Fair Value Measurements (Tables)

6 Months Ended

Jun. 30, 2025

Schedule of Financial Assets Measured at Fair Value on a Recurring Basis

The following tables summarize the Company’s Level 1 and Level 2 financial assets measured at fair value on a recurring basis by level within the fair value hierarchy as of June 30, 2025 and December 31, 2024 (in thousands):


		June 30, 2025
	Valuation Hierarchy	Amortized Cost		Gross Unrealized Holding Gains		Gross Unrealized Holding Losses		Aggregate Fair Value
Assets:
Money market funds	Level 1	$	140,188	$	—	$	—	$	140,188
U.S. government treasuries	Level 2	379,284		172		(30)		379,426
U.S. government agency bonds and discount notes	Level 2	68,990		12		(15)		68,987
Asset-backed securities	Level 2	74,206		203		(1)		74,408
Corporate bonds	Level 2	212,334		484		(7)		212,811
Equity securities	Level 1	N/A		N/A		N/A		7,270
Total financial assets		$	875,002	$	871	$	(53)	$	883,090
Reconciliation to cash, cash equivalents and investments on condensed consolidated balance sheet
Minus: Restricted cash equivalents invested in money market funds								(11,891)
Plus: Cash deposits								20,919
Total cash, cash equivalents and investments								$	892,118


		December 31, 2024
	Valuation Hierarchy	Amortized Cost		Gross Unrealized Holding Gains		Gross Unrealized Holding Losses		Aggregate Fair Value
Assets:
Money market funds	Level 1	$	146,505	$	—	$	—	$	146,505
U.S. government treasuries	Level 2	588,794		722		(33)		589,483
U.S. government agency bonds and discount notes	Level 2	38,081		17		(19)		38,079
Asset-back securities	Level 2	51,038		220		(10)		51,248
Corporate bonds	Level 2	252,935		529		(9)		253,455
Equity securities	Level 1	N/A		N/A		N/A		4,350
Total financial assets		$	1,077,353	$	1,488	$	(71)	$	1,083,120
Reconciliation to cash, cash equivalents and investments on condensed consolidated balance sheet
Minus: Restricted cash equivalents invested in money market funds								(20,281)
Plus: Cash deposits								32,524
Total cash, cash equivalents and investments								$	1,095,363

Schedule of Estimated Fair Value of Significant Unobservable Inputs

As of June 30, 2025, the Company calculated the estimated fair value of the remaining regulatory milestone related to tobevibart using the following significant unobservable inputs:


Unobservable input						Value
Discount rates						10.1%
Probability of achievement						85.5%

As of June 30, 2025, the Monte Carlo simulation assumed a commercial product launch and associated discrete revenue forecasts, as well as the following significant unobservable inputs for the remaining commercial milestones related to tobevibart:


Unobservable input						Value
Volatility						55.0%
Discount rate						11.0%
Probability of achievement						85.5%

Schedule of Changes in Estimated Fair Value of Contingent Consideration

The following table sets forth the changes in the estimated fair value of the Company’s contingent consideration obligations (in thousands):


	Contingent Consideration Obligation
Balance at December 31, 2024	$	40,110
Changes in fair value	11,010
Payment	(17,500)
Balance at June 30, 2025	$	33,620

Vir Biotechnology, Inc. 10-Q