Biofrontera Inc. Segments Disclosure
22. Segment Reporting
The Company operates as one operating segment, that derives revenue primarily from our principal product, Ameluz, which is a prescription drug approved for use in PDT using our RhodoLED Lamps, for the treatment of AKs. We are currently selling Ameluz for this indication in the United States. Ameluz (including the RhodoLED Lamps) accounts for approximately 100% of our revenue.
The Company’s CODM is its Chief Executive Officer, who reviews financial information presented on a consolidated basis. The CODM uses consolidated net income to allocate resources and assesses financial performance by comparing actual results to historical results and previously forecasted financial information.
The following table presents selected financial information with respect to the Company’s single operating segment for the years ended December 31, 2025, and 2024:
| (in thousands) | December 31, 2025 | December 31, 2024 | ||||||
| Revenues, net | 41,705 | 37,321 | ||||||
| Operating expenses: | ||||||||
| Cost of revenues | 10,964 | 18,607 | ||||||
| Direct sales | 7,963 | 9,058 | ||||||
| Sales support | 7,541 | 8,498 | ||||||
| General and administrative | 22,866 | 16,279 | ||||||
| Research and development | 3,719 | 2,089 | ||||||
| Total operating expenses | 53,053 | 54,531 | ||||||
| Loss from operations | (11,348 | ) | (17,210 | ) | ||||
| Other income (expense), net | 837 | (527 | ) | |||||
| Loss before income taxes | (10,511 | ) | (17,737 | ) | ||||
| Income tax expenses | 25 | 22 | ||||||
| Net loss | $ | (10,536 | ) | $ | (17,759 | ) | ||
Historical Timeline
| Fiscal Year | Filed | |
|---|---|---|
| 2025 | Mar 19, 2026 | Showing above |
| 2024 | Mar 20, 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.