Molecular Templates, Inc. Annual report pursuant to Section 13 and 15(d)

Annual report pursuant to Section 13 and 15(d)

Income Taxes (Tables)

Income Taxes (Tables)

12 Months Ended

Dec. 31, 2023

Schedule of Reconciliation of Income Taxes at Statutory Federal Income Tax Rate to Net Income Taxes

A reconciliation of income taxes at the statutory federal income tax rate to net income taxes included in the accompanying statements of operations is as follows (in thousands):


	2023		2022
U.S. federal taxes (benefit) at statutory rate	$	(1,709)	$	(19,459)
State federal income tax benefit		447		(8,653)
Permanent differences and other		2		3
Stock compensation		1,792		1,964
Research and development credits		(1,426)		(2,494)
Change in valuation allowance		(2,328)		30,619
Change in state rate and carryovers		3,211		(1,927)
Total	$	(11)	$	53

Schedule of Significant Components of Net Deferred Tax Assets

The tax effects of temporary differences that give rise to significant components of the net deferred tax assets are as follows (in thousands):


	December 31,
	2023		2022
Deferred tax assets
Net operating loss carryforward	$	58,843	$	53,957
Interest		304		—
Research and development credits		16,630		15,235
Deferred stock compensation		6,982		8,086
Deferred revenue		2,641		16,127
Lease liability		3,561		4,516
Accrued expenses and other		415		1,846
Depreciable and amortizable assets		126		—
Capitalized Research & Experimental Expenditures		26,268		19,764
Total deferred tax assets		115,770		119,531

Total deferred tax liabilities
Depreciable and amortizable assets		—		(1,329)
Right-of-use asset		(2,668)		(3,488)
Note payable - CVR		(716)		—
Total deferred tax liabilities		(3,384)		(4,817)
Less: Valuation allowance		(112,386)		(114,714)
Net deferred tax assets	$	—	$	—