Company: CERO
Filing Date: 2025-04-15
Form Type: 10-K
Source: 0001213900-25-032134
Chunk: 2683

Company: CERO THERAPEUTICS HOLDINGS, INC.
Filing Date: 2025-04-15
Form: 10-K
Item: Item 7
Chunk 2683
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 anti-dilutive, such as in periods where the Company reports a net loss.

Segment reporting - Operating
segments are defined as components of a business for which separate discrete financial information is available for evaluation by
the chief operating decision maker in deciding how to allocate resources and assess performance. The Company operates as a single
operating and reporting segment, reflecting our sole focus in developing next generation engineered T cell therapeutics for the
treatment of cancer. Our Chief Executive Officer serves as the Chief Operating Decision Maker (CODM), responsible for assessing
the Company's performance and making resource allocation decisions. The CODM evaluates financial information on a consolidated
basis, focusing on key metrics such as research and development expense, general and administrative expenses, and other
income/expenses, which is reflected on the face of the Company’s consolidated statement of operations. The CODM allocates
resources based on the Company's available cash resources, forecasted cash flow, and expenditures on a consolidated basis, as well
as an assessment of the probability of success of its research and development activities. Resource allocation decisions are
informed by budgeted and forecasted expense information, along with actual expenses incurred to date. The measure of segment
assets is reported on the balance sheet as total assets. Disaggregated profit or loss information at the program or functional level
is not regularly provided to or relied upon by the CODM, as our integrated operating model emphasizes shared
resources and centralized decision-making. 

Recently adopted accounting standards

In November 2023, the
FASB issued ASU No. 2023-07, Segment Reporting (Topic 280): Improvements to Reportable Segment Disclosures, which
requires that an entity report segment information in accordance with Topic 280, Segment Reporting. The amendment in the ASU
is intended to improve reportable segment disclosure requirements primarily through enhanced disclosures about significant segment expenses. The
Company adopted ASU 2023-07 for the year ended December 31, 2024 retrospectively to all periods presented in the
consolidated financial statements. The adoption of this ASU had no impact on reportable segments identified and had no effect
on the Company’s consolidated financial position, results of operations, or cash flows.

Accounting standards not yet adopted

In December 2023, the FASB issued ASU 2023-09, Income Taxes (Topic