ITEM 7. MANAGEMENT’S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS.
The following discussion and analysis should be read in conjunction with the historical consolidated financial statements of HKHC and the related notes included elsewhere in this current report. The historical consolidated financial data discussed below reflect its historical results of operations and financial position. The following discussion and analysis contains forward-looking statements that are subject to known and unknown risks and uncertainties. Actual results and the timing of events may differ significantly from those expressed or implied in such forward-looking statements due to a number of factors, including those included in the section entitled “Risk Factors” contained elsewhere in this current report describing key risks associated with the business, operations and industry of HKHC. Amounts and percentages presented throughout this section may reflect rounding adjustments and consequently totals may not appear to sum. The items discussed below have had significant effects on many items within HKHC’s consolidated financial statements and affect the comparison of the current period’s activity with those of prior periods.
Overview
Horizon Kinetics Holding Corporation (“HKHC” or “the Company”) is a research driven, fundamentals-oriented asset manager serving institutions, individuals and financial professionals. It provides investment management services through its wholly-owned subsidiary and registered investment adviser, Horizon Kinetics Asset Management LLC. Through this subsidiary, it manages a number of strategies, most of which are focused on publicly-traded equity securities, but also private investments and digital assets. To accommodate different investing preferences, HKHC’s offerings can be accessed in a variety of ways, including through mutual funds, ETFs, a closed end fund, separately managed accounts that can be customized to the unique investment objectives and risk tolerances of individual clients, and, for qualified investors, via private proprietary partnerships typically known as alternative investments. HKHC raises capital for and manages these strategies, and it earns a management fee that varies among products. In certain instances, the fee it earns is tied to the performance of the account. HKHC also produces a number of research reports and compendia that are sold mainly to institutions, as it believes that the discipline required to produce written research encourages thorough qualitative and quantitative analysis.
As of December 31, 2025, the Company had regulatory assets under management ("AUM") of $9.6 billion.
HKHC also manages a portfolio of investment securities for its own benefit, which has historically impacted and is expected to impact future results of operations, often significantly so. As of December 31, 2025, we held investment securities (at fair value) of $76.5 million. In addition, we have devoted capital to a variety of the private alternative investment funds it manages. As of December 31, 2025, the fair value of HKHC shareholders’ investment in these private funds is $220.1 million, however, since the private funds are consolidated within these consolidated financial statements this value is not separately presented.
Our financial results may vary due to market conditions and fluctuations in our assets under management that may not necessarily be the result of our long-term investment performance or the long-term demand for our investment services. We believe over long term investment horizons, our investment results will be the primary factor that will generate growth and our financial results.
In addition to investment management and research activities, HKHC operates two wholly-owned, limited purpose broker-dealers, KBD Securities LLC and Kinetics Funds Distributor LLC, both of which are only used for the marketing and promotion of our investment products. We pay a portion of the fees earned to these and other third-party firms who assist in marketing.
Along with investing on behalf of clients, HKHC also uses its own capital to invest along with its clients in many of its private funds and makes direct investments in public and private instruments including digital assets. Certain employees do, from time to time, serve as management or as a member of the board of directors of the companies in which we invest.
Primary Sources of Revenue
Management or advisory fees are our primary source of revenue, most of which are based on a specified percentage of clients’ average assets under management. A majority of our expenses, including most of our compensation expense, vary directly with changes in our revenues.
The management fees for separately managed accounts are generally calculated on the basis of a percentage of the value of each client’s assets (assets under management) and are charged using either an average daily balance or monthly or quarterly ending balance, and either in arrears or advance.
The Company also earns management fees in its mutual funds, ETFs, closed-end funds and private partnerships as compensation for internal fund management and advisory services. The management fees for the private funds vary by fund and investment strategy and are typically approximately between 0.25% and 2.00% of the net asset value of the funds’ underlying investments.
