UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM 6-K
Report of Foreign Private Issuer
Pursuant to Rule 13a-16 or 15d-16
of the Securities Exchange Act of 1934
Date of Report: August 23, 2021
Commission File Number: 001-39307
Legend Biotech Corporation
(Exact Name of Registrant as Specified in its Charter)
2101 Cottontail Lane
Somerset, New Jersey 08873
(Address of principal executive office)
Indicate by check mark whether the registrant files or will file annual reports under cover of Form 20-F or Form 40-F:
Form 20-F ☒ Form 40-F ☐
Indicate by check mark if the registrant is submitting the Form 6-K in paper as permitted by Regulation S-T Rule 101(b)(1): ☐
Indicate by check mark if the registrant is submitting the Form 6-K in paper as permitted by Regulation S-T Rule 101(b)(7): ☐
Legend Biotech Reports Financial Results for the Six-Months Ended June 30, 2021
Legend Biotech Corporation (“Legend Biotech”) is furnishing this report on Form 6-K to provide its unaudited consolidated financial statements for the six months ended June 30, 2021 and 2020 and to provide Management’s Discussion and Analysis of Financial Condition and Results of Operations with respect to such financial statements.
The unaudited condensed consolidated financial statements as of June 30, 2021 and for the six-months ended June 30, 2021 and 2020 are attached to this Form 6-K as Exhibit 99.1. Management’s Discussion and Analysis of Financial Condition and Results of Operations is attached to this Form 6-K as Exhibit 99.2.
This report on Form 6-K is hereby incorporated by reference into Legend Biotech’s Registration Statements on Form F-3 (Registration Nos. 333-257625 and 333-257609) and Legend Biotech’s Registration Statement on Form S-8 (Registration No. 333-239478).
EXHIBIT INDEX
|
Exhibit |
|
Title |
|
99.1 |
|
|
|
99.2 |
|
Management’s Discussion and Analysis of Financial Condition and Results of Operations. |
|
101 |
|
The following materials from Legend Biotech’s Report on Form 6-K for the six months ended June 30, 2021 formatted in XBRL (eXtensible Business Reporting Language): (i) the Interim Condensed Consolidated Statements of Profit or Loss and Other Comprehensive Income, (ii) the Interim Condensed Consolidated Statement of Financial Position, (iii) the Interim Condensed Consolidated Statements of Changes in Equity, (iv) the Interim Condensed Consolidated Statements of Cash Flows, and (v) Notes to the Interim Condensed Consolidated Financial Statements. |
SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized.
|
|
LEGEND BIOTECH CORPORATION |
|
|
|
(Registrant) |
|
|
|
|
|
|
August 23, 2021 |
By: |
/s/ Ying Huang |
|
|
Ying Huang, Ph.D. |
|
|
|
