Personalis (PSNL) 10-Q 3 May 23 2023 Q1 Quarterly report Financial data

Document And Entity Information

Document And Entity Information - shares	3 Months Ended
	Mar. 31, 2023	Apr. 27, 2023
Cover [Abstract]
Document Type	10-Q
Amendment Flag	false
Document Period End Date	Mar. 31, 2023
Document Fiscal Year Focus	2023
Document Fiscal Period Focus	Q1
Entity Registrant Name	Personalis, Inc.
Entity Central Index Key	0001527753
Current Fiscal Year End Date	--12-31
Entity Filer Category	Non-accelerated Filer
Entity Small Business	true
Entity Emerging Growth Company	false
Entity Common Stock, Shares Outstanding		46,783,757
Entity Current Reporting Status	Yes
Entity Shell Company	false
Entity File Number	001-38943
Entity Incorporation, State or Country Code	DE
Entity Tax Identification Number	27-5411038
Entity Address, Address Line One	6600 Dumbarton Circle
Entity Address, City or Town	Fremont
Entity Address, State or Province	CA
Entity Address, Postal Zip Code	94555
City Area Code	650
Local Phone Number	752-1300
Entity Interactive Data Current	Yes
Document Quarterly Report	true
Document Transition Report	false
Title of 12(b) Security	Common Stock, par value $0.0001
Trading Symbol	PSNL
Security Exchange Name	NASDAQ

CONDENSED CONSOLIDATED BALANCE

CONDENSED CONSOLIDATED BALANCE SHEETS (unaudited) - USD ($) $ in Thousands	Mar. 31, 2023	Dec. 31, 2022
Current assets
Cash and cash equivalents	$ 87,172	$ 89,128
Short-term investments	61,767	78,530
Accounts receivable, net	18,103	16,642
Inventory and other deferred costs	8,219	8,591
Prepaid expenses and other current assets	7,511	6,808
Total current assets	182,772	199,699
Property and equipment, net	61,446	61,935
Operating lease right-of-use assets	23,971	26,480
Other long-term assets	3,991	4,586
Total assets	272,180	292,700
Current liabilities
Accounts payable	10,927	12,854
Accrued and other current liabilities	20,653	19,013
Contract liabilities	2,563	1,264
Total current liabilities	34,143	33,131
Long-term operating lease liabilities	40,309	41,041
Other long-term liabilities	4,096	389
Total liabilities	78,548	74,561
Commitments and Contingencies (Note 9)
Stockholders’ equity
Common stock, $0.0001 par value - 200,000,000 shares authorized; 46,774,490 and 46,707,084 shares issued and outstanding at March 31, 2023 and December 31, 2022, respectively	5	5
Additional paid-in capital	583,151	579,456
Accumulated other comprehensive loss	(455)	(912)
Accumulated deficit	(389,069)	(360,410)
Total stockholders’ equity	193,632	218,139
Total liabilities and stockholders’ equity	$ 272,180	$ 292,700

CONDENSED CONSOLIDATED BALANC_2

CONDENSED CONSOLIDATED BALANCE SHEETS (unaudited) (Parenthetical) - $ / shares	Mar. 31, 2023	Dec. 31, 2022
Statement Of Financial Position [Abstract]
Preferred stock, par value	$ 0.0001	$ 0.0001
Preferred stock, shares authorized	10,000,000	10,000,000
Preferred stock, shares issued	0	0
Common stock, par value	$ 0.0001	$ 0.0001
Common stock, shares authorized	200,000,000	200,000,000
Common stock, shares, issued	46,774,490	46,707,084
Common stock, shares, outstanding	46,774,490	46,707,084

CONDENSED CONSOLIDATED STATEMEN

CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS (unaudited) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2023	Mar. 31, 2022
Income Statement [Abstract]
Revenue	$ 18,860	$ 15,227
Costs and expenses
Cost of revenue	14,130	10,949
Research and development	16,573	17,098
Selling, general and administrative	14,097	15,486
Restructuring and other charges	3,885
Total costs and expenses	48,685	43,533
Loss from operations	(29,825)	(28,306)
Interest income	1,253	144
Interest expense	(47)	(59)
Other income (expense), net	(26)	19
Loss before income taxes	(28,645)	(28,202)
Provision for income taxes	14	7
Net loss	$ (28,659)	$ (28,209)
Net loss per share, basic	$ (0.61)	$ (0.63)
Net loss per share, diluted	$ (0.61)	$ (0.63)
Weighted-average shares outstanding, basic	46,740,270	44,995,752
Weighted-average shares outstanding, diluted	46,740,270	44,995,752

CONDENSED CONSOLIDATED STATEM_2

CONDENSED CONSOLIDATED STATEMENTSOF COMPREHENSIVE LOSS (unaudited) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2023	Mar. 31, 2022
Statement Of Income And Comprehensive Income [Abstract]
Net loss	$ (28,659)	$ (28,209)
Other comprehensive income (loss), net of tax
Foreign currency translation adjustment	28	(8)
Change in unrealized gain (loss) on available-for-sale debt securities	429	(701)
Comprehensive loss	$ (28,202)	$ (28,918)

CONDENSED CONSOLIDATED STATEM_3

CONDENSED CONSOLIDATED STATEMENTS OF STOCKHOLDERS' EQUITY (unaudited) - USD ($) $ in Thousands	Total	Common Stock	Additional Paid-In Capital	Accumulated Other Comprehensive Income (Loss)	Accumulated Deficit
Beginning balance at Dec. 31, 2021	$ 310,301	$ 4	$ 557,558	$ (166)	$ (247,095)
Beginning balance, shares at Dec. 31, 2021		44,904,512
Proceeds from exercise of stock options	516	$ 1	515
Proceeds from exercise of stock options, shares		279,205
Restricted stock units vested, shares		66,370
Stock-based compensation	4,816		4,816
Foreign currency translation adjustment	(8)			(8)
Unrealized gain (loss) on available-for-sale debt securities	(701)			(701)
Net loss	(28,209)				(28,209)
Ending balance at Mar. 31, 2022	286,715	$ 5	562,889	(875)	(275,304)
Ending balance, shares at Mar. 31, 2022		45,250,087
Beginning balance at Dec. 31, 2022	218,139	$ 5	579,456	(912)	(360,410)
Beginning balance, shares at Dec. 31, 2022		46,707,084
Restricted stock units vested, shares		67,406
Stock-based compensation	3,695		3,695
Foreign currency translation adjustment	28			28
Unrealized gain (loss) on available-for-sale debt securities	429			429
Net loss	(28,659)				(28,659)
Ending balance at Mar. 31, 2023	$ 193,632	$ 5	$ 583,151	$ (455)	$ (389,069)
Ending balance, shares at Mar. 31, 2023		46,774,490

CONDENSED CONSOLIDATED STATEM_4

CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS (unaudited) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2023	Mar. 31, 2022
Cash flows from operating activities:
Net loss	$ (28,659)	$ (28,209)
Adjustments to reconcile net loss to net cash used in operating activities
Stock-based compensation expense	3,695	4,816
Depreciation and amortization	2,781	1,774
Noncash operating lease cost	539	2,096
Amortization of premium (discount) on short-term investments	(390)	347
Restructuring and other charges	1,204
Other	144	43
Changes in operating assets and liabilities
Accounts receivable	(1,460)	4,949
Inventory and other deferred costs	262	(2,455)
Prepaid expenses and other assets	(254)	1,720
Accounts payable	(1,407)	1,132
Accrued and other current liabilities	426	3,398
Contract liabilities	4,999	(522)
Operating lease liabilities	2,375	(24)
Other long-term liabilities		(422)
Net cash used in operating activities	(15,745)	(11,357)
Cash flows from investing activities:
Purchases of available-for-sale debt securities	(21,529)	(59,702)
Proceeds from maturities of available-for-sale debt securities	39,100	65,175
Purchases of property and equipment	(3,778)	(8,634)
Net cash provided by (used in) investing activities	13,793	(3,161)
Cash flows from financing activities:
Proceeds from exercise of equity awards		515
Net cash provided by financing activities		515
Effect of exchange rates on cash, cash equivalents and restricted cash	(4)	4
Net change in cash, cash equivalents and restricted cash	(1,956)	(13,999)
Cash, cash equivalents, and restricted cash, beginning of period	90,918	107,375
Cash, cash equivalents and restricted cash, end of period	88,962	93,376
Reconciliation of cash, cash equivalents and restricted cash to the condensed consolidated balance sheets:
Cash and cash equivalents	87,172	91,586
Restricted cash, included in other long-term assets	1,790	1,790
Total cash, cash equivalents and restricted cash	$ 88,962	$ 93,376

Company and Nature of Business

Company and Nature of Business	3 Months Ended
	Mar. 31, 2023
Organization Consolidation And Presentation Of Financial Statements [Abstract]
Company and Nature of Business	Note 1. Company and Nature of Business Personalis, Inc. (the "Company") is a provider of advanced genomic tests for precision oncology and personalized testing. The Company also provides sequencing and data analysis services to support population sequencing initiatives. The Company's genomic tests are sold primarily to pharmaceutical companies, biopharmaceutical companies, diagnostics companies, universities, non-profits, and government entities, while services for population sequencing initiatives are sold primarily to government entities. The principal markets for the Company's services are in the United States and Europe. The Company was incorporated in Delaware in February 2011 and began operations in September 2011. The Company formed a wholly owned subsidiary, Personalis (UK) Ltd., in August 2013 and a wholly owned subsidiary, Shanghai Personalis Biotechnology Co., Ltd., which is referred to as “Personalis (Shanghai) Ltd” herein, in October 2020. Management is in the process of closing its operations in China. Refer to Note 11 for further information. The Company operates and manages its business as one reportable operating segment, which is the sale of sequencing and data analysis services. The Company has incurred losses to date and expects to incur additional losses for the foreseeable future. The Company continues to invest the majority of its resources in the development and growth of its business, including investments in product development and sales and marketing efforts. The Company’s activities have been financed to date primarily through the sale of its equity securities and cash from operations.

