XML 27 R12.htm IDEA: XBRL DOCUMENT
v3.20.2

Fair Value Measurements | 6 Months Ended
--- | ---
Jun. 30, 2020
Fair Value Disclosures [Abstract] |
Fair Value Measurements | Note 5. Fair Value Measurements The following tables show the Company’s financial assets and liabilities measured at fair value on a recurring basis and the level of inputs used in such measurements as of June 30, 2020 and December 31, 2019 (in thousands):
|  | As of June 30, 2020
|  | Adjusted Cost |  |  | Unrealized Gains |  |  | Unrealized Losses |  |  | Fair Value |  |  | Fair Value Level
Assets |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Cash and cash equivalents: |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Cash |  | $ | 1,757 |  |  | $ | — |  |  | $ | — |  |  | $ | 1,757 |  |  |
Money market funds |  |  | 20,285 |  |  |  | — |  |  |  | — |  |  |  | 20,285 |  |  | Level 1
Commercial paper |  |  | 3,000 |  |  |  | — |  |  |  | — |  |  |  | 3,000 |  |  | Level 2
Total cash and cash equivalents |  |  | 25,042 |  |  |  | — |  |  |  | — |  |  |  | 25,042 |  |  |
Short-term investments: |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Commercial paper |  |  | 13,828 |  |  |  | 40 |  |  |  | — |  |  |  | 13,868 |  |  | Level 2
Corporate debt securities |  |  | 3,911 |  |  |  | 15 |  |  |  | — |  |  |  | 3,926 |  |  | Level 2
U.S. agency securities |  |  | 61,326 |  |  |  | 76 |  |  |  | (6 | ) |  |  | 61,396 |  |  | Level 2
Asset-backed securities |  |  | 1,000 |  |  |  | 1 |  |  |  | — |  |  |  | 1,001 |  |  | Level 2
Total short-term investments |  |  | 80,065 |  |  |  | 132 |  |  |  | (6 | ) |  |  | 80,191 |  |  |
Total assets measured at fair value |  | $ | 105,107 |  |  | $ | 132 |  |  | $ | (6 | ) |  | $ | 105,233 |  |  |
|  | As of December 31, 2019
|  | Adjusted Cost |  |  | Unrealized Gains |  |  | Unrealized Losses |  |  | Fair Value |  |  | Fair Value Level
Assets |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Cash and cash equivalents: |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Cash |  | $ | 1,271 |  |  | $ | — |  |  | $ | — |  |  | $ | 1,271 |  |  |
Money market funds |  |  | 12,495 |  |  |  | — |  |  |  | — |  |  |  | 12,495 |  |  | Level 1
Commercial paper |  |  | 41,281 |  |  |  | — |  |  |  | (1 | ) |  |  | 41,280 |  |  | Level 2
Total cash and cash equivalents |  |  | 55,047 |  |  |  | — |  |  |  | (1 | ) |  |  | 55,046 |  |  |
Short-term investments: |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Commercial paper |  |  | 17,898 |  |  |  | — |  |  |  | (6 | ) |  |  | 17,892 |  |  | Level 2
U.S. government securities |  |  | 4,011 |  |  |  | — |  |  |  | — |  |  |  | 4,011 |  |  | Level 2
Corporate debt securities |  |  | 13,953 |  |  |  | 1 |  |  |  | (6 | ) |  |  | 13,948 |  |  | Level 2
U.S. agency securities |  |  | 32,776 |  |  |  | 20 |  |  |  | (2 | ) |  |  | 32,794 |  |  | Level 2
Asset-backed securities |  |  | 4,598 |  |  |  | — |  |  |  | — |  |  |  | 4,598 |  |  | Level 2
Total short-term investments |  |  | 73,236 |  |  |  | 21 |  |  |  | (14 | ) |  |  | 73,243 |  |  |
Total assets measured at fair value |  | $ | 128,283 |  |  | $ | 21 |  |  | $ | (15 | ) |  | $ | 128,289 |  |  |
There have been no realized gains or losses on sales of marketable securities for the periods presented. The Company began investing in marketable debt securities during the third quarter of 2019 and, therefore, no security has been in an unrealized loss position for 12 months or greater. The Company determined that it did have the ability and intent to hold all marketable securities that have been in a continuous loss position until maturity or recovery. As of June 30, 2020, the Company does not consider any of its marketable debt securities to be other-than-temporarily impaired. The Company’s marketable debt securities at June 30, 2020 have maturities due in one year or less, except for debt securities with an aggregate cost basis and fair value of $6.1 million that have maturities ranging from 13 to 14 months. The Black-Scholes option-pricing model was used to estimate the fair value of the redeemable convertible preferred stock warrants at the date of issuance and at each subsequent consolidated balance sheet date. The fair value of the redeemable convertible preferred stock warrants was also estimated at the time of conversion to common stock warrants (see Note 10). Under this option-pricing model, redeemable convertible preferred stock warrants were valued by creating a series of call options with exercise prices based on the liquidation preferences and conversion terms of each equity class. The values of the redeemable convertible preferred stock and common stock are inferred by analyzing these options. The fair value of each redeemable convertible preferred stock warrant was estimated using the Black-Scholes option-pricing model with the assumptions described below. Upon conversion to common stock warrants in the second quarter of 2019 (see Note 10), no further fair value measurements were made. Therefore, there is no activity with respect to periods after the second quarter of 2019. For the periods indicated, the Company has limited historical volatility information available, and the expected volatility was based on actual volatility for comparable public companies projected over the expected terms of the warrants. The Company did not apply a forfeiture rate to the warrants as there is not enough historical information available to estimate such a rate. The risk-free interest rate was based on the U.S. Treasury yield curve over the expected term of the warrants.
|  | Period Ended
|  | June 24, 2019
Expected term (in years) |  | 5.01 - 5.26
Volatility |  | 57.20% - 57.24%
Risk-free interest rate |  | 1.75%
Dividend yield |  | –%
The following table sets forth a summary of the changes in the fair value of the Company’s Level 3 financial instruments (in thousands):
|  | Warrant Liability |
Balance — December 31, 2018 |  | $ | 683 |
Change in fair value |  |  | 1,403 |
Reclassification of warrant liability to additional paid-in capital on conversion |  |  | (2,086 | )
Balance — June 30, 2019 |  | $ | — |

