Company: IDCC
Filing Date: 2025-10-30
Form Type: 10-Q
Source: 0001405495-25-000063
Chunk: 30

Company: InterDigital, Inc.
Filing Date: 2025-10-30
Form: 10-Q
Item: Part I, Item 1
Chunk 30
---
 recorded discrete net benefits of $9.3 million and $4.3 million, respectively, primarily related to share-based compensation.The One Big Beautiful Bill Act (the “Act”) was signed into law on July 4th, 2025. The Act contains significant tax law changes with various effective dates affecting business taxpayers. Among the tax law changes that will impact the Company relate to the timing and amount of certain tax deductions including FDII, depreciation expense, R&D expenditures and interest expense. The tax law changes did not have an impact on the tax provision in the third quarter of 2025.The effective tax rate reported in any given year will continue to be influenced by a variety of factors, including timing differences between the recognition of book and tax revenue, the level of pre-tax income or loss, the foreign vs. domestic classification of the Company’s customers, and any discrete items that may occur.During the nine months ended September 30, 2025 and 2024, the Company paid approximately $78.6 million and $14.5 million, respectively, in foreign source creditable withholding tax.

19

8.  NET INCOME PER SHARE

Basic Earnings Per Share ("EPS") is calculated by dividing net income or loss available to common shareholders by the weighted-average number of common shares outstanding for the period. Diluted EPS reflects the potential dilution that could occur if options or other securities with features that could result in the issuance of common stock were exercised or converted to common stock or resulting from the unvested outstanding restricted stock units ("RSUs"). The following tables reconcile the numerator and the denominator of the basic and diluted net income per share computation (in thousands, except for per share data): Three Months Ended September 30,Nine Months Ended September 30,2025202420252024Net income$67,503 $34,190 $363,673 $225,506 Weighted-average shares outstanding:Basic25,797 25,149 25,818 25,286 Dilutive effect of stock options and RSUs1,207 1,067 1,172 917 Dilutive effect of warrants3,645 1,379 3,149 472 Dilutive effect of convertible securities4,276 2,439 3,912 2,084 Diluted34,925 30,034 34,051 28,759 Earnings per share:Basic$2.62 $1