Twist Bioscience Corp
For the period ended Jun 30, 2025. Filed Aug 4, 2025.
View on SEC.govAbout this filing
A company's report for each of its first three quarters. The financial statements are not audited. It shows how the business has moved since the last annual report, and what management says changed.
Jun 30, 2025 · Filed Aug 4, 2025
TWST$120.79+0.1%Stored close · as of Nov 6, 2026
What changed in Management’s Discussion and Analysis?
Read the current filingPrevious report: 10-Q
Period ended 2025-03-31; filed 2025-05-05.
0001628280-25-022154
Item 2. Management’s Discussion and Analysis of Financial Condition and Results of OperationsCurrent report: 10-Q
Period ended 2025-06-30; filed 2025-08-04.
0001581280-25-000009
Item 2. Management’s Discussion and Analysis of Financial Condition and Results of OperationsThe baseline is this issuer’s latest earlier reporting period of the same form that was filed before the current report. A previous 10-Q is a different quarter, not a year-over-year comparison. Amendments are excluded.
Compared 80 previous paragraphs and 93 current paragraphs.
50 unchanged; 25 reworded; 18 added; 5 removed; 0 previous and 0 current paragraphs rearranged.
Tables are not compared: 20 previous and 24 current tables excluded. Dates, whitespace, punctuation and numbering changes are ignored; changes to financial figures remain significant.
A changed paragraph is not evidence that risk increased or decreased. An unchanged paragraph does not establish that risk stayed the same.
Added paragraphs (18)
Current report
We sold our DNA Data Storage business to Atlas Data Storage, Inc. ("Atlas"), a newly formed company, that will focus solely on DNA data storage technology and commercialization, with $155.0 million in seed financing round from third-party investors. The purpose of the transaction is to unlock value by accelerating data storage technology development and allowing each company to focus strategically on its unique products, customers and investors. Under the terms of the contribution agreement executed with Atlas, we assigned and licensed our DNA data storage technology to Atlas in exchange of receiving a minority ownership interest upon close, an upfront cash payment and a secured promissory note. We retain an ownership stake in Atlas and may participate in the upside of DNA data storage through future technology and commercial milestone payments, and a revenue share through royalties on future sales of Atlas’ products and services.
Current report
•Gross margin increased to 53.4% from 43.3% mainly due to increase in revenues and holding manufacturing costs relatively flat;
Current report
•Gain on the sale of DNA digital data storage business of $48.8 million.
Current report
Research and development expenses decreased 20% to $18.0 million for the three months ended June 30, 2025, as compared to $22.5 million for the three months ended June 30, 2024. The decrease is primarily due to decreases in personnel costs of $2.4 million, stock-based compensation expenses of $1.5 million and depreciation expense of $0.6 million. The reduction in personnel expense and stock-based compensation expense is mainly due to the transition of the DNA digital data storage employees related to the sale of DNA digital data storage business during three months ended June 30, 2025.
Current report
Impairment of long-lived assets
Current report
We recognized impairment of intangible assets and property and equipment of $44.9 million related to the Biopharma asset group during the three months ended June 30, 2024.
Current report
Gain on Sale of business
Current report
We recognized gain on sale of business of $48.8 million related to the sale of our DNA digital data storage business during three months ended June 30, 2025.
Current report
Comparison of the Nine Months Ended June 30, 2025 and 2024
Current report
Research and development expenses decreased 9% to $63.3 million for the nine months ended June 30, 2025, as compared to $69.7 million for the nine months ended June 30, 2024. The decrease is primarily due to a decrease in personnel costs of $3.3 million, stock-based compensation expense of $1.4 million and depreciation expense of $1.5 million. The reduction in personnel expense and stock-based compensation expense is mainly due to the transition of the DNA digital data storage employees related to the sale of DNA digital data storage business during nine months ended June 30, 2025.
Current report
Impairment of long-lived assets
Current report
We recognized impairment of intangible assets and property and equipment of $44.9 million related to the Biopharma asset group during the nine months ended June 30, 2024.
Current report
Gain on Sale of business
Current report
We recognized gain on sale of business of $48.8 million related to sale of DNA digital data storage business during nine months ended June 30, 2025.
