Stock-Based Compensation

12 Months Ended

Dec. 31, 2025

Share-Based Payment Arrangement [Abstract]

2015 Equity Incentive Plan

In 2015, we adopted the 2015 Equity Incentive Plan (the “2015 Plan”) that authorized the granting of options for shares of common stock. Our 2015 Plan provided for the grant of incentive stock options, non-statutory stock options, stock appreciation rights, restricted stock awards, restricted stock unit (“RSU”) awards, and other stock awards. The 2015 Plan was terminated in connection with the adoption of the 2021 Equity Incentive Plan (the “2021 Plan”) in November 2021 in connection with the IPO, and we will not grant any additional awards under the 2015 Plan. However, the 2015 Plan will continue to govern the terms and conditions of the outstanding awards previously granted thereunder.

2021 Equity Incentive Plan

In September 2021, our board of directors adopted, and our stockholders approved, the 2021 Plan, which became effective in connection with the IPO in November 2021. The 2021 Plan provides for the grant of incentive stock options, nonqualified stock options, stock appreciation rights, restricted stock awards, RSU awards, performance awards, and other forms of equity compensation. The number of shares of our Class A common stock reserved for issuance under the 2021 Plan will automatically increase on January 1 of each year for a period of 10 years, beginning on January 1, 2022 and continuing through (and including) January 1, 2031, in an amount equal to 4% of the total number of share of our common stock (both Class A and Class B) outstanding on December 31 of the immediately preceding year, except that, before the date of any such increase, our board of directors may determine that the increase for such year will be the lesser number of shares. Additionally, to the extent that any stock options outstanding under the 2015 Plan expire, terminate prior to exercise, are not issued because the award is settled in cash, are forfeited because of the failure to vest, or are reacquired or withheld (or not issued) to satisfy a tax withholding obligation or the purchase or exercise price, if any, the shares of Class B common stock reserved for issuance pursuant to such equity awards will become available for issuance as shares of Class A common stock under the 2021 Plan. The maximum number of shares of our Class A common stock that may be issued on the exercise of incentive stock options under the 2021 Plan will be 100,000,000 shares.

2021 Employee Stock Purchase Plan

In September 2021, our board of directors adopted, and our stockholders approved, the 2021 Employee Stock Purchase Plan (the “2021 ESPP”), which became effective in connection with the IPO in November 2021. The 2021 ESPP authorizes the issuance of shares of Class A common stock pursuant to purchase rights granted to employees. A total of

366,866 shares of the Company’s Class A common stock have been reserved for future issuance under the 2021 ESPP as of December 31, 2025. The number of shares of our Class A common stock reserved for issuance will automatically increase on January 1 of each year for a period of 10 years, beginning on January 1, 2022 and continuing through (and including) January 1, 2031, by the lesser of (1) 1% of the total number of shares of our common stock (both Class A and Class B) outstanding on December 31 of the immediately preceding year and (2) 142,500 shares, except that, before the date of any such increase, our board of directors may determine that such increase will be less than the amount set forth in clauses (1) and (2). The price at which Class A common stock is purchased under the 2021 ESPP is equal to 85% of the fair market value of a share of the Company’s Class A common stock on the first day of the offering period or the date of purchase, whichever is lower. Offering periods are six months long and begin on November 3 and May 3 of each year. The initial offering period began on November 3, 2021.

Stock Options

A summary of the status of the 2015 Plan and the 2021 Plan as of December 31, 2025 and 2024, and changes during the periods then ended is presented below:


	Options Outstanding
	Number of Options	Weighted-Average Exercise Price		Weighted-Average Remaining Contractual Term (in years)	Aggregate Intrinsic Value (in thousands)
Outstanding at December 31, 2024	557,362	$	70.84	5.78	$	221
Granted	—
Exercised	(2,756)	1.48			13
Forfeited	(5,940)	68.96
Cancelled	(61,239)	81.20
Outstanding at December 31, 2025	487,427	$	69.89	5.09	$	98
Vested and exercisable at December 31, 2025	426,368	74.35		4.79	98

For the years ended December 31, 2025 and 2024, the aggregate intrinsic value of stock options exercised under both equity incentive plans was $13 thousand and $2 thousand, respectively. Aggregate intrinsic value represents the difference between the exercise price of the options and the fair value of our common stock as of the reporting date.

There were no stock options granted for the years ended December 31, 2025 and 2024.

