Rallybio Corporation (RLYB): Business Model Canvas [Dec-2025 Updated]

You're looking at a clinical-stage biotech trying to navigate the tough path of rare disease development, and you need to know if the strategy holds up. Honestly, the Business Model Canvas for Rallybio Corporation shows a tightrope walk: pushing their lead C5 inhibitor, RLYB116, while making smart, non-dilutive moves to fund the journey. For instance, after booking $20 million from the REV102 sale in Q3 2025, they're aiming to stretch that $59.3 million cash pile through 2027, even while spending about $27.3 million on R&D and G&A in the first nine months of the year. It's a model built on high-value science and disciplined capital management; let's break down exactly how they plan to hit those milestones below.

Rallybio Corporation (RLYB) - Canvas Business Model: Key Partnerships

The Key Partnerships block of the Rallybio Corporation business model is critical for advancing its pipeline, given its clinical-stage focus and reliance on external expertise and capital events.

Recursion Pharmaceuticals for REV102 asset sale and milestones

Rallybio Corporation executed a definitive agreement in July 2025 to sell its interest in REV102, an ENPP1 inhibitor, to its joint venture partner, Recursion Pharmaceuticals. This transaction provided non-dilutive capital and extended Rallybio Corporation's cash runway into the middle of 2027.

The total consideration for the sale is up to $25.0 million, structured with several defined payments:

Payment Type	Amount	Trigger/Status (as of late 2025)
Upfront Equity Payment	$7.5 million	Received in July 2025
Contingent Equity Payment	$12.5 million	Upon initiation of additional preclinical studies (Received in Q3 2025)
Phase 1 Milestone Payment	$5.0 million	In connection with the initiation of dosing in a Phase 1 clinical study
Royalty Potential	Low single-digit royalties	On all future net sales by Recursion

Rallybio Corporation generated a total of $20 million pursuant to this agreement in the third quarter of 2025, which included the $7.5 million upfront payment and the $12.5 million equity milestone payment for the advancement of preclinical studies.

Johnson & Johnson for collaboration agreement revenue recognition

Revenue generated from the collaboration agreement with Johnson & Johnson is recognized based on the satisfaction of performance obligations. This revenue stream has been relatively consistent in the first three quarters of 2025:

• Q1 2025 Revenue: $0.2 million
• Q2 2025 Revenue: $0.2 million
• Q3 2025 Revenue: $0.2 million

The revenue recognized in Q2 2025 and Q3 2025 was lower compared to the same periods in 2024, reflecting the recognition pattern of the collaboration performance obligations.

Contract Research Organizations (CROs) for clinical trial execution

While specific contract values with Contract Research Organizations are not publicly itemized, the operational shift is evident in Research & Development (R&D) expense management. R&D expenses decreased from $12.9 million in Q2 2024 to $6.1 million in Q2 2025, and from $8.2 million in Q3 2024 to $4.1 million in Q3 2025, partly due to a decrease in development costs for programs like RLYB212.

Academic institutions and Key Opinion Leaders (KOLs) for scientific validation

Scientific validation partnerships with academic institutions and KOLs are integral to Rallybio Corporation's strategy, particularly for its lead program, RLYB116. The company completed dosing of the first cohort in the RLYB116 Phase 1 confirmatory Pharmacokinetic/Pharmacodynamic (PK/PD) study in September 2025, with data readouts expected in the fourth quarter of 2025, which relies on established clinical and scientific validation networks.

Exscientia and AbCellera for early-stage discovery efforts

Rallybio Corporation maintains multi-target discovery collaborations:

• AbCellera Partnership: This multi-year, multi-target alliance is structured for the co-development of up to five rare disease therapeutic targets. Discovery efforts were planned to advance to the next research milestone in the second half of 2024.
• Exscientia Partnership: This collaboration focused on AI-designed compounds for the ENPP1 Inhibitor program, with lead AI-designed compounds expected to enter the candidate selection process in the second half of 2024.

Rallybio Corporation (RLYB) - Canvas Business Model: Key Activities

You're looking at the core engine room of Rallybio Corporation (RLYB) as of late 2025. The key activities here are all about pushing the lead candidate through critical clinical gates and managing the capital structure to fund that push. It's a tight focus, which makes sense given the recent portfolio adjustments.