The Company is also entitled to receive incentive fees on private partnerships if certain performance returns have been achieved as stipulated in the governing documents of the applicable fund. Incentive fees are generated when certain returns exceed a previously established high water mark. The incentive fees are calculated as a percentage of the gains experienced, typically 20%, based on the agreement with each partner in the respective fund. Incentive fees are not subject to claw back as a result of performance declines in subsequent periods to the most recent measurement date. Incentive fees, if earned, are recognized upon completion of the contractually determined measurement period, which are generally annually, or when a client redeems their interest. Incentive fees are subject to the uncertainty of market volatility, and as a result, the entire amount of the variable consideration related to incentive fees is constrained until the end of each measurement period when the uncertainty has been resolved. The Company earned incentive fees of $0.7 million and $51.7 million for the years ended December 31, 2025 and 2024, respectively. Management and incentive fees earned from consolidated investment products are eliminated from revenue upon consolidation, however the economic benefit to the HKHC shareholders’ is retained through lower amounts attributable to the redeemable noncontrolling interests. Unearned incentive fees resulting from the performance of the Company’s private funds for the year ended December 31, 2025 were approximately $24.9 million. These unearned incentive fees are subject to change based on market prices and are generally expected to be resolved once it is probable that a significant reversal of revenue will not occur. Certain funds with aggregate unearned incentive fees of $22.6 million are not expected to be resolved until the first quarter of 2026.
A small number of clients with certain separately managed accounts may pay incentive fees in addition to or in lieu of management fees, if their portfolio achieves positive investment returns, in certain cases, in excess of an agreed benchmark or hurdle rate. Typically, such fees are paid annually upon crystallization or when a client closes their investment and are not accrued prior to being earned. These unearned performance fees are subject to change based on market prices and generally expected to be resolved during the fourth quarter once it is probable that a significant reversal of revenue will not occur.
Business Highlights in 2025
Total revenue
HKHC’s total revenues grew 30% this year as a result of the higher average AUM during 2025 as compared to 2024 at our mutual funds, ETFs and separately managed accounts due to their favorable 2024 performance.
Assets under management
AUM for the year ended December 31, 2025 decreased by approximately $0.2 billion, or 2%, to $9.6 billion. The decline included the impact due to market value changes as there were declines in certain key holdings across the Company’s mutual funds, ETFs and separately managed accounts (“SMAs”). The market value of Texas Pacific Land Corporation (“TPL”), which is widely held across HKHC’s private funds and SMAs, decreased 22.1% during the year. In addition, there were decreases in the market value of Grayscale Bitcoin Trust (“GBTC”), which is also widely held across HKHC’s private funds and SMAs, of 7.6% during the year.
The Company added AUM during 2025 as a result of several new investment products, including three new classes of HKEO that total approximately $55 million of AUM, a Japan Owner Operator ETF (Ticker JAPN) currently with $25 million of AUM, and other smaller private funds have become available to investors.
Investment performance
HKHC maintains a portfolio for investment purposes and has also invested substantial capital in its private funds alongside client investors. For the year ended December 31, 2025 there was a decrease of $15.6 million in the fair value of this portfolio primarily due to the 22.1% decrease in the TPL securities held directly by HKHC. The change in the fair value of HKHC’s investments is reported in unrealized gain (loss) on investments, net in the accompanying consolidated statement of operations.
Several of the Company’s consolidated investment products experienced negative performance in 2025. Specifically, the Polestar Funds, Horizon Kinetics Equity Opportunities Fund and Horizon Multi-Strategy Fund were the largest contributors collectively representing approximately $77 million of net loss for the year ended December 31, 2025.
Results of Operations
Revenues
Management and advisory fees
The Company’s total management and advisory fees increased approximately $16.9 million, or 30%, for the year ended December 31, 2025 compared to the prior year. The increase is due to higher management fees in mutual funds of $10.8 million, or 42%, and ETFs of $4.0 million, or 56%, due to higher average AUM throughout the year.
Other income and fees
Other income and fees also include revenues resulting from the Company’s research services and digital asset mining activities, which increased modestly during the year.
Operating Expenses
Compensation and related employee benefits
The Company’s operating expenses include employee compensation for investment professionals and other management personnel. HKHC’s compensation costs for the year ended December 31, 2025 decreased by approximately $5.5 million, or 15%, compared to the prior year, due to lower internal commissions and lower bonus pool values in 2025 resulting from the Company’s significantly lower incentive fee results in 2025 as compared to 2024. These decreases were partially offset by compensation increases that reflected additional personnel in certain departments.
Sales, distribution and marketing expenses
For the year ended December 31, 2025, sales, distribution and marketing expenses decreased $3.4 million, or 18%, compared to the prior year, as the result of decreases of approximately $5.1 million resulting from the absence of various commissions payable on the 2024 incentive fees earned by HKHC during the prior year. There was also a decrease of $0.5 million due to FRMO pursuant to its revenue sharing agreement with HKHC. The Company also experienced higher platform fees of $1.9 million and $1.1 million of other management fee commissions earned due to generally increasing AUM and management fees during the year.
