Company: AAOI
Filing Date: 2025-05-08
Form Type: 10-Q
Source: 0001437749-25-015518
Chunk: 105

Company: APPLIED OPTOELECTRONICS, INC.
Filing Date: 2025-05-08
Form: 10-Q
Item: Part I, Item 8
Chunk 105
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184 
 Released   (339)  28.61   6.47   9,714 
 Cancelled/Forfeited   (1)  —   3.95   8 
 Outstanding, March 31, 2025   1,898   —   6.04   29,134 
 Vested and expected to vest   1,898   —  $6.04  $29,134 

   ​
   As of  March 31, 2025, there was $10.2 million of unrecognized compensation expense related to these RSUs. This expense is expected to be recognized over 2.3 years.

       16

   Share-Based Compensation
   ​
   Employee share-based compensation expenses recognized for the periods indicated (in thousands):
   ​
   
       Three months ended   
 ​   March 31,  
 ​   2025    2024  
 Share-based compensation - by expense types   ​    ​  
 Cost of goods sold  $83  $102 
 Research and development   276   280 
 Sales and marketing   323   285 
 General and administrative   1,880   2,172 
 Total share-based compensation expense  $2,562  $2,839 

   Note 16.  Income Taxes 
   ​​
   For the three months ended  March 31, 2025 and 2024, the effective tax rate varied from the federal statutory rate of 21% primarily due to the change of the valuation allowance on federal, state, Taiwan, and China deferred tax assets ("DTA"). 
    
   The Company continually monitors and performs an assessment of the realizability of its DTAs, including an analysis of factors such as future taxable income, reversal of existing taxable temporary differences, and tax planning strategies. In assessing the need for a valuation allowance, the Company considered both positive and negative evidence related to the likelihood of realization of deferred tax assets using a “more likely than not” standard. In making such assessment, more weight was given to evidence that could be objectively verified, including recent cumulative losses. Based on the Company’s review of this evidence, management determined that a full valuation allowance against all of the Company’s net deferred tax assets at  March 31, 2025 was appropriate. 

   Note 17. Segment and Geographic Information