Cash, cash equivalents, restricted cash, and available-for-sale marketable securities

9 Months Ended

Sep. 30, 2022

Cash, cash equivalents, restricted cash, and available-for-sale marketable securities

Cash, cash equivalents, restricted cash, and available-for-sale marketable securities

4. Cash, cash equivalents, restricted cash, and available-for-sale marketable securities

Cash, cash equivalents, and marketable securities included the following at September 30, 2022 and December 31, 2021:

	Amortized		Unrealized		Unrealized		Fair
	Cost		Gains		Losses		Value
	(in thousands)
As of September 30, 2022
Money market funds included in cash and cash equivalents	$	93,043	$	—	$	—	$	93,043
Marketable securities - U.S. Treasury notes		34,987		—		(209)		34,778
Total money market funds and marketable securities	$	128,030	$	—	$	(209)	$	127,821
As of December 31, 2021
Money market funds included in cash and cash equivalents	$	100,305	$	—	$	—	$	100,305
Marketable securities - U.S. Treasury notes		15,117		—		(11)		15,106
Total money market funds and marketable securities	$	115,422	$	—	$	(11)	$	115,411

All of the Company’s marketable securities as of September 30, 2022 have a contractual maturity of one year or less.

The Company reviews investments whenever the fair value of an investment is less than the amortized cost and evidence indicates that an investment’s carrying amount is not recoverable within a reasonable period of time. In connection with these investments, the Company evaluates whether the decline in fair value has resulted from credit losses or other factors, considering the extent to which fair value is less than amortized cost, any changes to the rating of the security by a rating agency, and adverse conditions specifically related to the security, among other factors. If this assessment indicates that a credit loss exists, the present value of cash flows expected to be collected from the security is compared to the amortized cost basis of the security. If the present value of cash flows expected to be collected is less than the amortized cost basis, a credit loss exists and an allowance for credit losses is recorded for the credit loss on the condensed consolidated balance sheet, limited by the amount that the fair value is less than the amortized cost basis. Any impairment that is not related to credit is recognized in other comprehensive income (loss). Changes in the allowance for credit losses are recorded as a provision for (or reversal of) credit loss expense in general and administrative expenses within the condensed consolidated statement of operations. Losses are charged against the allowance when the Company believes the uncollectability of an available-for-sale security is confirmed or when either of the criteria regarding intent or requirement to sell is met.

The Company held $30.0 million and $15.1 million marketable securities that were in an unrealized loss position as of September 30, 2022 and December 31, 2021, respectively, and held $5.0 million marketable securities that were in an unrealized gain position as of September 30, 2022. No marketable securities were in an unrealized gain position as of December 31, 2021. The unrealized losses at September 30, 2022 and December 31, 2021 were attributable to changes in interest rates and the unrealized losses do not represent credit losses. The Company does not intend to sell these securities and it is not more likely than not that it will be required to sell them before recovery of their amortized cost basis.

The following table provides a reconciliation of cash, cash equivalents, and restricted cash within the condensed consolidated balance sheets that sum to the total of the same such amounts shown in the condensed consolidated statements of cash flows:

	As of September 30,		As of December 31,
	2022		2021
	(in thousands)
Cash and cash equivalents	$	96,860	$	117,433
Restricted cash included in deposits and other non-current assets		1,515		1,779
Total cash, cash equivalents, and restricted cash	$	98,375	$	119,212