Depreciation and amortization
Depreciation and amortization decreased $0.7 million, or 39% for the year ended December 31, 2025 as compared to the prior year due to certain intangible assets becoming fully amortized.
General and administrative expenses
For the year ended December 31, 2025, general and administrative expenses increased by $0.1 million, or 1%, compared to the prior year. The Company experienced certain lower accounting, professional, and legal fees of $0.6 million during 2025 as a result of less activity associated with its 2024 merger and initial listing preparations. The Company also began incurring Director fee costs during 2024 and the full year of 2025 resulting in an additional $0.1 million.
Equity earnings, net
Equity earnings, net decreased by $10.9 million for the year ended December 31, 2025 compared to the prior year. The decrease was due primarily to decreases in the fair value of holdings at Horizon Kinetics Hard Assets, LLC as compared to the prior year.
Interest and dividend income
Interest and dividend income increased by $0.7 million for the year ended December 31, 2025 as compared to the prior year due primarily due to higher average cash balances from incentive fees paid in the current year compared to prior year.
Unrealized (losses) gains on digital assets, net
Unrealized (losses) gains on digital assets, net were ($0.8) million and $7.0 million for the years ended December 31, 2025 and 2024 primarily due to changes in the fair value of Bitcoin during the respective years. The Company increased its holdings of Bitcoin during the year ended December 31, 2025 by 1 Bitcoin from mining activity to 132 Bitcoin worth $11.5 million. During the year ended December 31, 2024, digital assets unrealized gains on digital assets were not recorded pursuant to the accounting standard in effect at the time.
Unrealized gain (loss) on investments, net
For the year ended December 31, 2025 , unrealized (losses) gains on investments were ($15.6) million as compared to $41.3 million in the prior year, a decrease of $56.9 million. The unrealized losses in 2025 were primarily due to unrealized losses on TPL stock, which decreased 22% during the year as compared to a 111% increase in the prior year.
Income tax benefit (expense)
The Company recognizes deferred income taxes related to the tax basis differences for certain assets, principally unrealized gains in various investments, digital assets and indefinite lived intangible assets from the Company’s 2011 merger transaction. During periods prior to June 30, 2024, the Company was an LLC and was generally not subject to federal or state income taxes as its income and losses are included in the tax returns of its members. On July 1, 2024, the Company filed to convert from an LLC to a C-Corp for federal and state income taxes. As a result, the Company recognized a deferred income tax expense of $59.7 million related to the tax basis differences. Due to additional unrealized gains of investment securities and proprietary funds during the third quarter of 2024, the Company recorded an additional $8.9 million of deferred tax expense.
During the year ended December 31, 2025, the Company adjusted its estimated income tax rate used to value deferred income taxes due to certain state apportionment factors, which resulted in the recording of a non-cash deferred income tax benefit during the period of $12.5 million.
The Company has paid $9.2 million and $11.1 million, respectively, in federal and various state and local income taxes during the year ended December 31, 2025, and the six month period ended December 31, 2024, respectively, subsequent to the conversion to a C-Corp.
Redeemable Non-Controlling Interests
Net income attributable to redeemable non-controlling interests in Consolidated Investment Products represents the income attributable to ownership interests that third parties hold in entities that are consolidated within our consolidated financial statements. During 2025 the amounts attributable to noncontrolling interests increased correspondingly to the performance of our proprietary funds, but also includes a reduction with respect to incentive fees earned by Horizon Kinetics as the advisor to the funds.
Consolidated Investment Products
Consolidated Investment Products represented a significant portion of our assets. As of December 31, 2025, we consolidated 16 private funds. The activity of the consolidated investment products is reflected within the consolidated financial statement line items indicated by reference thereto. The impact of consolidation also typically will decrease management fees and incentive fees reported under GAAP to the extent these amounts are eliminated upon consolidation. The assets and liabilities of our Consolidated Investment Products are held within separate legal entities and, as a result, the liabilities of our consolidated investment products are typically non-recourse to us. Generally, the consolidation of our consolidated investment products has a significant gross-up effect on our assets, liabilities and cash flows but has no net effect on the net income attributable to us or our stockholders’ equity.