Summary of Significant Accounti

Summary of Significant Accounting Policies	3 Months Ended
	Mar. 31, 2023
Accounting Policies [Abstract]
Summary of Significant Accounting Policies	Note 2. Summary of Significant Accounting Policies Basis of Presentation The unaudited condensed consolidated financial statements have been prepared in accordance with accounting principles generally accepted in the United States of America (“U.S. GAAP”) and the applicable rules and regulations of the Securities and Exchange Commission (the “SEC”) regarding interim reporting. Certain information and note disclosures normally included in the financial statements prepared in accordance with U.S. GAAP have been condensed or omitted pursuant to such rules and regulations. As such, the information included in this Quarterly Report on Form 10-Q should be read in conjunction with the consolidated financial statements and accompanying notes included in the Company’s Annual Report on Form 10-K for the fiscal year ended December 31, 2022. The condensed consolidated financial statements include the accounts of Personalis, Inc. and its wholly owned subsidiaries, Personalis (UK) Ltd. and Personalis (Shanghai) Ltd. All intercompany balances and transactions have been eliminated in consolidation. The condensed consolidated financial statements reflect all normal recurring adjustments that are necessary to present fairly the results for the interim periods presented. Interim results are not necessarily indicative of the results for the full year ending December 31, 2023. Use of Estimates The preparation of 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 consolidated financial statements and the reported amounts of revenue and expenses during the reporting period. The estimates include, but are not limited to, useful lives assigned to long-lived assets, discount rates for lease accounting, the valuation of stock options, the valuation of stock-based awards, and provisions for income taxes and contingencies. Actual results could differ from these estimates, and such differences could be material to the Company’s consolidated financial position and results of operations. At-the-Market Equity Offerings In December 2021, the Company entered into an At-the-Market Sales Agreement (the “Sales Agreement”) with BTIG, LLC (“BTIG”) under which it may offer and sell its common stock having aggregate sales proceeds of up to $ 100.0 million from time to time through BTIG as its sales agent. BTIG will use commercially reasonable efforts to sell the Company’s common stock from time to time, based upon instructions from the Company (including any price, time or size limits or other customary parameters or conditions the Company may impose). The Company will pay BTIG a commission of up to 3 % of the gross sales proceeds of any common stock sold through BTIG under the Sales Agreement. The Company is not obligated to make any sales of common stock under the Sales Agreement. No shares of the Company’s common stock have been offered or sold under the Sales Agreement. Concentration of Credit Risk and Other Risks and Uncertainties The Company is subject to credit risk from its portfolio of cash and cash equivalents. The Company’s cash and cash equivalents are deposited with high-quality financial institutions. Deposits at these institutions may, at times, exceed federally insured limits. Management believes these financial institutions are financially sound and, accordingly, that minimal credit risk exists. The Company also invests in investment‑grade debt instruments and has policy limits for the amount it can invest in any one type of security, except for securities issued or guaranteed by the U.S. government. The goals of the Company’s investment policy are as follows: preservation of principal; liquidity of investments sufficient to meet cash flow requirements; avoidance of inappropriate concentration and credit risk; competitive after‑tax rate of returns; and fiduciary control of cash and investments. Under its investment policy, the Company limits the amounts invested in such securities by credit rating, maturity, investment type, and issuer. As a result, management believes that these financial instruments do not expose the Company to any significant concentrations of credit risk. The Company purchases various reagents and sequencing materials from sole source suppliers. Any extended interruption in the supply of these materials could result in the Company’s inability to secure sufficient materials to conduct business and meet customer demand. The Company performs regular reviews of customer activity and associated credit risks and does not require collateral. Historically, the Company has not experienced significant credit losses from accounts receivable. Multiple customers have provided more than 10% of total revenue in the periods presented, or accounted for more than 10% of accounts receivable at each respective balance sheet date, as follows: Revenue Accounts Receivable Three Months Ended March 31, March 31, 2023 December 31, 2022 2023 2022 Natera, Inc. 50 % 27 % 35 % 43 % VA MVP 16 % 23 % 14 % * Pfizer Inc. * 11 % 13 % 10 % GSK plc * * 12 % 12 % * Less than 10 % of revenue or accounts receivable Revenue Recognition The Company applies the revenue recognition guidance in accordance with Financial Accounting Standards Board (“FASB”) Accounting Standards Codification (“ASC”) Topic 606, Revenue from Contracts with Customers (“Topic 606”). Revenue Recognition The revenue guidance provides a five-step framework through which revenue is recognized when control of promised goods or services is transferred to a customer at an amount that reflects the consideration to which the entity expects to be entitled in exchange for those goods or services. To determine revenue recognition for arrangements that the Company concludes are within the scope of Topic 606, management performs the following five steps: (i) identifies the contract(s) with a customer; (ii) identifies the performance obligations in the contract(s); (iii) determines the transaction price, including whether there are any constraints on variable consideration; (iv) allocates the transaction price to the performance obligations; and (v) recognizes revenue when (or as) the Company satisfies a performance obligation. At contract inception, once a contract is determined to be within the scope of the new revenue standard, the Company assesses whether individual goods or services promised within each contract are distinct and, therefore, represent separate performance obligations. The Company derives revenue from the sale of sequencing and data analysis services. The Company's contracts are in the form of a combination of signed agreements, statements of work, and/or purchase orders. The Company accounts for a contract with a customer when there is approval and commitment from both parties, the rights of the parties are identified, payment terms are identified, the contract has commercial substance, and it is probable that the Company will collect substantially all of the consideration to which it will be entitled. The sequencing and data analysis services are the only distinct services that meet the definition of a performance obligation and are accounted for as one performance obligation under Topic 606. The Company recognizes revenue from such services at the point in time when control of the test results is transferred to the customer. The Company has elected to exclude all sales and value added taxes from the measurement of the transaction price. Payment terms and conditions vary by contract and customer. The Company's standard payment terms are typically 90 days or less from the invoice date. In instances where the timing of the Company's revenue recognition differs from the timing of its invoicing, the Company does not assess whether a contract has a significant financing component if the expectation at contract inception is such that the period between payment by the customer and the transfer of the promised services to the customer will be one year or less. After assessing each of its revenue-generating arrangements to determine whether a significant financing component exists, the Company concluded that a significant financing component does not exist in any of its arrangements. The primary purpose of the Company's invoicing terms is to provide customers with simplified and predictable ways of purchasing the Company's services and to provide payment protection for the Company. Practical Expedients and Exemptions As a practical expedient, the Company recognizes the incremental costs of obtaining contracts, such as sales commissions, as an expense when incurred since the amortization period of the asset the Company otherwise would have recognized is one year or less. Sales commissions are recorded within selling, general and administrative expenses in the condensed consolidated statements of operations. Cost of Revenue Cost of revenue consists of raw materials costs, personnel costs (salaries, bonuses, benefits, payroll taxes, and stock-based compensation), laboratory supplies and consumables, depreciation and maintenance on equipment, and allocated facilities and information technology (“IT”) costs. Research and Development Expenses The Company charges research and development costs to expenses as incurred, including lab and automation development costs. The expenses primarily consist of personnel costs (salaries, bonuses, stock-based compensation, payroll taxes, and benefits); laboratory supplies and consumables; costs of processing samples for research, product development, collaborations, and studies; depreciation and maintenance on equipment; and allocated facilities and IT costs. Stock-Based Compensation For options granted to employees, non-employees, and directors, stock-based compensation is measured at grant date based on the fair value of the award. The Company determines the grant-date fair value of options using the Black-Scholes option-pricing model, except for certain performance-based awards for which an alternative valuation method may be used. The Company determines the fair value of restricted stock unit awards using the closing market price of the Company’s common stock on the date of grant. The grant-date fair value of awards is amortized over the employees’ requisite service period on a straight-line basis, or the non-employees’ vesting period as the goods are received or services rendered. Forfeitures are accounted for as they occur. Additionally, the Company’s 2019 Employee Stock Purchase Plan (the “ESPP”) is deemed to be a compensatory plan and therefore is included in stock-based compensation expense. Inputs used in Black-Scholes option-pricing models to measure fair value of options are summarized as follows: Expected Term. The expected term is calculated using the simplified method, which is available if there is insufficient historical data about exercise patterns and post-vesting employment termination behavior. The simplified method is based on the vesting period and the contractual term for each grant, or for each vesting tranche for awards with graded vesting. The midpoint of the vesting date and the contractual expiration date is used as the expected term under this method. For awards with multiple vesting tranches, the assumed period for each tranche is computed separately and then averaged together to determine the expected term for the award. Expected Volatility. The Company used an average historical stock price volatility of a peer group of publicly traded companies to be representative of its expected future stock price volatility, as the Company did not have sufficient trading history for its common stock. For purposes of identifying these peer companies, the Company considered the industry, stage of development, size, and financial leverage of potential comparable companies. For each grant, the Company measured historical volatility over a period equivalent to the expected term. Risk-Free Interest Rate. The risk-free interest rate is based on the implied yield currently available on U.S. Treasury zero-coupon issues with remaining terms equivalent to the expected term of a stock award. Expected Dividend Rate. The Company has no t paid and does not anticipate paying any dividends in the near future. Accordingly, the Company has estimated the dividend yield to be zero . Cash and Cash Equivalents Cash equivalents consist of highly liquid investments with maturities at the time of purchase of three months or less. Cash equivalents include bank demand deposits and money market accounts that invest primarily in cash, U.S. Treasury bills, notes, and other obligations issued or guaranteed as to principal and interest by the U.S. Government, its agencies or instrumentalities, and repurchase agreements secured by such obligations or cash. Cash equivalents also include commercial paper and U.S. Treasury bills, which are marketable debt securities recorded at fair value and accounted for in the same manner as other marketable debt securities described below. Short-term Investments The Company’s investments in marketable debt securities are classified as available-for-sale and recorded at fair value. Investments with original maturities of greater than three months and remaining maturities of less than one year are classified as short-term investments. Investments with maturities beyond one year may be classified as short-term based on their highly liquid nature and because such marketable securities represent the investment of cash that is available for current operations. Short-term investments primarily consist of U.S. Treasury notes, U.S. Treasury bills, commercial paper, and U.S. government agency bonds. Any discount or premium arising at purchase is accreted or amortized to interest income or expense. Unrealized gains and losses are included in accumulated other comprehensive income (loss) in stockholders’ equity. Realized gains and losses are reported in other income (expense), net. When securities are sold, any associated unrealized gain or loss initially recorded as a separate component of stockholders’ equity is reclassified out of stockholders’ equity on a specific-identification basis and recorded in earnings for the period. If an available-for-sale debt security's fair value is less than its amortized cost basis, the Company evaluates whether the decline is the result of a credit loss, in which case an impairment is recorded through an allowance for credit losses. Accounts Receivable, Net Trade accounts receivable are recorded at the invoiced amount and are noninterest bearing. The Company maintains an allowance for credit losses, consisting of known specific troubled accounts as well as an amount based on overall estimated potential uncollectible accounts receivable based on historical experience and review of their current credit quality. Expected credit losses are recorded as selling, general and administrative expenses in the condensed consolidated statements of operations. Inventory and Other Deferred Costs Inventory consists of raw materials and supplies used to fulfill customer genomic analysis contracts and is valued at the lower of cost or net realizable value. Cost is determined using actual costs, on a first-in, first-out basis. Other deferred costs relate to work that has begun on customer contracts but not yet completed or recognized as revenue. Other deferred costs are comprised of direct labor and overhead costs incurred. Leases The Company categorizes leases with contractual terms longer than 12 months as either operating or finance leases. Finance leases are generally those leases that allow the Company to substantially utilize or pay for the entire asset over its estimated life. All other leases are categorized as operating leases. As of March 31, 2023, the Company had no finance leases. Certain lease contracts include obligations to pay for other services, such as maintenance. The Company elected to account for these other services as a component of the lease (i.e., the Company elected the practical expedient not to separate lease and non-lease components). Lease liabilities are recognized at the present value of the fixed lease payments using a discount rate based on the Company’s current borrowing rate at the lease commencement date, adjusted for various factors including level of collateralization and term (the “incremental borrowing rate”), unless the rate implicit in the lease is readily determinable. The current portion of lease liabilities is included in “Accrued and other current liabilities.” Lease assets are recognized based on the initial present value of the fixed lease payments plus any direct costs from executing the leases and any lease prepayments. Lease assets are presented as “Operating lease right-of-use assets” as a long-term asset. Leasehold improvements are capitalized at cost and amortized over the lesser of their expected useful life or the lease term. Costs associated with operating lease assets are recognized on a straight-line basis within operating expenses over the term of the lease. The Company has made an accounting policy election not to recognize right-of-use assets and lease liabilities that arise from leases with a term of 12 months or less. Fixed lease payments are recognized as an expense on a straight-line basis over the lease term. Variable lease costs are amounts owed by us to a lessor that are not fixed, such as reimbursement for common area maintenance, operating expenses, utilities, or other costs that are subject to fluctuation from period to period. The Company has also elected to include expenses related to leases with a term of one month or less in the short-term lease cost disclosure. Recent Accounting Pronouncements New Accounting Pronouncements Adopted In June 2016, the FASB issued Accounting Standards Update (“ASU”) 2016-13, Financial Instruments - Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments, which amends the impairment model by requiring entities to use a forward-looking approach based on expected losses to estimate credit losses on certain types of financial instruments, including trade receivables. The accounting update also made minor changes to the impairment model for available-for-sale debt securities. The Company adopted the new guidance as of the beginning of the first quarter of 2023 by means of a cumulative-effect adjustment to opening retained earnings. The adoption did not impact the condensed consolidated financial statements.

