Cover
Cover - shares | 3 Months Ended | |
Mar. 31, 2024 | May 02, 2024 | |
Cover [Abstract] | ||
Document Type | 10-Q | |
Document Quarterly Report | true | |
Document Period End Date | Mar. 31, 2024 | |
Document Transition Report | false | |
Entity File Number | 001-39965 | |
Entity Registrant Name | ON24, INC. | |
Entity Incorporation, State or Country Code | DE | |
Entity Tax Identification Number | 94-3292599 | |
Entity Address, Address Line One | 50 Beale Street, 8th Floor | |
Entity Address, City or Town | San Francisco | |
Entity Address, State or Province | CA | |
Entity Address, Postal Zip Code | 94105 | |
City Area Code | 415 | |
Local Phone Number | 369-8000 | |
Title of 12(b) Security | Common Stock, par value $0.0001 per share | |
Trading Symbol | ONTF | |
Security Exchange Name | NYSE | |
Entity Current Reporting Status | Yes | |
Entity Interactive Data Current | Yes | |
Entity Filer Category | Accelerated Filer | |
Entity Small Business | false | |
Entity Emerging Growth Company | true | |
Entity Ex Transition Period | false | |
Entity Shell Company | false | |
Entity Common Stock, Shares Outstanding | 41,865,360 | |
Amendment Flag | false | |
Document Fiscal Year Focus | 2024 | |
Document Fiscal Period Focus | Q1 | |
Entity Central Index Key | 0001110611 | |
Current Fiscal Year End Date | --12-31 |
Condensed Consolidated Balance
Condensed Consolidated Balance Sheets - USD ($) $ in Thousands | Mar. 31, 2024 | Dec. 31, 2023 |
Current assets | ||
Cash and cash equivalents | $ 18,292 | $ 53,209 |
Marketable securities | 177,766 | 145,497 |
Accounts receivable, net of allowances and reserves of $3,857 and $3,621 as of March 31, 2024 and December 31, 2023, respectively | 28,523 | 37,939 |
Deferred contract acquisition costs, current | 12,349 | 12,428 |
Prepaid expenses and other current assets | 6,922 | 4,714 |
Total current assets | 243,852 | 253,787 |
Property and equipment, net | 6,130 | 5,371 |
Operating right-of-use assets | 2,650 | 2,981 |
Intangible asset, net | 1,102 | 1,305 |
Deferred contract acquisition costs, non-current | 14,421 | 15,756 |
Other long-term assets | 1,009 | 1,102 |
Total assets | 269,164 | 280,302 |
Current liabilities | ||
Accounts payable | 1,713 | 1,914 |
Accrued and other current liabilities | 13,559 | 16,907 |
Deferred revenue | 73,117 | 74,358 |
Finance lease liabilities, current | 44 | 127 |
Operating lease liabilities, current | 2,867 | 2,779 |
Total current liabilities | 91,300 | 96,085 |
Operating lease liabilities, non-current | 1,775 | 2,483 |
Other long-term liabilities | 1,666 | 1,517 |
Total liabilities | 94,741 | 100,085 |
Commitments and contingencies (Note 8) | ||
Stockholders’ equity | ||
Common stock, $0.0001 par value per share; 500,000,000 shares authorized as of March 31, 2024 and December 31, 2023; 41,796,012 and 41,189,321 shares issued and outstanding as of March 31, 2024 and December 31, 2023, respectively | 4 | 4 |
Additional paid-in capital | 490,896 | 485,291 |
Accumulated deficit | (316,216) | (305,513) |
Accumulated other comprehensive income (loss) | (261) | 435 |
Total stockholders’ equity | 174,423 | 180,217 |
Total liabilities and stockholders’ equity | $ 269,164 | $ 280,302 |
Condensed Consolidated Balanc_2
Condensed Consolidated Balance Sheets (Parenthetical) - USD ($) $ in Thousands | Mar. 31, 2024 | Dec. 31, 2023 |
Statement of Financial Position [Abstract] | ||
Accounts receivable, allowances and reserves | $ 3,857 | $ 3,621 |
Common stock, par value (in dollars per share) | $ 0.0001 | $ 0.0001 |
Common stock, authorized (in shares) | 500,000,000 | 500,000,000 |
Common stock, issued (in shares) | 41,796,012 | 41,189,321 |
Common stock, outstanding (in shares) | 41,796,012 | 41,189,321 |
Condensed Consolidated Statemen
Condensed Consolidated Statements of Operations - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2024 | Mar. 31, 2023 | |
Revenue | ||
Total revenue | $ 37,727 | $ 43,063 |
Cost of revenue | ||
Total cost of revenue | 9,782 | 13,206 |
Gross profit | 27,945 | 29,857 |
Operating expenses | ||
Sales and marketing | 20,074 | 24,417 |
Research and development | 9,109 | 11,099 |
General and administrative | 11,236 | 14,278 |
Total operating expenses | 40,419 | 49,794 |
Loss from operations | (12,474) | (19,937) |
Interest expense | 11 | 29 |
Other income, net | (2,277) | (2,572) |
Loss before provision for income taxes | (10,208) | (17,394) |
Provision for income taxes | 495 | 196 |
Net loss | $ (10,703) | $ (17,590) |
Net loss per share | ||
Basic (in dollars per share) | $ (0.26) | $ (0.37) |
Diluted (in dollars per share) | $ (0.26) | $ (0.37) |
Weighted-average shares used in computing net loss per share | ||
Basic (in shares) | 41,313,674 | 47,304,983 |
Diluted (in shares) | 41,313,674 | 47,304,983 |
Subscription and other platform | ||
Revenue | ||
Total revenue | $ 34,829 | $ 39,364 |
Cost of revenue | ||
Total cost of revenue | 7,346 | 9,889 |
Professional services | ||
Revenue | ||
Total revenue | 2,898 | 3,699 |
Cost of revenue | ||
Total cost of revenue | $ 2,436 | $ 3,317 |
Condensed Consolidated Statem_2
Condensed Consolidated Statements of Comprehensive Loss - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2024 | Mar. 31, 2023 | |
Statement of Comprehensive Income [Abstract] | ||
Net loss | $ (10,703) | $ (17,590) |
Other comprehensive (loss) income | ||
Foreign currency translation adjustment, net of tax | (245) | (9) |
Unrealized (loss) gain on available for sale debt securities, net of tax | (451) | 978 |
Total other comprehensive (loss) income | (696) | 969 |
Total comprehensive loss | $ (11,399) | $ (16,621) |
Condensed Consolidated Statem_3
Condensed Consolidated Statements of Stockholders’ Equity - USD ($) $ in Thousands | Total | Common Stock | Additional Paid-in Capital | Accumulated Deficit | Accumulated Other Comprehensive Income (Loss) |
Beginning balance (in shares) at Dec. 31, 2022 | 47,554,801 | ||||
Beginning balance at Dec. 31, 2022 | $ 307,961 | $ 5 | $ 562,555 | $ (253,727) | $ (872) |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||
Repurchase of common stock (in shares) | (1,279,127) | (1,279,127) | |||
Repurchase of common stock | $ (10,720) | $ 0 | (10,720) | ||
Excise taxes on repurchase of common stock | (60) | (60) | |||
Issuance of common stock upon exercise of stock options (in shares) | 107,851 | ||||
Issuance of common stock upon exercise of stock options | 255 | $ 0 | 255 | ||
Issuance of common stock upon release of restricted stock units (in shares) | 464,096 | ||||
Issuance of common stock upon release of restricted stock units | 0 | $ 0 | 0 | ||
Stock-based compensation expense | 10,121 | 10,121 | |||
Other comprehensive income (loss) | 969 | 969 | |||
Net loss | (17,590) | (17,590) | |||
Ending balance (in shares) at Mar. 31, 2023 | 46,847,621 | ||||
Ending balance at Mar. 31, 2023 | $ 290,936 | $ 5 | 562,151 | (271,317) | 97 |
Beginning balance (in shares) at Dec. 31, 2023 | 41,189,321 | 41,189,321 | |||
Beginning balance at Dec. 31, 2023 | $ 180,217 | $ 4 | 485,291 | (305,513) | 435 |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||
Repurchase of common stock (in shares) | (702,620) | (702,620) | |||
Repurchase of common stock | $ (5,270) | (5,270) | |||
Issuance of common stock upon exercise of stock options (in shares) | 314,181 | 314,181 | |||
Issuance of common stock upon exercise of stock options | $ 538 | $ 0 | 538 | ||
Issuance of common stock upon release of restricted stock units (in shares) | 995,130 | ||||
Issuance of common stock upon release of restricted stock units | 0 | $ 0 | 0 | ||
Stock-based compensation expense | 10,337 | 10,337 | |||
Other comprehensive income (loss) | (696) | (696) | |||
Net loss | $ (10,703) | (10,703) | |||
Ending balance (in shares) at Mar. 31, 2024 | 41,796,012 | 41,796,012 | |||
Ending balance at Mar. 31, 2024 | $ 174,423 | $ 4 | $ 490,896 | $ (316,216) | $ (261) |
Condensed Consolidated Statem_4
Condensed Consolidated Statements of Cash Flows - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2024 | Mar. 31, 2023 | |
Cash flows from operating activities: | ||
Net loss | $ (10,703) | $ (17,590) |
Adjustments to reconcile net loss to net cash provided by (used in) operating activities: | ||
Depreciation and amortization | 1,233 | 1,417 |
Stock-based compensation expense | 10,337 | 10,121 |
Amortization of deferred contract acquisition costs | 3,843 | 3,893 |
Provision for allowance for doubtful accounts and billing reserves | 625 | 901 |
Non-cash lease expense | 391 | 497 |
Accretion of marketable securities | (1,507) | (1,826) |
Other | 35 | 128 |
Changes in operating assets and liabilities: | ||
Accounts receivable | 8,791 | 9,405 |
Deferred contract acquisition costs | (2,429) | (3,546) |
Prepaid expenses and other assets | (2,378) | (2,069) |
Accounts payable | (134) | (1,353) |
Accrued liabilities | (3,902) | (1,089) |
Deferred revenue | (1,241) | (2,287) |
Other liabilities | (823) | (769) |
Net cash provided by (used in) operating activities | 2,138 | (4,167) |
Cash flows from investing activities: | ||
Purchase of property and equipment | (1,038) | (178) |
Purchase of marketable securities | (74,093) | (119,591) |
Proceeds from maturities of marketable securities | 38,521 | 199,210 |
Proceeds from sale of marketable securities | 4,360 | 9,321 |
Net cash (used in) provided by investing activities | (32,250) | 88,762 |
Cash flows from financing activities: | ||
Proceeds from exercise of stock options | 753 | 255 |
Payment for repurchase of common stock | (5,270) | (10,720) |
Repayment of equipment loans | (36) | (71) |
Repayment of finance lease obligations | (83) | (411) |
Net cash used in financing activities | (4,636) | (10,947) |
Effect of exchange rate changes on cash, cash equivalents and restricted cash | (173) | 130 |
Net (decrease) increase in cash, cash equivalents and restricted cash | (34,921) | 73,778 |
Cash, cash equivalents and restricted cash, beginning of period | 53,298 | 27,169 |
Cash, cash equivalents and restricted cash, end of period | 18,377 | 100,947 |
Reconciliation of cash, cash equivalents, and restricted cash to the condensed consolidated balance sheets: | ||
Cash and cash equivalents | 18,292 | 100,777 |
Restricted cash included in other assets, non-current | 85 | 170 |
Total cash, cash equivalent, and restricted cash | 18,377 | 100,947 |
Supplemental disclosures of cash flow information: | ||
Cash paid for taxes, net of refunds | 224 | 99 |
Cash paid for interest | $ 2 | $ 21 |
Description of Business and Sig
Description of Business and Significant Accounting Policies | 3 Months Ended |
