Company: RCUS
Filing Date: 2025-08-06
Form Type: 10-Q
Source: 0001724521-25-000101
Chunk: 204

Company: Arcus Biosciences, Inc.
Filing Date: 2025-08-06
Form: 10-Q
Item: Part I, Item 1
Chunk 204
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 option rights to our HIF-2α program, which includes casdatifan, expired.

8

For the three and six months ended June 30, 2025, under the Gilead Agreements we recognized revenue of $160 million and $188 million, respectively, and for the three and six months ended June 30, 2024, we recognized revenue of $36 million and $177 million, respectively. For the three and six months ended June 30, 2025, we recognized net expense to Gilead of $13 million and $8 million, respectively, and for the three and six months ended June 30, 2024, we recognized net reimbursements from Gilead of $14 million and $30 million, respectively, in Operating expense, allocated between R&D and General and Administrative ("G&A") based upon the activity that generated the expense. At June 30, 2025 we had a net $13 million payable to Gilead, recorded in Accounts payable on our Condensed Consolidated Balance Sheets. At June 30, 2025 and December 31, 2024, we had $4 million and $6 million, respectively, receivable from Gilead, recorded in Receivable from collaboration partners on our Condensed Consolidated Balance Sheets. For a more detailed discussion on revenues recognized under the Gilead Agreements, see Note 5, Revenues, for more information.

Note 4. License and collaborations

We enter into licensing agreements, strategic collaborations and other similar arrangements with third parties for the development and commercialization of certain investigational products. These arrangements: may be collaborative and involve two or more parties who are active participants in the operating activities of the collaboration and are exposed to significant risks and rewards depending on the commercial success of the activities; are performed with no guarantee of either technological or commercial success; and are each unique in nature. Such arrangements may include: non-refundable upfront payments; payments for options to acquire certain rights; potential development and regulatory milestone payments and/or sales-based milestone payments; royalty payments; revenue or profit-sharing arrangements; expense reimbursements; and cost-sharing arrangements.Operating expenses for costs incurred pursuant to these arrangements are reported in their respective expense line items in the Condensed Consolidated Statements of Operations, net of any payments due to or reimbursements due from our collaboration partners, with such reimbursements being recognized at the time the party becomes obligated to pay. Our significant arrangements are discussed below. For a more detailed discussion