7. Segment Reporting

The Company operates as a single operating segment, which is the business of developing and commercializing therapeutics. The Company’s chief operating decision maker ("CODM"), its chief executive officer, reviews financial information on an aggregate basis for the purpose of allocating resources and assessing performance. When deciding how to allocate resources, the CODM reviews the financial results of the Company's drug candidate programs. The measure of segment assets is reported on the consolidated balance sheet as total assets.

The table below is a summary of the segment profit or loss, including significant segment expenses (in thousands):

 

 

 

Year Ended December 31,

 

 

 

2025

 

 

2024

 

Research and development expenses:

 

 

 

 

 

 

Acquired in-process research and development

 

$

68,088

 

 

$

 

Lasofoxifene

 

 

3,568

 

 

 

 

Fosgonimeton (ATH-1017)

 

 

2,335

 

 

 

41,510

 

ATH-1105

 

 

3,415

 

 

 

8,567

 

ATH-1020

 

 

5

 

 

 

495

 

Preclinical programs and other costs

 

 

1,251

 

 

 

3,390

 

Personnel-related costs, excluding stock-
   based compensation

 

 

4,221

 

 

 

12,289

 

Total research and development expenses

 

 

82,883

 

 

 

66,251

 

General and administrative expenses

 

 

12,309

 

 

 

22,631

 

Other segment expenses(a)

 

 

7,074

 

 

 

12,020

 

Total operating expenses

 

 

102,266

 

 

 

100,902

 

Loss from operations

 

 

(102,266

)

 

 

(100,902

)

Other income, net

 

 

1,236

 

 

 

3,962

 

Sermonix pre-funded warrant change in fair value

 

 

(4,579

)

 

 

 

Net loss

 

$

(105,609

)

 

$

(96,940

)

 

(a)Other segment expenses includes stock-based compensation and depreciation expenses.

Historical Timeline

Fiscal YearFiled
2025Mar 31, 2026Showing above
2024Feb 27, 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.