Company: ATRA
Filing Date: 2025-03-07
Form Type: 10-K
Source: 0000950170-25-035507
Chunk: 271

Company: Atara Biotherapeutics, Inc.
Filing Date: 2025-03-07
Form: 10-K
Item: Item 7
Chunk 271
---
2023

    Increase (Decrease)

    (in thousands)

    Cost of commercialization revenue
     
    $
    21,009

    $
    8,886

    $
    12,123

Costs of commercialization revenues were $21.0 million in 2024 compared to $8.9 million in 2023. The increase primarily related to an increased level of expense recognized associated with adjustments to reflect inventory at net realizable value, partially offset by a reduction of  in-license sales-related milestone expense. Prior to receiving EC regulatory approval for Ebvallo in the EU in December 2022, we recorded all costs incurred in the manufacture of Ebvallo to be sold upon commercialization as research and development expense. As a result, Ebvallo inventories manufactured before EC regulatory approval, referred to as zero cost inventories, were expensed as research and development and are therefore excluded from the cost of commercialization revenue. Ebvallo manufacturing costs incurred after EC regulatory approval are capitalized into inventory and recorded into cost of commercialization revenue as the related commercialization revenue is recognized. The majority of commercialization revenue recognized to date associated with the sale of Ebvallo is related to zero cost inventories. 

90

Research and development expenses

Research and development expenses consisted of the following costs, by function, in the periods presented:

    Year ended December 31,

    2024

    2023

    Increase (Decrease)

    (in thousands)

    Platform sciences, development and operations expense
     
    $
    77,444

    $
    122,940

    $
    (45,496
    )

    Medical and safety expense

    44,138

    67,445

    (23,307
    )

    Regulatory and quality expense

    29,901

    34,400

    (4,499
    )

    Total research and development expenses
     
    $
    151,483

    $
    224,785

    $
    (73,302
    )

Platform sciences, development and operations expense were $77.4 million in 2024 as compared to $122.9 million in 2023. The decrease in 2024 was primarily due to lower payroll and related costs, driven by the November 2023 and January 2024 reductions in force and the termination of the ATA188 program after the Phase 2 EMBOLD study did not meet