Current report
On May 2, 2025, the Company executed the Contribution Agreement with Atlas for the sale and transfer of its DNA digital data storage assets including the related intellectual property, equipment and contracts and the license of certain other intellectual property and the license of certain other intellectual property for a consideration of 73.0 million shares of Series Seed-1 Preferred Shares of Atlas, upfront cash consideration of $2.5 million, promissory notes of $2.0 million issued by Atlas, contingent manufacturing and commercial milestone payments of up to $75.0 million, and royalty payments based on a percentage of Atlas sales of the DNA data storage products (see note 15 of the condensed consolidated financial statements included elsewhere in this Form 10-Q).
Current report
Calculation of Gain on Sale of business
Current report
On May 2, 2025, we measured the fair value of our investment in Series Seed-1 Preferred Stock of Atlas using the backsolve method with consideration for a lack of marketability. The backsolve method was used to solve for the implied total equity value based on the recent Series Seed financing round by Atlas to third-party investors. Consideration was given to the rights and preferences of each of the classes of equity of Atlas and the expected time to a liquidity event. An option pricing allocation method, or OPM, was selected to allocate the total equity value. The OPM treats ordinary shares and preferred shares as call options on the total equity value of a company, with exercise prices based on the value thresholds at which the allocation among the various holders of a company’s securities changes. Under this method, the Series Seed-1 Preferred Stock held by the Company will have value only if the funds available for distribution to shareholders exceeded the value of the Preferred Shares’ liquidation preference at the time of the liquidity event, such as a strategic sale or a merger.
Current report
Equity investments held by the Company lack readily determinable fair values and therefore the securities are measured at cost minus impairment, if any, plus or minus changes resulting from observable price changes in orderly transactions for the identical or similar equity securities of the same issuer. The Company reviews the carrying value of its equity investments for impairment whenever events or changes in business circumstances indicate the carrying amount of such asset may not be fully recoverable. Impairments, if any, are based on the excess of the carrying amount over the recoverable amount of the asset.
Removed paragraphs (5)
Previous report
•Gross margin increased to 49.6% from 41.0% mainly due to increase in revenues and the fixed costs being spread over a larger revenue base;
Previous report
•Net loss decreased to $39.3 million from $45.5 million and net loss per share, basic and diluted, decreased to $0.66, a significant improvement from the net loss per share of $0.79;
Previous report
Research and development expenses decreased 1% to $23.9 million for the three months ended March 31, 2025, as compared to $24.1 million for the three months ended March 31, 2024. The decrease is primarily due to a decrease in personnel costs of $0.7 million offset by increases in IT services costs of $0.2 million, stock compensation expenses of $0.2 million and lab supplies of $0.1 million.
Previous report
Comparison of the Six Months Ended March 31, 2025 and 2024
Previous report
Research and development expenses decreased 4% to $45.2 million for the six months ended March 31, 2025, as compared to $47.2 million for the six months ended March 31, 2024. The decrease is primarily due to a decrease in personnel costs of $0.9 million, outside service costs of $0.9 million and facilities costs of $0.1 million.
Reworded paragraphs (25)
Previous wording
Since our inception, we have incurred net losses each year. Our net losses for the three months ended March 31, 2025 was $39.3 million compared to $45.5 million for the three months ended March 31, 2024. As of March 31, 2025, we have accumulated net deficit of $1,312.8 million and cash, cash equivalents and short-term investments of $257.1 million. Our ability to generate product revenue sufficient to achieve profitability will depend heavily on the success of our existing products and the development and commercialization of additional products in the synthetic biology and biologic drug industries as well as leveraging our investment in our manufacturing facility in Wilsonville, Oregon.
Current wording
Since our inception, we have incurred net losses each year. Our net income for the three months ended June 30, 2025 was $20.4 million due to sale of DNA Data Storage business compared to net loss of $85.6 million, which included impairment of long-lived assets of $44.9 million for the three months ended June 30, 2024. As of June 30, 2025, we have accumulated net deficit of $1,292.4 million and cash, cash equivalents and short-term investments of $250.8 million. Our ability to generate product revenue sufficient to achieve profitability will depend heavily on the success of our existing products and the development and commercialization of additional products in the synthetic biology and biologic drug industries as well as leveraging our investment in our manufacturing facility in Wilsonville, Oregon.
Previous wording
•Increase in revenues of 23% to $92.8 million from $75.3 million, primarily due to growth in NGS tools and synthetic genes revenues;
Current wording
•Increase in revenues of 18% to $96.1 million from $81.5 million, primarily due to growth in NGS tools and synthetic genes revenues;
Previous wording
•Loss from operations decreased to $41.6 million from $48.9 million primarily due to increases in revenues and gross profit;
Current wording
•Loss from operations decreased to $30.1 million from $88.9 million primarily due to impairment of long-lived assets recorded in the three months ended June 30, 2024 and increases in revenues and gross profit in the three months ended June 30, 2025;
Previous wording
•Net cash used in operating activities decreased to $13.0 million from $19.4 million.
