Company: LNAI
Filing Date: 2025-05-15
Form Type: 10-Q
Source: 0001731122-25-000765
Chunk: 37

Company: Lunai Bioworks Inc.
Filing Date: 2025-05-15
Form: 10-Q
Item: Part I, Item 1
Chunk 37
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 31, 2025. At March 31, 2025, the Company had $497,761 of unrecognized
compensation cost related to the options which vest at August 23, 2025.

NOTE 9 — SEGMENT REPORTING

For the period ending March 31,
2025, the Company had two reportable segments. These segments have different strategic and economic goals and are managed separately because
they require different technology and marketing strategies.

    Reportable Segment
     
    Description 
  
    RENB (United States)
     
    Developing new immunotherapies to combat cancer 
  
    RENC (Netherlands)
     
    Developing a predicative artificial intelligence based diagnostic methodology for the use of earlier cancer detection 

The Company’s
chief executive officer is the chief operating decision maker and reviews the internal management reports for each segment at least quarterly.
During the period ending March 31, 2025, there were no significant inter-company revenues or expenses. The chief operating decision maker
assesses performance for each segment and decides how to allocate resources based on segment operating losses that also is reported on
the consolidated statement of operations. The measure of segment assets is reported on the balance sheet as total consolidated assets.
The accounting policies of each segment are the same as those described in the summary of significant accounting policies.

    Schedule of segment operating loss and asset
    information 

    Operating loss 
    Assets
  
    United States 
    $12,230,368  
    $4,506,640 
  
    Netherlands 
     49,816,993  
     113,219,480 

    $62,047,361  
    $117,726,120 

The chief
operating decision maker uses loss from operations to evaluate the performance of each segment’s assets in deciding how to allocate
available capital between segments. The chief operating decision maker also uses loss from operations in their competitive analysis by
benchmarking the Company’s competitors. The competitive analysis along with the monitoring of budgeted versus actual results are
used in assessing the performance of the segment.

    20

Information
regarding each reportable segment for the three months ended March 31, 2025, is as follows:

    Schedule of information regarding segment reporting 

    RENB 
    RENC 
    Total
  
    General and administrative 
    $3,560,642  
    $663,948  
    $4,224,590 
  
    Research