AFFIMED N.V. Index to Condensed Consolidated Financial Statements Unaudited consolidated statements of comprehensive loss 2 Consolidated statements of financial position 3 Unaudited consolidated statements of cash flows

Condensed Consolidated Financial Statements

CONSOLIDATED FINANCIAL STATEMENTS

Unaudited consolidated statements

of comprehensive loss

The Notes are an integral part

of these consolidated financial statements.

Consolidated statements of

The Notes are an integral part

of these consolidated financial statements.

Unaudited consolidated statements

are an integral part of these consolidated financial statements.

Unaudited consolidated statements

of changes in equity

The Notes are an integral part

of these consolidated financial statements.

Notes to the consolidated financial statements

Affimed N.V. is a Dutch company with limited

liability (naamloze vennootschap) and has its corporate seat in Amsterdam, the Netherlands.

The consolidated financial statements are

comprised of Affimed N.V., and its controlled (and wholly owned) subsidiaries Affimed GmbH, Heidelberg, Germany, AbCheck s.r.o.,

Plzen, Czech Republic and Affimed Inc., Delaware, USA (together "Affimed" or the "Company").

Affimed is a clinical-stage biopharmaceutical

company focused on discovering and developing highly targeted cancer immunotherapies. The Company's product candidates are

developed in the field of immuno-oncology, which represents an innovative approach to cancer treatment that seeks to harness the

body's own immune defenses 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, 2018 and 2017 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, 2017.

The interim financial statements were authorized

for issuance by the management board on August 8, 2018.

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 Company's accounting policies were the same as those that applied

to the consolidated financial statements as at and for the year ended December 31, 2017.

As a result of the first-time adoption of

IFRS 9 at January 1, 2018 the Company recognized its preferred shares in Amphivena at fair value (level 2). As Amphivena is not

a public company substantial judgment was required in order to estimate the fair value as at January 1, 2018 and June 30, 2018

(see note 5). The Company based its judgment on information available for the valuation of the shares of Amphivena in its latest

private financing mid-year 2017 and the issuance of convertible notes in 2017 and 2018.

Notes to the consolidated financial statements

On April 20, 2018, Affimed issued 240,000

options under its share-based-payment program, the vesting of which deviates from the standard 3-year vesting scheme and depends

upon a market parameter, which is the average price of Affimed shares during a certain period of time as described in Note 8. Incorporating

the market condition in the fair value estimate requires the use of a simulation technique, which implies a higher uncertainty

with regard to the estimated fair value. The Company determined the fair value of the awards at grant date to be $164 thousand

Functional and presentation currency

These interim financial statements are presented

in Euro, which is the Company's functional currency. All financial information presented in Euro has been rounded to the

nearest thousand (abbreviated ) or million (abbreviated million), except per share amounts, which have not been rounded.

Significant accounting policies

The accounting policies applied by the Company

in these interim financial statements are the same as those applied by the Company in its consolidated financial statements as

at and for the year ended December 31, 2017 with the exception of new amendments to standards and new or amended interpretations

applied for the first time as described below.

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, 2018, and have been applied in

preparing these financial statements:

1 Shall apply for periods beginning

on or after the date shown in the effective date column.

The nature and effect of the application

of IFRS 9 and IFRS 15 are summarized below. The other amendments had no effect on the interim consolidated financial statements

IFRS 9 (Financial Instruments)

Changes in accounting policies resulting

from the adoption of IFRS 9 have been applied retrospectively with any differences in the carrying amounts arising from the transition

being recognized in equity as at January 1, 2018.

The standard contains a new classification

and measurement approach for financial instruments that

Notes to the consolidated financial statements

reflects the business model in which assets

are managed and their cash flow characteristics. Based on the new measurement requirements, Affimed recognized its shares in Amphivena

at fair value, which were previously recognized at amortized cost according to IAS 39. The transition effect increased other comprehensive

income by 7.3 million as of January 1, 2018 (see note 5). The Company classified the shares as at fair value through other

comprehensive income (FVOCI). Future changes in fair value will be recognized in other comprehensive income, dividends will be

recognized as income in profit or loss.

Combined financial instruments are measured

at fair value with changes therein recognized as finance income / (costs) - net (see note 6).

The newly introduced impairment rules replace

the incurred loss' model in IAS 39 with a forward looking expected credit loss' ("ECL") model.

This requires considerable judgement as to how changes in economic factors affect ECLs, which will be determined on a probability-weighted

basis. Under IFRS 9, the Company has decided to measure loss allowances on the following basis:

Based on this methodology, incurred losses

on cash and cash equivalents and on trade and other receivables as of January 1, 2018 had no material impact on the consolidated

financial statements.

IFRS 15 (Revenue from contracts with customers)

IFRS 15 (Revenue from contracts with customers)