Company: NET
Filing Date: 2025-02-20
Form Type: 10-K
Source: 0001477333-25-000043
Chunk: 152

Company: Cloudflare, Inc.
Filing Date: 2025-02-20
Form: 10-K
Item: Item 7
Chunk 152
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 accounting, consulting, and legal services.

Non-Operating Income (Expense)

87

Interest IncomeYear Ended December 31,Change20242023$%(dollars in thousands)Interest income$87,426 $68,167 $19,259 28 %

Interest income increased by $19.3 million, or 28%, for the year ended December 31, 2024 compared to the year ended December 31, 2023. The increase was primarily driven by an increase in interest rates and investment balance. 

Interest ExpenseYear Ended December 31,Change20242023$%(dollars in thousands)Interest expense$(5,196)$(5,872)$676 (12)%

Interest expense did not significantly fluctuate during the year ended December 31, 2024 as compared to the year ended December 31, 2023. 

Loss on Extinguishment of Debt

Year Ended December 31,Change20242023$%(dollars in thousands)Loss on extinguishment of debt$— $(50,300)$50,300 *______________

* Not meaningful

Loss on extinguishment of debt decreased by $50.3 million for the year ended December 31, 2024 as compared to the year ended December 31, 2023. The decrease was driven by the loss on extinguishment of debt we recognized in connection with the 2025 Notes Repurchases during the year ended December 31, 2023. Refer to Note 7 to the consolidated financial statements in Part II, Item 8 of this Annual Report on Form 10-K.

Other Income (Expense), netYear Ended December 31,Change20242023$%(dollars in thousands)Other income (expense), net$1,660 $(4,372)$6,032 *______________

* Not meaningful

Other income (expense), net increased by $6.0 million for the year ended December 31, 2024 compared to the year ended December 31, 2023. The increase was primarily driven by larger unrealized gain due to changes in foreign currency exchange rates relative to the U.S. dollar compared to prior periods. 

88

Provision for Income TaxesYear Ended December 31,Change20242023$%(dollars in thousands)Provision for income taxes$7,929 $6,087 $1,842 30 %

We recorded an income tax expense of $7.9 million during the year