Immunocore Holdings plc 10-Q

Item 1. Financial Statements Immunocore Holdings plc Condensed Consolidated Balance Sheets (Unaudited) (In thousands, except share and per share data) June 30, 2026 December 31, 2025 Assets Current assets Cash and cash equivalents $ 484,920 $ 467,709 Marketable securities 395,291 396,444 Accounts receivable, net 95,350 73,977 Prepaid expenses and other current assets 67,692 51,870 Inventory, net 7,791 6,742 Total current assets 1,051,044 996,742 Property and equipment, net 12,863 11,462 Operating lease right of use assets, net 37,020 38,783 Other non-current assets 18,495 20,282 Total assets $ 1,119,422 $ 1,067,269 Liabilities and shareholders’ equity Current liabilities Accounts payable $ 26,319 $ 24,364 Accrued expenses and other current liabilities 206,400 219,744 Deferred revenue, current 573 583 Operating lease liabilities, current 1,906 2,006 Total current liabilities 235,198 246,697 Accrued expenses, non-current 26,883 — Deferred revenue, non-current 4,490 4,858 Operating lease liabilities, non-current 38,847 41,556 Interest-bearing loans and borrowings 394,206 393,125 Total liabilities 699,624 686,236 Commitments and contingencies (Note 10) Shareholders’ equity Ordinary shares (voting), £ 0.002 par value, most recent authority to allot up to a maximum nominal value of £ 149,303 and £ 149,633 shares as of June 30, 2026 and December 31, 2025, respectively, and 51,480,159 and 50,689,271 shares issued and outstanding as of June 30, 2026 and December 31, 2025, respectively. 138 136 Deferred shares, £ 0.0001 par value, 5,793,501 shares authorized, issued and outstanding as of June 30, 2026 and December 31, 2025. 1 1 Additional paid-in capital 1,273,101 1,240,255 Accumulated deficit ( 819,112 ) ( 831,275 ) Accumulated other comprehensive loss ( 34,330 ) ( 28,084 ) Total shareholders' equity 419,798 381,033 Total liabilities and shareholders' equity $ 1,119,422 $ 1,067,269 The accompanying notes form an integral part of these condensed consolidated financial statements. 2 Table of Contents Immunocore Holdings plc Condensed Consolidated Statements of Operations and Comprehensive Income (Loss) (Unaudited) (In thousands, except share and per share data) Three Months Ended June 30, Six Months Ended June 30, 2026 2025 2026 2025 Revenue: Revenue from sale of therapies, net $ 115,927 $ 97,964 $ 222,604 $ 191,845 Total revenue 115,927 97,964 222,604 191,845 Cost and operating expenses: Cost of revenue from sale of therapies ( 1,088 ) ( 1,040 ) ( 1,522 ) ( 1,871 ) Research and development expense ( 73,945 ) ( 69,008 ) ( 135,058 ) ( 125,476 ) Selling, general and administrative expense ( 43,890 ) ( 42,791 ) ( 81,740 ) ( 82,989 ) Income (loss) from operations ( 2,996 ) ( 14,875 ) 4,284 ( 18,491 ) Other income (expense): Interest income 3,582 4,271 7,000 8,447 Interest expense ( 3,062 ) ( 3,045 ) ( 6,113 ) ( 6,070 ) Foreign currency gain (loss) ( 1,108 ) ( 738 ) 2,741 2,342 Other income, net 3,070 4,693 4,846 10,162 Net income (loss) before income taxes ( 514 ) ( 9,694 ) 12,758 ( 3,610 ) Income tax expense ( 294 ) ( 606 ) ( 595 ) ( 1,667 ) Net income (loss) $ ( 808 ) $ ( 10,300 ) $ 12,163 $ ( 5,277 ) Other comprehensive (loss) income: Exchange differences on translation of foreign operations 1,043 6,476 ( 6,246 ) 7,149 Total comprehensive (loss) income $ 235 $ ( 3,824 ) $ 5,917 $ 1,872 Basic net income (loss) per share $ ( 0.02 ) $ ( 0.20 ) $ 0.24 $ ( 0.11 ) Basic weighted-average number of shares outstanding 50,973,830 50,294,205 50,868,252 50,191,018 Diluted net income (loss) per share $ ( 0.02 ) $ ( 0.20 ) $ 0.23 $ ( 0.11 ) Diluted weighted-average number of shares outstanding 50,973,830 50,294,205 52,903,203 50,191,018 The accompanying notes form an integral part of these condensed consolidated financial statements. 3 Table of Contents Immunocore Holdings plc Condensed Consolidated Statements of Shareholders’ Equity (Unaudited) (In thousands, except share data) Ordinary Shares Deferred Shares Additional Paid-in Capital Accumulated deficit Accumulated other comprehensive (loss) income Total Shareholders' Equity Shares Amount Shares Amount As of December 31, 2025 50,689,271 $ 136 5,793,501 $ 1 $ 1,240,255 $ ( 831,275 ) $ ( 28,084 ) $ 381,033 Net income — — — — — 12,971 — 12,971 Other comprehensive loss — — — — — — ( 7,289 ) ( 7,289 ) Equity plan options exercised and units assigned 142,657 1 — — 655 — — 656 Share-based compensation expense — — — — 6,302 — — 6,302 As of March 31, 2026 50,831,928 $ 137 5,793,501 $ 1 $ 1,247,212 $ ( 818,304 ) $ ( 35,373 ) $ 393,673 Net loss — — — — — ( 808 ) — ( 808 ) Other comprehensive income — — — — — — 1,043 1,043 Equity plan options exercised and units assigned 648,231 1 — — 16,485 — — 16,486 Share-based compensation expense — — — — 9,404 — — 9,404 As of June 30, 2026 51,480,159 $ 138 5,793,501 $ 1 $ 1,273,101 $ ( 819,112 ) $ ( 34,330 ) $ 419,798 The accompanying notes form an integral part of these condensed consolidated financial statements. 