Revenue

Revenue	3 Months Ended
	Mar. 31, 2023
Revenue From Contract With Customer [Abstract]
Revenue	Note 3. Revenue The Company disaggregates revenue by the following four customer types: • Pharma tests and services includes sales of testing services and data analytics for clinical trials and research to pharmaceutical companies in support of their drug development programs. Individual contracts typically contemplate a single project and involve a wide range of tests and analytics deliverables from the Company that are suitable for each particular project. • Enterprise sales includes sales of tumor profiling and diagnostic tests directly to other businesses as an input to their products. The Company is typically contracted to deliver a limited number of tests and analytics deliverables, but in high volume over time, and may offer tiered pricing. Revenue from the Company's partnership with Natera to provide advanced tumor analysis for use in Natera's MRD test makes up substantially all of the revenue in this category. • Population sequencing includes sales of genomic sequencing services and data analytics to support large-scale genetic research programs. The Company is typically contracted to deliver a genomic test and provide data that can be used for analysis across a large volume of samples. All of the revenue within this category is from the Company's partnership with the VA MVP. • Other includes sales of genomic tests and analytics to universities and non-profits. The following table presents the Company’s revenue disaggregated by customer type (in thousands): Three Months Ended March 31, 2023 2022 Pharma tests and services $ 6,333 $ 7,562 Enterprise sales 9,458 4,116 Population sequencing 3,005 3,501 Other 64 48 Total revenue $ 18,860 $ 15,227 Revenue from countries outside of the United States, based on the billing addresses of customers, represented approximately 13 % and 18 % of the Company’s revenue for the three months ended March 31, 2023 and 2022, respectively. Contract Assets and Liabilities Contract assets as of March 31, 2023 and December 31, 2022 were immaterial. Amounts collected in advance of services being provided are deferred as contract liabilities in the condensed consolidated balance sheets. The associated revenue is recognized, and the contract liability is reduced, as the contracted services are subsequently performed. The balance of contract liabilities was $ 6.3 million (of which $ 3.7 million is included within "Other long-term liabilities") and $ 1.3 million as of March 31, 2023 and December 31, 2022, respectively. As of March 31, 2023, amounts related to unsatisfied services under contracts with an original expected duration of more than one year was $ 5 million. The Company expects to recognize approximately $ 1.3 million of this amount throughout the next 12 months and the remainder thereafter. Revenue recognized that was included in the contract liability balance at the beginning of each reporting period was immaterial for the three months ended March 31, 2023, and was $ 2.5 million for the three months ended March 31, 2022.

Balance Sheet Details

Balance Sheet Details	3 Months Ended
	Mar. 31, 2023
Balance Sheet Related Disclosures [Abstract]
Balance Sheet Details	Note 4. Balance Sheet Details Inventory and other deferred costs consist of the following (in thousands): March 31, 2023 December 31, 2022 Raw materials $ 5,517 $ 6,384 Other deferred costs 2,702 2,207 Total inventory and other deferred costs $ 8,219 $ 8,591 Property and equipment. Depreciation and amortization expense for the three months ended March 31, 2023 and 2022 was $ 2.8 million and $ 1.8 million, respectively. Accumulated depreciation and amortization was $ 29.6 million and $ 26.9 million as of March 31, 2023 and December 31, 2022, respectively. Restricted cash. The Company’s restricted cash is pledged as collateral for a standby letter of credit related to a property lease. The balance of restricted cash was $ 1.8 million as of March 31, 2023 and December 31, 2022, and is included in other long-term assets. Accrued and other current liabilities consist of the following (in thousands): March 31, 2023 December 31, 2022 Accrued compensation $ 9,675 $ 9,008 Operating lease liabilities 6,529 5,391 Loans—current portion (Note 6) 2,257 2,218 Accrued liabilities 1,018 1,700 Employee ESPP contributions 1,010 543 Accrued taxes 134 123 Customer deposits 30 30 Total accrued and other current liabilities $ 20,653 $ 19,013

Fair Value Measurements

Fair Value Measurements	3 Months Ended
	Mar. 31, 2023
Fair Value Disclosures [Abstract]
Fair Value Measurements	Note 5. Fair Value Measurements The following tables show the Company’s financial assets measured at fair value on a recurring basis and the level of inputs used in such measurements as of March 31, 2023 and December 31, 2022 (in thousands): March 31, 2023 Adjusted Cost Unrealized Gains Unrealized Losses Fair Value Fair Value Level Assets Cash and cash equivalents: Cash $ 4,506 $ — $ — $ 4,506 Money market funds 40,062 — — 40,062 Level 1 Commercial paper 27,294 — ( 6 ) 27,288 Level 2 U.S. agency securities 5,350 2 — 5,352 Level 2 U.S. government securities 9,961 3 — 9,964 Level 2 Total cash and cash equivalents 87,173 5 ( 6 ) 87,172 Short-term investments: Commercial paper 11,156 — ( 32 ) 11,124 Level 2 U.S. agency securities 6,847 — ( 35 ) 6,812 Level 2 U.S. government securities 44,018 2 ( 189 ) 43,831 Level 2 Total short-term investments 62,021 2 ( 256 ) 61,767 Total assets measured at fair value $ 149,194 $ 7 $ ( 262 ) $ 148,939 December 31, 2022 Adjusted Cost Unrealized Gains Unrealized Losses Fair Value Fair Value Level Assets Cash and cash equivalents: Cash $ 5,615 $ — $ — $ 5,615 Money market funds 31,401 — — 31,401 Level 1 Commercial paper 47,135 — ( 15 ) 47,120 Level 2 U.S. government securities 4,991 1 — 4,992 Level 2 Total cash and cash equivalents 89,142 1 ( 15 ) 89,128 Short-term investments: Commercial paper 13,097 — ( 51 ) 13,046 Level 2 U.S. agency securities 9,445 — ( 105 ) 9,340 Level 2 U.S. government securities 56,658 1 ( 515 ) 56,144 Level 2 Total short-term investments 79,200 1 ( 671 ) 78,530 Total assets measured at fair value $ 168,342 $ 2 $ ( 686 ) $ 167,658 The Company’s marketable debt securities at March 31, 2023 have maturities due in one year or less. No security has been in a continuous unrealized loss position for more than 12 months and the Company does not consider any of its marketable debt securities to be impaired.

Loans

Loans	3 Months Ended
	Mar. 31, 2023
Debt Disclosure [Abstract]
Loans	6. Loans Equipment and Software Loans In April 2021, the Company entered into a payment agreement with a financing entity to finance the purchase of $ 2.4 million of internal use software licenses and related software maintenance from a vendor. The financing entity and vendor are not related. The Company is obligated to repay the financed amount in three equal payments of $ 0.8 million in May 2021, May 2022, and May 2023. The payment agreement is noninterest bearing and the Company concluded that such interest rate ( zero ) did not represent fair and adequate compensation to the financing entity for the use of the related funds. Accordingly, the Company approximated the rate at which it could obtain financing of a similar nature from other sources at the date of the transaction. The resulting imputed interest rate was 7 % and was used to establish the present value of the payment agreement. The discount is recognized as interest expense in the condensed consolidated statements of operations over the life of the payment agreement. The Company entered into two more payment agreements in April 2021 and July 2022, with the same financing entity, to finance the purchase of $ 3.1 million of computer hardware and related hardware maintenance and $ 1.3 million of internal use software licenses and related ongoing support, respectively. The Company is required to pay three equal payments of $ 1.0 million in July 2021, June 2022, and June 2023 for the first agreement, and three equal payments of $ 0.4 million in September 2022, September 2023, and September 2024 for the second agreement. The nature of these agreements and resulting accounting treatment are the same as the payment agreement described in the preceding paragraph, except our imputed interest rate was 9 % for the July 2022 agreement. The total initial present value of the payment agreements was $ 6.4 million and presented as proceeds from loans in the condensed consolidated statements of cash flows. Such proceeds were used to purchase equipment, software, and related maintenance and are reflected as cash outflows in the investing and operating activities sections in the condensed consolidated statements of cash flows. Repayments are presented as financing cash outflows in the condensed consolidated statements of cash flows. Interest expense for the three months ended March 31, 2023 and 2022 was less than $ 0.1 million. Amounts outstanding under the payment agreements are as follows (in thousands): March 31, 2023 December 31, 2022 Principal $ 2,730 $ 2,730 Less: unamortized discount ( 87 ) ( 134 ) Total carrying amount 2,643 2,596 Less: current portion (included in accrued and other current liabilities) ( 2,257 ) ( 2,218 ) Long-term portion (included in other long-term liabilities) $ 386 $ 378

Leases

Leases	3 Months Ended
	Mar. 31, 2023
Leases [Abstract]
Leases	Note 7. Leases In 2015, the Company entered into a noncancelable operating lease for approximately 31,280 square feet of space used for its current laboratory operations. In 2020, the lease term was extended through November 2027 and includes an option to extend the term for a period of three year s at prevailing market rates. The Company determined the extension option is not reasonably certain to be exercised. The lease contains a leasehold improvement incentive and escalating rent payments. In 2021, the Company amended the lease to expand the leased premises by an additional 14,710 square feet of space (the “Expansion Lease”). The Expansion Lease expired at the end of December 2022 and was not extended . In 2019, the Company entered into a noncancelable three-year operating lease for a co-located data center space. In 2022, the lease term was extended through September 2025 and includes an option to extend the term for a period of three year s immediately following the expiration of the term. The Company determined the extension option is not reasonably certain to be exercised. In 2021, the Company entered into a noncancelable operating lease for approximately 100,000 square feet of space in Fremont, California used for its corporate headquarters and expanded laboratory facility. The lease term is 13.5 years and commenced in October 2022. The Company gained early access to the premises upon entering the lease for the purpose of constructing and installing tenant improvements, for which the landlord contributed $ 15.1 million. Such contributions were accounted for as lease incentives and are recognized as reductions to lease expense over the remainder of the lease term. The lease expires at the end of March 2036 and includes two options to extend the term for a period of five-years per option at prevailing market rates. The Company determined the extension options are not reasonably certain to be exercised. The lease also contains escalating rent payments. The Company also has a noncancelable operating lease for approximately 5,100 square feet of space in Shanghai, China used for its China operations, which expires on June 30, 2024 , as well as various other short-term leases. Components of lease cost were as follows (in thousands): Three Months Ended March 31, 2023 2022 Lease cost Operating lease cost $ 1,749 $ 2,174 Short-term lease cost 99 29 Variable lease cost 493 261 Total lease cost $ 2,341 $ 2,464 As of March 31, 2023, the Company’s operating leases had a weighted-average remaining lease term of 11.0 years and a weighted-average discount rate of 10.5 %. The Company’s discount rates are based on estimates of its incremental borrowing rate, as the discount rates implicit in the leases cannot be readily determined. Future lease payments under operating leases as of March 31, 2023 were as follows (in thousands): Amount 2023 (remaining nine months) $ 4,907 2024 7,895 2025 7,808 2026 7,168 2027 7,189 2028 and thereafter 48,013 Total future minimum lease payments 82,980 Less: imputed interest ( 36,142 ) Present value of future minimum lease payments 46,838 Less: current portion of operating lease liability ( 6,529 ) Long-term operating lease liabilities $ 40,309 Cash paid for operating lease liabilities, included in cash flows from operating activities in the condensed consolidated statements of cash flows, for the three months ended March 31, 2023 and 2022, was $ 0.8 million and $ 0.9 million, respectively.

