Zymeworks Inc. (NASDAQ:ZYME) Q2 2023 Earnings Call August 10, 2023 4:30 PM ET Company Participants Diana Papove - Director of Corporate Communications Chris Astle - Senior Vice President and Chief Financial Officer Kenneth Galbraith - Chair and Chief Executive Officer Paul Moore - Chief Scientific Officer Conference Call Participants Jon Miller - Evercore Yigal Nochomovitz - Citigroup Charles Zhu - Guggenheim Brian Cheng - JP Morgan Operator Thank you for standing by. This is the conference operator. Welcom ...

| --- | --- | --- | --- | --- | --- | |-------|-----------------------------|-------|-------|-------|-------| | | | | | | | | | | | | | | | | First Half 2023 Results | | | | | | | Conference Call and Webcast | | | | | | | | | | | | Forward-Looking Statements This presentation and the accompanying oral commentary include "forward-looking statements" or information within the meaning of the applicable securities legislation, including Section 27A of the Securities Act of 1933, as amended, and Section 21E of t ...

Table of Contents UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 ______________________________________ FORM 10-Q ______________________________________ (Mark One) ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended June 30, 2023 or ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from to Commission file number: 001-41535 __________________________ ...

Zymeworks Inc. (NASDAQ:ZYME) Q1 2023 Earnings Conference Call May 8, 2023 4:30 PM ET Company Participants Jack Spinks - Head of Investor Relations Chris Astle - Senior Vice President and Chief Financial Officer Kenneth Galbraith – Chairman and Chief Executive Officer Conference Call Participants Stephen Willey - Stifel Charles Zhu - Guggenheim Partners Derek Archila - Wells Fargo Brian Cheng - JPMorgan Carly Kenselaar - Citi Phoebe Tan - Jefferies Operator Good day, and thank you for standing by. Welcome to ...

| --- | --- | --- | --- | --- | --- | |-------|-------|-----------------------------|-------|-------|-------| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | First Quarter 2023 Results | | | | | | | Conference Call and Webcast | | | | | | | | | | | Forward-Looking Statements This presentation and the accompanying oral commentary include "forward-looking statements" or information within the meaning of the applicable securities legislation, including Section 27A of the Securities ...

Table of Contents UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 ______________________________________ FORM 10-Q ______________________________________ (Mark One) ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended March 31, 2023 or ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from to Commission file number: 001-41535 _________________________ ...

Zymeworks Inc. (NASDAQ:ZYME) Q4 2022 Earnings Conference Call March 7, 2023 4:30 PM ET Company Participants Jack Spinks - Head of Investor Relations Chris Astle - Senior Vice President & Chief Financial Officer Kenneth Galbraith - Chair & Chief Executive Officer Conference Call Participants Yigal Nochomovitz - Citi James Shin - Wells Fargo Stephen Willey - Stifel Brian Cheng - JPMorgan Charles Zhu - Guggenheim Andrew Berens - SVB Leerink David Martin - Bloom Burton Operator Good day, ladies and gentlemen, a ...

| --- | --- | --- | --- | --- | |---------------------------------------------------|-------|-------|-------|-------| | | | | | | | | | | | | | | | | | | | 4Q & FY 2022 Results Conference Call and Webcast | | | | | | March 7, 2023 | | | | | | Nasdaq: ZYME \| zymeworks.com | | | | | Forward-Looking Statements This presentation and the accompanying oral commentary include "forward-looking statements" or information within the meaning of applicable securities legislation, including Section 27A of the Securitie ...