4 Table of Contents Immunocore Holdings plc Condensed Consolidated Statements of Shareholders’ Equity (Unaudited) (In thousands, except share data) Ordinary Shares Deferred Shares Additional Paid-in Capital Accumulated deficit Accumulated other comprehensive (loss) income Total Shareholders' Equity Shares Amount Shares Amount As of December 31, 2024 50,064,860 $ 135 5,793,501 $ 1 $ 1,190,104 $ ( 795,761 ) $ ( 33,763 ) $ 360,716 Net income — — — — — 5,023 — 5,023 Other comprehensive income — — — — — — 673 673 Exercise of share options 119,749 — — — 2,551 — — 2,551 Share-based compensation expense — — — — 9,516 — — 9,516 As of March 31, 2025 50,184,609 $ 135 5,793,501 $ 1 $ 1,202,171 $ ( 790,738 ) $ ( 33,090 ) $ 378,479 Net loss — — — — — ( 10,300 ) — ( 10,300 ) Other comprehensive income — — — — — — 6,476 6,476 Exercise of share options 187,459 — — — 3,670 — — 3,670 Share-based compensation expense — — — — 10,156 — — 10,156 As of June 30, 2025 50,372,068 $ 135 5,793,501 $ 1 $ 1,215,997 $ ( 801,038 ) $ ( 26,614 ) $ 388,481 The accompanying notes form an integral part of these condensed consolidated financial statements. 5 Table of Contents Immunocore Holdings plc Condensed Consolidated Statements of Cash Flows (Unaudited) (In thousands) Six Months Ended June 30, 2026 2025 Cash flows from operating activities Net income (loss) $ 12,163 $ ( 5,277 ) Adjustments for: Share-based compensation expense 15,706 19,522 Depreciation 1,974 1,634 Unrealized foreign exchange gains, net ( 2,682 ) ( 607 ) Unrealized gains on marketable securities ( 4,847 ) ( 10,162 ) Non-cash lease expense 1,237 1,114 Other 1,080 1,049 Changes in assets and liabilities: Increase in accounts receivable ( 22,551 ) ( 3,341 ) (Increase) decrease in prepayments and other current assets ( 16,675 ) 365 Increase (decrease) in accounts payable 1,171 ( 3,587 ) Increase in accrued expenses 18,698 22,787 Decrease in deferred revenue ( 292 ) ( 97 ) Decrease in operating lease liabilities ( 2,224 ) ( 528 ) Decrease in other operating assets ( 605 ) 3,527 Net cash provided by operating activities 2,153 26,399 Cash flows from investing activities Purchase of marketable securities — ( 30,000 ) Proceeds from sale of marketable securities 6,000 10,000 Purchase of property and equipment ( 2,567 ) ( 712 ) Net cash provided by (used in) investing activities 3,433 ( 20,712 ) Cash flows from financing activities Proceeds from exercise of share options 17,141 6,221 Net cash provided by financing activities 17,141 6,221 Increase in cash and cash equivalents 22,727 11,908 Net foreign exchange difference on cash held ( 5,516 ) 20,294 Cash and cash equivalents at beginning of period 467,709 455,731 Cash and cash equivalents at end of period $ 484,920 $ 487,933 Supplemental disclosure of cash flow and noncash information Cash paid for interest $ ( 5,031 ) $ ( 5,031 ) Cash paid for income taxes, net of refunds $ ( 754 ) $ ( 1,510 ) The accompanying notes form an integral part of these condensed consolidated financial statements. 6 Table of Contents Immunocore Holdings plc Notes to the Condensed Consolidated Financial Statements (Unaudited) 1. Description of business Immunocore Holdings plc (collectively with its subsidiaries, the “Company”) is a public limited company incorporated in England and Wales and has the following wholly owned subsidiaries: Immunocore Limited, Immunocore LLC, Immunocore Commercial LLC, Immunocore Ireland Limited, Immunocore GmbH, and Immunocore Nominees Limited with operations based primarily in the United Kingdom and United States. The Company is pioneering and delivering transformative immunomodulating medicines to radically improve outcomes for patients with cancer, infectious diseases, and autoimmune diseases. Leveraging its proprietary, flexible, off-the-shelf ImmTAX platform, the Company’s pipeline includes clinical and preclinical programs in oncology, infectious diseases, and autoimmune diseases. In January and April 2022, the Company received approval from the U.S. Food and Drug Administration ("FDA") and European Commission ("EC"), respectively, for its lead product, KIMMTRAK, for the treatment of unresectable or metastatic uveal melanoma. The Company has subsequently received approvals in further territories, and the Company continues to launch and seek approvals in additional territories. KIMMTRAK is now approved in 39 countries and the Company has commercially launched the product in over 30 countries, including the United States, Germany and France, among other territories. 