05/15/2025 | Press release | Distributed by Public on 05/15/2025 12:00
Item 7.01 Regulation FD Disclosure.
Non-GAAP Financial Information
The following tables contain a reconciliation of the non-GAAP financial measures to the most directly comparable GAAP financial measures (in thousands):
Three Months Ended March 31, 2025 |
Income |
Net income |
||||||
GAAP |
$ |
1,972 |
$ |
2,319 |
||||
Stock-based compensation expense |
371 |
371 |
||||||
Adjustment for taxes (1) |
- |
(43 |
) |
|||||
Non-GAAP |
$ |
2,343 |
$ |
2,647 |
||||
(1) Adjustment for taxes based on an assumed 11.59% effective tax rate for fiscal 2025 as of March 31, 2025. |
Three Months Ended March 31, 2024 |
Income |
Net income |
||||||
GAAP |
$ |
4,192 |
$ |
4,380 |
||||
Stock-based compensation expense |
399 |
399 |
||||||
Adjustment for taxes (1) |
- |
(47 |
) |
|||||
Non-GAAP |
$ |
4,591 |
$ |
4,732 |
||||
(1) Adjustment for taxes based on an assumed 11.79% effective tax rate for fiscal 2024 as of March 31, 2024. |
Note on non-GAAP financial information: The Company uses non-GAAP measures of adjusted income from operations and net income, which are adjusted from results based on GAAP to exclude certain expenses. These non-GAAP financial measures are provided to enhance the user's overall understanding of the Company's current financial performance and its prospects for the future. Specifically, the Company's management believes that non-GAAP results provide useful information to the Company's board of directors, management and investors as these non-GAAP results exclude certain expenses that management believes are not indicative of the Company's core operating results and can be impacted by factors beyond management's direct control, such as the market price of the Company's Japanese Depositary Shares. These non-GAAP results are some of the primary measurements management uses to assess the Company's performance, allocate resources and plan for future periods. Reported non-GAAP results should only be considered as supplemental to results prepared in accordance with GAAP, and not considered as a substitute for, or superior to, GAAP results. These non-GAAP measures may differ from the non-GAAP measures reported by other companies in the Company's industry. A reconciliation of non-GAAP guidance measures to corresponding GAAP measures on a forward-looking basis is not available due to high variability and low visibility with respect to the charges which are excluded from these non-GAAP measures.