v3.26.1
Fair Value Measurement
 6 Months Ended
Jun. 30, 2026
Fair Value Disclosures [Abstract]  
Fair Value Measurement
3.
Fair Value Measurement

The Company assesses the fair value of financial instruments based on the provisions of ASC 820, Fair Value Measurements. ASC 820 defines fair value as the exchange price that would be received for an asset or paid to transfer a liability (an exit price) in the principal or most advantageous market for the asset or liability in an orderly transaction between market participants on the measurement date. ASC 820 also establishes a fair value hierarchy, which requires an entity to maximize the use of observable inputs and minimize the use of unobservable inputs when measuring fair value. The standard describes three levels of inputs that may be used to measure fair value:

•
Level 1 — Inputs are unadjusted quoted prices in active markets for identical assets or liabilities accessible to the reporting entity at the measurement date.
•
Level 2 — Inputs other than quoted prices included in Level 1 that are observable for the asset or liability, such as quoted prices for similar assets or liabilities, quoted prices in markets that are not active, or other inputs that are observable or can be corroborated by observable market data for substantially the full term of the assets or liabilities.
•
Level 3 — Unobservable inputs that are supported by little or no market activity that are significant to determining the fair value of the assets or liabilities, including pricing models, discounted cash flow methodologies and similar techniques.

As of June 30, 2026, and December 31, 2025, the fair value of the Company’s financial assets that are measured at fair value on a recurring basis, which consist of cash equivalents and marketable securities classified as available-for-sale, are categorized in the table below based upon the lowest level of significant input to the valuations:

 

 

 

June 30, 2026

 

(in thousands)

 

Level 1

 

 

Level 2

 

 

Level 3

 

 

Total

 

Financial Assets

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Cash

 

$

 

11,993

 

 

$

 

—

 

 

$

 

—

 

 

$

 

11,993

 

Money market funds

 

 

 

36,701

 

 

 

 

—

 

 

 

 

—

 

 

 

 

36,701

 

Commercial paper

 

 

 

—

 

 

 

 

81,607

 

 

 

 

—

 

 

 

 

81,607

 

Corporate bonds

 

 

 

—

 

 

 

 

98,378

 

 

 

 

—

 

 

 

 

98,378

 

U.S. government treasury bills

 

 

 

189,643

 

 

 

 

—

 

 

 

 

—

 

 

 

 

189,643

 

Government-sponsored enterprise securities

 

 

 

—

 

 

 

 

42,844

 

 

 

 

—

 

 

 

 

42,844

 

Total

 

$

 

238,337

 

 

$

 

222,829

 

 

$

 

—

 

 

$

 

461,166

 

 

 

 

 

December 31, 2025

 

(in thousands)

 

Level 1

 

 

Level 2

 

 

Level 3

 

 

Total

 

Financial Assets

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Cash

 

$

 

16,007

 

 

$

 

—

 

 

$

 

—

 

 

$

 

16,007

 

Money market funds

 

 

 

30,866

 

 

 

 

—

 

 

 

 

—

 

 

 

 

30,866

 

Commercial paper

 

 

 

—

 

 

 

 

102,193

 

 

 

 

—

 

 

 

 

102,193

 

Corporate bonds

 

 

 

—

 

 

 

 

81,607

 

 

 

 

 

 

 

 

81,607

 

U.S. government treasury bills

 

 

 

233,938

 

 

 

 

—

 

 

 

 

—

 

 

 

 

233,938

 

Government-sponsored enterprise securities

 

 

 

—

 

 

 

 

41,029

 

 

 

 

—

 

 

 

 

41,029

 

Total

 

$

 

280,811

 

 

$

 

224,829

 

 

$

 

—

 

 

$

 

505,640

 

 

The amortized cost and fair value of cash equivalents and investments as of June 30, 2026 and December 31, 2025 were as follows:

 

 

June 30, 2026

 

 

 

 

 

 

 

Gross

 

 

Gross

 

 

 

 

 

 

 

Amortized

 

 

Unrealized

 

 

Unrealized

 

 

Estimated

 

(in thousands)

 

Cost

 

 

Gains

 

 

Losses

 

 

Fair Value

 

Financial Assets

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Cash and cash equivalents

 

$

 

48,694

 

 

$

 

—

 

 

$

 

—

 

 

$

 

48,694

 

Short-term marketable securities (<12 months to maturity)

 

 

 

286,463

 

 

 

 

48

 

 

 

 

(438

)

 

 

 

286,073

 

Long-term marketable securities (>12 months to maturity)

 

 

 

126,935

 

 

 

 

—

 

 

 

 

(536

)

 

 

 

126,399

 

Total

 

$

 

462,092

 

 

$

 

48

 

 

$

 

(974

)

 

$

 

461,166

 

 

 

 

December 31, 2025

 

 

 

 

 

 

 

Gross

 

 

Gross

 

 

 

 

 

 

 

Amortized

 

 

Unrealized

 

 

Unrealized

 

 

Estimated

 

(in thousands)

 

Cost

 

 

Gains

 

 

Losses

 

 

Fair Value

 

Financial Assets

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Cash and cash equivalents

 

$

 

48,503

 

 

$

 

—

 

 

$

 

—

 

 

$

 

48,503

 

Short-term marketable securities (<12 months to maturity)

 

 

 

300,243

 

 

 

 

501

 

 

 

 

(12

)

 

 

 

300,732

 

Long-term marketable securities (>12 months to maturity)

 

 

 

156,273

 

 

 

 

160

 

 

 

 

(28

)

 

 

 

156,405

 

Total

 

$

 

505,019

 

 

$

 

661

 

 

$

 

(40

)

 

$

 

505,640

 

 

The Company considers its marketable securities with maturities beyond one year as current assets, based on their highly liquid nature and because such marketable securities represent the investment of cash that is available for current operations. The Company considers its investment portfolio of marketable securities to be available-for-sale.

The Company periodically reviews its available-for-sale marketable securities for other-than-temporary impairment. The Company considers factors such as the duration, severity and the reason for the decline in value, the potential recovery period and its intent to sell. For debt securities, the Company also considers whether (i) it is more likely than not that the Company will be required to sell the debt securities before recovery of their amortized cost basis, and (ii) the amortized cost basis cannot be recovered as a result of credit losses.

There were no marketable securities that had been in a consecutive loss position for more than 12 months as of June 30, 2026. During the six months ended June 30, 2026, the Company did not recognize any other-than-temporary impairment loss. As of June 30, 2026, there was no allowance for losses on available-for-sale debt securities attributable to credit risk.

As of June 30, 2026, all of the Company’s cash and cash equivalents primarily consisted of cash on deposit with U.S. banks denominated in U.S. dollars and Australian dollars, and investments in interest-bearing money market funds.