2. Summary of significant accounting policies Basis of presentation The accompanying unaudited condensed consolidated financial statements have been prepared in accordance with accounting principles generally accepted in the United States ("U.S. GAAP") for interim financial reporting and pursuant to the requirements for reporting on Form 10-Q and Article 10 of Regulation S-X. Accordingly, they do not include all of the information required for the full annual financial statements and should be read in conjunction with the annual consolidated financial statements of the Company for the year ended December 31, 2025, included in the Company’s Annual Report on Form 10-K filed with the Securities and Exchange Commission (the "SEC") on February 25, 2026 (the "Annual Report"). The accompanying condensed consolidated financial statements contain all normal recurring adjustments necessary to present a fair statement of the financial position, results of operations, and cash flows for the interim periods reported. In the opinion of management, all adjustments considered necessary to present fairly the results of the interim periods have been included and consist only of normal and recurring adjustments. Certain information and footnote disclosures have been condensed or omitted as permitted under U.S. GAAP. The results for the three and six months ended June 30, 2026 are not necessarily indicative of the results to be expected for the year ending December 31, 2026, any other interim periods, or any future year or period. Use of estimates The preparation of the condensed consolidated financial statements in conformity with U.S. GAAP requires management to make judgments, estimates and assumptions. These judgments, estimates and assumptions affect the reported assets and liabilities as well as income and expenses in the financial period. The estimates and associated assumptions are based on information available when the condensed consolidated financial statements are prepared, historical experience and various other factors which are believed to be reasonable under the circumstances, the results of which form the basis of making judgments about the carrying values of assets and liabilities that are not readily apparent from other sources. Existing circumstances and assumptions about future developments, however, may change due to market changes or circumstances arising that are beyond the Company’s control. Actual results could differ from those estimates. Estimates are primarily made in relation to revenue recognition, operating lease incremental borrowing rates, share-based compensation expense, clinical accruals, and deferred tax asset valuation allowances. 7 Table of Contents Fair value measurements Where financial and non-financial assets and liabilities are measured at fair value, the Company uses appropriate valuation techniques for which sufficient data are available, maximizing the use of relevant observable inputs and minimizing the use of unobservable inputs. As of June 30, 2026 and December 31, 2025, the Company held $ 361.6 million and $ 366.8 million, respectively, of money market funds required to be measured at fair value on a recurring basis within cash and cash equivalents. In addition, as of June 30, 2026 and December 31, 2025, the Company held $ 395.3 million and $ 396.4 million of marketable securities, respectively. The Company recorded unrealized gains of $ 4.8 million for the six months ended June 30, 2026 and $ 10.2 million for the six months ended June 30, 2025, respectively, on these marketable securities. The fair value of these cash equivalents and marketable securities is based on quoted prices from active markets (Level 1 inputs). Other financial instruments, although not recorded at fair value