Velo3D, Inc. Annual report pursuant to Section 13 and 15(d)

Fair Value Measurements (Tables)

12 Months Ended

Dec. 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 December 31, 2023
	Level 1		Level 2		Level 3		Total
	(In thousands)
Assets
Money market funds (i)	$	3,422	$	—	$	—	$	3,422
Corporate bonds (ii)	—		6,621		—		6,621
Total financial assets	$	3,422	$	6,621	$	—	$	10,043
Liabilities
Common stock warrant liabilities (Public) (iii)	$	258	$	—	$	—	$	258
Common stock warrant liabilities (Private Placement) (iii)	—		—		127		127
Common stock warrant liabilities (2022 Private Warrant) (iii)	—		—		23		23
Common stock warrant liabilities (RDO Warrants) (iii)	—		—		10,891		10,891
Common stock warrant liabilities (Placement Agent Warrants) (iii)	—		—		536		536
Contingent earnout liabilities	—		—		1,456		1,456
Total financial liabilities	$	258	$	—	$	13,033	$	13,291

	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 consolidated balance sheets.

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

(iii) Included in warrant liabilities on the 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		Debt derivatives		RDO Warrants		Placement Agent Warrants
	(In Thousands)
Fair value as of January 1, 2023	$	888	$	109	$	17,414	$	—	$	—	$	—
Issuance of instruments	—		—		—		13,890		10,891		536
Change in fair value	(761)		(86)		(15,958)		(8,485)		—		—
Extinguishment of debt derivatives in connection with debt extinguishment	—		—		—		(5,405)		—		—
Fair value as of December 31, 2023	$	127	$	23	$	1,456	$	—	$	10,891	$	536

Fair value as of January 1, 2022	$	7,387	$	—	$	111,487	$	—	$	—	$	—
Issuance of warrants	—		170		—		—		—		—
Change in fair value	(6,499)		(61)		(94,073)		—		—		—
Fair value as of December 31, 2022	$	888	$	109	$	17,414	$	—	$	—	$	—