The following table presents the results of operations of the consolidated investment products:
Year Ended December 31,
Expenses of consolidated investment products
Investment and other income (losses) of consolidated investment products, net
Interest and dividend income of consolidated investment products
Net income of consolidated investment products
Less: Incentive fees allocated to Horizon Kinetics Holding Corporation
Less: Loss (income) attributable to Horizon Kinetics Holding Corporation economic interests
Net income attributable to redeemable non-controlling interests in consolidated funds
The results of operations of the consolidated investment products primarily represent activities from certain funds that we are deemed to control. When a fund is consolidated, we reflect the revenues and expenses of the entity on a gross basis, subject to eliminations from consolidation. Substantially all of our results of operations related to the consolidated investment products are attributable to ownership interests that third parties hold in those funds. The consolidated investment products may not necessarily be the same funds in each year presented due to changes in ownership, changes in limited partners’ rights, and the creation or termination of funds and entities. Accordingly, such amounts may not be comparable for the periods presented, and in any event have no material impact on net income attributable to Horizon Kinetics Holding Corporation.
Segment Analysis
For segment reporting purposes, revenues and expenses are presented before giving effect to the results of our consolidated investment products and the results attributable to non-controlling interests that we consolidate. As a result, segment revenues from management fees, incentive fees and investment income are different than those presented on a consolidated basis in accordance with generally accepted accounting principles. Revenues recognized from consolidated investment products are eliminated in consolidation and those attributable to the non-controlling interests have been excluded by us. Furthermore, expenses and the effects of other income (expense) are different than related amounts presented on a consolidated basis in accordance with GAAP due to the exclusion of the results of consolidated investment products and the non-controlling interests.
Liquidity and Capital Resources
At December 31, 2025, the Company had $36.9 million of cash and cash equivalents. We believe that our cash and cash equivalents at December 31, 2025 will be sufficient to fund operations for at least one year from the date of this report.
The Company also had $76.5 million of investments, at fair value. These investments include $49.7 million held in a single security, approximately 173,000 shares of TPL. The Company may be limited in its ability to sell this security due to the possibility of being deemed an affiliate of TPL.
In the normal course of business, we may engage in off-balance sheet arrangements, including transactions in derivatives, guarantees, commitments, indemnifications, and potential contingent repayment obligations. We do not have any off-financial position arrangements that would require us to fund losses or guarantee target returns to clients.
The Company’s Board of Directors has determined an expected quarterly dividend policy that is based on the Company’s quarterly performance. The Board of Directors may consider other relevant factors that are relevant to the final determination of a quarterly dividend, if any. On March 11, 2026, the Company's Board of Directors declared a cash dividend of $0.121 per share, payable on March 31, 2026 to shareholders of record as of the close of business on March 23, 2026.
In the normal course of business, we expect to pay dividends to common stockholders that are aligned with a portion of our quarterly operating earnings after an allocation of current income taxes payable. We estimate the taxes by multiplying the statutory tax rate currently in effect by our realized performance. If cash flows from operations were insufficient to fund a calculated dividend, we would suspend or reduce such dividend. In addition, there is no assurance that dividends would continue at the current levels or at all.
The following table and discussion summarize our consolidated statement of cash flows:
Year Ended December 31,
Variance
Net cash (used in) provided by operating activities
Net cash provided by investing activities
Net cash provided by (used in) financing activities
Operating cash flows
Net cash provided by operating activities decreased by $54.9 million for the year ended December 31, 2025 compared to the prior year. The decrease was primarily the result of decreased earnings and other operating cash adjustments of $833 million and a decrease of net of working capital changes during the period of approximately $87 million. This decrease was primarily offset by approximately $865 million increase of operating cash flows allocable to non-controlling interests in consolidated funds.
Investing cash flows
Net cash provided by investment activities increased by $23.1 million for the year ended December 31, 2025 as compared to the prior year. The increase was primarily the result of approximately $32.3 million increased proceeds from sale of investments and partially offset by $5 million of a deconsolidation of a consolidated investment product and $2.8 million of cash provided from the prior year merger with the consumer products division.
