v3.25.2
Stock-Based Compensation
 6 Months Ended
Jun. 30, 2025
Share-Based Payment Arrangement [Abstract]  
Stock-Based Compensation Stock-Based Compensation
We grant stock-based incentive awards to attract, motivate and retain qualified employees, non-employee directors and consultants, and to align their financial interests with those of our stockholders. We utilize stock-based compensation in the form of restricted stock units, performance restricted stock units, options to purchase Class A common stock and Employee Stock Purchase Plan ("ESPP") purchase rights. Prior to our corporate conversion in December 2014, awards were provided under the 2009 Unit Incentive Plan (“the 2009 Plan”). The 2009 Plan was amended to provide that no further awards will be issued thereunder, and our board of directors and stockholders adopted and approved our 2014 Equity Incentive Plan ("the Plan"). As of December 31, 2024, there were no awards outstanding under the 2009 Plan.
Stock-Based Compensation Expense
Stock-based compensation expense was recorded in the following cost and expense categories consistent with the respective employee or service provider’s related cash compensation (in thousands):
Three months ended June 30,Six months ended June 30,
2025202420252024
Cost of revenue
Subscription and support
$2,511 $1,943 $4,944 $3,544 
Professional services
1,106 763 2,102 1,490 
Operating expenses
Research and development
6,556 5,152 12,606 9,793 
Sales and marketing
9,890 8,490 19,641 16,528 
General and administrative
8,404 9,054 17,062 17,054 
Total
$28,467 $25,402 $56,355 $48,409 
Stock Options
The following table summarizes the option activity under the Plan for the six months ended June 30, 2025:




Options

Weighted-
Average
Exercise
Price
Weighted-
Average
Remaining
Contractual
Term (Years)
Outstanding at December 31, 2024892,396 $14.09 1.7
Exercised(166,937)14.58 
Outstanding at June 30, 2025725,459 $13.98 1.4
Exercisable at June 30, 2025725,459 $13.98 1.4
Restricted Stock Units and Performance Restricted Stock Units
The following table summarizes the restricted stock unit and performance restricted stock unit activity under the Plan for the six months ended June 30, 2025:




Number of Shares
Weighted-
Average
Grant Date Fair Value
Unvested at December 31, 20242,723,666 $91.56 
Granted1,403,595 93.58 
Forfeited(145,402)91.00 
Vested(1)
(801,549)97.25 
Unvested at June 30, 20253,180,310 $91.04 
(1) During the six months ended June 30, 2025, in accordance with our Nonqualified Deferred Compensation Plan, recipients of 5,634 shares elected to defer settlement of their vested restricted stock units and 9,375 shares were released from deferral.
Employee Stock Purchase Plan
During the six months ended June 30, 2025, 118,674 shares of common stock were purchased under the ESPP at a weighted-average price of $63.49 per share, resulting in cash proceeds of $7.5 million.
Compensation expense associated with ESPP purchase rights is recognized on a straight-line basis over the vesting period. As of June 30, 2025, there was approximately $0.2 million of total unrecognized compensation expense related to the ESPP, which is expected to be recognized over a weighted-average period of 14 days.