Annual report pursuant to Section 13 and 15(d)

Fair Value Measurements

v3.24.0.1
Fair Value Measurements
 12 Months Ended
Dec. 31, 2023
Fair Value Disclosures [Abstract]  
Fair Value Measurements Fair Value Measurements
Financial instruments recorded at fair value in the financial statements are categorized as follows:
•Level 1: Observable inputs that reflect quoted prices for identical assets or liabilities in active markets.
•Level 2: Observable inputs, other than Level 1 prices, such as quoted prices for similar assets or liabilities, quoted 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 assets or liabilities.
•Level 3: Unobservable inputs reflecting management's assumptions incorporated in valuation techniques used to determine fair value. These assumptions are required to be consistent with market participant assumptions that are reasonably available.
The following table summarizes the assets measured at fair value on a recurring basis by level within the fair value hierarchy for the year ended December 31, 2023 (in thousands):
Level 1 Level 2 Level 3 Total
Cash equivalents
Money market funds $ 35,375  $ —  $ —  $ 35,375 
Short-term investments
US government and agency securities 25,083  11,526  —  36,609 
Commercial paper —  21,479  —  21,479 
Total $ 60,458  $ 33,005  $ —  $ 93,463 
The following table summarizes the assets measured at fair value on a recurring basis by level within the fair value hierarchy for the year ended December 31, 2022 (in thousands):
Level 1 Level 2 Level 3 Total
Cash equivalents
Money market funds $ 41,213  $ —  $ —  $ 41,213 
Commercial paper —  8,980  —  8,980 
Short-term investments
US government and agency securities 24,944  11,663  —  36,607 
Commercial paper —  14,733  —  14,733 
Total $ 66,157  $ 35,376  $ —  $ 101,533 
There were no transfers of financial assets or liabilities into or out of Level 3 during the years ended December 31, 2023 or 2022.
The following table summarizes the Company's short-term investments on the consolidated balance sheets as of December 31, 2023 (in thousands):
Amortized Cost Gross Unrealized Gains Gross Unrealized Losses Fair Value
Short-term investments
US government and agency securities $ 36,568  $ 48  $ (7) $ 36,609 
Commercial paper 21,477  11  (9) 21,479 
Total $ 58,045  $ 59  $ (16) $ 58,088 
The following table summarizes the Company's short-term investments on the consolidated balance sheets as of December 31, 2022 (in thousands):
Amortized Cost Gross Unrealized Gains Gross Unrealized Losses Fair Value
Short-term investments
US government and agency securities $ 36,595  $ 18  $ (6) $ 36,607 
Commercial paper 14,733  —  —  14,733 
Total $ 51,328  $ 18  $ (6) $ 51,340 
The following table summarizes the Company’s cash and cash equivalents on the consolidated balance sheets as of December 31, 2023 (in thousands):
December 31, 2023
Amortized Cost Gross Unrealized Gains Gross Unrealized Losses Fair Value
Cash $ 15,381  $ —  $ —  $ 15,381 
Cash equivalents
Money market funds 35,375  —  —  35,375 
Total $ 50,756  $ —  $ —  $ 50,756 
The following table summarizes the Company’s cash and cash equivalents on the consolidated balance sheets as of December 31, 2022 (in thousands):
December 31, 2022
Amortized Cost Gross Unrealized Gains Gross Unrealized Losses Fair Value
Cash $ 11,804  $ —  $ —  $ 11,804 
Cash equivalents
Money market funds 41,213  —  —  41,213 
Commercial paper 8,980  —  —  8,980 
Total $ 61,997  $ —  $ —  $ 61,997 

As of December 31, 2023, the weighted-average remaining contractual maturities of available for sale securities was approximately four months.
No available for sale securities held as of December 31, 2023 have been in a continuous unrealized loss position for more than 12 months. As of December 31, 2023, unrealized losses on available for sale securities are not attributed to credit risk and are considered temporary. The Company believes it is more-likely-than-not that investments in an unrealized loss position will be held until maturity or the cost basis of the investment will be recovered. The Company believes it has no other-than-temporary impairments on its securities as it does not intend to sell these securities and does not believe it is more-likely-than-not that it will be required to sell these securities before the recovery of their amortized cost basis. To date, the Company has not recorded any impairment charges on securities related to other-than-temporary declines in fair value. The Company’s cash equivalents and short-term investments are due within one year from the balance sheet date.
For the year ended December 31, 2023, both unrealized holding gains and losses are immaterial and the resulting net unrealized holding gain has been included in accumulated other comprehensive income. For the years ended December 31, 2022 and 2021, there were no unrealized holding gains or losses recorded in accumulated other comprehensive income.
As of December 31, 2023, there was no outstanding debt, and as of December 31, 2022 the fair value of outstanding debt was $10.4 million (Level 2). The carrying amounts of certain financial instruments, including accounts receivable, accounts payable, and accrued liabilities approximate fair value due to their short-term maturities and are excluded from the fair value tables above.