Company: TENB
Filing Date: 2025-05-06
Form Type: 10-Q
Source: 0001660280-25-000072
Chunk: 27

Company: Tenable Holdings, Inc.
Filing Date: 2025-05-06
Form: 10-Q
Item: Part I, Item 1
Chunk 27
---
 losses and gains related to our non-marketable investments.

Provision for Income Taxes

Provision for income taxes consists of income taxes in all jurisdictions in which we conduct business and the related withholding taxes on sales with customers. We have recorded deferred tax assets for which a full valuation allowance has been provided, including net operating loss carryforwards and tax credits. We expect to maintain this full valuation 

28

allowance for the foreseeable future as it is more likely than not that some or all of those deferred tax assets may not be realized based on our history of losses. 

Results of Operations

The following tables set forth our consolidated results of operations for the periods presented: 

Three Months Ended March 31,(in thousands)20252024Revenue$239,137 $215,961 Cost of revenue(1)52,460 48,932 Gross profit186,677 167,029 Operating expenses:Sales and marketing(1)103,182 99,825 Research and development(1)53,223 43,727 General and administrative(1)47,983 31,018 Restructuring— 1,389 Total operating expenses204,388 175,959 Loss from operations(17,711)(8,930)Interest income4,927 5,624 Interest expense(7,011)(8,112)Other income (expense), net474 (1,310)Loss before income taxes(19,321)(12,728)Provision for income taxes3,614 1,658 Net loss$(22,935)$(14,386)

_______________

(1)    Includes stock-based compensation expense as follows:

Three Months Ended March 31,(in thousands)20252024Cost of revenue$3,315$2,982Sales and marketing16,63015,300Research and development12,96711,161General and administrative(2)22,99110,276Total stock-based compensation expense$55,903$39,719

_______________

(2)    Stock-based compensation in the three months ended March 31, 2025 includes $14.6 million of expense related to the accelerated equity award vesting of our late CEO.

29

Comparison of the Three Months Ended March 31, 2025 and 2024

Revenue

The following table presents the increase in revenue:

Three Months Ended March 31,Change(dollars in thousands)20252024($)(%)Subscription