
	Three Months Ended				Six Months Ended
	June 30, 2026		June 30, 2025		June 30, 2026		June 30, 2025
	(in thousands)
Research and Development	$	7,016	$	7,427	$	13,614	$	13,016
Sales and Operations	2,801		7,361		5,757		12,782
General and Administrative	7,042		8,376		12,547		14,030
Total Share based compensation expense	$	16,859	$	23,164	$	31,918	$	39,828
Share based Compensation capitalized as internal-use software costs	(417)		(1,379)		(2,130)		(2,634)
Total Share based compensation expense net of capitalization	$	16,442	$	21,785	$	29,788	$	37,194

During the six months ended June 30, 2026, the Company granted new equity awards under our current equity compensation plans, which were comprised of restricted stock units (“RSU”), and performance-based awards for the Company’s senior executives ("PSU").

Restricted stock units generally vest over four years, subject to the holder’s continued service. The grant date fair value is determined by the Company's Nasdaq share price the day prior to the grant.


	Shares (RSU)	Weighted-Average Grant date Fair Value Per Share


Outstanding as of December 31, 2025	4,518,697	$	33.14
Granted	800,203	18.10
Vested	(528,353)	29.81
Forfeited	(259,756)	34.19
Outstanding as of June 30, 2026	4,530,791	$	30.81

As of June 30, 2026, the Company had unrecognized stock-based compensation relating to restricted stock units of approximately $60.6 million, which is expected to be recognized over a weighted-average period of 3.0 years.

Performance stock units (PSUs) are subject to either internal financial performance conditions (Financial PSUs) or external market conditions (TSR PSUs).

Financial PSUs are subject to service and performance-based vesting conditions. These awards generally vest over three years, and the number of shares ultimately earned may range from 0% to 200% of target, depending on achievement of specified internal financial performance metrics. The grant-date fair value is generally based on the closing price of the Company’s Nasdaq share price on the date preceding grant.

The following table summarizes the activities for our unvested Financial PSUs for the period ended June 30, 2026 (1):


	Shares (Financial PSU)	Weighted-Average Grant date Fair Value Per Share


Outstanding as of December 31, 2025	442,139	$	31.89
Granted	392,985	24.74
Performance share adjustment	(76,531)	18.57
Vested	(208,484)	32.54
Forfeited	(15,615)	31.31
Outstanding as of June 30, 2026	534,494	$	28.49

As of June 30, 2026, the Company had unrecognized stock-based compensation related to performance stock units of approximately $7.7 million, which is expected to be recognized over a weighted-average period of 2.1 years.

TSR PSUs are subject to service and market-based vesting conditions and are earned based on the Company’s total shareholder return relative to the Nasdaq Composite Index. These awards are generally measured in two equal tranches over two years and three years performance periods, respectively, and the number of shares ultimately earned may range from 0% to 200% of target for each tranche, depending on relative TSR performance.

The following table summarizes the activities for our unvested TSR PSUs for the period ended June 30, 2026:


	Shares (TSR PSU)	Weighted-Average Grant date Fair Value Per Share


Outstanding as of December 31, 2025	313,383	$	54.41
Granted	332,743	26.89
Vested	(23,699)	51.28
Forfeited	(121,859)	54.57
Outstanding as of June 30, 2026	500,568	$	36.21

(1) The number of Financial PSUs granted during the six months ended June 30, 2026 includes 60,242 PSUs previously modified from TSR PSUs, for which financial performance targets were established in March 2026 for the 2026 performance tranche.

The grant-date fair value is approximately $8.9 million, over the respective vesting period. The grant-date fair value was determined based on a Monte-Carlo valuation model using the following key assumptions:


Expected volatility of the Company	39.70	%
Expected volatility of the benchmark	81.68	%
Risk-free rate	3.71	%
Expected dividend yield	—	%

As of June 30, 2026, the Company had unrecognized stock-based compensation related to performance stock units based on market conditions of $11.7 million, which is expected to be recognized over a weighted-average period of 2.3 years.

Nonemployee warrants generally vest over four years, subject to the holder’s continued service through the vesting date.


	Shares	Weighted-Average Grant date Fair Value Per Share		Weighted-Average Remaining Contractual Term (Years)	Aggregate Intrinsic Value (in thousands)


Outstanding as of December 31, 2025	159,897	$	18.31	2.6	$	1,300.0
Granted	—
Exercised	—
Canceled	—
Expired	(7,730)
Outstanding as of June 30, 2026	152,167	$	17.01	2.2	$	1,093.0

Vested and exercisable - June 30, 2026	152,167

The aggregate intrinsic value represents the difference between the exercise price of the nonemployee warrants and the fair market value of common stock on the date of exercise. During the period ended June 30, 2026, there were no exercises of nonemployee warrants.

No new nonemployee warrants were granted in the period ending June 30, 2026. As of June 30, 2026 all instruments have fully vested.

Stock options granted under the Company’s stock incentive plans generally vest over four years, subject to the holder’s continued service through the vesting date and expire no later than 10 years from the date of grant.


	Options Outstanding
	Number of Shares Underlying Outstanding Options	Weighted-Average Exercise Price		Weighted-Average Remaining Contractual Term (Years)	Aggregate Intrinsic Value (in thousands)

Outstanding as of December 31, 2025	86,715	$	17.35	4.0	$	276.0
Options granted	—
Options exercised	—
Options forfeited	—
Options canceled	—
Options expired	(86,715)
Outstanding as of June 30, 2026	—	$	—	0.0	$	—

Vested and exercisable as of June 30, 2026	—

The aggregate intrinsic value represents the difference between the exercise price of the options and the fair market value of common stock on the date of exercise. The aggregate intrinsic value of the stock options exercised was nil and $0.9 million for the period ended June 30, 2026, and December 31, 2025, respectively.
No new stock options were granted in the period ending June 30, 2026. As of June 30, 2026, there is no remaining unrecognized stock-based compensation related to unvested stock options.