Corsair Gaming, Inc. 10-K

Item 8. Financial Statements and Supplementary Data. INDEX TO CONSOLIDATED FINANCIAL STATEMENTS Report of Independent Registered Public Accounting Firm 55 Consolidated Statements of Operations 57 Consolidated Statements of Comprehensive Income (Loss) 58 Consolidated Balance Sheets 59 Consolidated Statements of Stockholders’ Equity 60 Consolidated Statements of Cash Flows 61 Notes to Consolidated Financial Statements 62 Corsair Gaming, Inc. | 2025 Form 10-K | 54 Table of Contents Report of Independent Regist ered Public Accounting Firm To the Stockholders and the Board of Directors Corsair Gaming, Inc.: Opinions on the Consolidated Financial Statements and Internal Control Over Financial Reporting We have audited the accompanying consolidated balance sheets of Corsair Gaming, Inc. and subsidiaries (the Company) as of December 31, 2025 and 2024, the related consolidated statements of operations, comprehensive income (loss), stockholders’ equity, and cash flows for each of the years in the three-year period ended December 31, 2025, and the related notes (collectively, the consolidated financial statements). We also have audited the Company’s internal control over financial reporting as of December 31, 2025, based on criteria established in Internal Control – Integrated Framework (2013) issued by the Committee of Sponsoring Organizations of the Treadway Commission. In our opinion, the consolidated financial statements referred to above present fairly, in all material respects, the financial position of the Company as of December 31, 2025 and 2024, and the results of its operations and its cash flows for each of the years in the three-year period ended December 31, 2025, in conformity with U.S. generally accepted accounting principles. Also in our opinion, the Company maintained, in all material respects, effective internal control over financial reporting as of December 31, 2025 based on criteria established in Internal Control – Integrated Framework (2013) issued by the Committee of Sponsoring Organizations of the Treadway Commission. Basis for Opinions The Company’s management is responsible for these consolidated financial statements, for maintaining effective internal control over financial reporting, and for its assessment of the effectiveness of internal control over financial reporting, included in the accompanying Management’s Annual Report on Internal Control over Financial Reporting. Our responsibility is to express an opinion on the Company’s consolidated financial statements and an opinion on the Company’s internal control over financial reporting based on our audits. We are a public accounting firm registered with the Public Company Accounting Oversight Board (United States) (PCAOB) and are required to be independent with respect to the Company in accordance with the U.S. federal securities laws and the applicable rules and regulations of the Securities and Exchange Commission and the PCAOB. We conducted our audits in accordance with the standards of the PCAOB. Those standards require that we plan and perform the audits to obtain reasonable assurance about whether the consolidated financial statements are free of material misstatement, whether due to error or fraud, and whether effective internal control over financial reporting was maintained in all material respects. Our audits of the consolidated financial statements included performing procedures to assess the risks of material misstatement of the consolidated financial statements, whether due to error or fraud, and performing procedures that respond to those risks. Such procedures included examining, on a test basis, evidence regarding the amounts and disclosures in the consolidated financial statements. Our audits also included evaluating the accounting principles used and significant estimates made by management, as well as evaluating the overall presentation of the consolidated financial statements. Our audit of internal control over financial reporting included obtaining an understanding of internal control over financial reporting, assessing the risk that a material weakness exists, and testing and evaluating the design and operating effectiveness of internal control based on the assessed risk. Our audits also included performing such other procedures as we considered necessary in the circumstances. We believe that our audits provide a reasonable basis for our opinions. Definition and Limitations of Internal Control Over Financial Reporting A company’s internal control over financial reporting is a process designed to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles. A company’s internal control over financial reporting includes those policies and procedures that (1) pertain to the maintenance of records that, in reasonable detail, accurately and fairly reflect the transactions and dispositions of the assets of the company; (2) provide reasonable assurance that transactions are recorded as necessary to permit preparation of financial statements in accordance with generally accepted accounting principles, and that receipts and expenditures of the company are being made only in accordance with authorizations of management and directors of the company; and (3) provide reasonable assurance regarding prevention or timely detection of unauthorized acquisition, use, or disposition of the company’s assets that could have a material effect on the financial statements. Corsair Gaming, Inc. | 2025 Form 10-K | 55 Table of Contents Because of its inherent limitations, internal control over financial reporting may not prevent or detect misstatements. Also, projections of any evaluation of effectiveness to future periods are subject to the risk that controls may become inadequate because of changes in conditions, or that the degree of compliance with the policies or procedures may deteriorate. Critical Audit Matter The critical audit matter communicated below is a matter arising from the current period audit of the consolidated financial statements that was communicated or required to be communicated to the audit committee and that: (1) relates to accounts or disclosures that are material to the consolidated financial statements and (2) involved our especially challenging, subjective, or complex judgments. The communication of a critical audit matter does not alter in any way our opinion on the consolidated financial statements, taken as a whole, and we are not, by communicating the critical audit matter below, providing a separate opinion on the critical audit matter or on the accounts or disclosures to which it relates. Transaction price in contracts with customers The transaction price received by the Company from sales to distributors and retailers is net of variable consideration that may include product returns and customer incentives. Estimates of expected future product returns are recorded based on historical return rates, among other factors. Customer incentive programs, including accrual estimates, are based on incentive terms communicated to customers, actual sales data, historical experience, forecasted incentives, anticipated volume of future sales, and inventory levels in the channel. The amounts recorded for accrued reserves for sales returns and accrued reserves for customer incentive programs were $37.8 million and $61.2 million, respectively, as of December 31, 2025. We identified the evaluation of the transaction price in contracts with customers as a critical audit matter. Subjective auditor judgment was required to evaluate changes in conditions and events affecting (1) the Company’s historical return rates, and (2) the length of time between when a sale occurs and a return is processed, which are used to determine accrued reserves for sales returns. In addition, subjective auditor judgment was required to evaluate the reliability of data used to determine certain accrued reserves for customer incentive programs. The following are the primary procedures we performed to address this critical audit matter. We evaluated the design and tested the operating effectiveness of certain internal controls related to the Company’s process to determine the transaction price, including controls related to estimating variable consideration related to product returns and customer incentives. We evaluated the historical return rates by assessing the historical relationship between sales and returns, considering the effect of external market conditions obtained from peer company data and market publications. We evaluated the length of time between when a sale occurs and a return is processed by comparing (1) the return date obtained from return claims from customers to (2) the estimated date the sale occurred obtained from supporting documentation. We evaluated the reliability of data used to determine certain accrued reserves for customer incentive programs by (a) selecting a sample of incentives recorded during the year and (1) comparing the key inputs to correspondence with customers and customer agreements, and (2) recalculating the total incentive amount and comparing it to the incentive recorded; and (b) selecting a sample of claims recorded during the year and comparing them to correspondence with customers to the incentive recorded. /s/ KPMG LLP We have served as the Company’s auditor since 2007. Santa Clara, California February 24, 2026 Corsair Gaming, Inc. | 2025 Form 10-K | 56 Table of Contents Corsair Gaming, Inc. Consolidated St atements of Operations (In thousands, except per share amounts) Years Ended December 31, 2025 2024 2023 Net revenue $ 1,472,480 $ 1,316,379 $ 1,459,875 Cost of revenue 1,046,597 988,782 1,099,612 Gross profit 425,883 327,597 360,263 Operating expenses: Sales, general and administrative 354,660 310,008 285,313 Product development 69,147 67,543 65,261 Total operating expenses 423,807 377,551 350,574 Operating income (loss) 2,076 ( 49,954 ) 9,689 Other (expense) income: Interest expense ( 9,350 ) ( 13,207 ) ( 17,420 ) Interest income 1,660 3,347 6,839 Other expense, net ( 6,535 ) ( 1,844 ) ( 2,587 ) Total other expense, net ( 14,225 ) ( 11,704 ) ( 13,168 ) Loss before income taxes ( 12,149 ) ( 61,658 ) ( 3,479 ) Income tax benefit (expense) ( 2,816 ) ( 21,736 ) 2,442 Net loss ( 14,965 ) ( 83,394 ) ( 1,037 ) Less: Net income attributable to noncontrolling interest 1,194 1,787 1,553 Net loss attributable to Corsair Gaming, Inc. $ ( 16,159 ) $ ( 85,181 ) $ ( 2,590 ) Calculation of net income (loss) per share attributable to common stockholders of Corsair Gaming, Inc.: Net loss attributable to Corsair Gaming, Inc. $ ( 16,159 ) $ ( 85,181 ) $ ( 2,590 ) Change in redemption value of redeemable noncontrolling interest 3,694 ( 13,994 ) 5,777 Net income (loss) attributable to common stockholders of Corsair Gaming, Inc. $ ( 12,465 ) $ ( 99,175 ) $ 3,187 Net income (loss) per share attributable to common stockholders of Corsair Gaming, Inc.: Basic $ ( 0.12 ) $ ( 0.95 ) $ 0.03 Diluted $ ( 0.12 ) $ ( 0.95 ) $ 0.03 Weighted-average common shares outstanding: Basic 106,005 104,164 102,482 Diluted 106,005 104,164 106,276 The accompanying notes are an integral part of these consolidated financial statements. Corsair Gaming, Inc. | 2025 Form 10-K | 57 Table of Contents Corsair Gaming, Inc. Consolidated State ments of Comprehensive Income (Loss) (In thousands) Years Ended December 31, 2025 2024 2023 \ Net loss $ ( 14,965 ) $ ( 83,394 ) $ ( 1,037 ) Other comprehensive income (loss): Foreign currency translation adjustments, net of tax benefit (expense) of $( 56 ), $ 181 , and $( 6 ) for the years ended December 31, 2025, 2024 and 2023, respectively 4,740 ( 660 ) 3,535 Unrealized foreign exchange loss from long-term intercompany loans, net of tax benefit (expense) of $ 178 , $ 330 , and $( 319 ) for the years ended December 31, 2025, 2024 and 2023, respectively ( 724 ) ( 144 ) ( 128 ) Comprehensive income (loss) ( 10,949 ) ( 84,198 ) 2,370 Less: Comprehensive income attributable to noncontrolling interest 1,236 1,443 1,566 Comprehensive income (loss) attributable to Corsair Gaming, Inc. $ ( 12,185 ) $ ( 85,641 ) $ 804 The accompanying notes are an integral part of these consolidated financial statements. Corsair Gaming, Inc. | 2025 Form 10-K | 58 Table of Contents Corsair Gaming, Inc. Consolida ted Balance Sheets (In thousands, except per share amounts) December 31, 2025 2024 Assets Current assets: Cash $ 97,183 $ 107,011 Restricted cash 1,400 2,374 Accounts receivable, net 233,900 218,648 Inventories 303,336 259,979 Prepaid expenses and other current assets 29,639 35,376 Total current assets 665,458 623,388 Restricted cash, noncurrent 250 246 Property and equipment, net 31,514 29,742 Goodwill 357,765 354,222 Intangible assets, net 125,210 164,319 Other assets 73,587 63,912 Total assets $ 1,253,784 $ 1,235,829 Liabilities Current liabilities: Debt maturing within one year, net $ 6,120 $ 12,229 Accounts payable 212,547 207,215 Other liabilities and accrued expenses 212,275 176,869 Total current liabilities 430,942 396,313 Long-term debt, net 115,222 161,310 Deferred tax liabilities 6,071 7,379 Other liabilities, noncurrent 55,795 51,375 Total liabilities 608,030 616,377 Commitments and Contingencies (Note 8) Temporary equity Redeemable noncontrolling interest 12,197 15,149 Stockholders' equity Corsair Gaming, Inc. stockholders’ equity: Preferred stock, $ 0.0001 par value: 5,000 shares authorized, nil and nil shares issued and outstanding as of December 31, 2025 and 2024, respectively — — Common stock, $ 0.0001 par value: 300,000 shares authorized, 106,639 and 104,763 shares issued and outstanding as of December 31, 2025 and 2024, respectively 11 10 Additional paid-in capital 705,361 667,617 Accumulated deficit ( 71,230 ) ( 58,765 ) Accumulated other comprehensive loss ( 585 ) ( 4,559 ) Total stockholders’ equity 633,557 604,303 Total liabilities, temporary equity and stockholders' equity $ 1,253,784 $ 1,235,829 The accompanying notes are an integral part of these consolidated financial statements. Corsair Gaming, Inc. | 2025 Form 10-K | 59 Table of Contents Corsair Gaming, Inc. Consolidated Stateme nts of Stockholders’ Equity (In thousands) Common