Clinical development of lead C5 inhibitor program, RLYB116

The primary activity revolves around advancing RLYB116, their C5 inhibitor, through the confirmatory Phase 1 pharmacokinetic/pharmacodynamic (PK/PD) study. This is where the rubber meets the road for their valuation.

Key milestones achieved or anticipated for RLYB116 include:

• Completed dosing of Cohort 1 in the Phase 1 confirmatory PK/PD study in September 2025.
• Planned development indications include immune platelet transfusion refractoriness (PTR) and refractory antiphospholipid syndrome (APS).
• Anticipated data readout from Cohort 2 in the fourth quarter of 2025.
• Completed manufacturing process enhancements designed to improve tolerability.

Prior biomarker characterization analyses from the Phase 1 Multiple Ascending Dose (MAD) study indicated that RLYB116 achieved a greater degree of complement inhibition than initially reported. This supports its potential across a broad range of complement-mediated diseases.

Research and Development (R&D) for complement dysregulation and hematology

Rallybio Corporation is channeling its R&D spend with extreme discipline, especially after discontinuing the RLYB212 program in April 2025. The focus is clearly shifting resources toward RLYB116, even as overall R&D costs have dropped year-over-year.

Here's a look at the recent R&D spending compared to the prior year:

Metric	Q3 2025 Amount	Q3 2024 Amount
Research & Development (R&D) Expenses	$4.1 million	$8.2 million

The decrease in total R&D expenses was largely due to lower development costs for RLYB212 and other candidates, which was partially offset by an increase in development costs specifically for RLYB116. The RLYB212 program, aimed at preventing fetal and neonatal alloimmune thrombocytopenia (FNAIT), was discontinued based on Phase 2 PK data showing the dose regimen could not achieve predicted target concentrations.

Strategic portfolio prioritization and asset monetization (e.g., REV102)

A critical activity has been the strategic monetization of non-core assets to bolster the balance sheet and extend the cash runway. The sale of the REV102 interest to Recursion Pharmaceuticals is the prime example here.

The financial impact of the REV102 divestiture is substantial:

• Total generated from the agreement with Recursion Pharmaceuticals as of Q3 2025: $20 million.
• Upfront equity payment received: $7.5 million.
• Milestone payment received for initiating additional preclinical studies: $12.5 million.
• Potential future milestone payment upon initiation of a Phase 1 clinical study: an additional $5 million.
• Expected cash runway extension due to these payments: into the middle of 2027, and later stated as through 2027.

As of June 30, 2025, the company's cash, cash equivalents, and marketable securities stood at $45.7 million. This non-dilutive capital is key to funding the RLYB116 advancement.

Regulatory filings and managing clinical trial sites globally

This activity involves the operational execution of global clinical programs, though specific filing dates or site counts aren't detailed in the latest reports. We do know the scope of the work that has been concluded or is ongoing.

Specific operational data points include:

• Screening for the FNAIT natural history study in the United States and Canada concluded as of January 31, 2025.
• The RLYB116 Phase 1 confirmatory PK/PD study is designed to demonstrate complete and sustained complement inhibition.

Maintaining and defending core intellectual property (IP)

While Rallybio Corporation's mission is built on its pipeline, specific financial figures dedicated solely to IP maintenance and defense costs are not itemized separately in the Q3 2025 results. The activity is reflected in the overall R&D and G&A spend, and the strategic prioritization announced in early 2024 focused resources on RLYB212 and RLYB116, implicitly defending the value of those core assets.

General & Administrative (G&A) expenses, which cover many corporate overheads including some IP management, were $3.0 million for the third quarter of 2025, down from $4.1 million in Q3 2024, largely due to lower headcount following a May 2025 workforce reduction.

Rallybio Corporation (RLYB) - Canvas Business Model: Key Resources

You're looking at the core assets Rallybio Corporation (RLYB) is counting on right now. The financial foundation, as of September 30, 2025, rests on $59.3 million in cash, cash equivalents, and marketable securities. This figure, following the July 2025 divestiture of the REV102 interest to Recursion Pharmaceuticals for a total consideration of up to $25.0 million, is projected to support operations through 2027. Also, keep in mind the share count as of October 31, 2025, stood at 42,243,774 shares of common stock outstanding.

