Fair Value Measurements

6 Months Ended

Jun. 30, 2025

Fair Value Measurements

Fair Value Measurements

Note 3–Fair Value Measurements

Cash equivalents and short-term investments as of June 30, 2025 and December 31, 2024 consist of the following (in thousands):

	June 30, 2025
	Amortized Cost		Unrealized Gains		Unrealized Losses		Fair Value
Cash equivalents:
Money market funds	$	169,235	$	—	$	—	$	169,235
Short-term investments:
U.S. Government treasury securities		159,417		1		(68)		159,350
Total	$	328,652	$	1	$	(68)	$	328,585
	December 31, 2024
	Amortized Cost		Unrealized Gains		Unrealized Losses		Fair Value
Cash equivalents:
Money market funds	$	161,094	$	—	$	—	$	161,094
Short-term investments:
U.S. Government treasury securities		264,074		309		(88)		264,295
Total	$	425,168	$	309	$	(88)	$	425,389

Investments with maturities of 90 days or less from the date of purchase are classified as cash equivalents; investments with maturities of greater than 90 days from the date of purchase but less than one year are generally classified as short-term investments; and investments with maturities of one year or greater from the date of purchase are generally classified as long-term investments. All short-term investments had stated maturity dates of less than one year. The Company has recorded the securities at fair value on its condensed consolidated balance sheets and unrealized gains and losses are reported as a component of accumulated other comprehensive (loss) income. The amount of realized gains and losses reclassified into earnings and the related adjustments to deferred taxes are based on the specific identification of the securities sold or securities that reached maturity date.

Fair Value

The Company measures certain financial assets at fair value. Fair value is determined based upon the exit price that would be received to sell an asset in an orderly transaction between market participants, as determined by either the principal market or the most advantageous market. Inputs used in the valuation techniques are classified based on a three-level hierarchy, as follows:

● Level 1 inputs: Quoted prices for identical assets or liabilities in active markets;

● Level 2 inputs: Observable inputs other than those described as Level 1; and

● Level 3 inputs: Unobservable inputs that are supported by little or no market activities and are based on significant assumptions and estimates.

As of June 30, 2025 and December 31, 2024, the fair values of the Company’s investments were all measured using level 1 inputs.