Company: ACIW
Filing Date: 2025-02-27
Form Type: 10-K
Source: 0000935036-25-000006
Chunk: 44

Company: ACI WORLDWIDE, INC.
Filing Date: 2025-02-27
Form: 10-K
Item: Item 15
Chunk 44
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 Capitalized research and development20,102 16,903 Deferred interest27,807 17,822 Other2,455 951 Gross deferred income tax assets121,838 107,930 Less: valuation allowance(13,310)(12,963)Net deferred income tax assets$108,528 $94,967 Deferred income tax liabilities:Depreciation and amortization$(30,957)$(31,741)Operating lease right-of-use asset(6,079)(7,303)Unbilled revenue(7,938)(5,407)Withholding tax liability(30,761)(32,752)Total deferred income tax liabilities(75,735)(77,203)Net deferred income taxes$32,793 $17,764 Deferred income taxes / liabilities included in the balance sheet are:Deferred income tax asset – noncurrent$72,713 $58,499 Deferred income tax liability – noncurrent(39,920)(40,735)Net deferred income taxes$32,793 $17,764 In assessing the realizability of deferred tax assets, the Company considers whether it is more likely than not that some portion or all of the deferred tax assets will not be realized. The ultimate realization of deferred tax assets is dependent upon the generation of future taxable income during the periods in which those temporary differences become deductible. The Company considers projected future taxable income, carryback opportunities, and tax planning strategies in making this assessment. Based upon the level of historical taxable income and projections for future taxable income over the periods which the deferred tax assets are deductible, the Company believes it is more likely than not that it will realize the benefits of these deductible differences, net of the valuation allowances recorded. At December 31, 2024, valuation allowances recorded primarily related to net operating losses, foreign tax credit carryforwards, and future interest deductions.At December 31, 2024, the Company had domestic federal tax net operating losses (“NOLs”) of $42.8 million, of which $2.9 million may be utilized over an indefinite life, with the remainder beginning to expire in 2025. The Company had deferred tax assets equal to $0.7 million related to domestic state tax NOLs which will begin to expire in 2025. The Company did not have any valuation allowance against the federal tax NOLs but had provided a $0.4 million valuation allowance against the deferred tax asset associated with the state NOLs