v3.26.3
Segment Information
 9 Months Ended
Sep. 30, 2026
Segment Reporting [Abstract]  
Segment Information

13. Segment Information

The Company operates as one operating segment, which is the business of discovering, developing and commercializing therapies. The determination of a single business segment is consistent with the consolidated financial information regularly provided to the Company’s chief operating decision maker, or CODM. The Company’s chief executive officer, as the CODM, uses consolidated, single-segment financial information for purposes of evaluating performance, making operating decisions, allocating resources and planning and forecasting for future periods.

The CODM assesses performance and decides how to allocate resources based on consolidated net loss. The measure is used to monitor budget versus actual results to evaluate the performance of the segment.

The measure of segment assets is reported on the condensed consolidated balance sheets as total consolidated assets. All material long-lived assets are located in the United States. Long-lived assets consist of property and equipment, net, and operating lease right-of-use assets.

The following table illustrates information about segment revenue, significant segment expenses and segment operating loss for the periods presented (in thousands):

 

 

Three Months Ended September 30,

Nine Months Ended September 30,

 

 

 

2026

 

 

2025

 

 

2026

 

 

2025

 

Revenue:

 

 

 

 

 

 

 

 

 

 

 

 

Collaboration revenue

 

$

12,323

 

 

$

—

 

 

$

23,323

 

 

$

—

 

Grant revenue

 

 

346

 

 

 

889

 

 

 

985

 

 

 

2,646

 

Less1:

 

 

 

 

 

 

 

 

 

 

 

 

Research and development expense2

 

 

56,231

 

 

 

48,298

 

 

 

166,967

 

 

 

167,863

 

Acquired in-process research and development3

 

 

11,675

 

 

 

—

 

 

 

14,148

 

 

 

96,253

 

General and administrative expense4

 

 

5,898

 

 

 

5,749

 

 

 

18,450

 

 

 

19,106

 

Collaboration expense, net - Vertex5

 

 

41,284

 

 

 

57,115

 

 

 

127,505

 

 

 

159,777

 

Collaboration expense, net - Sirius6

 

 

5,427

 

 

 

767

 

 

 

10,380

 

 

 

1,267

 

Stock-based compensation expense

 

 

17,961

 

 

 

16,604

 

 

 

51,601

 

 

 

54,423

 

Depreciation expense

 

 

4,238

 

 

 

4,415

 

 

 

12,819

 

 

 

13,764

 

Other segment items7

 

 

(18,608

)

 

 

(25,618

)

 

 

(52,040

)

 

 

(58,821

)

Segment net loss

 

 

(111,437

)

 

 

(106,441

)

 

 

(325,522

)

 

 

(450,986

)

Reconciliation of profit or loss:

 

 

 

 

 

 

 

 

 

 

 

 

Adjustments or reconciling items

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

Consolidated net loss

 

 

(111,437

)

 

 

(106,441

)

 

 

(325,522

)

 

 

(450,986

)

(1) The significant expense categories and amounts align with the segment-level information that is regularly provided to the CODM.

(2) Research and development expense for the three and nine months ended September 30, 2026 excludes $8.1 million and $23.8 million of stock-based compensation expense, respectively, and $2.1 million and $6.5 million of depreciation expense, respectively. Research and development expense for the three and nine months ended September 30, 2025 excludes $7.6 million and $25.1 million of stock-based compensation expense, respectively, and $2.3 million and $7.0 million of depreciation expense, respectively. Research and development expense for the periods presented also excludes costs related to the Sirius Agreement, described further below.

(3) Acquired in-process research and development expense for the three and nine months ended September 30, 2026 was $11.7 million and $14.1 million, respectively, and primarily consisted of a development milestone under the Sirius Agreement that was recognized in the third quarter of 2026. Acquired in-process research and development expenses for the nine months ended September 30, 2025 were attributable to the costs incurred upon entering the Sirius Agreement during the second quarter of 2025, as described in Note 6.

(4) General and administrative expense for the three and nine months ended September 30, 2026 excludes $9.8 million and $27.8 million of stock-based compensation expense, respectively, and $2.1 million and $6.4 million of depreciation expense, respectively. General and administrative expense for the three and nine months ended September 30, 2025 excludes $9.0 million and $29.3 million of stock-based compensation expense, respectively, and $2.2 million and $6.7 million of depreciation expense, respectively.

(5) Collaboration costs specific to the Vertex Hemoglobinopathy Agreements (as defined in Note 6) accounted for under ASC 808 are presented within “collaboration expense, net” in the condensed consolidated statements of operations and comprehensive loss.

(6) In the second quarter of 2025, the Company entered into the Sirius Agreement (as defined in Note 6). Collaboration costs, net of reimbursements, related to the Sirius Collaboration Products under the Sirius Agreement are presented within “research and development expense” in the condensed consolidated statements of operations and comprehensive loss. In the first quarter of 2026, the significant expense categories reviewed by the CODM were updated to include collaboration costs, net of reimbursements, associated with the Sirius Collaboration Products. As a result, the Company recast segment amounts for the three and nine months ended September 30, 2025 to reflect the updated significant expense categories.

(7) Other segment items include interest income (expense), net, the change in fair value of corporate equity securities and income tax expense.

The Company operates in the United States and Switzerland. Collaboration revenue is attributed to the CRISPR Therapeutics AG entity, which is domiciled in Switzerland.