Company: RCUS
Filing Date: 2025-10-28
Form Type: 10-Q
Source: 0001724521-25-000116
Chunk: 259

Company: Arcus Biosciences, Inc.
Filing Date: 2025-10-28
Form: 10-Q
Item: Part I, Item 8
Chunk 259
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 of our long-term debt approximated the carrying amount. The fair value of the long-term debt was estimated for disclosure purposes only and was determined based on other inputs that are observable, and thus categorized as Level 2 in the fair value hierarchy.

Note 15. Business segment

We operate and manage our business as one reportable and operating segment, which is the business of developing and commercializing highly differentiated therapies that have a meaningful impact on patients. Our chief operating decision maker ("CODM") is the Chief Executive Officer, who decides how to allocate resources and assesses segment performance based on the net loss reported in the Condensed Consolidated Statements of Operations.The table below is a summary of the segment net loss, including significant segment expenses (in millions):Three Months Ended September 30,Nine Months Ended September 30,2025202420252024Total revenues26 48 214 232 Less:Late-stage development programs (1)78 69 207 196 Early-stage development and preclinical programs (2)33 34 113 92 Compensation and personnel costs59 62 187 190 Depreciation and amortization2 2 7 7 Impairment of long-lived assets— — — 20 Interest income, net(7)(13)(25)(38)Income tax expense— — — — Other segment items (3)24 23 71 68 Partnership reimbursements(28)(37)(99)(114)Segment and Consolidated net loss$(135)$(92)$(247)$(189)(1) R&D expenses incurred related to a Phase 3 clinical program intended to result in registration of a new product. This includes all unallocated program-level expense not directly attributable to a specific clinical trial once a molecule enters into one or more Phase 3 clinical trials.(2) R&D expenses incurred for activities ranging from early-stage development and preclinical to Phase 2 clinical trials. This includes all unallocated program-level expense not directly attributable to a specific clinical trial unless the related program has entered into one or more Phase 3 clinical trials.(3) Other segment items includes non-allocated program costs and other G&A costs.Total segment assets at September 30, 2025 and 2024 were $1.0 billion and $1.3 billion, respectively.

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Item 2. Management’s Discussion and Analysis of Financial Condition and Results of Operations.

You should read the following discussion and analysis of our