v3.25.1
Segment Reporting
 3 Months Ended
Mar. 31, 2025
Segment Reporting [Abstract]  
Segment Reporting

7. Segment Reporting

Operating segments are defined as components of an enterprise about which separate discrete information is available for evaluation by the chief operating decision-maker (“CODM”) in deciding how to allocate resources and assess performance. The Company and the Company’s CODM, its chief executive officer, regularly review the Company’s operations and manage its business as a single operating segment, which is the business of developing targeted medicines to address ear, nose, and throat, or ENT, diseases. Segment revenues represent collaboration revenue from the Company’s consolidated statements of operations and is received from a single customer.

Significant segment expenses consist primarily of employee-related costs, clinical, facility and professional and consulting costs in connection with preclinical and clinical development activities. Segment expenses also include impairment charges, when and as applicable.

The Company’s CODM evaluates and allocates resources within the segment based on the Company’s net loss. As the Company is a clinical-stage biotechnology company, the evaluation includes review of the actual and budget costs related to employee-related costs, clinical trials, facility, professional and consulting costs in connection with preclinical and clinical development activities, and the conduct of these pre-clinical and clinical trials and responses from government agencies in determining the probability of success of product candidates. Total segment assets are reported in the Company’s condensed consolidated balance sheets as total assets.

The following table presents revenue, significant expenses and net loss for the Company's segment (in thousands):

 

 

Three Months Ended
March 31,

 

 

 

2025

 

 

2024

 

Collaboration revenue

 

$

183

 

 

$

532

 

 

 

 

 

 

 

 

Operating expenses:

 

 

 

 

 

 

Clinical related costs

 

 

1,286

 

 

 

5,961

 

Employee related costs

 

 

3,075

 

 

 

9,475

 

Product development and manufacturing costs

 

 

133

 

 

 

1,483

 

Facilities, support costs and depreciation

 

 

2,672

 

 

 

4,065

 

Professional, consulting and public company costs

 

 

973

 

 

 

3,072

 

Restructuring and other related charges

 

 

885

 

 

 

—

 

Total operating expenses

 

 

9,024

 

 

 

24,056

 

Loss from operations

 

 

(8,841

)

 

 

(23,524

)

Other income:

 

 

 

 

 

 

Interest income

 

 

298

 

 

 

1,086

 

Total other income

 

 

298

 

 

 

1,086

 

Loss before income tax expense

 

 

(8,543

)

 

 

(22,438

)

Income tax expense

 

 

(4

)

 

 

(14

)

Net loss

 

$

(8,547

)

 

$

(22,452

)