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

X
- Definition The entire disclosure for the fair value of financial instruments (as defined), including financial assets and financial liabilities (collectively, as defined), and the measurements of those instruments as well as disclosures related to the fair value of non-financial assets and liabilities. Such disclosures about the financial instruments, assets, and liabilities would include: (1) the fair value of the required items together with their carrying amounts (as appropriate); (2) for items for which it is not practicable to estimate fair value, disclosure would include: (a) information pertinent to estimating fair value (including, carrying amount, effective interest rate, and maturity, and (b) the reasons why it is not practicable to estimate fair value; (3) significant concentrations of credit risk including: (a) information about the activity, region, or economic characteristics identifying a concentration, (b) the maximum amount of loss the entity is exposed to based on the gross fair value of the related item, (c) policy for requiring collateral or other security and information as to accessing such collateral or security, and (d) the nature and brief description of such collateral or security; (4) quantitative information about market risks and how such risks are managed; (5) for items measured on both a recurring and nonrecurring basis information regarding the inputs used to develop the fair value measurement; and (6) for items presented in the financial statement for which fair value measurement is elected: (a) information necessary to understand the reasons for the election, (b) discussion of the effect of fair value changes on earnings, (c) a description of [similar groups] items for which the election is made and the relation thereof to the balance sheet, the aggregate carrying value of items included in the balance sheet that are not eligible for the election; (7) all other required (as defined) and desired information. + References Reference 1: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 820 -SubTopic 10 -Section 50 -Paragraph 2 -URI http://asc.fasb.org/extlink&oid=117815213&loc=d3e19207-110258 + Details
Name: | us-gaap_FairValueDisclosuresTextBlock
Namespace Prefix: | us-gaap_
Data Type: | nonnum:textBlockItemType
Balance Type: | na
Period Type: | duration