v3.26.1
Financial Instruments
 6 Months Ended
Jun. 30, 2026
Fair Value Disclosures [Abstract]  
Financial Instruments Financial Instruments
Fair Value Measurements
The following table presents the Company’s financial assets measured at fair value on a recurring basis, as well as the amortized cost basis and gross unrealized gains and losses of those assets as of June 30, 2026 (in thousands):
Balance Sheet Classification
Amortized Cost BasisGross Unrealized GainsGross Unrealized LossesFair ValueCash and Cash EquivalentsMarketable SecuritiesPrepaid Expenses and Other AssetsOther Assets
Level 1:
Cash$68,453 $— $— $68,453 $68,453 $— $— $— 
Restricted cash (1)
2,327 — — 2,327 — — 259 2,068 
Money market mutual funds61,286 — — 61,286 61,286 — — — 
U.S. treasury securities23,596 — (1)23,595 — 23,595 — — 
Subtotal155,662 — (1)155,661 129,739 23,595 259 2,068 
Level 2:
Commercial paper12,090 — — 12,090 — 12,090 — — 
Certificates of deposit1,533 — — 1,533 — 1,533 — — 
Corporate notes and obligations6,843 1 (1)6,843 — 6,843 — — 
Asset-backed securities8 — — 8 — 8 — — 
Subtotal20,474 1 (1)20,474 — 20,474 — — 
Total cash, cash equivalents, marketable securities, and restricted cash$176,136 $1 $(2)$176,135 $129,739 $44,069 $259 $2,068 
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(1)     The Company’s credit facility expired on its maturity date of April 30, 2026, and the Company elected not to renew it. Letters of credit previously issued against the credit facility remain outstanding and are cash collateralized by a $2.3 million restricted deposit. These funds are legally restricted from general corporate use and are released over time based on the terms of the Company’s lease agreements. Amounts with restriction periods of less than twelve months are classified within “Prepaid expenses and other assets” and amounts with restriction periods of twelve months or longer are classified within “Other assets” on the Company’s condensed consolidated balance sheets. As of June 30, 2026, restricted cash of $0.3 million was included in “Prepaid expenses and other assets” and $2.1 million was included in “Other assets.”
As of December 31, 2025, the Company’s financial assets consisted of the following (in thousands):
Balance Sheet Classification
Amortized Cost BasisGross Unrealized GainsGross Unrealized LossesFair ValueCash and Cash EquivalentsMarketable Securities
Level 1:
Cash$158,093 $— $— $158,093 $158,093 $— 
Money market mutual funds22,336 — — 22,336 22,336 — 
U.S. treasury securities99,553 38 — 99,591 — 99,591 
Subtotal279,982 38 — 280,020 180,429 99,591 
Level 2:
Commercial paper29,569 — — 29,569 3,782 25,787 
Corporate notes and obligations87,221 12 (21)87,212 3,817 83,395 
Asset-backed securities12,334 3 (1)12,336 — 12,336 
Subtotal129,124 15 (22)129,117 7,599 121,518 
Total cash, cash equivalents, and marketable securities$409,106 $53 $(22)$409,137 $188,028 $221,109 
The Company’s money market mutual funds and treasury securities are measured at fair value using quoted prices in active markets for identical assets and are classified within Level 1 in the fair value hierarchy. The fair values of the Company’s Level 2 commercial paper and certificates of deposit are determined using quoted prices in markets that are not active or using model-driven valuations employing significant inputs derived from observable market data. The fair values of the Company’s Level 2 corporate notes and obligations and asset-backed securities are determined using an evaluated price based on a compilation of reported market information, such as benchmark yield curves, credit spreads and estimated default rates.
The carrying amounts of the Company’s remaining financial instruments not discussed in the above table, including accounts receivable and accounts payable, approximate fair value because of their short-term maturities, except for the Company’s senior unsecured notes due 2030 (the “Notes”) which are valued on a quarterly basis for disclosure purposes only based on quoted prices for the Notes in less active markets and categorized accordingly as Level 2 in the fair value hierarchy. In June 2026, the Company entered into separate, privately negotiated repurchase agreements with certain holders of the Notes to repurchase $294.6 million of aggregate principal amount of the Notes for a discounted par value of $229.4 million (plus fees directly related to the transaction and accrued and unpaid interest to, but excluding, the applicable closing date). The aggregate fair value of the outstanding Notes was estimated to be approximately $195.9 million as of June 30, 2026. The aggregate fair value of the Notes was estimated to be approximately $429.0 million as of December 31, 2025. For more information on the Notes, including the repurchases completed in June 2026, see Note 7.
Equity Securities
The Company’s investments in equity securities consist primarily of money market mutual funds. During the three and six months ended June 30, 2026 and 2025, the Company recorded no unrealized gains or losses in connection with its money market mutual funds held as of June 30, 2026.
Available-for-sale Debt Securities
The following table summarizes the fair value of the Company’s available-for-sale debt securities by contractual maturity as of June 30, 2026 (in thousands):
Due within 1 year$41,556 
Due after 1 year through 5 years2,513 
Total available-for-sale debt securities$44,069 
Actual maturities may differ from contractual maturities because certain borrowers have the right to call or prepay certain obligations.
The following table summarizes the available-for-sale debt securities which have been in a continuous unrealized loss position for less than 12 months as of June 30, 2026 and December 31, 2025 (in thousands):
June 30, 2026
December 31, 2025
Fair ValueGross Unrealized LossesFair ValueGross Unrealized Losses
Corporate notes and obligations$3,872 $(1)$37,956 $(21)
Asset-backed securities— — 6,411 (1)
U.S. treasury securities23,594 (1)— — 
Total available-for-sale debt securities$27,466 $(2)$44,367 $(22)
The Company had no available-for-sale debt securities in a continuous unrealized loss position for more than 12 months as of June 30, 2026 or December 31, 2025.
The Company did not recognize any credit losses for its available-for-sale debt securities during the three and six months ended June 30, 2026 and 2025. The Company had no ending allowance balances for credit losses as of June 30, 2026 or December 31, 2025.
During the three months ended June 30, 2026 and 2025, the Company had no sales of its available-for-sale debt securities. During the six months ended June 30, 2026 and 2025, the Company recorded $1.3 million and $1.0 million, respectively, in proceeds related to sales of its available-for-sale debt securities. The Company recorded no material gross realized gains or gross realized losses in its condensed consolidated statements of operations as a result of such sales.