Mar. 31, 2024 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Description of Business and Significant Accounting Policies | Description of Business and Significant Accounting Policies Description of Business ON24, Inc. and its subsidiaries (together, ON24 or the Company) provides a leading, cloud-based intelligent engagement platform that combines best-in-class experiences with personalization and content, to enable sales and marketing organizations to capture and act on connected insights at scale. The Company’s platform offers a portfolio of interactive and hyper-personalized digital experience products that creates and captures actionable, real-time data at scale from millions of professionals to provide businesses with buying signals and behavioral insights to efficiently convert prospects into customers. The Company was incorporated in the state of Delaware in January 1998 as NewsDirect, Inc. and in December 1998 changed its name to ON24, Inc. The Company is headquartered in San Francisco, California. Basis of Presentation T he accompanying condensed consolidated financial statements include the accounts of ON24 Inc. and its wholly owned subsidiaries and have been prepared in accordance with generally accepted accounting principles in the United States of America (U.S. GAAP) and applicable rules and regulations of the Securities and Exchange Commission (SEC) for interim financial reporting. Certain information and note disclosures included in the Company’s annual financial statements prepared in accordance with GAAP have been condensed or omitted pursuant to such rules and regulations. Therefore, these condensed consolidated financial statements should be read in conjunction with the consolidated financial statements and notes included in the Company’s annual report on Form 10-K for the year ended December 31, 2023. In the opinion of management, the condensed consolidated financial statements reflect all adjustments that are normal and recurring in nature and necessary for fair financial statement presentation. All intercompany transactions and balances have been eliminated in consolidation. Use of Estimates The preparation of condensed consolidated financial statements in conformity with U.S. GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the condensed consolidated financial statements and the reported amounts of revenue and expenses during the reporting period. Such estimates and assumptions include, but are not limited to, the determination of standalone selling price for the Company’s performance obligations, the expected benefit period for deferred contract acquisition costs, the allowance for doubtful accounts and billing reserves, the useful lives of long-lived assets and the assumptions used to measure stock-based compensation. Actual results could differ materially from these estimates. Significant Accounting Policies The Company’s significant accounting policies are disclosed in its annual report on Form 10-K for the year ended December 31, 2023. There have been no significant changes to these policies during the three months ended March 31, 2024. Recently Issued Accounting Standards In December 2023, the FASB issued ASU No. 2023-09, Income Taxes (Topic 740): Improvements to Income Tax Disclosures, which expands income tax disclosure to require consistent categories and greater disaggregation of information in the rate reconciliation and income taxes paid. This ASU is effective with the Company’s 2026 reporting period, with early application permitted. The Company is currently assessing the impact of the requirements and does not expect the adoption of this ASU to have a material impact on its consolidated financial statements and disclosures. In November 2023, the FASB issued ASU 2023-07, Segment Reporting (Topic 280): Improvements to Reportable Segment Disclosures . This ASU updates reportable segment disclosure requirements, primarily through enhanced disclosures about significant segment expenses and information used to assess segment performance. This ASU is effective beginning with the Company’s 2024 annual reporting period. Early adoption is permitted and the amendments must be applied retrospectively to all prior periods presented. The Company is currently assessing the impact of the requirements and does not expect the adoption of this ASU to have a material impact on its consolidated financial statements and disclosures. |
Revenue
Revenue | 3 Months Ended |
Mar. 31, 2024 | |
Revenue from Contract with Customer [Abstract] | |
Revenue | Revenue Disaggregation of Revenue The following table depicts the disaggregation of revenue by geographic region based on the shipping address of customers (in thousands): Three Months Ended March 31, 2024 2023 United States $ 29,112 $ 33,332 EMEA 6,421 6,864 Other 2,194 2,867 Total revenue $ 37,727 $ 43,063 No individual foreign country contributed 10% or more of the total revenue during the three months ended March 31, 2024 and 2023 No single customer accounted for 10% or more of the total revenue during the three months ended March 31, 2024 and 2023. Additionally, no single customer accounted for 10% or more of accounts receivable as of March 31, 2024 and December 31, 2023. Contract Balances Accounts receivable : The Company records accounts receivable when the Company has a contractual right to consideration. In some arrangements, a right to consideration for the Company’s performance under the customer contract may occur before invoicing to the customer, resulting in an unbilled receivable. As of March 31, 2024 and December 31, 2023, unbilled receivables were included within accounts receivable, net of allowance for doubtful accounts and billing reserves on the condensed consolidated balance sheets and were not material. Contract assets: The Company records a contract asset when the Company has satisfied a performance obligation but does not yet have an unconditional right to consideration. Contract assets are included in prepaid expenses and other current assets in the condensed consolidated balance sheets and were not material as of March 31, 2024 and December 31, 2023. Contract liabilities : The Company defers its revenue when the Company has the right to invoice in advance of performance under a customer contract. The current portion of deferred revenue balances is recognized during the following 12-month period and the remaining portion is recorded as noncurrent, which is included in other long-term liabilities on the condensed consolidated balance sheet. The amount of revenue recognized in the three months ended March 31, 2024 that was included in deferred revenue at the beginning of the period was $30.9 million. Remaining Performance Obligations The terms of the Company’s subscription agreements are primarily annual and, to a lesser extent, multi-year. The Company may bill for the full term in advance or on an annual, quarterly or monthly basis, depending on the terms of the agreement. As of March 31, 2024, the aggregate amount of the transaction price allocated to remaining performance obligations was $127.5 million, which consists of both billed consideration in the amount of $73.5 million and unbilled consideration in the amount of $54.0 million that the Company expects to recognize as revenue. As of March 31, 2024, the Company expects to recognize 77% of its remaining performance obligations as revenue over the subsequent 12 months and the remainder thereafter. Costs to Obtain a Contract The Company capitalizes sales commissions and associated payroll taxes paid to internal sales personnel and third-party referral fees that are incremental costs resulting from obtaining a contract with a customer. These costs are recorded as deferred contract acquisition costs on the condensed consolidated balance sheets. The Company determines whether costs should be deferred based on its sales compensation plans and if the commissions are incremental and would not have occurred absent the customer contract. Sales commissions paid upon the initial acquisition of a customer contract are amortized over an estimated period of benefit of five years as the Company specifically anticipates renewals of customer contracts and commissions paid on renewal contracts are not commensurate with commissions paid on new customer contracts. Sales commissions paid upon renewal of customer contracts are amortized over the contractual renewal term. Amortization is recognized on a straight-line basis commensurate with the pattern of revenue recognition. Sales commissions paid related to professional services are amortized over the expected service period. The Company determines the period of benefit for commissions paid for the acquisition of the initial customer contract by taking into consideration the initial estimated customer life and the technological life of its platform and related significant features. Amortization of deferred contract acquisition costs was $3.8 million and $3.9 million for the three months ended March 31, 2024 and 2023, respectively. Amortization of deferred contract acquisition costs is included in sales and marketing expense in the condensed consolidated statements of operations. The Company periodically reviews these deferred contract acquisition costs to determine whether events or changes in circumstances have occurred that could impact the period of benefit. The Company had no impairment losses relating to deferred contract acquisition costs during the periods presented. |
Marketable Securities
Marketable Securities | 3 Months Ended |
Mar. 31, 2024 | |
Marketable Securities [Abstract] | |
Marketable Securities | Marketable Securities M arketable securities consisted of the following as of the periods presented (in thousands): March 31, 2024 Amortized Cost Gross Unrealized Gains Gross Unrealized Losses Fair Value Marketable securities U.S. Treasury securities $ 176,264 $ 25 $ (250) $ 176,039 U.S. Agency securities 1,726 1 — 1,727 Total marketable securities $ 177,990 $ 26 $ (250) $ 177,766 December 31, 2023 Amortized Cost Gross Unrealized Gains Gross Unrealized Losses Fair Value Marketable securities U.S. Treasury securities $ 135,850 $ 271 $ (40) $ 136,081 U.S. Agency securities 5,906 — (3) 5,903 Corporate debt securities 1,696 — (1) 1,695 Commercial paper 1,819 — (1) 1,818 Total marketable securities $ 145,271 $ 271 $ (45) $ 145,497 The Company’s marketable securities have been classified as available for sale. All available for sale debt securities are available for use in current operations. Accordingly, they have been classified as current. Marketable securities that have been in a continuous unrealized loss position consisted of the following as of the periods presented (in thousands): March 31, 2024 Less Than 12 Months 12 Months or More Total Fair Value Gross Unrealized Loss Fair Value Gross Unrealized Loss Fair Value Gross Unrealized Loss U.S. Treasury securities $ 148,341 $ (250) $ — $ — $ 148,341 $ (250) Total $ 148,341 $ (250) $ — $ — $ 148,341 $ (250) December 31, 2023 Less Than 12 Months 12 Months or More Total Fair Value Gross Unrealized Loss Fair Value Gross Unrealized Loss Fair Value Gross Unrealized Loss U.S. Treasury securities $ 60,150 $ (40) $ — $ — $ 60,150 $ (40) U.S. Agency securities 4,176 (3) — — 4,176 (3) Corporate debt securities 1,695 (1) — — 1,695 (1) Commercial paper 1,818 (1) — — 1,818 (1) Total $ 67,839 $ (45) $ — $ — $ 67,839 $ (45) The Company periodically evaluates whether any security has experienced credit-related declines in fair value. The Company did not recognize any credit loss related to its available for sales debt securities during the three months ended March 31, 2024 or 2023. The amount of realized gains or losses from marketable securities that were reclassified out from accumulated other comprehensive income (loss) to other (income) expense, net was based on specific identification and such amount was immaterial in the three months ended March 31, 2024 and 2023. The following summarizes the remaining contractual maturities of the Company’s marketable securities as of March 31, 2024 (in thousands): Fair Value One year or less $ 128,623 Over one year through three years 49,143 Total marketable securities $ 177,766 |
Fair Value Measurement
Fair Value Measurement | 3 Months Ended |
Mar. 31, 2024 | |
Fair Value Disclosures [Abstract] | |
Fair Value Measurement | Fair Value Measurement The following tables summarize the Company’s financial instruments recorded at fair value on a recurring basis by level within the fair value hierarchy as of the periods presented (in thousands): March 31, 2024 Level 1 Level 2 Level 3 Total Cash and cash equivalents Cash equivalents - money market mutual funds $ 8,798 $ — $ — $ 8,798 Marketable securities U.S. Treasury securities — 176,039 — 176,039 U.S. Agency securities — 1,727 — 1,727 Total cash equivalents and marketable securities $ 8,798 $ 177,766 $ — $ 186,564 December 31, 2023 Level 1 Level 2 Level 3 Total Cash and cash equivalents Cash equivalents - money market mutual funds $ 33,952 $ — $ — $ 33,952 Marketable securities U.S. Treasury securities — 136,081 — 136,081 U.S. Agency securities — 5,903 — 5,903 Corporate debt securities — 1,695 — 1,695 Commercial paper — 1,818 — 1,818 Total cash equivalents and marketable securities $ 33,952 $ 145,497 $ — $ 179,449 As of March 31, 2024 and 2023, the Company classified its cash equivalents within level 1 of the fair value hierarchy because they are valued using quoted market prices. The Company classified its marketable securities within level 2 of the fair value hierarchy because they are valued using inputs other than quoted prices that are directly or indirectly observable in the market, including readily available pricing sources for the identical underlying security, which may not be actively traded. |
Balance Sheets Components
Balance Sheets Components | 3 Months Ended |
Mar. 31, 2024 | |
Balance Sheet Related Disclosures [Abstract] | |