on a recurring basis, include cash, accounts receivable, accounts payable and debt obligations. The fair value of borrowings under the convertible senior notes (the “Notes”, disclosed in Note 5. “Interest-bearing loans and borrowings”) were based on Level 2 inputs, which include observable inputs estimated using discounted cash flows and market-based expectations for interest rates, credit risk, and the contractual terms of debt instruments. After initial recognition, borrowings are measured at amortized cost using the effective interest method. Significant accounting policies The significant accounting policies used in the preparation of these condensed consolidated financial statements as of and for the three and six months ended June 30, 2026 are consistent with those disclosed in No te 2. "Summary of Significant Accounting Policies" in the audited consolidated financial statements for the year ended December 31, 2025, included in the Company’s Annual Report. Recently issued and recently adopted accounting pronouncements In November 2024, the FASB issued ASU 2024-03, Income Statement – Reporting Comprehensive Income – Expense Disaggregation Disclosures (Subtopic 220-40). This ASU requires disclosure in the notes to the financial statements, at each interim and annual reporting period, of specified information about certain costs and expenses including purchases of inventory, employee compensation, depreciation and intangible asset amortization included in each relevant expense caption. Also required is a qualitative description of the amounts remaining in relevant expense captions that are not separately disaggregated. This ASU is effective for all public entities for annual reporting periods beginning after December 15, 2026, and interim periods within annual reporting periods beginning after December 15, 2027, and early adoption is permitted. This ASU should be applied either prospectively to financial statements issued after the effective date of this update or retrospectively to any or all prior periods presented in the financial statements. The Company is currently evaluating these new disclosure requirements and the impact of adoption on its financial statements. 3. Revenue During the three and six months ended June 30, 2026, the Company recognized $ 115.9 million and $ 222.6 million, respectively (2025: $ 98.0 million and $ 191.8 million, respectively), of net revenue from sale of therapies relating to the sale of KIMMTRAK primarily in the United States and Europe after estimated deductions for rebates, chargebacks and returns, which are recognized in Accrued expenses and other current liabilities and Accrued expenses, non-current, as set out in the Company’s accounting policies included in the Annual Report. Revenue from sale of therapies, net is presented by country / region based on the location of the end customer below (in thousands): Three Months Ended June 30, Six Months Ended June 30, 2026 2025 2026 2025 United States $ 74,937 $ 64,087 $ 142,375 $ 120,694 Europe 34,124 33,042 68,537 65,846 International 6,866 835 11,692 5,305 Revenue from sale of therapies, net $ 115,927 $ 97,964 $ 222,604 $ 191,845 8 Table of Contents Revenue from sale of therapies, net for the three and six months ended June 30, 2026 included $ 11.8 million and $ 21.1 million, respectively (2025: $ 5.2 million and $ 12.6 million, respectively), of partnered revenue pursuant to the Company's separate agreements with Medison Pharma Ltd. ("Medison") and Er-Kim Pharmaceuticals Bulgaria EOOD. Revenue from these agreements is allocated between the Company's European and International markets. Accounts receivable from contracts with customers Accounts receivable as of June 30, 2026 and December 31, 2025 were $ 95.4 million and $ 74.0 million, respectively. An allowance for lifetime expected credit losses on accounts receivable is measured using historical credit loss experience, conditions at the end of each reporting period, and reasonable and supportable forecasts that affect collectability. Expected credit losses as of June 30, 2026 and December 31, 2025 were immaterial. Accruals for rebates, chargebacks and returns Current and non-current accruals for rebates, chargebacks and returns as of June 30, 2026 were as follows (in thousands): Rebates Chargebacks Returns Total As of December 31, 2025 $ 129,531 $ 2,682 $ 567 $ 132,780 Provisions recorded in the period 51,020 22,220 