Company: FSLY
Filing Date: 2025-05-07
Form Type: 10-Q
Source: 0001517413-25-000111
Chunk: 435

Company: Fastly, Inc.
Filing Date: 2025-05-07
Form: 10-Q
Item: Part I, Item 2
Chunk 435
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 period to period due to the timing and extent of these expenses.

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General and Administrative

General and administrative expenses consist primarily of personnel costs, including salaries, benefits, bonuses, and stock-based compensation for our administrative support personnel. General and administrative expenses also include costs related to legal and other professional services fees, an allocation of our general overhead expenses, credit losses and acquisition-related costs.

In the near term, we expect to continue to incur costs associated with supporting the growth of our business, including international expansion, but expect these costs to decrease as a percentage of our revenue over the long term as we continue to drive efficiencies in our operations. However, our general and administrative expenses may fluctuate as a percentage of our revenue from period to period due to the timing and extent of these expenses. 

Other Income and Expenses 

Our interest income consists primarily of interest earned on our cash, cash equivalents and investments. Our interest expense consists primarily of the interest expense on our finance leases, amortization of discount, coupon interest expense, and debt issuance costs associated with our debt obligations. Our other expense, net, consists primarily of foreign currency transaction gains and losses. 

Income Taxes

Our income tax expense consists primarily of income taxes in certain foreign jurisdictions where we conduct business and state minimum income taxes in the United States. We currently maintain a full valuation allowance on our U.S. Federal and state net deferred tax assets. We expect to maintain this valuation allowance for the foreseeable future.

Results of Operations

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

Three months endedMarch 31,20252024(in thousands)Condensed Consolidated Statement of Operations:Revenue$144,474 $133,520 Cost of revenue67,676 60,286 Gross profit76,798 73,234 Operating expenses:Research and development37,429 38,248 Sales and marketing49,313 49,607 General and administrative28,235 31,639 Total operating expenses114,977 119,494 Loss from operations(38,179)(46,260)Interest income2,975 3,848 Interest expense(3,173)(579)Other expense, net(80)(89)Loss before income tax expense(38,457)(43,080)Income tax expense 691 347 Net loss attributable to common stockholders$(39,148)$(43,427)

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The following tables set forth our results of operations for the period presented as a percentage of