authorities for Preferred Technological Enterprise (“PTE”) status and received approval on November 18, 2021. The Company is eligible for PTE status which is implemented commencing 2020. Income from a PTE is subject to 12% tax rate. The Company is currently in the process of obtaining a renewal of its PTE status.Foreign Exchange Regulations in Israel Under the Foreign Exchange Regulations, the Company calculates its tax liability in U.S. Dollars according to certain orders. The tax liability, as