Company: AIP
Filing Date: 2025-05-13
Form Type: 10-Q
Source: 0001667011-25-000022
Chunk: 350

Company: Arteris, Inc.
Filing Date: 2025-05-13
Form: 10-Q
Item: Part I, Item 2
Chunk 350
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 of subsidiary, realized gains and losses from available-for-sale investments as well as deferred income.

Loss from equity method investment: Loss from equity method investment consists of our proportionate share of net losses from our equity method investee. 

Provision for income taxes: Our income tax provision consists primarily of income taxes in certain foreign jurisdictions in which we conduct business and includes foreign non-recoverable withholding taxes. We have a full valuation allowance against our U.S. federal and state deferred tax assets as the realization of the full amount of these deferred tax assets is uncertain, including net operating loss carryforwards and tax credits related primarily to research and development. We expect to maintain this full valuation allowance until it becomes more likely than not that the deferred tax assets will be realized.

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Results of Operations

The following table summarizes our GAAP results of operations for the periods presented. The results below are not necessarily indicative of results to be expected for future periods. 

Three Months EndedMarch 31,20252024(in thousands)Total revenue$16,532 $12,947 Cost of revenue (1)1,526 1,468 Gross profit15,006 11,479 Operating expenses:Research and development (1)11,862 10,835 Sales and marketing (1)6,529 5,456 General and administrative (1)4,323 4,322 Total operating expenses22,714 20,613 Loss from operations(7,708)(9,134)Interest expense(48)(76)Other income (expense), net718 936 Loss before income taxes and loss from equity method investment(7,038)(8,274)Loss from equity method investment, net of tax815 759 Provision for income taxes268 370 Net loss$(8,121)$(9,403)

(1)Includes stock-based compensation expense as follows: 

Three Months EndedMarch 31,20252024(in thousands)Cost of revenue$205 $189 Research and development1,973 1,608 Sales and marketing969 723 General and administrative1,166 1,137 Total stock-based compensation$4,313 $3,657 

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The following table summarizes our results of operations as a percentage of total revenue for each of the periods indicated:

Three Months EndedMarch 31,20252024(as a percentage of total revenue)Total revenue100 %100 %Cost of revenue9