v3.26.1
Segment Information
 6 Months Ended
Jun. 30, 2026
Segment Reporting [Abstract]  
Segment Information

13. Segment information

The chief operating decision maker (CODM), who is defined as the Company's Chairman, President and Chief Executive Officer, assesses performance for the Company’s single reportable segment and decides how to allocate resources based on the Company’s total operating expenses as reported on the Condensed Consolidated Statements of Operations and Comprehensive (Loss) Income. The CODM’s review of total operating expenses at the consolidated level is used to monitor the Company’s spending as well as budget versus actual results. As part of the CODM’s review of the segment’s performance, the CODM reviews the Company’s operating expense information. This includes research and development costs as well as general and administrative expenses. Based upon the operating expense information, the CODM can reconcile to net loss as reported on the Condensed Consolidated Statements of Operations and Comprehensive (Loss) Income, shown in the table below. The significant expense categories are consistent with those presented on the face of the consolidated financial statements, except for the breakout of the early-stage research and development from the late-stage research and development. The CODM does not receive or use any other segmented or disaggregated financial or any significant expense information for decision making purposes. The measure of segment assets is reported on the Condensed Consolidated Balance Sheets as total assets.

The following table provides segment revenues, significant segment expenses and reported segment net loss for the three and six months ended June 30, 2026 and 2025 (in thousands):

 

Three months ended June 30,

 

 

Six months ended June 30,

 

 

2026

 

 

2025

 

 

2026

 

 

2025

 

Revenue from customers

$

-

 

 

$

965

 

 

$

2,830

 

 

$

1,276

 

Revenue from licensing agreements

 

27,778

 

 

 

-

 

 

 

27,778

 

 

 

-

 

Less:

 

 

 

 

 

 

 

 

 

 

 

Early-stage research and development(1)

 

(703

)

 

 

(688

)

 

 

(1,120

)

 

 

(1,530

)

Late-stage research and development(2)

 

(23,347

)

 

 

(13,288

)

 

 

(46,282

)

 

 

(26,948

)

General and Administrative

 

(5,618

)

 

 

(5,556

)

 

 

(12,025

)

 

 

(10,608

)

Total operating expenses

 

(29,668

)

 

 

(19,532

)

 

 

(59,427

)

 

 

(39,086

)

Interest and other income, net

 

221

 

 

 

1,207

 

 

 

1,032

 

 

 

2,087

 

Change in fair value of 2023 Common Warrants

 

2,976

 

 

 

1,682

 

 

 

6,371

 

 

 

63,176

 

Income (loss) before income tax

 

1,307

 

 

 

(15,678

)

 

 

(21,416

)

 

 

27,453

 

Income tax provision

 

(2,811

)

 

 

(185

)

 

 

(3,128

)

 

 

(228

)

Segment and consolidated net (loss) income

$

(1,504

)

 

$

(15,863

)

 

$

(24,544

)

 

$

27,225

 

(1) Early-stage research and development includes costs incurred from Discovery programs.

(2) Late-stage research and development includes costs incurred from Phase 1 and Phase 2 clinical trial programs.

The Company’s reportable segment primarily generates revenue through its license and collaboration agreements (see Notes 8 and 9).