Stock-Based Compensation

Stock-Based Compensation	3 Months Ended
	Mar. 31, 2023
Disclosure Of Compensation Related Costs Sharebased Payments [Abstract]
Stock-Based Compensation	Note 8. Stock -Based Compensation Shares of common stock reserved for issuance under the Company’s equity incentive plans were as follows: March 31, 2023 Outstanding stock awards 9,971,919 Reserved for future award grants 2,748,592 Reserved for future ESPP 1,082,950 Total common stock reserved for stock awards 13,803,461 Stock Option Activity A summary of the Company’s stock option activity (excluding performance-based stock option activity summarized further below) under the 2011 Plan, 2019 Plan, and Inducement Plan for the three months ended March 31, 2023 is as follows: Outstanding Options (in thousands, except share and per share data) Number of Weighted- Weighted- Aggregate Balance—December 31, 2022 5,451,132 $ 9.90 5.31 $ 7 Options granted 2,076,000 2.76 Options exercised — — Options forfeited or expired ( 173,221 ) 12.67 Balance—March 31, 2023 7,353,911 $ 7.82 6.26 $ 202 Options vested and exercisable as of March 31, 2023 3,871,448 $ 9.19 3.37 $ 177 The weighted-average grant date fair value of options granted was $ 1.91 and $ 6.59 per share for the three months ended March 31, 2023 and 2022, respectively. As of March 31, 2023, the unrecognized stock-based compensation cost of unvested options was $ 11.6 million, which is expected to be recognized over a weighted-average period of 2.6 years. Valuation of Stock Options The Company estimated the fair value of stock options (excluding performance-based stock options discussed below) using the Black-Scholes option-pricing model. The fair value of stock options is recognized on a straight-line basis over the requisite service periods of the awards. The fair value of stock options was estimated using the following weighted-average assumptions: Three Months Ended March 31, 2023 2022 Expected term (in years) 5.77 6.00 - 6.08 Volatility 78.98 % 68.37 - 69.10 % Risk-free interest rate 3.58 % 1.62 - 2.13 % Dividend yield – % – % Performance-Based Stock Option Activity No performance-based stock option activity occurred during the three months ended March 31, 2023. As of March 31, 2023, performance-based stock options for 421,000 shares with an exercise price of $ 5.10 and a remaining contractual term of 0.75 years remained outstanding. The stock options are fully vested and exercisable and had no intrinsic value as of March 31, 2023. Restricted Stock Units ("RSU") Activity and Valuation A summary of the Company’s RSU activity under the 2019 Plan and Inducement Plan for the three months ended March 31, 2023 is as follows: Unvested Restricted Stock Units (in thousands, except share and per share data) Number of Weighted- Aggregate Balance—December 31, 2022 2,621,482 $ 9.33 $ 5,191 RSUs granted — — RSUs vested ( 67,406 ) 18.77 184 RSUs forfeited ( 357,068 ) 8.13 Balance—March 31, 2023 2,197,008 $ 9.23 $ 6,064 As of March 31, 2023, the unrecognized stock-based compensation cost of unvested RSUs was $ 16.9 million, which is expected to be recognized over a weighted-average period of 2.4 years. ESPP Activity and Valuation During the three months ended March 31, 2023 and 2022, no shares of common stock were purchased under the ESPP. Additionally, no stock purchase rights were granted during either period. Stock-Based Compensation Expense The following is a summary of stock-based compensation expense by award type (in thousands): Three Months Ended March 31, 2023 2022 Stock options $ 1,343 $ 2,396 RSUs 2,123 2,168 ESPP 229 252 Total stock-based compensation expense $ 3,695 $ 4,816 The following is a summary of stock-based compensation expense by function (in thousands): Three Months Ended March 31, 2023 2022 Cost of revenue $ 490 $ 458 Research and development 1,245 1,341 Selling, general and administrative 1,960 3,017 Total stock-based compensation expense $ 3,695 $ 4,816

Commitments and Contingencies

Commitments and Contingencies	3 Months Ended
	Mar. 31, 2023
Commitments And Contingencies Disclosure [Abstract]
Commitments and Contingencies	Note 9. Commitments and Contingencies Contingencies On August 2, 2022, the Company filed a complaint in the U.S. District Court for the District of Colorado against Foresight Diagnostics Inc. (“Foresight”) for patent infringement. The complaint is based on the Company’s U.S. Patent No. 10,450,611 (the “’611 Patent”), entitled “Personalized Genetic Testing,” our U.S. Patent No. 11,299,783 (the “’783 Patent”), entitled “Methods and Systems For Genetic Analysis,” and our U.S. Patent No. 11,384,394 (the “’394 Patent”), entitled “Methods and Systems for Genetic Analysis.” The ‘611 Patent was granted on October 22, 2019 and relates to methods for personalized genetic testing by performance of sequencing assays on biological samples. The ‘783 Patent was granted on April 12, 2022 and relates to methods for sample processing and data analysis by performance of sequencing assays on biological samples that can aid in the diagnosis, monitoring, treatment, and prevention of one or more diseases. The ‘394 Patent was granted on July 12, 2022 and relates to methods for sample processing and analysis to aid in the diagnosis, monitoring, treatment, and prevention of disease. On August 17, 2022, the Company filed an amended complaint for patent infringement against Foresight. The amended complaint added our U.S. Patent No. 11,408,033 (the “’033 Patent”), entitled “Methods and Systems for Genetic Analysis.” The ‘033 Patent was granted on August 9, 2022 and relates to methods for sample processing and analysis to aid in the diagnosis, monitoring, treatment, and prevention of disease. The Company is seeking remedies including injunctive relief, damages and costs. On October 12, 2022, Foresight filed its answer and counterclaims in the matter, alleging and seeking declaratory judgement that its solid tumor recurrence test does not infringe the Company’s asserted patents and that the claims of our asserted patents are invalid and/or unenforceable. On November 2, 2022, the Company filed its answer to Foresight’s counterclaims. The Company believes the assertions in Foresight's counterclaims are without merit and intends to vigorously defend against these counterclaims. Between November 30, 2022 and February 11, 2023, Foresight filed four inter partes review petitions with the USPTO, seeking to invalidate the four patents that we are asserting against Foresight in our patent infringement action. Also on November 30, 2022, Foresight filed a motion to stay our patent infringement action in the U.S. District Court for the District of Colorado pending the resolution of the inter partes review proceedings that Foresight has requested. On December 21, 2022, we filed our opposition to Foresight’s motion to stay, and on December 29, 2022 Foresight filed its reply in support of the stay. On January 5, 2023, the Court held a hearing on Foresight’s motion and on January 24, 2023, the Court granted Foresight’s motion to stay our patent infringement action pending the resolution of the inter partes review proceedings. The USPTO has yet to issue a decision regarding whether it will institute the inter partes reviews. Litigation is inherently unpredictable, and, except for events that have already occurred, it is too early in the foregoing proceedings to predict the outcome of these proceedings, or any impact they may have on us. As such, the estimated financial effect associated with this complaint cannot be made as of the date of filing of this Quarterly Report on Form 10-Q. Litigation is a significant ongoing expense with an uncertain outcome and may in the future be a material expense for us. Management believes this investment is important to protect our intellectual property position, even recognizing the uncertainty of the outcome. The Company is also subject to claims and assessments from time to time in the ordinary course of business. Accruals for litigation and loss contingencies are reflected in the consolidated financial statements based on management’s assessment, including the advice of legal counsel, of the expected outcome of litigation or other dispute resolution proceedings and/or the expected resolution of contingencies. Liabilities for estimated losses are accrued if the potential losses from any claims or legal proceedings are considered probable and the amounts can be reasonably estimated. Significant judgment is required in both the determination of probability of loss and the determination as to whether the amount can be reasonably estimated. Accruals are based only on information available at the time of the assessment due to the uncertain nature of such matters. As additional information becomes available, management reassesses potential liabilities related to pending claims and litigation and may revise its previous estimates, which could materially affect the Company’s consolidated results of operations in a given period. Except for the matter described in the first two paragraphs of this Note 9, as of March 31, 2023, the Company was not involved in any material adverse legal proceedings. Indemnification In the normal course of business, the Company enters into contracts and agreements that contain a variety of representations and warranties and provide for general indemnifications. The Company’s exposure under these agreements is unknown because it involves claims that may be made against the Company in the future, but that have not yet been made. To date, the Company has not paid any claims or been required to defend any action related to its indemnification obligations. However, the Company may record charges in the future as a result of these indemnification obligations.

Basic and Diluted Net Loss Per

Basic and Diluted Net Loss Per Common Share	3 Months Ended
	Mar. 31, 2023
Earnings Per Share [Abstract]
Basic and Diluted Net Loss Per Common Share	Note 10. Basic and Diluted Net Loss Per Common Share Basic net loss per common share is computed by dividing net loss by the weighted-average number of common shares outstanding during the period. Diluted net loss per common share is computed using net loss and the weighted-average number of common shares outstanding plus potentially dilutive common shares outstanding during the period. Potentially dilutive common shares include the assumed exercise of outstanding in-the-money stock options and common stock warrants, assumed release of outstanding RSUs, and assumed issuance of common stock under the ESPP using the treasury stock method. The Company incurred net losses in the periods presented, and as a result, potential common shares from stock options, RSUs, and the assumed release of outstanding shares under the ESPP were not included in the diluted shares used to calculate net loss per share, as their inclusion would have been anti-dilutive. The following table sets forth the computation of basic and diluted net loss per share attributable to common stockholders (in thousands, except share and per share amounts): Three Months Ended March 31, 2023 2022 Net loss $ ( 28,659 ) $ ( 28,209 ) Weighted-average common shares outstanding—basic and diluted 46,740,270 44,995,752 Net loss per common share—basic and diluted $ ( 0.61 ) $ ( 0.63 ) The following table sets forth the potentially dilutive shares excluded from the computation of diluted net loss per common share because their effect was anti-dilutive: Three Months Ended March 31, 2023 2022 Options to purchase common stock 7,774,911 5,141,353 Unvested RSUs 2,197,008 1,643,609 ESPP 453,380 80,805 Total 10,425,299 6,865,767

Restructuring and Other Charges

Restructuring and Other Charges	3 Months Ended
	Mar. 31, 2023
Restructuring and Related Activities [Abstract]
Restructuring and Other Charges	Note 11. Restruc turing and Other Charges Restructuring and Other Charges in the condensed consolidated statements of operations consist of restructuring charges in connection with the Company's 2023 reduction in workforce and charges in connection with the closure of the Company's China operations. Restructuring. In January 2023, the Company initiated a reduction in the Company’s workforce to reduce operating costs and improve operating efficiency. The workforce reduction affected nearly 100 employees and was substantially completed as of March 31, 2023 . The Company recognized $ 3.1 million in one-time employee termination benefits during the three months ended March 31, 2023 in connection with the reduction in workforce, comprising separation pay and healthcare benefits payable in cash. Approximately $ 0.8 million of such expenses were unpaid as of March 31, 2023 and are expected to be paid during the second quarter of 2023. The Company does not expect to incur any material additional costs in connection with the reduction in workforce. Closure of China Operations . In February 2023, the Company resolved to terminate operations, carry out liquidation work, and dissolve the Company's Personalis (Shanghai) Ltd entity in China with the objective of streamlining international operations and reducing operating costs. The Company anticipates completing the dissolution of the entity by the end of 2023. The disposal does not qualify for reporting as a discontinued operation because it does not represent a strategic shift that has or will have a major effect on our operations and financial results. During the first three months ended March 31, 2023, expenses of $ 0.8 million were recognized in connection with closure activities. $ 0.3 million of such expenses related to one-time employee termination benefits for the Company's 12 employees located in China and were payable in cash. Substantially all of the terminations have been completed as of March 31, 2023, along with the related cash outlays. The Company does not expect to incur any material additional costs in connection with the employee terminations. The remaining $ 0.5 million in expenses were comprised of non-cash charges, primarily losses on disposal of fixed assets and impairments of other assets. The Company may incur additional costs as closure activities continue throughout 2023, however, such future costs are not expected to be significant.

