15. Segment Information

The CODM for the Company is the Chief Executive Officer (the "CEO"). The Company’s CEO reviews operating results on an aggregate basis and manages the Company’s operations as a whole for the purpose of evaluating financial performance and allocating resources. This decision-making process reflects the way in which financial information is regularly reviewed and used by the CODM to evaluate performance, set

operational targets, forecast future financial results, and allocate resources. Accordingly, the Company has determined that it has a single reportable and operating segment related to biopharmaceutical research and development.

The Company’s CODM assesses financial performance and allocates resources based on consolidated operating results which are also reported on the consolidated statements of operations. The measure of segment assets is reported on the balance sheet as total consolidated assets. The CODM utilizes consolidated operating results by comparing actual results against budgeted amounts. As part of this process, consolidated net loss is a critical performance measure used to evaluate the Company’s operating performance and guide strategic decisions and resource allocations, including additional investments in research and development. The table below provides information about the Company’s revenue, significant segment expenses and other segment expenses.

 

The table below provides information about the Company’s revenue, significant segment expenses and other segment expenses.

 

 

For the Years Ended December 31,

 

 

($ in thousands)

 

2024

 

 

2023

 

 

Revenues

 

$

10

 

 

$

5

 

 

Less segment expenses:

 

 

 

 

 

 

 

 

 

Research and development

 

 

340

 

 

 

 

16,279

 

 

General and administrative

 

 

 

4,436

 

 

 

 

12,219

 

 

Gain on lease modification

 

 

-

 

 

 

(298)

 

 

Restructuring costs

 

 

-

 

 

 

 

1,269

 

 

Property and equipment and right-of-use asset impairment

 

 

-

 

 

 

 

4,803

 

 

Total operating and segment expense

 

 

 

4,776

 

 

 

 

34,272

 

 

Plus:

 

 

 

 

 

 

 

 

 

Interest expense

 

 

-

 

 

 

(1,921)

 

 

Other income, net

 

 

133

 

 

 

 

1,048

 

 

Segment Net loss

 

$

(4,633

 

)

$

(35,140)

 

 

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.