2021 ESPP

The following table summarizes the weighted-average assumptions used in estimating the fair value of the 2021 ESPP grants for the following offering periods, using the Black Scholes option-pricing model:


	Offering Period - November 3, 2025 to May 2, 2026		Offering Period - May 3, 2025 to November 2, 2025		Offering Period - November 3, 2024 to May 2, 2025		Offering Period - May 3, 2024 to November 2, 2024		Offering Period - November 3, 2023 to May 2, 2024
Risk-free interest rate	3.80	%	4.26	%	4.30	%	5.41	%	5.45	%
Dividend yield	—		—		—		—		—
Volatility	37.13	%	37.13	%	37.13	%	37.13	%	43.12	%
Expected lives (years)	0.5		0.5		0.5		0.5		0.5

RSUs

After completion of the IPO in November 2021, the Company began granting RSUs to certain employees. The RSUs granted had service-based vesting conditions. The service-based vesting condition for these awards is typically satisfied over four years, with a cliff vesting period of one year and continued vesting quarterly thereafter. The service-based vesting condition for refresh grants of RSUs to existing employees is typically satisfied over three years with vesting occurring

quarterly, subject to the employees’ continued service to us. RSUs and the related stock-based compensation are recognized on a straight-line basis over the requisite service period.

RSU activity during the year ended December 31, 2025 was as follows:


	Number of Shares	Weighted-Average Grant Date Fair Value per Share
Unvested at December 31, 2024	464,165	$	23.61
Granted	431,370	6.21
Vested	(302,031)	20.54
Forfeited	(101,960)	17.55
Unvested at December 31, 2025	491,544	$	11.48

Performance Stock Units

PSUs with Performance Conditions- In March 2025 and in April 2025, we granted certain members of our executive leadership team 50 thousand RSUs and approximately 27 thousand RSU’s, respectively, with performance-based and service-based vesting conditions. The awards vest based on the achievement of certain financial performance targets as well as the individuals’ continued employment with us. The total grant date fair value of the awards was determined to be $0.3 million. Stock-based compensation expense is recognized on a straight-line basis over their requisite service periods, if it is probable the performance condition will be met. Stock-based compensation expense is reversed if the achievement of the performance condition does not occur.

PSUs with Market Conditions- In March 2024, in connection with the appointment of Joe Vernachio as CEO, we granted him approximately 30 thousand RSUs with market-based and service-based vesting conditions (“PSUs”). The awards vest based on the achievement of certain stock price targets as well as his continued employment with us. The total grant date fair value of the awards was determined to be $0.1 million. In May 2022, we granted a target amount of approximately 40 thousand PSUs to certain executives. The total grant date fair value of the awards was determined to be $4.0 million, with each tranche of the awards representing approximately $1.3 million, $1.4 million, and $1.4 million of the total expense, respectively.

Stock-based compensation expense relating to PSUs is recognized on a straight-line basis over the requisite service period for each tranche, regardless of whether the market condition is ultimately satisfied. Stock-based compensation expense is not reversed if the achievement of the market condition does not occur. We recognized stock-based compensation expense of $0.2 million and $0.8 million for the years ended December 31, 2025 and 2024, respectively.

PSU activity for the year ended December 31, 2025 was as follows:


	Target Number of Shares	Weighted-Average Grant Date Fair Value per Share
Unvested at December 31, 2024	45,870	$	33.17
Granted	77,409	6.01
Vested	—	—
Forfeited	(39,499)	26.44
Unvested at December 31, 2025	83,780	$	11.25

Stock-based Compensation Expense

Stock-based compensation expense, included in selling, general, and administrative expense in the consolidated statements of operations and comprehensive loss, for the years ended December 31, 2025 and 2024 was comprised of the following:


(in thousands)	December 31, 2025		December 31, 2024
Stock-based compensation, net of amounts capitalized	$	7,763	$	11,472
Capitalized stock-based compensation	113		267
Total stock-based compensation	$	7,876	$	11,739

As of December 31, 2025, there was approximately $1.0 million of unrecognized compensation cost related to outstanding unvested stock options, $5.1 million of unrecognized compensation cost related to outstanding unvested RSUs, and $0.4 million of unrecognized compensation cost related to outstanding unvested PSUs under both equity incentive plans. The remaining unrecognized compensation costs are expected to be recognized over the weighted-average remaining vesting periods of 1.27 years, 1.96 years, and 1.18 years, respectively.