Summary of Significant Accoun_2

Summary of Significant Accounting Policies (Policies)	3 Months Ended
	Mar. 31, 2023
Accounting Policies [Abstract]
Basis of Presentation	Basis of Presentation The unaudited condensed consolidated financial statements have been prepared in accordance with accounting principles generally accepted in the United States of America (“U.S. GAAP”) and the applicable rules and regulations of the Securities and Exchange Commission (the “SEC”) regarding interim reporting. Certain information and note disclosures normally included in the financial statements prepared in accordance with U.S. GAAP have been condensed or omitted pursuant to such rules and regulations. As such, the information included in this Quarterly Report on Form 10-Q should be read in conjunction with the consolidated financial statements and accompanying notes included in the Company’s Annual Report on Form 10-K for the fiscal year ended December 31, 2022. The condensed consolidated financial statements include the accounts of Personalis, Inc. and its wholly owned subsidiaries, Personalis (UK) Ltd. and Personalis (Shanghai) Ltd. All intercompany balances and transactions have been eliminated in consolidation. The condensed consolidated financial statements reflect all normal recurring adjustments that are necessary to present fairly the results for the interim periods presented. Interim results are not necessarily indicative of the results for the full year ending December 31, 2023.
Use of Estimates	Use of Estimates The preparation of 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 consolidated financial statements and the reported amounts of revenue and expenses during the reporting period. The estimates include, but are not limited to, useful lives assigned to long-lived assets, discount rates for lease accounting, the valuation of stock options, the valuation of stock-based awards, and provisions for income taxes and contingencies. Actual results could differ from these estimates, and such differences could be material to the Company’s consolidated financial position and results of operations.
At-the-Market Equity Offerings	At-the-Market Equity Offerings In December 2021, the Company entered into an At-the-Market Sales Agreement (the “Sales Agreement”) with BTIG, LLC (“BTIG”) under which it may offer and sell its common stock having aggregate sales proceeds of up to $ 100.0 million from time to time through BTIG as its sales agent. BTIG will use commercially reasonable efforts to sell the Company’s common stock from time to time, based upon instructions from the Company (including any price, time or size limits or other customary parameters or conditions the Company may impose). The Company will pay BTIG a commission of up to 3 % of the gross sales proceeds of any common stock sold through BTIG under the Sales Agreement. The Company is not obligated to make any sales of common stock under the Sales Agreement. No shares of the Company’s common stock have been offered or sold under the Sales Agreement.
Concentration of Credit Risk and Other Risks and Uncertainties	Concentration of Credit Risk and Other Risks and Uncertainties The Company is subject to credit risk from its portfolio of cash and cash equivalents. The Company’s cash and cash equivalents are deposited with high-quality financial institutions. Deposits at these institutions may, at times, exceed federally insured limits. Management believes these financial institutions are financially sound and, accordingly, that minimal credit risk exists. The Company also invests in investment‑grade debt instruments and has policy limits for the amount it can invest in any one type of security, except for securities issued or guaranteed by the U.S. government. The goals of the Company’s investment policy are as follows: preservation of principal; liquidity of investments sufficient to meet cash flow requirements; avoidance of inappropriate concentration and credit risk; competitive after‑tax rate of returns; and fiduciary control of cash and investments. Under its investment policy, the Company limits the amounts invested in such securities by credit rating, maturity, investment type, and issuer. As a result, management believes that these financial instruments do not expose the Company to any significant concentrations of credit risk. The Company purchases various reagents and sequencing materials from sole source suppliers. Any extended interruption in the supply of these materials could result in the Company’s inability to secure sufficient materials to conduct business and meet customer demand. The Company performs regular reviews of customer activity and associated credit risks and does not require collateral. Historically, the Company has not experienced significant credit losses from accounts receivable. Multiple customers have provided more than 10% of total revenue in the periods presented, or accounted for more than 10% of accounts receivable at each respective balance sheet date, as follows: Revenue Accounts Receivable Three Months Ended March 31, March 31, 2023 December 31, 2022 2023 2022 Natera, Inc. 50 % 27 % 35 % 43 % VA MVP 16 % 23 % 14 % * Pfizer Inc. * 11 % 13 % 10 % GSK plc * * 12 % 12 % * Less than 10 % of revenue or accounts receivable
Revenue Recognition	Revenue Recognition The Company applies the revenue recognition guidance in accordance with Financial Accounting Standards Board (“FASB”) Accounting Standards Codification (“ASC”) Topic 606, Revenue from Contracts with Customers (“Topic 606”). Revenue Recognition The revenue guidance provides a five-step framework through which revenue is recognized when control of promised goods or services is transferred to a customer at an amount that reflects the consideration to which the entity expects to be entitled in exchange for those goods or services. To determine revenue recognition for arrangements that the Company concludes are within the scope of Topic 606, management performs the following five steps: (i) identifies the contract(s) with a customer; (ii) identifies the performance obligations in the contract(s); (iii) determines the transaction price, including whether there are any constraints on variable consideration; (iv) allocates the transaction price to the performance obligations; and (v) recognizes revenue when (or as) the Company satisfies a performance obligation. At contract inception, once a contract is determined to be within the scope of the new revenue standard, the Company assesses whether individual goods or services promised within each contract are distinct and, therefore, represent separate performance obligations. The Company derives revenue from the sale of sequencing and data analysis services. The Company's contracts are in the form of a combination of signed agreements, statements of work, and/or purchase orders. The Company accounts for a contract with a customer when there is approval and commitment from both parties, the rights of the parties are identified, payment terms are identified, the contract has commercial substance, and it is probable that the Company will collect substantially all of the consideration to which it will be entitled. The sequencing and data analysis services are the only distinct services that meet the definition of a performance obligation and are accounted for as one performance obligation under Topic 606. The Company recognizes revenue from such services at the point in time when control of the test results is transferred to the customer. The Company has elected to exclude all sales and value added taxes from the measurement of the transaction price. Payment terms and conditions vary by contract and customer. The Company's standard payment terms are typically 90 days or less from the invoice date. In instances where the timing of the Company's revenue recognition differs from the timing of its invoicing, the Company does not assess whether a contract has a significant financing component if the expectation at contract inception is such that the period between payment by the customer and the transfer of the promised services to the customer will be one year or less. After assessing each of its revenue-generating arrangements to determine whether a significant financing component exists, the Company concluded that a significant financing component does not exist in any of its arrangements. The primary purpose of the Company's invoicing terms is to provide customers with simplified and predictable ways of purchasing the Company's services and to provide payment protection for the Company. Practical Expedients and Exemptions As a practical expedient, the Company recognizes the incremental costs of obtaining contracts, such as sales commissions, as an expense when incurred since the amortization period of the asset the Company otherwise would have recognized is one year or less. Sales commissions are recorded within selling, general and administrative expenses in the condensed consolidated statements of operations.
Cost of Revenue	Cost of Revenue Cost of revenue consists of raw materials costs, personnel costs (salaries, bonuses, benefits, payroll taxes, and stock-based compensation), laboratory supplies and consumables, depreciation and maintenance on equipment, and allocated facilities and information technology (“IT”) costs.
Research and Development Expenses	Research and Development Expenses The Company charges research and development costs to expenses as incurred, including lab and automation development costs. The expenses primarily consist of personnel costs (salaries, bonuses, stock-based compensation, payroll taxes, and benefits); laboratory supplies and consumables; costs of processing samples for research, product development, collaborations, and studies; depreciation and maintenance on equipment; and allocated facilities and IT costs.
Stock-Based Compensation	Stock-Based Compensation For options granted to employees, non-employees, and directors, stock-based compensation is measured at grant date based on the fair value of the award. The Company determines the grant-date fair value of options using the Black-Scholes option-pricing model, except for certain performance-based awards for which an alternative valuation method may be used. The Company determines the fair value of restricted stock unit awards using the closing market price of the Company’s common stock on the date of grant. The grant-date fair value of awards is amortized over the employees’ requisite service period on a straight-line basis, or the non-employees’ vesting period as the goods are received or services rendered. Forfeitures are accounted for as they occur. Additionally, the Company’s 2019 Employee Stock Purchase Plan (the “ESPP”) is deemed to be a compensatory plan and therefore is included in stock-based compensation expense. Inputs used in Black-Scholes option-pricing models to measure fair value of options are summarized as follows: Expected Term. The expected term is calculated using the simplified method, which is available if there is insufficient historical data about exercise patterns and post-vesting employment termination behavior. The simplified method is based on the vesting period and the contractual term for each grant, or for each vesting tranche for awards with graded vesting. The midpoint of the vesting date and the contractual expiration date is used as the expected term under this method. For awards with multiple vesting tranches, the assumed period for each tranche is computed separately and then averaged together to determine the expected term for the award. Expected Volatility. The Company used an average historical stock price volatility of a peer group of publicly traded companies to be representative of its expected future stock price volatility, as the Company did not have sufficient trading history for its common stock. For purposes of identifying these peer companies, the Company considered the industry, stage of development, size, and financial leverage of potential comparable companies. For each grant, the Company measured historical volatility over a period equivalent to the expected term. Risk-Free Interest Rate. The risk-free interest rate is based on the implied yield currently available on U.S. Treasury zero-coupon issues with remaining terms equivalent to the expected term of a stock award. Expected Dividend Rate. The Company has no t paid and does not anticipate paying any dividends in the near future. Accordingly, the Company has estimated the dividend yield to be zero .
Cash and Cash Equivalents	Cash and Cash Equivalents Cash equivalents consist of highly liquid investments with maturities at the time of purchase of three months or less. Cash equivalents include bank demand deposits and money market accounts that invest primarily in cash, U.S. Treasury bills, notes, and other obligations issued or guaranteed as to principal and interest by the U.S. Government, its agencies or instrumentalities, and repurchase agreements secured by such obligations or cash. Cash equivalents also include commercial paper and U.S. Treasury bills, which are marketable debt securities recorded at fair value and accounted for in the same manner as other marketable debt securities described below.
Short-term Investments	Short-term Investments The Company’s investments in marketable debt securities are classified as available-for-sale and recorded at fair value. Investments with original maturities of greater than three months and remaining maturities of less than one year are classified as short-term investments. Investments with maturities beyond one year may be classified as short-term based on their highly liquid nature and because such marketable securities represent the investment of cash that is available for current operations. Short-term investments primarily consist of U.S. Treasury notes, U.S. Treasury bills, commercial paper, and U.S. government agency bonds. Any discount or premium arising at purchase is accreted or amortized to interest income or expense. Unrealized gains and losses are included in accumulated other comprehensive income (loss) in stockholders’ equity. Realized gains and losses are reported in other income (expense), net. When securities are sold, any associated unrealized gain or loss initially recorded as a separate component of stockholders’ equity is reclassified out of stockholders’ equity on a specific-identification basis and recorded in earnings for the period. If an available-for-sale debt security's fair value is less than its amortized cost basis, the Company evaluates whether the decline is the result of a credit loss, in which case an impairment is recorded through an allowance for credit losses.
Accounts Receivable, Net	Accounts Receivable, Net Trade accounts receivable are recorded at the invoiced amount and are noninterest bearing. The Company maintains an allowance for credit losses, consisting of known specific troubled accounts as well as an amount based on overall estimated potential uncollectible accounts receivable based on historical experience and review of their current credit quality. Expected credit losses are recorded as selling, general and administrative expenses in the condensed consolidated statements of operations.
Inventory and Other Deferred Costs	Inventory and Other Deferred Costs Inventory consists of raw materials and supplies used to fulfill customer genomic analysis contracts and is valued at the lower of cost or net realizable value. Cost is determined using actual costs, on a first-in, first-out basis. Other deferred costs relate to work that has begun on customer contracts but not yet completed or recognized as revenue. Other deferred costs are comprised of direct labor and overhead costs incurred.
Leases	Leases The Company categorizes leases with contractual terms longer than 12 months as either operating or finance leases. Finance leases are generally those leases that allow the Company to substantially utilize or pay for the entire asset over its estimated life. All other leases are categorized as operating leases. As of March 31, 2023, the Company had no finance leases. Certain lease contracts include obligations to pay for other services, such as maintenance. The Company elected to account for these other services as a component of the lease (i.e., the Company elected the practical expedient not to separate lease and non-lease components). Lease liabilities are recognized at the present value of the fixed lease payments using a discount rate based on the Company’s current borrowing rate at the lease commencement date, adjusted for various factors including level of collateralization and term (the “incremental borrowing rate”), unless the rate implicit in the lease is readily determinable. The current portion of lease liabilities is included in “Accrued and other current liabilities.” Lease assets are recognized based on the initial present value of the fixed lease payments plus any direct costs from executing the leases and any lease prepayments. Lease assets are presented as “Operating lease right-of-use assets” as a long-term asset. Leasehold improvements are capitalized at cost and amortized over the lesser of their expected useful life or the lease term. Costs associated with operating lease assets are recognized on a straight-line basis within operating expenses over the term of the lease. The Company has made an accounting policy election not to recognize right-of-use assets and lease liabilities that arise from leases with a term of 12 months or less. Fixed lease payments are recognized as an expense on a straight-line basis over the lease term. Variable lease costs are amounts owed by us to a lessor that are not fixed, such as reimbursement for common area maintenance, operating expenses, utilities, or other costs that are subject to fluctuation from period to period. The Company has also elected to include expenses related to leases with a term of one month or less in the short-term lease cost disclosure.
Recent Accounting Pronouncements	Recent Accounting Pronouncements New Accounting Pronouncements Adopted In June 2016, the FASB issued Accounting Standards Update (“ASU”) 2016-13, Financial Instruments - Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments, which amends the impairment model by requiring entities to use a forward-looking approach based on expected losses to estimate credit losses on certain types of financial instruments, including trade receivables. The accounting update also made minor changes to the impairment model for available-for-sale debt securities. The Company adopted the new guidance as of the beginning of the first quarter of 2023 by means of a cumulative-effect adjustment to opening retained earnings. The adoption did not impact the condensed consolidated financial statements.

