v3.26.3
Segment Reporting
 6 Months Ended
Jun. 30, 2026
Segment Reporting [Abstract]  
Segment Reporting

11. Segment Reporting

During fiscal year 2025, in connection with the proposed separation of our operations into two independent, publicly traded companies, our Chief Executive Officer, who is our chief operating decision maker (“CODM”), revised the information he regularly reviews in evaluating the allocation of resources and assessing operating performance. As a result of these changes, we updated our segment reporting to reflect two operating segments: Biopharma and Royalty Management. Our Biopharma segment focused on the development and potential commercialization of innovative immunology therapeutics for autoimmune and inflammatory diseases and our Royalty Management segment manages the financial collaboration for Jemperli with GSK and for Quimilza with Vanda. On April 20, 2026, the separation was completed through the spin-off of the Biopharma segment into First Tracks Biotherapeutics, with the Royalty Management segment remaining as our only operating segment.

Segment profit or loss is measured as the net loss and is used to monitor results. Our Royalty Management segment revenue consists of non-cash royalties and milestones, and is derived from collaboration agreements. For more information, see Note 4. We do not report identifiable assets by segment as this is not a metric used by our CODM to allocate resources or evaluate performance.

The following tables present our segment information for the six months ended June 30, 2026, and years ended December 31, 2025 and December 31, 2024 and are a summary of segment revenue, loss and our significant expenses (in thousands):

 

 

Six Months Ended June 30, 2026

 

 

Royalty
Management

 

Collaboration revenue

 

$

53,044

 

Operating expenses:

 

 

 

External R&D

 

 

 

Rosnilimab

 

 

(2,897

)

Quimilza

 

 

21

 

Preclinical and other unallocated costs

 

 

193

 

Total External R&D(1)

 

 

(2,683

)

Total Internal R&D(2)

 

 

15

 

Total R&D

 

 

(2,668

)

 

 

 

External G&A(3)

 

 

15,161

 

Internal G&A(2)

 

 

8,229

 

Total G&A

 

 

23,390

 

Total operating expenses

 

 

20,722

 

Income from operations

 

 

32,322

 

 

 

 

Interest income

 

 

3,252

 

Sublease income

 

 

526

 

Non-cash interest expense

 

 

(41,192

)

Other expense, net

 

 

(1

)

Total other expense, net

 

 

(37,415

)

 

 

 

Loss before income taxes

 

 

(5,093

)

Benefit for income taxes

 

 

181,451

 

Segment net income

 

$

176,358

 

 

(1)
External R&D consists of costs associated with our research and development activities, including drug discovery efforts, preclinical and clinical development of our programs, manufacturing, and allocated facility-related costs.
(2)
Internal R&D and G&A consist of salaries and wages, stock-based compensation, recruiting and other employee benefits.
(3)
External G&A consists of general and administrative expenses including transaction costs, legal services, insurance, professional fees for auditing, tax, and market research, and allocated facility-related costs not otherwise included in research and development expenses.

 

 

Year Ended December 31, 2025

 

 

Biopharma

 

 

Royalty
Management

 

 

Total

 

Collaboration revenue

 

$

—

 

 

$

234,603

 

 

$

234,603

 

Operating expenses:

 

 

 

 

 

 

 

 

 

External R&D

 

 

 

 

 

 

 

 

 

Rosnilimab

 

 

42,744

 

 

 

—

 

 

 

42,744

 

ANB033

 

 

20,427

 

 

 

—

 

 

 

20,427

 

ANB032

 

 

48

 

 

 

—

 

 

 

48

 

ANB101

 

 

8,138

 

 

 

—

 

 

 

8,138

 

Quimilza

 

 

—

 

 

 

(2,273

)

 

 

(2,273

)

Preclinical and other unallocated costs

 

 

16,093

 

 

 

—

 

 

 

16,093

 

Total External R&D(1)

 

 

87,450

 

 

 

(2,273

)

 

 

85,177

 

Total Internal R&D(2)

 

 

52,164

 

 

 

(1,371

)

 

 

50,793

 

Total R&D

 

 

139,614

 

 

 

(3,644

)

 

 

135,970

 

 

 

 

 

 

 

 

 

 

External G&A(3)

 

 

13,932

 

 

 

4,012

 

 

 

17,944

 

Internal G&A(2)

 

 

25,460

 

 

 

7,333

 

 

 

32,793

 

Total G&A

 

 

39,392

 

 

 

