Company: BL
Filing Date: 2025-11-07
Form Type: 10-Q
Source: 0001628280-25-050628
Chunk: 21

Company: BLACKLINE, INC.
Filing Date: 2025-11-07
Form: 10-Q
Item: Part I, Item 1
Chunk 21
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 tax expense, respectively. For the nine months ended September 30, 2025 and 2024, the Company recorded $15.5 million and $7.3 million in income tax expense, respectively. The increase in income tax expense for the quarter and nine months ended September 30, 2025 compared to the quarter and nine months ended September 30, 2024, resulted primarily from non-deductible officer compensation and stock-based compensation shortfalls, along with changes in the mix of profitable foreign jurisdictions, partially offset by the release of existing valuation allowance with respect to BlackLine K.K. deferred tax assets in the quarter ended September 30, 2025.On July 4, 2025, the legislation formally titled “An Act to Provide for Reconciliation Pursuant to Title II of H. Con. Res. 14” and commonly referred to as the “One Big Beautiful Bill” (“OBBB”) was enacted. The OBBB adjusted a number of provisions affecting businesses, including the immediate expensing of domestic research and development costs, limitations on deductions for interest expense, and accelerated fixed asset depreciation. The OBBB provisions did not have a material impact on the Company’s effective tax rate but several timing provisions are expected to result in significant 2025 cash tax savings.

20

Note 12 – Net Income per Share

The following table sets forth the computation of basic and diluted net income per share (in thousands, except per share amounts):Quarter Ended September 30,Nine Months Ended September 30,2025202420252024Basic net income per shareNumerator:Net income attributable to BlackLine, Inc.$5,285 $17,238 $19,632 $104,757 Denominator:Weighted average shares61,157 62,250 62,035 61,958 Basic net income per share attributable to BlackLine, Inc.$0.09 $0.28 $0.32 $1.69 Diluted net income per shareNumerator:Net income attributable to BlackLine, Inc.$5,285 $17,238 $19,632 $104,757 Interest expense, net of taxes99 2,398 354 5,499 Gain on extinguishment of convertible senior notes, net of taxes— — — (62,147)Net income attributable to BlackLine, Inc. for diluted calculation$5,384 $19,636