Company: PRTA
Filing Date: 2025-08-04
Form Type: 10-Q
Source: 0001559053-25-000031
Chunk: 23

Company: PROTHENA CORP PUBLIC LTD CO
Filing Date: 2025-08-04
Form: 10-Q
Item: Part I, Item 1
Chunk 23
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 RSUs was determined on the date of grant based on the market price of the Company’s ordinary shares as of that date. The fair value of the RSUs is recognized as an expense on a straight-line basis over the vesting period of each RSU. Upon the vesting of the RSUs, a portion of the shares vested are sold by the employee to satisfy employee withholding tax requirements (sell-to-cover). As of June 30, 2025, total compensation cost not yet recognized related to unvested RSUs was $ 3.7 2.70

10. Income Taxes

The major taxing jurisdictions for the Company are Ireland and the U. S. The Company recorded income ta x expense of$ 44.8 and$ 43.6 for the three and six months ended June 30, 2025, as compared to an income tax benefit of$ 2.0 4.2 respectively. The provision for income taxes differs from the statutory tax rate of 12.5% applicable to Ireland primarily due to Irish net operating losses for which a tax provision benefit is not recognized, U. S. income taxed at different rates, and the recognition of a full valuation allowance against deferred tax assets.

The Company has generally computed its interim period provision for (benefit from) income taxes by applying its forecasted effective tax rate to year-to-date earnings. However, due to a significant amount of U. S. permanent differences relative to the amount of U. S. forecasted income (exclusive of significant unusual or infrequently occurring items accounted for discretely) used in computing the effective tax rate, the effective tax rate is highly sensitive to minor fluctuations in U. S. forecasted income. As such, the Company has computed the U. S. component of the consolidated provision for (benefit from) income taxes for the three and six months ended June 30, 2025 using an actual year-to-date tax calculation.

The non-U. S. tax expense continues to be zero due to cumulative historic and year-to-date losses and a full valuation allowance on our deferred tax assets in our non-U. S. jurisdictions.

Deferred income taxes reflect the net tax effect of temporary differences between the carrying amount of assets and liabilities for financial reporting purposes and the amounts used for income tax purposes. The Company's deferred tax assets (“ DTAs”) are composed primarily of its Irish subsidiaries' net operating loss carryforwards, California net operating loss carryforwards available to reduce future taxable income of the Company's U