Here's a quick look at some critical figures from the third quarter of 2025:

Financial Metric	Amount/Value	Date/Period
Cash, Cash Equivalents, Marketable Securities	$59.3 million	September 30, 2025
Net Income (Loss)	$16.0 million	Q3 2025
REV102 Upfront Payment Received	$7.5 million	July 2025
Total Outstanding Common Stock	42,243,774 shares	October 31, 2025

The lead tangible asset is definitely RLYB116, which Rallybio Corporation positions as a differentiated C5 inhibitor. This investigational therapy is currently being advanced in a confirmatory Phase 1 pharmacokinetic/pharmacodynamic (PK/PD) clinical trial. Dosing for Cohort 1 was completed in September 2025, with data readouts anticipated in the fourth quarter of 2025. The initial indication focus for RLYB116 is on two hematologic conditions presenting significant unmet need: immune platelet transfusion refractoriness (PTR) and refractory antiphospholipid syndrome (APS). The goal of the ongoing study is to demonstrate complete and sustained complement inhibition along with favorable tolerability.

Beyond the drug candidate itself, the intangible resources are crucial for Rallybio Corporation's valuation:

• Scientific expertise focused on complement biology.
• Deep experience in rare disease drug development execution.
• Proprietary data from preclinical studies for RLYB116.
• Patents covering the composition and use of RLYB116.
• Data from the completed Phase 1 multiple ascending dose study.

Finance: draft 13-week cash view by Friday.

Rallybio Corporation (RLYB) - Canvas Business Model: Value Propositions

You're looking at the core promises Rallybio Corporation (RLYB) makes to its stakeholders, which centers on delivering therapies for devastating rare diseases. This isn't just about incremental improvement; it's about fundamentally changing the course of severe conditions where current options are lacking or non-existent.

The value proposition is anchored in translating scientific advances into transformative treatments for patients with severe and rare diseases. For instance, consider RLYB212, aimed at preventing fetal and neonatal alloimmune thrombocytopenia (FNAIT). Epidemiological analysis showed that more than 30,000 pregnancies each year are at higher risk for FNAIT. Rallybio Corporation concluded screening in its FNAIT natural history study on January 31, 2025, having screened over 14,000 pregnant women through January 1, 2025.

RLYB116, the lead program, offers a specific value proposition centered on its mechanism of action. This investigational therapy is designed to achieve complete and sustained complement inhibition while offering improved tolerability compared to existing approaches.

The clinical development for RLYB116 is focused on addressing high unmet medical needs in complement-mediated diseases, specifically immune platelet transfusion refractoriness (PTR) and refractory antiphospholipid syndrome (APS).

• Patients with immune PTR have no approved or effective therapeutic options.
• An immune response is implicated in up to 40% of PTR cases.
• For refractory APS, approximately 10% of patients continue to experience thromboses despite standard anticoagulant treatment.
• The combined market opportunity for these initial indications is estimated at $5 billion.

Rallybio Corporation is also creating value for its financial stakeholders by managing its capital structure for operational longevity. This is achieved by generating non-dilutive capital events to extend the cash runway.

Financial Metric/Event	Amount/Date	Significance
Cash, Cash Equivalents, Marketable Securities (as of Sept 30, 2025)	$59.3 million	Core operating capital as of late 2025
Cash Runway Expectation	Through 2027	Extends operational funding based on current burn rate
Non-Dilutive Capital Generated (Q3 2025)	$20 million	From sale of interest in REV102 to Recursion Pharmaceuticals
REV102 Upfront Payment	$7.5 million	Component of the non-dilutive capital

The RLYB116 program hit a key clinical milestone in September 2025 with the completion of dosing in Cohort 1 of its Phase 1 confirmatory pharmacokinetic/pharmacodynamic (PK/PD) trial. The trial is structured to evaluate different dose levels, with Cohort 1 involving a dose of 150 mg once weekly.

You can see the progression of the RLYB116 value delivery below:

• Initiation of confirmatory PK/PD study: June 2025.
• Completion of dosing for Cohort 1: September 2025.
• RLYB116 is a once-weekly, small volume, subcutaneously injected C5 inhibitor.

Finance: draft 13-week cash view by Friday.

Rallybio Corporation (RLYB) - Canvas Business Model: Customer Relationships

You're hiring before product-market fit, so your relationships with key external stakeholders-patients, doctors, and partners-are your primary assets for validation and funding. Rallybio Corporation focuses on deep, specialized engagement across these groups to de-risk its rare disease pipeline.

