Rapport Therapeutics, Inc. Segments Disclosure
10. Segment
The Company is currently developing medicines for patients with neurological or psychiatric disorders in the United States. The Company does not have any revenue generating products, and revenue will not be generated from any other current or future product candidates until regulatory approval is obtained and products are commercialized.
For the year ended December 31, 2025, the Company has identified one operating and reportable segment. The Company defines its operating segments based on internally reported financial information that is regularly reviewed by the Chief Operating Decision Maker (“CODM”) to analyze financial performance, make decisions, and allocate resources. The Company’s (“CEO”) is the CODM.
The CODM reviews the segment’s profit or loss based on net (loss) income reported on the consolidated statement of operations and comprehensive loss and considers forecast-to-actuals variances on a quarterly basis for expenses that are deemed significant. Further, the CODM reviews the segment’s assets based on total assets reported on the consolidated balance sheet. In addition, the CODM is regularly provided information on total cash, which is inclusive of cash, cash equivalents and short-term investments, as a measure of segment assets. As of December 31, 2025, the Company’s cash, cash equivalents and short-term investments were $490.5 million. All long-lived assets are held in the United States.
The Company’s CODM views specific categories within research and development expenses and general and administrative expenses as significant given the direct correlation between cash burn and profitability as a pre-revenue company.
The following table reconciles reported revenues to net loss under the significant expense principle for the years ended December 31, 2025 and 2024 (in thousands):
|
|
For the Year |
|
|||||
|
|
2025 |
|
|
2024 |
|
||
|
|
|
|
|
|
|
||
Research and Development Expenses: |
|
|
|
|
|
|
||
RAP-219 program external expenses |
|
$ |
41,144 |
|
|
$ |
22,080 |
|
Preclinical programs external expenses |
|
|
16,565 |
|
|
|
16,535 |
|
R&D personnel-related costs (including stock-based |
|
|
30,404 |
|
|
|
19,500 |
|
Other costs |
|
|
6,676 |
|
|
|
2,820 |
|
General and Administrative Expenses: |
|
|
|
|
|
|
||
G&A personnel-related costs (including stock-based |
|
|
21,519 |
|
|
|
13,989 |
|
Professional and consulting costs |
|
|
5,260 |
|
|
|
5,482 |
|
Facility related and other |
|
|
3,531 |
|
|
|
2,649 |
|
Loss from operations |
|
$ |
(125,099 |
) |
|
$ |
(83,055 |
) |
Interest income |
|
|
13,616 |
|
|
|
12,138 |
|
Change in fair value of preferred stock tranche right liability |
|
|
— |
|
|
|
(7,390 |
) |
Net loss |
|
$ |
(111,483 |
) |
|
$ |
(78,307 |
) |
Accordingly, the Company consists of a operating and reportable segment and the consolidated financial statements and notes thereto are presented as a reportable segment.
Historical Timeline
| Fiscal Year | Filed | |
|---|---|---|
| 2025 | Mar 10, 2026 | Showing above |
| 2024 | Mar 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.