1,137 74,377 Credits and payments made ( 23,872 ) ( 21,155 ) ( 448 ) ( 45,475 ) As of June 30, 2026 $ 156,679 $ 3,747 $ 1,256 $ 161,682 Included in the above are non-current accruals for rebates, chargebacks and returns of $ 26.2 million and $ 0.0 million as of June 30, 2026 and December 31, 2025, respectively, as these amounts are not required to be paid in the twelve months from the balance sheet date. Deferred revenue Current and non-current deferred revenue as of June 30, 2026 and December 31, 2025 relates to a revised distribution agreement with Medison entered into in November 2022. Under the revised agreement, the Company received a non-refundable payment of $ 5.0 million in exchange for granting Medison exclusive distribution rights in South America. The Company has determined that the deferred revenue relates to the Company’s single, combined performance obligation to supply KIMMTRAK to Medison and to grant Medison the exclusive right to distribute KIMMTRAK in South America. The revenue will be recognized on a straight-line basis over the term of the contract of 10 years from the date of the first commercial sale in the territory. Following the first commercial sale in the territory during the three months ended June 30, 2025, the Company began recognizing this revenue within net revenue from sale of therapies and consequently the Company classifies the portion of deferred revenue expected to be recognized over the next twelve months as current. 4. Accrued expenses and other current liabilities Accrued expenses and other current liabilities consisted of the following (in thousands): June 30, 2026 December 31, 2025 Rebates, chargebacks and returns $ 135,461 $ 132,780 Clinical accruals 36,674 40,945 Employee related expenses 9,132 16,542 Contract manufacturing 9,622 17,143 Interest accruals 4,193 4,193 Commercial services 3,123 2,349 Other accruals 8,195 5,792 $ 206,400 $ 219,744 See Note 3. “Revenue” for a breakdown of rebates, chargebacks and returns. Clinical accruals primarily represent unbilled work undertaken by contract research organizations as part of the advancement of the Company's clinical programs. 9 Table of Contents 5. Interest-bearing loans and borrowings Interest-bearing loans and borrowings consisted of the following as of June 30, 2026 (in thousands): Fair Value Principal Amount Unamortized Debt Issuance Costs Net Carrying Amount Amount Level Convertible senior notes $ 402,500 $ ( 8,294 ) $ 394,206 $ 370,179 Level 2 Interest-bearing loans and borrowings consisted of the following as of December 31, 2025 (in thousands): Fair Value Principal Amount Unamortized Debt Issuance Costs Net Carrying Amount Amount Level Convertible senior notes $ 402,500 $ ( 9,375 ) $ 393,125 $ 363,538 Level 2 See Note 7 to our financial statements in our Annual Report on Form 10-K for the year ended December 31, 2025 for a complete description of the terms of the Notes. No material changes have occurred since that date. Interest expense consisted of the following (in thousands): Three Months Ended June 30, Six Months Ended June 30, 2026 2025 2026 2025 Convertible senior notes Coupon interest $ 2,515 $ 2,515 $ 5,031 $ 5,031 Amortization of debt issuance costs 547 530 1,082 1,039 Total interest expense $ 3,062 $ 3,045 $ 6,113 $ 6,070 Issuance costs incurred with the notes were $ 13.4 million and are being amortized as interest expense on an effective interest rate method over the expected life of the notes, through February 2030, at an effective interest rate of 3.06 %. 6. Share-based compensation The following table shows the total share-based compensation expense recorded in the Condensed Consolidated Statements of Operations and Comprehensive Income (Loss) (in thousands): Three Months Ended June 30, Six Months Ended June 30, 2026 2025 2026 2025 Research and development $ 2,815 $ 2,318 $ 5,387 $ 4,499 Selling, general and administrative $ 6,589 $ 7,715 $ 10,319 $ 15,023 10 Table of Contents Equity Incentive Plan Under the Company’s Equity Incentive Plan ("EIP"), the Company may grant market value options, share appreciation rights or restricted shares, restricted share units ("RSUs"), performance share units and other share-based awards to the Company’s employees. The Company’s board members and consultants are eligible to receive awards under the Company’s non-employee sub-plan to the EIP. Awards may be granted at such times as the Company may