Stock Additional Paid-in Retained Earnings (Accumulated Accumulated Other Comprehensive Total Corsair Gaming, Inc. Stockholders’ Nonredeemable Noncontrolling Total Permanent Shares Amount Capital Deficit) Income (Loss) Equity Interest Equity Balance as of December 31, 2022 101,385 $ 10 $ 593,486 $ 37,223 $ ( 6,881 ) $ 623,838 $ 10,229 $ 634,067 Net income (loss) — — — ( 2,590 ) — ( 2,590 ) 635 ( 1,955 ) Other comprehensive income — — — — 3,394 3,394 4 3,398 Change in redemption value of redeemable noncontrolling interest — — — 5,777 — 5,777 — 5,777 Dividend paid to nonredeemable noncontrolling interest — — — — — — ( 400 ) ( 400 ) Issuance of common stock in connection with employee equity incentive plans 1,960 — 7,449 — — 7,449 — 7,449 Shares withheld related to net share settlement ( 90 ) — ( 1,409 ) — — ( 1,409 ) — ( 1,409 ) Stock-based compensation — — 31,116 — — 31,116 — 31,116 Balance as of December 31, 2023 103,255 10 630,642 40,410 ( 3,487 ) 667,575 10,468 678,043 Net income (loss) — — — ( 85,181 ) — ( 85,181 ) 507 ( 84,674 ) Other comprehensive loss — — — — ( 460 ) ( 460 ) ( 138 ) ( 598 ) Change in redemption value of redeemable noncontrolling interest — — — ( 13,994 ) — ( 13,994 ) — ( 13,994 ) Dividend paid to nonredeemable noncontrolling interest — — — — — — ( 1,860 ) ( 1,860 ) Purchase of additional ownership interest (refer to Note 16) — — 1,573 — ( 612 ) 961 ( 449 ) 512 Reclassification to temporary equity (refer to Note 16) — — — — — — ( 8,528 ) ( 8,528 ) Issuance of common stock in connection with employee equity incentive plans 1,557 — 5,377 — — 5,377 — 5,377 Shares withheld related to net share settlement ( 49 ) — ( 573 ) — — ( 573 ) — ( 573 ) Stock-based compensation — — 30,598 — — 30,598 — 30,598 Balance as of December 31, 2024 104,763 10 667,617 ( 58,765 ) ( 4,559 ) 604,303 — 604,303 Net loss — — — ( 16,159 ) — ( 16,159 ) — ( 16,159 ) Other comprehensive income — — — — 3,974 3,974 — 3,974 Change in redemption value of redeemable noncontrolling interest — — — 3,694 — 3,694 — 3,694 Issuance of common stock in connection with employee equity incentive plans 2,003 1 5,642 — — 5,643 — 5,643 Shares withheld related to net share settlement ( 127 ) — ( 1,208 ) — — ( 1,208 ) — ( 1,208 ) Stock-based compensation — — 33,310 — — 33,310 — 33,310 Balance as of December 31, 2025 106,639 $ 11 $ 705,361 $ ( 71,230 ) $ ( 585 ) $ 633,557 $ — $ 633,557 The accompanying notes are an integral part of these consolidated financial statements. Corsair Gaming, Inc. | 2025 Form 10-K | 60 Table of Contents Corsair Gaming, Inc. Consolida ted Statements of Cash Flows (in thousands) Years Ended December 31, 2025 2024 2023 Cash flows from operating activities: Net loss $ ( 14,965 ) $ ( 83,394 ) $ ( 1,037 ) Adjustments to reconcile net loss to net cash provided by operating activities: Stock-based compensation 33,112 30,591 30,873 Depreciation 13,962 13,449 12,210 Amortization 40,228 38,448 38,488 Bargain purchase gain on business acquisition 2,581 ( 2,581 ) — Deferred income taxes, net of valuation allowance ( 6,513 ) 11,416 ( 6,332 ) Other 4,373 5,661 4,263 Changes in operating assets and liabilities: Accounts receivable ( 17,719 ) 32,285 ( 17,686 ) Inventories ( 51,697 ) 18,315 ( 39,470 ) Prepaid expenses and other assets 8,994 5,897 1,902 Accounts payable 5,538 ( 39,507 ) 62,150 Other liabilities and accrued expenses 32,227 5,297 3,792 Net cash provided by operating activities 50,121 35,877 89,153 Cash flows from investing activities: Acquisition of businesses, net of cash acquired — ( 43,131 ) ( 14,220 ) Purchase of property and equipment ( 15,374 ) ( 9,849 ) ( 12,761 ) Purchase of intangible asset — ( 100 ) — Purchase price adjustment related to business acquisition — 1,041 — Payment of bridge loan origination costs related to business acquisition — ( 666 ) — Net cash used in investing activities ( 15,374 ) ( 52,705 ) ( 26,981 ) Cash flows from financing activities: Repayment of debt and debt issuance costs ( 52,815 ) ( 25,000 ) ( 41,000 ) Borrowings from line of credit 45,000 25,000 — Repayment of line of credit ( 45,000 ) ( 25,000 ) — Purchase of additional ownership interest — ( 19,750 ) — Payment of other offering costs — — ( 497 ) Proceeds from issuance of shares through employee equity incentive plans 5,643 5,377 7,449 Payment of taxes related to net share settlement of equity awards ( 1,208 ) ( 573 ) ( 1,409 ) Dividend paid to noncontrolling interest ( 494 ) ( 5,792 ) ( 980 ) Payment of deferred and contingent consideration — ( 4,942 ) ( 950 ) Net cash used in financing activities ( 48,874 ) ( 50,680 ) ( 37,387 ) Effect of exchange rate changes on cash 3,329 ( 1,425 ) ( 281 ) Net increase (decrease) in cash and restricted cash ( 10,798 ) ( 68,933 ) 24,504 Cash and restricted cash at the beginning of the year 109,631 178,564 154,060 Cash and restricted cash at the end of the year $ 98,833 $ 109,631 $ 178,564 Supplemental cash flow disclosures: Cash paid for interest $ 8,839 $ 12,793 $ 16,772 Cash paid for income taxes, net 10,136 5,100 7,375 Supplemental disclosure of non-cash investing and financing activities: Equipment purchased and unpaid at period end $ 2,526 $ 2,493 $ 1,420 Purchase consideration related to business acquisition — 592 — Receivable for business acquisition purchase price adjustment — — 1,041 The accompanying notes are an integral part of these consolidated financial statements. Corsair Gaming, Inc. | 2025 Form 10-K | 61 Table of Contents Corsair Gaming, Inc. Notes to Consolidated Financial Statements 1. Description of Business Description of Business Corsair Gaming, Inc., a Delaware corporation, together with its subsidiaries (collectively, “Corsair” the “Company”, “we”, “us”, or “our”), is a leading global provider and innovator of high-performance products for gamers, streamers, content-creators, gaming PC builders, and sim racing enthusiasts. Corsair is organized into two reportable segments: • Gamer and Creator Peripherals . Includes our high-performance gaming keyboards, mice, headsets, controllers, and streaming products, which includes capture cards, Stream Decks, microphones, teleprompters, and audio interfaces, our Facecam streaming cameras, studio accessories, command center displays, sim racing products, and gaming furniture, among others • Gaming Components and Systems . Includes our high-performance power supply units, cooling solutions, computer cases, and DRAM modules, as well as high-en d prebuilt and custom-built gaming PCs and laptops, among others. 2. Summary of Significant Accounting Policies Basis of Presentation and Principles of Consolidation The accompanying consolidated financial statements have been prepared in accordance with United States generally accepted accounting principles (“U.S. GAAP”) and pursuant to the rules and regulations of the United States Securities and Exchange Commission (“SEC”). The accompanying consolidated financial statements include the accounts of Corsair and its wholly owned subsidiaries. All intercompany accounts and transactions have been eliminated in consolidation. For consolidated entities where we own less than 100% of the equity, our consolidated net comprehensive income (loss) is reduced by the portion attributable to the noncontrolling interest. In determining whether an entity is considered a controlled entity, we apply the VIE (variable interest entity) and VOE (voting interest entity) models. Entities that do not qualify as a VIE are assessed for consolidation under the VOE model. Under the VOE model, we consolidate the entity if we determine that we have a controlling financial interest in the entity through our ownership of greater than 50% of the outstanding voting shares of the entity and that other equity holders do not have substantive voting, participating or liquidation rights. Use of Estimates The preparation of consolidated financial statements in conformity with U.S. GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities as of the date of the consolidated financial statements and the reported amounts of revenues and expenses during the reporting period. Such estimates include, but are not limited to, the valuation of intangible assets, accounts receivable, sales return reserves, reserves for customer incentives, warranty reserves, inventory, derivative instruments, stock-based compensation, deferred income tax and uncertain tax positions. These estimates and assumptions are based on management’s best estimates and judgment. Management evaluates its estimates and assumptions on an ongoing basis using historical experience and other factors, including the potential impacts from the events in the current economic environment as well as the potential impacts from geopolitical events. We adjust such estimates and assumptions when facts and circumstances dictate. The extent to which current macroeconomic conditions, including recent changes in trade regulations and tariffs, as well as developments in international trade regulations and agreements and continued geopolitical unrest will impact our business going forward depends on numerous dynamic factors that we cannot reliably predict. Actual results could differ materially from those estimates. Making estimates and judgments about future events is inherently unpredictable and is subject to significant uncertainties, some of which are beyond our control. Should any of these estimates and assumptions change or prove to have been incorrect, it could have a material impact on our results of operations, financial position and cash flow . Revenue Recognition We determine revenue recognition through the following five-step approach: • identification of the contract, or contracts, with the customer Corsair Gaming, Inc. | 2025 Form 10-K | 62 Table of Contents • identification of the performance obligations in the contract • determination of the transaction price • allocation of the transaction price to the performance obligations in the contract, and • recognition of revenue when, or as the performance obligation is fulfilled. Revenue is recognized when performance obligations are satisfied under the terms of the contracts, and control of the products is transferred to the customers in an amount that reflects the consideration we expect to receive from the customers in exchange for those products or services. Our products are primarily sold through a network of distributors and retailers, including e-retailers, and to a lesser extent direct to consumers. We primarily sell hardware products, which may include embedded software that function together, and are considered as one performance obligation. Hardware devices are generally plug and play, requiring no configuration and little or no installation. Revenue is recognized at a point in time when control of the products is transferred to the customer which generally occurs upon shipment or delivery to the customer. We report revenue net of any required taxes collected from customers and remitted to government authorities, with the collected taxes recorded as other liabilities and accrued expenses until remitted to the relevant government authority. Shipping and handling costs associated with outbound freight are accounted for as a fulfillment cost and are included as part of our distribution costs recorded under sales, general and administrative expenses. Costs of maintaining our web store and credit card processing fees related to sales on our webstore are recorded under sales, general and administrative expenses. We generally provide a warranty on products that provides assurance that our products conform to published specifications. Such assurance-type warranties are not deemed to be separate performance obligations from the product, and costs associated with providing these warranties are accrued in accordance with ASC 460-10, Guarantees. We offer return rights and customer incentive programs. Customer incentive programs include special pricing arrangements, promotions, rebates and volume-based incentives. We have agreements with certain customers that contain terms allowing price protection credits to be issued in the event of a subsequent price reduction. Our decision to make price reductions is influenced by product life cycle stage, market acceptance of products, the competitive environment, new product introductions and other factors. Accruals for estimated expected future pricing actions are recognized at the time of sale based on analysis of historical pricing actions by customer and by product, inventories owned by and located at distributors and retailers, current customer demand, current operating conditions, and other relevant customer and product information, such as stage of product life-cycle. The transaction price we received from sales to distributors and retailers is calculated as selling price net of variable consideration which may include rebates, product returns and price protection. Rights of return vary by customer and range from the right to return products to limited stock rotation rights allowing the exchange of a percentage of the customer’s quarterly purchases. Estimates of expected future product returns qualify as variable consideration and are recorded as a reduction of the transaction price of the contract at the time of sale based on historical return rates. Return rates are influenced by product life cycle status, new product introductions, market acceptance of products, sales levels, the type of customer, seasonality, product quality issues, competitive pressures, operational policies and procedures, and other factors. Return rates can fluctuate over time but are sufficiently predictable to allow us to estimate expected future product returns. We normally require payments from customers within 30 to 90 days from invoice date. We do not generally modify payment terms on existing receivables. Our contracts with customers typically do not include significant financing components as the period between the satisfaction of the performance obligations and timing of payment are generally within one year . Customer incentive programs are considered variable consideration, which we estimate and record as a reduction to revenue at the time of