Chief Executive Officer and Chief Financial Officer |
|
LEGEND BIOTECH CORPORATION
UNAUDITED INTERIM CONDENSED CONSOLIDATED STATEMENTS OF PROFIT OR LOSS AND OTHER COMPREHENSIVE INCOME FOR THE SIX MONTHS ENDED JUNE 30, 2020 AND 2021
|
|
|
|
|
|
Six months ended June 30, |
|
||||||
|
|
|
Notes |
|
|
2020 |
|
|
2021 |
|
|||
|
|
|
|
|
|
|
(Unaudited) |
|
|
(Unaudited) |
|
||
|
|
|
|
|
|
|
(in thousands, except per share data) |
|
|||||
|
REVENUE |
|
|
4 |
|
|
|
23,146 |
|
|
|
33,915 |
|
|
Other income and gains |
|
|
4 |
|
|
|
3,796 |
|
|
|
2,390 |
|
|
Research and development expenses |
|
|
|
|
|
|
(101,570 |
) |
|
|
(154,529 |
) |
|
Administrative expenses |
|
|
|
|
|
|
(7,938 |
) |
|
|
(17,991 |
) |
|
Selling and distribution expenses |
|
|
|
|
|
|
(16,102 |
) |
|
|
(30,199 |
) |
|
Other expenses |
|
|
|
|
|
|
(82 |
) |
|
|
(4,378 |
) |
|
Fair value loss of warrant liability |
|
14 |
|
|
|
— |
|
|
|
(1,600 |
) |
|
|
Fair value loss of convertible redeemable preferred shares |
|
13 |
|
|
|
(79,984 |
) |
|
|
— |
|
|
|
Finance costs |
|
|
|
|
|
|
(4,079 |
) |
|
|
(90 |
) |
|
LOSS BEFORE TAX |
|
|
5 |
|
|
|
(182,813 |
) |
|
|
(172,482 |
) |
|
Income tax credit/(expense) |
|
|
6 |
|
|
|
3,709 |
|
|
|
(1 |
) |
|
LOSS FOR THE PERIOD |
|
|
|
|
|
|
(179,104 |
) |
|
|
(172,483 |
) |
|
Attributable to: |
|
|
|
|
|
|
|
|
|
|
|
|
|
Equity holders of the parent |
|
|
|
|
|
|
(179,104 |
) |
|
|
(172,483 |
) |
|
LOSS PER SHARE ATTRIBUTABLE TO ORDINARY EQUITY HOLDERS OF THE PARENT |
|
|
7 |
|
|
|
|
|
|
|
|
|
|
Ordinary shares—basic and diluted |
|
|
|
|
|
|
(0.86 |
) |
|
|
(0.63 |
) |
|
OTHER COMPREHENSIVE INCOME |
|
|
|
|
|
|
|
|
|
|
|
|
|
Other comprehensive income that may be reclassified to profit or loss in subsequent periods: |
|
|
|
|
|
|
— |
|
|
|
— |
|
|
Exchange differences: |
|
|
|
|
|
|
|
|
|
|
|
|
|
Exchange differences on translation of foreign operations |
|
|
|
|
|
|
(213 |
) |
|
|
3,305 |
|
|
Net other comprehensive (loss)/income that may be reclassified to profit or loss in subsequent periods |
|
|
|
|
|
|
(213 |
) |
|
|
3,305 |
|
|
OTHER COMPREHENSIVE (LOSS)/INCOME FOR THE PERIOD, NET OF TAX |
|
|
|
|
|
|
(213 |
) |
|
|
3,305 |
|
|
TOTAL COMPREHENSIVE LOSS FOR THE PERIOD |
|
|
|
|
|
|
(179,317 |
) |
|
|
(169,178 |
) |
|
Attributable to: |
|
|
|
|
|
|
|
|
|
|
|
|
|
Equity holders of the parent |
|
|
|
|
|
|
(179,317 |
) |
|
|
(169,178 |
) |
The accompanying notes are an integral part of the unaudited interim condensed consolidated financial statements.
LEGEND BIOTECH CORPORATION
CONDENSED CONSOLIDATED STATEMENTS OF FINANCIAL POSITION AS AT DECEMBER 31, 2020 AND UNAUDITED INTERIM CONDENSED CONSOLIDATED STATEMENTS OF FINANCIAL POSITION AS AT JUNE 30, 2021
|
|
Notes |
|
|
December 31, 2020 |
