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Summary of Significant Accounting Policies (Tables)
3 Months Ended
Mar. 31, 2023
Accounting Policies [Abstract]  
Summary of Cash and Cash Equivalents and Restricted Cash
The following table reconciles cash, cash equivalents and restricted cash in the condensed consolidated balance sheets to the total balances as of March 31, 2023 and December 31, 2022 (in thousands):
March 31,
2023
December 31,
2022
(unaudited)
Cash and cash equivalents$22,738 $25,584 
Restricted cash7,139 5,764 
Total cash, cash equivalents and restricted cash$29,877 $31,348 
Summary of Cash and Cash Equivalents and Restricted Cash
The following table reconciles cash, cash equivalents and restricted cash in the condensed consolidated balance sheets to the total balances as of March 31, 2023 and December 31, 2022 (in thousands):
March 31,
2023
December 31,
2022
(unaudited)
Cash and cash equivalents$22,738 $25,584 
Restricted cash7,139 5,764 
Total cash, cash equivalents and restricted cash$29,877 $31,348 
Summary of Disaggregation of Revenue
The following table sets forth the Company’s revenue for disposables, systems and service/other for the three months ended March 31, 2023 and 2022 (in thousands):
Three Months Ended March 31,
20232022
(unaudited)
Disposables$3,426 $3,211 
Systems— — 
Service/Other744 470 
Total revenue$4,170 $3,681 
Summary of Revenue from External Customers by Geographic Areas
The following table provides revenue by geographic location for the three months ended March 31, 2023 and 2022 (in thousands):
Three Months Ended March 31,
20232022
(unaudited)
United States$2,248 $2,023 
Outside the United States1,922 1,658 
Total revenue$4,170 $3,681 
Schedule of Accounts, Notes, Loans and Financing Receivable Accounts receivable recorded on the condensed consolidated balance sheets as of March 31, 2023 and December 31, 2022 consists of the following (in thousands):
March 31,
2023
December 31,
2022
(unaudited)
Trade accounts receivable$4,096 $4,085 
Earnouts receivable from Medtronic1,244 17,000 
Total accounts receivable$5,340 $21,085 
Summary of Fair Value, Liabilities Measured on Recurring Basis
The following tables classify the Company’s financial assets and liabilities measured at fair value on a recurring basis into the fair value hierarchy as of March 31, 2023 and December 31, 2022 (in thousands):

Fair Value Measurements as of March 31, 2023
(unaudited)
Quoted
Prices
in Active
Markets for
Identical
Assets
(Level 1)
Significant
Other
Observable
Inputs
(Level 2)
Significant
Unobservable
Inputs
(Level 3)
Total
Assets included in:
Cash and cash equivalents
Money market securities$20,211 $— $— $20,211 
Marketable securities at fair value
U.S. treasury securities— 21,814 — 21,814 
Commercial paper— 21,806 — 21,806 
Yankee debt securities— 3,219 — 3,219 
Total fair value$20,211 $46,839 $— $67,050 
Liabilities included in:
Warrant liability$— $— $1,900 $1,900 
Contingent consideration— — 2,000 2,000 
Total fair value$— $— $3,900 $3,900 
Fair Value Measurements as of December 31, 2022
Quoted
Prices
in Active
Markets for
Identical
Assets
(Level 1)
Significant
Other
Observable
Inputs
(Level 2)
Significant
Unobservable
Inputs
(Level 3)
Total
Assets included in:
Cash and cash equivalents
Money market securities$22,700 $— $— $22,700 
Marketable securities at fair value
U.S. treasury securities— 26,897 — 26,897 
Commercial paper— 14,764 — 14,764 
Yankee debt securities— 3,202 — 3,202 
Total fair value$22,700 $44,863 $— $67,563 
Liabilities included in:
Warrant liability$— $— $3,346 $3,346 
Contingent consideration— — 1,800 1,800 
Total fair value$— $— $5,146 $5,146 
Summary of Fair Value, Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation
The following table presents changes in Level 3 liabilities measured at fair value for the three months ended March 31, 2023 (in thousands):
Contingent
Consideration
Warrant Liability
Balance, December 31, 2022$1,800 $3,346 
Change in fair value200 (1,446)
Balance, March 31, 2023 (unaudited)$2,000 $1,900 
Weighted-Average Unobservable Inputs to Measure Contingent Consideration
The weighted average (in aggregate) significant unobservable inputs (Level 3 inputs) used in measuring the contingent consideration from the acquisition of Rhythm Xience as of March 31, 2023 and December 31, 2022 were as follows:

March 31, 2023December 31, 2022
(unaudited)
Risk-free interest rate5.00%4.80%
Expected term in years
1.0 - 2.0
1.0 - 2.0
Expected volatility23.4%28.0%
Weighted-Average Unobservable Inputs to Measure Warranty Liability The fair value was estimated to be $0.5026 per warrant as of March 31, 2023 and the significant inputs used in the estimation of the fair value were as follows:
March 31, 2023
(unaudited)
Risk-free interest rate3.55%
Expected term in years7.25
Expected volatility75.0%
As of March 31, 2023 and December 31, 2022, the outstanding warrants to purchase the Company’s common stock consisted of the following:
Exercise PriceExpiration DateMarch 31,
2023
December 31,
2022
(unaudited)
Warrants issued in 2015$5.25 1/30/253,808 3,808 
Warrants issued with 2018 Convertible Notes$0.10 6/7/28346,689 346,689 
Warrants issued with 2018 Term Loan$16.67 7/31/2826,998 26,998 
Warrants issued with 2019 Credit Agreement$16.67 5/20/29419,992 419,992 
Warrants issued with 2022 Credit Agreement$1.11 6/30/303,779,018 3,779,018 
Total Warrants4,576,505 4,576,505