Balance Sheets Components | Balance Sheets Components Property and Equipment, Net Property and equipment, net consisted of the following as of the periods presented (in thousands): March 31, 2024 December 31, 2023 Computer, equipment and software (1) $ 33,168 $ 33,220 Furniture and fixtures 1,089 1,091 Leasehold improvements 3,798 3,801 Property and equipment, gross 38,055 38,112 Less: Accumulated depreciation and amortization (2) (31,925) (32,741) Property and equipment, net $ 6,130 $ 5,371 (1) Includes assets recorded under finance leases of $0.4 million and $1.7 million as of March 31, 2024 and December 31, 2023, respectively. (2) Includes amount for assets recorded under finance leases of $0.4 million and $1.6 million as of March 31, 2024 and December 31,2023, respectively. Depreciation and amortization expense for property and equipment was $1.1 million and $1.3 million for the three months ended March 31, 2024 and 2023, respectively. The following table presents the property and equipment, net of depreciation and amortization, by geographic region as of the periods presented (in thousands): March 31, 2024 December 31, 2023 United States $ 5,819 $ 5,069 EMEA 298 284 Other 13 18 Total property and equipment, net $ 6,130 $ 5,371 Accrued and Other Current Liabilities Accrued and other current liabilities consisted of the following as of the periods presented (in thousands): March 31, 2024 December 31, 2023 Accrued compensation and benefits $ 4,507 $ 4,223 Accrued bonus and commissions 3,091 7,095 Other 5,961 5,589 Accrued and other current liabilities $ 13,559 $ 16,907 |
Intangible Assets
Intangible Assets | 3 Months Ended |
Mar. 31, 2024 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Intangible Assets | Intangible Assets The Company’s acquired intangible asset subject to amortization as of the periods presented was as follows (in thousands): March 31, 2024 Gross Carrying Accumulated Amortization Net Carrying Developed technology $ 2,700 $ (1,130) $ 1,570 Effect of foreign currency translation (515) 47 (468) Total $ 2,185 $ (1,083) $ 1,102 December 31, 2023 Gross Carrying Accumulated Amortization Net Carrying Developed technology $ 2,700 $ (992) $ 1,708 Effect of foreign currency translation (397) (6) (403) Total $ 2,303 $ (998) $ 1,305 The intangible asset is amortized on a straight-line basis over its useful life of 4 years. As of March 31, 2024, the intangible asset had a remaining amortization period of 2.0 years. The amortization expense was $0.1 million for the three months ended March 31, 2024 and 2023. The amortization expense was included in research and development in the condensed consolidated statements of operations as the acquired technology is used to enhance our existing product capabilities. The estimated future amortization expense for the intangible asset is as follows (in thousands): Remainder 2024 $ 411 2025 546 2026 145 Total $ 1,102 |
Credit Facility
Credit Facility | 3 Months Ended |
Mar. 31, 2024 | |
Debt Disclosure [Abstract] | |
Credit Facility | Credit Facility In September 2021, the Company amended its revolving line of credit with a financial institution effective August 2021, which increased the Company's borrowing capacity to a maximum of $50.0 million with a letter of credit sublimit of $4.0 million and a credit card sublimit of $1.0 million. The amendment allows the Company to borrow up to $50.0 million if the Company maintains at least $100.0 million on deposit at the institution. If such deposit is less than $100.0 million, the Company may borrow up to the lesser of $50.0 million or an amount determined by the Company's trailing five months of recurring revenue, annualized renewal rate and annualized monthly churn rate, as defined by the agreement. As of March 31, 2024, the Company had not drawn down on its line of credit and has a borrowing capacity of $50.0 million. The terms of the agreement permit voluntary prepayment without premium or penalty. The revolving credit facility matures in August 2024 and is secured by substantially all of the Company’s assets. The outstanding principal balance on the revolving line of credit, if any, is due at maturity. The Company is required to pay quarterly in arrears a commitment fee of 0.15% per annum on the undrawn portion available under the revolving line of credit. As of March 31, 2024, the Company had an outstanding standby letter of credit of $1.2 million as a guarantee for a leased space. Interest on the revolving credit facility is payable monthly in arrears at a rate equal to the lender’s prime referenced rate as defined in the agreement. The prime referenced rate was 8.50% as of March 31, 2024 and December 31, 2023. The revolving credit facility is subject to certain restrictions and financial covenants, including the requirement of maintaining a minimum debt to EBITDA ratio when the Company’s current portion of the total borrowing exceeds $5.0 million and the Company fails to maintain $100.0 million in deposits. As of March 31, 2024, the Company was not subject to the financial covenant as the Company met the deposit requirement and had not drawn down from its line of credit. In addition, the revolving line of credit agreement restricts the Company from paying dividends without prior approval from the financing institution. In April 2023, the Company further amended its revolving line of credit to allow for certain transactions including payment of dividends and share repurchases from open market purchases or through an accelerated share repurchase program, subject to certain terms and conditions. |
Commitment and Contingencies
Commitment and Contingencies | 3 Months Ended |
Mar. 31, 2024 | |
Commitments and Contingencies Disclosure [Abstract] | |
Commitment and Contingencies | Commitment and Contingencies Purchase Obligations As of March 31, 2024, the Company has non-cancelable unrecognized purchase commitments primarily related to software license fees and co-location facilities and services as follows (in thousands): Purchase Obligations (1) Remainder 2024 $ 2,089 2025 1,852 2026 1,108 2027 115 Total $ 5,164 (1) Excludes non-cancelable recognized purchase commitments related to software license fees of $2.0 million that are included in accrued liabilities and other long-term liabilities in the condensed consolidated balance sheets. Contingencies The Company has agreed to indemnify its directors and executive officers for costs associated with any fees, expenses, judgments, fines, and settlement amounts incurred by any of these persons in any action or proceeding to which any of those persons is, or is threatened to be, made a party by reason of the person’s service as a director or officer, including any action by the Company, arising out of that person’s services as the Company’s director or officer or that person’s services provided to any other company or enterprise at the Company’s request. The Company maintains director and officer insurance coverage that may enable the Company to recover a portion of any future amounts paid. FASB ASC 450-20, Contingencies , sets forth the rules for accounting for uncertain tax positions for taxes not based on income. When a loss contingency exists, the likelihood of the incurrence of the liability can range from probable to remote. The Company believes it is reasonably possible that a loss will result from the sales and use tax assessments in the range of zero to $0.4 million. The Company has not recorded an accrual as of March 31, 2024 and December 31, 2023. Legal Proceedings The Company, its Chief Executive Officer, its Chief Financial Officer, certain current and former members of its Board of Directors and the underwriters that participated in the Company’s IPO are named as defendants in a consolidated putative class action, captioned In re ON24, Inc. Securities Litigation, 4:21-cv-08578-YGR (filed in November 2021), that is currently pending in the United States District Court for the Northern District of California. The consolidated complaint purports to assert claims under Sections 11 and 15 of the Securities Act of 1933 on behalf of all persons and entities that purchased, or otherwise acquired, the Company’s common stock issued in connection with the Company’s IPO. The complaint alleges that the Company’s registration statement and prospectus contained untrue statements of material fact and/or omitted material facts about ON24’s growth and customer base. Plaintiff seeks, among other things, an award of damages and attorneys’ fees and costs. The defendants filed a motion to dismiss the complaint in May 2022, which the district court granted with leave to amend in July 2023. Plaintiff filed its amended complaint in September 2023, and the defendants filed a motion to dismiss the amended complaint in October 2023. In March 2024, the district court granted the defendants’ motion to dismiss with prejudice. Plaintiff has filed a notice of appeal of the district court’s order. The Company believes the allegations in the amended complaint are without merit. The Company is unable to reasonably estimate a possible loss or range of possible loss, if any, arising from this matter at this early stage. Accordingly, no accrued litigation expense has been recorded in the accompanying condensed consolidated financial statements. In the ordinary course of business, the Company may be subject from time to time to various proceedings, lawsuits, disputes or claims. Although the Company cannot predict with assurance the outcome of any litigation, the Company does not believe there are currently any actions, other than those described in the prior paragraph, that if resolved unfavorably, would have a material impact on its financial condition, results of operations or cash flows. |
Stockholders_ Equity and Equity
Stockholders’ Equity and Equity Incentive Plan | 3 Months Ended |
Mar. 31, 2024 | |
Equity [Abstract] | |
Stockholders’ Equity and Equity Incentive Plan | Stockholders’ Equity and Equity Incentive Plan Preferred Stock The Company’s amended and restated certificate of incorporation authorized the issuance of 10,000,000 shares of undesignated preferred stock with a par value of $0.0001 per share. Common Stock The Company’s amended and restated certificate of incorporation authorized the issuance of 500,000,000 shares of common stock, $0.0001 par value per share. Holders of common stock are entitled to one vote per share. Common Stock Reserved for Future Issuance As of March 31, 2024, the Company had the following shares of common stock reserved for future issuance under its equity incentive plan and employee share purchase plan: Stock options outstanding 6,604,136 Restricted stock outstanding 5,755,580 Remaining shares available for future grant under 2021 Equity Incentive Plan (1) 5,572,289 Remaining shares available for future issuance under 2021 Employee Stock Purchase Plan (2) 2,229,916 Total shares of common stock reserved as of March 31, 2024 20,161,921 (1) Includes the automatic annual increase of 2,059,466 additional shares under the Company’s 2021 Equity Incentive Plan on January 1, 2024. (2) Includes the automatic annual increase of 411,893 ad ditional shares under the Company’s 2 021 Employee Stock Purchase Plan on January 1, 2024 . Repurchase of Common Stock In February 2024, the Company completed the $75 million share repurchase program as part of its $125 million capital return program. In March 2024, the Company’s board of directors approved a new $25 million share repurchase program (the “2024 Repurchase Program”) allowing the Company to repurchase shares of common stock on a discretionary basis from time to time over a 12-month term through open market purchases, privately negotiated transactions, or other means. The following table presents certain information regarding shares repurchased during the periods presented: Three Months Ended March 31, 2024 2023 Number of shares repurchased 702,620 1,279,127 Average price per share, including commissions $ 7.50 $ 8.38 Total repurchase costs, including commissions (in millions) $ 5.3 $ 10.7 As of March 31, 2024, the Company has $25.0 million available for future share repurchases under the 2024 Repurchase Program. The Company has not repurchased shares of common stock from April 1, 2024 through May 8, 2024 pursuant to the 2024 Repurchase Program. Grant Activities Stock Options A summary