|
|
June 30, 2021 |
|
||||
|
|
|
|
|
|
|
US$’000 |
|
|
US$’000 |
|
||
|
|
|
|
|
|
|
|
|
|
|
(Unaudited) |
|
|
|
NON-CURRENT ASSETS |
|
|
|
|
|
|
|
|
|
|
|
|
|
Property, plant and equipment |
|
|
8 |
|
|
|
113,091 |
|
|
|
135,216 |
|
|
Advance payments for property, plant and equipment |
|
|
|
|
|
|
224 |
|
|
|
2,197 |
|
|
Right-of-use assets |
|
|
|
|
|
|
8,009 |
|
|
|
7,312 |
|
|
Other non-current assets |
|
|
|
|
|
|
3,973 |
|
|
|
4,885 |
|
|
Intangible assets |
|
|
|
|
|
|
2,852 |
|
|
|
4,681 |
|
|
Total non-current assets |
|
|
|
|
|
|
128,149 |
|
|
|
154,291 |
|
|
CURRENT ASSETS |
|
|
|
|
|
|
|
|
|
|
|
|
|
Inventories |
|
|
|
|
|
|
1,800 |
|
|
|
1,700 |
|
|
Trade receivables |
|
|
9 |
|
|
|
74,978 |
|
|
|
15,000 |
|
|
Prepayments, other receivables and other assets |
|
|
|
|
|
|
10,007 |
|
|
|
11,170 |
|
|
Financial investment measured at amortized cost |
|
|
10 |
|
|
|
— |
|
|
|
29,849 |
|
|
Pledged short-term deposits |
|
|
11 |
|
|
|
384 |
|
|
|
256 |
|
|
Time deposits |
|
|
11 |
|
|
|
50,000 |
|
|
|
174,644 |
|
|
Cash and cash equivalents |
|
|
11 |
|
|
|
455,689 |
|
|
|
488,215 |
|
|
Total current assets |
|
|
|
|
|
|
592,858 |
|
|
|
720,834 |
|
|
Total assets |
|
|
|
|
|
|
721,007 |
|
|
|
875,125 |
|
|
CURRENT LIABILITIES |
|
|
|
|
|
|
|
|
|
|
|
|
|
Trade and notes payables |
|
|
12 |
|
|
|
5,238 |
|
|
|
11,001 |
|
|
Other payables and accruals |
|
|
|
|
|
|
99,168 |
|
|
|
109,183 |
|
|
Lease liabilities |
|
|
|
|
|
|
1,464 |
|
|
|
1,178 |
|
|
Government grants |
|
|
|
|
|
|
283 |
|
|
|
300 |
|
|
Warrant liability |
|
|
14 |
|
|
|
— |
|
|
|
83,300 |
|
|
Contract liabilities |
|
|
|
|
|
|
55,014 |
|
|
|
56,139 |
|
|
Total current liabilities |
|
|
|
|
|
|
161,167 |
|
|
|
261,101 |
|
|
NON-CURRENT LIABILITIES |
|
|
|
|
|
|
|
|
|
|
|
|
|
Contract liabilities |
|
|
|
|
|
|
275,071 |
|
|
|
252,628 |
|
|
Lease liabilities |
|
|
|
|
|
|
1,909 |
|
|
|
1,621 |
|
|
Other non-current liabilities |
|
|
|
|
|
|
554 |
|
|
|
554 |
|
|
Interest-bearing loans and borrowings |
|
|
15 |
|
|
|
— |
|
|
|
17,310 |
|
|
Government grants |
|
|
|
|
|
|
2,051 |
|
|
|
1,992 |
|
|
Total non-current liabilities |
|
|
|
|
|
|
279,585 |
|
|
|
274,105 |
|
|
Total liabilities |
|
|
|
|
|
|
440,752 |
|
|
|
535,206 |
|
|
EQUITY |
|
|
|
|
|
|
|
|
|
|
|
|
|
Share capital |
|
|
16 |
|
|
|
27 |
|
|
|
29 |
|
|
Reserve |
|
|
|
|
|
|
280,228 |
|
|
|
339,890 |
|
|
Total ordinary shareholders’ equity |
|
|
|
|
|
|
280,255 |
|
|
|
339,919 |
|
|
Total equity |
|
|
|
|
|
|
280,255 |
|
|
|
339,919 |
|
|
Total liabilities and equity |
|
|
|
|
|
|
721,007 |
|
|
|
875,125 |
|
The accompanying notes are an integral part of the unaudited interim condensed consolidated financial statements.
