Oruka Therapeutics, Inc. Fair Value Disclosure
6. Fair Value Measurements
The following tables present the Company’s fair value hierarchy for financial assets measured as of December 31, 2025 and 2024 (in thousands):
| December 31, 2025 | ||||||||||||||||
| Level 1 | Level 2 | Level 3 | Total | |||||||||||||
| Cash equivalents | ||||||||||||||||
| Money market funds | $ | 30,268 | $ | $ | $ | 30,268 | ||||||||||
| Commercial papers | 14,483 | 14,483 | ||||||||||||||
| Total cash equivalents | 30,268 | 14,483 | 44,751 | |||||||||||||
| Marketable securities | ||||||||||||||||
| Marketable securities, current | ||||||||||||||||
| U.S. treasury securities | 195,915 | 195,915 | ||||||||||||||
| U.S. government agency securities | 28,757 | 28,757 | ||||||||||||||
| Commercial papers | 21,241 | 21,241 | ||||||||||||||
| Corporate debt securities | 44,196 | 44,196 | ||||||||||||||
| Total marketable securities, current | 290,109 | 290,109 | ||||||||||||||
| Marketable securities, long-term | ||||||||||||||||
| U.S. treasury securities | 75,730 | 75,730 | ||||||||||||||
| Corporate debt securities | 54,998 | 54,998 | ||||||||||||||
| U.S. government agency securities | 11,811 | 11,811 | ||||||||||||||
| Total marketable securities, long-term | 142,539 | 142,539 | ||||||||||||||
| Total cash equivalents and marketable securities | $ | 30,268 | $ | 447,131 | $ | $ | 477,399 | |||||||||
| December 31, 2024 | ||||||||||||||||
| Level 1 | Level 2 | Level 3 | Total | |||||||||||||
| Cash equivalents | ||||||||||||||||
| Money market funds | $ | 6,350 | $ | $ | $ | 6,350 | ||||||||||
| U.S. treasury securities | 19,660 | 19,660 | ||||||||||||||
| U.S. government agency securities | 3,988 | 3,988 | ||||||||||||||
| Commercial papers | 22,177 | 22,177 | ||||||||||||||
| Total cash equivalents | 6,350 | 45,825 | 52,175 | |||||||||||||
| Marketable securities | ||||||||||||||||
| Marketable securities, current | ||||||||||||||||
| U.S. treasury securities | 190,792 | 190,792 | ||||||||||||||
| U.S. government agency securities | 12,966 | 12,966 | ||||||||||||||
| Commercial papers | 34,811 | 34,811 | ||||||||||||||
| Corporate debt securities | 75,504 | 75,504 | ||||||||||||||
| Total marketable securities, current | 314,073 | 314,073 | ||||||||||||||
| Marketable securities, long-term | ||||||||||||||||
| U.S. treasury securities | 13,607 | 13,607 | ||||||||||||||
| U.S. government agency securities | 4,462 | 4,462 | ||||||||||||||
| Total marketable securities, long-term | 18,069 | 18,069 | ||||||||||||||
| Total cash equivalents and marketable securities | $ | 6,350 | $ | 377,967 | $ | $ | 384,317 | |||||||||
There were no transfers in or out of Level 3 during the year ended December 31, 2025, and the period from February 6, 2024 (inception) to December 31, 2024.
Historical Timeline
| Fiscal Year | Filed | |
|---|---|---|
| 2025 | Mar 12, 2026 | Showing above |
| 2024 | Mar 6, 2025 | |
| 2023 | Feb 1, 2024 | |
| 2022 | Feb 24, 2023 | |
| 2021 | Mar 14, 2022 | |
| 2020 | Mar 18, 2021 | |
| 2019 | Feb 18, 2020 | |
| 2018 | Feb 27, 2019 | |
| 2017 | Mar 22, 2018 | |
| 2016 | Mar 21, 2017 | |
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.