of stock option activity and related information is as follows: Options Outstanding Number of Shares Weighted- Weighted- Aggregate Balance as of December 31, 2023 6,974,082 $ 5.98 Granted — — Exercised (314,181) 1.71 $ 1,849 Cancelled and forfeited (55,765) 13.51 Balance as of March 31, 2024 6,604,136 $ 6.76 4.74 $ 22,607 Vested and exercisable 6,186,093 $ 6.12 4.61 $ 22,440 Restricted Stock Units A summary of RSU activity and related information is as follows: RSUs Outstanding Number of Shares Weighted-Average Grant Date Fair Value Unvested balance as of December 31, 2023 5,952,386 $ 10.89 Granted 395,000 7.79 Vested (870,662) 12.31 Cancelled and forfeited (134,712) 12.26 Unvested balance as of March 31, 2024 5,342,012 $ 10.34 The total fair value of RSUs vested in March 31, 2024 and 2023 was $10.7 million and $7.8 million, respectively. Restricted Stock Unit with Performance Conditions In the fourth quarter of 2022, the Company’s board of directors granted 341,404 market performance-based restricted stock units (“PSUs”) to an executive officer with a grant date fair value of $4.2 million. The PSUs vest following three two In the se cond quarter of 2023, the Company’s board of directors granted 203,000 market performance-based restricted stock units to certain executive officers with a grant date fair value of $2.5 million. The PSUs vest following three two Stock-Based Compensation The stock-based compensation expense by line item in the condensed consolidated statements of operations is summarized as follows (in thousands): Three Months Ended March 31, 2024 2023 Cost of revenue Subscription and other platform $ 668 $ 785 Professional services 121 152 Total cost of revenue 789 937 Sales and marketing 3,058 3,057 Research and development 2,128 2,021 General and administrative 4,362 4,106 Total stock-based compensation expense $ 10,337 $ 10,121 The following table presents the unrecognized stock-based compensation expense and weighted-average recognition periods as of March 31, 2024 (in thousands, except years): Stock Option Restricted Stock ESPP Unrecognized stock-based compensation expense $ 7,790 $ 46,337 $ 33 Weighted-average amortization period 0.71 years 2.01 years 0.12 years |
Other Income, Net
Other Income, Net | 3 Months Ended |
Mar. 31, 2024 | |
Other Income and Expenses [Abstract] | |
Other Income, Net | Other Income, Net Other income, net consisted of the following for the periods presented (in thousands): Three Months Ended March 31, 2024 2023 Interest income $ (855) $ (958) Accretion on marketable securities (1,507) (1,826) Foreign currency losses 87 265 Other (2) (53) Other income, net $ (2,277) $ (2,572) |
Income Taxes
Income Taxes | 3 Months Ended |
Mar. 31, 2024 | |
Income Tax Disclosure [Abstract] | |
Income Taxes | Income Taxes The Company’s provision for income taxes were as follows (in thousands): Three Months Ended March 31, 2024 2023 Provision for income taxes $ 495 $ 196 The Company’s provision for income taxes for interim periods is determined using an estimate of its annual effective tax rate, adjusted for discrete items, if any. The Company updates its estimate of the annual effective tax rate and makes a year-to-date adjustment to the provision quarterly. Provision for income taxes for the three months ended March 31, 2024 increased $0.3 million compared to the three months ended March 31, 2023. These changes in provision for income taxes were primarily driven by the increase in realized foreign exchange gains in the foreign jurisdictions. The Company regularly performs an assessment of the likelihood of realizing benefits of its deferred tax assets. As of March 31, 2024, the Company recorded a valuation allowance against its U.S. deferred tax assets based on available evidence. However, if there are favorable changes to actual operating results or to projections of future income, the Company may determine that it is more likely than not that such deferred tax assets may be realizable. Utilization of net operating loss carryforwards, tax credits and other attributes may be subject to future annual limitations due to the ownership change limitations provided by Section 382 of the Internal Revenue Code and similar state provisions. |
Net Loss Per Share
Net Loss Per Share | 3 Months Ended |
Mar. 31, 2024 | |
Earnings Per Share [Abstract] | |
Net Loss Per Share | Net Loss Per Share The following tables set forth the computation of basic and diluted net loss per share for the periods presented (in thousands, except share and per share data): Three Months Ended March 31, 2024 2023 Net loss $ (10,703) $ (17,590) Net loss per share of common stock, basic and diluted $ (0.26) $ (0.37) Weighted-average common stock outstanding, basic and diluted 41,313,674 47,304,983 T he following table sets forth the potential shares of common stock that were excluded from the computation of diluted net loss per share for the periods presented because including them would have been antidilutive: Three Months Ended March 31, 2024 2023 Stock options 6,604,136 7,523,406 Restricted stock units 5,342,012 4,851,711 Performance stock units 413,568 341,404 ESPP purchase rights 77,134 99,235 Total antidilutive securities 12,436,850 12,815,756 |
Related Party Transactions
Related Party Transactions | 3 Months Ended |
Mar. 31, 2024 | |
Related Party Transactions [Abstract] | |
Related Party Transactions | Related Party Transactions The Company incurred engineering and quality assurance costs from a third-party vendor in the three months ended March 31, 2024 and 2023. The chief executive officer of the third-party vendor is considered an immediate family member of the Company’s chief technology officer. The Company recorded $0.6 million and $0.7 million in the three months ended March 31, 2024 and 2023, respectively, in research and development expense relating to this third-party vendor on the condensed consolidated statements of operations. The Company recorded $0.2 million in accrued liabilities as of March 31, 2024 and $0.2 million in accounts payable as of December 31, 2023 on the condensed consolidated balance sheets for the amount owed to this third-party vendor. |
Restructuring
Restructuring | 3 Months Ended |
Mar. 31, 2024 | |
Restructuring and Related Activities [Abstract] | |
Restructuring | Restructuring In the third quarter of 2022, the Company initiated a strategic cost reduction plan to reduce its cost structure and lower its net loss, including voluntary and involuntary global headcount reductions as well as reductions in spending with various vendors. This plan was substantially completed in the first quarter of 2023. The Company has pursued additional reductions in its workforce in 2023 and in the first quarter of 2024 to further reduce its cost structure. The following table summarizes the restructuring costs, which primarily include severance and one-time termination benefits, in the condensed consolidated statements of operations (in thousands): Three Months Ended March 31, 2024 2023 Cost of revenue Subscription and other platform $ 192 $ 785 Professional services 12 54 Total cost of revenue 204 839 Sales and marketing 675 1,211 Research and development 112 773 General and administrative 190 230 Total restructuring costs $ 1,181 $ 3,053 The Company paid restructuring costs of $0.7 million and $2.4 million during the first quarter of 2024 and 2023, respectively. As of March 31, 2024 and December 31, 2023, the restructuring liability was $0.6 million and $0.1 million, respectively, and is included in accrued and other current liabilities on the condensed consolidated balance sheets. The Company expects to incur additional restructuring costs of $0.6 million to $0.9 million in the second quarter of 2024 and may incur additional costs in future periods for restructuring activities. |
Pay vs Performance Disclosure
Pay vs Performance Disclosure - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2024 | Mar. 31, 2023 | |
Pay vs Performance Disclosure | ||
Net loss | $ (10,703) | $ (17,590) |
Insider Trading Arrangements
Insider Trading Arrangements | 3 Months Ended |
Mar. 31, 2024 shares | |
Trading Arrangements, by Individual | |
Non-Rule 10b5-1 Arrangement Adopted | false |
Non-Rule 10b5-1 Arrangement Terminated | false |
Jayesh Sahasi [Member] | |
Trading Arrangements, by Individual | |
Material Terms of Trading Arrangement | On March 15, 2024, Jayesh Sahasi, Executive Vice President, Product and Chief Technology Officer, adopted a Rule 10b5-1 trading plan. Mr. Sahasi’ s plan provides for the sale of up to 108,000 shares of our common stock by June 30, 2025. This plan was entered into during an open insider trading window and is intended to satisfy the affirmative defense of Rule 10b5-1(c) under the Exchange Act and our policies regarding transactions in our securities. |
Name | Jayesh Sahasi |
Title | Executive Vice President, Product and Chief Technology Officer |
Rule 10b5-1 Arrangement Adopted | true |
Adoption Date | March 15, 2024 |
Aggregate Available | 108,000 |
Sharat Sharan [Member] | |
Trading Arrangements, by Individual | |
Material Terms of Trading Arrangement | On February 12, 2024, Sharat Sharan, Chief Executive Officer, terminated the Rule 10b5-1 trading plan that was adopted on August 31, 2023. On February 29, 2024, Mr. Sharan entered into a sell-to-cover instruction that provides for sales of only such number of shares of our common stock as are necessary to satisfy the applicable tax withholding obligations arising from the vesting of RSUs and PSUs granted to him. The total number of shares that may be sold pursuant to the sell-to-cover instruction letter is not determinable. The instruction terminates on October 1, 2024. This instruction was entered into during an open insider trading window and is intended to satisfy the affirmative defense of Rule 10b5-1(c) under the Exchange Act and our policies regarding transactions in our securities. |
Rule 10b5-1 Trading Plan Adopted 31 Aug 2023 [Member] | Sharat Sharan [Member] | |
Trading Arrangements, by Individual | |
Name | Sharat Sharan |
Title | Chief Executive Officer |
Adoption Date | August 31, 2023 |
Rule 10b5-1 Arrangement Terminated | true |
Termination Date | February 12, 2024 |
Rule 10b5-1c Sell To Cover Instruction [Member] | Sharat Sharan [Member] | |
Trading Arrangements, by Individual | |
Name | Sharat Sharan |
Title | Chief Executive Officer |
Rule 10b5-1 Arrangement Adopted | true |
Adoption Date | February 29, 2024 |
Description of Business and S_2
Description of Business and Significant Accounting Policies (Policies) | 3 Months Ended |
Mar. 31, 2024 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Basis of Presentation | Basis of Presentation T he accompanying condensed consolidated financial statements include the accounts of ON24 Inc. and its wholly owned subsidiaries and have been prepared in accordance with generally accepted accounting principles in the United States of America (U.S. GAAP) and applicable rules and regulations of the Securities and Exchange Commission (SEC) for interim financial reporting. Certain information and note disclosures included in the Company’s annual financial statements prepared in accordance with GAAP have been condensed or omitted pursuant to such rules and regulations. Therefore, these condensed consolidated financial statements should be read in conjunction with the consolidated financial statements and notes included in the Company’s annual report on Form 10-K for the year ended December 31, 2023. In the opinion of management, the condensed consolidated financial statements reflect all adjustments that are normal and recurring in nature and necessary for fair financial statement presentation. All intercompany transactions and balances have been eliminated in consolidation. |
Use of Estimates | Use of Estimates The preparation of condensed consolidated financial statements in conformity with U.S. GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the condensed consolidated financial statements and the reported amounts of revenue and expenses during the reporting period. Such estimates and assumptions include, but are not limited to, the determination of standalone selling price for the Company’s performance obligations, the expected benefit period for deferred contract acquisition costs, the allowance for doubtful accounts and billing reserves, the useful lives of long-lived assets and the assumptions used to measure stock-based compensation. Actual results could differ materially from these estimates. |
