Company: AAOI
Filing Date: 2025-05-08
Form Type: 10-Q
Source: 0001437749-25-015518
Chunk: 27

Company: APPLIED OPTOELECTRONICS, INC.
Filing Date: 2025-05-08
Form: 10-Q
Item: Part I, Item 1
Chunk 27
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 Cost of goods sold   69,232   33,082 
 Adjusted research and development   17,535   11,429 
 Adjusted sales and marketing   5,034   3,512 
 Adjusted general and administrative   12,888   9,884 
 Other segment items   4,342   5,936 
 Total  $(9,172) $(23,170)

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   We exclude share-based compensation and related expense, certain legal expenses associated with litigation and other one-time expenses from adjusted research and development, adjusted sales and marketing and adjusted general and administrative expenses.
    
   Other segment items include share-based compensation expense, interest expense, interest income, certain legal expenses associated with litigation and other one-time items. 
    
   The following tables set forth the Company’s revenue and asset information by geographic region. Revenue is classified based on the location of where the product is manufactured. Long-lived assets in the tables below comprise property, plant, equipment, land use rights, right of use assets and intangible assets (in thousands):
   ​
   
       Three months ended March 31,  
 ​   2025    2024  
 Revenues:   ​    ​  
 United States  $1,150  $2,710 
 Taiwan   70,881   24,703 
 China   27,828   13,260 
 Total  $99,859  $40,673 

     ​   March 31,    December 31,   
 ​   2025    2024  
 Long-lived assets:   ​    ​  
 United States  $71,217  $71,867 
 Taiwan   66,885   57,907 
 China   121,016   107,624 
 Total  $259,118  $237,398 

       17

   Note 18.  Contingencies
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   Litigation
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   From time to time, the Company  may be subject to legal proceedings and litigation arising in the ordinary course of business, including, but not limited to, inquiries, investigations, audits and other regulatory proceedings, such as described below. The Company records a loss provision when it believes it is both probable that a liability has been incurred and the amount can be reasonably estimated.