v3.25.1
Fair Value Measurements and Fair Value of Financial Instruments
 3 Months Ended
Mar. 31, 2025
Fair Value Disclosures [Abstract]  
Fair Value Measurements and Fair Value of Financial Instruments
3.
FAIR VALUE MEASUREMENTS AND FAIR VALUE OF FINANCIAL INSTRUMENTS

The following tables set forth the fair value of the Company’s financial assets that were measured at fair value on a recurring basis by level within the fair value hierarchy (in thousands).

 

 

 

March 31, 2025

 

 

 

Level 1

 

 

Level 2

 

 

Level 3

 

 

Total

 

Assets:

 

 

 

 

 

 

 

 

 

 

 

 

Cash equivalents:

 

 

 

 

 

 

 

 

 

 

 

 

Money market funds

 

$

35,774

 

 

$

—

 

 

$

—

 

 

$

35,774

 

U.S. Treasury securities

 

 

—

 

 

 

11,968

 

 

 

—

 

 

 

11,968

 

Commercial paper

 

 

—

 

 

 

2,970

 

 

 

—

 

 

 

2,970

 

Total cash equivalents

 

 

35,774

 

 

 

14,938

 

 

 

—

 

 

 

50,712

 

Investments:

 

 

 

 

 

 

 

 

 

 

 

 

U.S. Treasury securities

 

 

—

 

 

 

127,416

 

 

 

—

 

 

 

127,416

 

Commercial paper

 

 

—

 

 

 

11,676

 

 

 

—

 

 

 

11,676

 

Corporate debt securities

 

 

—

 

 

 

93,767

 

 

 

—

 

 

 

93,767

 

Total investments

 

 

—

 

 

 

232,859

 

 

 

—

 

 

 

232,859

 

Total assets measured at fair value

 

$

35,774

 

 

$

247,797

 

 

$

—

 

 

$

283,571

 

 

 

 

December 31, 2024

 

 

 

Level 1

 

 

Level 2

 

 

Level 3

 

 

Total

 

Assets:

 

 

 

 

 

 

 

 

 

 

 

 

Cash equivalents:

 

 

 

 

 

 

 

 

 

 

 

 

Money market funds

 

$

36,097

 

 

$

—

 

 

$

—

 

 

$

36,097

 

Commercial paper

 

 

—

 

 

 

4,191

 

 

 

—

 

 

 

4,191

 

Total cash equivalents

 

 

36,097

 

 

 

4,191

 

 

 

—

 

 

 

40,288

 

Investments:

 

 

 

 

 

 

 

 

 

 

 

 

U.S. Treasury securities

 

 

—

 

 

 

150,116

 

 

 

—

 

 

 

150,116

 

Commercial paper

 

 

—

 

 

 

12,239

 

 

 

—

 

 

 

12,239

 

Corporate debt securities

 

 

—

 

 

 

96,405

 

 

 

—

 

 

 

96,405

 

Total investments

 

 

—

 

 

 

258,760

 

 

 

—

 

 

 

258,760

 

Total assets measured at fair value

 

$

36,097

 

 

$

262,951

 

 

$

—

 

 

$

299,048

 

 

There were no financial liabilities measured at fair value. The Company classifies money market funds within Level 1 of the fair value hierarchy because they are valued using quoted market prices. The Company classifies its investments in U.S. Treasury securities (Treasury bills, Treasury notes, and Treasury bonds), U.S. Non-Treasury securities (government agency debt), commercial paper, and corporate debt securities as Level 2 instruments and obtains fair value from an independent pricing service, which may use quoted market prices for identical or comparable instruments or model-driven valuations using observable market data or inputs corroborated by observable market data.

The carrying amount of the Company’s accounts receivable, other receivables, prepaid expenses and other current assets, accounts payable and accrued expenses approximate fair value due to their short maturities.

The following is a summary of the Company’s cash equivalents and investments and the gross unrealized holding gains and losses (in thousands):

 

 

 

March 31, 2025

 

 

 

Amortized Cost Basis

 

 

Unrealized Gains

 

 

Unrealized Losses

 

 

Fair Value

 

Assets:

 

 

 

 

 

 

 

 

 

 

 

 

Cash equivalents:

 

 

 

 

 

 

 

 

 

 

 

 

Money market funds

 

$

35,774

 

 

$

—

 

 

$

—

 

 

$

35,774

 

U.S. Treasury securities

 

 

11,968

 

 

 

—

 

 

 

—

 

 

 

11,968

 

Commercial paper

 

 

2,970

 

 

 

—

 

 

 

—

 

 

 

2,970

 

Total cash equivalents

 

 

50,712

 

 

 

—

 

 

 

—

 

 

 

50,712

 

Investments:

 

 

 

 

 

 

 

 

 

 

 

 

U.S. Treasury securities

 

 

127,280

 

 

 

172

 

 

 

(36

)

 

 

127,416

 

Commercial paper

 

 

11,662

 

 

 

14

 

 

 

—

 

 

 

11,676

 

Corporate debt securities

 

 

93,612

 

 

 

196

 

 

 

(41

)

 

 

93,767

 

Total investments

 

 

232,554

 

 

 

382

 

 

 

(77

)

 

 

232,859

 

Total assets measured at fair value

 

$

283,266

 

 

$

382

 

 

$

(77

)

 

$

283,571

 

 

 

 

December 31, 2024

 

 

 

Amortized Cost Basis

 

 

Unrealized Gains

 

 

Unrealized Losses

 

 

Fair Value

 

Assets:

 

 

 

 

 

 

 

 

 

 

 

 

Cash equivalents:

 

 

 

 

 

 

 

 

 

 

 

 

Money market funds

 

$

36,097

 

 

$

—

 

 

$

—

 

 

$

36,097

 

Commercial paper

 

 

4,191

 

 

 

—

 

 

 

—

 

 

 

4,191

 

Total cash equivalents

 

 

40,288

 

 

 

—

 

 

 

—

 

 

 

40,288

 

Investments:

 

 

 

 

 

 

 

 

 

 

 

 

U.S. Treasury securities

 

 

150,095

 

 

 

121

 

 

 

(100

)

 

 

150,116

 

Commercial paper

 

 

12,227

 

 

 

12

 

 

 

—

 

 

 

12,239

 

Corporate debt securities

 

 

96,302

 

 

 

209

 

 

 

(106

)

 

 

96,405

 

Total investments

 

 

258,624

 

 

 

342

 

 

 

(206

)

 

 

258,760

 

Total assets measured at fair value

 

$

298,912

 

 

$

342

 

 

$

(206

)

 

$

299,048

 

 

As of March 31, 2025 and December 31, 2024, unrealized losses on available-for-sale investments are not attributable to credit risk and are considered to be temporary. As of March 31, 2025, the Company does not have investments that have been in a continuous unrealized loss position for twelve months or longer. The Company believes it is more likely than not that investments in an unrealized loss position will be held until maturity or the recovery of the cost basis of the investment. To date, the Company has not recorded any impairment charges on marketable securities related to other-than-temporary declines in market value. As of March 31, 2025, $45.6 million of available-for-sale investments had remaining maturities between one and two years. The remainder of the available-for-sale investments have a remaining maturity of one year or less. As of March 31, 2025 and December 31, 2024, the Company recorded $1.2 million and $1.9 million, respectively, of accrued interest related to its available-for-sale investments and is presented as other receivables on the unaudited condensed consolidated balance sheets.