F-2
LEGEND BIOTECH CORPORATION
UNAUDITED INTERIM CONDENSED CONSOLIDATED STATEMENTS OF CHANGES IN EQUITY
FOR THE SIX MONTHS ENDED JUNE 30, 2020 AND 2021
|
|
Attributable to equity holders of the parent |
|
||||||||||||||||||||||
|
|
|
Share capital US$’000 |
|
|
Share premium* US$’000 |
|
|
Share-based Compensation reserves* US$’000 |
|
|
Foreign currency translation reserve* US$’000 |
|
|
Accumulated losses* US$’000 |
|
|
Total (deficits)/ equity US$’000 |
|
||||||
|
As January 1, 2020 |
|
|
20 |
|
|
|
3,908 |
|
|
|
1,976 |
|
|
|
(1,491 |
) |
|
|
(127,282 |
) |
|
|
(122,869 |
) |
|
Loss for the period |
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
(179,104 |
) |
|
|
(179,104 |
) |
|
Other comprehensive income: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Exchange differences on translation of foreign operations |
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
(213 |
) |
|
|
— |
|
|
|
(213 |
) |
|
Total comprehensive loss for the period |
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
(213 |
) |
|
|
(179,104 |
) |
|
|
(179,317 |
) |
|
Issuance of ordinary shares for initial public offering, net of issuance costs |
|
|
4 |
|
|
|
450,081 |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
450,085 |
|
|
Conversion of convertible redeemable preferred shares to ordinary shares |
|
|
2 |
|
|
|
240,432 |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
240,434 |
|
|
Issuance of ordinary shares relating to private placement for Genscript |
|
|
— |
|
|
|
12,000 |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
12,000 |
|
|
Equity-settled share-based compensation expense |
|
|
— |
|
|
|
— |
|
|
|
668 |
|
|
|
— |
|
|
|
— |
|
|
|
668 |
|
|
As June 30, 2020 (Unaudited) |
|
|
26 |
|
|
|
706,421 |
|
|
|
2,644 |
|
|
|
(1,704 |
) |
|
|
(306,386 |
) |
|
|
401,001 |
|
|
As January 1, 2021 |
|
|
27 |
|
|
|
708,306 |
|
|
|
6,314 |
|
|
|
(3,633 |
) |
|
|
(430,759 |
) |
|
|
280,255 |
|
|
Loss for the period |
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
(172,483 |
) |
|
|
(172,483 |
) |
|
Other comprehensive income: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Exchange differences on translation of foreign operations |
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
3,305 |
|
|
|
— |
|
|
|
3,305 |
|
|
Total comprehensive income/(loss) for the period |
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
3,305 |
|
|
|
(172,483 |
) |
|
|
(169,178 |
) |
|
Issuance of ordinary shares relating to private placement for an institutional investor |
|
|
2 |
|
|
|
218,298 |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
218,300 |
|
|
Exercise of share options |
|
|
— |
|
|
|
3,280 |
|
|
|
(771 |
) |
|
|
— |
|
|
|
— |
|
|
|
2,509 |
|
|
Reclassification of vested restricted share units |
|
|
— |
|
|
|
200 |
|
|
|
(200 |
) |
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
Equity-settled share-based compensation expense |
|
|
— |
|
|
|
— |
|
|
|
8,033 |
|
|
|
— |
|
|
|
— |
|
|
|
8,033 |
|
|
As June 30, 2021 (Unaudited) |
|
|
29 |
|
|
|
930,084 |
|
|
|
13,376 |
|
|
|
(328 |
) |
|
|
(603,242 |
) |
|
|
339,919 |
|
|
* |
These reserve accounts comprise the consolidated reserve of US$400,975,000 and reserve of US$339,890,000in the condensed consolidated statements of financial position as at June 30, 2020 and 2021, respectively. |
The accompanying notes are an integral part of the unaudited interim condensed consolidated financial statements.
F-3
LEGEND BIOTECH CORPORATION