determine, but will generally be granted annually following the end of the financial year. Awards vest at such times and as specified in the award agreement, typically being over a four-year period, although the Company retains the discretion to provide for other vesting schedules. If the participant violates the non-competition, non-solicitation, confidentiality or other similar restrictive covenant provisions of any employment contract, the right of the participant to receive these shares on vesting shall terminate immediately. The Company maintains discretion over the type and terms of equity awards granted. Share options lapse on the ten th anniversary from the date of grant, and they are not subject to performance conditions or entitled to dividends. As of June 30, 2026, the Company has reserved 6,947,060 authorized shares for future issuance under the EIP. Share option activity The number and weighted average exercise prices of share options were as follows: Number of Share Options Weighted Average Exercise Price Weighted Average Remaining Contractual Term Aggregate Intrinsic Value (in thousands) Outstanding as of December 31, 2025 10,374,316 $ 31.34 5.9 years $ 87,338 Awards granted 1,577,804 32.00 Awards exercised ( 675,565 ) 25.33 Awards forfeited ( 290,517 ) 44.12 Awards expired ( 61,325 ) 46.18 Outstanding as of June 30, 2026 10,924,713 $ 31.38 5.8 years $ 58,410 Exercisable as of June 30, 2026 7,987,179 $ 29.61 4.7 years $ 55,856 As of June 30, 2026, total unrecognized compensation expense related to share options granted but not vested was $ 27.8 million, which the Company expects to recognize over a remaining weighted-average period of 1.7 years. Awards granted in the three and six months ended June 30, 2026 and 2025 have been valued using the Black-Scholes option pricing model. The assumptions used in the models for share options granted were as follows: Three Months Ended June 30, Six Months Ended June 30, 2026 2025 2026 2025 Share price at grant date $ 28.52 - $ 30.31 $ 28.63 - $ 29.06 $ 28.52 - $ 34.71 $ 28.63 - $ 29.60 Exercise price $ 28.52 - $ 30.31 $ 28.63 - $ 29.06 $ 28.52 - $ 34.71 $ 28.63 - $ 29.60 Expected volatility 50.49 % - 51.63 % 52.92 % - 53.65 % 50.49 % - 53.52 % 52.92 % - 55.78 % Expected life 5.5 years 5.5 years 5.5 years 5.5 years Risk free rate 4.02 % - 4.21 % 3.94 % - 4.12 % 3.68 % - 4.21 % 3.94 % - 4.41 % Fair value $ 14.55 - $ 15.61 $ 15.11 - $ 15.27 $ 14.55 - $ 17.62 $ 15.11 - $ 16.21 Restricted share unit activity In February 2025, the Company introduced RSU awards that vest over a four-year service period with 25 % on each anniversary of the grant date. An RSU award represents the right to receive one of the Company’s American Depositary Shares ("ADSs") upon vesting of the RSU. The fair value of each RSU award is based on the closing price of the ADSs on Nasdaq on the date of grant. 11 Table of Contents The number and weighted average fair value of RSU awards were as follows: Number of RSUs Weighted Average Grant Date Fair Value Unvested and outstanding as of December 31, 2025 496,156 $ 29.88 Awards granted 572,002 32.41 Awards vested ( 115,323 ) 29.59 Awards forfeited ( 74,366 ) 30.22 Unvested and outstanding as of June 30, 2026 878,469 $ 31.54 As of June 30, 2026, total unrecognized compensation expense related to RSU awards granted but not vested was $ 17.5 million, which the Company expects to recognize over a remaining weighted-average period of 2.1 years. 7. Basic and diluted net (loss) income per share Basic and diluted net (loss) income per share is calculated as follows (in thousands, except share and per share amounts): Three Months Ended June 30, Six Months Ended June 30, 2026 2025 2026 2025 Net (loss) income $ ( 808 ) $ ( 10,300 ) $ 12,163 $ ( 5,277 ) Basic weighted-average number of shares outstanding 50,973,830 50,294,205 50,868,252 50,191,018 Adjustment for share options and RSUs with dilutive effect — — 2,034,951 — Diluted weighted-average number of shares outstanding 50,973,830 50,294,205 52,903,203 50,191,018 Basic net (loss) income per share $ ( 0.02 ) $ ( 0.20 ) $ 0.24 $ ( 0.11 ) Diluted net (loss) income per share $ ( 0.02 ) $ ( 0.20 ) $ 0.23 $ ( 0.11 ) For the three months ended June 30, 2026, due to the Company's net loss position, 11,803,182 potentially dilutive shares related to outstanding share options and RSUs have been excluded from the calculation of diluted net loss per share, as their