XML 27 R10.htm IDEA: XBRL DOCUMENT v3.26.1
Fair Value Measurement
3 Months Ended
Mar. 31, 2026
Fair Value Measurement [Abstract]  
Fair Value Measurement 4. Fair Value Measurement

The following table summarizes the Company’s financial assets and liabilities measured at fair value on a recurring basis by level within the fair value hierarchy (in thousands):

March 31, 2026

Level 1

Level 2

Level 3

Total

Assets

Money market funds, included in cash equivalents

$

1,348 

$

$

$

1,348 

Money market funds, included in restricted cash, non-current

4,702 

4,702 

U.S. government securities

81,422 

81,422 

U.S. treasury bills

19,865 

19,865 

Corporate bonds/notes

63,364 

63,364 

Agency bonds/notes

44,029 

44,029 

Asset-backed securities

21,613 

21,613 

Commercial paper

4,934 

4,934 

Total

$

6,050 

$

235,227 

$

$

241,277 

December 31, 2025

Level 1

Level 2

Level 3

Total

Assets

Money market funds, included in cash equivalents

$

27,806 

$

$

$

27,806 

Money market funds, included in restricted cash, non-current

4,709 

4,709 

U.S. government securities

81,479 

81,479 

U.S. treasury bills

39,593 

39,593 

Corporate bonds/notes

57,571 

57,571 

Agency bonds/notes

25,151 

25,151 

Asset-backed securities

21,711 

21,711 

Commercial paper

9,870 

9,870 

Total

$

32,515 

$

235,375 

$

$

267,890 

The following tables present a reconciliation of the Company’s financial liabilities measured at fair value using significant unobservable inputs (Level 3) and the change in fair value during the year ended December 31, 2025 (in thousands):

Common Stock Warrant Liability

Fair value as of January 1, 2024

$

20,835 

Change in fair value

43,894 

Reclassification to common stock upon net exercise

(64,729)

Fair value as of December 31, 2025

$

In determining the fair value of the common stock warrant liability, the Company used the Black-Scholes option pricing model to estimate the fair value using unobservable inputs including the expected term, expected volatility, risk-free interest rate and dividend yield (see Note 12).

Convertible Notes
Derivative Liability

Fair value as of January 1, 2025

$

Recognition of derivative liability related to Convertible Notes

31,900 

Change in fair value

(7,311)

Derecognition upon conversion into common stock upon IPO

(24,589)

Fair value as of December 31, 2025

$

In determining the fair value of the convertible notes derivative liability, a two-step valuation approach was employed, which included a probability-weighted scenario valuation method, the Monte Carlo Simulation method, and the option pricing method, using unobservable inputs (see Note 13), which are classified as Level 3 within the fair value hierarchy, and then comparing the instrument’s value with and without the derivative features to estimate their combined fair value. The debt instrument is carried at amortized cost, which approximates its fair value.