Financing cash flows
Net cash provided by financing activities increased $66.3 million for the year ended December 31, 2025 as compared to the prior year. The Company paid $6.3 million of dividends during the year ended December 31, 2025, which was an increase of $5.3 million than the prior year. However, the Company also paid $4.1 million of distributions in 2024 prior to the conversion to a C-Corp on July 1, 2024. The increase of cash provided by Financing activities was primarily due to an increase of approximately $60.0 million of cash contributions from redeemable noncontrolling interests in consolidated investment products and $10.2 million less cash redemptions from our noncontrolling interests in consolidated investment products.
Contractual Cash Obligations and Other Commercial Commitments
The Company’s contractual cash obligations and other commercial commitments is limited to certain operating leases for office space as summarized below:
Payments Due by Period
Total
2026 and 2027
2028 and 2029
Thereafter
Contractual Cash Obligations:
Operating leases
Total contractual obligations
As part of the merger in 2024, the Company acquired an operating lease with annual cash outflows of approximately $0.4 million through 2030 and a sublease agreement with annual expected cash inflows of approximately $0.3 million through 2027. During 2025, the Company entered into two non-cancelable operating leases that have not yet commenced for replacement and additional office space for seven to 15 years. The table above excludes $27.1 million of legally binding lease payments for these leases signed but not yet commenced.
Critical Accounting Estimates
The preparation of our consolidated financial statements in accordance with GAAP is based on the selection and application of accounting policies that require us to make significant estimates and assumptions that in certain circumstances affect amounts reported in the audited consolidated financial statements. In preparing these financial statements, our estimates and judgments are based on historical experience, information from third-party valuation professionals and various other assumptions, giving due consideration to materiality. We consider the accounting estimates discussed below to be critical to the understanding of our consolidated financial statements. Actual results could differ from our estimates and assumptions, and any such difference could be material to our consolidated financial statements.
Revenue recognition
Horizon Kinetics recognizes revenues when its obligations related to the services are satisfied and it is probable that a significant reversal of the revenue amount would not occur in future periods. Horizon Kinetics enters into contracts that can include multiple services, which are accounted for separately if they are determined to be distinct. Management’s judgment is required in assessing the probability of significant revenue reversal and in identification of distinct services.
Horizon Kinetics derives a substantial portion of its revenue from investment management and advisory fees which are recognized as the services are performed over time because the customer is receiving and consuming the benefits as they are provided by Horizon Kinetics. Fees are primarily based on agreed-upon percentages of AUM and recognized for services provided during the period, which are distinct from services provided in other periods. Such fees are affected by changes in AUM, including market appreciation or depreciation and net inflows or outflows. AUM represents the broad range of financial assets Horizon Kinetics manages for clients on a discretionary basis pursuant to investment management agreements. In general, reported AUM reflects the valuation methodology that corresponds to the basis used for determining revenue (for example, net asset values).
Horizon Kinetics receives investment management and advisory fees, including incentive allocations from certain actively managed investment funds and certain SMAs. These incentive fees are dependent upon exceeding investment return thresholds, which may vary by product or account, and could include varying measurement periods.
Incentive fees are generated on certain management contracts when performance hurdles are achieved, such as returns exceed a previously established high water mark. Such incentive fees are recognized when the contractual performance criteria have been met and when it is determined that they are no longer probable of significant reversal. Given the unique nature of each fee arrangement, contracts with customers are evaluated on an individual basis to determine the timing of revenue recognition. Significant judgment is involved in making such determination. Incentive fees typically arise from investment management services that began in prior reporting periods. Consequently, a portion of the fees recognized may be partially related to the services performed in prior periods that meet the recognition criteria in the current period. At each reporting date, the Company considers various factors in estimating incentive fees to be recognized. These factors include but are not limited to whether: (1) the amounts are dependent on the financial markets and, thus, are highly susceptible to factors outside Horizon Kinetics’ influence; (2) the ultimate payments have a large number and a broad range of possible amounts; and (3) the funds or SMAs have the ability to (a) invest or reinvest their sales proceeds or (b) distribute their sales proceeds, and determine the timing of such distributions.
Principles of Consolidation
In addition to its wholly-owned subsidiaries, generally accepted accounting principles in the United States of America (“GAAP”) requires that the assets, liabilities and results of operations of a variable interest entity (“VIE”) be consolidated into the financial statements of the enterprise that has a controlling interest in the VIE. The determination as to whether an entity qualifies as a VIE depends on the facts and circumstances surrounding each entity, and therefore certain of the investment vehicles managed by Horizon Kinetics may qualify as VIEs under the variable interest model, whereas others may qualify as voting interest entities (“VOEs”) under the voting interest model.
