Company: LIDRW
Filing Date: 2025-02-24
Form Type: 10-K
Source: 0001437749-25-004906
Chunk: 334

Company: AEye, Inc.
Filing Date: 2025-02-24
Form: 10-K
Item: Item 1C
Chunk 334
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   2,364 
 Operating lease liabilities   1,208   4,967 
 Capitalized R&D expenses   12,401   14,194 
 Other accruals   1,715   689 
 Gross deferred tax assets   107,928   102,068 
 Valuation allowance   (107,734)  (98,840)
 Deferred tax assets net of valuation allowance   194   3,228 
 Deferred tax liabilities:         
 Right-of-use assets   (194)  (3,228)
 Gross deferred tax liabilities   (194)  (3,228)
 Total deferred tax assets (liabilities), net  $—  $— 

   The Company reports income taxes in accordance with ASC 740, which requires an asset and liability approach in accounting for income taxes. Deferred tax assets and liabilities are recognized for the future tax consequences attributable to differences between the financial statement carrying amounts of existing assets and liabilities and their respective tax bases, as well as net operating loss and tax credit carryforwards. Deferred tax amounts are determined by using the enacted tax rates expected to be in effect when the temporary differences are expected to be recovered or settled. The effect on deferred tax assets and liabilities of a change in tax rates is recognized in income in the period that includes the enactment date. A valuation allowance reduces the deferred tax assets to the amount that is more likely than not to be realized.
    
   Realization of deferred tax assets is dependent on future taxable earnings, if any, the timing and amount of which are uncertain. The Company has a history of operating losses and has incurred cumulative book losses since its formation. Based upon the history of losses, the Company has determined that it is more likely than not that the net deferred tax assets will not be realized, and accordingly, a full valuation allowance has been recorded. The valuation allowance as of  December 31, 2024 was $107,734 which increased from $98,840 at  December 31, 2023. The increase in the valuation allowance is primarily related to additional deferred tax assets recorded for net operating losses and research credits generated during the year ended  December 31, 2024.
    
   As of  December 31, 2024, the Company had $284,368 and $241,652 of federal and state net operating losses available to reduce future taxable income, respectively, of which $12,