7. Stock-based Compensation

In October 2020, the Company’s stockholders approved the Company’s 2020 Incentive Award Plan (“2020 Plan”). The 2020 Plan initially provided for the issuance of up to 7,924,000 shares of Common Stock and for the grant of incentive stock options and other incentive awards to employees, officers, directors and consultants of the Company. The number of shares of Common Stock that may be issued under the 2020 Plan is subject to increase on the first day of each calendar year equal to the lesser of i) 5% of the aggregate number of shares of Common Stock outstanding on the final day of the immediately preceding calendar year or ii) such smaller number of shares as is determined by the board of directors. Through December 31, 2025, the shares available under the 2020 Plan had been increased by an aggregate of 20,845,291 shares. In January 2026, the number of shares of Common Stock available for future issuance under the 2020 Plan was further increased by 3,906,339 shares. To the extent outstanding restricted stock unit or stock option awards granted under the 2020 Plan are cancelled, the shares of Common Stock underlying such cancelled awards are available for future grant under the 2020 Plan. As of June 30, 2026, 6,953,894 shares of Common Stock were available for future issuance under the 2020 Plan.

The 2020 Plan replaced and is the successor of the Company’s 2013 Equity Incentive Plan, as amended (“2013 Plan”). In the event of any cancellation of an outstanding option award under the 2013 Plan, the shares of Common Stock underlying the cancelled option award will be made available for grant under the 2020 Plan.

Stock Options

During the six months ended June 30, 2026, the Company granted 2,185,540 stock options with an aggregate grant date fair value of $6,667 under the 2020 Plan.

The aggregate intrinsic value of options granted is calculated as the difference between the exercise price of the options and the estimated fair value of the Common Stock for those options that had exercise prices lower than the fair value of the Common Stock.

Option awards granted to employees generally vest over a service period of four years and option awards granted to members of the board of directors generally vest over a service period of one or three years. All options have a contractual term of ten years. As of June 30, 2026, total unrecognized compensation expense related to stock option awards was $15,225, which is being recognized over a remaining weighted average period of 2.2 years.

Restricted Stock Units

During the six months ended June 30, 2026, the Company granted 708,200 restricted stock units to employees and directors under the 2020 Plan with an aggregate grant date fair market value of $3,028. These restricted stock unit awards vest in three annual installments.

As of June 30, 2026, total unrecognized compensation expense related to restricted stock units was $4,755, which is being recognized over a remaining weighted average period of 1.6 years.

Performance-based Restricted Stock Units

During the year ended December 31, 2022 the Company granted 724,970 performance-based restricted stock units (“2022 PSUs”) under the 2020 Plan to employees with an aggregate grant fair value of $5,298. The performance period for the 2022 PSUs ran from February 1, 2022 through January 31, 2025 to achieve up to six defined performance metrics. The Company achieved two metrics which resulted in 50% of the grant date fair value being recognized as expense. Of the total 2022 PSUs granted, 25% vested on January 31, 2025, and 25% vested on January 31, 2026. The Company recorded compensation expense of $0 and $81 for the three months ended June 30, 2026 and 2025, respectively related to the 2022 PSUs. The Company recorded compensation expense of $27 and $197 for the six months ended June 30, 2026 and 2025, respectively related to the 2022 PSUs.

During the year ended December 31, 2024, the Company granted 1,057,900 performance-based restricted stock units (“2024 PSUs”) under the 2020 Plan to employees with an aggregate grant date fair value of $4,401. The 2024 PSUs provide for a performance period from February 1, 2024 through January 31, 2027 to achieve up to four defined performance metrics. The percentage of 2024 PSUs eligible to vest will be determined based on the number of metrics achieved during the performance period and may range from 0% to 200%. As of June 30, 2026, two of the 2024 PSU metrics were deemed probable of achievement resulting in expense recognition of 75% of the 2024 PSU grant date value. Compensation expense is being recognized from the grant date through the final vest date of January 31, 2027. The Company recorded compensation expense of $274 for each of the three months ended June 30, 2026 and 2025 related to the 2024 PSUs. The Company recorded compensation expense of $545 for each of the six months ended June 30, 2026 and 2025 related to the 2024 PSUs.

During the year ended December 31, 2025, the Company granted 1,045,600 performance-based restricted stock units (“2025 PSUs”) under the 2020 Plan to employees with an aggregate grant date fair value of $3,200. The 2025 PSUs provide for a performance period from February 1, 2025 through January 31, 2028 to achieve up to four defined performance metrics. The percentage of 2025 PSUs eligible to vest will be determined based on the number of metrics achieved during the performance period and may range from 0% to 200%. As of June 30, 2026, none of the 2025 PSU metrics were deemed probable of achievement. The Company recorded compensation expense of $0 for the three and six months ended June 30, 2026 and 2025 related to the 2025 PSUs.

During the six months ended June 30, 2026, the Company granted 1,886,320 performance-based restricted stock units (“2026 PSUs”) under the 2020 Plan to employees with an aggregate grant date fair value of $7,998. The 2026 PSUs provide for a performance period from February 1, 2026 through January 31, 2029 to achieve up to four defined performance metrics. The percentage of 2026 PSUs eligible to vest will be determined based on the number of metrics achieved during the performance period and may range from 0% to 200%. As of June 30, 2026, none of the 2026 PSU metrics were deemed probable of achievement. The Company recorded compensation expense of $0 for the three and six months ended June, 2026 related to the 2026 PSUs.

As of June 30, 2026, total unrecognized compensation expense related to performance-based restricted stock units was $647, which is being recognized over a weighted average period of 1.8 years.

Employee Stock Purchase Plan

In October 2020, the Company’s shareholders approved the Employee Stock Purchase Plan (“ESPP”), which became effective upon the closing of the Company’s initial public offering in November 2020. The Company initially reserved a total of 1,187,000 shares of its Common Stock for issuance under the ESPP. The ESPP provides that the number of shares reserved and available for issuance under the ESPP will be increased on January 1 of each calendar year by 1% of the number of shares of Common Stock issued and outstanding on the immediately preceding December 31 or such lesser amount as specified by the board of directors. Through December 31, 2025, the number of shares of Common Stock available for future issuance under the ESPP had been increased by 2,511,861 shares. In January 2026, the number of shares of Common Stock available for future issuance under the ESPP was further increased by 781,267 shares.

The Company issued 53,966 and 54,296 shares for proceeds of $132 and $138 during the six months ended June 30, 2026 and 2025, respectively.

Stock-based Compensation Expense