Recently Issued Accounting Standards | Recently Issued Accounting Standards In December 2023, the FASB issued ASU No. 2023-09, Income Taxes (Topic 740): Improvements to Income Tax Disclosures, which expands income tax disclosure to require consistent categories and greater disaggregation of information in the rate reconciliation and income taxes paid. This ASU is effective with the Company’s 2026 reporting period, with early application permitted. The Company is currently assessing the impact of the requirements and does not expect the adoption of this ASU to have a material impact on its consolidated financial statements and disclosures. In November 2023, the FASB issued ASU 2023-07, Segment Reporting (Topic 280): Improvements to Reportable Segment Disclosures . This ASU updates reportable segment disclosure requirements, primarily through enhanced disclosures about significant segment expenses and information used to assess segment performance. This ASU is effective beginning with the Company’s 2024 annual reporting period. Early adoption is permitted and the amendments must be applied retrospectively to all prior periods presented. The Company is currently assessing the impact of the requirements and does not expect the adoption of this ASU to have a material impact on its consolidated financial statements and disclosures. |
Contract Balances | Accounts receivable Contract assets: Contract liabilities |
Revenue (Tables)
Revenue (Tables) | 3 Months Ended |
Mar. 31, 2024 | |
Revenue from Contract with Customer [Abstract] | |
Schedule of Disaggregation of Revenue by Geographic Region | The following table depicts the disaggregation of revenue by geographic region based on the shipping address of customers (in thousands): Three Months Ended March 31, 2024 2023 United States $ 29,112 $ 33,332 EMEA 6,421 6,864 Other 2,194 2,867 Total revenue $ 37,727 $ 43,063 |
Marketable Securities (Tables)
Marketable Securities (Tables) | 3 Months Ended |
Mar. 31, 2024 | |
Marketable Securities [Abstract] | |
Schedule of Marketable Securities | M arketable securities consisted of the following as of the periods presented (in thousands): March 31, 2024 Amortized Cost Gross Unrealized Gains Gross Unrealized Losses Fair Value Marketable securities U.S. Treasury securities $ 176,264 $ 25 $ (250) $ 176,039 U.S. Agency securities 1,726 1 — 1,727 Total marketable securities $ 177,990 $ 26 $ (250) $ 177,766 December 31, 2023 Amortized Cost Gross Unrealized Gains Gross Unrealized Losses Fair Value Marketable securities U.S. Treasury securities $ 135,850 $ 271 $ (40) $ 136,081 U.S. Agency securities 5,906 — (3) 5,903 Corporate debt securities 1,696 — (1) 1,695 Commercial paper 1,819 — (1) 1,818 Total marketable securities $ 145,271 $ 271 $ (45) $ 145,497 |
Schedule of Marketable Securities in an Unrealized Loss Position | Marketable securities that have been in a continuous unrealized loss position consisted of the following as of the periods presented (in thousands): March 31, 2024 Less Than 12 Months 12 Months or More Total Fair Value Gross Unrealized Loss Fair Value Gross Unrealized Loss Fair Value Gross Unrealized Loss U.S. Treasury securities $ 148,341 $ (250) $ — $ — $ 148,341 $ (250) Total $ 148,341 $ (250) $ — $ — $ 148,341 $ (250) December 31, 2023 Less Than 12 Months 12 Months or More Total Fair Value Gross Unrealized Loss Fair Value Gross Unrealized Loss Fair Value Gross Unrealized Loss U.S. Treasury securities $ 60,150 $ (40) $ — $ — $ 60,150 $ (40) U.S. Agency securities 4,176 (3) — — 4,176 (3) Corporate debt securities 1,695 (1) — — 1,695 (1) Commercial paper 1,818 (1) — — 1,818 (1) Total $ 67,839 $ (45) $ — $ — $ 67,839 $ (45) |
Schedule of Remaining Contractual Maturities of Marketable Securities | The following summarizes the remaining contractual maturities of the Company’s marketable securities as of March 31, 2024 (in thousands): Fair Value One year or less $ 128,623 Over one year through three years 49,143 Total marketable securities $ 177,766 |
Fair Value Measurement (Tables)
Fair Value Measurement (Tables) | 3 Months Ended |
Mar. 31, 2024 | |
Fair Value Disclosures [Abstract] | |
Schedule of Financial Instruments Recorded at Fair Value on Recurring Basis | The following tables summarize the Company’s financial instruments recorded at fair value on a recurring basis by level within the fair value hierarchy as of the periods presented (in thousands): March 31, 2024 Level 1 Level 2 Level 3 Total Cash and cash equivalents Cash equivalents - money market mutual funds $ 8,798 $ — $ — $ 8,798 Marketable securities U.S. Treasury securities — 176,039 — 176,039 U.S. Agency securities — 1,727 — 1,727 Total cash equivalents and marketable securities $ 8,798 $ 177,766 $ — $ 186,564 December 31, 2023 Level 1 Level 2 Level 3 Total Cash and cash equivalents Cash equivalents - money market mutual funds $ 33,952 $ — $ — $ 33,952 Marketable securities U.S. Treasury securities — 136,081 — 136,081 U.S. Agency securities — 5,903 — 5,903 Corporate debt securities — 1,695 — 1,695 Commercial paper — 1,818 — 1,818 Total cash equivalents and marketable securities $ 33,952 $ 145,497 $ — $ 179,449 |
Balance Sheets Components (Tabl
Balance Sheets Components (Tables) | 3 Months Ended |
Mar. 31, 2024 | |
Balance Sheet Related Disclosures [Abstract] | |
Schedule of Property and Equipment, Net | Property and equipment, net consisted of the following as of the periods presented (in thousands): March 31, 2024 December 31, 2023 Computer, equipment and software (1) $ 33,168 $ 33,220 Furniture and fixtures 1,089 1,091 Leasehold improvements 3,798 3,801 Property and equipment, gross 38,055 38,112 Less: Accumulated depreciation and amortization (2) (31,925) (32,741) Property and equipment, net $ 6,130 $ 5,371 (1) Includes assets recorded under finance leases of $0.4 million and $1.7 million as of March 31, 2024 and December 31, 2023, respectively. (2) Includes amount for assets recorded under finance leases of $0.4 million and $1.6 million as of March 31, 2024 and December 31,2023, respectively. |
Schedule of Property and Equipment, Net of Depreciation and Amortization, by Geographic Region | The following table presents the property and equipment, net of depreciation and amortization, by geographic region as of the periods presented (in thousands): March 31, 2024 December 31, 2023 United States $ 5,819 $ 5,069 EMEA 298 284 Other 13 18 Total property and equipment, net $ 6,130 $ 5,371 |
Schedule of Accrued and Other Current Liabilities | Accrued and other current liabilities consisted of the following as of the periods presented (in thousands): March 31, 2024 December 31, 2023 Accrued compensation and benefits $ 4,507 $ 4,223 Accrued bonus and commissions 3,091 7,095 Other 5,961 5,589 Accrued and other current liabilities $ 13,559 $ 16,907 |
Intangible Assets (Tables)
Intangible Assets (Tables) | 3 Months Ended |
Mar. 31, 2024 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Schedule of Finite-Lived Intangible Assets | The Company’s acquired intangible asset subject to amortization as of the periods presented was as follows (in thousands): March 31, 2024 Gross Carrying Accumulated Amortization Net Carrying Developed technology $ 2,700 $ (1,130) $ 1,570 Effect of foreign currency translation (515) 47 (468) Total $ 2,185 $ (1,083) $ 1,102 December 31, 2023 Gross Carrying Accumulated Amortization Net Carrying Developed technology $ 2,700 $ (992) $ 1,708 Effect of foreign currency translation (397) (6) (403) Total $ 2,303 $ (998) $ 1,305 |
Schedule of Finite-Lived Intangible Assets, Future Amortization Expense | The estimated future amortization expense for the intangible asset is as follows (in thousands): Remainder 2024 $ 411 2025 546 2026 145 Total $ 1,102 |
Commitment and Contingencies (T
Commitment and Contingencies (Tables) | 3 Months Ended |
Mar. 31, 2024 | |
Commitments and Contingencies Disclosure [Abstract] | |
Schedule of Unrecorded Unconditional Purchase Obligations Disclosure | As of March 31, 2024, the Company has non-cancelable unrecognized purchase commitments primarily related to software license fees and co-location facilities and services as follows (in thousands): Purchase Obligations (1) Remainder 2024 $ 2,089 2025 1,852 2026 1,108 2027 115 Total $ 5,164 (1) Excludes non-cancelable recognized purchase commitments related to software license fees of $2.0 million |
Stockholders_ Equity and Equi_2
Stockholders’ Equity and Equity Incentive Plan (Tables) | 3 Months Ended |
Mar. 31, 2024 | |
Equity [Abstract] | |
Schedule of Common Stock Reserved for Future Issuance | As of March 31, 2024, the Company had the following shares of common stock reserved for future issuance under its equity incentive plan and employee share purchase plan: Stock options outstanding 6,604,136 Restricted stock outstanding 5,755,580 Remaining shares available for future grant under 2021 Equity Incentive Plan (1) 5,572,289 Remaining shares available for future issuance under 2021 Employee Stock Purchase Plan (2) 2,229,916 Total shares of common stock reserved as of March 31, 2024 20,161,921 (1) Includes the automatic annual increase of 2,059,466 additional shares under the Company’s 2021 Equity Incentive Plan on January 1, 2024. (2) Includes the automatic annual increase of 411,893 ad ditional shares under the Company’s 2 021 Employee Stock Purchase Plan on January 1, 2024 . |
Schedule of Repurchase Agreements | The following table presents certain information regarding shares repurchased during the periods presented: Three Months Ended March 31, 2024 2023 Number of shares repurchased 702,620 1,279,127 Average price per share, including commissions $ 7.50 $ 8.38 Total repurchase costs, including commissions (in millions) $ 5.3 $ 10.7 |
Schedule of Stock Option Activity | A summary of stock option activity and related information is as follows: Options Outstanding Number of Shares Weighted- Weighted- Aggregate Balance as of December 31, 2023 6,974,082 $ 5.98 Granted — — Exercised (314,181) 1.71 $ 1,849 Cancelled and forfeited (55,765) 13.51 Balance as of March 31, 2024 6,604,136 $ 6.76 4.74 $ 22,607 Vested and exercisable 6,186,093 $ 6.12 4.61 $ 22,440 |
Schedule of RSU Activity | A summary of RSU activity and related information is as follows: RSUs Outstanding Number of Shares Weighted-Average Grant Date Fair Value Unvested balance as of December 31, 2023 5,952,386 $ 10.89 Granted 395,000 7.79 Vested (870,662) 12.31 Cancelled and forfeited (134,712) 12.26 Unvested balance as of March 31, 2024 5,342,012 $ 10.34 |
Schedule of Share-Based Compensation Expense by Line Item in the Consolidated Statements of Operations | The stock-based compensation expense by line item in the condensed consolidated statements of operations is summarized as follows (in thousands): Three Months Ended March 31, 2024 2023 Cost of revenue Subscription and other platform $ 668 $ 785 Professional services 121 152 Total cost of revenue 789 937 Sales and marketing 3,058 3,057 Research and development 2,128 2,021 General and administrative 4,362 4,106 Total stock-based compensation expense $ 10,337 $ 10,121 |
Schedule of Unrecognized Stock-Based Compensation Expenses | The following table presents the unrecognized stock-based compensation expense and weighted-average recognition periods as of March 31, 2024 (in thousands, except years): Stock Option Restricted Stock ESPP Unrecognized stock-based compensation expense $ 7,790 $ 46,337 $ 33 Weighted-average amortization period 0.71 years 2.01 years 0.12 years |
Other Income, Net (Tables)
Other Income, Net (Tables) | 3 Months Ended |
Mar. 31, 2024 | |
Other Income and Expenses [Abstract] | |
Schedule of Other Income, Net | Other income, net consisted of the following for the periods presented (in thousands): Three Months Ended March 31, 2024 2023 Interest income $ (855) $ (958) Accretion on marketable securities (1,507) (1,826) Foreign currency losses 87 265 Other (2) (53) Other income, net $ (2,277) $ (2,572) |
Income Taxes (Tables)
Income Taxes (Tables) | 3 Months Ended |
Mar. 31, 2024 | |
Income Tax Disclosure [Abstract] | |
