Common Stock, Equity Incentive Plans and Stock-Based Compensation

6 Months Ended

Jun. 30, 2026

Share-Based Payment Arrangement [Abstract]

Common Stock, Equity Incentive Plans and Stock-Based Compensation

Common Stock

In May 2025, the Company completed its IPO of shares of Class A common stock. Immediately prior to the completion of the IPO, the Company amended and restated its certificate of incorporation which provided for (i) the reclassification of all outstanding shares of the Company’s common stock (other than those held by Daniel Perez and Gabriel Mecklenburg (“Founders”) and their affiliates) into an equal number of shares of Class A common stock, (ii) the reclassification of all shares of the Company’s common stock underlying outstanding equity awards under the Company’s 2017 Equity Incentive Plan (“2017 Plan”) (other than those held by the Founders) into shares of Class A common stock pursuant to an amendment to the 2017 Plan, (iii) the reclassification of all outstanding common stock held by the Founders and their affiliates into an equal number of shares of Class B common stock, (iv) the reclassification of all shares of the Company’s common stock underlying outstanding equity awards under the 2017 Plan held by the Founders into shares of Class B common stock pursuant to an amendment to the 2017 Plan, (v) the amendment of the terms of the Company’s outstanding Series E redeemable convertible preferred stock, par value $0.00001 per share (“Series E preferred stock”), to provide that such shares are initially convertible into shares of Class B common stock (collectively, referred to as the “Common Stock and Series E Preferred Stock Reclassification”), (vi) the automatic conversion and reclassification of 42,986,472 of outstanding shares of the Company’s redeemable convertible preferred stock, or all outstanding shares of Series A-1, Series A-2, Series B, Series C, Series C-1, and Series D redeemable convertible preferred stock, into an aggregate of 42,986,472 shares of Class B common stock (collectively, referred to as the “General Preferred Stock Conversion and Reclassification”), and (vii) the voluntary conversion of 1,748,504 outstanding shares of Series E preferred stock into the same amount of shares of Class B common stock (together with the General Preferred Stock Conversion and Reclassification, referred to as the “Preferred Stock Conversion”).

In May 2025, prior to the completion of the Company’s IPO, the Company filed its amended and restated certificate of incorporation, which authorized a total of 1,000,000,000 shares of Class A common stock, 120,000,000 shares of Class B common stock, 4,330,341 shares of Series E preferred stock, and 100,000,000 shares of undesignated preferred stock. The amended and restated certificate of incorporation provided for the Common Stock and Series E Preferred Stock Reclassification and the Preferred Stock Reclassification. The rights of the holders of Class A common stock and Class B common stock are identical, except with respect to voting and conversion. Each share of Class A common stock is entitled to one vote per share and is not convertible into any other shares of the Company’s capital stock. Each share of Class B common stock is entitled to fifteen votes per share and is convertible into one share of Class A common stock at any time. The Company’s Class B common stock also will automatically convert into shares of Class A common stock upon certain transfers and other events.

On November 10, 2025, the Company's board of directors approved a share repurchase program with authorization to purchase up to $250 million of its Class A Common Stock. Repurchases under the share repurchase program may be made in the open market, in privately negotiated transactions, or by other methods, with the amount and timing of repurchases to be determined at the Company's discretion, depending on market conditions and corporate needs. Open market repurchases will be structured to occur in accordance with applicable federal securities laws, including within the pricing and volume requirements of Rule 10b-18 under the Securities Exchange Act of 1934, as amended. The Company may also, from time to time, enter into Rule 10b5-1 plans to facilitate repurchases of its shares under the share repurchase program. The share repurchase program does not obligate the Company to acquire any particular amount of Class A Common Stock, and may be modified, suspended, or terminated at any time at the discretion of the Company's board of directors. The Company expects to fund repurchases with existing cash and cash equivalents and from cash from operations. During the six months ended June 30, 2026, the Company repurchased and cancelled 2,934,671 Class A common shares for $131.5 million (including accrued excise tax payable of $0.8 million). On July 29, 2026, the Company’s board of directors approved an increase to the share repurchase program, resulting in $300.0 million of its Class A common stock available for future repurchase, for a total aggregate amount authorized under the share repurchase program of $496.5 million as of such date. The Company's policy is to record the repurchase to additional paid-in capital in the unaudited condensed consolidated balance sheets.

2025 Incentive Award Plan

In March 2025, the Company’s board of directors adopted, and the stockholders approved, the 2025 Incentive Award Plan (the “2025 Plan”). The 2025 Plan became effective on the business day immediately prior to the date of effectiveness of the registration statement on Form S-1 relating to the Company's IPO (the “IPO Registration Statement”), and is the successor to and continuation of the 2017 Plan. Stock options and restricted stock units granted generally vest over four years. As of June 30, 2026, there were 14,823,940 shares of Class A common stock available to be issued under the 2025 Plan.