sale. Significant management judgments and estimates must be used to determine the cost of these programs to be included in the transaction price in any accounting period including a reduction for the estimate of amounts that ultimately will not be claimed for certain customer incentive programs. We use the expected value method to arrive at the amount of variable consideration. The Company constrains variable consideration until the likelihood of a significant revenue reversal is not probable. The accrual estimates are based on actual sales data, historical experience, forecasted incentives, anticipated volume of future sales, and inventory levels in the channel. During the years ended December 31, 2025, 2024 and 2023 , we did not recognize any material revenue adjustments related to performance obligations satisfied in prior periods as a result of changes in estimated variable consideration. Because the majority of the performance obligations in our contracts with customers relate to contracts with a duration of less than one year , we have elected to apply the optional exemption to not disclose the aggregate amount of the transaction price allocated to performance obligations that are unsatisfied or partially unsatisfied at the end of the reporting period. Corsair Gaming, Inc. | 2025 Form 10-K | 63 Table of Contents Contract liabilities are recorded when cash payments are received or due in advance of performance, primarily for our webstore sales and extended warranty subscriptions. Contract liabilities are included in other liabilities and accrued expenses and other liabilities noncurrent on the consolidated balance sheets. Cost of Revenue Cost of revenue consists of product costs, including purchases from contract manufacturers, inbound freight costs from manufacturers to our distribution hubs, as well as inter-hub shipments, duties and tariffs, warranty replacement costs, costs to process and rework returned items, depreciation of tooling equipment, warehousing costs, inventory valuation write-downs, certain allocated costs related to facilities and IT departments, and personnel-related expenses and other operating expenses related to supply chain logistics. Distribution Costs Distribution costs, recorded as a component of sales, general and administrative expenses, include the costs to operate two of our distribution hubs internally and the costs paid to third-party logistics providers to operate our other four distribution hubs. Distribution costs also include the costs of shipping products to customers through third party carriers. Amounts billed to customers for shipping and handling of products are recorded in net revenue. We do not consider distribution costs to be part of the costs to bring our products to their finished condition and therefore record such distribution costs as sales, general and administrative expense rather than in cost of revenue. Product Development Costs Product development costs are generally expensed as incurred. Product development costs consist primarily of the costs associated with the design and testing of new products and improvements to existing products. These costs relate primarily to compensation of personnel and consultants involved with product design, definition, compatibility testing and qualification. To date, almost all of our software development costs have been expensed as incurred because the period between achieving technological feasibility and the release of the software has been short and development costs qualifying for capitalization have been insignificant. Advertising Costs Advertising costs are expensed as incurred and are included as a component of sales, general and administrative expense in the consolidated statements of operations. Advertising and promotion expenses were $ 34.5 million, $ 24.0 million, and $ 21.2 million for the years ended December 31, 2025, 2024, and 2023, respectively. Stock-Based Compensation We measure and recognize compensation for all stock-based compensation awards, including stock options, stock purchase rights, restricted stock units (“RSU”) and performance stock units (“PSU”), based upon the grant-date fair value of those awards. The grant-date fair value of our stock options and stock purchase rights is estimated using a Black-Scholes-Merton option-pricing model. The fair values of our RSUs and PSUs are calculated based on the market value of our stock at the grant date. For stock options, stock purchase rights and RSUs, stock-based compensation is recognized on a straight-line basis over the requisite service period and we have elected to recognize actual forfeitures by reducing the stock-based compensation in the same period as the forfeitures occur. For PSUs, the stock-based compensation is recognized using the accelerated attribution method over the requisite service period, and it is based on the estimated number of shares that is considered probable of vesting. Adjustments to the compensation expense will be made in each reporting period based on changes in our estimate of the number of PSUs that are probable of vesting. Cash and Restricted Cash Total restricted cash was $ 1.7 million and $ 2.6 million as of December 31, 2025 and 2024 , respectively. The restricted cash serves as collateral for certain bank guarantees, customer deposits and security deposits. Accounts Receivable, net Accounts receivable from contracts with customers are recorded at the invoiced amount when we have an unconditional right to consideration, net of allowance for credit losses. We maintain trade credit insurance to mitigate credit risks on certain of our accounts receivable that reimburse us for up to 90 % of collection losses. We estimate an allowance for credit losses by using a combination of relevant information including historical loss information, adjusted to take into account current market conditions and our customers’ financial condition, the amount of any receivables in dispute, the current receivables aging, and the current payment terms. Corsair Gaming, Inc. | 2025 Form 10-K | 64 Table of Contents Concentration of Credit Risk Our financial instruments that are exposed to concentrations of credit risk consist principally of cash, restricted cash and accounts receivable. We maintain our cash and restricted cash with various high-quality financial institutions with investment-grade ratings and we have not experienced any losses. We sell a significant portion of our products through third-party distributors and resellers and, as a result, maintain individually significant receivable balances with such customers. As of December 31, 2025 , two customers represented 42.0 % and 14.4 % of our accounts receivable, net balance, respectively. As of December 31, 2024 , two customers represented 41.8 % and 14.2 % of our accounts receivable, net balance, respectively. Inventories Inventories primarily consist of finished goods and to a lesser extent component parts, which are purchased from contract manufacturers and component suppliers. Inventories are stated at lower of cost and net realizable value using the weighted average cost method of accounting. On a quarterly basis, we assess the valuation of inventory balances to determine what inventory, if any, for which the cost exceeds the net realizable value. We may be required to write down the value of inventory if estimates of future demand and market conditions indicate estimated excess or obsolete inventory. Property and Equipment, net Property and equipment are stated at cost, less accumulated depreciation. Major improvements that extend the life, capacity or improve the safety of an asset are capitalized, while maintenance and repairs are expensed as incurred. Depreciation is calculated on the straight-line method over the estimated useful lives of the assets, determined to be two to seven years . Leasehold improvements are amortized over the shorter of the remaining lease term or the estimated useful lives of the improvements. Capitalized cloud computing arrangements (“CCA”) implementation costs We incur costs to implement CCAs that are hosted by third-party vendors. Implementation costs incurred during the development stage are capitalized until the software of the hosting arrangement is substantially complete and ready for its intended use. The costs are amortized on a straight-line basis over the term of the associated hosting arrangements. Total capitalized CCA implementation costs, net of amortization, were $ 2.4 million and $ 4.9 million as of December 31, 2025 and 2024, respectively, and are included in "Prepaid expenses and other current assets" and "Other assets" on our consolidated balance sheets. Amortization of capitalized CCA implementation costs is included in the same line item in our consolidated statements of operations as the expense for fees for the associated hosting arrangement. Amortization expense was not material for the years ended December 31, 2025, 2024 and 2023. Leases Our lease portfolio consists primarily of real estate facilities for manufacturing, distribution, warehousing and office use purposes under operating leases. We determine if an arrangement is or contains a lease at inception. Right-of-use (“ROU”) assets and lease liabilities are recognized at commencement based on the present value of the lease consideration in the contracts over the lease term. We do not record leases with an initial term of 12 months or less on our consolidated balance sheets but continue to record rent expense on a straight-line basis over the lease term. Certain of our lease agreements include options to extend or renew the lease terms. Such options are excluded from the ROU assets and lease liabilities unless they are reasonably certain to be exercised. We account for the lease and non-lease components as a single lease component. Operating lease expense is recognized on a straight-line basis over the lease term. We apply the incremental borrowing rate in determining the present value of the lease consideration, as our leases do not provide an implicit rate. Our incremental borrowing rate is the rate of interest we would have to pay on a collateralized basis to borrow an amount equal to the lease payments under similar terms. Because we do not frequently borrow on a collateralized basis, we consider a combination of factors to determine our incremental borrowing rate, including our credit worthiness, adjusted to approximate a collateralized rating, observable market yield curves, and the U.S. and foreign currency risk-free rates. Our variable lease expense consists primarily of warehousing and distribution services related to our outsourced distribution hubs, and to a lesser extent, variable costs related to office common area maintenance charges. Our service contracts with third-party logistic service providers include both fixed payments for the use of a fixed warehouse space and variable payments based on the usage of their services for distribution and warehouse management. The fixed payments are included in the calculation of the ROU asset and lease liability, but the variable payments are expensed as incurred. In addition, our real estate leases typically contain variable payments for office common area maintenance and these costs are also expensed as incurred. Corsair Gaming, Inc. | 2025 Form 10-K | 65 Table of Contents Fair Value of Financial Instruments U.S. GAAP establishes a fair value hierarchy which requires an entity to maximize the use of observable inputs and minimize the use of unobservable inputs when measuring fair value. The hierarchy is broken down into the following three levels of inputs that may be used to measure fair value: Level 1 —Quoted prices are available in active markets for identical assets or liabilities as of the measurement date. Level 2 —Pricing inputs are other than quoted prices in active market, which are either directly or indirectly observable as of the report date. The nature of these securities includes investments for which quoted prices are available but traded less frequently and investments that are fair valued using other securities, the parameters of which can be directly observed. Level 3 —Securities that have little to no pricing observability as of the report date. These securities are measured using management’s best estimate of fair value, where the inputs into the determination of fair value are not observable and require significant management judgment or estimation. Fair value accounting is applied to all financial assets and liabilities that are recognized or disclosed at fair value in our consolidated financial statements on a recurring basis. Our financial instruments, including cash, restricted cash, accounts receivable, accounts payable, borrowings under credit facility, and other liabilities and accrued expenses approximate fair value due to their short-term maturities. Our financial assets and liabilities that were measured at fair value on a recurring basis consisted of foreign currency forward contracts and the fair values of these contracts, which were classified as Level 2 of the fair value hierarchy, were based on similar exchange traded derivatives and the related asset or liability. The balances of our financial assets and liabilities as of December 31, 2025 and 2024 were not material. The fair value of our debt, including current maturities, was estimated using Level 2 inputs. Refer to Note 7 “Debt” for disclosure on the fair value of our debt. Business Combinations We account for acquisitions that meet the definition of a business under ASC 805, Business Combinations , by using the acquisition method of accounting, which requires the purchase consideration be allocated to the fair value of the identifiable tangible and intangible assets acquired and liabilities assumed on acquisition date. Any excess of the purchase consideration over the fair value of the net assets acquired is recorded as goodwill on the consolidated balance sheet. Alternatively, in an instance where the fair value of the net assets acquired exceeds the purchase consideration, we record a bargain purchase gain in the consolidated statement of operations at the