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AFFIMED N.V. Index to Condensed Consolidated Financial Statements Unaudited condensed consolidated statement of comprehensive loss 2 Condensed consolidated statement of financial position 3 Unaudited condensed consolidat

Key Takeaway: Condensed Consolidated Financial Statements Unaudited condensed consolidated statement of comprehensive loss 2 Condensed consolidated statement of financial position 3 Unaudited condensed consolidated statement of cash flows 4 Unaudited condensed consolidated statement of change

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Condensed Consolidated Financial Statements
Unaudited condensed consolidated statement of comprehensive loss 2
Condensed consolidated statement of financial position 3
Unaudited condensed consolidated statement of cash flows 4
Unaudited condensed consolidated statement of changes in equity 5
Notes to the consolidated financial statements 6
Unaudited condensed consolidated statement
of comprehensive loss (in thousand)
For the three months ended June 30 For the six months ended June 30
Note 2016 2017 2016 2017
Revenue 3 2,069 508 4,005 907
Other income - net 38 93 124 84
Research and development expenses 8 (8,628 ) (5,431 ) (15,696 ) (10,873 )
General and administrative expenses 8 (1,965 ) (1,969 ) (4,058 ) (4,215 )
Operating loss (8,486 ) (6,799 ) (15,625 ) (14,097 )
Finance income / (costs) - net 4 450 (1,169 ) (872 ) (1,625 )
Loss before tax (8,036 ) (7,968 ) (16,497 ) (15,722 )
Income taxes (1 ) 21 (2 ) 20
Loss for the period (8,037 ) (7,947 ) (16,499 ) (15,702 )
Total comprehensive loss (8,037 ) (7,947 ) (16,499 ) (15,702 )
Loss per share in per share (0.24 ) (0.18 ) (0.50 ) (0.37 )
(undiluted = diluted)
The Notes are an integral part of
these consolidated financial statements.
Condensed consolidated
statement of financial position
Note December 31, 2016 June 30, 2017
(unaudited)
ASSETS
Non-current assets
Intangible assets 55 61
Leasehold improvements and equipment 822 1,004
877 1,065
Current assets
Inventories 197 250
Trade and other receivables 2,255 2,524
Other assets 516 513
Financial assets 5 9,487 4,381
Cash and cash equivalents 35,407 44,486
47,862 52,154
TOTAL ASSETS 48,739 53,219
EQUITY AND LIABILITIES
Equity
Issued capital 333 439
Capital reserves 190,862 207,841
Accumulated deficit (152,444 ) (168,146 )
Total equity 6 38,751 40,134
Non current liabilities
Borrowings 7 3,617 5,284
Total non-current liabilities 3,617 5,284
Current liabilities
Trade and other payables 5,323 5,793
Borrowings 7 973 1,750
Deferred revenue 75 258
Total current liabilities 6,371 7,801
TOTAL EQUITY AND LIABILITIES 48,739 53,219
Notes are an integral part of these consolidated financial statements.
Unaudited condensed consolidated
statement of cash flows
(in thousand) For the six months ended June 30
Note 2016 2017
Cash flow from operating activities
Loss for the period (16,499 ) (15,702 )
Adjustments for the period:
- Income taxes 2 (20 )
- Depreciation and amortisation 193 169
- Gain from disposal of leasehold improvements and equipment 0 (20 )
- Share based payments 8 1,785 1,018
- Finance income / costs - net 4 872 1,625
(13,647 ) (12,930 )
Change in trade and other receivables (183 ) (250 )
Change in inventories (5 ) (53 )
Change in other assets (230 ) (404 )
Change in trade, other payables and deferred revenue (2,667 ) 657
Cash used in operating activities (16,732 ) (12,980 )
Interest received 0 25
Paid interest (246 ) (128 )
Net cash used in operating activities (16,978 ) (13,083 )
Cash flow from investing activities
Purchase of intangible assets (11 ) (23 )
Purchase of leasehold improvements and equipment (157 ) (349 )
Cash received from the sale of leasehold improvements and equipment 0 18
Cash paid for investments in financial assets 5 (18,128 ) (4,655 )
Cash received from maturity of financial assets 5 0 9,209
Net cash used for investing activities (18,296 ) 4,200
Cash flow from financing activities
Proceeds from issue of common shares 6 0 17,901
Transaction costs related to issue of common shares 6 0 (1,481 )
Proceeds from borrowings 7 0 2,500
Transaction costs related to borrowings 7 0 (11 )
Repayment of borrowings (357 ) 0
Cash flow from financing activities (357 ) 18,909
Net changes to cash and cash equivalents (35,631 ) 10,026
Cash and cash equivalents at the beginning of the period 76,740 35,407
Exchange-rate related changes of cash and cash equivalents (506 ) (947 )
Cash and cash equivalents at the end of the period 40,603 44,486
Notes are an integral part of these consolidated financial statements.
Unaudited condensed consolidated
statement of changes in equity
Note Issued capital Capital reserves Accumulated deficit Total equity
Balance as of January 1, 2016 333 187,169 (120,228 ) 67,274
Equity-settled share based payment awards 8 1,785 1,785
Loss for the period (16,499 ) (16,499)
Balance as of June 30, 2016 333 188,954 (136,727 ) 52,560
Balance as of January 1, 2017 333 190,862 (152,444 ) 38,751
Issue of common shares 6 106 15,910 16,016
Equity-settled share based payment awards 8 1,018 1,018
Issue of warrant note (loan Silicon Valley Bank) 51 51
Loss for the period (15,702 ) (15,702)
Balance as of June 30, 2017 439 207,841 (168,146 ) 40,134
Notes are an integral part of these consolidated financial statements.
