v3.26.1
Fair Value Measurement
 3 Months Ended
Mar. 31, 2026
Fair Value Disclosures [Abstract]  
Fair Value Measurement Fair Value Measurement
Available-for-sale marketable securities consisted of the following (in thousands):
March 31, 2026
Amortized CostGross Unrealized GainsGross Unrealized LossesEstimated Fair Value
U.S. treasury securities$8,878 $— $(5)$8,873 
Total marketable securities, available-for-sale$8,878 $— $(5)$8,873 
December 31, 2025
Amortized CostGross Unrealized GainsGross Unrealized LossesEstimated Fair Value
U.S. treasury securities$9,002 $— $(2)$9,000 
Total marketable securities, available-for-sale$9,002 $— $(2)$9,000 
As of March 31, 2026, all available-for-sale marketable securities with a fair market value of $8.9 million were in an immaterial gross unrealized loss position. Based on our review of these marketable securities, we believe none of the unrealized loss is as a result of a credit loss as of March 31, 2026 because we do not intend to sell these securities and it is not more-likely-than-not that we will be required to sell these securities before the recovery of their amortized cost basis.
The estimated fair value of our contractual maturities of available-for-sale debt securities were as follows (in thousands):
March 31, 2026December 31, 2025
Estimated Fair Value
Due within one year$8,873 $9,000 
Due after one year but within five years
— — 
Total estimated fair value of available-for-sale securities
$8,873 $9,000 
The following table summarizes, by major security type, our cash equivalents and available-for-sale marketable securities measured at fair value on a recurring basis and are categorized using the fair value hierarchy (in thousands):
March 31, 2026December 31, 2025
Level 1Level 2
Total Estimated Fair Value
Level 1Level 2
Total Estimated Fair Value
Assets
Cash equivalents
Money market funds$509 $— $509 $175 $— $175 
Available-for-sale marketable
   securities
U.S. treasury securities8,873 — 8,873 9,000 — 9,000 
Derivative instruments
Currency hedging contracts (1)
— 740 740 — — — 
Total assets measured at fair value
$9,382 $740 $10,122 $9,175 $— $9,175 
Liabilities
Derivative instruments
Currency hedging contracts (1)
$— $17,106 $17,106 $— $22,891 $22,891 
(1) Based on observable market transactions of spot currency rates, forward currency rates or equivalently-termed instruments. Carrying amounts of the financial assets and liabilities are equal to the fair value. As of March 31, 2026, the derivative assets recorded within prepaid expenses and other current assets and prepaid expenses and other assets in our consolidated balance sheets were $0.4 million and $0.3 million, respectively. The derivative liabilities recorded within accrued expenses and other long-term liabilities in our condensed consolidated balance
sheets were $6.6 million and $10.5 million, respectively. As of December 31, 2025, the derivative liabilities recorded within accrued expenses and other long-term liabilities in our condensed consolidated balance sheets were $7.7 million and $15.1 million, respectively.
We had no available-for-sale securities that were classified within Level 3 as of March 31, 2026 and December 31, 2025.
A contingent liability with a preliminary value of $23.0 million was assumed as part of the Elektrofi acquisition related to future milestone payments. The acquisition date fair value of contingent consideration was measured using the income approach, specifically the probability weighted expected return method for the development milestone payments. The fair value of the contingent liability will be remeasured quarterly. Estimates and assumptions used in the valuation include probability of achieving certain milestones, the expected timing of achieving these milestones, and a discount rate. These unobservable inputs represent a Level 3 measurement because they are supported by little or no market activity and reflect our own assumptions in measuring fair value. Changes in the fair value subsequent to the acquisition date will be recognized in our condensed consolidated statements of income.