UNAUDITED INTERIM CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS
FOR THE SIX MONTHS ENDED JUNE 30, 2020 AND 2021
|
|
|
|
|
|
Six months ended June 30, |
|
||||||
|
|
|
Note |
|
|
2020 |
|
|
2021 |
|
|||
|
|
|
|
|
|
|
US$’000 |
|
|
US$’000 |
|
||
|
|
|
|
|
|
|
(Unaudited) |
|
|
(Unaudited) |
|
||
|
CASH FLOWS FROM OPERATING ACTIVITIES |
|
|
|
|
|
|
|
|
|
|
|
|
|
Loss before tax |
|
|
|
|
|
|
(182,813 |
) |
|
|
(172,482 |
) |
|
Adjustments for: |
|
|
|
|
|
|
|
|
|
|
|
|
|
Finance income |
|
|
4 |
|
|
|
(1,808 |
) |
|
|
(227 |
) |
|
Finance costs |
|
|
|
|
|
|
4,079 |
|
|
|
90 |
|
|
Reversal of the impairment of trade receivables |
|
|
9 |
|
|
|
(9 |
) |
|
|
(22 |
) |
|
Write-down of inventories to net realizable value |
|
|
|
|
|
|
— |
|
|
|
6 |
|
|
Loss from disposal of property, plant and equipment |
|
|
|
|
|
|
1 |
|
|
|
937 |
|
|
Depreciation of property, plant and equipment |
|
|
|
|
|
|
4,421 |
|
|
|
5,391 |
|
|
Amortisation of intangible assets |
|
|
|
|
|
|
54 |
|
|
|
596 |
|
|
Depreciation of right-of-use assets |
|
|
|
|
|
|
694 |
|
|
|
721 |
|
|
Fair value loss of warrant lability |
|
|
|
|
|
|
— |
|
|
|
1,600 |
|
|
Fair value loss of convertible redeemable preferred shares |
|
13 |
|
|
|
79,984 |
|
|
|
— |
|
|
|
Fair value gains on financial assets at fair value change through profit or loss |
|
|
|
|
|
|
(39 |
) |
|
|
— |
|
|
Foreign currency exchange loss, net |
|
|
|
|
|
|
27 |
|
|
|
703 |
|
|
Equity-settled share-based compensation expenses |
|
|
|
|
|
|
668 |
|
|
|
8,033 |
|
|
Deferred government grant |
|
|
|
|
|
|
— |
|
|
|
(144 |
) |
|
|
|
|
|
|
|
|
(94,741 |
) |
|
|
(154,798 |
) |
|
Decrease in trade receivables |
|
|
|
|
|
|
30,000 |
|
|
|
60,000 |
|
|
Decrease/(increase) in prepayments, other receivables and other assets |
|
|
|
|
|
|
387 |
|
|
|
(1,081 |
) |
|
Increase in other non-current assets |
|
|
|
|
|
|
— |
|
|
|
(912 |
) |
|
(Increase)/Decrease in inventories |
|
|
|
|
|
|
(511 |
) |
|
|
94 |
|
|
Government grant received |
|
|
|
|
|
|
— |
|
|
|
79 |
|
|
(Decrease)/increase in trade and notes payables |
|
|
|
|
|
|
(2,610 |
) |
|
|
5,763 |
|
|
(Decrease)/increase in other payables and accruals |
|
|
|
|
|
|
(12,597 |
) |
|
|
27,649 |
|
|
Decrease in contract liabilities |
|
|
|
|
|
|
(23,033 |
) |
|
|
(21,318 |
) |
|
Decrease of pledged short-term deposits, net |
|
|
|
|
|
|
— |
|
|
|
128 |
|
|
Cash used in operations |
|
|
|
|
|
|
(103,105 |
) |
|
|
(84,396 |
) |
|
Income tax paid |
|
|
|
|
|
|
— |
|
|
|
(1 |
) |
|
Finance income received |
|
|
|
|
|
|
529 |
|
|
|
145 |
|
|
Interest on lease payments |
|
|
|
|
|
|
(105 |
) |
|
|
(73 |
) |
|
Net cash flows used in operating activities |
|
|
|
|
|
|
(102,681 |
) |
|
|
(84,325 |
) |
The accompanying notes are an integral part of the unaudited interim condensed consolidated financial statements.
F-4
LEGEND BIOTECH CORPORATION
UNAUDITED INTERIM CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS
FOR THE SIX MONTHS ENDED JUNE 30, 2020 AND 2021
|
|
|
|
|
|
Six months ended June 30, |
|
||||||
|
|
|
Note |
|
|
2020 |
|
|
2021 |
|
|||
|
|
|
|
|
|
|
US$’000 |
|
|
US$’000 |
|
||
|
|
|
|
|
|
|
(Unaudited) |
|
|
(Unaudited) |
|
||
|
Net cash flows used in operating activities |
|
|
|
|
|
|
(102,681 |
) |
|
|
(84,325 |
) |
|
CASH FLOWS FROM INVESTING ACTIVITIES |
|
|
|
|
|
|
|
|
|
|
|
|
|
Purchase of property, plant and equipment |
|
|
|
|
|
|
(26,220 |
) |
|
|
(28,926 |
) |
|
Purchase of intangible assets |
|
|
|
|
|
|