Summary of Significant Accoun_3

Summary of Significant Accounting Policies (Tables)	3 Months Ended
	Mar. 31, 2023
Accounting Policies [Abstract]
Schedule of Percentage of Revenue and Accounts Receivable from Customers	Multiple customers have provided more than 10% of total revenue in the periods presented, or accounted for more than 10% of accounts receivable at each respective balance sheet date, as follows: Revenue Accounts Receivable Three Months Ended March 31, March 31, 2023 December 31, 2022 2023 2022 Natera, Inc. 50 % 27 % 35 % 43 % VA MVP 16 % 23 % 14 % * Pfizer Inc. * 11 % 13 % 10 % GSK plc * * 12 % 12 % * Less than 10 % of revenue or accounts receivable

Revenue (Tables)

Revenue (Tables)	3 Months Ended
	Mar. 31, 2023
Disaggregation Of Revenue [Abstract]
Schedule of Revenue Disaggregated by Customer Type	The following table presents the Company’s revenue disaggregated by customer type (in thousands): Three Months Ended March 31, 2023 2022 Pharma tests and services $ 6,333 $ 7,562 Enterprise sales 9,458 4,116 Population sequencing 3,005 3,501 Other 64 48 Total revenue $ 18,860 $ 15,227

Balance Sheet Details (Tables)

Balance Sheet Details (Tables)	3 Months Ended
	Mar. 31, 2023
Balance Sheet Related Disclosures [Abstract]
Schedule of Inventory and Other Deferred Costs	Inventory and other deferred costs consist of the following (in thousands): March 31, 2023 December 31, 2022 Raw materials $ 5,517 $ 6,384 Other deferred costs 2,702 2,207 Total inventory and other deferred costs $ 8,219 $ 8,591
Schedule of Accrued and Other Current Liabilities	Accrued and other current liabilities consist of the following (in thousands): March 31, 2023 December 31, 2022 Accrued compensation $ 9,675 $ 9,008 Operating lease liabilities 6,529 5,391 Loans—current portion (Note 6) 2,257 2,218 Accrued liabilities 1,018 1,700 Employee ESPP contributions 1,010 543 Accrued taxes 134 123 Customer deposits 30 30 Total accrued and other current liabilities $ 20,653 $ 19,013

Fair Value Measurements (Tables

Fair Value Measurements (Tables)	3 Months Ended
	Mar. 31, 2023
Fair Value Disclosures [Abstract]
Schedule of Financial Assets Measured at Fair Value on Recurring Basis and Level of Inputs used in such Measurements	The following tables show the Company’s financial assets measured at fair value on a recurring basis and the level of inputs used in such measurements as of March 31, 2023 and December 31, 2022 (in thousands): March 31, 2023 Adjusted Cost Unrealized Gains Unrealized Losses Fair Value Fair Value Level Assets Cash and cash equivalents: Cash $ 4,506 $ — $ — $ 4,506 Money market funds 40,062 — — 40,062 Level 1 Commercial paper 27,294 — ( 6 ) 27,288 Level 2 U.S. agency securities 5,350 2 — 5,352 Level 2 U.S. government securities 9,961 3 — 9,964 Level 2 Total cash and cash equivalents 87,173 5 ( 6 ) 87,172 Short-term investments: Commercial paper 11,156 — ( 32 ) 11,124 Level 2 U.S. agency securities 6,847 — ( 35 ) 6,812 Level 2 U.S. government securities 44,018 2 ( 189 ) 43,831 Level 2 Total short-term investments 62,021 2 ( 256 ) 61,767 Total assets measured at fair value $ 149,194 $ 7 $ ( 262 ) $ 148,939 December 31, 2022 Adjusted Cost Unrealized Gains Unrealized Losses Fair Value Fair Value Level Assets Cash and cash equivalents: Cash $ 5,615 $ — $ — $ 5,615 Money market funds 31,401 — — 31,401 Level 1 Commercial paper 47,135 — ( 15 ) 47,120 Level 2 U.S. government securities 4,991 1 — 4,992 Level 2 Total cash and cash equivalents 89,142 1 ( 15 ) 89,128 Short-term investments: Commercial paper 13,097 — ( 51 ) 13,046 Level 2 U.S. agency securities 9,445 — ( 105 ) 9,340 Level 2 U.S. government securities 56,658 1 ( 515 ) 56,144 Level 2 Total short-term investments 79,200 1 ( 671 ) 78,530 Total assets measured at fair value $ 168,342 $ 2 $ ( 686 ) $ 167,658

Loans (Tables)

Loans (Tables)	3 Months Ended
	Mar. 31, 2023
Debt Disclosure [Abstract]
Schedule of Amounts Outstanding	Amounts outstanding under the payment agreements are as follows (in thousands): March 31, 2023 December 31, 2022 Principal $ 2,730 $ 2,730 Less: unamortized discount ( 87 ) ( 134 ) Total carrying amount 2,643 2,596 Less: current portion (included in accrued and other current liabilities) ( 2,257 ) ( 2,218 ) Long-term portion (included in other long-term liabilities) $ 386 $ 378

Leases (Tables)

Leases (Tables)	3 Months Ended
	Mar. 31, 2023
Leases [Abstract]
Components of Lease Cost	Components of lease cost were as follows (in thousands): Three Months Ended March 31, 2023 2022 Lease cost Operating lease cost $ 1,749 $ 2,174 Short-term lease cost 99 29 Variable lease cost 493 261 Total lease cost $ 2,341 $ 2,464
Schedule of Future Minimum Lease Payments	As of March 31, 2023, the Company’s operating leases had a weighted-average remaining lease term of 11.0 years and a weighted-average discount rate of 10.5 %. The Company’s discount rates are based on estimates of its incremental borrowing rate, as the discount rates implicit in the leases cannot be readily determined. Future lease payments under operating leases as of March 31, 2023 were as follows (in thousands): Amount 2023 (remaining nine months) $ 4,907 2024 7,895 2025 7,808 2026 7,168 2027 7,189 2028 and thereafter 48,013 Total future minimum lease payments 82,980 Less: imputed interest ( 36,142 ) Present value of future minimum lease payments 46,838 Less: current portion of operating lease liability ( 6,529 ) Long-term operating lease liabilities $ 40,309

Stock-Based Compensation (Table

Stock-Based Compensation (Tables)	3 Months Ended
	Mar. 31, 2023
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]
Summary of Shares of Common Stock Reserved for Issuance	Shares of common stock reserved for issuance under the Company’s equity incentive plans were as follows: March 31, 2023 Outstanding stock awards 9,971,919 Reserved for future award grants 2,748,592 Reserved for future ESPP 1,082,950 Total common stock reserved for stock awards 13,803,461
Summary of Stock Option Activity	A summary of the Company’s stock option activity (excluding performance-based stock option activity summarized further below) under the 2011 Plan, 2019 Plan, and Inducement Plan for the three months ended March 31, 2023 is as follows: Outstanding Options (in thousands, except share and per share data) Number of Weighted- Weighted- Aggregate Balance—December 31, 2022 5,451,132 $ 9.90 5.31 $ 7 Options granted 2,076,000 2.76 Options exercised — — Options forfeited or expired ( 173,221 ) 12.67 Balance—March 31, 2023 7,353,911 $ 7.82 6.26 $ 202 Options vested and exercisable as of March 31, 2023 3,871,448 $ 9.19 3.37 $ 177
Summary of Weighted-average Assumptions Used in Determination of Fair Value of Stock Options	The fair value of stock options was estimated using the following weighted-average assumptions: Three Months Ended March 31, 2023 2022 Expected term (in years) 5.77 6.00 - 6.08 Volatility 78.98 % 68.37 - 69.10 % Risk-free interest rate 3.58 % 1.62 - 2.13 % Dividend yield – % – %
Summary of Restricted Stock Units Activity	A summary of the Company’s RSU activity under the 2019 Plan and Inducement Plan for the three months ended March 31, 2023 is as follows: Unvested Restricted Stock Units (in thousands, except share and per share data) Number of Weighted- Aggregate Balance—December 31, 2022 2,621,482 $ 9.33 $ 5,191 RSUs granted — — RSUs vested ( 67,406 ) 18.77 184 RSUs forfeited ( 357,068 ) 8.13 Balance—March 31, 2023 2,197,008 $ 9.23 $ 6,064
Stock Based Compensation Expense by Award Type and Function	The following is a summary of stock-based compensation expense by award type (in thousands): Three Months Ended March 31, 2023 2022 Stock options $ 1,343 $ 2,396 RSUs 2,123 2,168 ESPP 229 252 Total stock-based compensation expense $ 3,695 $ 4,816 The following is a summary of stock-based compensation expense by function (in thousands): Three Months Ended March 31, 2023 2022 Cost of revenue $ 490 $ 458 Research and development 1,245 1,341 Selling, general and administrative 1,960 3,017 Total stock-based compensation expense $ 3,695 $ 4,816

