Equity Incentive Plans

6 Months Ended

Jun. 30, 2026

Share-Based Payment Arrangement [Abstract]

Stock Options

The activity related to stock options during the six months ended June 30, 2026 consisted of the following:


	June 30, 2026
	Number of shares (in thousands)	Weighted-Average Exercise Price
Outstanding at December 31, 2025	8,992	$	9.95
Granted	3,099	14.62
Exercised/released	(4,591)	9.90
Cancelled/forfeited	(1,656)	11.01
Outstanding at June 30, 2026	5,844	$	12.16

The following weighted-average assumptions were used to estimate the fair value of the options granted during the six months ended June 30, 2026 and 2025:


	Six Months Ended June 30,
	2026			2025
Expected volatility	69		%	78		%
Risk-free interest rate	3.84		%	4.00		%
Expected term (in years)	5.0			5.0
Expected dividend yield	0.0		%	0.0%
Fair value per common share option	$	8.75		$	4.98

Performance Stock Units and Restricted Stock Units

During the six months ended June 30, 2026 and 2025, the Company granted PSUs that vest in 4 tranches upon the Company’s common shares achieving four progressively higher target prices, and each tranche is further subject to a one year service period following target price achievement. During the six months ended June 30, 2026, the Company also granted PSUs that vest in 2 tranches at the 3- and 5-year anniversary date of the grant upon the Company’s common shares achieving specified target prices that represent significant increases from the share price on the date of grant before the respective vesting date. The Company estimated the fair value of each PSU with a market and service condition on the date of grant by using a Monte Carlo simulation (lattice model).

Beginning in 2026, RSUs are no longer being granted. RSUs granted prior to 2026 vest in 3 equal annual installments on the first, second and third anniversary of the grant date. The fair value of RSUs is based on the market price of the Company’s common shares on the date prior to the grant.

The activity related to PSUs and RSUs for the six months ended June 30, 2026 consisted of the following:


	June 30, 2026
	Number of shares (in thousands)	Weighted-average fair value $
Unvested balance, December 31, 2025	4,021	$	7.27
Granted	4,417	9.10
Vested	(1,659)	7.97
Cancelled/forfeited	(2,081)	7.96
Unvested balance, June 30, 2026	4,698	$	8.44

Share-based Compensation Expense

The classification of share-based compensation expense consisted of the following (in thousands):


	Three Months Ended June 30,				Six Months Ended June 30,
	2026		2025		2026		2025
Research and development	$	1,310	$	335	$	1,421	$	428
Selling, general and administrative	1,234		4,877		31		1,364
Capitalized in inventory, net	295		228		521		239
Share-based compensation expense	$	2,839	$	5,440	$	1,973	$	2,031

As of June 30, 2026, total unrecognized share-based compensation expense related to unvested stock options, PSUs, RSUs and ESPP was $35.0 million, which is expected to be recognized over a weighted-average period of 2.1 years.