v3.25.2
Segment Reporting
 6 Months Ended
Jun. 30, 2025
Segment Reporting [Abstract]  
Segment Reporting
17. Segment Reporting
The Company manages its business activities on a consolidated basis and operates as a single operating segment. The Company derives its revenues from the development and commercialization of therapies for patients facing serious diseases. The accounting policies of the segment are the same as those described in Note 2 – Summary of Significant Accounting Policies.
The Company has a single management team that reports to the Chief Executive Officer, the chief operating decision maker (CODM), who comprehensively manages the entire business. When evaluating the Company’s financial performance, the CODM regularly reviews total revenues, total expenses, and expenses by function, and makes decisions using this
information on a global basis. The CODM uses net loss, as reported in the consolidated statements of comprehensive loss, in evaluating the performance of the segment. Decisions regarding resource allocation are made primarily during the annual budget planning process and augmented as needed throughout the year. The measure of segment assets is reported on the balance sheet as total assets. The Company does not operate separate lines of business with respect to its products or product candidates. Accordingly, the Company has one reportable segment.
Segment loss, including significant segment expenses, for the three and six month periods ended June 30, 2025 and 2024 is as follows (in thousands):
Three Months Ended June 30,
Six Months Ended June 30,
2025202420252024
Product revenues, net$107,415 $90,340 $200,238 $165,840 
Less:
Cost of product revenues (excluding amortization of intangible assets)28,075 20,964 49,353 38,421 
ARIKAYCE external R&D expenses11,003 14,896 23,124 28,822 
Brensocatib external R&D expenses33,560 37,806 54,221 57,324 
TPIP external R&D expenses20,649 14,773 29,802 28,555 
Other external R&D expenses28,445 14,917 56,528 28,192 
R&D compensation and benefit-related expenses56,389 43,908 109,947 85,368 
SG&A compensation and benefit-related expenses51,320 35,087 106,156 67,672 
Other segment items(a)
127,650 90,379 247,345 167,168 
Depreciation2,484 1,436 4,367 3,024 
Amortization of intangible assets1,263 1,263 2,526 2,526 
Change in fair value of deferred and contingent consideration liabilities59,000 103,700 77,300 91,800 
Investment income(13,225)(10,285)(27,131)(19,068)
Interest expense21,245 21,267 42,814 42,309 
Provision for income taxes1,243 838 2,155 1,427 
Segment net loss$(321,686)$(300,609)$(578,269)$(457,700)

(a) Other segment items include stock-based compensation, professional fees, and facility-related expenses.