MAXCYTE, INC. Fair Value Disclosure
6. | Fair Value |
The Company’s consolidated balance sheets include various financial instruments (primarily cash and cash equivalents, short-term investments, accounts receivable and accounts payable) that are carried at cost, which approximates fair value due to the short-term nature of the instruments.
Financial Assets and Liabilities Measured at Fair Value on a Recurring Basis
The Company had no financial assets or liabilities measured at fair value on a recurring basis as of December 31, 2025 or 2024.
Financial Assets and Liabilities Measured at Fair Value on a Non-Recurring Basis
Money market funds, commercial paper and corporate debt instruments classified as held-to-maturity are measured at fair value on a non-recurring basis when they are deemed to be impaired on an other-than-temporary basis. No such fair value impairment was recognized during the years ended December 31, 2025 or 2024.
The following table summarizes the Company’s financial instruments that were measured at fair value on a non-recurring basis at December 31, 2025:
Gross | Gross | |||||||||||||
Amortized | unrecognized | unrecognized | Aggregate | |||||||||||
Description | | Classification | | cost | | holding gains | | holding losses | | fair value | ||||
Money market funds and cash equivalents |
| Cash equivalents | $ | 17,239 | $ | — | $ | — | $ | 17,239 | ||||
Commercial paper |
| Short-term investments |
| 22,077 | 7 | (4) |
| 22,080 | ||||||
U.S. Treasury securities and government agency bonds | Short-term investments | 42,004 | 106 | — | 42,110 | |||||||||
Corporate debt |
| Short-term investments |
| 18,898 | 14 | (2) |
| 18,910 | ||||||
Corporate debt | Long-term investments | 39,558 | 125 | — | 39,683 | |||||||||
U.S. Treasury securities and government agency bonds | Long-term investments | 13,012 | 33 | — | 13,045 | |||||||||
Total cash equivalents, short-term investments and long-term investments |
| | $ | 152,788 | $ | 285 | $ | (6) | $ | 153,067 | ||||
The following table summarizes the Company’s financial instruments that were measured at fair value on a non-recurring basis at December 31, 2024:
Gross | Gross | |||||||||||||
Amortized | unrecognized | unrecognized | Aggregate | |||||||||||
Description | | Classification | | cost | | holding gains | | holding losses | | fair value | ||||
Money market funds and cash equivalents |
| Cash equivalents | $ | 19,759 | $ | — | $ | — | $ | 19,759 | ||||
Commercial paper | Cash equivalents | 5,959 | 1 | — | 5,960 | |||||||||
Commercial paper |
| Short-term investments |
| 47,907 |
| 28 |
| (8) |
| 47,927 | ||||
U.S. Treasury securities and government agency bonds | Short‑term investments |
| 64,193 |
| 135 |
| (4) |
| 64,324 | |||||
Corporate debt | Short‑term investments | 14,498 | 29 | (6) | 14,521 | |||||||||
U.S. Treasury securities and government agency bonds | Long-term investments | 35,781 | 106 | (68) | 35,819 | |||||||||
Total cash equivalents, short-term investments and long-term investments |
| | $ | 188,097 | $ | 299 | $ | (86) | $ | 188,310 | ||||
Non-Financial Assets and Liabilities Measured at Fair Value on a Recurring Basis
As described in Note 10, the Company acquired SeQure on January 29, 2025. The acquisition included a contingent consideration agreement where the Company agreed to pay an amount up to $2,500 if SeQure achieves certain revenue targets for the years ended December 31, 2025 and 2026. The fair value of the contingent consideration was estimated to be $25 on the acquisition date, using an income approach, which considers the expected future cash flows under the agreement. The fair value was estimated to be de minimis as of December 31, 2025. Contingent consideration is classified within Level 3 of the fair value hierarchy.
Non-Financial Assets and Liabilities Measured at Fair Value on a Non-Recurring Basis
The Company measures its long-lived assets, including property and equipment, at fair value on a non-recurring basis. These assets are recognized at fair value when they are deemed to be impaired. No such fair value impairment was recognized during the years ended December 31, 2025 or 2024.
Historical Timeline
| Fiscal Year | Filed | |
|---|---|---|
| 2025 | Mar 25, 2026 | Showing above |
| 2024 | Mar 11, 2025 | |
| 2023 | Mar 12, 2024 | |
| 2022 | Mar 15, 2023 | |
| 2021 | Mar 22, 2022 | |
About Fair Value Disclosures
Fair value disclosures classify all assets and liabilities measured at fair value into a three-level hierarchy: Level 1 (quoted market prices), Level 2 (observable inputs like yield curves), and Level 3 (unobservable inputs requiring management estimates). The proportion of Level 3 assets directly reflects how much of the balance sheet depends on internal models rather than market evidence.
Key signals: a growing Level 3 balance relative to total fair-value assets increases valuation uncertainty and earnings volatility risk. Watch for transfers between levels — assets moving from Level 2 to Level 3 often signal deteriorating market liquidity. Unrealized gains and losses on Level 3 positions flow through earnings or other comprehensive income, so large swings deserve scrutiny. For financial institutions, examine the sensitivity disclosures that show how Level 3 valuations change under alternative assumptions. Compare the fair value of debt against its carrying amount to gauge hidden leverage.