STOCK-BASED COMPENSATION (Tables)
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12 Months Ended |
Dec. 31, 2025 |
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| Share-Based Payment Arrangement [Abstract] |
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| Schedule stock-based compensation expense |
The components of stock-based compensation expense for both equity and liability-classified awards recognized in our consolidated statements of operations was as follows: | | | | | | | | | | | | | | | | | | | Year Ended | | (in thousands) | December 31, 2025 | | December 31, 2024 | | December 31, 2023 | RSUs | $ | 54,564 | | | $ | 29,774 | | | $ | 1,127 | | ESPP | 3,059 | | | — | | | — | | PSOs | 660 | | | 1,514 | | | 577 | | Cash-based equity awards | — | | | 54,796 | | | 95,531 | | Stock-based compensation expense, before taxes | 58,283 | | | 86,084 | | | 97,235 | | | Related income tax benefits | (13,708) | | | (20,890) | | | (23,455) | | Stock-based compensation expense, net of taxes | $ | 44,575 | | | $ | 65,194 | | | $ | 73,780 | |
Stock-based compensation expense for both equity and liability-classified awards, reported in our consolidated statements of operations was as follows: | | | | | | | | | | | | | | | | | | | Year Ended | | (in thousands) | December 31, 2025 | | December 31, 2024 | | December 31, 2023 | Cost of screening revenue (exclusive of amortization of intangible assets) | $ | 2,226 | | | $ | 1,724 | | | $ | 1,932 | | | Cost of development services revenue | 36 | | | 230 | | | 38 | | | Research and development | 15,986 | | | 30,701 | | | 39,792 | | | Sales and marketing | 10,871 | | | 15,310 | | | 17,506 | | | General and administrative | 29,164 | | | 38,119 | | | 37,967 | | Stock-based compensation expense, before taxes | 58,283 | | | 86,084 | | | 97,235 | | | Related income tax benefits | (13,708) | | | (20,890) | | | (23,455) | | Stock-based compensation expense, net of taxes | $ | 44,575 | | | $ | 65,194 | | | $ | 73,780 | |
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| Schedule of ESPP fair value assumptions |
Unamortized compensation cost and weighted average service period of all unvested equity classified awards as of December 31, 2025 was as follows:
| | | | | | | | | | | | | Unamortized Compensation Costs | | Weighted Average Service Period | | (in thousands) | | (in years) | RSUs and PSUs | $ | 76,895 | | | 1.5 | PSOs | 432 | | | 1.2 | ESPP | 1,719 | | | 0.4 | Total unamortized compensation costs | $ | 79,046 | |
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A summary of the Company’s shares available for grant under the ESPP, was as follows: | | | | | | | Shares Available for Grant | | (in thousands) | | Balance as of December 31, 2024 | 414,021 | | Annual increase | 338,934 | Issued(1) | (136,551) | | Balance as of December 31, 2025 | 616,404 | (1) Represent $4.5 million in cash received for the issuance of common stock under the ESPP | |
PSOs activity, issued under the 2024 Plan, were as follows: | | | | | | | | | | | | | | | | | | | Performance Options | | Weighted-Average Exercise Price Per Share | | Weighted-Average Contractual Term | | (in thousands) | | | | (in years) | | Outstanding at December 31, 2025 | 104 | | $13.53 | | 4.2 | | Vested and Exercisable at December 31, 2025 | 23 | | $14.00 | | 4.2 |
The fair value of employee stock purchase rights under the ESPP have been estimated with the following assumptions using the Black-Scholes-Merton option-pricing model: | | | | | | | | | | | December 31, 2025 | | | Weighted-average assumptions: | | | Expected life (in years) | 0.5 | | Risk-free interest rate | 4.0% | | Expected volatility | 97.4% | | Expected dividend | —% | | | Weighted-average estimated grant date fair value per share | $59.31 | |
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| Schedule of shares available for grant activity |
A summary of the Company’s shares available for grant under the 2024 Plan, was as follows: | | | | | | | Shares Available for Grant | | (in thousands) | | Balance as of December 31, 2024 | 479,339 | | Annual increase | 1,694,670 | | Awarded | (2,152,456) | | Forfeited | 491,833 | | Balance as of December 31, 2025 | 513,386 |
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| Schedule of RSUs, PSUs, and DSUs activity |
A summary of the Company’s RSUs, PSUs, and DSUs, issued under the 2024 Plan and 2024 Inducement Award Plan, were as follows: | | | | | | | | | | | | | Restricted Stock Units(1) | | Weighted-Average Grant-Date Fair Value Per Share | | (in thousands) | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | Outstanding at January 1, 2024 | — | | $— | | Conversion | 6,485 | | $15.37 | | Awarded | 2,833 | | $13.07 | | Released | (2,844) | | $15.37 | | Forfeited | (951) | | $15.22 | | Outstanding at December 31, 2024 | 5,523 | | $14.22 | | | | | Awarded(1) | 2,407 | | $40.79 | | Released | (2,491) | | $15.21 | | Forfeited | (576) | | $22.83 | | Outstanding at December 31, 2025 | 4,863 | | $25.84 | | | | | (1) Includes 31,000 PSU awarded and 30,865 DSUs vested but unreleased related to three directors that had elected to defer their 2025 cash fees and two directors that had elected to defer release of their equity awards |
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| Schedule of equity award activity |
Cash-Based Equity Award activity for the periods presented was as follows: | | | | | | | | | | | | | Year Ended | | (in thousands) | | | December 31,
2024 | | | Beginning balance | | | $ | 292,189 | | | | Granted | | | 66,864 | | | | Cancelled | | | (11,751) | | | | Vested and paid in cash | | | (53,807) | | | | Change in fair value | | | (9,535) | | | | Conversion of outstanding awards to GRAIL RSUs | | | (283,960) | | | | Outstanding balance | | | $ | — | | |
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