XML 23 R10.htm IDEA: XBRL DOCUMENT
v3.22.2

Investments in Marketable Debt Securities, Available-for-Sale | 6 Months Ended
--- | ---
Jun. 30, 2022
Investments, Debt and Equity Securities [Abstract] |
Investments in Marketable Debt Securities, Available-for-Sale |
3. | Investments in Marketable Debt Securities, Available for Sale
Amortized cost, allowance for credit losses, gross unrealized gains/losses in accumulated other comprehensive income (loss) and fair value of marketable debt securities, available-for-sale, by type of security consisted of the following (in thousands):
|  | June 30, 2022 |
|  | Amortized Cost |  |  | Allowance for Credit Losses |  |  | Gross Unrealized Gains |  |  | Gross Unrealized Losses |  |  | Fair Value |
Short-term investments: |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
U.S. treasuries |  | $ | 123,715 |  |  | $ | — |  |  | $ | — |  |  | $ | (1,233 | ) |  | $ | 122,482 |
Corporate debt |  |  | 129,913 |  |  |  | — |  |  |  | — |  |  |  | (206 | ) |  |  | 129,707 |
Asset-backed securities (“ABS”) and other |  |  | 859 |  |  |  | — |  |  |  | 1 |  |  |  | (9 | ) |  |  | 851 |
|  | $ | 254,487 |  |  | $ | — |  |  | $ | 1 |  |  | $ | (1,448 | ) |  | $ | 253,040 |
Long-term investments: |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
U.S. treasuries |  | $ | 40,827 |  |  | $ | — |  |  | $ | — |  |  | $ | (619 | ) |  | $ | 40,208 |
U.S. government sponsored entities |  |  | 646 |  |  |  | — |  |  |  | — |  |  |  | (42 | ) |  |  | 604 |
Corporate debt |  |  | 31,956 |  |  |  | — |  |  |  | 1 |  |  |  | (2,100 | ) |  |  | 29,857 |
ABS and other |  |  | 7,338 |  |  |  | — |  |  |  | 3 |  |  |  | (422 | ) |  |  | 6,919 |
|  | $ | 80,767 |  |  | $ | — |  |  | $ | 4 |  |  | $ | (3,183 | ) |  | $ | 77,588 |
|  | December 31, 2021 |
|  | Amortized Cost |  |  | Allowance for Credit Losses |  |  | Gross Unrealized Gains |  |  | Gross Unrealized Losses |  |  | Fair Value |
Short-term investments: |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
U.S. treasuries |  | $ | 35,767 |  |  | $ | — |  |  | $ | — |  |  | $ | (34 | ) |  | $ | 35,733 |
Corporate debt |  |  | 148,148 |  |  |  | — |  |  |  | 22 |  |  |  | (35 | ) |  |  | 148,135 |
|  | $ | 183,915 |  |  | $ | — |  |  | $ | 22 |  |  | $ | (69 | ) |  | $ | 183,868 |
Long-term investments: |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
U.S. treasuries |  | $ | 70,902 |  |  | $ | — |  |  | $ | 128 |  |  | $ | (263 | ) |  | $ | 70,767 |
U.S. government sponsored entities |  |  | 726 |  |  |  | — |  |  |  | 22 |  |  |  | (3 | ) |  |  | 745 |
Corporate debt |  |  | 33,197 |  |  |  | — |  |  |  | 962 |  |  |  | (146 | ) |  |  | 34,013 |
ABS and other |  |  | 7,033 |  |  |  | — |  |  |  | 82 |  |  |  | (30 | ) |  |  | 7,085 |
|  | $ | 111,858 |  |  | $ | — |  |  | $ | 1,194 |  |  | $ | (442 | ) |  | $ | 112,610 |
The Company’s investments in marketable debt securities, available-for-sale, that have been in a continuous unrealized loss position, for which an allowance for credit losses has not been recorded, by type of security consisted of the following (in thousands):
|  | June 30, 2022 |
|  | Less than 12 months |  |  | 12 months or greater |  |  | Total |
|  | Fair Value |  |  | Gross Unrealized Losses |  |  | Fair Value |  |  | Gross Unrealized Losses |  |  | Fair Value |  |  | Gross Unrealized Losses |
U.S. treasuries |  | $ | 162,281 |  |  | $ | (1,852 | ) |  | $ | — |  |  | $ | — |  |  | $ | 162,281 |  |  | $ | (1,852 | )
U.S. government sponsored entities |  |  | 506 |  |  |  | (27 | ) |  |  | 96 |  |  |  | (16 | ) |  |  | 602 |  |  |  | (43 | )
Corporate debt |  |  | 157,965 |  |  |  | (2,225 | ) |  |  | 592 |  |  |  | (80 | ) |  |  | 158,557 |  |  |  | (2,305 | )
ABS and other |  |  | 6,342 |  |  |  | (431 | ) |  |  | — |  |  |  | — |  |  |  | 6,342 |  |  |  | (431 | )
|  | $ | 327,094 |  |  | $ | (4,535 | ) |  | $ | 688 |  |  | $ | (96 | ) |  | $ | 327,782 |  |  | $ | (4,631 | )
|  | December 31, 2021 |
|  | Less than 12 months |  |  | 12 months or greater |  |  | Total |
|  | Fair Value |  |  | Gross Unrealized Losses |  |  | Fair Value |  |  | Gross Unrealized Losses |  |  | Fair Value |  |  | Gross Unrealized Losses |
U.S. treasuries |  | $ | 103,019 |  |  | $ | (297 | ) |  | $ | — |  |  | $ | — |  |  | $ | 103,019 |  |  | $ | (297 | )
U.S. government sponsored entities |  |  | 115 |  |  |  | (3 | ) |  |  | — |  |  |  | — |  |  |  | 115 |  |  |  | (3 | )
Corporate debt |  |  | 115,908 |  |  |  | (173 | ) |  |  | 146 |  |  |  | (8 | ) |  |  | 116,054 |  |  |  | (181 | )
ABS and other |  |  | 2,915 |  |  |  | (30 | ) |  |  | — |  |  |  | — |  |  |  | 2,915 |  |  |  | (30 | )
|  | $ | 221,957 |  |  | $ | (503 | ) |  | $ | 146 |  |  | $ | (8 | ) |  | $ | 222,103 |  |  | $ | (511 | )
Gross realized gains and losses from the sales of the Company’s marketable debt securities, available-for-sale, consisted of the following (in thousands):
|  | Three Months Ended June 30, |  |  | Six Months Ended June 30, |
|  | 2022 |  |  | 2021 |  |  | 2022 |  |  | 2021 |
Gross realized gains (1) |  | $ | 1 |  |  | $ | 9 |  |  | $ | 114 |  |  | $ | 10 |
Gross realized losses (1) |  | $ | (17 | ) |  | $ | — |  |  | $ | (17 | ) |  | $ | — |
(1) | Recorded in other income (expense), net in the condensed consolidated statements of net and comprehensive income. The cost basis of securities sold were determined based on the specific identification method.
The Company invests its excess cash in a diversified portfolio of fixed and variable rate debt securities to meet current and future cash flow needs. All investments are made in accordance with the Company’s approved investment policy. As of June 30, 2022, the portfolio had an average credit rating of AA+ and a weighted term to contractual maturity of 1.3 years, with 216 securities in the portfolio representing an unrealized aggregate loss of $4.6 million or 1% of amortized cost, and a weighted average credit rating of AA+. As of June 30, 2022, the Company performed an impairment analysis and determined an allowance for credit losses was not required. The Company determined that it did not have an intent to sell and it was not more likely than not that the Company would be required to sell any security based on its current liquidity position, or to maintain compliance with its investment policy, specifically as it relates to minimum credit ratings. The Company evaluated the securities with an unrealized loss considering severity of loss, credit ratings, specific credit events during the period since acquisition, overall likelihood of default, market sector, potential impact from the current economic environment, including interest rates, geopolitical unrest and a review of an issuer’s and securities’ liquidity and financial strength, as needed. The Company concluded that it would receive all scheduled interest and principal payments. The Company, therefore, determined qualitatively that the unrealized loss was related to changes in interest rates and other market factors and therefore no allowance for credit losses was required. Amortized cost and fair value of marketable debt securities, available-for-sale, by contractual maturity consisted of the following (in thousands, except weighted average data):
|  | June 30, 2022 |  |  | December 31, 2021 |
|  | Amortized Cost |  |  | Fair Value |  |  | Amortized Cost |  |  | Fair Value |
Due in one year or less |  | $ | 254,487 |  |  | $ | 253,040 |  |  | $ | 183,915 |  |  | $ | 183,868 |
Due after one year through five years |  |  | 64,064 |  |  |  | 62,267 |  |  |  | 96,035 |  |  |  | 96,257 |
Due after five years through ten years |  |  | 11,588 |  |  |  | 10,546 |  |  |  | 11,129 |  |  |  | 11,601 |
Due after ten years |  |  | 5,115 |  |  |  | 4,775 |  |  |  | 4,694 |  |  |  | 4,752 |
|  | $ | 335,254 |  |  | $ | 330,628 |  |  | $ | 295,773 |  |  | $ | 296,478 |
Weighted average contractual maturity |  |  |  |  |  |  | 1.3 years |  |  |  |  |  |  |  | 1.5 years |
Actual maturities may differ from contractual maturities because certain issuers have the right to prepay certain obligations with or without prepayment penalties.