Notes to the consolidated financial
Affimed N.V. (in the following Affimed or
Company) is a Dutch company with limited liability (naamloze vennootschap) and has its corporate seat in Amsterdam, the Netherlands.
The Company was founded as Affimed Therapeutics B.V. on May 14, 2014 as a private company with limited liability (besloten
vennootschap met beperkte aansprakelijkheid) for purposes of a corporate reorganization of Affimed Therapeutics AG and converted
its legal form under Dutch law to a public company with limited liability for an initial public offering of its common shares.
The condensed consolidated financial statements
of Affimed comprise the Company and its wholly owned and controlled subsidiaries Affimed GmbH, Heidelberg, Germany, AbCheck s.r.o.,
Plzen, Czech Republic and Affimed Inc., Delaware, USA.
Affimed is a clinical-stage biopharmaceutical
group focused on discovering and developing targeted cancer immunotherapies. The Company's product candidates are developed
in the field of immuno-oncology, which represents an innovative approach to cancer research that seeks to harness the body's
own immune system to fight tumor cells. Affimed has its own research and development programs and collaborations, where the Company
is performing research services for third parties.
Statement of compliance
The interim financial statements for the
three and six months ended June 30, 2017 and 2016 have been prepared in accordance with IAS 34 Interim Financial Reporting. The
interim financial statements do not include all the information and disclosures required in the annual financial statements, and
should be read in conjunction with Affimed N.V.'s annual consolidated financial statements as at December 31, 2016.
The interim financial statements were authorized
for issuance by the management board on July 31, 2017.
Critical judgments and accounting estimates
The preparation of the interim financial
statements in conformity with IFRS requires management to make judgments, estimates and assumptions that affect the application
of accounting policies and the reported amounts of assets, liabilities, income and expenses. Actual results may differ from these
estimates. Estimates and underlying assumptions are reviewed on an ongoing basis. Revisions to accounting estimates are recognized
in the period in which the estimates are revised and in any future periods affected.
In preparing these interim financial statements,
the critical judgments made by management in applying the Group's accounting policies were the same as those that applied to the
consolidated financial statements as at and for the year ended December 31, 2016.
Functional and presentation currency
Notes to the consolidated financial
These interim financial statements are presented
in euro, which is the Company's functional currency. All financial information presented in euro are reported in thousand
(abbreviated ) or million (abbreviated million).
Significant accounting policies
The accounting policies applied by the Group
in these interim financial statements are the same as those applied by the Group in its consolidated financial statements as at
and for the year ended December 31, 2016.
New standards and interpretations applied
The following amendments to standards and
new or amended interpretations are effective for annual periods beginning on or before January 1, 2017, and will be applied in
preparing the annual financial statements for the year 2017:
Standard/interpretation Effective Date 1
Amendments to IAS 7 Disclosure Initiative January 1, 2017
1 Shall apply for periods beginning
on or after the date shown in the effective date column.
New standards and interpretations not
The following standards, amendments to standards
and interpretations are effective for annual periods beginning after December 31, 2017, and have not been applied in preparing
these consolidated financial statements.
Standard/interpretation Effective Date 1
IFRS 9 Financial Instruments (2014) January 1, 2018
IFRS 15 Revenue from Contracts with Customers January 1, 2018
IFRS 16 Leases January 1, 2019
Clarifications to IFRS 15 Revenue from Contracts with Customers January 1, 2018
Amendments to IFRS 2: Classification and Measurement of Share-
based Payment Transactions January 1, 2018
Annual Improvements to IFRS Standards 2014-2016 Cycle January 1, 2018
1 Shall apply for periods beginning
on or after the date shown in the effective date column.
Group is assessing the potential impact that IFRS 9, 15 or 16 could have on its consolidated financial statements. The other new
or amended standards and interpretations are not expected to have a significant effect on the consolidated financial statements
IFRS 9 - Classification contains a new classification
and measurement approach for financial instruments that reflects the business model in which assets are managed and their cash
Notes to the consolidated financial
characteristics. Based on its preliminary assessment, the Group does not believe that the new classification requirements,
if applied at 31 December 2016, would have had an impact on its accounting of trade receivables, financial assets and borrowings.
IFRS 9 - Hedge Accounting will not have
an impact on the consolidated financial statements as the Group does not have contracts or transactions which qualify for hedge
IFRS 9 - Impairment replaces the incurred
loss' model in IAS 39 with a forward looking expected credit loss' ("ECL") model. This will require
considerable judgement as to how changes in economic factors affect ECLs, which will be determined on a probability-weighted basis.
Under IFRS 9, loss allowances will be measured on either of the following bases:
The Group has not yet finalized the impairment
methodologies that it will apply under IFRS 9.
IFRS 15 establishes a comprehensive framework
for determining whether, how much and when revenue is recognized. It replaces existing revenue recognition guidance, including
IAS 18 Revenue, IAS 11 Construction Contracts and IFRIC 13 Customer Loyalty Programmes. Affimed believes that IFRS 15 will have
no impact on revenue from current collaboration agreements which is recognized according to the stage of completion. However, the
Group has not yet finalized the assessment of all contracts with customers.
IFRS 16 - Leases specifies how an
IFRS reporter will recognise, measure, present and disclose leases. The standard provides a single lessee accounting model, requiring
lessees to recognise assets and liabilities for all leases unless the lease term is 12 months or less or the underlying asset has
a low value. Affimed will be required to recognize "right-of-use" assets related to its premises rented and certain
equipment leased. During the next year, the Group will gather and update information related to leases, assess extension and termination
options as well as possible exemptions, and identify the appropriate discount rate.
Collaboration agreement Amphivena
Last updated: Aug 1, 2017