Fair Value Measurements

6 Months Ended

Jun. 30, 2023

The following table details the assets carried at fair value and measured on a recurring basis within the three levels of fair value as of June 30, 2023 and December 31, 2022:


(in thousands)			Gross Unrealized						Reported as:
June 30, 2023	Amortized Cost		Gains		Losses		Fair Value		Cash and cash equivalents		Short-term investments		Long-term investments
Level 1
Mutual funds	$	1,464	$	—	$	—	$	1,464	$	1,464	$	—	$	—
U.S. treasury securities	60,888		—		(848)		60,040		—		30,562		29,478
Total Level 1	62,352		—		(848)		61,504		1,464		30,562		29,478
Level 2
Commercial paper	98,455		—		(47)		98,408		70,675		27,733		—
Corporate debt securities	6,912		—		(49)		6,863		—		1,955		4,908
Agency securities	121,398		—		(1,445)		119,953		—		30,906		89,047
Total Level 2	226,765		—		(1,541)		225,224		70,675		60,594		93,955
Total Level 1 and Level 2	$	289,117	$	—	$	(2,389)	$	286,728	$	72,139	$	91,156	$	123,433


(in thousands)			Gross Unrealized						Reported as:
December 31, 2022	Amortized Cost		Gains		Losses		Fair Value		Cash and cash equivalents		Short-term investments		Long-term investments
Level 1
Mutual funds	$	1,121	$	—	$	—	$	1,121	$	1,121	$	—	$	—
U.S. treasury securities	52,686		4		(774)		51,916		—		2,873		49,043
Total Level 1	53,807		4		(774)		53,037		1,121		2,873		49,043
Level 2
Commercial paper	156,419		3		(266)		156,156		113,402		42,754		—
Corporate debt securities	14,154		—		(71)		14,083		—		7,224		6,859
Agency securities	91,114		33		(783)		90,364		—		17,097		73,267
Total Level 2	261,687		36		(1,120)		260,603		113,402		67,075		80,126
Total Level 1 and Level 2	$	315,494	$	40	$	(1,894)	$	313,640	$	114,523	$	69,948	$	129,169

Contractual maturities of short-term investments as of June 30, 2023 and December 31, 2022 are due in one year or less. Contractual maturities of long-term investments as of June 30, 2023 and December 31, 2022 are due after 1 year through 2 years.

The unrealized losses and fair values of available-for-sale securities that have been in an unrealized loss position for a period of less than and greater than 12 months as of June 30, 2023 and December 31, 2022 are as follows:


(in thousands)	Securities in Unrealized Loss Position Less than 12 months				Securities in Unrealized Loss Position Greater than 12 months				Total
June 30, 2023	Gross Unrealized Losses		Fair Market Value		Gross Unrealized Losses		Fair Market Value		Gross Unrealized Losses		Fair Market Value

U.S. treasury securities	$	467	$	40,628	$	381	$	19,412	$	848	$	60,040
Commercial paper	47		98,409		—		—		47		98,409
Corporate debt securities	49		6,862		—		—		49		6,862
Agency securities	1,356		114,680		89		5,273		1,445		119,953
Total	$	1,919	$	260,579	$	470	$	24,685	$	2,389	$	285,264


(in thousands)	Securities in Unrealized Loss Position Less than 12 months				Securities in Unrealized Loss Position Greater than 12 months				Total
December 31, 2022	Gross Unrealized Losses		Fair Market Value		Gross Unrealized Losses		Fair Market Value		Gross Unrealized Losses		Fair Market Value
U.S. treasury securities	$	774	$	49,114	$	—	$	—	$	774	$	49,114
Commercial paper	266		151,354		—		—		266		151,354
Corporate debt securities	14		6,859		57		7,224		71		14,083
Agency securities	670		50,531		113		8,887		783		59,418
Total	$	1,724	$	257,858	$	170	$	16,111	$	1,894	$	273,969

We review our investment portfolio based on the underlying risk profile of the securities and have a no loss expectation for these investments. We also regularly review the securities in an unrealized loss position and evaluate the current expected credit loss by considering factors such as historical experience, market data, issuer-specific factors, and current economic conditions. We recognized no credit losses on our investments during the three and six months ended June 30, 2023 and 2022, and had no allowance for credit losses as of June 30, 2023.

- 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 + Details