date of acquisition. Determining the fair value of assets acquired and liabilities assumed requires management’s judgment, and the utilization of independent valuation experts as well as the use of significant estimates and assumptions with respect to the timing and amounts of future cash inflows and outflows, discount rates, market prices and asset lives, among other items. The judgments made in the determination of the estimated fair value assigned to the assets acquired and liabilities assumed, as well as the estimated useful life of each asset and the duration of each liability, can materially impact the financial statements in periods after acquisition, such as through depreciation and amortization expense. While we use our best estimates and assumptions as part of the purchase price allocation to accurately value assets acquired and liabilities assumed at the acquisition date, these estimates are inherently uncertain and subject to refinement. As a result, during the remeasurement period, which may extend for up to one year from the acquisition date, adjustments to the assets acquired and liabilities assumed may be recorded, with the corresponding offset to goodwill or bargain purchase gain. Upon conclusion of the measurement period or final determination of the fair values of assets acquired and liabilities assumed, whichever comes first, any subsequent adjustments are recorded to the consolidated statements of operations rather than adjusted through goodwill or bargain purchase gain. We include the results of operations of the acquired business in the consolidated financial statements prospectively from the date of acquisition. Acquisition-related charges, including primarily third-party professional fees, accounting fees and legal fees are recognized separately from the business combination and are expensed as incurred. Goodwill and Indefinite-lived Intangible Assets Goodwill and indefinite-lived intangible assets are not amortized and are tested for impairment annually as of October 1, or more frequently if events or changes in circumstances indicate that it is more likely than not that the fair value of a reporting unit or asset is below its carrying value. Goodwill is tested at the reporting unit level and indefinite-lived intangible assets are tested at the individual asset level. Impairment assessments may be qualitative or quantitative in nature. A quantitative assessment is performed if, based on a qualitative evaluation, it is determined that it is more likely than not that a reporting unit’s fair value is less than its carrying value. Corsair Gaming, Inc. | 2025 Form 10-K | 66 Table of Contents Our qualitative assessment considers relevant events and circumstances affecting the financial performance of the reporting units and the Company as a whole, including industry and market conditions, operating results, expectations of future performance, and other entity-specific factors. Qualitative considerations may also include trends in our consolidated market capitalization, share price, and significant changes in our business or reporting unit structure. In certain circumstances, management may perform additional analyses to support its qualitative assessment, including evaluating the sensitivity of fair value estimates to changes in key assumptions. We performed our annual goodwill impairment assessment as of October 1, 2025 and concluded that the fair value of each reporting unit exceeded its carrying amount. Management continued to evaluate indicators of impairment subsequent to the annual test. In connection with our assessment as of December 31, 2025, management considered trends in share price, the relationship between market capitalization and carrying value, recent operating performance, and updated forecasts. Management also considered the implied control value of the Company by reconciling the aggregate fair value of the reporting units to market capitalization adjusted for a reasonable control premium informed by observable market data. Based on this evaluation, management concluded that it was not more likely than not that the fair value of any reporting unit was below its carrying amount as of December 31, 2025, and therefore a quantitative goodwill impairment test was not required. Intangible Assets with finite-lives and Long-Lived Assets Our intangible assets with finite lives principally include acquired technology, patents, tradenames, customer relationships and non-compete agreements. The assets are carried at cost and amortized using a straight-line method over the estimated economic lives of the assets. Amortization expense related to patents and supplier relationship are included in cost of revenues. Amortization expense related to developed technology is included in product development costs. Amortization expense related to customer relationships and trade name are included in sales, general and administrative costs. Our long-lived assets are primarily comprised of operating lease ROU assets, property and equipment and capitalized CCA implementation costs. We evaluate the recoverability of intangible assets with finite lives and long-lived assets for impairment whenever events or changes in circumstances indicate that the carrying amounts may not be recoverable. For ROU assets such circumstances would include a decision to abandon the use of all or part of an asset, or subleases that do not fully recover the costs of the associated lease. Recoverability is measured by comparing the carrying amounts to the future undiscounted cash flows the assets are expected to generate. If it is determined that an asset may not be recoverable, an impairment loss equal to the excess of the asset’s carrying value over its fair value is recorded. Fair value is determined based on an asset’s projected discounted future cash flow or appraised value, depending on the nature of the asset. Such impairment charges recorded in the periods presented were not material. Warranty Reserve All of our products are covered by warranty to be free from defects in material and workmanship for periods generally ranging from six months to ten years , and for life for memory products. Our warranty does not provide a service beyond assuring that the product complies with agreed-upon specifications. At the time of sale, an estimate of future warranty costs is recorded as a component of cost of revenue and a warranty liability is recorded for estimated costs to satisfy the warranty obligation. The estimate of the costs to fulfill our warranty obligations is based on historical experience and expectations of future costs to repair or replace. Foreign Currency For subsidiaries that have non-U.S. dollar functional currencies, the assets and liabilities of these subsidiaries are translated using period-end exchange rates. Revenues and expenses are translated using average exchange rates in effect during the reporting period. Cumulative translation gains and losses are included as a component of stockholders’ equity in accumulated other comprehensive income (loss). Monetary assets or liabilities denominated in currencies other than the functional currency are remeasured using exchange rates prevailing on the balance sheet date. Foreign currency remeasurement gains and (losses), net is included in other (expense) income, net in the consolidated statements of operations and the amounts were $ 0.2 million, $( 5.4 ) million, and $( 1.2 ) million for the years ended December 31, 2025, 2024 and 2023, respectively. These amounts do not include the change in fair value of our foreign currency forward contracts. Refer to Note 3, Derivative Financial Instruments for more information on our hedging instruments. Gains and losses on long-term intercompany loans not intended to be repaid in the foreseeable future are recorded as a component of accumulated other comprehensive income (loss). Corsair Gaming, Inc. | 2025 Form 10-K | 67 Table of Contents Noncontrolling Interest We have a redeemable noncontrolling interest in connection with our partial ownership of iDisplay. Redeemable noncontrolling interest that is redeemable and not solely within our control is classified within temporary equity in the consolidated balance sheets. Redeemable noncontrolling interest is measured at the greater of the redemption value (calculated based on the formula stipulated in the Shareholders Agreement between the iDisplay seller and Corsair and including the amounts for dividends not currently declared or paid, for which the payment is not solely within our control), or the carrying value before giving effect to the redemption feature. The redemption value is remeasured each quarter and changes in the value are recognized immediately. Any resulting change in the value of the redeemable noncontrolling interest is recognized through retained earnings and this adjustment also impacts the net income or loss attributable to common stockholders of Corsair Gaming, Inc used in the net income (loss) per share calculation. (See Note 11 “Net Income (Loss) Per Share” and Note 16 “Redeemable Noncontrolling Interest” for more information). Income Taxes Income taxes are accounted for under the asset and liability method. Deferred tax assets and liabilities are recognized for the future tax consequences attributable to differences between the tax and financial reporting bases of our assets and liabilities. Deferred tax assets and liabilities are measured using enacted tax rates expected to apply to taxable income in future years in which those temporary differences are expected to be recovered or settled. Deferred tax assets are reduced through the establishment of a valuation allowance, if, based upon available evidence, it is determined that it is more likely than not that the deferred tax assets will not be realized. We are subject to foreign income taxes on our foreign operations. All deferred tax assets and liabilities are classified as non-current in the consolidated financial statements. We recognize the effect of income tax positions only if those positions are more likely than not of being sustained on examination based on the technical merit of the position. The first step is to evaluate the tax position for recognition by determining if the weight of available evidence indicates it is more likely than not that the position will be sustained on examination, including resolution of related appeals or litigation processes, if any. The second step is to measure the tax benefit as the largest amount, which is more than 50 % likely of being realized upon ultimate settlement. We consider many factors when evaluating and estimating our tax positions and tax benefits, which may require periodic adjustments. Interest charges and penalties related to unrecognized tax benefits are recognized as a component of the income tax benefit (expense). Net Income (Loss) per Share Basic net income (loss) per share is computed by dividing net income (loss) attributable to common stockholders by the weighted-average number of common shares outstanding for the period, without consideration of potential dilutive securities. Diluted net income per share is computed based on the weighted-average number of shares outstanding for the period, adjusted to include the incremental shares expected to be issued for assumed exercise of options under the treasury stock method. Net income (loss) attributable to common stockholders is adjusted for changes in the redemption value of redeemable noncontrolling interest. (See section on “Noncontrolling Interest” above and Note 11 “Net Income (Loss) Per Share” for more information). Recently Adopted Accounting Pronouncements In December 2023, the FASB issued ASU No. 2023-09 , Income Taxes (Topic 740) - Improvements to Income Tax Disclosures. This ASU requires disaggregated information about a reporting entity's effective tax rate reconciliation as well as additional information on income tax paid. The ASU is effective for annual periods beginning after December 15, 2024, with early adoption permitted. We adopted this standard for year ended December 31, 2025, and applied the new disclosure requirement prospectively to the current annual period. Prior period disclosures have not been adjusted to reflect the new disclosure requirements. See Note 12 “Income Taxes” for further detail. Recently Issued Accounting Pronouncements, Not Yet Adopted In November 2024, the FASB issued ASU No. 2024-03, Income Statement (Topic 220) - Reporting Comprehensive Income - Expense Disaggregation Disclosures: Disaggregation of Income Statement Expenses. This ASU requires additional disclosures about the nature of expenses included in the income statement, such as purchases of inventory, employee compensation and depreciation. This ASU 2024-03 is effective for annual periods beginning after December 15, 2026 and interim reporting periods beginning after December 15, 2027, with early adoption permitted. We are currently evaluating the provisions of this ASU and expect to adopt them for the year ended December 31, 2027. Corsair Gaming, Inc. | 2025 Form 10-K | 68 Table of Contents In July 2025, the FASB issued ASU No. 2025-05, Financial Instruments - Credit Losses (Topic 326) - Measurement of Credit Losses for Accounts Receivable and Contract Assets. This ASU introduces a practical expedient for the application of the current expected credit loss (“CECL”) model to current accounts receivable and contract assets. The ASU is effective beginning in the first quarter of interim and annual periods beginning after December 15, 2025 on a prospective basis, with early adoption permitted. We are currently evaluating the provisions of this ASU and do not expect the adoption to have material effect on our consolidated financial statements. We expect to adopt this ASU for the fiscal year beginning January 1, 2026. In September 2025, the FASB issued ASU No. 2025-06, Intangibles, Goodwill and Other Internal-Use Software (Topic 350) - Targeted Improvements to the Accounting for Internal-Use Software. The amendments in this update improve the operability of the guidance by removing all references to software development project stages so that the guidance is neutral to different software development methods. This update is effective for annual periods beginning after December 15, 2027, including interim periods within those fiscal years, though early adoption is permitted. We are currently evaluating the provisions of this ASU and do not expect the adoption to have material effect on our consolidated financial statements. We expect to adopt this ASU for the fiscal year beginning January 1, 2028. In November 2025, the FASB issued ASU No. 2025-09, Derivatives and Hedging (Topic 815) - Hedge Accounting Improvements. The amendments in this update are intended to more closely align hedge accounting with the economics of an entity's risk management activities. This update is effective for annual periods beginning after December 15, 2026, including interim periods within those fiscal years, though early adoption is permitted. The amendments should be applied prospectively. We are currently evaluating the provisions of this ASU to determine its impact on our consolidated financial statements. We expect to adopt this ASU for the fiscal year beginning January 1, 2027. In December 2025, the FASB issued ASU No. 2025-11, Interim Reporting (Topic 270): Narrow-Scope Improvements. The amendments provides a comprehensive list of required interim disclosures and introduces a disclosure principle requiring entities to disclose events since the end of the last annual reporting period that have a material impact on the entity. ASU 2025-11 is effective for fiscal years beginning after December 15, 2027, including interim periods within those fiscal years, with early adoption permitted. We are currently evaluating the impact of adopting this ASU on our co nsolidated financial statements related disclosures. 