Company: MSTR
Filing Date: 2025-02-18
Form Type: 10-K
Source: 0000950170-25-021814
Chunk: 478

Company: Strategy Inc
Filing Date: 2025-02-18
Form: 10-K
Item: Item 2
Chunk 478
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2024

    2023

    Reconciliation of non-GAAP loss from operations:

    Loss from operations
     
    $
    (1,852,978
    )
     
    $
    (115,047
    )

    Share-based compensation expense

    77,124

    69,571

    Non-GAAP loss from operations
     
    $
    (1,775,854
    )
     
    $
    (45,476
    )

Non-GAAP net (loss) income and non-GAAP diluted (loss) earnings per share

Non-GAAP net (loss) income and non-GAAP diluted (loss) earnings per share each exclude the impact of (i) share-based compensation expense, (ii) interest expense arising from the amortization of debt issuance costs on our long-term debt, (iii) gains and losses on extinguishment of debt, and (iv) related income taxes. We believe non-GAAP net (loss) income and non-GAAP diluted (loss) earnings per share offer management and investors insight as they exclude significant non-cash expenses, gains and losses on debt extinguishment, and their related income tax effects. The following are reconciliations of our non-GAAP net (loss) income and non-GAAP diluted (loss) earnings per share to net (loss) income and diluted (loss) earnings per share, respectively, their most directly comparable GAAP measures (in thousands, except per share data), for the periods indicated: 

    Years Ended December 31,

    2024

    2023

    Reconciliation of non-GAAP net (loss) income:

    Net (loss) income
     
    $
    (1,166,661
    )
     
    $
    429,121

    Share-based compensation expense

    77,124

    69,571

    Interest expense arising from amortization of debt issuance costs

    15,336

    8,808

    Loss (gain) on debt extinguishment

    22,933

    (44,686
    )

    Income tax effects (1)

    (243,102
    )

    (6,062
    )

    Non-GAAP net (loss) income
     
    $
    (1,294,370
    )
     
    $
    456,752

    Reconciliation of non-GAAP diluted (loss) earnings per share (2):