v3.26.1
Fair Value Disclosures
 6 Months Ended
Jun. 30, 2026
Fair Value Disclosures [Abstract]  
Fair Value Disclosures 5. Fair Value Disclosures
The carrying amounts of certain of the Company’s financial instruments, including cash and cash equivalents, accounts receivable, and accounts payable, approximate their respective fair values due to their short-term maturities. The fair value of the Company’s outstanding debt, which was issued with a floating interest rate, is estimated to be approximately $1,410.7 million and $1,824.3 million as of June 30, 2026 and December 31, 2025, respectively (Level 2 measurement).
The fair value of interest rate swaps was determined using Level 2 inputs as of both June 30, 2026 and December 31, 2025. The Company obtained third-party verification of fair value at the end of each reporting period. Additionally, management performed a periodic assessment of the critical terms of the interest rate swaps including, among other matters, an assessment of the counterparty’s creditworthiness. The following is a summary of our financial assets and liabilities that are accounted for at fair value on a recurring basis as of June 30, 2026 and December 31, 2025, by level within the fair value hierarchy (in thousands):
As of June 30, 2026As of December 31, 2025
Level 1
Level 2
Level 3Level 1Level 2Level 3
Assets:
Cash and cash equivalents$305,398 $— $— $133,306 $— $— 
Restricted cash789 — — 789 — — 
Interest rate swaps— 2,747 — — 1,711 — 
Liabilities:
Contingent earn-out liability— — (95,329)— — (82,700)
Post-conversion earnout share liability— — (11,960)— — (14,635)
Total
$306,187 $2,747 $(107,289)$134,095 $1,711 $(97,335)

There were no transfers between Level 1 or Level 2 or transfers in or out of Level 3 of the fair value hierarchy in any periods presented.
Contingent Consideration Arrangement
The Company’s contingent earn-out liability is measured at fair value on a recurring basis using significant unobservable inputs (Level 3). The fair value of the contingent earn-out liability was $95.3 million and $82.7 million as of June 30, 2026 and December 31, 2025, respectively, and was included in other liabilities on the condensed consolidated balance sheets. For the six months ended June 30, 2026 and 2025, the change in the fair value of $12.6 million and $5.1 million, respectively, is included in contingent consideration revaluation on the condensed consolidated statements of operations.
Post-conversion Earnout Share Liability
The Company’s post-conversion earnout share liability is measured at fair value on a recurring basis using significant unobservable inputs (Level 3). The fair value of the post-conversion earnout share liability was $12.0 million and $14.6 million as of June 30, 2026 and December 31, 2025, respectively, and was included in other liabilities on the condensed consolidated balance sheets. For the six months ended June 30, 2026, the change in the fair value of $2.7 million is included in post-conversion earnout share liability revaluation on the condensed consolidated statements of operations. Refer to Note 7. Redeemable Convertible Preferred Stock and Stockholders’ Equity (Deficit) for further details on the post-conversion earnout share liability.