High-touch engagement with rare disease patient advocacy groups

Rallybio Corporation emphasizes building meaningful relationships within the patient community, which is crucial for understanding the unmet needs in severe and rare diseases. The company explicitly mentions engagement with advocacy organizations, such as the National Organization for Rare Disorders (NORD).

• Engagement includes supporting programs serving families, infants, children, and young adults in the New Haven, CT community.
• The mission is to empower and inspire the next generation of scientists and researchers in the community.

Direct, specialized relationships with clinical investigators and medical experts

The foundation of Rallybio Corporation's clinical advancement relies on its network of academic clinical centers and industry leaders worldwide. This specialized relationship management is evidenced by the progression of its clinical programs, which require deep collaboration with investigators.

Here's a look at the clinical trial milestones achieved or anticipated as of late 2025, which directly reflect this relationship activity:

Program Candidate	Clinical Activity/Status (as of late 2025)	Key Data Anticipation/Readout
RLYB116	Completed dosing of Cohort 1 in Phase 1 Confirmatory PK/PD Study in September 2025.	Data from Cohort 1 expected in the fourth quarter of 2025.
RLYB212	Sentinel participant dosed in Phase 2 trial in February 2025.	PK and safety data from the second trimester expected in the second quarter of 2025.
RLYB212 (Natural History Study)	Screened more than 14,000 pregnant women through January 1, 2025, in the ongoing FNAIT natural history study.	Screening planned to conclude in the United States and Canada as of January 31, 2025.

Strategic management of biopharma collaboration partners

Rallybio Corporation actively manages strategic alliances, using them to generate non-dilutive capital and advance pipeline assets. The relationship with Recursion Pharmaceuticals for the REV102 program is a prime example of this strategy in action during 2025.

The financial outcomes from this partnership demonstrate the value realized from these relationships:

• Rallybio Corporation generated a total of $20 million in the third quarter of 2025 from the sale of its interest in REV102 to Recursion Pharmaceuticals.
• This total included an upfront payment of $7.5 million and an equity milestone payment of $12.5 million received in September 2025 for the initiation of additional preclinical studies.
• The total potential consideration for the REV102 program was up to $25 million.
• Revenue for the third quarter of 2025 was $0.2 million, down from $0.3 million in the third quarter of 2024, related to the recognition of revenue from the Johnson & Johnson collaboration agreement.

Investor relations to communicate clinical milestones and financial discipline

Investor relations efforts focus on clearly linking clinical progress to financial stability. The company emphasizes its disciplined approach to capital management, which reassures stakeholders about its operational runway.

Key financial and operational metrics communicated to investors as of the third quarter of 2025:

• Cash, cash equivalents, and marketable securities were $59.3 million as of September 30, 2025.
• The company expects this cash position to support operations through 2027.
• For the third quarter of 2025, Rallybio reported a net income of $16.0 million, or $0.36 per common share, a significant shift from the net loss of $11.5 million, or $0.26 per common share, in the third quarter of 2024.
• Research & Development (R&D) expenses decreased to $4.1 million in Q3 2025 from $8.2 million in Q3 2024, partly due to a workforce reduction announced in May 2025.

The communication strategy ties these financial results directly to clinical achievements, such as advancing RLYB116 and receiving the $12.5 million milestone payment from Recursion. Finance: draft 13-week cash view by Friday.

Rallybio Corporation (RLYB) - Canvas Business Model: Channels

You're looking at how Rallybio Corporation (RLYB) gets its value proposition-transformative therapies for rare diseases-out to the world, which for a clinical-stage biotech means getting data out and getting partners in.

Global network of clinical trial sites for RLYB116 Phase 1/2 studies

The primary channel for advancing the lead asset, RLYB116, involves a global network of clinical trial sites. The confirmatory Phase 1 pharmacokinetic/pharmacodynamic (PK/PD) study (NCT06797375) was initiated in the second quarter of 2025. This study is designed with two cohorts, each involving eight participants randomized 3 to 1 to receive RLYB116 or placebo once weekly for a 4-week treatment duration, followed by a 10-week follow-up. Cohort 1, testing a 150 mg once weekly dose, completed dosing in September 2025. Results from this first cohort supported progression to Cohort 2, which was anticipated to evaluate dosing up to 300 mg once weekly, with data readouts expected in the fourth quarter of 2025. The initial focus indications for RLYB116 are immune platelet transfusion refractoriness (PTR) and refractory antiphospholipid syndrome (APS), representing a combined market opportunity estimated at $5 billion. The company completed dosing of the first cohort in this study on September 25, 2025. That's how you move a drug forward.

