Fair Value Measurements and marketable securities

9 Months Ended

Sep. 30, 2022

Fair Value Measurements and marketable securities

Fair Value Measurements and marketable securities

3. Fair Value Measurements and marketable securities

Value Measurements

The following tables present information about the Company’s financial assets that have been measured at fair value as of September 30, 2022 and indicate the fair value of the hierarchy of the valuation inputs utilized to determine such fair value. In general, fair values determined by Level 1 inputs utilize quoted prices (unadjusted) in active markets for identical assets or liabilities. Fair value determined by Level 2 inputs utilize observable inputs other than Level 1 prices, such as quoted prices for similar assets or liabilities, quoted market prices in markets that are not active or other inputs that are observable or can be corroborated by observable market data for substantially the full term of the related assets or liabilities. Fair values determined by Level 3 inputs are unobservable data points for the asset or liability, and include situations where there is little, if any, market activity for the asset or liability. During the three and nine months ended September 30, 2022, there were no transfers between Level 1 and Level 2 financial assets.

The following table summarizes the Company’s cash equivalents and marketable securities as of September 30, 2022 and December 31, 2021 (in thousands):

	Fair value measurements as of
	September 30, 2022
	Level 1		Level 2		Level 3		Total
Cash equivalents
Money market funds	$	10,564	$	—	$	—	$	10,564
Commercial paper		—		9,978		—		9,978
U.S. Treasuries		—		3,981		—		3,981
Total cash equivalents		10,564		13,959		—		24,523
Marketable securities
Corporate bonds		—		22,498		—		22,498
Commercial paper		—		10,681		—		10,681
U.S. Government Agencies		—		1,225		—		1,225
U.S. Treasuries		—		10,940		—		10,940
Total marketable securities		—		45,344		—		45,344
Total	$	10,564	$	59,303	$	—	$	69,867

	Fair value measurements as of
	December 31, 2021
	Level 1		Level 2		Level 3		Total
Cash equivalents
Money market funds	$	50,847	$	—	$	—	$	50,847
Commercial paper		—		25,995		—		25,995
Corporate bonds		—		1,000		—		1,000
Total cash equivalents		50,847		26,995		—		77,842
Marketable securities
Corporate bonds		—		10,238		—		10,238
Commercial paper		—		5,975		—		5,975
Total marketable securities		—		16,213		—		16,213
Total	$	50,847	$	43,208	$	—	$	94,055

Marketable Securities

The following tables summarizes the Company’s available-for-sale marketable debt securities as of September 30, 2022 and December 31, 2021 (in thousands):

	Fair value measurements as of
	September 30, 2022
			Gross		Gross
	Amortized		Unrealized		Unrealized		Credit
	Cost		Gains		Losses		Losses		Total
Corporate bonds	$	23,027	$	—	$	(529)	$	—	$	22,498
Commercial paper		10,722		—		(41)		—		10,681
U.S. Treasuries		1,229		—		(4)		—		1,225
U.S. Government Agencies		11,010		—		(70)		—		10,940
Total	$	45,988	$	—	$	(644)	$	—	$	45,344

	Fair value measurements as of
	December 31, 2021
			Gross		Gross
	Amortized		Unrealized		Unrealized
	Cost		Gains		Losses		Total
Commercial paper	$	10,244	$	—	$	(6)	$	10,238
Corporate bonds		5,977		—		(2)		5,975
Total	$	16,221	$	—	$	(8)	$	16,213

The unrealized losses at September 30, 2022 were attributed to changes in interest rates and unrealized losses do not represent credit losses. No declines in value were deemed to be other than temporary as of December 31, 2021.

The following table summarizes the Company’s available-for-sale marketable debt securities by contractual maturity as of September 30, 2022 and December 31, 2021 (in thousands):

	September 30,		December 31,
	2022		2021
Maturities in one year or less	$	40,082	$	9,004
Maturities between one and two years		5,262		7,209
Total	$	45,344	$	16,213

The carrying value of the Company’s long-term debt approximates its fair value at September 30, 2022 and December 31, 2021 because the debt bears interest at a variable market rate and the Company’s credit risk has not materially changed since the inception of the agreement.

As of September 30, 2022 and December 31, 2021 the Company did not have any other financial assets and liabilities that were measured at fair value on a recurring basis.