v3.26.1
Segment Information
 6 Months Ended
Jun. 30, 2026
Segment Reporting [Abstract]  
Segment Information
11.
Segment Information

The Company operates and manages its business as one operating segment and one reportable segment, which is focused on developing targeted therapies to treat rare lung diseases. The chief operating decision maker, or CODM, manages the Company’s operations on a consolidated basis, assesses performance for the operating segment and decides how to allocate resources based on consolidated operating results, which is reported on the consolidated statements of comprehensive loss.

The monitoring of budgeted versus actual results is used in assessing the performance of the operating segment and in establishing resource allocation across the organization. Depreciation expense, amortization expense, stock-based compensation expense, and non-cash lease expense are significant noncash items included in net loss and reported on the consolidated statements of cash flows. The measure of segment assets is reported on the consolidated balance sheets as total assets. Expenditures for additions to long-lived assets, which include purchases of property and equipment, are included in total assets, reviewed by the CODM, and are reported on the consolidated statements of cash flows.

The following table represents information about segment loss and significant segment expenses (in thousands):

 

 

Three Months Ended June 30,

 

 

Six Months Ended June 30,

 

 

2026

 

 

2025

 

 

2026

 

 

2025

 

Direct research and development expenses by program:

 

 

 

 

 

 

 

 

 

 

 

 

AP01

 

$

13,600

 

 

$

12,520

 

 

$

26,755

 

 

$

23,459

 

AP02

 

 

4,969

 

 

 

1,372

 

 

 

9,688

 

 

 

2,101

 

AP03

 

 

832

 

 

 

522

 

 

 

1,060

 

 

 

873

 

Unallocated research and development expenses:

 

 

 

 

 

 

 

 

 

 

 

 

Personnel-related (excluding stock-based compensation)

 

 

3,878

 

 

 

2,907

 

 

 

7,941

 

 

 

5,774

 

Facility and information technology allocated expenses
   and other research and development costs

 

 

468

 

 

 

386

 

 

 

788

 

 

 

656

 

General and administrative expenses:

 

 

 

 

 

 

 

 

 

 

 

 

Personnel-related (excluding stock-based compensation)

 

 

2,542

 

 

 

1,707

 

 

 

4,822

 

 

 

3,166

 

Facility expenses and information technology

 

 

528

 

 

 

144

 

 

 

821

 

 

 

291

 

General corporate expenses and professional fees

 

 

1,573

 

 

 

1,080

 

 

 

3,168

 

 

 

2,482

 

Other segment items (1)

 

 

545

 

 

 

(447

)

 

 

761

 

 

 

(1,108

)

Net loss

 

$

28,935

 

 

$

20,191

 

 

$

55,804

 

 

$

37,694

 

 

(1)
For the three months ended June 30, 2026 and 2025, other segment items consist of $2.5 million and $1.1 million of interest income, respectively, $0.2 million and $0.4 million of accretion of marketable securities, respectively, $2.8 million and $1.1 million of stock-based compensation expense, respectively, $0.3 million and zero of interest expense, respectively, and $178 thousand and $50 thousand of depreciation expense and other expenses, respectively. For the six months ended June 30, 2026 and 2025, other segment items consist of $3.4 million and $1.8 million of interest income, respectively, $0.4 million and $1.0 million accretion of marketable securities, respectively, $4.0 million and $1.7 million
of stock-based compensation expense, respectively, $0.4 million and zero of interest expense, respectively, and $228 thousand and $94 thousand of depreciation expense and other expenses, respectively.

Direct research and development expenses by program consist primarily of costs paid to third-parties including CROs, CMOs, consultants, advisors, and other clinical study-related vendors.

Unallocated research and development expenses consist primarily of personnel-rated expenses and allocated information technology and facility expenses and other research and development related costs, excluding non-cash items, such as stock-based compensation and depreciation.

General and administrative expenses consist primarily of personnel-rated expenses, including salaries, payroll tax, bonuses, and benefits, and professional services fees for legal, finance, human resources, in addition to information technology expenses, rent expense, and other administrative functions, excluding non-cash expenses such as stock-based compensation and depreciation.

Other segment items consist primarily of interest income on cash and cash equivalents, partially offset by non-cash expenses, such as stock-based compensation and depreciation, and amortization of discounts and premiums on marketable securities.