Pyxis Oncology, Inc. Segments Disclosure
5. Segment Disclosures
Operating segments are defined as components of an enterprise for which separate discrete information is available for evaluation by the chief operating decision maker, or decision making group, in deciding how to allocate resources in assessing performance. The Company has one reportable segment related to the development of clinical and preclinical product candidates focused on addressing unmet medical needs in patients with solid tumors with a specific focus on HNSCC tumors. The Company’s chief operating decision maker (CODM) is the .
The accounting policies of the single segment are the same as those described in the summary of significant accounting policies. The CODM assesses performance for the segment based on net loss, which is reported on the statements of operations and comprehensive loss as net loss. The measure of segment assets is reported on the consolidated balance sheets as total assets.
To date, the Company has not generated any product revenue. As described in Note 3, Licensing Agreements and Note 4, Sale of Royalty Rights, the Company generated revenue during the years ended December 31, 2025 and 2024 from the milestone payment upon approval of suvemcitug in China, the sale of its royalty rights under the Simcere Royalty Agreement with Simcere and Settlement Agreement with Novartis. The Company expects to continue to incur significant expenses and operating losses for the foreseeable future as it advances the product candidate through all stages of development and clinical trials and, ultimately, seeks regulatory approval.
As such, the CODM uses cash forecast models in deciding how to allocate resources. Such cash forecast models are reviewed to assess the entity-wide operating results and performance. Net loss is used to monitor budget versus actual results. Monitoring budgeted versus actual results is used in assessing performance of the segment and in establishing management’s compensation, along with cash forecast models.
The table below summarizes segment net loss, including significant expenses for the years ended December 31, 2025 and 2024 (in thousands):
|
|
Year Ended December 31, |
|
|||||
|
|
2025 |
|
|
2024 |
|
||
Revenue |
|
|
|
|
|
|
||
Sale of royalty rights |
|
$ |
11,038 |
|
|
$ |
8,000 |
|
Milestone revenue |
|
|
2,820 |
|
|
|
— |
|
Royalty revenues |
|
|
— |
|
|
|
8,146 |
|
Total revenues |
|
|
13,858 |
|
|
|
16,146 |
|
Costs and operating expenses |
|
|
|
|
|
|
||
Cost of revenues |
|
|
2,388 |
|
|
|
475 |
|
Research and development |
|
|
|
|
|
|
||
Clinical product candidates |
|
|
25,901 |
|
|
|
24,456 |
|
Clinical product manufacturing |
|
|
19,694 |
|
|
|
11,200 |
|
Personnel-related expenses excluding stock-based compensation |
|
|
15,711 |
|
|
|
14,293 |
|
Stock-based compensation |
|
|
3,156 |
|
|
|
3,002 |
|
Depreciation and amortization |
|
|
1,819 |
|
|
|
1,922 |
|
Other (i) |
|
|
7,415 |
|
|
|
3,874 |
|
Total research and development expenses |
|
|
73,696 |
|
|
|
58,747 |
|
General and administrative |
|
|
|
|
|
|
||
Personnel-related expenses excluding stock-based compensation |
|
|
5,235 |
|
|
|
5,837 |
|
Stock-based compensation |
|
|
8,645 |
|
|
|
9,943 |
|
Professional and consultant fees |
|
|
4,179 |
|
|
|
4,491 |
|
Other (ii) |
|
|
4,135 |
|
|
|
5,149 |
|
Total general and administrative expenses |
|
|
22,194 |
|
|
|
25,420 |
|
Impairment of in-process research and development intangible asset |
|
|
— |
|
|
|
20,964 |
|
Total costs and operating expenses |
|
|
98,278 |
|
|
|
105,606 |
|
Other segment income (iii) |
|
|
6,185 |
|
|
|
9,965 |
|
Income tax expense (benefit) |
|
|
1,386 |
|
|
|
(2,164 |
) |
Segment net loss |
|
$ |
(79,621 |
) |
|
$ |
(77,331 |
) |
Reconciliation of profit or loss |
|
|
|
|
|
|
||
Adjustments and reconciling items |
|
|
— |
|
|
|
— |
|
Consolidated net loss |
|
$ |
(79,621 |
) |
|
$ |
(77,331 |
) |
(i) |
Other research and development segment items include facilities expenses, lab services, professional services and technology costs. |
(ii) |
Other general and administrative segment items include facilities expenses, technology costs, insurance and depreciation. |
(iii) |
Other segment income for the years ended December 31, 2025 and 2024 consisted of $3.6 million and $7.0 million of interest and investment income and $2.6 million and $2.9 million of sublease income, respectively. |
Historical Timeline
| Fiscal Year | Filed | |
|---|---|---|
| 2025 | Mar 23, 2026 | Showing above |
| 2024 | Mar 18, 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.