Velo3D, Inc. Quarterly report pursuant to Section 13 or 15(d)

Fair Value Measures and Disclosures (Tables)

3 Months Ended

Mar. 31, 2023

The Company’s assets and liabilities that were measured at fair value on a recurring basis were as follows:


	Fair Value Measured as of March 31, 2023
	Level 1		Level 2		Level 3		Total
	(In thousands)
Assets
Money market funds (i)	$	6,308	$	—	$	—	$	6,308
U.S. Treasury securities (ii)	14,323		—		—		14,323
Corporate bonds (ii)	—		12,547		—		12,547
Total financial assets	$	20,631	$	12,547	$	—	$	33,178
Liabilities
Common stock warrant liabilities (Public) (iii)	$	3,395	$	—	$	—	$	3,395
Common stock warrant liabilities (Private Placement) (iii)	—		—		1,757		1,757
Common stock warrant liabilities (2022 Private Warrant) (iii)	—		—		146		146
Contingent earnout liabilities	—		—		27,067		27,067
Total financial liabilities	$	3,395	$	—	$	28,970	$	32,365

	Fair Value Measured as of December 31, 2022
	Level 1		Level 2		Level 3		Total
	(In thousands)
Assets
Money market funds (i)	$	31,728	$	—	$	—	$	31,728
U.S. Treasury securities (ii)	24,701		—		—		24,701
Corporate bonds (ii)	—		23,513		—		23,513
Total financial assets	$	56,429	$	23,513	$	—	$	79,942
Liabilities
Common stock warrant liabilities (Public) (iii)	$	1,748	$	—	$	—	$	1,748
Common stock warrant liabilities (Private Placement) (iii)	—		—		888		888
Common stock warrant liabilities (2022 Private Warrant) (iii)	—		—		109		109
Contingent earnout liabilities	—		—		17,414		17,414
Total financial liabilities	$	1,748	$	—	$	18,411	$	20,159

(i) Included in cash and cash equivalents on the condensed consolidated balance sheets.

(ii) Included in short-term investments on the condensed consolidated balance sheets.

(iii) Included in warrant liabilities on the condensed consolidated balance sheets.

The following table presents a summary of the changes in the fair value of the Company’s Level 3 financial instruments:


	Private placement warrant liabilities		2022 Private Warrant		Contingent earnout liabilities

Fair value as of January 1, 2023	$	888	$	109	$	17,414
Change in fair value	869		37		9,653
Fair value as of March 31, 2023	$	1,757	$	146	$	27,067

Fair value as of January 1, 2022	$	7,387	$	—	$	111,487
Change in fair value	2,047		—		31,232
Fair value as of March 31, 2022	$	9,434	$	—	$	142,719