Schedule of Income Tax Expense (Benefit) | The Company’s provision for income taxes were as follows (in thousands): Three Months Ended March 31, 2024 2023 Provision for income taxes $ 495 $ 196 |
Net Loss Per Share (Tables)
Net Loss Per Share (Tables) | 3 Months Ended |
Mar. 31, 2024 | |
Earnings Per Share [Abstract] | |
Schedule of Computation of Basic and Diluted Net Loss Per Share | The following tables set forth the computation of basic and diluted net loss per share for the periods presented (in thousands, except share and per share data): Three Months Ended March 31, 2024 2023 Net loss $ (10,703) $ (17,590) Net loss per share of common stock, basic and diluted $ (0.26) $ (0.37) Weighted-average common stock outstanding, basic and diluted 41,313,674 47,304,983 |
Schedule of Potential Shares of Common Stock Excluded from Computation of Diluted Net Loss Per Share | T he following table sets forth the potential shares of common stock that were excluded from the computation of diluted net loss per share for the periods presented because including them would have been antidilutive: Three Months Ended March 31, 2024 2023 Stock options 6,604,136 7,523,406 Restricted stock units 5,342,012 4,851,711 Performance stock units 413,568 341,404 ESPP purchase rights 77,134 99,235 Total antidilutive securities 12,436,850 12,815,756 |
Restructuring (Tables)
Restructuring (Tables) | 3 Months Ended |
Mar. 31, 2024 | |
Restructuring and Related Activities [Abstract] | |
Schedule of Restructuring Costs | The following table summarizes the restructuring costs, which primarily include severance and one-time termination benefits, in the condensed consolidated statements of operations (in thousands): Three Months Ended March 31, 2024 2023 Cost of revenue Subscription and other platform $ 192 $ 785 Professional services 12 54 Total cost of revenue 204 839 Sales and marketing 675 1,211 Research and development 112 773 General and administrative 190 230 Total restructuring costs $ 1,181 $ 3,053 |
Revenue - Schedule of Disaggreg
Revenue - Schedule of Disaggregation of Revenue by Geographic Region (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2024 | Mar. 31, 2023 | |
Disaggregation Of Revenue [Line Items] | ||
Total revenue | $ 37,727 | $ 43,063 |
United States | ||
Disaggregation Of Revenue [Line Items] | ||
Total revenue | 29,112 | 33,332 |
EMEA | ||
Disaggregation Of Revenue [Line Items] | ||
Total revenue | 6,421 | 6,864 |
Other | ||
Disaggregation Of Revenue [Line Items] | ||
Total revenue | $ 2,194 | $ 2,867 |
Revenue - Foreign Countries Or
Revenue - Foreign Countries Or Customers Which Contributed 10% or more of Total Revenue or Accounts Receivable (Detail) | 3 Months Ended | 12 Months Ended | |
Mar. 31, 2024 country customer | Mar. 31, 2023 country customer | Dec. 31, 2023 customer | |
Disaggregation Of Revenue [Line Items] | |||
Number of foreign countries who accounted for 10% or more | country | 0 | 0 | |
Customers Representing Concentration Risk | Revenue | Customer Concentration Risk | |||
Disaggregation Of Revenue [Line Items] | |||
Number of customers who accounted for 10% or more | 0 | 0 | |
Percentage of concentration risk | 10% | 10% | |
Customers Representing Concentration Risk | Accounts Receivable Benchmark | Customer Concentration Risk | |||
Disaggregation Of Revenue [Line Items] | |||
Number of customers who accounted for 10% or more | 0 | 0 | |
Percentage of concentration risk | 10% | 10% |
Revenue - Contract Balances (De
Revenue - Contract Balances (Details) $ in Millions | 3 Months Ended |
Mar. 31, 2024 USD ($) | |
Revenue from Contract with Customer [Abstract] | |
Revenue recognized related to deferred revenue | $ 30.9 |
Revenue - Remaining Performance
Revenue - Remaining Performance Obligations (Details) $ in Millions | Mar. 31, 2024 USD ($) |
Disaggregation Of Revenue [Line Items] | |
Remaining performance obligation | $ 127.5 |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date: 2024-04-01 | |
Disaggregation Of Revenue [Line Items] | |
Remaining performance obligation percentage | 77% |
Revenue remaining performance obligation, expected timing of satisfaction period | 12 months |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date: 2025-04-01 | |
Disaggregation Of Revenue [Line Items] | |
Revenue remaining performance obligation, expected timing of satisfaction period | |
Billed Consideration | |
Disaggregation Of Revenue [Line Items] | |
Remaining performance obligation | $ 73.5 |
Unbilled Consideration | |
Disaggregation Of Revenue [Line Items] | |
Remaining performance obligation | $ 54 |
Revenue - Costs to Obtain a Con
Revenue - Costs to Obtain a Contract (Details) - USD ($) | 3 Months Ended | |
Mar. 31, 2024 | Mar. 31, 2023 | |
Disaggregation Of Revenue [Line Items] | ||
Capitalized contract cost, amortization period | 5 years | |
Amortization of deferred contract acquisition costs | $ 3,843,000 | $ 3,893,000 |
Impairment losses of deferred contract acquisition costs | 0 | 0 |
Sales and marketing | ||
Disaggregation Of Revenue [Line Items] | ||
Amortization of deferred contract acquisition costs | $ 3,800,000 | $ 3,900,000 |
Marketable Securities - Schedul
Marketable Securities - Schedule of Marketable Securities (Details) - USD ($) $ in Thousands | Mar. 31, 2024 | Dec. 31, 2023 |
Marketable securities | ||
Amortized Cost | $ 177,990 | $ 145,271 |
Gross Unrealized Gains | 26 | 271 |
Gross Unrealized Losses | (250) | (45) |
Fair Value | 177,766 | 145,497 |
U.S. Treasury securities | ||
Marketable securities | ||
Amortized Cost | 176,264 | 135,850 |
Gross Unrealized Gains | 25 | 271 |
Gross Unrealized Losses | (250) | (40) |
Fair Value | 176,039 | 136,081 |
U.S. Agency securities | ||
Marketable securities | ||
Amortized Cost | 1,726 | 5,906 |
Gross Unrealized Gains | 1 | 0 |
Gross Unrealized Losses | 0 | (3) |
Fair Value | $ 1,727 | 5,903 |
Corporate debt securities | ||
Marketable securities | ||
Amortized Cost | 1,696 | |
Gross Unrealized Gains | 0 | |
Gross Unrealized Losses | (1) | |
Fair Value | 1,695 | |
Commercial paper | ||
Marketable securities | ||
Amortized Cost | 1,819 | |
Gross Unrealized Gains | 0 | |
Gross Unrealized Losses | (1) | |
Fair Value | $ 1,818 |
Marketable Securities - Sched_2
Marketable Securities - Schedule of Marketable Securities in an Unrealized Loss Position (Details) - USD ($) $ in Thousands | Mar. 31, 2024 | Dec. 31, 2023 |
Marketable securities | ||
Marketable securities in a continuous loss position for less than 12 months | $ 148,341 | $ 67,839 |
Marketable securities in a continuous loss position for less than 12 months, Gross Unrealized Loss | (250) | (45) |
Marketable securities in a continuous loss position for 12 months or more | 0 | 0 |
Marketable securities in a continuous loss position for 12 months or more, Gross Unrealized Loss | 0 | 0 |
Marketable securities in a continuous loss position | 148,341 | 67,839 |
Marketable securities in a continuous loss position, Gross Unrealized Loss | (250) | (45) |
U.S. Treasury securities | ||
Marketable securities | ||
Marketable securities in a continuous loss position for less than 12 months | 148,341 | 60,150 |
Marketable securities in a continuous loss position for less than 12 months, Gross Unrealized Loss | (250) | (40) |
Marketable securities in a continuous loss position for 12 months or more | 0 | 0 |
Marketable securities in a continuous loss position for 12 months or more, Gross Unrealized Loss | 0 | 0 |
Marketable securities in a continuous loss position | 148,341 | 60,150 |
Marketable securities in a continuous loss position, Gross Unrealized Loss | $ (250) | (40) |
U.S. Agency securities | ||
Marketable securities | ||
Marketable securities in a continuous loss position for less than 12 months | 4,176 | |
Marketable securities in a continuous loss position for less than 12 months, Gross Unrealized Loss | (3) | |
Marketable securities in a continuous loss position for 12 months or more | 0 | |
Marketable securities in a continuous loss position for 12 months or more, Gross Unrealized Loss | 0 | |
Marketable securities in a continuous loss position | 4,176 | |
Marketable securities in a continuous loss position, Gross Unrealized Loss | (3) | |
Corporate debt securities | ||
Marketable securities | ||
Marketable securities in a continuous loss position for less than 12 months | 1,695 | |
Marketable securities in a continuous loss position for less than 12 months, Gross Unrealized Loss | (1) | |
Marketable securities in a continuous loss position for 12 months or more | 0 | |
Marketable securities in a continuous loss position for 12 months or more, Gross Unrealized Loss | 0 | |
Marketable securities in a continuous loss position | 1,695 | |
Marketable securities in a continuous loss position, Gross Unrealized Loss | (1) | |
Commercial paper | ||
Marketable securities | ||
Marketable securities in a continuous loss position for less than 12 months | 1,818 | |
Marketable securities in a continuous loss position for less than 12 months, Gross Unrealized Loss | (1) | |
Marketable securities in a continuous loss position for 12 months or more | 0 | |
Marketable securities in a continuous loss position for 12 months or more, Gross Unrealized Loss | 0 | |
Marketable securities in a continuous loss position | 1,818 | |
Marketable securities in a continuous loss position, Gross Unrealized Loss | $ (1) |
Marketable Securities - Additio
Marketable Securities - Additional Information (Details) - USD ($) | 3 Months Ended | |
Mar. 31, 2024 | Mar. 31, 2023 | |
Marketable Securities [Abstract] | ||
Credit loss recognized related to available for sale debt securities | $ 0 | $ 0 |
Marketable Securities - Sched_3
Marketable Securities - Schedule of Remaining Contractual Maturities of Marketable Securities (Details) - USD ($) $ in Thousands | Mar. 31, 2024 | Dec. 31, 2023 |
Marketable Securities (Available For Sale) Maturities [Abstract] | ||
One year or less | $ 128,623 | |
Over one year through three years | 49,143 | |
Total marketable securities | $ 177,766 | $ 145,497 |
Fair Value Measurement - Schedu
Fair Value Measurement - Schedule of Financial Instruments Recorded at Fair Value on Recurring Basis (Details) - USD ($) $ in Thousands | Mar. 31, 2024 | Dec. 31, 2023 |
Fair Value (Recurring) [Line Items] | ||
Fair Value | $ 177,766 | $ 145,497 |
U.S. Treasury securities | ||
Fair Value (Recurring) [Line Items] | ||
Fair Value | 176,039 | 136,081 |
U.S. Agency securities | ||
Fair Value (Recurring) [Line Items] | ||
Fair Value | 1,727 | 5,903 |
Corporate debt securities | ||
Fair Value (Recurring) [Line Items] | ||
Fair Value | 1,695 | |
Commercial paper | ||
Fair Value (Recurring) [Line Items] | ||
Fair Value | 1,818 | |
Fair Value Measurements Recurring | ||
Fair Value (Recurring) [Line Items] | ||
Cash equivalents - money market mutual funds | 8,798 | 33,952 |
Total cash equivalents and marketable securities | 186,564 | 179,449 |
Fair Value Measurements Recurring | Level 1 | ||
Fair Value (Recurring) [Line Items] | ||
Cash equivalents - money market mutual funds | 8,798 | 33,952 |
Total cash equivalents and marketable securities | 8,798 | 33,952 |
Fair Value Measurements Recurring | Level 2 | ||
Fair Value (Recurring) [Line Items] | ||
Cash equivalents - money market mutual funds | 0 | 0 |
Total cash equivalents and marketable securities | 177,766 | 145,497 |
Fair Value Measurements Recurring | Level 3 | ||
Fair Value (Recurring) [Line Items] | ||
Cash equivalents - money market mutual funds | 0 | 0 |
Total cash equivalents and marketable securities | 0 | 0 |
Fair Value Measurements Recurring | U.S. Treasury securities | ||
Fair Value (Recurring) [Line Items] | ||
Fair Value | 176,039 | 136,081 |
Fair Value Measurements Recurring | U.S. Treasury securities | Level 1 | ||
Fair Value (Recurring) [Line Items] | ||
Fair Value | 0 | 0 |
Fair Value Measurements Recurring | U.S. Treasury securities | Level 2 | ||
Fair Value (Recurring) [Line Items] | ||
Fair Value | 176,039 | 136,081 |
Fair Value Measurements Recurring | U.S. Treasury securities | Level 3 | ||
Fair Value (Recurring) [Line Items] | ||
Fair Value | 0 | 0 |
Fair Value Measurements Recurring | U.S. Agency securities | ||
Fair Value (Recurring) [Line Items] | ||
Fair Value | 1,727 | 5,903 |
Fair Value Measurements Recurring | U.S. Agency securities | Level 1 | ||