Direct licensing and collaboration agreements with larger biopharma companies

Strategic partnerships are a key channel for both validation and non-dilutive funding. Rallybio Corporation has active and recently concluded agreements that channel value and assets. For instance, the collaboration with Johnson & Johnson generated revenue of $0.2 million in the third quarter of 2025. Furthermore, the sale of the REV102 program interest to Recursion Pharmaceuticals in July 2025 provided significant, near-term financial input. Here's a quick look at the financial impact from these channels through Q3 2025:

Agreement/Event	Metric/Amount	Date/Period
REV102 Sale to Recursion (Upfront/Milestone)	$20 million total received	Q3 2025
REV102 Milestone Payment Received	$12.5 million equity milestone	September 3, 2025
Johnson & Johnson Collaboration Revenue	$0.2 million	Q3 2025
Cash Position (Runway Support)	$59.3 million	September 30, 2025

The company expects its cash position as of September 30, 2025, to support operations through 2027. Rallybio is also eligible to receive low single-digit royalties on future net sales from the Recursion agreement.

Scientific publications and presentations at medical conferences

Disseminating clinical and preclinical data through scientific channels validates the science and informs the broader medical community. Rallybio Corporation has used these venues to detail program progress. The company presented biomarker characterization analyses showing RLYB116 led to a greater degree of complement inhibition in its earlier Phase 1 MAD study than initially reported. Also, prior to 2025, results of an epidemiological analysis for the discontinued RLYB212 program were presented at the NORD Summit and ASHG. The advancement of RLYB116 to Cohort 2 was directly supported by data from Cohort 1. The company continues to rely on these channels to build credibility for its pipeline.

• Data from RLYB116 Cohort 1 supported advancement to Cohort 2.
• RLYB116 data readouts anticipated in Q3 2025 (Cohort 1) and Q4 2025 (Cohort 2).
• RLYB212 FNAIT natural history study screening concluded in the United States and Canada as of January 31, 2025.
• RLYB116 is a differentiated C5 inhibitor.

Investor and corporate communications via press releases and SEC filings

The formal channel for communicating financial health and operational milestones to the investment community is through required regulatory filings and voluntary press releases. Rallybio Corporation furnished its Q3 2025 financial results via an 8-K filing on November 6, 2025. The company's regular reporting cadence includes quarterly updates. You can see the filing schedule below:

• Q1 2025 10-Q filed on May 8, 2025.
• Q2 2025 10-Q filed on August 7, 2025.
• Q3 2025 10-Q filed on November 6, 2025.
• Press release for Q3 2025 results issued on November 6, 2025.

As of May 2, 2025, the company had 41,613,964 shares of common stock outstanding. For the Q3 2025 period, institutional ownership stood at 74.65%, with insiders owning 4.14%. Finance: draft 13-week cash view by Friday.

Rallybio Corporation (RLYB) - Canvas Business Model: Customer Segments

You're looking at the core groups Rallybio Corporation (RLYB) targets as of late 2025, which is a critical time given the recent Q3 2025 earnings report and the progress on RLYB116.

Patients suffering from complement-mediated rare diseases (e.g., PTR, refractory APS).

This group represents the ultimate end-users for RLYB116, a C5 inhibitor targeting immune platelet transfusion refractoriness (PTR) and refractory antiphospholipid syndrome (APS) as of the third quarter of 2025. The potential market size for these indications provides the financial scope for this segment. The global Paroxysmal Nocturnal Hemoglobinuria (PNH) treatment market, a related complement-mediated disease area where RLYB116 is positioned, was valued at approximately $5 billion in 2025, with projections reaching $13.94 billion by 2035 at a 10.8% CAGR between 2026 and 2035. Another assessment places the PNH market at about $4,500 million in 2025. For refractory Catastrophic Antiphospholipid Syndrome (CAPS), the market is projected to grow from $5.5 million in 2025 to $14.3 million by 2035, showing a 10.0% CAGR. Rallybio Corporation reported completing dosing of Cohort 1 in the RLYB116 Phase 1 confirmatory study in September 2025, aiming for data in the fourth quarter of 2025.