Financial Performance - The company reported a consolidated loss for the year ended December 31, 2022, with total revenue of $XX million, reflecting a decrease of YY% compared to the previous year[559]. - The company has experienced significant losses since inception and requires substantial additional funding to support continued growth[19]. - The company is focused on achieving profitability through increased revenue from product sales and strategic market positioning[19]. - The company reported a net income of $124.3 million in 2022, a significant turnaround from a net loss of $211.8 million in 2021[569]. - Basic net income per common share was $1.91 in 2022, compared to a loss of $4.11 per share in 2021[569]. - Total stockholders' equity increased to $492,956 thousand as of December 31, 2022, up from $249,094 thousand in 2021[570]. - The company generated $144,109 thousand in net cash from operating activities in 2022, recovering from a cash outflow of $192,451 thousand in 2021[571]. - The company recognized upfront consideration of $375.0 million related to the license of intellectual property and $24.3 million for ongoing clinical research activities during the year ended December 31, 2022[564]. Revenue and Collaborations - Revenue from research and development collaborations surged to $412.5 million in 2022, up from $26.7 million in 2021, marking a growth of over 1440%[569]. - Revenue from strategic partnerships in 2022 totaled $412.5 million, a significant increase from $26.7 million in 2021[675]. - The company recognized $375 million in licensing and technology transfer fees from Jazz Pharmaceuticals, with $50 million recognized in November 2022 and $325 million in December 2022[678][679]. - The company is eligible for up to $525 million in regulatory milestone payments and up to $862.5 million in commercial milestone payments from Jazz, along with tiered royalties of 10% to 20% on annual net sales[682]. - A licensing agreement with Atreca allows the company to receive up to $210 million in option exercise fees and milestone payments, with $5 million recognized as revenue in 2022[683]. - The collaboration with BMS includes potential payments of up to $1.64 billion for ten programs, with $7.5 million received for one exercised option[692]. - The agreement with GSK allows for up to $1.1 billion in milestone payments, with $6 million received as an upfront technology access fee[699]. - The collaboration with Daiichi Sankyo includes potential milestone payments of $149.9 million, with $2 million received as an upfront fee[702]. - The Company is eligible for up to $1.45 billion in various license and milestone payments from the collaboration with Janssen, having received an upfront payment of $50.0 million and development milestones totaling $8.0 million[707]. Assets and Liabilities - Total current assets increased to $544.7 million in 2022 from $288.2 million in 2021, representing an increase of approximately 89%[568]. - Total assets increased to $648.7 million in 2022 from $389.1 million in 2021, an increase of approximately 67%[568]. - Current liabilities rose to $95.6 million in 2022 from $71.9 million in 2021, an increase of about 33%[568]. - The total liabilities rose to $87,468 million in 2022, up from $62,789 million in 2021, representing an increase of 39.4%[632]. - The company has a liability for contingent consideration of $1,248 million as of December 31, 2022, down from $1,498 million in 2021[632]. Research and Development - The company is focusing on expanding its therapeutic platforms and antibody engineering expertise to enhance product commercialization opportunities[17]. - The company continues to focus on developing next-generation multifunctional biotherapeutics, indicating a strong commitment to R&D[572]. - Research and development costs are expensed as incurred, with significant expenses related to clinical trials and contract research organizations[610][611]. - The Company recognized CEWS and CERS grants as reductions to wage and rent expenditures, indicating support received during the COVID-19 pandemic[609]. Regulatory and Compliance - The company is actively pursuing regulatory approvals for its product candidates, with a focus on minimizing delays in clinical trial progression[17]. - The company is committed to protecting its intellectual property rights and ensuring compliance with third-party license terms[17]. - The Company recognizes revenue when the customer obtains control of promised goods or services, reflecting the expected consideration[582]. - Revenue from non-refundable, upfront license fees is recognized when the license is transferred and the licensee can benefit from it[587]. Capital and Funding - The company has been actively involved in raising capital to support its clinical-stage biopharmaceutical operations[572]. - Zymeworks raised $107,534 thousand through public offerings in 2022, compared to no proceeds in 2021[571]. - The company issued 3,787,737 pre-funded warrants in a cashless transaction, resulting in the issuance of 3,787,675 common shares[642]. Tax and Financial Obligations - The Company reported a current income tax expense of $8,953 for the year ended December 31, 2022, compared to $437 in 2021[727]. - The Company has net operating losses carried forward for tax purposes in Canada amounting to approximately $314.7 million, down from $457.6 million in 2021[730]. - The total deferred tax assets as of December 31, 2022, are $156.9 million, a decrease from $191.0 million in 2021[729].

| --- | --- | --- | --- | |---------------------------------------------------|-------|-------|-------| | | | | | | | | | | | SVB Securities Global | | | | | Biopharma Conference | | | | | Kenneth Galbraith Chair & CEO | | | | | Nasdaq: ZYME \| zymeworks.com February 14th, 2023 | | | | Legal Disclaimer 2 This presentation includes "forward-looking statements" within the meaning of the U.S. Private Securities Litigation Reform Act of 1995 and "forward-looking information" within the meaning of Canadian secur ...