Krystal Biotech, Inc.KRYS

Krystal Biotech, Inc. Segments Disclosure

10-KFiled Feb 17, 20262 min read
Segment Information
The Company operates as one operating segment, which is focused on the discovery, development, manufacturing and commercialization of genetic medicines to treat diseases with high unmet medical needs. The Company’s chief operating decision maker (“CODM”), its chief executive officer, utilizes financial information presented on a consolidated basis to
manage and allocate resources. The CODM uses consolidated gross margin, operating margin, net income and total research and development expenses by product candidate or program to assess performance, forecast future financial results and allocate resources.
The following table presents selected financial information with respect to the Company’s single operating segment for the years ended December 31, 2025, 2024, and 2023:
Years Ended December 31,
(in thousands)20252024
2023
Product revenues, net
$389,130 $290,515 $50,699 
Less:
Cost of goods sold
23,049 20,061 3,094 
Gross margin
366,081 270,454 47,605 
Gross margin percentage
94 %93 %94 %
B-VEC6,690 8,760 9,039 
KB111
1,837 — — 
KB301184 635 485 
KB304
960 1,342 66 
KB4071,805 1,877 1,668 
KB408882 1,630 1,043 
KB70710,856 8,677 3,828 
KB801
2,175 1,314 — 
KB8032,564 604 — 
Other dermatology programs12 935 284 
Other ophthalmology programs44 554 71 
Other programs
2,493 2,098 1,506 
Other research and development costs (1)
27,543 25,154 28,443 
Research and development
58,045 53,580 46,433 
Selling, general and administrative
146,741 113,626 98,289 
Litigation settlement
— 37,500 12,500 
Operating income (expense)
$161,295$65,748$(109,617)
Other income
Gain from sale of priority review voucher
— — 100,000 
Interest and other income, net
28,176 29,608 22,514 
Income before income taxes
189,471 95,356 12,897 
Income tax benefit (expense)
15,360 (6,197)(1,965)
Net income
204,831 89,159 10,932 
(1)Includes stock-based compensation, other manufacturing expenses related to our product candidates and other unallocated expenses which largely relates to depreciation and other facilities and equipment related costs

Historical Timeline

Fiscal YearFiled
2025Feb 17, 2026Showing above
2024Feb 19, 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.

Other Available Disclosures

Income TaxesRevenueEarnings Per ShareFair ValuePP&ELeasesCommitmentsStock CompensationNew StandardsPay vs Performance