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Employee Retirement Plans
 12 Months Ended
Dec. 31, 2024
Retirement Benefits [Abstract]  
Employee Retirement Plans

12. Employee Retirement Plans

The Company adopted an employee profit-sharing plan (the “401(k) Plan”), qualified under Section 401(k) of the Internal Revenue Code (the “IRC”). All of the Company’s full-time employees who have attained the age of 21 are eligible to participate in the 401(k) Plan immediately upon employment. Pursuant to the 401(k) Plan, employees may elect to reduce their current compensation by up to the statutorily prescribed annual limit and have the amount of the reduction contributed to the 401(k) Plan. In 2024, 2023 and 2022, the Company recorded $5.1 million, $5.7 million, and $4.3 million respectively, for employer contributions made to the 401(k) Plan.

The Company maintains a pension plan covering employees of its Swiss subsidiary, Apellis International GmbH (f/k/a Apellis Switzerland GmbH) (the “Swiss Plan”). The Swiss Plan is a government-mandated retirement fund that provides employees with a minimum benefit. Employer and employee contributions are made to the Swiss Plan based on various percentages of salary and wages that vary according to employee age and other factors. As is customary with Swiss pension plans, the assets of the Swiss Plan are invested in a collective fund, which are held and invested by a Swiss insurance company. The investment strategy of the Swiss Plan is managed by an independent asset manager with the objective of achieving a consistent long-term return which will provide sufficient funding for future pension obligations while limiting risk.

As of December 31, 2024, the Swiss Plan was underfunded by $1.6 million as the fair value of the plan assets of $16.7 million was less than the projected benefit obligation of $18.3 million. The accumulated benefit obligation at December 31, 2024 was $0.6 million. The Company’s net periodic benefit cost for the year ended December 31, 2024 was $1.2 million. The contributions to the Swiss Plan for the year ended December 31, 2024 were not material.

As of December 31, 2023, the Swiss Plan was underfunded by $2.2 million as the fair value of the plan assets of $16.2 million was less than the projected benefit obligation of $18.4 million. The accumulated benefit obligation at December 31, 2023 was $2.6 million. The Company’s net periodic benefit cost for the year ended December 31, 2023 was $0.9 million. The contributions to the Swiss Plan for the year ended December 31, 2023 were not material.