Current wording
•Net cash used in operating activities decreased to $1.4 million from $6.4 million.
Previous wording
The number of customers who purchased products from us were approximately 2,431 and 2,253 customers for the three months ended March 31, 2025 and 2024, respectively.
Current wording
The number of customers who purchased products from us were approximately 2,484 and 2,300 customers for the three months ended June 30, 2025 and 2024, respectively.
Previous wording
Revenues increased 23% to $92.8 million for the three months ended March 31, 2025, as compared to $75.3 million for the three months ended March 31, 2024. The increase in revenues primarily reflects growth in NGS tools revenue of $10.4 million and growth in synthetic genes revenue of $5.9 million, which is primarily attributable to increase in revenues from our customers in the healthcare, industrial chemicals/materials and academic research industries and an increase in the number of customers. The number of our genes shipped in the three months ended March 31, 2025 increased to approximately 227,000 genes compared to approximately 193,000 genes in the three months ended March 31, 2024, an increase of 18%.
Current wording
Revenues increased 18% to $96.1 million for the three months ended June 30, 2025, as compared to $81.5 million for the three months ended June 30, 2024. The increase in revenues primarily reflects growth in NGS tools revenue of $11.9 million and growth in synthetic genes revenue of $2.7 million, which is primarily attributable to increase in revenues from our customers in the healthcare and academic research industries and an increase in the number of customers. The number of our genes shipped in the three months ended June 30, 2025 increased to approximately 237,000 genes compared to approximately 212,000 genes in the three months ended June 30, 2024, an increase of 12%.
Previous wording
Cost of revenues increased 5% to $46.8 million for the three months ended March 31, 2025, as compared to $44.4 million for the three months ended March 31, 2024. The increase is primarily attributable to an increase in material costs of $3.0 million due to higher sales volume, increase in production overheads including facilities, IT services, and lab supplies of $0.6 million, and an increase in stock-based compensation of $1.0 million. The increase was partially offset by a decrease in depreciation and amortization expense of $1.4 million due to impairment of long-lived assets in fiscal year 2024 and a decrease in outside services of $0.9 million. Gross margin increased 859 basis points to 49.6% for the three months ended March 31, 2025 as compared to 41.0% for the three months ended March 31, 2024 mainly due to increase in revenues and the fixed costs being spread over a larger revenue base as well as the impact of continuous process improvement.
Current wording
Cost of revenues decreased 3% to $44.8 million for the three months ended June 30, 2025, as compared to $46.2 million for the three months ended June 30, 2024. The decrease is primarily attributable to a decrease in depreciation and amortization expense of $1.7 million due to impairment of long-lived assets in fiscal year 2024, a decrease in production overheads including facilities, IT services, and laboratory supplies of $0.5 million and a decrease in material costs of $0.3 million. This decrease was partially offset by an increase in stock-based compensation expense of $1.0 million. Gross margin increased 10.1% to 53.4% for the three months ended June 30, 2025, as compared to 43.3% for the three months ended June 30, 2024, mainly due to increase in revenues and holding manufacturing costs relatively flat and driving additional cost savings through continuous process improvement.
Previous wording
Total selling, general and administrative expenses increased 14% to $63.7 million for the three months ended March 31, 2025, as compared to $55.6 million for the three months ended March 31, 2024. The increase is primarily due to increases in stock-based compensation expense of $5.3 million, third party spending of $1.8 million, and personnel costs of $1.3 million. The increase was partially offset by decrease in marketing costs of $0.5 million.
Current wording
Selling, general and administrative expenses increased 12% to $63.4 million for the three months ended June 30, 2025, as compared to $56.8 million for the three months ended June 30, 2024. The increase is primarily due to increases in stock-based compensation expense of $2.8 million, personnel costs of $1.9 million, marketing costs of $1.3 million, and IT services costs of $1.0 million. This increase was offset by decrease in other third party spending of $1.0 million.
Previous wording
Interest income decreased 29% to $2.8 million for the three months ended March 31, 2025, as compared to $3.9 million for the three months ended March 31, 2024, due to lower cash equivalents and short-term investments balance.