effect was anti-dilutive. For the six months ended June 30, 2026, due to the Company's net income position, 2,034,951 dilutive shares related to these instruments were included in the calculation of diluted net income per share, while an additional 4,613,598 potentially dilutive shares were excluded from the calculation, as their effect was anti-dilutive. For the three and six months ended June 30, 2025, due to the Company's net loss position, 11,220,642 potentially dilutive shares related to share options and RSUs were excluded from the calculation for diluted net loss per share, as their effect was anti-dilutive. For the three and six months ended June 30, 2026, shares issuable upon the potential conversion of all of the Notes were excluded from the calculation of diluted net (loss) income per share due to their anti-dilutive effect. 8. Income taxes Income tax expense is recognized at an amount determined by multiplying the net income (loss) before income taxes for the interim reporting period by the Company’s estimated annual effective tax rate, adjusted for the tax effect of certain items recognized in full in the interim period. As such, the effective tax rate in the condensed consolidated financial statements may differ from the Company’s estimate of the effective tax rate for the Company’s consolidated financial statements for the year ending December 31, 2026 . 12 Table of Contents The Company’s co nsolidated estimated effective tax rate for the three and six months ended June 30, 2026 was ( 57.2 )% and 4.7 %, respectively. The change in effective tax rate for the three months ended June 30, 2026, as compared to the six months ended June 30, 2026, is driven by a loss before tax of $ 0.5 million in contrast to a profit before tax of $ 12.8 million for the three and six months ended June 30, 2026 respectively. During the three and six months ended June 30, 2026, the Company recorded a tax expense of $ 0.3 million and $ 0.6 million, respectively (June 30, 2025: tax expense of $ 0.6 million and $ 1.7 million, respectively). For the three and six months ended June 30, 2026 , the Company excluded the United Kingdom and the United States from the calculation of the annual estimated tax rate as the Company anticipates an ordinary loss in these jurisdictions for which the tax benefit cannot be recognized. The Company benefits from the U.K. large company Research & Development Expenditure Credit ("RDEC") regime which can generate a cash rebate of up t o 15 % of qualifying research and development expenditures incurred after April 1, 2023. Tax credits receivable under the RDEC regime are recorded "above the line" as a reduction from research and development expenses. No deferred tax assets have been recognized as of June 30, 2026 and December 31, 2025. The majority of the Company’s deferred tax assets relate to net operating loss and R&D carryforwards that can only be realized if the Company is profitable in future periods. Accordingly, the Company has provided a valuation allowance against a substantial amount of the net deferred tax assets due to uncertainties as to their ultimate realization . 9. Segment information The Company operates in one operating segment: immunotherapies, which is focused on pioneering and delivering transformative immunomodulating medicines in the areas of cancer, infectious diseases and autoimmune diseases. The Company primarily generates revenue from one stream, revenue from the sale of therapies, which consists of sales of KIMMTRAK. H istorically, the Company had a second stream, collaboration revenue, which is no longer significant. The Company manages its business activities on a consolidated basis. Operating segments are identified as components of an enterprise about which separate discrete financial information is available for evaluation by the chief operating decision-maker ("CODM"), the Chief Executive Officer, in making decisions regarding resource allocation and assessing performance. The measure of the segment profit or loss used is consolidated net income (loss), and the measure of segment assets is reported on the condensed consolidated balance sheet as total assets. The accounting policies of the immunotherapies segment are the same as those described in Note 2. "Summary of significant accounting policies". The following table summarizes the reportable segment's financial information (in thousands): Three Months