3. Derivative Financial Instruments From time to time, we enter into derivative instruments such as foreign currency forward contracts, to minimize the short-term impact of foreign currency exchange rate fluctuations on certain foreign currency denominated assets and liabilities. The derivative instruments are recorded at fair value in prepaid expenses and other current assets or other liabilities and accrued expenses on the consolidated balance sheets. We do not designate such instruments as hedges for accounting purposes; accordingly, changes in the value of these contracts are recognized in each reporting period in other (expense) income, net in the consolidated statements of operations. We do no t enter into derivative instruments for trading purposes. The foreign currency forward contracts generally mature within two to four months . The notional principal amount of outstanding foreign exchange forward contracts was $ 28.5 million and $ 35.2 million as of December 31, 2025 and 2024 , respectively. The net fair value gain (loss) recognized in other (expense) income , net in relation to these derivative instruments was $( 4.6 ) million, $ 0.9 million, and $( 1.6 ) million for the years ended December 31, 2025, 2024, and 2023 , respectively. 4. Business Combinations Fanatec Acquisition On September 13, 2024, one of our subsidiaries, Corsair GmbH (“GmbH”) executed an Asset Purchase Agreement (“APA”) to purchase the business (the “Fanatec Business”) of Endor AG (“Endor”), which includes certain assets and all the personnel of Endor, as well as the equity interests of certain of Endor’s subsidiaries. Endor was a German public entity that created the leading end-to-end premium Fanatec sim racing product line. The Fanatec sim racing product line, which fully complements our sim racing chassis, gaming PCs, and gaming and streaming peripherals, has since expanded our product offerings in these markets. The Fanatec APA was consummated on September 19, 2024 (the “Fanatec Acquisition Date”) for a cash purchase consideration of approximately $ 43.7 million, net of $ 4.5 million of cash acquired. Prior to the Fanatec acquisition, another of our subsidiaries, Corsair Components Ltd (“CCL”), entered into a Bridge Loan Agreement (“Bridge Loan”) in May 2024 and a Debtor-In-Possession Loan Agreement (“DIP Loan”) in September 2024 with Endor to provide short-term financing for Endor's operations in connection with our intent to acquire the Fanatec Business through a German restructuring process. Pursuant to the terms of the APA, the total principal and interest owed by Endor to CCL as of the Fanatec Acquisition Date for the Bridge Loan and DIP Loan of approximately $ 16.6 million, in aggregate, was set-off against the purchase price, and accordingly, on the Fanatec Acquisition Date, GmbH paid CCL $ 16.6 million cash to settle the Bridge Loan and DIP Loan Corsair Gaming, Inc. | 2025 Form 10-K | 69 Table of Contents (including interest of $ 0.6 million), on behalf of Endor. GmbH paid the remaining $ 31.6 million purchase consideration to Endor in cash on the Fanatec Acquisition Date. Because the Fanatec acquisition met the definition of a business, it has been accounted for as a business combination using the acquisition method of accounting. Fanatec’s results of operations are included in our consolidated statements of operations with effect from September 19, 2024. The final allocation of the Fanatec Acquisition purchase consideration to the estimated fair value of the assets acquired and liabilities assumed, inclusive of measurement period adjustments, was as follows (in thousands): Preliminary Purchase Price Allocation as of Acquisition Date (1) Measurement Period Adjustments (2) Amounts Recognized as of Acquisition Date (as adjusted) Inventories $ 40,475 $ ( 9,048 ) $ 31,427 Prepaid and other assets 2,450 3,903 6,353 Property and equipment 780 ( 73 ) 707 Identifiable intangible assets 15,129 — 15,129 Goodwill — 2,140 2,140 Accounts payable ( 6,959 ) 81 ( 6,878 ) Accrued liabilities ( 5,403 ) 420 ( 4,983 ) Deferred tax liabilities ( 168 ) ( 4 ) ( 172 ) Total identified net assets acquired 46,304 ( 2,581 ) 43,723 Bargain purchase gain ( 2,581 ) 2,581 — Purchase consideration, net of cash acquired $ 43,723 $ — $ 43,723 (1) As previously reported in our Annual Report on Form 10-K for the year ended December 31, 2024. (2) Measurement period adjustments recorded during the year ended December 31, 2025. The fair value of the working capital related items, as well as the fair value of property and equipment approximated their book values at the Fanatec Acquisition Date. The fair value of the inventories was estimated by major category, at an estimate of net realizable value, which we believe approximates the price a market participant could achieve in a current sale. The difference between the fair value of the inventories and the book value recorded on the Fanatec Acquisition Date was $ 5.4 million, of which, upon the sale of acquired inventories, we recognized $ 0.7 million and $ 4.7 million in “cost of revenue” in our consolidated statements of operations for the years ended December 31, 2025 and 2024, respectively. The goodwill of $ 2.1 million represents the expansion of our market presence by utilizing Fanatec's strength and brand in the sim racing market. The goodwill is deductible for tax purposes and is assigned to our Peripherals reporting unit. The $ 15.1 million identifiable intangible assets acquired include trade name of $ 11.3 million and product technology of $ 3.8 million. The fair values of the identified intangible assets were estimated primarily using the income approach and were based on inputs that are not observable in the market which we consider to be Level 3 inputs. These intangible assets are being amortized over their estimated useful lives, ranging from 6 to 15 years, using the straight-line method of amortization. The identifiable intangible assets acquired are deductible for tax purposes. The acquisition-related costs incurred in the years ended December 31, 2025 and 2024 was $ 0.1 million and $ 2.7 million, respectively, and these amounts are included in sales and general and administrative expenses in the consolidated statements of operations. Corsair Gaming, Inc. | 2025 Form 10-K | 70 Table of Contents 5. Goodwill and Intangible Assets Goodwill The following table summarizes the changes in the carrying amount of goodwill by reportable segment (in thousands): Gaming Components and Systems Gamer and Creator Peripherals Total December 31, 2023 $ 148,936 $ 205,769 $ 354,705 Addition from business acquisition — — — Purchase price adjustment — — — Measurement period adjustments — ( 28 ) ( 28 ) Effect of foreign currency exchange rates ( 61 ) ( 394 ) ( 455 ) December 31, 2024 148,875 205,347 354,222 Measurement period adjustments — 2,140 2,140 Effect of foreign currency exchange rates 81 1,322 1,403 December 31, 2025 $ 148,956 $ 208,809 $ 357,765 Intangible assets, net The following table is a summary of intangible assets, net (in thousands): December 31, 2025 December 31, 2024 Gross Carrying Amount Accumulated Amortization Net Carrying Amount Gross Carrying Amount Accumulated Amortization Net Carrying Amount Developed technology $ 31,912 $ 19,891 $ 12,021 $ 50,512 $ 28,958 $ 21,554 Trade name 45,961 14,935 31,026 45,448 11,606 33,842 Customer relationships 216,869 180,962 35,907 217,868 160,183 57,685 Patent 36,450 27,624 8,826 34,307 21,376 12,931 Supplier relationship 5,997 3,997 2,000 5,745 2,872 2,873 Total finite-life intangibles 337,189 247,409 89,780 353,880 224,995 128,885 Indefinite life trade name 35,430 — 35,430 35,430 — 35,430 Other — — — 4 — 4 Total intangible assets $ 372,619 $ 247,409 $ 125,210 $ 389,314 $ 224,995 $ 164,319 In the year when an identified intangible asset becomes fully amortized, the fully amortized balances from the gross asset and accumulated amortization amounts are removed from the table above. Amortization expense of intangible assets was recognized in our consolidated statements of operations as follows (in thousands): Years Ended December 31, 2025 2024 2023 Cost of revenue $ 6,536 $ 5,963 $ 5,842 Sales, general and administrative 26,725 25,335 24,496 Product development 6,967 7,150 8,150 Total amortization of intangible assets $ 40,228 $ 38,448 $ 38,488 The estimated future amortization expense of intangible assets as of December 31, 2025 is as follows (in thousands): Amounts 2026 $ 36,182 2027 25,424 2028 5,469 2029 3,764 2030 3,585 Thereafter 15,356 Total $ 89,780 Corsair Gaming, Inc. | 2025 Form 10-K | 71 Table of Contents 6. Balance Sheet Components The following tables present the components of certain balance sheet amounts (in thousands): December 31, 2025 2024 Cash $ 97,183 $ 107,011 Restricted cash—short term 1,400 2,374 Restricted cash—non current 250 246 Total cash and restricted cash $ 98,833 $ 109,631 December 31, 2025 2024 Accounts receivable (1) $ 234,226 $ 218,913 Allowance for doubtful accounts ( 326 ) ( 265 ) Accounts receivable, net $ 233,900 $ 218,648 (1) As of December 31, 2025 , two customers represented 42.0 % and 14.4 % of our accounts receivable, net balance, respectively. As of December 31, 2024, two customers represented 41.8 % and 14.2 % of our accounts receivable, net balance, respectively. December 31, 2025 2024 Raw materials $ 72,516 $ 54,586 Work in progress 12,875 14,932 Finished goods 217,945 190,461 Inventories $ 303,336 $ 259,979 As of December 31, 2025, consigned inventories included within our raw material and work in progress are $ 1.2 million and $ 12.0 million, respectively. As of December 31, 2024, consigned inventories included within our raw material and work in progress are $ 0.5 million and $ 3.1 million, respectively. December 31, 2025 2024 Manufacturing equipment $ 30,957 $ 28,413 Leasehold improvements 23,260 20,938 Computer equipment, software and office equipment 19,194 16,418 Furniture and fixtures 7,337 5,655 Total property and equipment $ 80,748 $ 71,424 Less: Accumulated depreciation and amortization ( 49,234 ) ( 41,682 ) Property and equipment, net $ 31,514 $ 29,742 December 31, x 2025 2024 x Right-of-use assets $ 57,600 $ 52,580 Deferred tax asset 11,371 6,468 Other 4,616 4,864 Other assets $ 73,587 $ 63,912 Corsair Gaming, Inc. | 2025 Form 10-K | 72 Table of Contents December 31, 2025 2024 Accrued reserves for customer incentive programs $ 61,173 $ 41,141 Accrued reserves for sales returns 37,760 34,915 Accrued payroll and related expenses 26,830 13,297 Operating lease liabilities, current 16,400 15,843 Accrued freight expenses 16,037 14,314 Sales and use tax and value-added tax payable 11,087 9,169 Contract liabilities 8,998 7,283 Accrued warranty 8,065 8,759 Accrued legal expense 509 5,823 Other 25,416 26,325 Other liabilities and accrued expenses $ 212,275 $ 176,869 December 31, 2025 2024 Operating lease liabilities, noncurrent $ 52,785 $ 47,660 Other 3,010 3,715 Other liabilities, noncurrent $ 55,795 $ 51,375 7. Debt On September 3, 2021, we refinanced our First Lien Credit and Guaranty Agreement with a new Credit Agreement (as amended, the “Credit Agreement”) with Bank of America, N.A. The Credit Agreement provided for a $ 100.0 million five-year revolving credit facility maturing in September 2026 (the “September 2026 Revolving Facility”) and a $ 250.0 million five-year term loan facility maturing in September 2026 (the “September 2026 Term Loan”). The Credit Agreement also permitted, subject to conditions stated therein, our ability to incur additional indebtedness pursuant to additional incremental facilities in a maximum aggregate principal amount not to exceed $ 250.0 million. Prepayment of the September 2026 Term Loan and the September 2026 Revolving Facility was permitted at any time without premium or penalty. We prepaid $ 42.8 million and $ 12.5 million of the September 2026 Term Loan princip al in the years ended December 31, 2025 and 2024, respectively. On June 30, 2025, we entered into an Amended and Restated Credit Agreement (the “Amended and Restated Credit Agreement”) with Bank of America, N.A. to refinance the Credit Agreement. The Amended and Restated Credit Agreement provides for total commitments of $ 225.0 million, consisting of a $ 100.0 million five-year revolving credit facility maturing on June 30, 2030 (the “June 2030 Revolving Facility”) and a $ 125.0 million five-year term