Basic and Diluted Net Loss Pe_2

Basic and Diluted Net Loss Per Common Share (Tables)	3 Months Ended
	Mar. 31, 2023
Earnings Per Share [Abstract]
Schedule of Computation of Basic and Diluted Net Loss per Share	The following table sets forth the computation of basic and diluted net loss per share attributable to common stockholders (in thousands, except share and per share amounts): Three Months Ended March 31, 2023 2022 Net loss $ ( 28,659 ) $ ( 28,209 ) Weighted-average common shares outstanding—basic and diluted 46,740,270 44,995,752 Net loss per common share—basic and diluted $ ( 0.61 ) $ ( 0.63 )
Schedule of Potentially Dilutive Shares Excluded from Computation of Diluted Net Loss per Common Share	The following table sets forth the potentially dilutive shares excluded from the computation of diluted net loss per common share because their effect was anti-dilutive: Three Months Ended March 31, 2023 2022 Options to purchase common stock 7,774,911 5,141,353 Unvested RSUs 2,197,008 1,643,609 ESPP 453,380 80,805 Total 10,425,299 6,865,767

Company and Nature of Business

Company and Nature of Business - Additional Information (Details)	3 Months Ended
	Mar. 31, 2023 Segment
Organization Consolidation And Presentation Of Financial Statements [Abstract]
Number of reportable segments	1

Summary of Significant Accoun_4

Summary of Significant Accounting Policies - Additional Information (Details) - USD ($)	1 Months Ended	3 Months Ended
	Dec. 31, 2021	Mar. 31, 2023	Mar. 31, 2022
Summary Of Significant Accounting Policies [Line Items]
Dividend yield		0%	0%
Dividends		$ 0
ASU 2016-13
Summary Of Significant Accounting Policies [Line Items]
Change in Accounting Principle, Accounting Standards Update, Adopted [true false]		true
Change in Accounting Principle, Accounting Standards Update, Immaterial Effect [true false]		true
Minimum | ASU 2014-09
Summary Of Significant Accounting Policies [Line Items]
Standard payment terms		90 days
Maximum | ASU 2014-09
Summary Of Significant Accounting Policies [Line Items]
Period between payment by customer and transfer of promised services		1 year
Recognition period of incremental costs		1 year
At Market Sales Agreement
Summary Of Significant Accounting Policies [Line Items]
Proceeds from Issuance or Sale of Equity	$ 100,000,000
Commission percentage of sale proceeds from common stock	3%

Summary of Significant Accoun_5

Summary of Significant Accounting Policies - Schedule of Percentage of Revenue and Accounts Receivables from Customers (Details) - Customer Concentration Risk	3 Months Ended		12 Months Ended
	Mar. 31, 2023	Mar. 31, 2022	Dec. 31, 2022
Revenue | Natera Inc.
Summary Of Significant Accounting Policies [Line Items]
Concentration risk percentage	50%	27%
Revenue | VA MVP
Summary Of Significant Accounting Policies [Line Items]
Concentration risk percentage	16%	23%
Revenue | Pfizer Inc.
Summary Of Significant Accounting Policies [Line Items]
Concentration risk percentage		11%
Accounts Receivable | Natera Inc.
Summary Of Significant Accounting Policies [Line Items]
Concentration risk percentage	35%		43%
Accounts Receivable | VA MVP
Summary Of Significant Accounting Policies [Line Items]
Concentration risk percentage	14%
Accounts Receivable | Pfizer Inc.
Summary Of Significant Accounting Policies [Line Items]
Concentration risk percentage	13%		10%
Accounts Receivable | GSK plc
Summary Of Significant Accounting Policies [Line Items]
Concentration risk percentage	12%		12%

Summary of Significant Accoun_6

Summary of Significant Accounting Policies - Schedule of Percentage of Revenue and Accounts Receivables from Customers (Parenthetical) (Details) - Maximum - Customer	3 Months Ended
	Mar. 31, 2023
Accounts Receivable
Summary Of Significant Accounting Policies [Line Items]
Concentration risk percentage	10%
Revenue
Summary Of Significant Accounting Policies [Line Items]
Concentration risk percentage	10%

Revenue - Schedule of Revenue D

Revenue - Schedule of Revenue Disaggregated by Customer Type (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2023	Mar. 31, 2022
Disaggregation Of Revenue [Line Items]
Revenue	$ 18,860	$ 15,227
Pharma Tests and Services
Disaggregation Of Revenue [Line Items]
Revenue	6,333	7,562
Enterprise Sales
Disaggregation Of Revenue [Line Items]
Revenue	9,458	4,116
Population Sequencing
Disaggregation Of Revenue [Line Items]
Revenue	3,005	3,501
Other
Disaggregation Of Revenue [Line Items]
Revenue	$ 64	$ 48

Revenue - Additional Informatio

Revenue - Additional Information (Details) - USD ($) $ in Millions	3 Months Ended
	Mar. 31, 2023	Mar. 31, 2022	Dec. 31, 2022
Disaggregation Of Revenue [Line Items]
Contract liabilities	$ 6.3		$ 1.3
Contract liability, revenue recognized		$ 2.5
Contract with customer unsatisfied services	$ 5
Revenue performance obligation unsatisfied service, period	unsatisfied services under contracts with an original expected duration of more than one year
Other Long-term Liabilities
Disaggregation Of Revenue [Line Items]
Contract liabilities	$ 3.7
Customer Concentration Risk | Revenues | Maximum | Significant Customers | Outside of United States
Disaggregation Of Revenue [Line Items]
Revenue	13%	18%

Revenue - Additional Informat_2

Revenue - Additional Information (Details 1) - Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2023-04-01 $ in Millions	Mar. 31, 2023 USD ($)
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items]
Remaining performance obligation, amount	$ 1.3
Remaining performance obligation, expected time of satisfaction	12 months

Balance Sheet Details - Schedul

Balance Sheet Details - Schedule of Inventory and Other Deferred Costs (Details) - USD ($) $ in Thousands	Mar. 31, 2023	Dec. 31, 2022
Inventory And Other Deferred Costs [Abstract]
Raw materials	$ 5,517	$ 6,384
Other deferred costs	2,702	2,207
Total inventory and other deferred costs	$ 8,219	$ 8,591

Balance Sheet Details - Additio

Balance Sheet Details - Additional Information (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2023	Mar. 31, 2022	Dec. 31, 2022
Income Statement [Abstract]
Depreciation and amortization expense	$ 2,781	$ 1,774
Accumulated depreciation and amortization	29,600		$ 26,900
Restricted cash, included in other long-term assets	$ 1,790	$ 1,790	$ 1,800

Balance Sheet Details - Sched_2

Balance Sheet Details - Schedule of Accrued and Other Current Liabilities (Details) - USD ($) $ in Thousands	Mar. 31, 2023	Dec. 31, 2022
Payables And Accruals [Abstract]
Accrued compensation	$ 9,675	$ 9,008
Operating lease liabilities	$ 6,529	$ 5,391
Operating Lease Liability Current Statement Of Financial Position Extensible List	Accounts payable	Accounts payable
Accrued liabilities	$ 1,018	$ 1,700
Loans—current portion (Note 6)	2,257	2,218
Employee ESPP contributions	1,010	543
Accrued taxes	134	123
Customer deposits	30	30
Total accrued and other current liabilities	$ 20,653	$ 19,013

Fair Value Measurements - Sched

Fair Value Measurements - Schedule of Financial Assets Measured at Fair Value on Recurring Basis and Level of Inputs used in such Measurements (Details) - USD ($) $ in Thousands	Mar. 31, 2023	Dec. 31, 2022	Mar. 31, 2022
Assets
Cash and cash equivalents, Adjusted Cost	$ 87,172	$ 89,128	$ 91,586
Fair Value Measurements Recurring
Assets
Assets, Adjusted Cost	149,194	168,342
Assets, Unrealized Gains	7	2
Assets, Unrealized Losses	(262)	(686)
Assets, Fair Value	148,939	167,658
Cash and cash equivalents, Adjusted Cost	87,173	89,142
Cash and cash equivalents, Unrealized Gains	5	1
Cash and cash equivalents, Unrealized Losses	(6)	(15)
Cash and cash equivalents, Fair Value	87,172	89,128
Fair Value Measurements Recurring | Short-term Investments
Assets
Investments, Adjusted Cost	62,021	79,200
Investments, Unrealized Gains	2	1
Investments, Unrealized Losses	(256)	(671)
Investments, Fair Value	61,767	78,530
Fair Value Measurements Recurring | Cash
Assets
Cash and cash equivalents, Adjusted Cost	4,506	5,615
Cash and cash equivalents, Fair Value	4,506	5,615
Fair Value Measurements Recurring | Money Market Funds | Level 1
Assets
Cash and cash equivalents, Adjusted Cost	40,062	31,401
Cash and cash equivalents, Fair Value	40,062	31,401
Fair Value Measurements Recurring | Commercial Paper | Level 2
Assets
Cash and cash equivalents, Adjusted Cost	27,294	47,135
Cash and cash equivalents, Unrealized Losses	(6)	(15)
Cash and cash equivalents, Fair Value	27,288	47,120
Fair Value Measurements Recurring | Commercial Paper | Level 2 | Short-term Investments
Assets
Investments, Adjusted Cost	11,156	13,097
Investments, Unrealized Losses	(32)	(51)
Investments, Fair Value	11,124	13,046
Fair Value Measurements Recurring | U.S. Government Securities | Level 2
Assets
Cash and cash equivalents, Adjusted Cost	9,961	4,991
Cash and cash equivalents, Unrealized Gains	3	1
Cash and cash equivalents, Fair Value	9,964	4,992
Fair Value Measurements Recurring | U.S. Government Securities | Level 2 | Short-term Investments
Assets
Investments, Adjusted Cost	44,018	56,658
Investments, Unrealized Gains	2	1
Investments, Unrealized Losses	(189)	(515)
Investments, Fair Value	43,831	56,144
Fair Value Measurements Recurring | U.S. Agency Securities | Level 2
Assets
Cash and cash equivalents, Adjusted Cost	5,350
Cash and cash equivalents, Unrealized Gains	2
Cash and cash equivalents, Fair Value	5,352
Fair Value Measurements Recurring | U.S. Agency Securities | Level 2 | Short-term Investments
Assets
Investments, Adjusted Cost	6,847	9,445
Investments, Unrealized Losses	(35)	(105)
Investments, Fair Value	$ 6,812	$ 9,340

Fair Value Measurements - Addit

Fair Value Measurements - Additional Information (Details)	Mar. 31, 2023 USD ($)
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items]
Unrealized loss position for 12 months or greater on security	$ 0

Loans - Additional Information

Loans - Additional Information (Details) - Payment Agreement with Financing Entity	1 Months Ended		3 Months Ended
	Jul. 31, 2022 USD ($) Payment	Apr. 30, 2021 USD ($) Payment	Mar. 31, 2023 USD ($)	Mar. 31, 2022 USD ($)	Dec. 31, 2022 USD ($)
Debt Disclosure [Line Items]
Principal amount			$ 2,730,000		$ 2,730,000
Initial present value of payment agreements			6,400,000
Maximum
Debt Disclosure [Line Items]
Interest expense			$ 100,000	$ 100,000
Software
Debt Disclosure [Line Items]
Principal amount	$ 1,300,000	$ 2,400,000
Number of equal payments | Payment	3	3
Noninterest bearing rate		0%
Imputed interest rate	9%	7%
Computer Equipment
Debt Disclosure [Line Items]
Principal amount		$ 3,100,000
Number of equal payments | Payment		3
May 2021 | Software
Debt Disclosure [Line Items]
Payment of debt		$ 800,000
May 2022 | Software
Debt Disclosure [Line Items]
Payment of debt		800,000
May 2023 | Software
Debt Disclosure [Line Items]
Payment of debt		800,000
July 2021 | Computer Equipment
Debt Disclosure [Line Items]
Payment of debt		1,000,000
June 2022 | Computer Equipment
Debt Disclosure [Line Items]
Payment of debt		1,000,000
June 2023 | Computer Equipment
Debt Disclosure [Line Items]
Payment of debt		$ 1,000,000
September 2022 | Software
Debt Disclosure [Line Items]
Payment of debt	$ 400,000
September 2023 | Software
Debt Disclosure [Line Items]
Payment of debt	400,000
September 2024 | Software
Debt Disclosure [Line Items]
Payment of debt	$ 400,000

