Company: RCUS
Filing Date: 2025-10-28
Form Type: 10-Q
Source: 0001724521-25-000116
Chunk: 343

Company: Arcus Biosciences, Inc.
Filing Date: 2025-10-28
Form: 10-Q
Item: Part I, Item 2
Chunk 343
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 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.

Results of Operations

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

Three Months EndedSeptember 30,Change Nine Months EndedSeptember 30,Change 2025202420252024Revenues:License and development services revenue$20 $41 (51%)$192 $204 (6)%Other collaboration revenue6 7 (14%)22 28 (21)%Total revenues26 48 (46%)214 232 (8)%Operating expenses:Research and development141 123 15%402 347 16%General and administrative27 30 (10%)84 92 (9%)Impairment of long-lived assets — — —%— 20 (100%)Total operating expenses168 153 10%486 459 6%Loss from operations(142)(105)35%(272)(227)20%Non-operating income, net7 13 (46%)25 38 (34%)Loss before income taxes(135)(92)47%(247)(189)31%Income tax expense— — *— — *Net loss$(135)$(92)47%$(247)$(189)31%

*Not meaningful

Total Revenues

The decrease in Total revenues for the three months ended September 30, 2025 was primarily driven by the prior year license revenue of $15 million as a result of Taiho's exercise of its option for quemliclustat in the third quarter 2024 and lower development service revenues from the Gilead Collaboration.

24

The decrease in Total revenues for the nine months