Quarterly report pursuant to Section 13 or 15(d)

Balance Sheet Detail

v3.22.1
Balance Sheet Detail
 3 Months Ended
Mar. 31, 2022
Organization, Consolidation and Presentation of Financial Statements [Abstract]  
Balance Sheet Detail Balance Sheet Detail
(a)Fair Value of Financial Instruments
The Company uses a three-level hierarchy, which prioritizes, within the measurement of fair value, the use of market-based information over entity-specific information for fair value measurement based on the nature of inputs used in the valuation of an asset or liability as of the measurement date. Fair value focuses on an exit price and is defined as the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date. The inputs or methodology used for valuing financial instruments are not necessarily an indication of the risk associated with those financial instruments.
The three-level hierarchy for fair value measurements is defined as follows:
•Level 1: Inputs to the valuation methodology are quoted prices (unadjusted) for identical assets or liabilities in active markets;
•Level 2: Inputs to the valuation methodology included quoted prices for similar assets and liabilities in active markets, and inputs that are observable for the asset or liability, either directly or indirectly, for substantially the full term of the financial instrument; and
•Level 3: Inputs to the valuation methodology, which are significant to the fair value measurement, are unobservable.
An asset or liability’s categorization within the valuation hierarchy is based upon the lowest level of input that is significant to the fair value measurement.
The following table summarizes the Company’s fair value hierarchy for its financial assets and liabilities measured at fair value on a recurring basis as of March 31, 2022 and December 31, 2021:
As of March 31, 2022
Level 1 Level 2 Level 3 Total
Cash equivalents:
Money market funds
 $ 371,177  $ —  $ —  $ 371,177 
U.S. government securities —  132,933  —  132,933 
Total cash equivalents
 $ 371,177  $ 132,933  $ —  $ 504,110 
Short-term investments:
U.S. government securities $ —  $ 964,416  $ —  $ 964,416 
Total short-term investments $ —  $ 964,416  $ —  $ 964,416 
Liabilities:
Public warrants $ 18,083  $ —  $ —  $ 18,083 
Private placement warrants —  13,172  —  13,172 
Earnout shares liability —  —  20,993  20,993 
Total liabilities $ 18,083  $ 13,172  $ 20,993  $ 52,248 
As of December 31, 2021
Level 1 Level 2 Level 3 Total
Cash equivalents:
Money market funds
 $ 1,609,919  $ —  $ —  $ 1,609,919 
Total cash equivalents
 $ 1,609,919  $ —  $ —  $ 1,609,919 
Liabilities:
Public warrants
 $ 37,999  $ —  $ —  $ 37,999 
Private placement warrants
 —  27,679  —  27,679 
Earnout shares liability —  —  52,380  52,380 
Total liabilities $ 37,999  $ 27,679  $ 52,380  $ 118,058 
The public warrants and private placement warrants (see Note 7: Derivative Liabilities) are measured at fair value on a recurring basis. The public warrants are valued based on the closing price of the publicly traded instrument. The private placement Warrants are valued using observable inputs for similar liabilities resulting in Level 2 classification.
The earnout shares liability (see Note 7: Derivative Liabilities) is measured at fair value on a recurring basis. The fair value was determined using a Monte Carlo simulation with a risk free rate of 2.33% and 1.52% and volatility of 50.00% and 50.00% as of March 31, 2022 and December 31, 2021, respectively.
Earnout shares liability
Balance as of December 31, 2021
 $ 52,380 
Fair value adjustment
 (31,387)
Balance as of March 31, 2022
 $ 20,993 
The amortized cost, unrealized gains and estimated fair values of the Company’s short-term investments as of March 31, 2022 was:
As of March 31, 2022
Amortized cost Unrealized losses Fair value
U.S. government securities $ 966,091  $ (1,675) $ 964,416 
Total short-term investments $ 966,091  $ (1,675) $ 964,416 
(b)Property and Equipment, Net
Property and equipment, net consist of the following as of March 31, 2022 and December 31, 2021:
As of
March 31,
2022		 December 31,
2021
Land
 $ 13,503  $ 13,503 
Furniture and fixtures
 10,909  10,893 
Test and lab equipment
 13,112  11,984 
Leasehold improvements
 63,644  61,173 
Computer and equipment
 8,493  7,839 
Computer software
 3,381  3,321 
Automobile
 4,716  3,444 
Buildings
 1,398  1,040 
119,156  113,197 
Less accumulated depreciation and amortization
 (23,172) (19,680)
Total property and equipment, net
 $ 95,984  $ 93,517 
(c)Accrued Expenses and Other Current Liabilities
Accrued expenses and other current liabilities consist of the following as of March 31, 2022 and December 31, 2021:
As of
March 31,
2022		 December 31,
2021
Accrued expenses
 $ 15,717  $ 16,074 
Accrued compensation
 12,847  51,401 
Other
 2,646  2,531 
Total accrued expenses and other current liabilities
 $ 31,210  $ 70,006