| Schedule of fair value measurements along with the level within the fair value hierarchy in which the fair value measurements fall |
The following table presents the Company’s fair value measurements as of December 31, 2024 along with the level within the fair value hierarchy in which the fair value measurements, in their entirety, fall. | | | | | | | | | | | | | | | | | | | | | | | | | | | | (In thousands) | | Fair value at December 31, 2024 | | Quoted Prices in Active Markets for Identical Assets (Level 1) | | Significant Other Observable Inputs (Level 2) | | Significant Unobservable Inputs (Level 3) | | Cash, cash equivalents, and restricted cash | | | | | | | | | | Cash and money market | | $ | 595,548 | | | $ | 595,548 | | | $ | — | | | $ | — | | Restricted cash (1) | | 5,747 | | | 5,747 | | | — | | | — | | | U.S. government agency securities | | 5,341 | | | — | | | 5,341 | | | — | | | Marketable securities | | | | | | | | | | Corporate bonds | | $ | 206,874 | | | $ | — | | | $ | 206,874 | | | $ | — | | | U.S. government agency securities | | 140,952 | | | — | | | 140,952 | | | — | | | Asset backed securities | | 83,339 | | | — | | | 83,339 | | | — | | Equity securities | | 5,972 | | | 5,972 | | | — | | | — | | | Non-marketable securities | | $ | 796 | | | $ | — | | | $ | — | | | $ | 796 | | | Liabilities | | | | | | | | | | Contingent consideration | | $ | (282,212) | | | $ | — | | | $ | — | | | $ | (282,212) | | | Total | | $ | 762,357 | | | $ | 607,267 | | | $ | 436,506 | | | $ | (281,416) | |
The following table presents the Company’s fair value measurements as of December 31, 2023 along with the level within the fair value hierarchy in which the fair value measurements, in their entirety, fall. | | | | | | | | | | | | | | | | | | | | | | | | | | | | (In thousands) | | Fair Value at December 31, 2023 | | Quoted Prices in Active Markets for Identical Assets (Level 1) | | Significant Other Observable Inputs (Level 2) | | Significant Unobservable Inputs (Level 3) | Cash, cash equivalents, and restricted cash | | | | | | | | | | Cash and money market | | $ | 530,100 | | | $ | 530,100 | | | $ | — | | | $ | — | | | Commercial paper | | 72,243 | | | — | | | 72,243 | | | — | | Restricted cash (1) | | 4,297 | | | 4,297 | | | — | | | — | | | U.S. government agency securities | | 3,035 | | | — | | | 3,035 | | | — | | | Marketable securities | | | | | | | | | | U.S. government agency securities | | $ | 56,716 | | | $ | — | | | $ | 56,716 | | | $ | — | | | Corporate bonds | | 55,828 | | | — | | | 55,828 | | | — | | | Asset backed securities | | 34,897 | | | — | | | 34,897 | | | — | | Commercial paper | | 20,984 | | | — | | | 20,984 | | | — | | Equity securities | | 3,841 | | | 3,841 | | | — | | | — | | | Non-marketable securities | | $ | 7,650 | | | $ | — | | | $ | — | | | $ | 7,650 | | | Liabilities | | | | | | | | | | Contingent consideration | | $ | (288,657) | | | $ | — | | | $ | — | | | $ | (288,657) | | | Total | | $ | 500,934 | | | $ | 538,238 | | | $ | 243,703 | | | $ | (281,007) | |
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| Schedule of fair value of contingent consideration |
The following table provides a reconciliation of the beginning and ending balances of contingent consideration: | | | | | | | | | | | | | | | | | | | | | | | Year Ended December 31, | | (In thousands) | | 2024 | | 2023 | | 2022 | Beginning balance | | $ | 288,657 | | | $ | 306,927 | | | $ | 359,021 | | Purchase price contingent consideration (1) | | — | | | — | | | 4,600 | | Changes in fair value (2) | | (3,345) | | | (18,044) | | | (56,617) | | Payments (3) | | (3,100) | | | (226) | | | (77) | | Ending balance | | $ | 282,212 | | | $ | 288,657 | | | $ | 306,927 | |
_________________________________(1) The increase in contingent consideration liability is due to the contingent consideration associated with the acquisition of OmicEra. Refer to Note 18 for further information. (2) The change in fair value of the contingent consideration liability is included in general and administrative expenses in the consolidated statement of operations for the years ended December 31, 2024, 2023, and 2022. (3) Payment was made in the second quarter of 2024 to settle the contingent consideration liability previously recorded related to the Company’s acquisition of OmicEra.
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| Other Investments Not Readily Marketable |
Non-Marketable Equity Securities Non-marketable equity securities without readily determinable fair values, which are classified as a component of other long-term assets, net, had the following cumulative upward and downward adjustments and aggregate carrying amounts: | | | | | | | | | | | | | | | | | Year Ended December 31, | (In thousands) | | 2024 | | 2023 | Cumulative upward adjustments (1) | | $ | 5,102 | | | $ | 5,093 | | Cumulative downward adjustments and impairments (2) | | (16,850) | | | (15,071) | | | Aggregate carrying value | | 50,448 | | | 45,968 | |
_________________________________ (1) There were no material upward adjustments recorded on non-marketable equity securities held for the years ended December 31, 2024, 2023, and 2022. (2) There were no material downward adjustments or impairments on non-marketable equity securities held for the years ended December 31, 2024, 2023, and 2022.
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| Securities Owned Not Readily Marketable |
The Company has elected the fair value option under the income approach to measure certain Level 3 non-marketable securities. The following table provides a reconciliation of the beginning and ending balances of non-marketable securities valued using the fair value option: | | | | | | | | | | (In thousands) | | Non-Marketable Securities | Balance, January 1, 2023 | | $ | 10,065 | | Purchases of non-marketable securities | | 6,957 | | Changes in fair value | | 1,127 | | Settlement of non-marketable securities | | (10,499) | | Balance, December 31, 2023 | | 7,650 | | | Changes in fair value | | (604) | | Settlement of non-marketable securities | | (6,250) | | Balance, December 31, 2024 | | $ | 796 | |
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