Company: ALGN
Filing Date: 2025-08-06
Form Type: 10-Q
Source: 0001097149-25-000064
Chunk: 149

Company: ALIGN TECHNOLOGY INC
Filing Date: 2025-08-06
Form: 10-Q
Item: Item 8
Chunk 149
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 from operations$352,748 $370,416 $671,435 $706,347 1    Management has identified cost of net revenues as a significant expense for our Clear Aligner and Systems and Services reportable segments.Other segment expenses typically include employee related costs, marketing and advertising costs and depreciation and amortization expense incurred by various functions including selling, marketing, general and administrative and research and development. Our CODM does not regularly receive these operating expenses at the reportable segment level. Income from operations for each segment includes all geographic revenues, related cost of net revenues and operating expenses directly attributable to the reportable segment. Certain operating expenses are not directly attributable to a reportable segment and must be allocated. Each allocation is measured differently based on the nature of the cost being allocated. Certain other operating expense are not specifically allocated to segment income from operations and generally include various corporate expenses such as stock-based compensation and costs related to information technology (“IT”), facilities, human resources, accounting and finance, legal and regulatory, other separately managed general and administrative costs outside the reportable segments and restructuring costs.The following table reconciles total segment income from operations in the table above to net income before provision for (benefit from) income taxes (in thousands): Three Months EndedJune 30,Six Months EndedJune 30,2025202420252024Total segment income from operations$352,748 $370,416 $671,435 $706,347 Unallocated corporate expenses(189,715)(223,370)(377,302)(405,166)Total income from operations163,033 147,046 294,133 301,181 Interest income2,859 3,301 8,175 7,693 Other income (expense), net7,624 (6,481)11,650 (6,622)Net income before provision for income taxes$173,516 $143,866 $313,958 $302,252 The following table includes certain non-cash expenses for each reportable segment (in thousands):

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 Three Months EndedJune 30,Six Months EndedJune 30,2025202420252024Stock-based compensationClear Aligner$6,065 $8,619 $11,883 $12,383 Systems and Services403 421 806 780 Unallocated corporate expenses41,740 37,988 80,516 72,653 Total stock-based compensation$