(530 |
) |
|
|
(2,424 |
) |
|
Proceeds from disposal of items of property, plant and equipment |
|
|
|
|
|
|
— |
|
|
|
20 |
|
|
Purchase of financial assets at fair value through profit or loss |
|
|
|
|
|
|
(18,504 |
) |
|
|
— |
|
|
Cash received from withdrawal of financial assets at fair value through profit or loss |
|
|
|
|
|
|
18,504 |
|
|
|
— |
|
|
Cash receipts from investment income |
|
|
|
|
|
|
39 |
|
|
|
— |
|
|
Purchase of financial investment measured at amortized cost |
|
|
|
|
|
|
— |
|
|
|
(29,849 |
) |
|
Addition of time deposits |
|
|
|
|
|
|
— |
|
|
|
(204,644 |
) |
|
Decrease in time deposits |
|
|
|
|
|
|
— |
|
|
|
80,000 |
|
|
Net cash flows used in investing activities |
|
|
|
|
|
|
(26,711 |
) |
|
|
(185,823 |
) |
|
CASH FLOWS FROM FINANCING ACTIVITIES |
|
|
|
|
|
|
|
|
|
|
|
|
|
Repayment of cash advances from related parties |
|
19 |
|
|
|
(4 |
) |
|
|
— |
|
|
|
Proceeds from convertible redeemable preferred shares |
|
|
|
|
|
|
160,450 |
|
|
|
— |
|
|
Proceeds from issuance of ordinary shares for Initial public offering, net of issuance costs |
|
|
|
|
|
|
450,085 |
|
|
|
— |
|
|
Proceeds from issuance of ordinary shares relating to private placement for an institutional investor |
|
|
|
|
|
|
— |
|
|
|
300,000 |
|
|
Payments of expenses for issuance convertible redeemable preferred shares |
|
|
|
|
|
|
(250 |
) |
|
|
|
|
|
Proceeds from exercise of share option |
|
|
|
|
|
|
— |
|
|
|
2,509 |
|
|
Principal portion of lease payments |
|
|
|
|
|
|
(1,723 |
) |
|
|
(550 |
) |
|
Net cash flows from financing activities |
|
|
|
|
|
|
608,558 |
|
|
|
301,959 |
|
|
NET INCREASE IN CASH AND CASH EQUIVALENTS |
|
|
|
|
|
|
479,166 |
|
|
|
31,811 |
|
|
Effect of foreign exchange rate changes, net |
|
|
|
|
|
|
(139 |
) |
|
|
715 |
|
|
Cash and cash equivalents at beginning of period |
|
|
11 |
|
|
|
83,364 |
|
|
|
455,689 |
|
|
CASH AND CASH EQUIVALENTS AT END OF PERIOD |
|
|
11 |
|
|
|
562,391 |
|
|
|
488,215 |
|
|
ANALYSIS OF BALANCES OF CASH AND CASH EQUIVALENTS |
|
|
|
|
|
|
|
|
|
|
|
|
|
Cash and bank balances |
|
|
|
|
|
|
638,206 |
|
|
|
663,115 |
|
|
Less: Pledged short-term deposits |
|
|
|
|
|
|
256 |
|
|
|
256 |
|
|
Time deposits |
|
|
|
|
|
|
75,559 |
|
|
|
174,644 |
|
|
Cash and cash equivalents as stated in the statement of financial position |
|
|
11 |
|
|
|
562,391 |
|
|
|
488,215 |
|
|
Cash and cash equivalents as stated in the statement of cash flows |
|
|
|
|
|
|
562,391 |
|
|
|
488,215 |
|
The accompanying notes are an integral part of the unaudited interim condensed consolidated financial statements.
F-5
LEGEND BIOTECH CORPORATION
NOTES TO THE UNAUDITED INTERIM CONDENSED
CONSOLIDATED FINANCIAL STATEMENTS
1. CORPORATE INFORMATION
Legend Biotech Corporation (the “Company”) was incorporated on May 27, 2015 as an exempted company in the Cayman Islands with limited liability under the Companies Law of the Cayman Islands. The registered office address of the Company is PO Box 10240, Harbour Place, 103 South Church Street, George Town, Grant Cayman KY1-1002, Cayman Islands.
The Company is an investment holding company. The Company’s subsidiaries are principally engaged in research and development of biological products.
In the opinion of the Directors, the parent company of the Company is Genscript Biotech Corporation (“Genscript”), which was incorporated in the Cayman Islands on May 21, 2015 and listed on the main board of Hong Kong Stock Exchange since December 30, 2015.