loan facility maturing on June 30, 2030 (the “June 2030 Term Loan”). The Amended and Restated Credit Agreement also permits, subject to conditions stated therein, additional incremental facilities in a maximum aggregate principal amount not to exceed $ 125.0 million. On June 30, 2025, the outstanding balance of the September 2026 Term Loan under the Credit Agreement of $ 125.0 million was carried over to the Amended and Restated Credit Agreement and will be repayable according to the new payment schedule under the Amended and Restated Credit Agreement. The Amended and Restated Credit Agreement has a variable rate structure. According to the provisions of the Amended and Restated Credit Agreement, the June 2030 Term Loan and June 2030 Revolving Facility each bears interest at our election, at either (a) term Secured Overnight Financing Rate ("SOFR") plus a percentage spread (ranging from 1.50 % to 2.50 %) based on our total net leverage ratio or (b) the base rate (as described in the Amended and Restated Credit Agreement as the greatest of (i) Bank of America’s prime rate, (ii) the federal funds rate plus 0.50 % and (iii) one-month term SOFR plus 1.0 %) plus a percentage spread (ranging from 0.50 % to 1.50 %) based on the our total net leverage ratio. Corsair Gaming, Inc. | 2025 Form 10-K | 73 Table of Contents The following table presents the carrying value of our Term Loan (in thousands): December 31, 2025 2024 X Term Loan (variable rate) due September 2026 under the Credit Agreement $ — $ 174,000 Term Loan (variable rate) due June 2030 under the Amended and Restated Credit Agreement 121,875 — Debt discount and issuance cost, net of amortization ( 533 ) ( 461 ) Total debt 121,342 173,539 Less: debt maturing within one year, net 6,120 12,229 Long-term debt, net $ 115,222 $ 161,310 As of December 31, 2025 , the estimated fair value of the Term Loan, which we have classified as a Level 2 financial instrument, was approximately $ 124.4 million. The unused capacity of the June 2030 Revolving facility under the Amended and Restated Credit Agreement was $ 99.5 million as of December 31, 2025 . The unused capacity of the September 2026 Revolving facility under the Credit Agreement was $ 99.8 million as of December 31, 2024. The effective interest rate of our Term Loan, inclusive of the debt discount and debt issuance costs, was approximately 6.6 %, 6.8 %, and 7.4 % for the years ended December 31, 2025, 2024 and 2023, respectively. The Amended and Restated Credit Agreement contains covenants with which we must comply during the term of the agreement, which we believe are ordinary and standard for agreements of this nature, including the maintenance of a maximum Consolidated Total Net Leverage Ratio (“CTNL Ratio”) and a minimum Consolidated Interest Coverage Ratio (“CIC Ratio”) (as defined in the Amended and Restated Credit Agreement). According to the provisions of the Amended and Restated Credit Agreement, we are required to maintain a maximum CTNL Ratio of 3.00 to 1.00 and a minimum CIC ratio of 3.00 to 1.00, with the provision that the maximum CTNL Ratio can be temporarily increased to 3.50 to 1.00 upon the occurrence of a Qualified Acquisition (as defined in, and subject to the requirements of the Amended and Restated Credit Agreement). As of December 31, 2025, we were fully in compliance under the Amended and Restated Credit Agreement. Our obligations under the Amended and Restated Credit Agreement are guaranteed by substantially all of our U.S. subsidiaries and secured by a security interest in substantially all assets of the Company and the guarantor subsidiaries, subject to certain exceptions detailed in the Amended and Restated Credit Agreement and related ancillary documentation. The following table summarizes the interest expense recognized for all periods presented (in thousands): Years Ended December 31, 2025 2024 2023 Contractual interest expense for term loan $ 8,284 $ 12,347 $ 16,362 Contractual interest expense for revolving facility 316 55 — Amortization of debt discount and issuance cost 412 513 679 Other 338 292 379 Total interest expense $ 9,350 $ 13,207 $ 17,420 The future principal payments under our total long-term debt as of December 31, 2025 are as follows (in thousands): Amounts 2026 $ 6,250 2027 6,250 2028 6,250 2029 6,250 2030 96,875 Total debt $ 121,875 Corsair Gaming, Inc. | 2025 Form 10-K | 74 Table of Contents 8. Commitments and Contingencies Product Warranties Changes in our assurance-type warranty obligations were as follows (in thousands): December 31, 2025 2024 Beginning of the period $ 8,759 $ 7,155 Balance assumed from business acquisitions — 1,304 Warranty provision related to products shipped 8,420 5,872 Deductions for warranty claims processed ( 9,114 ) ( 5,572 ) End of period $ 8,065 $ 8,759 Unconditional Purchase Obligations In the normal course of business, we enter into various purchase commitments for goods or services. Our long-term non-cancelable purchase commitments consist primarily of multi-year contractual arrangements relating to subscriptions for our enterprise resource planning system and the related support services, in addition to commitments related to other cloud computing hosting arrangements. Total long-term non-cancelable purchase commitments as of December 31, 2025 and 2024 was $ 3.9 million and $ 1.6 million, respectively. Letters of Credit Letters of credit outstanding as of December 31, 2025 and 2024 were $ 0.5 million and $ 0.2 million, respectively. No amounts have been drawn upon the letters of credit for the years ended December 31, 2025, 2024 and 2023. Legal Proceedings We may from time to time be involved in various claims and legal proceedings of a character normally incidental to the ordinary course of business. Litigation can be expensive and disruptive to normal business operations, and the results of complex legal proceedings are difficult to predict, and our view of these matters may change in the future as the litigation and events related thereto unfold. We expense legal fees as incurred and we record a provision for contingent losses when it is both probable that a liability has been incurred and the amount of the loss can be reasonably estimated. Based on currently available information, we believe there are no existing claims or proceedings that are likely to have a material adverse effect on our financial position, or the outcome of these matters is currently not determinable. An unfavorable outcome of any legal matter, if material, could have an adverse effect on our operations or financial position, liquidity of results of operations. Indemnification In the ordinary course of business, we may provide indemnifications of varying scope and terms with respect to certain transactions. We have entered into indemnification agreements with directors and certain officers and employees that will require Corsair, among other things, to indemnify them against certain liabilities that may arise by reason of their status or service as directors, officers or employees. No demands have been made upon Corsair to provide indemnification under such agreements, and thus, there are no claims that we are aware of that could have a material effect on our consolidated balance sheets, statements of operations, or statements of cash flows. We currently have directors’ and officers’ insurance . 9. Stockholders’ Equity On September 25, 2020, in connection with the closing of the IPO, we filed an Amended and Restated Certificate of Incorporation which increased the authorized shares of common stock for issuance to 300,000,000 and authorized 5,000,000 shares of preferred stock, with a par value of $ 0.0001 per share, for issuance. There were no shares of preferred stock outstanding as of December 31, 2025 and 2024. Shelf-Registration Statement On July 22, 2022, we filed a shelf registration statement on Form S-3 with the SEC, which was declared effective August 1, 2022 (the “2022 Shelf Registration Statement”). The 2022 Shelf Registration Statement registered securities to be offered by us, in an amount up to $ 300.0 million, including common stock, preferred stock and warrants, through August 1, 2025, of which $ 216.7 million remained unsold through August 1, 2025. In addition, the 2022 Shelf Registration Statement registered 54,179,559 shares of common stock held by the selling securityholders named in the 2022 Shelf Registration Statement, all of which remained unsold through Corsair Gaming, Inc. | 2025 Form 10-K | 75 Table of Contents August 1, 2025. The 2022 Shelf Registration Statement expired on August 1, 2025 , and on August 7, 2025, we filed a new shelf registration statement on Form S-3, which was declared effective on August 15, 2025 (the “2025 Shelf Registration Statement”) to replace the 2022 Shelf Registration Statement. The 2025 Shelf Registration Statement registered securities to be offered by us, in an amount up to $ 300.0 million, including common stock, preferred stock and warrants through August 15, 2028. As of December 31, 2025 , $ 300.0 million remained available for issuance under the 2025 Shelf Registration Statement. In addition, the 2025 Shelf Registration Statement registered 56,300,771 shares of common stock held by the selling securityholders named in the 2022 Shelf Registration Statement, all of which remained unsold as of December 31, 2025 . 10. Equity Incentive Plans and Stock-Based Compensation Equity Incentive Plans In 2017, we adopted the 2017 Equity Incentive Program (“2017 Plan”). In September 2020, we adopted the 2020 Incentive Award Plan (“2020 Plan”). The 2020 Plan is the successor and continuation to the 2017 Plan. The 2020 Plan provides for the grant of stock options, stock appreciation rights, restricted stock awards, RSUs, performance awards and other forms of awards. Incentive stock options may be granted only to employees. All other awards may be granted to eligible employees, non-employee directors and consultants, at the discretion of our board of directors (“Board”). Under the 2020 Plan, the number of shares of common stock reserved for issuance is subject to automatic evergreen increases annually on the first day of each year beginning in 2021 through 2030, by an amount equal to the lesser of 4 % of the outstanding shares of our common stock on the last day of the immediately preceding fiscal year, or a number of shares determined by our Board. The 2020 Plan reserve also includes any shares under the 2017 Plan and the 2020 Plan that may become available for issuance if the award terminates without the delivery of shares or if shares are tendered to satisfy the exercise price or tax withholding obligation with respect of the award. As of December 31, 2025, there were 12,711,414 shares reserved for future issuance under the 2020 Plan. All stock options under the 2017 Plan and the 2020 Plan are issued at exercise prices not less than the fair market value on the date of grant. RSUs have no exercise price. Both stock options and RSUs vest over a period of time as determined by the Board, generally four to five years . Stock options expire ten years from date of grant. In February 2025, we granted performance stock units (“PSU”) to certain members of our management team under the 2020 Equity Incentive Plan. The vesting of PSUs was conditional upon the achievement of certain internal financial targets for the year ended December 31, 2025 and continued service over a three-year service period. The number of units that could be earned ranged from 0 % to 200 % of the target shares depending on the achievement of the financial targets. B ased on the Company’s 2025 financial performance, the number of PSU expected to be earned is subject to approval by the Board in early 2026. One-third of the earned PSUs will vest in the first quarter of 2026, with the remaining two-thirds vesting quarterly over the subsequent two years, subject to continued service. Compensation expense associated with the PSUs is recognized using the accelerated attribution method over the requisite service period, and is based on the number of PSUs earned following completion of the performance period. Employee Stock Purchase Plan In September 2020, we adopted the 2020 Employee Stock Purchase Plan (“ESPP”). The ESPP is designed to allow eligible employees to purchase shares of our common stock with their accumulated payroll deductions. Our ESPP offering periods are generally six months. On each purchase date which falls on the last date of each offering period, plan participants can purchase shares of common stock at a price per share equal to 85 % of the lesser of the closing price per share of our common stock on the enrollment date or on the purchase date. Under the ESPP plan, the number of shares reserved for issuance is subject to automatic increases annually on the first day of each year beginning in 2021 through 2030, by an amount equal to the lesser of 1 % of the total outstanding shares of our common stock on the last day of the immediately preceding fiscal year, or a number of shares determined by our Board, provided that no more than 20,000,000 shares may be issued under the plan. As of December 31, 2025, there were 4,541,049 shares reserved for future issuance under the ESPP. Corsair Gaming, Inc. | 2025 Form 10-K | 76 Table of Contents Stock Options Activities The following table summarizes the stock option activities and related information for the year ended December 31, 2025: Number of Shares Weighted- Average Exercise Price Per Share Weighted- Average Remaining Contractual Term Aggregate Intrinsic Value (In years) (In thousands) Outstanding as of December 31, 2024 11,142,027 $ 13.40 6.0 $ 7,185 Granted 1,424,478 11.22 Exercised ( 573,043 ) 5.37 Forfeited/cancelled ( 182,335 ) 12.65 Outstanding as of December 31, 2025 11,811,127 $ 13.54 4.8 $ 4,599 Vested and exercisable as of December 31, 2025 9,138,211 $ 13.72 3.7 $ 4,599 The weighted-average grant date fair value per share for stock options granted in years ended December 31, 2025, 2024 and 2023 was $ 5.89 , $ 6.47 , and $ 8.71 respectively. The total intrinsic value of options exercised for the years ended December 31, 