AKAM · 10-Q · 2026Q2 · Full report

Income Tax Rate Changes

AKAMAI TECHNOLOGIES INC · 2026-08-07 · Importance 51 · Surprise 64

Second-quarter income tax provision decreased 57% year over year to $20.6 million, and first-half provision decreased 63% to $36.3 million. The reductions reflected lower profitability, larger excess tax benefits from stock-based compensation, changes in state-credit valuation allowances, lower tax reserves and lower controlled foreign corporation tested income. The second-quarter effective tax rate was consistent with the federal statutory rate, while the first-half rate was below it because of stock-based compensation benefits, research and development credits and lower-taxed foreign income; the OBBBA had no material financial statement impact.

Key facts

• Company states in July 2025 the OBBBA was enacted and did not have a material impact on condensed consolidated financial statements source
• Six months ended June 30, 2026 Provision for income taxes: $36,302 (in thousands) source
• Three months ended June 30, 2026 Provision for income taxes: $20,623 (in thousands) source