Quarterly report pursuant to Section 13 or 15(d)

Stock-Based Compensation (Tables)

v3.22.1
Stock-Based Compensation (Tables)
3 Months Ended
Mar. 31, 2022
Share-based Payment Arrangement [Abstract]  
Schedule of stock-based compensation by award The weighted average assumptions (weighted by relative grant date fair value) used in the Monte Carlo simulation to value MIUs during the periods presented are as follows:
March 31, 2022 December 31, 2021
Holding period 2.00 years 2.00 years
Volatility 45.0 % 45.0  %
Discount for lack of marketability 28.0 % 28.0  %
Risk-free rate 1.6 % 1.6  %
MIU activities for the three months ended March 31, 2022 are summarized as follows (in thousands, except for per share data):

Number of Shares Weighted-average Grant Date Fair Value (per share) Weighted-average Remaining Contractual Term (1)
Outstanding at December 31, 2021 2,814 $ 0.79 
Granted — 
Vested (704) 0.79 
Forfeited — 
Outstanding at March 31, 2022 2,110 $ 0.79  1.31 years
(1) The weighted-average remaining contractual term is calculated as the sum of the weighted amount of time between the reporting period end and the vest date divided by the sum of the shares that are outstanding by the end of the reporting period.
RSU activities for the three months ended March 31, 2022 are summarized as follows (in thousands, except for per share data):
Equity-classified RSUs - employee (1)
Number of Shares Weighted-average Grant Date Fair Value (per share) Weighted-average Remaining Contractual Term (2)
Outstanding at December 31, 2021 4,962  $ 6.44 
Granted 599  4.75 
Vested —  — 
Forfeited (101) 6.26 
Outstanding at March 31, 2022 5,460  $ 6.26  1.65 years
(1) Represents awards granted to employees, executive officers and directors of the Company. Nonemployee directors acting in their role as members of a board of directors are treated as employees if (a) those directors were elected by the Company’s shareholders and (b) the awards granted to nonemployee directors are for their services as directors but not for other services.
(2) The weighted-average remaining contractual term is calculated as the sum of the weighted amount of time between the reporting period end and the vest date divided by the sum of the shares that are outstanding by the end of the reporting period.
Equity-classified RSUs - nonemployee (1)
Number of Shares Weighted-average Grant Date Fair Value (per share) Weighted-average Remaining Contractual Term (2)
Outstanding at December 31, 2021 20  $ 6.51 
Granted 4.94 
Vested —  — 
Forfeited —  — 
Outstanding at March 31, 2022 22  $ 6.34  1.44 years
(1) Represents awards granted to consultants of the Company.
(2) The weighted-average remaining contractual term is calculated as the sum of the weighted amount of time between the reporting period end and the vest date divided by the sum of the shares that are outstanding by the end of the reporting period.
The weighted average assumptions (weighted by relative grant date fair value) used in the Monte Carlo simulation to value PSUs granted during the periods presented are as follows:
March 31, 2022 December 31, 2021
Stock price $ 4.94  $ 6.13 
Measurement period 30.00 years 30.00 years
Expected volatility 47.50  % 47.50  %
Risk-free rate 2.24  % 1.89 %
Vesting hurdle 1 $ 12.50  $ 12.50 
Vesting hurdle 2 $ 15.00  $ 15.00 
Vesting hurdle 3 $ 17.00  $ 17.50 
PSU activities for the three months ended March 31, 2022 are summarized as follows (in thousands, except for per share data):

Equity-classified PSUs - employee (1)
Number of Shares Weighted-average Grant Date Fair Value (per share) Weighted-average Remaining Contractual Term (2)
Outstanding at December 31, 2021 1,612  $ 6.50 
Granted 125  4.94 
Vested —  — 
Forfeited —  — 
Outstanding at March 31, 2022 1,737  $ 6.39  10.67 years
(1) Represents awards granted to employees and executive officers of the Company.
(2) The weighted-average remaining contractual term is calculated as the sum of the weighted amount of time between the reporting period end and the vest date divided by the sum of the shares that are outstanding by the end of the reporting period.
Schedule of stock-based compensation expense
The following tables present the Company's stock-based compensation expense by financial statement line and by award type for the three months ended March 31, 2022 and 2021 (dollars in thousands):

Three Months Ended March 31,
2022 2021
Cost of revenue $ 312  $ 15 
Sales and marketing expense 607  28 
General and administrative expense 660  68 
Research and development expense 900  28 
Total stock-based compensation $ 2,479  $ 139 

Three Months Ended March 31,
2022 2021
Equity-classified awards:
MIUs $ 139  $ 139 
RSUs - employee 2,067  — 
RSUs - nonemployee — 
PSUs - employee 264  — 
Total equity-classified awards 2,479  139 
Total stock-based compensation $ 2,479  $ 139 
As of March 31, 2022, unrecognized stock-based compensation expense related to nonvested awards by award type and their expected weighted-average recognition periods are summarized in the following table (dollars in thousands):

Unrecognized Stock-based Compensation Expense Weighted-average Recognition Period (1)
Equity-classified awards:
MIUs $ 1,529  2.75 years
RSUs - employee 29,166  3.33 years
RSUs - nonemployee 119  3.22 years
PSUs - employee 10,450  10.67 years
Total equity-classified awards 41,264 
Total unrecognized stock-based compensation $ 41,264 
(1) The weighted-average recognition period is calculated as the sum of the weighted remaining period to recognize expense for nonvested awards divided by the sum of the shares that are expected to vest for all awards that have not vested or expired by the end of the reporting period. For awards for which the straight-line method is used for expense recognition, the remaining recognition period is the amount of time between the end of the reporting period and the end of the entire award. For awards for which the accelerated attribution method is used for expense recognition, the remaining recognition period is the amount of time between the end of the reporting period and the end of each separately vesting portion of the award.