Current wording
Interest income decreased 27% to $2.7 million for the three months ended June 30, 2025, as compared to $3.7 million for the three months ended June 30, 2024, due to lower cash equivalents and short-term investments balance.
Previous wording
We recorded an income tax provision of $0.2 million and $0.3 million for the three months ended March 31, 2025 and March 31, 2024, respectively.
Current wording
We recorded an income tax provision of $0.2 million and $0.2 million for the three months ended June 30, 2025 and June 30, 2024, respectively.
Previous wording
Revenues increased 24% to $181.5 million for the six months ended March 31, 2025, as compared to $146.8 million for the six months ended March 31, 2024. The increase in revenues primarily reflects growth in NGS tools revenue of $19.6 million and growth in synthetic genes revenue of $12.6 million, which is primarily attributable to increase in revenues from our customers in the healthcare, industrial chemicals/materials and academic research industries and an increase in the number of customers. The number of our genes shipped in the six months ended March 31, 2025 increased to approximately 432,000 genes compared to approximately 364,000 genes in the six months ended March 31, 2024, an increase of 19%.
Current wording
Revenues increased 22% to $277.6 million for the nine months ended June 30, 2025, as compared to $228.3 million for the nine months ended June 30, 2024. The increase in revenues primarily reflects growth in NGS tools revenue of $31.5 million and growth in synthetic genes revenue of $15.4 million, which is primarily attributable to an increase in revenues from our customers in the healthcare, industrial chemicals/materials and academic research industries and an increase in the number of customers. The number of our genes shipped in the nine months ended June 30, 2025 increased to approximately 669,000 genes compared to approximately 576,000 genes in the nine months ended June 30, 2024, an increase of 16%.
Previous wording
Cost of revenues increased 7% to $92.6 million for the six months ended March 31, 2025, as compared to $87.0 million for the six months ended March 31, 2024. The increase is primarily attributable to an increase in material costs of $7.6 million due to higher sales volume, an increase in production overheads including facilities, IT services, and laboratory supplies of $1.3 million and an increase in personnel costs including stock-based compensation of $1.0 million. The increase was partially offset by a decrease in depreciation and amortization expense of $2.7 million due to impairment of long-lived assets in fiscal year 2024 and a decrease in outside services of $1.4 million. Gross margin increased 820 basis points to 49.0% for the six months ended March 31, 2025 as compared to 40.8% for the six months ended March 31, 2024 mainly due to increase in revenues and the fixed costs being spread over a larger revenue base as well as the impact of continuous process improvement.
Current wording
Cost of revenues increased 3% to $137.4 million for the nine months ended June 30, 2025, as compared to $133.1 million for the nine months ended June 30, 2024. The increase is primarily attributable to increases in material costs of $7.3 million due to higher sales volume, stock-based compensation expense of $2.3 million and production overheads costs including facilities, IT services, and laboratory supplies of $0.8 million. The increase was partially offset by decreases in depreciation and amortization expense of $4.4 million due to impairment of long-lived assets in fiscal year 2024 and outside services costs of $1.7 million. Gross margin increased 8.8% to 50.5% for the nine months ended June 30, 2025, as compared to 41.7% for the nine months ended June 30, 2024, mainly due to increase in revenues and holding manufacturing costs relatively flat and driving additional cost savings through continuous process improvement..
Previous wording
Total selling, general and administrative expenses increased 10% to $119.8 million for the six months ended March 31, 2025, as compared to $108.5 million for the six months ended March 31, 2024. The increase is primarily due to an increase in stock-based compensation expense of $6.1 million, third party spending of $3.4 million, and personnel costs of $2.0 million.
Current wording
Selling, general and administrative expenses increased 11% to $183.2 million for the nine months ended June 30, 2025, as compared to $165.3 million for the nine months ended June 30, 2024. The increase is primarily due to an increase in stock-based compensation expense of $8.9 million, personnel costs of $3.8 million, marketing costs of $1.2 million and other third party spending of $2.5 million.
Previous wording
Interest income decreased 25% to $6.0 million for the six months ended March 31, 2025, as compared to $8.1 million for the six months ended March 31, 2024, due to lower cash equivalents and short-term investments balance.
Current wording
Interest income decreased 26% to $8.7 million for the nine months ended June 30, 2025, as compared to $11.7 million for the nine months ended June 30, 2024, due to lower cash equivalents and short-term investments balance.
Previous wording
We recorded an income tax provision of $0.3 million and $0.5 million for the six months ended March 31, 2025 and March 31, 2024, respectively.