2.1. BASIS OF PREPARATION
The unaudited interim condensed consolidated financial statements of the company and its subsidiaries (collectively referred to as the “Group”) for the six months ended June 30, 2021 have been prepared in accordance with International Accounting Standard 34 Interim Financial Reporting (“IAS34”) issued by the International Accounting Standards Board (“IASB”).
The accounting policies and basis of preparation adopted in the preparation of these unaudited interim condensed consolidated financial statements are consistent with those followed in the preparation of the Group’s financial statements for the year ended December 31, 2020, except for the adoption of new standards effective as of January 1, 2021 set out below. The Group has not early adopted any other standards, interpretation or amendments that has been issued but is not yet effective.
In the opinion of the Company’s management, the accompanying unaudited interim condensed consolidated financial statements contain all normal recurring adjustments necessary to present fairly the financial position, operating results and cash flows of the Company for each of the periods presented. The results of operations for the six months ended June 30, 2021 are not necessarily indicative of results to be expected for any other interim periods or for the year ended December 31, 2021. The condensed consolidated statement of financial position as of December 31, 2020 was derived from the audited consolidated financial statements at that date but does not include all of the disclosures required by IFRS for annual financial statements. These unaudited condensed consolidated financial statements should be read in conjunction with the Company’s audited consolidated financial statements for the years ended December 31, 2020.
|
2.2. |
NEW STANDARDS, INTERPRETATIONS AND AMENDMENTS ADOPTED BY THE GROUP |
In the six months ended June 30, 2021, the Group has applied, for the first time, the following new and revised international financial reporting standards (“IFRS”) issued by the IASB that are mandatorily effective for the period.
|
Amendments to IFRS 9, |
|
|
IAS 39, IFRS 7, |
|
|
IFRS 4 and IFRS 16 |
Interest Rate Benchmark Reform – Phase 2 |
|
|
|
The prospective adoption of the above new and revised IFRSs does not have a material effect on the Group’s interim condensed consolidated financial statements.
3. OPERATING SEGMENT INFORMATION
IFRS 8 Operating Segments requires operating segments to be identified on the basis of internal reporting about components of the Group that are regularly reviewed by the chief operating decision-maker in order to allocate resources to segments and to assess their performance. The information reported to the directors of the Company, who are the chief operating decision makers, for the purpose of resource allocation and assessment of performance does not contain discrete operation segment financial information and the directors reviewed the financial results of the Group as a whole. Therefore, no further information about the operating segment is presented.
F-6
Geographic information
(a) Revenue from external customers
|
|
Six months ended June 30, |
|
||||||
|
|
|
2020 |
|
|
2021 |
|
||
|
|
|
US$’000 |
|
|
US$’000 |
|
||
|
|
|
(Unaudited) |
|
|
(Unaudited) |
|
||
|
North America |
|
|
23,146 |
|
|
|
33,915 |
|
The revenue information above is based on the locations of the customers.
(b) Non-current assets
|
|
December 31, 2020 |
|
|
June 30, 2021 |
|
|||
|
|
|
US$’000 |
|
|
US$’000 |
|
||
|
|
|
|
|
|
|
(Unaudited) |
|
|
|
China |
|
|
43,953 |
|
|
|
48,370 |
|
|
United States |
|
|
78,022 |
|
|
|
98,455 |
|
|
Other countries |
|
|
6,174 |
|
|
|
7,466 |
|
|
Total |
|
|
128,149 |
|
|
|
154,291 |
|
The non-current asset information above is based on the locations of assets.
Information about major customer
Revenue of US$23,146,000 and US$33,915,000 for the six months ended June 30, 2020 and 2021, respectively, was derived from sales to a single customer.
4. REVENUE, OTHER INCOME AND GAINS
An analysis of revenue is as follows:
|
|
Six months ended June 30, |
|
||||||
|
|
|
2020 |
|
|
2021 |
|
||
|
|
|
US$’000 |
|
|
US$’000 |
|
||
|
|
|
(Unaudited) |
|
|
(Unaudited) |
|
||
|
Revenue from contracts with customers |
|
|
|
|
|
|
|
|
|
License and collaboration revenue |
|
|
|
|
|
|
|
|
|
- Licensing of intellectual property |
|
|
— |
|
|
|
1,122 |
|
|
- JSC service |
|
|
23,146 |
|||||