Company: RCUS
Filing Date: 2025-08-06
Form Type: 10-Q
Source: 0001724521-25-000101
Chunk: 226

Company: Arcus Biosciences, Inc.
Filing Date: 2025-08-06
Form: 10-Q
Item: Part I, Item 1
Chunk 226
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 and delays may occur due to numerous factors. Factors that could cause or contribute to delays or additional costs include, but are not limited to, those discussed in "Item 1A. Risk Factors" of the Quarterly Report. 

General and Administrative Expenses 

G&A expenses consist principally of personnel-related costs including payroll and stock-based compensation for personnel in executive, finance, human resources, information technology, business and corporate development, and other administrative functions. Shared facility expenses are allocated to functional groups proportionally based on usage. Our G&A expenses also include professional fees for legal, consulting, and accounting services, rent and other facilities costs, fixed asset depreciation, and other general operating expenses not otherwise classified as R&D expenses. We do not receive significant reimbursements of these costs through our collaboration with Gilead. We anticipate that our G&A expenses will be stable for the remainder of this year.

Impairment of Long-Lived Assets

Impairment charges consist of impairment of right-of-use assets resulting from updated plans in the first quarter 2024 for a portion of our office space.

Non-Operating Income, net

Non-operating income, net consists primarily of interest earned on our investments in fixed-income marketable securities, interest expense on our loan financing with Hercules and non-cash interest income/expense incurred under the effective interest method on our liability for sale of future royalties to BVF.

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Results of Operations

The following table summarizes our results of operations (in millions):

Three Months EndedJune 30,Change Six Months EndedJune 30,Change 2025202420252024Revenues:License and development services revenue$152 $28 443%$172 $163 6 %Other collaboration revenue8 11 (27%)16 21 (24)%Total revenues160 39 310%188 184 2 %Operating expenses:Research and development139 115 21%261 224 17%General and administrative29 30 (3%)57 62 (8%)Impairment of long-lived assets — — —%— 20 (100%)Total operating expenses168 145 16%318 306 4%Loss from operations(8)(106)(92%)(130)(122)7%Non-operating income, net8 13 (38%)18 25 (28%)Income (loss) before income taxes— (93)(100%)(112)(97)15%Income tax expense— —