ARVINAS, INC.ARVN
ARVINAS, INC. Segments Disclosure
Segment Information
The Company's operations are organized into one operating and reportable segment focused on the discovery, development and commercialization of therapies that degrade disease-causing proteins. The segment develops protein degradation therapies designed to harness the body's natural protein disposal system to selectively and efficiently degrade and remove disease-causing protein through the Company's PROTAC (PROteolysis TArgeting Chimera) protein degrader platform. The Company is progressing multiple product candidates through clinical development programs, including ARV-102, targeting the leucine-rich repeat kinase 2 protein for the treatment of neurodegenerative diseases; ARV-806, targeting Kirsten rat sarcoma G12D protein for cancers with the G12D mutation, including pancreatic, colorectal and non-small cell lung cancers; ARV-393, targeting the B-cell lymphoma 6 protein for the treatment of relapsed/refractory non-Hodgkin Lymphoma; ARV-027, targeting the polyQ-AR in skeletal muscle and specifically selected for potent in vitro
reduction of cytosolic and nuclear polyQ-AR and for favorable skeletal muscle exposure following oral administration; and vepdegestrant, targeting the estrogen receptor for the treatment of locally advanced or metastatic ER positive / human epidermal growth factor receptor 2 negative breast cancer. The Company's tangible assets are held in the United States and all of the Company's revenue has been generated in the United States. The Company manages all business activities on a consolidated basis. The Company's chief operating decision maker is the Chief Executive Officer.
The operating segment's revenue is primarily generated through research collaborations and licensing arrangements with pharmaceutical partners. The terms of these agreements contain multiple goods and services which may include (i) licenses, (ii) research and development activities, and (iii) participation in joint research and development steering committees. The terms of these agreements may include non-refundable, upfront license or option fees, payments for research and development activities, payments upon the achievement of certain milestones and royalty payments based on product sales derived from the collaboration. Revenue is recognized ratably over the Company’s expected performance period under each respective arrangement. The Company also generated revenue through the sale of assets based on fair value. The Company does not have intra-entity sales or transfers.
The accounting policies of the operating segment are the same as those described in Note 2, Summary of Significant Accounting Policies. The chief operating decision maker evaluates the performance of the operating segment and allocates resources based on net income/ loss that also is reported on the consolidated income statement as net loss. The measure of the operating segment assets is reported on the consolidated balance sheet as total assets.
The chief operating decision maker uses net loss to monitor budget versus actual results and to analyze cash flows in assessing performance of the segment and allocating resources.
The following table summarizes the reportable segment's financial information:
| Years Ended December 31, | |||||||||||||||||
| (dollars in millions) | 2025 | 2024 | 2023 | ||||||||||||||
| Revenue | $ | 262.6 | $ | 263.4 | $ | 78.5 | |||||||||||
| Less: | |||||||||||||||||
| Research and development expense | |||||||||||||||||
| Program-specific external expense: | |||||||||||||||||
Vepdegestrant (ARV-471) (*) | 62.7 | 76.9 | 104.8 | ||||||||||||||
| ARV-102 | 21.0 | 13.0 | 2.3 | ||||||||||||||
ARV-806 | 13.5 | 2.3 | — | ||||||||||||||
| ARV-393 | 11.1 | 6.8 | 1.4 | ||||||||||||||
| Bavdegalutamide (ARV-110) | 2.7 | 8.5 | 26.6 | ||||||||||||||
| Luxdegalutamide (ARV-766) | — | 19.7 | 24.2 | ||||||||||||||
| Other programs | 4.5 | — | — | ||||||||||||||
| Non program-specific external expense | 49.1 | 62.8 | 72.4 | ||||||||||||||
Compensation and related personnel expense (including stock-based compensation) | 109.6 | 145.4 | 134.2 | ||||||||||||||
| Other research and development expense | 11.0 | 12.8 | 13.8 | ||||||||||||||
| Total research and development expense | 285.2 | 348.2 | 379.7 | ||||||||||||||
General and administrative expense | 95.9 | 165.4 | 100.3 | ||||||||||||||
| Other segment expense, net (**) | 0.4 | 2.9 | 1.2 | ||||||||||||||
| Income tax expense | 0.3 | 0.6 | 0.9 | ||||||||||||||
| Loss from equity method investment | — | — | 2.5 | ||||||||||||||
| Plus: | |||||||||||||||||
| Interest income, net | 38.4 | 54.8 | 38.8 | ||||||||||||||
| Segment net loss | $ | (80.8) | $ | (198.9) | $ | (367.3) | |||||||||||
(*) Includes net reimbursement to and from Pfizer pursuant to the Vepdegestrant (ARV-471) Collaboration Agreement which are accounted for pursuant to ASC 808 and are recorded as an offset or an increase to research and development expenses.
(**) Includes loss on disposal of fixed assets, realized gains/ losses on sale of marketable securities and refundable research and development credits from the State of Connecticut.
Depreciation and amortization expense totaled $3.0 million, $4.6 million, and $4.8 million for the years ended December 31, 2025, 2024 and 2023, respectively.
Historical Timeline
| Fiscal Year | Filed | |
|---|---|---|
| 2025 | Feb 24, 2026 | Showing above |
| 2024 | Feb 11, 2025 | |
About Segments Disclosures
Segment disclosures break a company into its reportable operating units, revealing revenue, profit, and asset allocation that consolidated financial statements obscure. Under ASC 280, segments must match how the chief operating decision maker views the business, providing a window into internal management structure and resource allocation priorities.
Key signals: compare segment margins to identify which units drive profitability and which destroy value. Watch for changes in the number of reportable segments — segment aggregation or disaggregation often coincides with strategic shifts or attempts to obscure declining performance. Intersegment elimination patterns reveal internal pricing practices. The reconciliation between segment totals and consolidated figures exposes corporate overhead allocation and unallocated items. Geographic revenue concentration highlights regulatory and currency exposure. Compare segment-level capital expenditure against segment revenue to assess where management is investing for future growth versus harvesting existing assets.