Company: ALGN
Filing Date: 2025-08-06
Form Type: 10-Q
Source: 0001097149-25-000064
Chunk: 23

Company: ALIGN TECHNOLOGY INC
Filing Date: 2025-08-06
Form: 10-Q
Item: Item 1
Chunk 23
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.10 Unvested as of June 30, 20251,328 $259.13 1.7$251,343 

19 

As of June 30, 2025, we expect to recognize $261.8 million of total unamortized compensation costs, net of estimated forfeitures, related to RSUs over a weighted average period of 2.8 years.Market-Performance Based Restricted Stock Units (“MSUs”)We grant MSUs to members of senior management. Each MSU represents the right to one share of our common stock. The actual number of MSUs which will be eligible to vest will be based on the performance of our stock price relative to the performance of a stock market index over the vesting period. MSUs vest over a period of three years and the maximum number of shares eligible to vest is 250% of the MSUs initially granted. The following table summarizes the MSU performance activity for the six months ended June 30, 2025: Number of SharesUnderlying MSUs(in thousands)Weighted Average Grant Date Fair ValueWeighted AverageRemainingContractual Term (in years)AggregateIntrinsic Value(in thousands)Unvested as of December 31, 2024193 $679.14 Granted127 362.98 Vested and released 1(26)915.22 Forfeited(10)915.22 Unvested as of June 30, 2025284 $506.66 1.8$53,699 1    Includes MSUs vested during the period below 100% of the original grant as actual shares released is based on our stock performance relative to a market index over the vesting period.As of June 30, 2025, we expect to recognize $67.3 million of 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