Loans - Schedule of Amounts Out

Loans - Schedule of Amounts Outstanding (Details) - Payment Agreement with Financing Entity - USD ($) $ in Thousands	Mar. 31, 2023	Dec. 31, 2022
Debt Disclosure [Line Items]
Principal	$ 2,730	$ 2,730
Less: unamortized discount	(87)	(134)
Total carrying amount	2,643	2,596
Less: current portion (included in accrued and other current liabilities)	(2,257)	(2,218)
Long-term portion (included in other long-term liabilities)	$ 386	$ 378

Leases - Additional Information

Leases - Additional Information (Details) $ in Millions	3 Months Ended		12 Months Ended
	Mar. 31, 2023 USD ($) ft²	Mar. 31, 2022 USD ($)	Dec. 31, 2022	Dec. 31, 2021 USD ($) ft²	Dec. 31, 2020	Dec. 31, 2019	Dec. 31, 2015 ft²
Lessee Lease Description [Line Items]
Area of office space				14,710			31,280
Lease expiration month and year				2022-12	2027-11
Operating lease, existence of option to extend				false	true
Operating lease, option to extend	an option to extend the term for a period of three years			not extended
Operating lease option to extend term					3 years
Operating leases, weighted-average remaining lease term	11 years
Operating leases, weighted-average discount rate	10.50%
Cash paid for operating lease liabilities | $	$ 0.8	$ 0.9
Co-located Data Center Space
Lessee Lease Description [Line Items]
Lease expiration month and year			2025-09
Operating lease, existence of option to extend			true
Operating lease, option to extend	option to extend the term for a period of three years
Operating lease option to extend term			3 years
Noncancelable operating lease term						3 years
Future Corporate Headquarters and Expanded Laboratory Facility
Lessee Lease Description [Line Items]
Area of office space				100,000
Lease expiration month and year				2036-03
Operating lease, existence of option to extend				true
Operating lease, option to extend	two options to extend the term for a period of five-years
Operating lease option to extend term				5 years
Lease term				13 years 6 months
Operating lease landlord agreed to contribution amount, approximate | $				$ 15.1
China Operations
Lessee Lease Description [Line Items]
Area of office space	5,100
Lease expiration date	Jun. 30, 2024

Leases - Components of Lease Co

Leases - Components of Lease Cost (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2023	Mar. 31, 2022
Lease cost
Operating lease cost	$ 1,749	$ 2,174
Short-term lease cost	99	29
Variable lease cost	493	261
Total lease cost	$ 2,341	$ 2,464

Leases - Schedule of Future Min

Leases - Schedule of Future Minimum Lease Payments (Details) - USD ($) $ in Thousands	Mar. 31, 2023	Dec. 31, 2022
Leases [Abstract]
2023 (remaining nine months)	$ 4,907
2024	7,895
2025	7,808
2026	7,168
2027	7,189
2028 and thereafter	48,013
Total future minimum lease payments	82,980
Less: imputed interest	(36,142)
Present value of future minimum lease payments	46,838
Less: current portion of operating lease liability	(6,529)	$ (5,391)
Long-term operating lease liabilities	$ 40,309	$ 41,041

Stock-Based Compensation - Summ

Stock-Based Compensation - Summary of Shares of Common Stock Reserved for Issuance (Details)	Mar. 31, 2023 shares
Disclosure Of Compensation Related Costs Sharebased Payments [Abstract]
Outstanding stock awards	9,971,919
Reserved for future award grants	2,748,592
Reserved for future ESPP	1,082,950
Total common stock reserved for stock awards	13,803,461

Stock-Based Compensation - Su_2

Stock-Based Compensation - Summary of Stock Option Activity (Details) - 2011 Plan, 2019 Plan and Inducement Plan - USD ($) $ / shares in Units, $ in Thousands	3 Months Ended	12 Months Ended
	Mar. 31, 2023	Dec. 31, 2022
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]
Outstanding Options, Number of Shares, Beginning Balance	5,451,132
Outstanding Options, Number of Shares, granted	2,076,000
Outstanding Options, Number of Shares, forfeited or expired	(173,221)
Outstanding Options, Number of Shares, Ending Balance	7,353,911	5,451,132
Options vested and exercisable, Number of Shares	3,871,448
Outstanding Options, Weighted-Average Exercise Price, Beginning Balance	$ 9.90
Outstanding Options, Weighted-Average Exercise Price, granted	2.76
Outstanding Options, Weighted-Average Exercise Price, forfeited or expired	12.67
Outstanding Options, Weighted-Average Exercise Price, Ending Balance	7.82	$ 9.90
Options vested and exercisable, Weighted-Average Exercise Price	$ 9.19
Outstanding Options, Weighted-Average Remaining Contractual Term (in years)	6 years 3 months 3 days	5 years 3 months 21 days
Options vested and exercisable, Weighted-Average Remaining Contractual Term (in years)	3 years 4 months 13 days
Outstanding Options, Aggregate Intrinsic Value	$ 202	$ 7
Options vested and exercisable, Aggregate Intrinsic Value	$ 177

Stock-Based Compensation - Addi

Stock-Based Compensation - Additional Information (Details) - USD ($) $ / shares in Units, $ in Millions	3 Months Ended
	Mar. 31, 2023	Mar. 31, 2022
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]
Weighted-average grant date fair value of options granted	$ 1.91	$ 6.59
Unrecognized stock-based compensation cost of unvested options	$ 11.6
Unrecognized stock-based compensation of unvested options, recognized over weighted-average period	2 years 7 months 6 days
2019 Employee Stock Purchase Plan
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]
Common stock shares purchased	0
Number of shares, grants for stock purchase rights	0
Performance-Based Stock Option
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]
Performance-based stock option activity, number of shares	421,000
Performance-based stock option activity, exercise price	$ 5.10
Performance-based stock option activity, remaining contractual term	9 months
Performance-based stock option activity, Fully vested and exercisable intrinsic value	$ 0
Restricted Stock Units
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]
Unrecognized stock-based compensation of unvested options, recognized over weighted-average period	2 years 4 months 24 days
Unrecognized stock-based compensation cost of unvested RSUs	$ 16.9

Stock-Based Compensation - Su_3

Stock-Based Compensation - Summary of Weighted-average Assumptions Used in Determination of Fair Value of Service-Based Stock Options (Details)	3 Months Ended
	Mar. 31, 2023	Mar. 31, 2022
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]
Expected term (in years)	5 years 9 months 7 days
Volatility, minimum		68.37%
Volatility, maximum		69.10%
Risk-free interest rate, minimum		1.62%
Risk-free interest rate, maximum		2.13%
Dividend yield	0%	0%
Volatility	78.98%
Risk-free interest rate	3.58%
Minimum
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]
Expected term (in years)		6 years
Maximum
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]
Expected term (in years)		6 years 29 days

Stock-Based Compensation - Su_4

Stock-Based Compensation - Summary of Restricted Stock Unit Activity (Details) - Restricted Stock Units - 2019 Plan and Inducement Plan - USD ($) $ / shares in Units, $ in Thousands	3 Months Ended
	Mar. 31, 2023	Dec. 31, 2022
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]
Unvested Restricted Stock Units, Number of Shares, Beginning Balance	2,621,482
Unvested Restricted Stock Units, Number of Shares, vested	(67,406)
Unvested Restricted Stock Units, Number of Shares, forfeited	(357,068)
Unvested Restricted Stock Units, Number of Shares, Ending Balance	2,197,008
Unvested Restricted Stock Units, Weighted-Average Grant Date Fair Value, Beginning Balance	$ 9.33
Unvested Restricted Stock Units, Weighted-Average Grant Date Fair Value, vested	18.77
Unvested Restricted Stock Units, Weighted-Average Grant Date Fair Value, forfeited	8.13
Unvested Restricted Stock Units, Weighted-Average Grant Date Fair Value, Ending Balance	$ 9.23
Unvested Restricted Stock Units, Aggregate Fair Value	$ 6,064	$ 5,191
Restricted Stock Units, Aggregate Fair Value, vested	$ 184

Stock-Based Compensation - Su_5

Stock-Based Compensation - Summary of Stock-Based Compensation Expense by Award Type (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2023	Mar. 31, 2022
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]
Stock-based compensation expense	$ 3,695	$ 4,816
Stock Options
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]
Stock-based compensation expense	1,343	2,396
RSUs
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]
Stock-based compensation expense	2,123	2,168
ESPP
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]
Stock-based compensation expense	$ 229	$ 252

Stock-Based Compensation - Su_6

Stock-Based Compensation - Summary of Stock-Based Compensation Expense by Function (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2023	Mar. 31, 2022
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]
Stock-based compensation expense	$ 3,695	$ 4,816
Costs of revenue
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]
Stock-based compensation expense	490	458
Research and development
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]
Stock-based compensation expense	1,245	1,341
Selling, general, and administrative
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]
Stock-based compensation expense	$ 1,960	$ 3,017

Basic and Diluted Net Loss Pe_3

Basic and Diluted Net Loss Per Common Share - Schedule of Computation of Basic and Diluted Net Loss per Share (Details) - USD ($) $ / shares in Units, $ in Thousands	3 Months Ended
	Mar. 31, 2023	Mar. 31, 2022
Earnings Per Share [Abstract]
Net loss	$ (28,659)	$ (28,209)
Weighted-average common shares outstanding-basic	46,740,270	44,995,752
Weighted-average common shares outstanding-diluted	46,740,270	44,995,752
Net loss per common share-basic	$ (0.61)	$ (0.63)
Net loss per common share-diluted	$ (0.61)	$ (0.63)

Basic and Diluted Net Loss Pe_4

Basic and Diluted Net Loss Per Common Share - Schedule of Potentially Dilutive Shares Excluded from Computation of Diluted Net Loss per Common Share (Details) - shares	3 Months Ended
	Mar. 31, 2023	Mar. 31, 2022
Antidilutive Securities Excluded From Computation Of Earnings Per Share [Line Items]
Potentially dilutive securities excluded from computation of diluted net loss per share	10,425,299	6,865,767
Options To Purchase Common Stock
Antidilutive Securities Excluded From Computation Of Earnings Per Share [Line Items]
Potentially dilutive securities excluded from computation of diluted net loss per share	7,774,911	5,141,353
Unvested RSUs
Antidilutive Securities Excluded From Computation Of Earnings Per Share [Line Items]
Potentially dilutive securities excluded from computation of diluted net loss per share	2,197,008	1,643,609
ESPP
Antidilutive Securities Excluded From Computation Of Earnings Per Share [Line Items]
Potentially dilutive securities excluded from computation of diluted net loss per share	453,380	80,805

Restructuring and Other Charg_2

Restructuring and Other Charges - Additional Information (Details) $ in Thousands	3 Months Ended
	Mar. 31, 2023 USD ($) Employees
Restructuring Cost and Reserve [Line Items]
Restructuring expenses recognized	$ 3,885
Restructuring completed date	Mar. 31, 2023
Number of employees affected in workforce reduction | Employees	100
Restructuring expenses unpaid	$ 800
Non-cash charges, disposals of fixed assets and impairment of other assets	500
One-time Employee Termination Benefits
Restructuring Cost and Reserve [Line Items]
Restructuring expenses recognized	3,100
CHINA
Restructuring Cost and Reserve [Line Items]
Restructuring expenses recognized	$ 800
Number of employees eligible for separation pay | Employees	12
CHINA | One-time Employee Termination Benefits
Restructuring Cost and Reserve [Line Items]
Restructuring expenses recognized	$ 300