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Fair Value Measurements
 6 Months Ended
Jun. 30, 2024
Fair Value Disclosures [Abstract]  
Fair Value Measurements Fair Value Measurements
Assets and liabilities recorded at fair value in the consolidated financial statements are categorized based upon the level of judgment associated with the inputs used to measure their fair value. Hierarchical levels which are directly related to the amount of subjectivity associated with the inputs to the valuation of these assets or liabilities are as follows:
Level 1—Inputs are unadjusted quoted prices in active markets for identical assets or liabilities that the Company has the ability to access as of the measurement date.
Level 2—Inputs are observable, unadjusted quoted prices in active markets for similar assets or liabilities, unadjusted quoted prices for identical or similar assets or liabilities in markets that are not active or other inputs that are observable or can be corroborated by observable market data for substantially the full term of the related assets or liabilities.
Level 3—Unobservable inputs for the asset or liability only used when there is little, if any, market activity for the asset or liability at the measurement date. This hierarchy requires the Company to use observable market data, when available, and to minimize the use of unobservable inputs when determining fair value.
Assets and Liabilities Measured and Recorded at Fair Value on a Recurring Basis—Financial assets and liabilities held by the Company measured at fair value on a recurring basis include money market funds and marketable securities.
Assets and Liabilities Measured and Recorded at Fair Value on a Nonrecurring Basis—The Company determines the fair value of long-lived assets held and used, such as intangible assets, by reference to independent appraisals, quoted market prices (e.g., an offer to purchase) and other factors. An impairment charge is recorded when the carrying value of the asset exceeds its fair value. There have been no impairment charges recorded to date. Based on the borrowing rates currently available to the Company for debt with similar terms and consideration of default and credit risk, the carrying value of the term loan approximates the fair value. The fair value of the term loan is estimated using Level 2 inputs.
Assets and liabilities measured at fair value are classified in their entirety based on the lowest level of input that is significant to the fair value measurement. The Company’s assessment of the significance of a particular input to the
fair value measurement in its entirety requires management to make judgments and consider factors specific to the asset or liability.
The following tables summarizes the types of assets and liabilities measured at fair value on a recurring basis by level within the fair value hierarchy (in thousands):
June 30, 2024
Level 1Level 2Level 3Total
Assets:
Cash equivalents:
Money market funds$6,191 $— $— $6,191 
Total cash equivalents$6,191 $— $— $6,191 
Marketable securities:
U.S. Government agency bonds$8,565 $19,686 $— $28,251 
Corporate debt securities— 2,929 — 2,929 
Commercial paper— 19,901 — 19,901 
Total marketable securities8,565 42,516 — 51,081 
Total financial assets$14,756 $42,516 $— $57,272 
December 31, 2023
Level 1Level 2Level 3Total
Assets:
Cash equivalents:
Money market funds$25,129 $— $— $25,129 
Total cash equivalents$25,129 $— $— $25,129 
Marketable securities:
U.S. Government agency bonds$5,798 $29,466 $— $35,264 
Commercial paper— 12,681 — 12,681 
Total marketable securities5,798 42,147 — 47,945 
Total financial assets$30,927 $42,147 $— $73,074 
There were no liabilities measured at fair value on a recurring and non-recurring basis as of June 30, 2024 and December 31, 2023.
The following table summarizes the cost, unrealized gains and losses and fair value of marketable securities (in thousands):
June 30, 2024
Amortized CostUnrealized LossesUnrealized GainsFair Value
U.S. Government agency bonds$28,304 $(53)$— $28,251 
Corporate debt securities2,932 (3)— 2,929 
Commercial paper19,918 (19)2 19,901 
Total$51,154 $(75)$2 $51,081 
December 31, 2023
Amortized CostUnrealized LossesUnrealized GainsFair Value
U.S. Government agency bonds$35,194 $(26)$96 $35,264 
Commercial paper12,667 (1)15 12,681 
Total$47,861 $(27)$111 $47,945 
The following table summarizes the marketable securities with unrealized losses as of June 30, 2024 and December 31, 2023, aggregated by major security type and the length of time that individual securities have been in a continuous loss position (in thousands):
June 30, 2024
Less than 12 months12 months or greaterTotal
Fair ValueUnrealized LossesFair ValueUnrealized LossesFair ValueUnrealized Losses
U.S. Government agency bonds$25,260 $(42)$2,991 $(11)$28,251 $(53)
Corporate debt securities2,929 (3)— — 2,929 (3)
Commercial paper11,219 (19)— — 11,219 (19)
Total$39,408 $(64)$2,991 $(11)$42,399 $(75)
December 31, 2023
Less than 12 months12 months or greaterTotal
Fair ValueUnrealized LossesFair ValueUnrealized LossesFair ValueUnrealized Losses
U.S. Government agency bonds$11,888 $(23)$1,745 $(3)$13,633 $(26)
Commercial paper996 (1)— — 996 (1)
Total$12,884 $(24)$1,745 $(3)$14,629 $(27)
The unrealized losses for marketable securities relate to changes in interest rates. No allowance for credit losses was recorded as of June 30, 2024 and December 31, 2023, and no impairment losses were recognized for the three and six months ended June 30, 2024 and June 30, 2023.
Accrued interest receivable on marketable securities of $0.2 million and $0.4 million as of June 30, 2024 and December 31, 2023, respectively, is included in prepaid expenses and other current assets on the condensed consolidated balance sheet. The Company elected to exclude accrued interest receivable from the estimation of expected credit losses on its marketable securities and reverse accrued interest receivable through interest income (expense) when amounts are determined to be uncollectible. The Company did not write off any accrued interest receivable during the three and six months ended June 30, 2024 and June 30, 2023.
Contractual Maturities
The following table summarizes the contractual maturities of the Company’s marketable securities (in thousands):
June 30, 2024
Amortized CostFair Value
Due within one year$51,154 $51,081 
Due in one year to five years— — 
Total$51,154 $51,081