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Stock-Based Incentive Compensation Plans
 3 Months Ended
Mar. 31, 2024
Share-Based Payment Arrangement [Abstract]  
Stock-Based Incentive Compensation Plans Stock-Based Incentive Compensation Plans
A summary of shares available for grant under the Company’s 2021 Equity Incentive Plan, or the 2021 Plan, is as follows:
Shares Available for Grant
Shares available for grant as of January 1, 20241,314,502 
Authorized1,391,173 
Granted/Awarded(770,044)
Cancelled188,145 
Withheld for taxes37,541 
Shares available for grant as of March 31, 2024
2,161,317 
A summary of stock option activity for the three months ended March 31, 2024 is set forth below:
Options Outstanding
Number of SharesWeighted-Average Exercise PriceWeighted Average Remaining Contractual Term (in Years)
Balances as of January 1, 20242,588,765 $4.51 7.17
Granted288,170 $16.02 
Exercised(409,045)$1.76 
Cancelled(50,622)$9.67 
Balances at March 31, 2024
2,417,268 $6.23 7.86
Vested and exercisable at March 31, 2024
1,357,081 $5.00 7.03
Vested and expected to vest at March 31, 2024
2,417,268 $6.23 7.86
Early Exercise of Stock Options
The terms of the Company’s 2020 Stock Plan, or the 2020 Plan, and the 2021 Plan, permit the exercise of options granted under the plans prior to vesting, subject to required approvals. The shares of common stock issued from the early exercise of unvested stock options are restricted and continue to vest over the original implied service period. The Company has the option to repurchase any unvested shares at the original purchase price upon any voluntary or involuntary termination. The shares purchased by the employees and non-employees pursuant to the early exercise of stock options are not deemed, for accounting purposes, to be outstanding until those shares vest. The cash received in exchange for exercised and unvested shares related to stock options granted is recorded as a liability for the early exercise of stock options in accrued liabilities on the accompanying balance sheet and will be transferred into common stock and additional paid-in capital as the shares vest. As of March 31, 2024 and December 31, 2023, there were 18,844 and 30,211 shares of common stock, respectively, issued pursuant to early exercised options and subject to repurchase.
Employee Stock Purchase Plan
In April 2021, the Company adopted the 2021 Employee Stock Purchase Plan, or ESPP. The Company allows eligible employees to purchase shares of the Company's common stock through payroll deductions at a price equal to 85% of the lesser of the fair market value of the stock as of the first date or the ending date of each offering period, which is typically six months. There were 580,000 shares of common stock initially reserved for issuance under the ESPP. In January 2024, the number of shares of common stock available for issuance under the ESPP was increased by 278,234 shares as a result of the automatic increase provision in the ESPP.
As of March 31, 2024, 678,032 shares under the ESPP remain available for purchase. The offering period and purchase period is determined by the board of directors. A new offering period of six months has been authorized beginning December 7, 2023 through June 6, 2024.
Restricted Stock Units
Activity with respect to restricted stock units was as follows:
Number of Shares Underlying Outstanding Restricted Stock UnitsWeighted Average Grant Date Fair Value
Unvested, January 1, 20242,430,803 $6.52 
Granted481,874 $14.73 
Vested(522,483)$5.87 
Cancelled(137,523)$5.92 
Unvested, March 31, 2024
2,252,671 $8.46 
Stock-Based Compensation
The Company recognized stock-based compensation as follows (in thousands):
Three Months Ended March 31,
20242023
Cost of goods sold$162 $146 
Research and development809 500 
Selling, general and administrative1,569 1,479 
Total stock-based compensation$2,540 $2,125 
The above stock-based compensation expense related to the following equity-based awards (in thousands):
Three Months Ended March 31,
20242023
Stock options and restricted stock units$2,404 $2,071 
ESPP136 54 
Total stock-based compensation$2,540 $2,125 
As of March 31, 2024, the total unrecognized stock-based compensation expense related to unvested stock options and restricted stock units was $23.0 million, which will be amortized on a straight-line basis over a weighted average remaining period of 2.4 years.
As of March 31, 2024, the Company had unrecognized stock-based compensation expense relating to the ESPP awards of $0.1 million, which is expected to be recognized over a weighted-average period of 0.2 years.