Stock-Based Compensation

3 Months Ended

Mar. 31, 2022

Share-based Payment Arrangement [Abstract]

Stock-based compensation expense included in the condensed consolidated statements of operations was as follows:


	For the three months ended
	March 31, 2022		March 31, 2021
Stock options	$	911	$	1,524
Restricted stock units	3,032		954
Total	$	3,943	$	2,478

The stock compensation expense has been recorded in cost of goods sold, research and development expenses, and selling, general and administrative expenses in the condensed consolidated statements of operations.

The following table summarizes stock option activity for the three months ended March 31, 2022:


	Units	Weighted-Average Exercise Price		Weighted-Average Remaining Contractual Term (years)
Options Outstanding at December 31, 2021	2,023,460	$	9.51	6.3
Cancelled/Forfeited	(51,369)	$	10.28
Options Outstanding at March 31, 2022	1,972,091	$	9.49	5.8
Options Exercisable at March 31, 2022	1,179,834	$	9.97	6.1

A summary of restricted stock units (RSU) activity during the three months ended March 31, 2022 is as follows:


	Units	Weighted-Average Grant-Data Fair Value
RSU Outstanding at December 31, 2021	2,194,756	$	16.36
Granted	1,149,280	$	4.14
Cancelled/Forfeited	(226,400)	$	11.65
Vested	(305,651)	$	20.35
RSU Outstanding at March 31, 2022	2,811,985	$	11.31

In 2022, the Company reserved an additional 537,866 shares for the Amended and Restated 2020 Incentive Plan. As of March 31, 2022 and December 31, 2021, 1,949,261 and 2,282,906 shares remain for future issuance, respectively. Options vest generally over three to five years and have a term of five to ten years. RSUs generally vest over three to four years. During the three months ended March 31, 2022, the Company only granted RSUs with service conditions. Stock compensation is recognized on a straight-line basis over the requisite service period of the award, which is generally the award vesting term. For awards with performance conditions, compensation expense is recognized using an accelerated attribution method over the vesting period. The performance conditions primarily relate to achievement of sales targets. As of March 31, 2022, within the total options outstanding, there were 28,818 performance-based stock options, all of which are expected to vest in the next four years.

Unrecognized stock compensation expenses amounted to $28,662 and included $26,152 attributable to RSUs and $2,510 attributable to stock options. The weighted average vesting period for the stock options and RSUs was 1.3 years and 2.2 years as of March 31, 2022, respectively.

No options were granted for the three months ended March 31, 2022. The weighted average assumptions used to determine the fair value of options granted in the three months ended March 31, 2021 were as follows:


	2021
Volatility	57.43	%
Risk free interest rate	1.11	%
Expected life (years)	6.25
Dividend yield	0	%

The RSUs issued were valued at the stock prices of the Company on the date of grant.

The weighted average grant date fair value of all options granted was $9.49 per option for the three months ended March 31, 2021.