The 2019 Equity Incentive Plan (2019 Plan) provides for the granting of stock options, restricted stock, RSUs, stock appreciation rights, performance shares, PSUs, and performance awards for the Company's Class A common stock to the Company's employees, directors, and consultants. Certain outstanding equity awards were granted under the Company’s 2010 Equity Incentive Plan that is no longer active, but continues to govern the outstanding equity awards granted thereunder.

The Company has granted to certain executive officers and other key employees 10-year stock options with market conditions that vest and become exercisable to purchase shares of the Company's Class A common stock if the Company achieves certain stock price milestones and the employee continues to provide services to the Company through the applicable vesting dates (the Performance Options). The exercise price per share and the number of tranches and corresponding stock price milestones for the tranches of the Performance Options outstanding at such time were amended in the fiscal year ended December 31, 2023. As of June 30, 2025, there were approximately 3.6 million outstanding Performance Options.

The Company recognizes stock-based compensation expense for the Performance Options based on the grant date fair value and using a graded attribution method over the weighted-average requisite service period. The total stock-based compensation expense for the Performance Options for the three months ended June 30, 2025 and 2024 were $11.6 million and $9.9 million, respectively, and for the six months ended June 30, 2025 and 2024 were $14.1 million and $12.5 million, respectively. As of June 30, 2025, there was $114.1 million of unrecognized stock-based

During the three months ended March 31, 2025, the Company’s Board of Directors granted to the Company’s CEO and President (each, a Co-Founder) an aggregate of 350,220 PSUs with market conditions that vest if the Company achieves certain stock price milestones and the Co-Founders, individually, continue to provide services to the Company through the applicable vesting dates.

The total stock-based compensation expense for RSUs and PSUs for the three months ended June 30, 2025 and 2024 was $111.0 million and $74.4 million, respectively, and for the six months ended June 30, 2025 and 2024 was $203.7 million and $138.3 million, respectively. As of June 30, 2025, the total unrecognized stock-based compensation expense related to unvested RSUs and PSUs was $999.9 million that is expected to be recognized over a weighted-average period of 3.1 years. The stock-based compensation expense associated with PSUs, with market or financial performance conditions, were not material during the three and six months ended June 30, 2025. As of June 30, 2025, the total unrecognized stock-based compensation related to PSUs with market conditions was $33.7 million and is expected to be recognized over a weighted-average period of 2.5 years.

In September 2019, the Company's Board of Directors adopted and stockholders approved the ESPP, which became effective one business day prior to the effective date of the Company's registration statement on Form S-1 filed with the SEC in connection with the Company’s initial public offering. 164,778 and 173,702 shares of Class A common stock were purchased under the ESPP during the six months ended June 30, 2025 and 2024, respectively. As of June 30, 2025, the total unrecognized stock-based compensation expense related to the ESPP was not material and will be recognized through the year ended December 31, 2025.


	Three Months Ended June 30,				Six Months Ended June 30,
	2025		2024		2025		2024

	(in thousands)
Cost of revenue	$	3,357	$	2,879	$	5,945	$	5,382
Sales and marketing	34,343		23,801		62,261		43,978
Research and development	45,956		35,268		78,649		60,984
General and administrative	38,721		24,043		71,057		45,370
Total stock-based compensation expense	$	122,377	$	85,991	$	217,912	$	155,714