Current wording
We recorded an income tax provision of $0.5 million and $0.7 million for the nine months ended June 30, 2025 and June 30, 2024, respectively.
Previous wording
To date, we have financed our operations principally through public equity raises, private placements of our convertible preferred stock, borrowings from credit facilities and revenue from our commercial operations. At March 31, 2025, we had a balance of $210.4 million of cash and cash equivalents and $46.7 million in short-term investments.
Current wording
To date, we have financed our operations principally through public equity raises, private placements of our convertible preferred stock, borrowings from credit facilities and revenue from our commercial operations. At June 30, 2025, we had a balance of $201.4 million of cash and cash equivalents and $49.4 million in short-term investments.
Previous wording
During the six months ended March 31, 2025, we received an upfront payment of $15.0 million from XOMA (US) LLC ("XOMA") in cash in exchange for XOMA's right to receive half of the future potential milestone and royalty payments resulting from existing antibody discovery and biopharma services collaborations with Company’s partners. We accounted for the transaction as liability for the sale of future revenue under the accounting guidance for sale of future revenues (see note 15 of the condensed consolidated financial statements included elsewhere in this Form 10-Q).
Current wording
During the nine months ended June 30, 2025, we received an upfront payment of $15.0 million from XOMA (US) LLC ("XOMA") in cash in exchange for XOMA's right to receive half of the future potential milestone and royalty payments resulting from existing antibody discovery and biopharma services collaborations with the Company’s partners. We accounted for the transaction as liability for the sale of future revenue under the accounting guidance for sale of future revenues (see note 15 of the condensed consolidated financial statements included elsewhere in this Form 10-Q).
Previous wording
Our primary uses of capital are, and we expect will continue to be for the near future, compensation and related expenses, manufacturing costs, laboratory and related supplies, legal and other regulatory expenses and general overhead costs and capital expenditures. We had $4.9 million in commitments for capital expenditures as of March 31, 2025.
Current wording
Our primary uses of capital are, and we expect will continue to be for the near future, compensation and related expenses, manufacturing costs, laboratory and related supplies, legal and other regulatory expenses and general overhead costs and capital expenditures. We had $10.3 million in commitments for capital expenditures as of June 30, 2025.
Previous wording
Net cash used in operating activities was $34.4 million during the six months ended March 31, 2025 primarily due to a net loss of $70.9 million adjusted for non-cash items including depreciation and amortization expense of $12.8 million, stock-based compensation expense of $32.3 million and a net cash outflow from operating assets and liabilities of $9.4 million. The net cash outflow from operating assets and liabilities was mainly due to an increase in accounts receivable of $15.3 million due to timing of collections, a decrease in accrued compensation of $8.7 million offset by decreases in inventories of $3.2 million, increases in accrued expenses of $3.3 million, accounts payable of $6.4 million and other liabilities of $1.3 million. The changes in accrued compensation, accrued expenses, and accounts payable are due to timing of payments to vendors and employees.
Current wording
Net cash used in operating activities was $35.8 million during the nine months ended June 30, 2025 primarily due to a net loss of $50.5 million adjusted for non-cash items including depreciation and amortization expense of $18.8 million, stock-based compensation expense of $48.4 million, gain on sale of business of $48.8 million and a net cash outflow from operating assets and liabilities of $5.6 million. The net cash outflow from operating assets and liabilities was mainly due to an increase in accounts receivable of $15.2 million due to the increase in revenues and the timing of collections, increases in inventories of $1.9 million and prepaid and other current assets of $1.8 million, a decrease in accrued compensation of $4.7 million offset by increases in accounts payable of $9.6 million, other liabilities of $5.5 million and accrued expenses of $3.4 million. The changes in accrued compensation, accrued expenses, and accounts payable are due to timing of payments to vendors and employees.
Previous wording
Net cash used in operating activities was $42.4 million in the six months ended March 31, 2024 and consisted primarily of a net loss of $88.5 million adjusted for non-cash items including depreciation and amortization expenses of $16.5 million, stock-based compensation expense of $24.8 million, non-cash lease expense of $0.5 million and a net change in operating assets and liabilities of $4.0 million. The change in operating assets and liabilities was mainly due to decreases in accounts receivable of $7.4 million, inventories of $1.7 million, other non-current assets of $0.3 million, accounts payable of $5.7 million, accrued compensation of $0.5 million and other liabilities of $2.6 million offset by an increase in prepaid expenses of $0.4 million and accrued expenses of $3.9 million.
