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A reconciliation of our Adjusted Operating Income (Loss) and Adjusted Operating Margin to operating loss and 
operating margin, the most directly comparable GAAP financial measures, respectively, is presented below:

(in millions, except for percentages)
Operating loss

Stock-based compensation expense
Non-cash charitable contributions(1) 
Bartz settlement(2)
Adjusted Operating Income (Loss) $

Year Ended December 31,
2024

2023

2025

Six Months Ended June 30,

2025

2026

$

(551)

$ (2,980)

$ (8,060)

$

(2,135)

$

29

—

—

192

—

—

1,165

541

1,500

286

—

—

(522)

$

(2,788)

$

(4,854)

Revenue

Operating margin

Adjusted Operating Margin

$

$

41
(1,344)%

(1,273)%

386
(772)%

(722)%

$

4,585

(176)%

(106)%

______________
(1) Relates to non-cash charges from our donation matching program, the value of which is linked to employee equity awards and 

recorded in other operating and administrative expenses.

(2) Excluded from our calculation of Adjusted Operating Income (Loss) as it is not indicative of ongoing operations.

Adjusted Net Income (Loss)

We  define  Adjusted  Net  Income  (Loss)  as  net  loss  excluding  (i)  stock-based  compensation  expense,  (ii)  non-
cash  charitable  contributions,  (iii)  the  Bartz  settlement,  (iv)  the  change  in  fair  value  of  convertible  notes, 
derivative liabilities, and SAFEs, and (v) change in fair value of certain mark-to-market financial instruments.

A  reconciliation  of  Adjusted  Net  Income  (Loss)  to  net  loss,  the  most  directly  comparable  GAAP  financial 
measure, is presented below:

(693)

2,185

126

—

$

$

(1,849)

$

1,618

1,163
(184)%

(159)%

$ 16,286

(4)%
10 %

(in millions)
Net loss(1)
Stock-based compensation expense
Non-cash charitable 
contributions(2) 
Bartz settlement(3)
Change in fair value of convertible 
notes, derivative liabilities, and 
SAFEs

Change in fair value of certain 
mark-to-market financial 
instruments

Adjusted Net Income (Loss)

$

Year Ended December 31,
2024

2023

$

(1,531) $
29

(8,309) $
192

Six Months Ended June 30,

2025
(41,965) $
1,165

2025
(12,969) $
286

2026
(80,748)

2,185

—

—

—

—

541

1,500

—

—

126

—

1,045

5,434

34,308

10,942

72,388

—
(457) $

—
(2,683) $

3
(4,448) $

—
(1,741) $

8,720

2,671

______________
(1)

Includes change in fair value of convertible notes, derivative liabilities, and SAFEs, which were $1.0 billion, $5.4 billion, $34.3 
billion, $10.9 billion, and $72.4 billion for the years ended December 31, 2023, 2024, and 2025, and the six months ended June 
30,  2025  and  2026,  respectively,  primarily  driven  by  an  increase  in  the  fair  value  of  our  outstanding  convertible  promissory 
notes resulting from an increase in our enterprise valuation during each of the respective periods.

(2) Relates to non-cash charges from our donation matching program, the value of which is linked to employee equity awards and 

recorded in other operating and administrative expenses.

(3) Excluded from our calculation of Adjusted Net Income (Loss) as it is not indicative of ongoing operations.

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