Vir Biotechnology, Inc.VIR

Vir Biotechnology, Inc. Segments Disclosure

10-KFiled Feb 23, 20262 min read
Segment Reporting
The Company manages the business activities on a consolidated basis and operates as one reportable segment that constitutes all of the consolidated entity, which is the business of powering the immune system to transform lives by discovering and developing medicines for serious infectious diseases and cancer. The Company’s CODM is its Chief Executive Officer. The accounting policies of the segment are the same as those described in the summary of significant accounting policies. The measure of segment profit or loss is segment net loss that also is reported on the consolidated statements of operations as consolidated net loss. The measure of segment assets is reported on the balance sheet as total consolidated assets. The CODM uses segment net loss to monitor spending, assess performance for the Company and management, evaluate the progress of completing corporate goals, decide how to allocate resources among the Company’s clinical and pre-clinical portfolios, and make strategic decisions about business development opportunities.
The segment revenue, segment profit or loss, and significant segment expenses regularly provided to CODM are summarized as follows (in thousands).
Years Ended December 31,
202520242023
Segment revenue$68,556 $74,205 $86,180 
Less: Segment expenses (1)
Cost of revenue26 845 2,765 
Research and development
Personnel (2)
125,274 162,960 189,418 
Licenses, collaborations and contingent consideration125,058 129,846 30,215 
Clinical costs87,173 57,624 121,422 
Contract manufacturing47,622 40,081 114,262 
Other R&D (3)
70,839 115,988 124,403 
Selling, general and administrative (2)
92,074 119,031 174,441 
Restructuring, long-lived assets impairment and related charges, net(182)34,995 13,559 
Plus: Other segment items (4)
41,341 65,205 69,188 
Segment and consolidated net loss$(437,987)$(521,960)$(615,117)
(1) Refer to Note 7 Balance Sheet Components for depreciation expenses included in segment expenses.
(2) Refer to Note 11 Stock-Based Awards for stock-based compensation expenses included in segment expenses.
(3) Other research and development expenses primarily includes non-personnel research expenses, allocated facility and IT expenses, IPR&D impairment, and depreciation expenses.
(4) Other segment items include change in fair value of equity investments, interest income, other expense, net, and (provision for) benefit from income taxes, all of which were presented on the consolidated statements of operations.
The following table summarizes segment revenues by geographic area (in thousands). The revenues attributed to foreign customers primarily include license and collaboration revenues recognized under the Company’s license agreement with Norgine and collaboration agreements with GSK (refer to Note 6 Collaboration and License Agreements for further details), revenue generated from clinical supplies provided to foreign companies, and license revenue from the Company’s collaboration with Brii Bio.
Years Ended December 31,
Segment revenues attributed to:202520242023
U.S. customers$2,036 $11,525 $47,138 
Foreign customers
Norgine64,268 — — 
GSK(1,138)60,309 37,265 
Other3,390 2,371 1,777 
Total segment and consolidated revenue$68,556 $74,205 $86,180 
The Company’s long-lived assets are primarily located in the U.S.

Historical Timeline

Fiscal YearFiled
2025Feb 23, 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.

Other Available Disclosures

Income TaxesRevenueEarnings Per ShareFair ValuePP&EGoodwill & IntangiblesLeasesCommitmentsStock CompensationNew StandardsPay vs Performance