Investments and Fair Value Measurements
The following table summarizes the amortized cost, unrealized gains and losses, and fair value of the Company’s available-for-sale securities, including those securities classified within “Cash and cash equivalents” in the consolidated balance sheets (in thousands):
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| March 31, 2026 |
| Amortized Cost | | Gross Unrealized Gains | | Gross Unrealized Losses | | Fair Value |
| U.S. treasury securities | $ | 92,611 | | | $ | 74 | | | $ | (105) | | | $ | 92,580 | |
| Corporate debt securities | 25,491 | | | 23 | | | (44) | | | 25,470 | |
| U.S. government agency securities | 3,987 | | | — | | | (1) | | | 3,986 | |
| Commercial paper | 2,588 | | | — | | | — | | | 2,588 | |
| Total | $ | 124,677 | | | $ | 97 | | | $ | (150) | | | $ | 124,624 | |
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| March 31, 2025 |
| Amortized Cost | | Gross Unrealized Gains | | Gross Unrealized Losses | | Fair Value |
| U.S. treasury securities | $ | 108,045 | | | $ | 223 | | | $ | (12) | | | $ | 108,256 | |
| Corporate debt securities | $ | 22,457 | | | $ | 71 | | | $ | (14) | | | 22,514 | |
| U.S. government agency securities | 12,744 | | | 2 | | | (3) | | | 12,743 | |
| Commercial paper | 7,778 | | | 2 | | | (1) | | | 7,779 | |
| Total | $ | 151,024 | | | $ | 298 | | | $ | (30) | | | $ | 151,292 | |
As of March 31, 2026, the fair values of available-for-sale securities by remaining contractual maturity are as follows (in thousands):
| | | | | |
| March 31, 2026 |
| Due within one year | $ | 74,881 | |
| Due in one year through five years | 49,743 | |
| Total | $ | 124,624 | |
The Company offers a non-qualified deferred compensation plan to eligible U.S. employees and directors. The Company held $2.2 million and $0.7 million of securities in mutual funds that are associated with this plan and were classified as restricted trading securities as of March 31, 2026 and 2025, respectively. These securities are not included in the tables above but are included as marketable securities in the consolidated balance sheets.
The following tables present the Company’s financial assets that have been measured at fair value on a recurring basis as of March 31, 2026 and 2025, and indicate the fair value hierarchy of the valuation inputs utilized to determine such fair value (in thousands):
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| March 31, 2026 |
| Level 1 | | Level 2 | | Level 3 | | Total |
| Cash equivalents: | | | | | | | |
| Money market funds | $ | 528,169 | | | $ | — | | | $ | — | | | $ | 528,169 | |
| | | | | | | |
| | | | | | | |
| | | | | | | |
| Marketable securities: | | | | | | | |
| | | | | | | |
| Mutual funds | 2,165 | | | — | | | — | | | 2,165 | |
| U.S. treasury securities | — | | | 92,580 | | | — | | | 92,580 | |
| Corporate debt securities | — | | | 25,470 | | | — | | | 25,470 | |
| U.S. government agency securities | — | | | 3,986 | | | — | | | 3,986 | |
| Commercial paper | — | | | 2,588 | | | — | | | 2,588 | |
| Total financial assets | $ | 530,334 | | | $ | 124,624 | | | $ | — | | | $ | 654,958 | |
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| March 31, 2025 |
| Level 1 | | Level 2 | | Level 3 | | Total |
| Cash equivalents: | | | | | | | |
| Money market funds | $ | 679,675 | | | $ | — | | | $ | — | | | $ | 679,675 | |
| U.S. treasury securities | — | | | 1,577 | | | — | | | 1,577 | |
| U.S. government agency securities | — | | | 996 | | | — | | | 996 | |
| Commercial paper | — | | | 1,596 | | | — | | | 1,596 | |
| Marketable securities: | | | | | | | |
| | | | | | | |
| Mutual funds | 714 | | | — | | | — | | | 714 | |
| U.S. treasury securities | — | | | 106,679 | | | — | | | 106,679 | |
| Corporate debt securities | — | | | 22,514 | | | — | | | 22,514 | |
| U.S. government agency securities | — | | | 11,747 | | | — | | | 11,747 | |
| Commercial paper | — | | | 6,183 | | | — | | | 6,183 | |
| Total financial assets | $ | 680,389 | | | $ | 151,292 | | | $ | — | | | $ | 831,681 | |
The Company recorded interest income from its cash, cash equivalents, and marketable securities of $48.6 million, $49.3 million, $38.7 million for the years ended March 31, 2026, 2025, and 2024, respectively.