The determination of whether to consolidate a VIE under US GAAP requires a significant amount of judgment concerning the degree of control over an entity by its holders of variable interests. To make these judgments, we conduct an analysis, on a case-by-case basis, of whether we are the primary beneficiary and are therefore required to consolidate an entity. We continually reconsider whether we should consolidate a VIE. Upon the occurrence of certain events, such as modifications to organizational documents and investment management agreements of our products, we will reconsider our conclusion regarding the status of an entity as a VIE. Our judgment when analyzing the status of an entity and whether we consolidate an entity could have a material impact on individual line items within our consolidated financial statements, as a change in our conclusion would have the effect of grossing up the assets, liabilities, revenues and expenses of the entity being evaluated. In light of certain direct and indirect investments into our products, the likelihood of a reasonable change in our estimation and judgment could result in a change in our conclusions to consolidate or not consolidate any VIEs to which we have exposure.
Fair Value Measurement
GAAP establishes a hierarchical disclosure framework prioritizing the inputs used in measuring financial instruments at fair value into three levels based on their market observability. Market price observability is affected by a number of factors, including the type of instrument and the characteristics specific to the instrument. Financial instruments with readily available quoted prices from an active market or where fair value can be measured based on actively quoted prices generally have a higher degree of market price observability and a lesser degree of judgment inherent in measuring fair value.
Financial assets and liabilities measured and reported at fair value are classified as follows:
Level I —Quoted prices in active markets for identical instruments.
Level II —Unadjusted quoted prices for similar instruments in active markets; quoted prices for identical or similar instruments in inactive markets; and model-derived valuations with directly or indirectly observable significant inputs. Level II inputs include prices in markets with few transactions, non-current prices, prices for which little public information exists or prices that vary substantially over time or among brokered market makers. Other inputs include interest rate, yield curve, volatility, prepayment risk, loss severity, credit risk and default rate.
Level III —Valuations that rely on one or more significant unobservable inputs. These inputs reflect the Company’s assessment of the assumptions that market participants would use to value the instrument based on the best information available.
In some instances, an instrument may fall into multiple levels of the fair value hierarchy. In such instances, the instrument’s level within the fair value hierarchy is based on the lowest of the three levels (with Level III being the lowest) that is significant to the fair value measurement. Our assessment of the significance of an input requires judgment and considers factors specific to the instrument. See “Note 4. Fair Value,” within our consolidated financial statements included in this Annual Report on Form 10-K for a summary of our valuation of investments and other financial instruments by fair value hierarchy levels.
Income Taxes
The Company is taxed as corporation for U.S. federal and state income tax purposes. We use the liability method of accounting for deferred income taxes pursuant to GAAP. Under this method, deferred tax assets and liabilities are recognized for the future tax consequences attributable to temporary differences between the carrying value of existing assets and liabilities and their respective tax bases. Deferred tax assets and liabilities are measured using the statutory tax rates expected to be applied in the periods in which those temporary differences are settled. The effect of a change in tax rates on deferred tax assets and liabilities is recognized during the year the change is enacted. A valuation allowance is recorded on our net deferred tax assets when it is more likely than not that such assets will not be realized or when timing is unknown. When evaluating the realizability of our deferred tax assets, all evidence, both positive and negative, is evaluated. Items considered in this analysis include the ability to carry back losses, the reversal of temporary differences, tax planning strategies and expectations of future earnings.
Under GAAP, the amount of tax benefit to be recognized is the amount of benefit that is more likely than not to be sustained upon examination. We analyze our tax filing positions in all of the U.S. federal, state, local and foreign tax jurisdictions where we are required to file income tax returns, as well as for all open tax years in these jurisdictions. If, based on this analysis, we determine that uncertainties in tax positions exist, a liability is established. As of December 31, 2025, we have not identified any uncertain tax positions.
Tax laws are complex and subject to different interpretations by the taxpayer and respective governmental taxing authorities. Significant judgment is required in determining tax expense and in evaluating tax positions, including evaluating uncertainties under GAAP.
Recently Issued Accounting Standards
For information on recently issued accounting standards, see Note 2 (v), “ Recently Issued Accounting Standards ,” to our consolidated financial statements.
