Company: VSAT
Filing Date: 2025-02-10
Form Type: 10-Q
Source: 0000950170-25-016993
Chunk: 57

Company: VIASAT INC
Filing Date: 2025-02-10
Form: 10-Q
Item: Part I, Item 1
Chunk 57
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 of the settlement and licensing agreement, the Company receives certain payments, which may vary based on sales of licensed products. In the first quarter of fiscal year 2025, the Company received a payment of approximately $41.7 million, which was recognized as product revenue in the Company’s defense and advanced technologies segment for the nine months ended December 31, 2024. In the second quarter of fiscal year 2024, the Company received a payment, of which $99.9 million was recognized as product revenue in the Company’s defense and advanced technologies segment and $7.2 million as interest income for the nine months ended December 31, 2023. The Company may from time to time receive additional licensing and royalty payments under the settlement and licensing agreement.

Note 10 — Income TaxesFor the three and nine months ended December 31, 2024, the Company recorded income tax benefits of $11.8 million and $4.7 million, respectively, resulting in effective tax rates of 7% and 2%, respectively. The effective tax rates for the periods differed from the U.S. statutory rate primarily due to a U.S. valuation allowance, foreign tax rate differences, and decreases in the Company's unrecognized tax benefits.For the three and nine months ended December 31, 2023, the Company recorded income tax benefits of $34.5 million and $128.1 million, respectively, resulting in effective tax rates of 22% and 12%, respectively. The effective tax rate for the three months ended December 31, 2023 did not differ significantly from the U.S. statutory rate despite a valuation allowance recorded against the Company's U.S. net deferred tax assets primarily due to the impacts of purchase price allocation adjustments with respect to the Inmarsat Acquisition recorded in the third quarter of fiscal year 2024. While the effective tax rate for the three months ended December 31, 2023 did not significantly differ from the U.S. statutory rate, the effective tax rate for the nine months ended December 31, 2023 differed from the U.S. statutory rate primarily due to a valuation allowance recorded against the Company's U.S. net deferred tax assets during the second quarter of fiscal year 2024.During the second quarter of fiscal year 2024, in evaluating the Company’s ability to realize its U.S. net deferred tax assets, the Company considered all available positive and negative evidence, including but not limited to operating results, forecasted ranges of future taxable income, and