Fair Value (Recurring) [Line Items] | ||
Fair Value | 0 | 0 |
Fair Value Measurements Recurring | U.S. Agency securities | Level 2 | ||
Fair Value (Recurring) [Line Items] | ||
Fair Value | 1,727 | 5,903 |
Fair Value Measurements Recurring | U.S. Agency securities | Level 3 | ||
Fair Value (Recurring) [Line Items] | ||
Fair Value | $ 0 | 0 |
Fair Value Measurements Recurring | Corporate debt securities | ||
Fair Value (Recurring) [Line Items] | ||
Fair Value | 1,695 | |
Fair Value Measurements Recurring | Corporate debt securities | Level 1 | ||
Fair Value (Recurring) [Line Items] | ||
Fair Value | 0 | |
Fair Value Measurements Recurring | Corporate debt securities | Level 2 | ||
Fair Value (Recurring) [Line Items] | ||
Fair Value | 1,695 | |
Fair Value Measurements Recurring | Corporate debt securities | Level 3 | ||
Fair Value (Recurring) [Line Items] | ||
Fair Value | 0 | |
Fair Value Measurements Recurring | Commercial paper | ||
Fair Value (Recurring) [Line Items] | ||
Fair Value | 1,818 | |
Fair Value Measurements Recurring | Commercial paper | Level 1 | ||
Fair Value (Recurring) [Line Items] | ||
Fair Value | 0 | |
Fair Value Measurements Recurring | Commercial paper | Level 2 | ||
Fair Value (Recurring) [Line Items] | ||
Fair Value | 1,818 | |
Fair Value Measurements Recurring | Commercial paper | Level 3 | ||
Fair Value (Recurring) [Line Items] | ||
Fair Value | $ 0 |
Balance Sheets Components - Sch
Balance Sheets Components - Schedule of Property and Equipment, Net (Details) - USD ($) $ in Thousands | Mar. 31, 2024 | Dec. 31, 2023 |
Property Plant And Equipment [Line Items] | ||
Property and equipment, gross, finance lease | $ 38,055 | $ 38,112 |
Less: Accumulated depreciation and amortization | (31,925) | (32,741) |
Property and equipment, finance lease, net | 6,130 | 5,371 |
Computer, equipment and software | ||
Property Plant And Equipment [Line Items] | ||
Property and equipment, gross, finance lease | 33,168 | 33,220 |
Property and equipment, finance leases | 400 | 1,700 |
Accumulated amortization, finance lease | 400 | 1,600 |
Furniture and fixtures | ||
Property Plant And Equipment [Line Items] | ||
Property and equipment, gross | 1,089 | 1,091 |
Leasehold improvements | ||
Property Plant And Equipment [Line Items] | ||
Property and equipment, gross | $ 3,798 | $ 3,801 |
Balance Sheets Components - Add
Balance Sheets Components - Additional Information (Details) - USD ($) $ in Millions | 3 Months Ended | |
Mar. 31, 2024 | Mar. 31, 2023 | |
Balance Sheet Related Disclosures [Abstract] | ||
Depreciation and amortization expense for property and equipment | $ 1.1 | $ 1.3 |
Balance Sheets Components - S_2
Balance Sheets Components - Schedule of Property and Equipment, Net of Depreciation and Amortization, by Geographic Region (Details) - USD ($) $ in Thousands | Mar. 31, 2024 | Dec. 31, 2023 |
Property Plant And Equipment [Line Items] | ||
Total property and equipment, finance lease, net | $ 6,130 | $ 5,371 |
United States | ||
Property Plant And Equipment [Line Items] | ||
Total property and equipment, finance lease, net | 5,819 | 5,069 |
EMEA | ||
Property Plant And Equipment [Line Items] | ||
Total property and equipment, finance lease, net | 298 | 284 |
Other | ||
Property Plant And Equipment [Line Items] | ||
Total property and equipment, finance lease, net | $ 13 | $ 18 |
Balance Sheets Components - S_3
Balance Sheets Components - Schedule of Accrued and Other Current Liabilities (Details) - USD ($) $ in Thousands | Mar. 31, 2024 | Dec. 31, 2023 |
Balance Sheet Related Disclosures [Abstract] | ||
Accrued compensation and benefits | $ 4,507 | $ 4,223 |
Accrued bonus and commissions | 3,091 | 7,095 |
Other | 5,961 | 5,589 |
Accrued and other current liabilities | $ 13,559 | $ 16,907 |
Intangible Assets - Acquired In
Intangible Assets - Acquired Intangible Assets (Details) - USD ($) $ in Thousands | Mar. 31, 2024 | Dec. 31, 2023 |
Acquired Finite-Lived Intangible Assets [Line Items] | ||
Total, Gross Carrying Amount | $ 2,185 | $ 2,303 |
Total, Accumulated Amortization | (1,083) | (998) |
Total, Net Carrying Amount | 1,102 | 1,305 |
Developed technology | ||
Acquired Finite-Lived Intangible Assets [Line Items] | ||
Developed technology, before foreign currency translation, Gross Carrying Amount | 2,700 | 2,700 |
Developed technology, before foreign currency translation, Accumulated Amortization | (1,130) | (992) |
Developed technology, before foreign currency translation, Net Carrying Amount | 1,570 | 1,708 |
Effect of foreign currency translation | ||
Acquired Finite-Lived Intangible Assets [Line Items] | ||
Effect of foreign currency translation, Gross Carrying Amount | (515) | (397) |
Effect of foreign currency translation, Accumulated Amortization | 47 | (6) |
Effect of foreign currency translation, Net Carrying Amount | $ (468) | $ (403) |
Intangible Assets - Additional
Intangible Assets - Additional Information (Details) - USD ($) $ in Millions | 3 Months Ended | |
Mar. 31, 2024 | Mar. 31, 2023 | |
Goodwill and Intangible Assets Disclosure [Abstract] | ||
Useful life | 4 years | |
Remaining amortization period | 2 years | |
Amortization expense | $ 0.1 | $ 0.1 |
Intangible Assets - Future Amor
Intangible Assets - Future Amortization Expense (Details) - USD ($) $ in Thousands | Mar. 31, 2024 | Dec. 31, 2023 |
Goodwill and Intangible Assets Disclosure [Abstract] | ||
Remainder 2024 | $ 411 | |
2025 | 546 | |
2026 | 145 | |
Total, Net Carrying Amount | $ 1,102 | $ 1,305 |
Credit Facility- Revolving Line
Credit Facility- Revolving Line of Credit (Details) - USD ($) | 1 Months Ended | ||
Sep. 30, 2021 | Mar. 31, 2024 | Dec. 31, 2023 | |
Revolving Line of Credit | |||
Debt Instrument [Line Items] | |||
Maximum borrowing capacity | $ 50,000,000 | ||
Credit facility, amount outstanding | $ 0 | ||
Borrowing capacity | $ 50,000,000 | ||
Percentage of unused facility fee to be paid quarterly | 0.15% | ||
Current portion of total borrowing amount, subject to debt to EBITDA ratio, financial covenant | $ 5,000,000 | ||
Revolving Line of Credit | Prime Rate | |||
Debt Instrument [Line Items] | |||
Debt instrument, interest rate | 8.50% | 8.50% | |
Letter of Credit | |||
Debt Instrument [Line Items] | |||
Maximum borrowing capacity | 4,000,000 | ||
Letter of Credit | Property Lease Guarantee | |||
Debt Instrument [Line Items] | |||
Letters of credit outstanding, amount | $ 1,200,000 | ||
Credit Card Sublimit | |||
Debt Instrument [Line Items] | |||
Maximum borrowing capacity | 1,000,000 | ||
Revolving Credit Facility with at least $100 million deposit | |||
Debt Instrument [Line Items] | |||
Maximum borrowing capacity | 50,000,000 | ||
Revolving Credit Facility with at least $100 million deposit | Minimum | Bank Deposits | |||
Debt Instrument [Line Items] | |||
Cash to be maintained per agreement | 100,000,000 | ||
Revolving Credit Facility with less than $100 million deposit | |||
Debt Instrument [Line Items] | |||
Maximum borrowing capacity | $ 50,000,000 | ||
Recurring revenue trailing period | 5 months | ||
Revolving Credit Facility with less than $100 million deposit | Maximum | Bank Deposits | |||
Debt Instrument [Line Items] | |||
Cash to be maintained per agreement | $ 100,000,000 |
Commitment and Contingencies -
Commitment and Contingencies - Unrecorded Purchase Obligations (Details) $ in Thousands | Mar. 31, 2024 USD ($) |
Commitments and Contingencies Disclosure [Abstract] | |
Remainder 2024 | $ 2,089 |
2025 | 1,852 |
2026 | 1,108 |
2027 | 115 |
Total | $ 5,164 |
Commitment and Contingencies _2
Commitment and Contingencies - Recorded Purchase Obligations (Details) $ in Millions | Mar. 31, 2024 USD ($) |
Software License Fees | |
Recorded Unconditional Purchase Obligation [Line Items] | |
Recognized purchase commitments | $ 2 |
Commitment and Contingencies _3
Commitment and Contingencies - Contingencies and Legal Proceedings (Details) - USD ($) | Mar. 31, 2024 | Dec. 31, 2023 |
Consolidated Putative Class Action | Pending Litigation | ||
Loss Contingencies [Line Items] | ||
Accrued litigation expense | $ 0 | |
Sales and Use Tax Assessments | ||
Loss Contingencies [Line Items] | ||
Accrual loss contingency | 0 | $ 0 |
Minimum | Sales and Use Tax Assessments | ||
Loss Contingencies [Line Items] | ||
Loss contingency, estimate of possible loss | 0 | |
Maximum | Sales and Use Tax Assessments | ||
Loss Contingencies [Line Items] | ||
Loss contingency, estimate of possible loss | $ 400,000 |
Stockholders_ Equity and Equi_3
Stockholders’ Equity and Equity Incentive Plan - Preferred Stock (Details) - Undesignated Preferred Stock | Feb. 05, 2021 $ / shares shares |
Class Of Stock [Line Items] | |
Undesignated preferred stock shares authorized (in shares) | shares | 10,000,000 |
Undesignated preferred stock par value (in dollars per share) | $ / shares | $ 0.0001 |
Stockholders_ Equity and Equi_4
Stockholders’ Equity and Equity Incentive Plan- Common Stock (Details) | Feb. 05, 2021 vote $ / shares shares | Mar. 31, 2024 $ / shares shares | Dec. 31, 2023 $ / shares shares |
Class Of Stock [Line Items] | |||
Common stock, authorized (in shares) | 500,000,000 | 500,000,000 | |
Common stock, par value (in dollars per share) | $ / shares | $ 0.0001 | $ 0.0001 | $ 0.0001 |
Number of votes per share | vote | 1 | ||
Common Stock | |||
Class Of Stock [Line Items] | |||
Common stock, authorized (in shares) | 500,000,000 |
Stockholders_ Equity and Equi_5
Stockholders’ Equity and Equity Incentive Plan - Common Stock Reserved for Future Issuance (Details) - shares | Jan. 01, 2024 | Mar. 31, 2024 | Dec. 31, 2023 |
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |||
Stock options outstanding (in shares) | 6,604,136 | 6,974,082 | |
Number of shares available for future issuance (in shares) | 20,161,921 | ||
2021 Equity Incentive Plan | |||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |||
Common stock, shares available for grant (in shares) | 5,572,289 | ||
Number of additional shares authorized (in shares) | 2,059,466 | ||
2021 Employee Stock Purchase Plan | Employee Stock | |||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |||
Common stock, shares available for grant (in shares) | 2,229,916 | ||
Number of additional shares authorized (in shares) | 411,893 | ||
Restricted Stock | |||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |||
Restricted stock outstanding (in shares) | 5,755,580 |
Stockholders_ Equity and Equi_6
Stockholders’ Equity and Equity Incentive Plan - Repurchase of Common Stock - Narrative (Details) - USD ($) $ in Thousands | 1 Months Ended | 3 Months Ended | 12 Months Ended | ||
May 08, 2024 | Mar. 31, 2024 | Mar. 31, 2024 | Mar. 31, 2023 | Feb. 15, 2024 | |
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |||||
Stock repurchased during period, value | $ 5,270 | $ 10,720 | |||
Capital return program period, value | $ 125,000 | ||||
Number of shares repurchased (in shares) | 702,620 | 1,279,127 | |||
Stock Repurchase | |||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |||||
Stock repurchased during period, value | $ 75,000 | ||||
2024 Repurchase Program | |||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |||||
Share repurchase program, authorized amount | $ 25,000 | $ 25,000 | |||
Stock repurchase program, term | 12 months | ||||
Amount available for future share repurchases | $ 25,000 | $ 25,000 | |||
2024 Repurchase Program | Subsequent Event | |||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |||||
Number of shares repurchased (in shares) | 0 |
Stockholders_ Equity and Equi_7
Stockholders’ Equity and Equity Incentive Plan - Repurchase of Common Stock - Table (Details) - USD ($) $ / shares in Units, $ in Thousands | 3 Months Ended | |
Mar. 31, 2024 | Mar. 31, 2023 | |
Equity [Abstract] | ||
Number of shares repurchased (in shares) | 702,620 | 1,279,127 |
Average price per share, including commissions (in dollars per share) | $ 7.50 | $ 8.38 |
Total repurchase costs, including commissions | $ 5,270 | $ 10,720 |
Stockholders_ Equity and Equi_8
Stockholders’ Equity and Equity Incentive Plan - Schedule of Stock Options (Details) $ / shares in Units, $ in Thousands | 3 Months Ended |
Mar. 31, 2024 USD ($) $ / shares shares | |
Number of Shares | |
Beginning balance (in shares) | shares | 6,974,082 |
Granted (in shares) | shares | 0 |