2025, 2024 and 2023 was $ 3.0 million, $ 2.0 million, and $ 11.8 million, respectively. RSU Activities The following table summarizes the RSU activities and related information for the year ended December 31, 2025: Number of Shares Weighted- Average Grant Date Fair Value Per Share Outstanding as of December 31, 2024 2,016,661 $ 15.01 Granted 1,524,464 11.44 Vested ( 1,009,761 ) 15.96 Forfeited/cancelled ( 187,793 ) 12.52 Outstanding as of December 31, 2025 2,343,571 $ 12.47 The weighted-average grant date fair value per share for RSUs granted in years ended December 31, 2025, 2024 and 2023 was $ 11.44 , $ 11.79 , and $ 17.42 , respectively. The total fair value of RSUs vested in the years ended December 31, 2025, 2024 and 2023 was $ 10.1 million, $ 8.1 million, and $ 13.2 million, respectively. PSU Activities The following table summarizes the PSU activities and related information for the year ended December 31, 2025: Number of Shares Weighted- Average Grant Date Fair Value Per Share Outstanding as of December 31, 2024 327,000 $ 13.54 Granted 567,000 12.23 Vested — — Forfeited/cancelled ( 327,000 ) 13.54 Outstanding as of December 31, 2025 567,000 $ 12.23 Corsair Gaming, Inc. | 2025 Form 10-K | 77 Table of Contents The weighted-average grant date fair value per share for PSUs granted in years ended December 31, 2025 and 2024 was $ 12.23 , and $ 13.54 , respectively. No PSUs vested in the years ended December 31, 2025 and 2024. The fair value of the PSUs was determined using the Company's stock price on the grant date. Stock-based Compensation The following table summarizes stock-based compensation expense by line item in our consolidated statements of operations (in thousands): Years Ended December 31, 2025 2024 2023 Cost of revenue $ 2,233 $ 2,044 $ 2,094 Sales, general and administrative 28,022 24,955 24,838 Product development 2,857 3,592 3,941 Stock-based compensation expense, net of amounts capitalized (1) $ 33,112 $ 30,591 $ 30,873 Income tax benefits related to stock-based compensation expense $ 259 $ 195 $ 2,725 (1) Stock-based compensation expense capitalized were not material for each of the periods presented. The following table summarizes by type of grant, the total unrecognized stock-based compensation expense and the remaining period over which such expense is expected to be recognized (in thousands, except number of years): December 31, 2025 Unrecognized Expense Remaining Weighted Average Period (In years) Stock Options $ 13,869 2.4 RSUs 22,226 2.6 ESPP 137 0.1 PSUs 2,730 2.2 Total unrecognized stock-based compensation expense $ 38,962 Valuation Assumptions We estimate the fair value of the stock options at the date of grant using the Black-Scholes-Merton pricing model, with the following valuation assumptions: Years Ended December 31, 2025 2024 2023 Expected term (years) 6.23 6.16 6.00 Expected volatility 47.3 % - 49.6 % 42.8 % - 43.1 % 43.2 % - 44.5 % Dividend yield — — — Risk-free interest rate 3.81 % - 4.45 % 4.17 % - 4.41 % 3.85 % - 4.61 % We estimate the fair value of the shares under the ESPP at the date of grant using the Black-Scholes-Merton pricing model, with the following valuation assumptions: Years Ended December 31, 2025 2024 2023 Expected term (years) 0.50 0.50 0.50 - 0.64 Expected volatility 53.3 % - 61.3 % 30.5 % - 44.2 % 41.0 % - 47.8 % Dividend yield — — — Risk-free interest rate 4.41 % - 4.34 % 4.92 % - 5.32 % 4.77 % - 5.45 % Each of the inputs to the Black-Scholes-Merton pricing model, as discussed below, is subjective and generally requires significant judgment and estimation by management. Expected Term —Expected term is estimated based on our historical exercise data. Expected Volatility —Expected volatility is estimated using the weighted average volatility of our common stock and the stocks of comparable public companies within our industry. Corsair Gaming, Inc. | 2025 Form 10-K | 78 Table of Contents Risk-Free Interest Rate —The risk-free interest rate is based on the U.S. Treasury yield curve in effect at the date of grant for zero-coupon U.S. Treasury notes with maturities approximately equal to the expected term of the stock-based awards. Expected Dividend Rate —The expected dividend is zero as we do not anticipate paying any dividends on our common stock in the foreseeable future. 11. Net Income (Loss) Per Share The following table summarizes the calculation of basic and diluted net income (loss) per share (in thousands, except per share amounts): Years Ended December 31, 2025 2024 2023 Numerator Net loss $ ( 14,965 ) $ ( 83,394 ) $ ( 1,037 ) Less: Net income attributable to noncontrolling interest 1,194 1,787 1,553 Net loss attributable to Corsair Gaming, Inc. ( 16,159 ) ( 85,181 ) ( 2,590 ) Change in redemption value of redeemable noncontrolling interest 3,694 ( 13,994 ) 5,777 Net income (loss) attributable to common stockholders of Corsair Gaming, Inc. $ ( 12,465 ) $ ( 99,175 ) $ 3,187 Denominator Basic weighted-average shares outstanding 106,005 104,164 102,482 Effect of dilutive securities — — 3,794 Total diluted weighted-average shares outstanding 106,005 104,164 106,276 Net income (loss) per share attributable to common stockholders of Corsair Gaming, inc. Basic $ ( 0.12 ) $ ( 0.95 ) $ 0.03 Diluted $ ( 0.12 ) $ ( 0.95 ) $ 0.03 Anti-dilutive potential common shares (1) 14,488 13,585 5,304 (1) Potential common share equivalents were not included in the calculation of diluted net income (loss) per share as the effect would have been anti-dilutive. 12. Income Taxes Loss before income tax consisted of the following (in thousands): Years Ended December 31, 2025 2024 (1) 2023 Domestic $ ( 30,356 ) $ ( 73,238 ) $ ( 21,833 ) Foreign 18,207 11,580 18,354 Loss before income tax $ ( 12,149 ) $ ( 61,658 ) $ ( 3,479 ) (1) Income (loss) before income taxes is attributed to domestic and foreign operations based on the location of the legal entity generating the earnings. Intercompany dividends are included in separate legal entity for purposes of determining income before income taxes for the respective domestic and foreign operations. However, all such intercompany dividends and related income are eliminated in consolidation to arrive at the consolidated loss before income taxes. The classification of the 2024 amounts presented in the table above have been adjusted to conform with the classification of such intercompany dividends and income in 2025. There were no such intercompany dividend and related income in 2023. Income tax benefit (expense) consisted of the following (in thousands): Corsair Gaming, Inc. | 2025 Form 10-K | 79 Table of Contents Years Ended December 31, 2025 2024 2023 U.S. federal taxes: Current $ 652 $ ( 406 ) $ 624 Deferred ( 102 ) ( 23,036 ) 4,235 U.S state taxes: Current 105 ( 222 ) ( 477 ) Deferred 73 ( 5,874 ) 863 Foreign taxes: Current ( 10,086 ) ( 9,692 ) ( 4,037 ) Deferred 6,542 17,494 1,234 Income tax benefit (expense) $ ( 2,816 ) $ ( 21,736 ) $ 2,442 A reconciliation of the income tax expense to the amount computed by applying the 21 % statutory U.S. federal income tax rate to income before income taxes after the adoption of ASU 2023-09 is as follows (in thousands, except percentages): Year Ended December 31, 2025 Pre-tax book loss $ ( 12,149 ) Provision at U.S. federal statutory rate 2,551 21.0 % State and local income taxes, net of federal income tax effect (1) ( 24 ) ( 0.2 )% Foreign Tax Effects: United Kingdom: Statutory tax rate difference between United Kingdom and United States ( 159 ) ( 1.3 )% Patent box benefit at lower rate 1,118 9.2 % Prior return to provision adjustment ( 339 ) ( 2.8 )% Other ( 86 ) ( 0.7 )% Taiwan: Statutory tax rate difference between Taiwan and United States 151 1.2 % Taiwan Hynix tax ( 305 ) ( 2.5 )% Nondeductible stock-based compensation ( 124 ) ( 1.0 )% Other ( 10 ) ( 0.1 )% Germany: Statutory tax rate difference between Germany and United States 50 0.4 % Germany trade tax ( 166 ) ( 1.4 )% Bargain purchase gain ( 847 ) ( 7.0 )% Germany statutory adjustment 951 7.8 % Other ( 3 ) — Other foreign jurisdiction 23 0.2 % Effect of cross-border tax laws: Subpart F ( 1,264 ) ( 10.4 )% Global intangible low-taxed income (GILTI) ( 78 ) ( 0.6 )% Foreign-derived intangible income (FDII) 789 6.5 % Sec.986c adjustment ( 497 ) ( 4.1 )% Tax credits: Research and development credit 402 3.3 % Change in valuation allowance ( 208 ) ( 1.7 )% Non taxable or nondeductible items: Nondeductible stock-based compensation ( 1,866 ) ( 15.4 )% Section 162(m) limitation ( 1,908 ) ( 15.7 )% Other ( 27 ) ( 0.2 )% Changes in unrecognized tax benefits 834 6.9 % Other: Endor America liquidation impact (2) ( 924 ) ( 7.6 )% Effect of change in assertion of indefinite reinvestment ( 850 ) ( 7.0 )% Total income tax benefit (expense) $ ( 2,816 ) ( 23.2 )% Corsair Gaming, Inc. | 2025 Form 10-K | 80 Table of Contents (1) State taxes in California and New Jersey represented more than 50% of the tax effect in this reconciling item. (2) Endor America was one of the non-German subsidiaries acquired as part of the September 2024 Fanatec Acquisition. A reconciliation of the income tax expense to the amount computed by applying the 21 % statutory U.S. federal income tax rate to income before income taxes before the adoption of ASU 2023-09 is as follows (in thousands): Years Ended December 31 2024 2023 Provision at federal statutory rate $ 12,913 $ 731 State taxes 1,636 116 Foreign rate differential ( 15,027 ) ( 413 ) Taxes on foreign operations 14,035 4,210 Research and development credits 1,291 1,151 Tax impact from intercompany transfer of intangible assets 10,652 — Change in valuation allowance ( 41,252 ) 41 Section 162(m) limitation ( 2,102 ) ( 1,529 ) Deferred tax assets adjustments — ( 1,242 ) Stock base compensation ( 2,073 ) ( 333 ) Other ( 1,809 ) ( 290 ) Total income tax benefit (expense) $ ( 21,736 ) $ 2,442 We were not subject to any tax holidays or tax holiday terminations subject to disclosure during these periods that impacted earnings per share. Components of deferred tax assets and liabilities consisted of the following (in thousands): December 31, 2025 2024 Deferred tax assets: Accrued expenses and reserves $ 13,842 $ 14,351 Lease liabilities 10,568 10,244 Stock-based compensation 6,911 5,642 NOL and capital losses 15,203 4,778 Capitalized research expenditures 15,526 29,754 Tax credits 1,654 2,060 Uniform capitalization 1,633 1,325 Foreign currency translation adjustments 1,566 1,859 Other 267 508 Total deferred tax assets 67,170 70,521 Less: Valuation allowance ( 42,156 ) ( 43,654 ) Deferred tax liabilities: Intangible assets ( 8,461 ) ( 16,548 ) Right-of-use assets ( 8,005 ) ( 7,711 ) Effect of change in assertion of indefinite reinvestment ( 1,071 ) — Depreciation & amortization ( 2,177 ) ( 3,519 ) Net deferred tax (liabilities) assets $ 5,300 $ ( 911 ) We have established a valuation allowance of $ 42.2 million and $ 43.7 million as of December 31, 2025 and 2024, respectively, against our net deferred tax assets. We determine valuation allowance on deferred tax assets by considering both positive and negative evidence in order to ascertain whether it is more likely than not that deferred tax assets will be realized. A significant piece of objective negative evidence considered in this assessment was our three-year cumulative loss position in the United States as of December 31, 2025 and 2024. Although management considered the projections of future taxable income, the weight of this historical objective evidence led management to conclude that the majority of its U.S. deferred tax assets are not more likely than not to be realized, resulting in the initial recognition of the valuation allowance in 2024. Based on our continued evaluation of all available evidence as of December 31, 2025, management concluded that the valuation allowance remains necessary in 2025. Corsair Gaming, Inc. | 2025 Form 10-K | 81 Table of Contents As of December 31, 2025, we had net operating loss (“NOL”) carryforwards for federal, state and foreign tax purposes of $ 52.5 million, $ 42.0 million, and $ 9.3 million, respectively. The federal NOL carry forward indefinitely; however, under current tax law, the utilization of federal NOL generated in taxable years beginning after December 31, 2017, is limited to 80 % of taxable income in the year of utilization. State and foreign NOL will begin to expire in 2042 and 2030 , respectively . As defined under Internal Revenue Code Section 382 (“Section 382”), certain tax attributes are subject to an annual limitation as a result of our change in ownership in August 2017. If an ownership change has occurred or occurs in the future, our ability to use pre-change tax attributes to offset future taxable income would be subject to an annual limitation based on the Company’s value at the time of the change. We intend to indefinitely reinvest the majority of our foreign subsidiary earnings to support international operations; accordingly, no deferred tax liabilities have been recognized for these outside basis differences. During the current period, we reassessed our assertion under APB 23 with respect to the indefinite reinvestment of undistributed foreign earnings. As a result of this reassessment, we changed our assertion for certain subsidiaries in the United Kingdom and Canada to no longer indefinitely reinvest their undistributed earnings in order to satisfy domestic liquidity needs and settle intercompany receivables. This change resulted in the recognition of a $ 1.0 million deferred tax liability in 2025, which was fully offset by a corresponding valuation allowance, resulting in no impact to our 2025 consolidated tax provision. Changes in gross unrecognized tax benefits, excluding interest and penalties, as a result of uncertain tax positions were as follows (in thousands): Years Ended December 31, 2025 2024 2023 Beginning balance $ 3,212 $ 3,538 $ 3,606 Tax position related to current year Increase 161 345 317 Decrease — — — Tax position related to prior year Increase 1,621 — 1 Decrease ( 1,163 ) ( 671 ) ( 386 ) $ 3,831 $ 3,212 $ 3,538 All of these unrecognized tax benefits would favorably impact our effective tax rate in future periods to the extent benefits are recognized. Our policy is to recognize interest and penalties related to unrecognized tax benefits in income tax expense. We did no t recog nize any material interest or penalties related to uncertain tax positions for the years ended December 31, 2025, 2024 and 2023. We file income tax returns with the U.S. federal government, various U.S. states and foreign jurisdictions including Germany, Hong Kong, Taiwan, and the United Kingdom. Our income tax returns in the U.S., various U.S. states and foreign jurisdictions remain open to examination by taxing authorities for years 2018 through 2024 . The amounts of cash income taxes paid, net of refunds, for the year ended December 31, 2025 were as follows: Year Ended December 31 2025 Federal taxes $ ( 771 ) State taxes ( 269 ) Foreign taxes: U.K. 6,632 Taiwan 3,727 Other foreign jurisdictions 817 Total cash income taxes paid (net of refunds) $ 10,136 The amount of cash income taxes paid, net of refunds, during the years ended December 31, 2024 and 2023 was $ 5.1 million and $ 7.4 million, respectively. On July 4, 2025, the One Big Beautiful Bill Act (OBBBA) was enacted, introducing significant federal tax law changes, including the permanent restoration of 100% bonus depreciation, immediate expensing of domestic R&D costs under Section 174A, and a more favorable interest deduction limit under Section 163(j). While these provisions generally reduce current taxable income and increase our NOL carryforwards, the enactment did not have a material impact on our 2025 consolidated financial statements or Corsair Gaming, Inc. | 2025 Form 10-K | 82 Table of Contents effective tax rate. This was due to the full valuation allowance maintained against our U.S. deferred tax assets, which offset the financial statement effects of the resulting changes in deferred tax assets and liabilities in the period of enactment. 