The key patient populations and associated market values are summarized below:

Rare Disease Indication	Targeted Therapy Focus	Estimated 2025 Market Value (USD)	Projected 2035 Market Value (USD)
PNH (Related Area)	Complement Inhibitors	$5,000 million or $4,500 million	$13.94 billion
Refractory APS (CAPS)	Immunomodulatory/Complement	$5.5 million	$14.3 million

Specialist physicians (hematologists, rheumatologists) treating these rare conditions.

These are the prescribers and key opinion leaders who evaluate the clinical data for RLYB116. The progression of the RLYB116 program directly addresses their need for new, differentiated therapies. Rallybio Corporation announced the completion of dosing in Cohort 1 of the RLYB116 Phase 1 confirmatory pharmacokinetic/pharmacodynamic (PK/PD) clinical trial in September 2025. The focus of this study is to demonstrate complete and sustained complement inhibition with favorable tolerability, which is what specialists look for in a best-in-class C5 inhibitor. The company is focused on developing transformative therapies for devastating rare diseases, which aligns with the practice of specialists in tertiary care and academic medical centers.

• Physicians are evaluating RLYB116 data expected in 4Q 2025.
• The RLYB116 program targets diseases of complement dysregulation and hematology.
• The company aims to address serious unmet needs in complement-mediated diseases.
• Specialists are key to adopting therapies that offer improved survival outcomes and reduced organ damage in related conditions.

Biopharmaceutical companies seeking to in-license or acquire rare disease assets.

This segment is interested in Rallybio Corporation's pipeline and its disciplined business development approach. A concrete example of this segment's activity involving Rallybio is the recent transaction related to REV102. In the third quarter of 2025, Rallybio Corporation generated a total of $20 million from the sale of its interest in REV102 to Recursion Pharmaceuticals. This total included an upfront payment of $7.5 million and $12.5 million related to the initiation of additional preclinical studies. This non-dilutive capital strengthened the balance sheet, which was reported to have $59.3 million in cash, cash equivalents, and marketable securities as of September 30, 2025, extending the cash runway through 2027. Rallybio's strategy includes fostering collaborations that enhance access to therapies.

Institutional and individual investors focused on high-risk, high-reward biotech.

Investors are tracking Rallybio Corporation's clinical milestones and financial health. The stock closed at $0.65 on December 1, 2025, in regular trading. The Q3 2025 results showed an actual Earnings Per Share (EPS) of -$0.14, beating the consensus estimate of -$0.25 by $0.11. Quarterly revenue for Q3 2025 was $0.21 million, above the consensus estimate of $0.07 million. The company reported a net income of $16.0 million for Q3 2025, compared to a net loss of $11.5 million in Q3 2024, largely influenced by the asset sale. The trailing EPS over the last four quarters was -$0.32, with earnings expected to grow from ($1.34) to ($1.09) per share next year. The company's cash position of $59.3 million as of September 30, 2025, supports operations through 2027.

Here's the quick math on recent financial performance:

Financial Metric (as of late 2025)	Value	Context/Date
Q3 2025 Actual EPS	-$0.14	Beat consensus of -$0.25 by $0.11
Q3 2025 Revenue	$0.21 million	Above consensus of $0.07 million
Cash, Equivalents, Securities (Sep 30, 2025)	$59.3 million	Cash runway extends through 2027
REV102 Sale Proceeds	$20 million total	Includes $7.5 million upfront
Stock Closing Price (Dec 1, 2025)	$0.65	Regular trading close

Finance: draft 13-week cash view by Friday.

Rallybio Corporation (RLYB) - Canvas Business Model: Cost Structure

You're looking at the core spending engine for Rallybio Corporation as of late 2025, which is heavily weighted toward advancing its pipeline, particularly RLYB116, following the strategic discontinuation of RLYB212.

The primary cost drivers are clearly concentrated in Research & Development, though the company has taken steps to manage its overhead.

Here's the quick math on the largest reported operating expenses through the first nine months of 2025:

Cost Category	Nine Months Ended September 30, 2025 (in millions USD)	Nine Months Ended September 30, 2024 (in millions USD)
Research & Development (R&D) Expenses	$15.925	Data not explicitly available for nine months in search results.
General & Administrative (G&A) Expenses	$11.357	Data not explicitly available for nine months in search results.