11,345

 

 

 

50,737

 

Total operating expenses

 

 

179,006

 

 

 

7,701

 

 

 

186,707

 

(Loss) income from operations

 

 

(179,006

)

 

 

226,902

 

 

 

47,896

 

 

 

 

 

 

 

 

 

 

Interest income

 

 

12,942

 

 

 

557

 

 

 

13,499

 

Non-cash interest expense

 

 

—

 

 

 

(79,893

)

 

 

(79,893

)

Other (loss) income, net

 

 

(23

)

 

 

5,453

 

 

 

5,430

 

Total other income (expense), net

 

 

12,919

 

 

 

(73,883

)

 

 

(60,964

)

 

 

 

 

 

 

 

 

 

(Loss) income before income taxes

 

 

(166,087

)

 

 

153,019

 

 

 

(13,068

)

Provision for income taxes

 

 

—

 

 

 

(164

)

 

 

(164

)

Segment net (loss) income

 

$

(166,087

)

 

$

152,855

 

 

$

(13,232

)

 

(1)
External R&D consists of costs associated with our research and development activities, including drug discovery efforts, preclinical and clinical development of our programs, manufacturing, and allocated facility-related costs.
(2)
Internal R&D and G&A consist of salaries and wages, stock-based compensation, recruiting and other employee benefits.
(3)
External G&A consists of general and administrative expenses including transaction costs, legal services, insurance, professional fees for auditing, tax, and market research, and allocated facility-related costs not otherwise included in research and development expenses.

 

 

Year Ended December 31, 2024

 

 

Biopharma

 

 

Royalty
Management

 

 

Total

 

Collaboration revenue

 

$

—

 

 

$

91,280

 

 

$

91,280

 

Operating expenses:

 

 

 

 

 

 

 

 

 

External R&D

 

 

 

 

 

 

 

 

 

Rosnilimab

 

 

53,422

 

 

 

—

 

 

 

53,422

 

ANB032

 

 

26,084

 

 

 

—

 

 

 

26,084

 

ANB033

 

 

12,460

 

 

 

—

 

 

 

12,460

 

ANB101

 

 

3,367

 

 

 

—

 

 

 

3,367

 

Quimilza

 

 

—

 

 

 

8,284

 

 

 

8,284

 

Preclinical and other unallocated costs

 

 

14,350

 

 

 

—

 

 

 

14,350

 

Total External R&D(1)

 

 

109,683

 

 

 

8,284

 

 

 

117,967

 

Total Internal R&D(2)

 

 

42,662

 

 

 

3,211

 

 

 

45,873

 

Total R&D

 

 

152,345

 

 

 

11,495

 

 

 

163,840

 

 

 

 

 

 

 

 

 

 

External G&A(3)

 

 

6,806

 

 

 

3,227

 

 

 

10,033

 

Internal G&A(2)

 

 

21,950

 

 

 

10,406

 

 

 

32,356

 

Total G&A

 

 

28,756

 

 

 

13,633

 

 

 

42,389

 

Total operating expenses

 

 

181,101

 

 

 

25,128

 

 

 

206,229

 

(Loss) income from operations

 

 

(181,101

)

 

 

66,152

 

 

 

(114,949

)

 

 

 

 

 

 

 

 

 

Interest income

 

 

17,382

 

 

 

2,412

 

 

 

19,794

 

Non-cash interest expense

 

 

—

 

 

 

(50,087

)

 

 

(50,087

)

Other expense, net

 

 

14

 

 

 

—

 

 

 

14

 

Total other income (expense), net

 

 

17,396

 

 

 

(47,675

)

 

 

(30,279

)

 

 

 

 

 

 

 

 

 

Loss (income) before income taxes

 

 

(163,705

)

 

 

18,477

 

 

 

(145,228

)

Provision for income taxes

 

 

—

 

 

 

(3

)

 

 

(3

)

Segment net loss (income)

 

$

(163,705

)

 

$

18,474

 

 

$

(145,231

)

 

(1)
External R&D consists of costs associated with our research and development activities, including drug discovery efforts, preclinical and clinical development of our programs, manufacturing, and allocated facility-related costs.
(2)
Internal R&D and G&A consist of salaries and wages, stock-based compensation, recruiting and other employee benefits.
(3)
External G&A consists of general and administrative expenses including transaction costs, legal services, insurance, professional fees for auditing, tax, and market research, and allocated facility-related costs not otherwise included in research and development expenses.