13. Accumulated Other Comprehensive Loss The components of accumulated other comprehensive loss were as follows (in thousands): December 31, 2025 2024 Accumulated foreign currency translation loss, net of tax $ 1,170 $ ( 3,570 ) Unrealized foreign exchange loss from long-term intercompany loans, net of tax ( 2,108 ) ( 1,384 ) Total accumulated other comprehensive loss ( 938 ) ( 4,954 ) Less: Accumulated other comprehensive loss attributable to noncontrolling interest ( 353 ) ( 395 ) Total accumulated other comprehensive loss attributable to Corsair Gaming, Inc. $ ( 585 ) $ ( 4,559 ) 14. Segment and Geographic Information and Major Customers Operating segments are based on components of a company that engage in business activity that earn revenue and incur expenses and (a) whose operating results are regularly reviewed by its chief operating decision maker (“CODM”) to make decisions about resource allocation and performance and (b) for which discrete financial information is available. By this definition, we have identified our Chief Executive Officer as the CODM. We operate and report in two segments: • Gamer and Creator Peripherals . Includes our high-performance gaming keyboards, mice, headsets, controllers, and our streaming products, which include capture cards, Stream Decks, microphones, teleprompters, and audio interfaces, our Facecam streaming cameras, studio accessories, command center displays, sim racing products, and gaming furniture, among others. • Gaming Components and Systems . Includes our high-performance power supply units, cooling solutions, computer cases, DRAM modules, as well as high-end prebuilt and custom-built gaming PCs and laptops, and AI workstations, among others. We believe that this structure reflects our current operational and financial management, and that it provides the best structure for us to focus on growth opportunities while maintaining financial discipline. Our CODM reviews net revenue, and gross profit of these segments on a regular basis to evaluate the performance of, and allocates resources to, each of the two segments. The CODM considers budget-to-actual variances on a monthly basis when making decisions about allocating resources to the segments. Our CODM manages assets on a total company basis, not by operating segments, therefore segmental asset information is not presented. Segment Profit and Loss The tables below present the reportable segment profit and loss measure - segment gross profit for each of the periods presented (in thousands): Corsair Gaming, Inc. | 2025 Form 10-K | 83 Table of Contents For the year ended December 31, 2025 Gamer and Creator Peripherals Gaming Components and Systems Total Net revenue (1) $ 492,137 $ 980,343 $ 1,472,480 Less: Inventory costs (2) 261,044 740,279 1,001,323 Other segment items (3) 36,977 8,297 45,274 Total cost of revenue 298,021 748,576 1,046,597 Gross profit $ 194,116 $ 231,767 $ 425,883 For the year ended December 31, 2024 Gamer and Creator Peripherals Gaming Components and Systems Total Net revenue (1) $ 472,729 $ 843,650 $ 1,316,379 Less: Inventory costs (2) 256,153 691,236 947,389 Other segment items (3) 34,283 7,110 41,393 Total cost of revenue 290,436 698,346 988,782 Gross profit $ 182,293 $ 145,304 $ 327,597 For the year ended December 31, 2023 Gamer and Creator Peripherals Gaming Components and Systems Total Net revenue (1) $ 394,881 $ 1,064,994 $ 1,459,875 Less: Inventory costs (2) 231,162 825,320 1,056,482 Other segment items (3) 30,737 12,393 43,130 Total cost of revenue 261,899 837,713 1,099,612 Gross profit $ 132,982 $ 227,281 $ 360,263 (1) There are no intersegment revenues between the reportable segments in the periods presented. (2) Represents the significant expense in the reportable segment ’ s profit or loss measure (i.e., gross profit), aligning with the segment-level information that is regularly provided to our CODM. Total inventory costs for the reportable segment includes cost of purchases from contract manufactures, and capitalized direct overhead costs recognized in cost of revenue for the periods presented. (3) Represents other segment items including inbound freight costs, duties and tariffs, warranty replacement cost to process and rework returned items, overhead and excess and obsolete inventory write-downs, and other costs. Revenue by Major Customer The following table sets forth the customers that individually comprised 10% or more of our total net revenue for the periods presented: Years Ended December 31, 2025 2024 2023 Customer A 27.4 % 30.9 % 30.7 % Customer B * 10.1 % * Corsair Gaming, Inc. | 2025 Form 10-K | 84 Table of Contents * Customer represents less than 10 % of our total net revenue in the period presented. Revenue by Major Products The following table sets forth our net revenue by major product category for the periods presented (in thousands): Years Ended December 31, 2025 2024 2023 Gamer and Creator Peripherals segment Gaming Peripherals products $ 492,137 $ 472,729 $ 394,881 Gaming Components and Systems segment Memory products 519,355 429,916 517,416 Other Component products 460,988 413,734 547,578 Total net revenue $ 1,472,480 $ 1,316,379 $ 1,459,875 Geographic Information The following table summarizes our net revenue by geographic region based on the location of the customer (in thousands): Years Ended December 31, 2025 2024 2023 United States (U.S.) $ 633,551 $ 614,717 $ 659,347 Americas (excluding U.S.) (1) 89,568 81,820 91,722 Europe and Middle East (1) 565,792 475,855 512,161 Asia Pacific (1) 183,569 143,987 196,645 Total net revenue $ 1,472,480 $ 1,316,379 $ 1,459,875 (1) No individual country, other than disclosed above, represented 10% or more of our consolidated net revenue in the periods presented. Our long-lived assets consist of property and equipment, net and operating lease right-of-use assets, which are summarized by geographic area as follows (in thousands): December 31, 2025 2024 United States $ 56,397 $ 50,604 Taiwan 16,624 18,101 China 4,971 6,126 Other (1) 11,122 7,491 Total long-lived assets $ 89,114 $ 82,322 (1) No geographic area, other than disclosed above, represented 10% or more of our total long-lived assets in the periods presented. 15. Leases Our lease portfolio consists primarily of real estate facilities for manufacturing, distribution, warehousing and office use purposes under operating leases. The components of lease expenses were as follows (in thousands): Years Ended December 31, 2025 2024 2023 Operating lease expense $ 17,499 $ 15,607 $ 12,887 Variable lease expense 8,898 6,642 7,540 Total lease expense $ 26,397 $ 22,249 $ 20,427 Supplemental cash flow information related to operating leases was as follows (in thousands): Years Ended December 31, 2025 2024 2023 Cash paid for amounts included in the measurement of operating lease liabilities $ 17,802 $ 16,415 $ 13,433 Right-of-use assets recognized in exchange for operating lease obligations 17,643 29,162 1,604 As of December 31, 2025 , our operating leases had a weighted average remaining lease term of 7.2 years and a weighted average discount rate of 5.8 %. As of December 31, 2024, our operating leases had a weighted average remaining lease term of 6.4 years and a weighted average discount rate of 5.0 %. Corsair Gaming, Inc. | 2025 Form 10-K | 85 Table of Contents The following table summarizes the maturity of operating lease liabilities as of December 31, 2025 (in thousands): Amounts 2026 $ 17,283 2027 12,459 2028 9,803 2029 8,030 2030 7,504 Thereafter 31,416 Total future lease payments 86,495 Less: Imputed interest ( 17,310 ) Present value of operating lease liabilities $ 69,185 16. Redeemable Noncontrolling Interest (“RNCI”) On January 1, 2022, we acquired a 51 % controlling interest in iDisplay and entered into a Shareholders Agreement (the “SHA”) with the iDisplay Seller which provided a put option to the iDisplay Seller to sell and a call option for us to purchase up to 29 % of the remaining interests in iDisplay. The exercise price of the put and call option under the SHA is based on certain prescribed multiples of iDisplay’s historical TTM EBITDA less any debt. Corsair and the iDisplay Seller did not exercise their call or put option under the SHA, but instead on July 1, 2024 (the “Execution Date”), Corsair entered into a Share Purchase Amendment Agreement (the “SPAA”) with the iDisplay Seller to purchase an additional 30 % ownership stake in iDisplay for a cash consideration of $ 19.8 million (the “Additional Purchase Transaction”). The closing conditions of the SPAA were completed on July 8, 2024 (the “Closing Date”) along with our payment of the cash consideration. As a result, our total ownership stake in iDisplay increased from 51 % to 81 %, and correspondingly, iDisplay Seller's ownership interest in iDisplay decreased from 49 % to 19 %. The SPAA also replaced the call option and put option in the SHA with new options. Under the SPAA, a put option (the “Put Option”) was provided to the iDisplay Seller to sell up to 19 % of the remaining ownership interest in iDisplay to Corsair within one year after the fifth anniversary date of the Execution Date, and a call option (the “Call Option”) was provided to Corsair to purchase up to 19 % of the remaining ownership interest in iDisplay at any time after the second anniversary of the Execution Date. The exercise price of the Put Option and Call Option remain the same as the terms defined in the SHA. In addition, if the founder of iDisplay ceases to serve as the manager of iDisplay, voluntarily or with cause, we are entitled to an irrevocable call option to purchase up to 19 % ownership interest in iDisplay at any time during the five years after the Execution Date and the exercise price is based on a prescribed multiple of TTM EBITDA. According to the applicable accounting guidance, purchase of noncontrolling interest that does not result in a change in control of the subsidiary is accounted for as equity transaction. Since we continue to maintain control of iDisplay after the Additional Purchase Transaction, the net deficit of $ 1.6 million, net of tax impact, between the consideration paid for the additional 30 % ownership stake and its carrying value as of the Closing Date was recognized as an adjustment to our additional paid-in capital in 2024. Additionally, according to the SPAA, the remaining 19 % interest in iDisplay not acquired by Corsair is subject to redemption by the iDisplay Seller through the Put Option. Since the redemption is not solely within our control, the carrying value of the remaining 19 % interest in iDisplay is classified as temporary equity in our consolidated balance sheet effective from the Closing Date. The following table presents the changes in RNCI for the periods presented (in thousands): Years Ended December 31, 2025 2024 Balance at beginning of period $ 15,149 $ 15,937 Share of net income 1,194 1,280 Share of other comprehensive income (loss) 42 ( 206 ) Dividend paid ( 494 ) ( 3,932 ) Change in redemption value ( 3,694 ) 13,994 Purchase of additional ownership interest — ( 20,452 ) Other (1) — 8,528 Balance at end of period $ 12,197 $ 15,149 Corsair Gaming, Inc. | 2025 Form 10-K | 86 Table of Contents (1) This amount represents the reclassification of 19 % ownership of iDisplay from noncontrolling interest (presented within permanent equity) to RNCI (presented within temporary equity), effective on the Closing Date of the Additional Purchase Transaction as further described above . 17. Related-Party Transactions We have a management services agreement with our majority owner in which the majority owner provides management, consulting and advisory services to us. Such services are provided without charge, other than for the reimbursement of travel and out-of-pocket expense as set forth in the management services agreement. Total travel and out-of-pocket expenses incurred were $ 130 thousand, $ 271 thousand and $ 147 thousand for the years ended December 31, 2025, 2024 and 2023, respectively. The amount owed to the majority owner for such expenses was $ 91 thousand and $ 55 thousand as of December 31, 2025 and 2024, respectively. Corsair Gaming, Inc. | 2025 Form 10-K | 87 Table of Contents Item 9. Changes in and Disagreements With Acco untants on Accounting and Financial Disclosure. None.