X
- References No definition available. + Details
Name: | us-gaap_InvestmentsDebtAndEquitySecuritiesAbstract
Namespace Prefix: | us-gaap_
Data Type: | xbrli:stringItemType
Balance Type: | na
Period Type: | duration

X
- Definition The entire disclosure for investments in certain debt and equity securities. + References Reference 1: http://fasb.org/us-gaap/role/ref/legacyRef -Publisher FASB -Name Accounting Standards Codification -Topic 942 -SubTopic 320 -URI https://asc.fasb.org/subtopic&trid=2209399 Reference 2: http://fasb.org/us-gaap/role/ref/legacyRef -Publisher FASB -Name Accounting Standards Codification -Topic 946 -SubTopic 320 -URI https://asc.fasb.org/subtopic&trid=2324412 Reference 3: http://fasb.org/us-gaap/role/ref/legacyRef -Publisher FASB -Name Accounting Standards Codification -Topic 320 -URI https://asc.fasb.org/topic&trid=2196928 Reference 4: http://fasb.org/us-gaap/role/ref/legacyRef -Publisher FASB -Name Accounting Standards Codification -Topic 940 -SubTopic 320 -URI https://asc.fasb.org/subtopic&trid=2176304 Reference 5: http://www.xbrl.org/2003/role/disclosureRef -Publisher SEC -Name Regulation S-K (SK) -Number 229 -Section 1403 -Paragraph (b) + Details
Name: | us-gaap_InvestmentsInDebtAndMarketableEquitySecuritiesAndCertainTradingAssetsDisclosureTextBlock
Namespace Prefix: | us-gaap_
Data Type: | dtr-types:textBlockItemType
Balance Type: | na
Period Type: | duration