Income Taxes

9 Months Ended

Oct. 31, 2024

Income Tax Disclosure [Abstract]

Income Taxes

Note 12 – Income Taxes

The Company recorded a tax expense of $1.9 million and $15.0 million for the three months ended October 31, 2024 and 2023, respectively, and $5.1 million and $19.3 million for the nine months ended October 31, 2024 and 2023, respectively. For the three months ended October 31, 2024, the income tax provision consisted of taxes on the income of the Company's foreign subsidiaries, foreign withholding taxes, and U.S. state taxes. For the three months ended October 31, 2023, the income tax provision consisted of taxes on the income of the Company's foreign subsidiaries, foreign withholding taxes, and U.S. state taxes, as well as the impact of integrating the operations of Laminar. For the nine months ended October 31, 2024, the income tax provision consisted of taxes on the income of the Company’s foreign subsidiaries, foreign withholding taxes, and U.S. state taxes partially offset by a U.S. federal & state tax benefit as a result of several of the Company's foreign subsidiaries making an election in the current year to be treated as U.S.

branches for federal income tax purposes effective in the fiscal year ended January 31, 2024. For the nine months ended October 31, 2023, the income tax provision consisted of taxes on the income of the Company's foreign subsidiaries, foreign withholding taxes, and U.S. state taxes as well as the impact of integrating the operations of Laminar.

As of October 31, 2024, the Company maintained a full valuation allowance on its U.S. federal and state net deferred tax assets as it was more likely than not that those deferred tax assets will not be realized.