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Segment Reporting
 9 Months Ended
Sep. 30, 2025
Segment Reporting [Abstract]  
Segment Reporting

15. Segment Reporting

We operate as a single operating and reportable segment, focused on creating value for our stockholders. We achieve this by maximizing the value of our respiratory royalty portfolio and growing our investments in innovative healthcare assets that address critical unmet medical needs.

Our Chief Executive Officer, as the chief operating decision-maker (“CODM”), evaluates the company’s financial performance and operational efficiency using consolidated net income (loss). This helps guide decisions related to commercial operations, product development, and regulatory compliance, ensuring resources are allocated effectively to support growth initiatives. Consolidated net income (loss) also helps inform reinvestment strategies to strengthen our market position and drive innovation.

The accounting policies of the segment are the same as those described in Note 1, “Description of Operations and Summary of Significant Accounting Policies”.

Our revenues are generated primarily from our collaborative arrangements and royalty payments from GSK, located in Great Britain. We also generate revenue from net product sales of GIAPREZA®, XERAVA®, XACDURO®, and ZEVTERA®, as well as license and other revenues. Refer to Note 3, “Revenue Recognition”, for more information on our revenues for the periods presented.

Our long-term assets are located within the United States. The CODM does not review assets at a different level or category than the amounts disclosed in the consolidated balance sheets.

The table below presents the financial information used by the CODM to assess performance, which reconciles to the consolidated net income:

 

 

Three months ended September 30,

 

 

Nine Months Ended September 30,

 

(In thousands)

 

2025

 

 

2024

 

 

2025

 

 

2024

 

Total revenue

 

$

107,800

 

 

$

89,508

 

 

$

296,715

 

 

$

266,905

 

Less:

 

 

 

 

 

 

 

 

 

 

 

 

Cost of products sold

 

 

25,643

 

 

 

9,990

 

 

 

45,075

 

 

 

29,433

 

Amortization of acquired intangible assets

 

 

6,618

 

 

 

6,511

 

 

 

19,640

 

 

 

19,391

 

Selling and marketing

 

 

8,591

 

 

 

7,921

 

 

 

24,809

 

 

 

17,184

 

General and administrative

 

 

18,700

 

 

 

18,298

 

 

 

56,385

 

 

 

67,180

 

Research and development - External services and expenses

 

 

2,863

 

 

 

2,420

 

 

 

12,696

 

 

 

4,700

 

Research and development - Internal expenses

 

 

1,439

 

 

 

1,131

 

 

 

3,985

 

 

 

5,289

 

Research and development - Acquired IPR&D

 

 

9,368

 

 

 

—

 

 

 

9,368

 

 

 

—

 

Changes in fair values of equity method investments, net

 

 

(30,751

)

 

 

18,231

 

 

 

(30,284

)

 

 

42,997

 

Changes in fair values of equity and long-term investments, net

 

 

(31,510

)

 

 

16,936

 

 

 

22,509

 

 

 

60,827

 

Interest and dividend income

 

 

(5,472

)

 

 

(5,500

)

 

 

(14,935

)

 

 

(13,373

)

Interest expense

 

 

4,015

 

 

 

5,807

 

 

 

13,389

 

 

 

17,460

 

Other expense, net

 

 

479

 

 

 

914

 

 

 

2,252

 

 

 

3,123

 

Income tax expense, net

 

 

7,909

 

 

 

5,636

 

 

 

24,814

 

 

 

9,634

 

Consolidated net income

 

$

89,908

 

 

$

1,213

 

 

$

107,012

 

 

$

3,060