Ended June 30, Six Months Ended June 30, 2026 2025 2026 2025 Revenue $ 115,927 $ 97,964 $ 222,604 $ 191,845 Less: Cost of revenue from sale of therapies ( 1,088 ) ( 1,040 ) ( 1,522 ) ( 1,871 ) External research and development (R&D) expenses: PRAME programs ( 20,091 ) ( 20,678 ) ( 41,305 ) ( 37,983 ) Tebentafusp programs ( 11,863 ) ( 10,417 ) ( 20,102 ) ( 18,407 ) Infectious disease programs ( 525 ) ( 1,325 ) ( 1,371 ) ( 2,730 ) All other external clinical and preclinical costs ( 16,352 ) ( 15,253 ) ( 24,845 ) ( 26,484 ) Total external R&D expenses ( 48,831 ) ( 47,673 ) ( 87,623 ) ( 85,604 ) R&D salaries and other employee-related costs ( 14,258 ) ( 12,907 ) ( 28,398 ) ( 23,950 ) Selling, general and administrative (SG&A) salaries and other employee-related costs ( 13,906 ) ( 12,827 ) ( 26,996 ) ( 25,045 ) Other SG&A expenses ( 23,347 ) ( 22,249 ) ( 44,412 ) ( 42,921 ) Other segment (expense) income, net (a) ( 15,305 ) ( 11,568 ) ( 21,490 ) ( 17,731 ) Segment and consolidated net (loss) income $ ( 808 ) $ ( 10,300 ) $ 12,163 $ ( 5,277 ) (a) Other segment expenses, net includes other internal R&D expenses, share-based compensation expense, R&D tax credits, interest income, interest expense, foreign currency gain, other income, net and income tax expense (benefit). 13 Table of Contents 10. Commitments and contingencies Lease commitments The maturities of operating lease liabilities as of June 30, 2026 were as follows (in thousands): Remainder of 2026 $ 3,261 2027 5,866 2028 5,553 2029 5,285 2030 and thereafter 49,712 Total lease payments 69,677 Less imputed interest ( 28,924 ) Present value of operating lease liabilities $ 40,753 Future lease commitments - leases not yet commenced $ 2,973 Future lease commitments - leases not yet commenced The Company has entered into a non-cancellable lease agreement for premises that will commence in 2028 and end in 2031, with total future minimum lease payments of $ 3.0 million. This amount is not included in the present value of operating lease liabilities above as the lease had not commenced as of June 30, 2026. Manufacturing commitments The Company enters into a number of manufacturing commitments for the future purchase of materials and contract manufacturing services. While the majority of such contracts can be cancelled on reasonable notice, due to the significant ongoing expenditure associated with the Company’s programs, the Company estimates it has noncancellable commitments in relation to the development and supply of product candidates totaling $ 18.3 million, the majority of which are estimated to be paid within twelve months from the balance sheet date. Gates collaboration Under the terms of the Company’s agreement with the Gates Foundation, the Company is required to develop, manufacture and commercialize soluble TCR bispecific therapeutic candidates targeted to mutually agreed neglected diseases, currently HIV, with the potential to treat people at an affordable price in developing countries. In the event of certain defaults by the Company under the agreement, which the Company considers to be within its control, the Gates Foundation has the right to sell, or require the Company to buy back, any of the shareholdings in the Company held by the Gates Foundation. In such an event, if within 12 months after such redemption or sale, the Company experiences a change in control at a valuation of more than 150 % of the valuation used for the redemption or the sale of the shares, the Company has agreed to pay the Gates Foundation compensation equal to the excess of what it would have received in such transaction if it still held its shares at the time of such change of control over what it received in the sale or redemption of its shares. Other agreements The Company has also entered into collaboration and license agreements which provide for various future milestone payments upon the achievement of specified development, regulatory, commercial and sales-based milestones, as well as potential future royalty and other payments. These future milestone payments are contingent upon future events that are not considered probable of achievement as of June 30, 2026. As of June 30, 2026, the Company was unable to estimate the timing or likelihood of achieving these milestones, due to the early stage of development. Legal proceedings The Company is not currently a party to any material legal proceedings. 14 Table of Contents