Current wording
Net cash used in operating activities was $48.8 million during the nine months ended June 30, 2024 and consisted primarily of a net loss of $174.1 million adjusted for non-cash items including depreciation and amortization expense of $24.8 million, stock-based compensation expense of $38.6 million, impairment of long-lived assets of $44.9 million and a net change in operating assets and liabilities of $16.6 million. The change in operating assets and liabilities was mainly due to decreases in accounts receivable of $11.4 million due to the timing of collections, inventories of $3.6 million, other non-current assets of $0.5 million, accounts payable of $6.9 million and other liabilities of $1.8 million offset by increases in prepaid expenses of $0.2 million, accrued compensation of $5.9 million and accrued expenses of $4.1 million.
Previous wording
In the six months ended March 31, 2024, our investing activities used net cash of $1.1 million, which was comprised of the purchases of property and equipment of $2.1 million offset by the proceeds from the net impact of purchases and maturity of investments of $1.0 million.
Current wording
Net cash used in investing activities was $12.4 million during the nine months ended June 30, 2025, which consisted of the purchases of property and equipment of $15.6 million offset by the proceeds from the sale of our data storage business of $2.5 million and the net impact of purchases and maturity of investments of $0.7 million.
Previous wording
Net cash used in investing activities was $3.0 million during the six months ended March 31, 2025, which consisted of the purchases of property and equipment of $6.4 million offset by the proceeds from the net impact of purchases and maturity of investments of $3.5 million.
Current wording
Net cash used in investing activities was $1.8 million during the nine months ended June 30, 2024, which consisted of the purchases of laboratory property, equipment and computers of $3.1 million offset by the proceeds from the net impact of purchases and maturity of investments of $1.3 million.
Previous wording
Net cash provided by financing activities was $21.1 million in the six months ended March 31, 2025, which consisted of $15.0 million from XOMA for the sale of future revenue, $3.7 million from the exercise of stock options and $2.4 million proceeds from issuance of shares under the ESPP.
Current wording
Net cash provided by financing activities was $23.0 million in the nine months ended June 30, 2025, which consisted of $15.0 million from XOMA for the sale of future revenue, $5.6 million from the exercise of stock options and $2.4 million proceeds from issuance of shares under the ESPP.
Previous wording
Net cash provided by financing activities was $0.4 million in the six months ended March 31, 2024, which consisted of $2.3 million from the exercise of stock options and $2.0 million proceeds from issuance of shares under the ESPP offset by $4.0 million in repurchases of common stock for income tax withholdings.
Current wording
Net cash provided by financing activities was $3.3 million in the nine months ended June 30, 2024, which consisted of $5.2 million from the exercise of stock options and $2.0 million proceeds from issuance of shares under the 2018 ESPP offset by $4.0 million in repurchases of common stock for income tax withholdings.
Previous wording
The preparation of our Condensed Consolidated Financial Statements in accordance with generally accepted accounting principles in the United States of America requires management to make estimates and judgments that affect the reported amounts in the financial statements and related disclosures. On an ongoing basis, we evaluate our significant accounting policies and estimates. We base our estimates on historical experience and on various market-specific and other relevant assumptions that we believe to be reasonable under the circumstances, the results of which form the basis for making judgments about the carrying values of assets and liabilities that are not readily apparent from other sources. Estimates are assessed each period and updated to reflect current information. Actual results may differ significantly from these estimates. A summary of our critical accounting policies and estimates is presented in Part II, Item 7 of our Annual Report on Form 10-K. There were no changes to our critical accounting policies and estimates during the six months ended March 31, 2025.
Current wording
The preparation of our Condensed Consolidated Financial Statements in accordance with generally accepted accounting principles in the United States of America requires management to make estimates and judgments that affect the reported amounts in the financial statements and related disclosures. On an ongoing basis, we evaluate our significant accounting policies and estimates. We base our estimates on historical experience and on various market-specific and other relevant assumptions that we believe to be reasonable under the circumstances, the results of which form the basis for making judgments about the carrying values of assets and liabilities that are not readily apparent from other sources. Estimates are assessed each period and updated to reflect current information. Actual results may differ significantly from these estimates. A summary of our critical accounting policies and estimates is presented in Part II, Item 7 of our Annual Report on Form 10-K. There were no changes to our critical accounting policies and estimates during the nine months ended June 30, 2025 other than the updates to the critical accounting policies and estimates set forth below.