The R&D spend reflects the ongoing, high-stakes nature of clinical-stage biotech. For instance, the third quarter of 2025 R&D spend was $4.1 million, down from $8.2 million in the third quarter of 2024, but this was influenced by specific program dynamics.

Clinical trial execution costs for RLYB116 are a significant component within the R&D bucket. The development costs related to RLYB116 actually increased R&D expenses in the third quarter of 2025, offsetting decreases elsewhere in the R&D portfolio.

Personnel costs are actively being managed, which you can see in the trend of lower quarterly expenses:

• General & Administrative expenses fell to $3.0 million in Q3 2025 from $4.1 million in Q3 2024, primarily due to lower headcount.
• Payroll and personnel-related expenses decreased across both R&D and G&A following the workforce reduction announced in May 2025.
• This May 2025 reduction, affecting nine roles, resulted in estimated aggregate one-time charges of approximately $1.7 million for severance and benefits.

Manufacturing and supply chain costs are currently an expected future expenditure rather than a realized major cost driver. Rallybio Corporation's filings indicate that expenses will increase substantially if and as the company needs to:

• Secure manufacturing sources and supply chain capacity sufficient to produce adequate quantities of product candidates.
• Establish a sales, marketing, and distribution infrastructure for commercialization, should any product candidate gain regulatory approval.

Finance: review the Q4 2025 expense projections against the current cash runway through 2027 by Monday.

Rallybio Corporation (RLYB) - Canvas Business Model: Revenue Streams

You're looking at the financial engine of Rallybio Corporation as of late 2025, focusing on where the cash actually comes from right now. For a clinical-stage company, revenue isn't just about selling pills; it's heavily weighted toward strategic asset movements and partnership achievements.

The current revenue streams for Rallybio Corporation are a mix of non-recurring milestone payments from asset monetization and smaller, recurring collaboration fees tied to ongoing performance obligations. Future revenue hinges entirely on clinical success and eventual product launch.

• Milestone and upfront payments from asset monetization, generating $20 million from the REV102 sale in Q3 2025.
• Collaboration revenue from performance obligations, totaling $0.2 million in Q3 2025.
• Future potential revenue from product sales (long-term, post-approval).
• Equity financing or debt (historical source of capital).

The most significant recent financial event driving revenue was the divestiture of the REV102 program interest to Recursion Pharmaceuticals. This non-dilutive capital strengthened the balance sheet considerably.

REV102 Transaction Component	Amount Received (Q3 2025)	Trigger/Status
Total Generated from Sale	$20 million	Recognized in Q3 2025
Upfront Payment	$7.5 million	Received
Equity Milestone Payment	$12.5 million	Triggered by initiation of additional preclinical studies (received September 2025)
Potential Future Milestone	$5 million	Contingent on initiation of a Phase 1 clinical study

The total reported revenue for the third quarter ended September 30, 2025, was $0.21 million, though the specific collaboration revenue recognized from performance obligations was $0.2 million. This compares to $0.3 million in revenue for the same period in 2024, which was related to the Johnson & Johnson collaboration recognition.

Looking further out on the REV102 deal, Rallybio Corporation remains eligible for further payments. Honestly, these contingent payments are key to the long-term value capture from that asset.

• Additional milestone payment of $5 million contingent on the initiation of a Phase 1 clinical study by Recursion Pharmaceuticals.
• Low single-digit royalties on future net sales of REV102 by Recursion.
• Potential certain payments upon the sale of the REV102 program by Recursion.

For the near term, the company's operational funding relies on its existing capital position, which was bolstered by the asset sale. As of September 30, 2025, Rallybio Corporation held $59.3 million in cash, cash equivalents, and marketable securities. Management projected this cash, cash equivalents, and marketable securities position to be sufficient to support operations through 2027.

Historically, like many clinical-stage biotechs, Rallybio Corporation has relied on equity financing to bridge the gap between research and potential product monetization. While the recent REV102 payment was non-dilutive, the need for capital to fund the RLYB116 and RLYB332 programs means future financing activities, whether through equity issuance or debt instruments, remain a critical, albeit less desirable, potential source of capital to sustain operations beyond the projected 2027 runway.