Company: WHWK
Filing Date: 2025-03-28
Form Type: 10-K
Source: 0001628280-25-015269
Chunk: 194

Company: Whitehawk Therapeutics, Inc.
Filing Date: 2025-03-28
Form: 10-K
Item: Item 1B
Chunk 194
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174 capitalized research expense20,061 14,153 Investment in subsidiary34,112 — Other7,135 6,131 Total deferred tax assets122,288 72,704 Valuation allowance(121,898)(72,144)Total gross deferred tax assets, net of valuation allowance390 560 Deferred tax liabilities:Other(390)(560)Total gross deferred tax liabilities(390)(560)Net deferred tax assets (liabilities)$— $— Deferred income tax assets and liabilities are recorded for differences between the financial statement and tax basis of the assets and liabilities that will result in taxable or deductible amounts in the future based on enacted laws and rates applicable to the periods in which the differences are expected to affect taxable income. Valuation allowances are established when necessary to reduce deferred tax assets to the amount expected to be realized in future periods.The Company has evaluated the available evidence supporting the realization of its gross deferred tax assets, including the amount and timing of future taxable income and has determined it is more likely than not that the assets will not be 

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realized. As a result, the Company has concluded that a full valuation allowance against its deferred tax asset is necessary at this time.As of December 31, 2024, the Company has federal and state net operating loss (“NOL”) carryforwards of $207.0 million and $118.2 million, respectively. Of the amount of federal and state NOL carryforwards, $162.8 million and $30.9 million, respectively, can be carried forward indefinitely. The remaining federal and state NOL carryforwards begin to expire in 2030 and 2037, respectively, unless previously utilized. The Company also has federal and state research credit carryforwards of approximately $12.1 million and $4.0 million, respectively, as of December 31, 2024. The federal and New Jersey research credit carryforwards will begin to expire in 2037 and 2027, respectively, unless previously utilized. The California research and development (“R&D”) credit will carry forward indefinitely. The increase in the valuation allowance is $49.8 million and $19.4 million for the years ended December 31, 2024 and 2023, respectively.Pursuant to Section 382 and 383 of the Internal Revenue Code (“IRC”), utilization of the Company’s NOL carryforwards and R&D credits may be subject to annual limitations in the event of any significant future