Exercised (in shares) | shares | (314,181) |
Cancelled and forfeited (in shares) | shares | (55,765) |
Ending balance (in shares) | shares | 6,604,136 |
Vested and exercisable (in shares) | shares | 6,186,093 |
Weighted- Average Exercise Price | |
Beginning balance (in dollars per share) | $ / shares | $ 5.98 |
Granted (in dollars per share) | $ / shares | 0 |
Exercised (in dollars per share) | $ / shares | 1.71 |
Cancelled and forfeited (in dollars per share) | $ / shares | 13.51 |
Ending Balance (in dollars per share) | $ / shares | 6.76 |
Vested and exercisable (in dollars per share) | $ / shares | $ 6.12 |
Ending balance, weighted average remaining contractual life | 4 years 8 months 26 days |
Vested and exercisable, weighted average remaining contractual life | 4 years 7 months 9 days |
Exercised, aggregate intrinsic value | $ | $ 1,849 |
Outstanding ending balance, aggregate intrinsic value | $ | 22,607 |
Vested and exercisable, aggregate intrinsic value | $ | $ 22,440 |
Stockholders_ Equity and Equi_9
Stockholders’ Equity and Equity Incentive Plan - Schedule of RSU Activity Under Equity Incentive Plans and Related Information (Details) - Restricted Stock Units | 3 Months Ended |
Mar. 31, 2024 $ / shares shares | |
Number of Shares | |
Unvested beginning balance (in shares) | shares | 5,952,386 |
Granted (in shares) | shares | 395,000 |
Vested (in shares) | shares | (870,662) |
Cancelled and forfeited (in shares) | shares | (134,712) |
Unvested ending balance (in shares) | shares | 5,342,012 |
Weighted-Average Grant Date Fair Value | |
Unvested beginning balance (in dollars per share) | $ / shares | $ 10.89 |
Granted (in dollars per share) | $ / shares | 7.79 |
Vested (in dollars per share) | $ / shares | 12.31 |
Cancelled and forfeited (in dollars per share) | $ / shares | 12.26 |
Unvested ending balance (in dollars per share) | $ / shares | $ 10.34 |
Stockholders_ Equity and Equ_10
Stockholders’ Equity and Equity Incentive Plan - Restricted Stock Units (Details) - USD ($) $ in Millions | 3 Months Ended | |
Mar. 31, 2024 | Mar. 31, 2023 | |
Restricted Stock Units | ||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | ||
Total fair value of RSU vested | $ 10.7 | $ 7.8 |
Stockholders_ Equity and Equ_11
Stockholders’ Equity and Equity Incentive Plan - Restricted Stock Unit with Performance Conditions (Details) - Executive Officer - Market-performance based restricted stock units - Share-based Payment Arrangement, Employee - USD ($) $ in Millions | 1 Months Ended | 3 Months Ended | 12 Months Ended | 18 Months Ended | |
May 31, 2023 | Jun. 30, 2023 | Dec. 31, 2022 | Mar. 31, 2024 | Mar. 31, 2024 | |
PSUs Granted in Fourth Quarter 2022 | |||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |||||
Granted (in shares) | 341,404 | ||||
Grant date fair value | $ 4.2 | ||||
Requisite service period | 3 years | ||||
Maximum payout range (as a percentage) | 200% | ||||
Performance periods, maximum earned PSUs cap | 2 years | ||||
Anti-dilution adjustment (in shares) | 54,167 | ||||
Number of shares vested (in shares) | 75,976 | ||||
PSUs Granted in Fourth Quarter 2022 | Share-Based Payment Arrangement, Tranche One | |||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |||||
Award vesting percentage | 33.33% | ||||
Maximum payout range (as a percentage) | 125% | ||||
PSUs Granted in Fourth Quarter 2022 | Share-Based Payment Arrangement, Tranche Two | |||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |||||
Award vesting percentage | 33.33% | ||||
Maximum payout range (as a percentage) | 125% | ||||
PSUs Granted in Fourth Quarter 2022 | Share-Based Payment Arrangement, Tranche Three | |||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |||||
Award vesting percentage | 33.34% | ||||
PSUs Granted in Fourth Quarter 2022 | Minimum | |||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |||||
Payout range (as a percentage) | 0% | ||||
PSUs Granted in Fourth Quarter 2022 | Maximum | |||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |||||
Payout range (as a percentage) | 200% | ||||
PSUs Granted in Second Quarter 2023 | |||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |||||
Granted (in shares) | 203,000 | ||||
Grant date fair value | $ 2.5 | ||||
Requisite service period | 3 years | ||||
Maximum payout range (as a percentage) | 200% | ||||
Performance periods, maximum earned PSUs cap | 2 years | ||||
Anti-dilution adjustment (in shares) | 32,204 | ||||
Number of shares vested (in shares) | 47,819 | ||||
PSUs Granted in Second Quarter 2023 | Share-Based Payment Arrangement, Tranche One | |||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |||||
Award vesting percentage | 33.33% | ||||
Maximum payout range (as a percentage) | 125% | ||||
PSUs Granted in Second Quarter 2023 | Share-Based Payment Arrangement, Tranche Two | |||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |||||
Award vesting percentage | 33.33% | ||||
Maximum payout range (as a percentage) | 125% | ||||
PSUs Granted in Second Quarter 2023 | Share-Based Payment Arrangement, Tranche Three | |||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |||||
Award vesting percentage | 33.34% | ||||
PSUs Granted in Second Quarter 2023 | Minimum | |||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |||||
Payout range (as a percentage) | 0% | ||||
PSUs Granted in Second Quarter 2023 | Maximum | |||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |||||
Payout range (as a percentage) | 200% |
Stockholders_ Equity and Equ_12
Stockholders’ Equity and Equity Incentive Plan - Schedule of Share-based Compensation Expense by line item in the Condensed Consolidated Statements of Operations (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2024 | Mar. 31, 2023 | |
Class Of Stock [Line Items] | ||
Stock-based compensation expense | $ 10,337 | $ 10,121 |
Cost of revenue | ||
Class Of Stock [Line Items] | ||
Stock-based compensation expense | 789 | 937 |
Cost of revenue | Subscription and other platform | ||
Class Of Stock [Line Items] | ||
Stock-based compensation expense | 668 | 785 |
Cost of revenue | Professional services | ||
Class Of Stock [Line Items] | ||
Stock-based compensation expense | 121 | 152 |
Sales and marketing | ||
Class Of Stock [Line Items] | ||
Stock-based compensation expense | 3,058 | 3,057 |
Research and development | ||
Class Of Stock [Line Items] | ||
Stock-based compensation expense | 2,128 | 2,021 |
General and administrative | ||
Class Of Stock [Line Items] | ||
Stock-based compensation expense | $ 4,362 | $ 4,106 |
Stockholders_ Equity and Equ_13
Stockholders’ Equity and Equity Incentive Plan - Schedule of Unrecognized Stock-based Compensation Expense (Details) $ in Thousands | 3 Months Ended |
Mar. 31, 2024 USD ($) | |
Employee Stock | |
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |
Unrecognized stock-based compensation expense | $ 33 |
Weighted-average amortization period | 1 month 13 days |
Stock options | |
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |
Unrecognized stock-based compensation expense | $ 7,790 |
Weighted-average amortization period | 8 months 15 days |
Restricted Stock | |
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |
Unrecognized stock-based compensation expense | $ 46,337 |
Weighted-average amortization period | 2 years 3 days |
Other Income, Net (Details)
Other Income, Net (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2024 | Mar. 31, 2023 | |
Other Income and Expenses [Abstract] | ||
Interest income | $ (855) | $ (958) |
Accretion on marketable securities | (1,507) | (1,826) |
Foreign currency losses | 87 | 265 |
Other | (2) | (53) |
Other income, net | $ (2,277) | $ (2,572) |
Income Taxes (Details)
Income Taxes (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2024 | Mar. 31, 2023 | |
Income Tax Disclosure [Abstract] | ||
Provision for income taxes | $ 495 | $ 196 |
Change in provision for (benefit from) income taxes | $ 300 |
Net Loss Per Share - Schedule o
Net Loss Per Share - Schedule of Computation of Basic and Diluted Net Loss Per Share (Details) - USD ($) $ / shares in Units, $ in Thousands | 3 Months Ended | |
Mar. 31, 2024 | Mar. 31, 2023 | |
Basic net income (loss) per share | ||
Net loss | $ (10,703) | $ (17,590) |
Net loss per share of common stock, basic (in dollars per share) | $ (0.26) | $ (0.37) |
Net loss per share of common stock, diluted (in dollars per share) | $ (0.26) | $ (0.37) |
Weighted-average common stock outstanding, basic (in shares) | 41,313,674 | 47,304,983 |
Weighted-average common stock outstanding, diluted (in shares) | 41,313,674 | 47,304,983 |
Net Loss Per Share - Schedule_2
Net Loss Per Share - Schedule of Potential Shares of Common Stock Excluded from Computation of Diluted Net Loss Per Share (Details) - shares | 3 Months Ended | |
Mar. 31, 2024 | Mar. 31, 2023 | |
Antidilutive Securities Excluded From Computation Of Earnings Per Share [Line Items] | ||
Total antidilutive securities (in shares) | 12,436,850 | 12,815,756 |
Stock options | ||
Antidilutive Securities Excluded From Computation Of Earnings Per Share [Line Items] | ||
Total antidilutive securities (in shares) | 6,604,136 | 7,523,406 |
Restricted stock units | ||
Antidilutive Securities Excluded From Computation Of Earnings Per Share [Line Items] | ||
Total antidilutive securities (in shares) | 5,342,012 | 4,851,711 |
Performance stock units | ||
Antidilutive Securities Excluded From Computation Of Earnings Per Share [Line Items] | ||
Total antidilutive securities (in shares) | 413,568 | 341,404 |
ESPP purchase rights | ||
Antidilutive Securities Excluded From Computation Of Earnings Per Share [Line Items] | ||
Total antidilutive securities (in shares) | 77,134 | 99,235 |
Related Party Transactions (Det
Related Party Transactions (Details) - USD ($) $ in Thousands | 3 Months Ended | ||
Mar. 31, 2024 | Mar. 31, 2023 | Dec. 31, 2023 | |
Related Party Transaction [Line Items] | |||
Research and development | $ 9,109 | $ 11,099 | |
Accrued liabilities | 13,559 | $ 16,907 | |
Accounts payable | 1,713 | 1,914 | |
Chief Executive Officer of Third-party Vendor | Accrued Liabilities | |||
Related Party Transaction [Line Items] | |||
Accrued liabilities | 200 | ||
Chief Executive Officer of Third-party Vendor | Accounts Payable | |||
Related Party Transaction [Line Items] | |||
Accounts payable | $ 200 | ||
Research and development | Chief Executive Officer of Third-party Vendor | |||
Related Party Transaction [Line Items] | |||
Research and development | $ 600 | $ 700 |
Restructuring - Schedule of Res
Restructuring - Schedule of Restructuring Costs (Details) - Cost Reduction And Cost Structure Reduction Plans - Severance And One-time Termination Benefits - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2024 | Mar. 31, 2023 | |
Restructuring Cost and Reserve [Line Items] | ||
Severance and Related Charges | $ 1,181 | $ 3,053 |
Cost of revenue | ||
Restructuring Cost and Reserve [Line Items] | ||
Severance and Related Charges | 204 | 839 |
Sales and marketing | ||
Restructuring Cost and Reserve [Line Items] | ||
Severance and Related Charges | 675 | 1,211 |
Research and development | ||
Restructuring Cost and Reserve [Line Items] | ||
Severance and Related Charges | 112 | 773 |
General and administrative | ||
Restructuring Cost and Reserve [Line Items] | ||
Severance and Related Charges | 190 | 230 |
Subscription and other platform | ||
Restructuring Cost and Reserve [Line Items] | ||
Severance and Related Charges | 192 | 785 |
Professional services | ||
Restructuring Cost and Reserve [Line Items] | ||
Severance and Related Charges | $ 12 | $ 54 |
Restructuring - Additional Info
Restructuring - Additional Information (Details) - Severance And One-time Termination Benefits - USD ($) $ in Millions | 3 Months Ended | |||
Mar. 31, 2024 | Mar. 31, 2023 | Jun. 30, 2024 | Dec. 31, 2023 | |
Cost Reduction And Cost Structure Reduction Plans | ||||
Restructuring Cost and Reserve [Line Items] | ||||
Payment for restructuring costs | $ 0.7 | $ 2.4 | ||
Restructuring liability | $ 0.6 | $ 0.1 | ||
Cost Structure Reduction Plan | Minimum | Forecast | ||||
Restructuring Cost and Reserve [Line Items] | ||||
Expected restructuring costs | $ 0.6 | |||
Cost Structure Reduction Plan | Maximum | Forecast | ||||
Restructuring Cost and Reserve [Line Items] | ||||
Expected restructuring costs | $ 0.9 |