2025 Employee Purchase Plan

In March 2025, the Company’s board of directors adopted, and the stockholders approved, the Employee Stock Purchase Plan (the “ESPP”), which qualifies as an “employee stock purchase plan” under Section 423 of the Internal Revenue Code of 1986, as amended (the “Code”), and became effective on the business day immediately prior to the date of effectiveness of the IPO Registration Statement. The ESPP is designed to enable eligible employees to purchase shares of the Company's Class A common stock at a discount on a periodic basis through payroll deductions. Each offering period under the ESPP is for one year and consists of two six-month purchase periods, except for the first purchase period post-IPO. The purchase price for shares of Class A common stock purchased under the ESPP is 85% of the lesser of the fair market value of the Company’s Class A common stock on the first day of the applicable offering period and the fair market value of the Company’s Class A common stock on the last day of each purchase period. As of June 30, 2026, there were 2,632,440 shares of Class A common stock available to be issued under the ESPP.

Stock-Based Compensation Expense

Stock-based compensation expense for the three and six months ended June 30, 2026, and 2025 were as follows (in thousands):


	Three Months Ended June 30,				Six Months Ended June 30,
	2026		2025		2026		2025
Cost of revenue	$	1,128	$	16,441	$	1,965	$	16,441
Research and development	7,118		248,809		10,551		248,809
Sales and marketing	5,965		95,050		9,969		95,050
General and administrative	4,881		230,683		8,299		230,690
Total stock-based compensation expense	$	19,092	$	590,983	$	30,784	$	590,990

Restricted Stock Units and Performance-Based Restricted Stock Units

The following is a summary of the Company’s RSU and PRSU activity during the six months ended June 30, 2026:


	Number of Restricted Stock Units	Weighted Average Grant-Date Fair Value (per share)		Number of Performance-Based Restricted Stock Units	Weighted Average Grant-Date Fair Value (per share)
Outstanding as of December 31, 2025	5,043,604	$	32.02	5,693,602	$	21.84
Granted	2,762,316	43.85		—	—
Vested	(1,035,952)	31.30		(26,600)	42.93
Forfeited	(533,023)	32.26		—	—
Outstanding as of June 30, 2026	6,236,945	37.36		5,667,002	21.74

As of June 30, 2026 the Company had $169.5 million of unrecognized stock-based compensation expense related to RSUs that will be recognized over the weighted average period of 1.9 years.

The intrinsic value of the RSUs was $517.7 million as of June 30, 2026.

As of June 30, 2026 the Company's stock-based compensation expense related to PRSUs was fully expensed.

The intrinsic value of the PRSUs was $470.4 million as of June 30, 2026.

Stock Options

Stock options granted under the 2017 Plan generally expire within ten years from the date of grant, generally vest over four years and are exercisable for shares of the Company’s common stock. The Company has not issued stock options since March 31, 2021. A summary of the stock options and changes during the six months ended June 30, 2026 are presented below:


	Number of Options	Weighted-Average Exercise Price (per share)		Weighted Average Remaining Contractual Life (years)	Aggregate Intrinsic Value (in thousands)
Balances at December 31, 2025	1,363,995	$	1.64	3.4	$	61,121
Options exercised	(484,625)	1.41
Options forfeited	(1,714)	6.56
Balances at June 30, 2026	877,656	$	1.75	3.5	$	71,311
Options exercisable at June 30, 2026	877,656	$	1.75	3.5	$	71,311
Options vested at June 30, 2026	877,656	$	1.75	3.5	$	71,311

The fair value of the options were expensed over the vesting period, on a straight-line basis, as the services are being provided. The intrinsic value is calculated as the difference between the exercise price of the underlying stock option award and the fair value of the Company’s common stock. The total intrinsic values of options exercised during the six months ended June 30, 2026 was $39.5 million.

Employee Stock Purchase Plan

The fair value of each ESPP share is estimated on the enrollment date of the most recent offering period using the Black-Scholes-Merton option-pricing model and the assumptions noted in the following table:


	June 30, 2026
	Six Months		1 Year
Risk-free interest rate	3.7	%	3.8	%
Expected volatility	55.7	%	65.6	%
Expected term (in years)	0.5		1.0
Expected dividend rate	0	%	0	%

The Company has two open enrollment periods under the ESPP which are presented below:

June 30, 2026

Enrollment Period 1

Enrollment Period 2

6 months

12 months

6 months

12 months

Enrollment date

May 2026

November 2025

Fair value per share

$19.4

$23.8

$15.7

$18.3

As of June 30, 2026, the Company had $6.0 million of unrecognized compensation expense related to the ESPP that will be recognized over a weighted average period of 0.7 years.