Company: ALGN
Filing Date: 2025-08-06
Form Type: 10-Q
Source: 0001097149-25-000064
Chunk: 144

Company: ALIGN TECHNOLOGY INC
Filing Date: 2025-08-06
Form: 10-Q
Item: Item 8
Chunk 144
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 total unamortized compensation costs, net of estimated forfeitures, related to MSUs over a weighted average period of 1.8 years.Restricted Stock Units with Performance Conditions (“PSUs”)Our PSUs typically include a service and performance condition. We recognize share-based compensation expense for PSUs if it is probable that the performance condition will be achieved. The following table summarizes the PSU performance activity for the six months ended June 30, 2025:Number of SharesUnderlying PSUs(in thousands)Weighted Average Grant Date Fair ValueWeighted AverageRemainingContractual Term (in years)AggregateIntrinsic Value(in thousands)Unvested as of December 31, 202411 $204.33 Granted— — Vested and released (5)201.63 Forfeited— — Unvested as of June 30, 20256 $206.36 1.5$1,193 As of June 30, 2025, we expect to recognize $0.8 million of total unamortized compensation costs, net of estimated forfeitures, related to PSUs over a weighted average period of 1.5 years.Employee Stock Purchase PlanAs of June 30, 2025, we have 1,800,725 shares available for future issuance under the Align Technology, Inc. 2010 Employee Stock Purchase Plan (as amended and restated, the “2010 Purchase Plan”).

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The fair value of the option component of the 2010 Purchase Plan shares was estimated at the grant date using the Black-Scholes option pricing model with the following weighted average assumptions: Six Months EndedJune 30, 20252024Expected term (in years)1.10.9Expected volatility40.9 %56.0 %Risk-free interest rate4.2 %4.8 %Expected dividends— — Weighted average fair value at grant date$70.62 $100.10 As of June 30, 2025, we expect to recognize $9.7 million of total unamortized compensation costs related to future employee stock purchases over a weighted average period of 0.7 years.

Note 10. Common Stock Repurchase Programs

In January 2023, our Board of Directors authorized a plan to repurchase up to $1.0 billion of our common stock (“January 2023 Repurchase Program”).The following tables