XML 37 R26.htm IDEA: XBRL DOCUMENT v3.10.0.1
Stockholders' Equity and Employee Benefit Plans (Tables)
 9 Months Ended
Sep. 30, 2018
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]  
Summary of Stock Option Activity

The following is a summary of stock option activity for the current year period:

 

 

 

Stock Options

 

 

 

Number of

Shares

 

 

Weighted

Average

Exercise

Price

 

Aggregate

Intrinsic Value

(in thousands)

 

Weighted

Average

Remaining

Contractual

Term

(in years)

 

Outstanding, vested and expected to vest at December 31, 2017

 

 

13,809,069

 

 

$14.82

 

$9,292

 

 

7.8

 

Granted

 

 

5,455,835

 

 

$13.32

 

 

 

 

 

 

Exercised

 

 

(66,265

)

 

$6.62

 

 

 

 

 

 

Forfeited

 

 

(690,207

)

 

$15.23

 

 

 

 

 

 

Expired

 

 

(139,558

)

 

$13.95

 

 

 

 

 

 

Outstanding, vested and expected to vest at September 30, 2018

 

 

18,368,874

 

 

$14.39

 

$30,217

 

 

7.8

 

Exercisable at September 30, 2018

 

 

9,400,643

 

 

$14.19

 

$17,425

 

 

6.7

 

 
Summary of Stock-based Compensation Expense Recognized in Financial Statements

Stock-based compensation expense recognized in the condensed consolidated financial statements is as follows:

 

 

Three Months Ended September 30,

 

 

Nine Months Ended September 30,

 

(in thousands)

 

2018

 

 

2017

 

 

2018

 

 

2017

 

Cost of revenue

 

$

6,472

 

 

$

634

 

 

$

7,776

 

 

$

1,870

 

Research and development

 

 

37,490

 

 

 

2,799

 

 

 

43,903

 

 

 

7,065

 

Sales and marketing

 

 

14,496

 

 

 

1,322

 

 

 

16,411

 

 

 

6,622

 

General and administrative

 

 

40,354

 

 

 

3,667

 

 

 

48,014

 

 

 

10,806

 

Stock-based compensation expense, net of amounts capitalized

 

 

98,812

 

 

 

8,422

 

 

 

116,104

 

 

 

26,363

 

Capitalized stock-based compensation expense

 

 

495

 

 

 

587

 

 

 

1,251

 

 

 

2,510

 

Stock-based compensation expense

 

$

99,307

 

 

$

9,009

 

 

$

117,355

 

 

$

28,873

 

 
Summary of Unamortized Stock-based Compensation

As of September 30, 2018, unamortized stock-based compensation was as follows:

 

 

Unrecognized

stock-based

compensation

(in thousands)

 

 

Weighted

average

vesting

period

(in years)

 

Stock options

 

$

51,020

 

 

 

2.4

 

Restricted stock units (service-based)

 

 

4,800

 

 

 

1.1

 

Restricted stock units (performance-based)(1)

 

 

37,865

 

 

 

1.6

 

Total unrecognized stock-based compensation

 

$

93,685

 

 

 

 

 

 

(1)

The Performance Vesting Condition occurred upon the effectiveness of the registration statement for the Company's IPO, which was September 25, 2018. The remaining unrecognized stock-based compensation expense is recognized on an accelerated basis over the weighted-average remaining requisite service period.
Restricted Stock Awards  
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]  
Summary of Restricted Stock Awards and Restricted Stock Units

The following is a summary of restricted stock awards for the current year period:

 

 

 

Restricted Stock Awards

 

 

 

Number of

Shares

 

 

Weighted

Average

Grant-Date Fair

Value

 

Weighted

Average

Remaining

Contractual

Term

(in years)

 

Unvested at December 31, 2017

 

 

480,866

 

 

$14.38

 

 

0.6

 

Vested

 

 

(480,866

)

 

$14.38

 

 

 

 

Unvested at September 30, 2018

 

 

—

 

 

$0.00

 

 

0.0

 

 
Restricted Stock Units  
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]  
Summary of Restricted Stock Awards and Restricted Stock Units

The following is a summary of restricted stock units for the current year period:

 

 

Restricted Stock Units

 

 

 

Number of

Shares

 

 

Weighted

Average

Grant-Date Fair

Value

 

Weighted

Average

Remaining

Contractual

Term

(in years)

 

Unvested at December 31, 2017

 

 

8,838,281

 

 

$12.52

 

 

2.2

 

Granted

 

 

3,483,580

 

 

$13.33

 

 

 

 

Vested, gross of shares withheld for employee payroll taxes

 

 

(5,158,846

)

 

$12.70

 

 

 

 

Forfeited/canceled, including shares withheld for employee payroll taxes

 

 

(866,208

)

 

$12.64

 

 

 

 

Unvested at September 30, 2018

 

 

6,296,807

 

 

$12.81

 

 

1.2

 

 
Out-of-the-Money Stock Option  
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]  
Summary of Estimated Fair Value of Stock Options on Grant Date

The fair value of each out-of-the-money stock option was estimated on their grant dates using the following assumptions:

 

 

 

Three Months Ended September 30,

 

Nine Months Ended September 30,

 

 

2018

 

2017

 

2018

 

2017

Expected life (in years)

 

n/a

 

5.7 to 6.1

 

n/a

 

5.7 to 6.1

Risk-free interest rate

 

n/a

 

2.4%

 

n/a

 

2.4%

Volatility

 

n/a

 

50%

 

n/a

 

50%

Dividend yield

 

n/a

 

—%

 

n/a

 

—%

Fair value of common stock

 

n/a

 

$11.84

 

n/a

 

$11.84

 
At-the-Money Stock Option  
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]  
Summary of Estimated Fair Value of Stock Options on Grant Date

The fair value of each at-the-money stock option was estimated on their grant dates using the following assumptions

 

 

 

Three Months Ended September 30,

 

Nine Months Ended September 30,

 

 

2018

 

2017

 

2018

 

2017

Expected life (in years)

 

5.8 to 6.0

 

n/a

 

5.8 to 6.0

 

n/a

Risk-free interest rate

 

2.8% - 3.0%

 

n/a

 

2.7% - 3.0%

 

n/a

Volatility

 

44% - 60%

 

n/a

 

43% - 60%

 

n/a

Dividend yield

 

—%

 

n/a

 

—%

 

n/a

Fair value of common stock

 

$12.00 to $13.65

 

n/a

 

$12.00 to $13.65

 

n/a