Exhibit 99.2
KAMADA LTD.
CONSOLIDATED FINANCIAL STATEMENTS
AS OF MARCH 31, 2022
TABLE OF CONTENTS
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1
CONSOLIDATED STATEMENTS OF FINANCIAL POSITION
As of March 31, | As of December 31, | |||||||||||
2022 | 2021 | 2021 | ||||||||||
Unaudited | Audited | |||||||||||
U.S Dollars in thousands | ||||||||||||
Assets | ||||||||||||
Current Assets | ||||||||||||
Cash and cash equivalents | $ | 21,967 | $ | 61,436 | $ | 18,587 | ||||||
Short-term investments | - | 48,038 | - | |||||||||
Trade receivables, net | 21,568 | 20,367 | 35,162 | |||||||||
Other accounts receivables | 7,867 | 4,091 | 8,872 | |||||||||
Inventories | 64,761 | 41,155 | 67,423 | |||||||||
Total Current Assets | 116,163 | 175,087 | 130,044 | |||||||||
Non-Current Assets | ||||||||||||
Property, plant and equipment, net | 26,098 | 25,492 | 26,307 | |||||||||
Right-of-use assets | 2,990 | 3,479 | 3,092 | |||||||||
Intangible assets, Goodwill and other long-term assets | 151,858 | 3,175 | 153,663 | |||||||||
Contract assets | 5,987 | 3,295 | 5,561 | |||||||||
Total Non-Current Assets | 186,933 | 35,441 | 188,623 | |||||||||
Total Assets | $ | 303,096 | $ | 210,528 | $ | 318,667 | ||||||
Liabilities | ||||||||||||
Current Liabilities | ||||||||||||
Current maturities of bank loans | $ | 3,725 | $ | 127 | $ | 2,631 | ||||||
Current maturities of lease liabilities | 1,017 | 1,092 | 1,154 | |||||||||
Current maturities of other long term liabilities | 19,095 | - | 17,986 | |||||||||
Trade payables | 11,682 | 15,076 | 25,104 | |||||||||
Other accounts payables | 6,670 | 5,682 | 7,142 | |||||||||
Deferred revenues | 40 | - | 40 | |||||||||
Total Current Liabilities | 42,229 | 21,977 | 54,057 | |||||||||
Non-Current Liabilities | ||||||||||||
Bank loans | 16,296 | 20 | 17,407 | |||||||||
Lease liabilities | 3,056 | 3,417 | 3,160 | |||||||||
Contingent consideration | 22,551 | 21,995 | ||||||||||
Other long-term liabilities | 42,531 | 43,929 | ||||||||||
Deferred revenues | 15 | 2,525 | 15 | |||||||||
Employee benefit liabilities, net | 1,268 | 1,369 | 1,280 | |||||||||
Total Non-Current Liabilities | 85,717 | 7,331 | 87,786 | |||||||||
Shareholder's Equity | ||||||||||||
Ordinary shares | 11,728 | 11,713 | 11,725 | |||||||||
Additional paid in capital net | 210,269 | 209,859 | 210,204 | |||||||||
Capital reserve due to translation to presentation currency | (3,490 | ) | (3,490 | ) | (3,490 | ) | ||||||
Capital reserve from hedges | 12 | 30 | 54 | |||||||||
Capital reserve from share-based payments | 4,771 | 4,674 | 4,643 | |||||||||
Capital reserve from employee benefits | (149 | ) | (320 | ) | (149 | ) | ||||||
Accumulated deficit | (47,991) | (41,246 | ) | (46,163 | ) | |||||||
Total Shareholder's Equity | 175,150 | 181,220 | 176,824 | |||||||||
Total Liabilities and Shareholder's Equity | $ | 303,096 | $ | 210,528 | $ | 318,667 |
The accompanying Notes are an integral part of the Consolidated Financial Statements.
2
CONSOLIDATED STATEMENTS OF PROFIT OR LOSS AND OTHER COMPREHENSIVE INCOME
Three months period ended | Year ended | |||||||||||
March 31, | December 31, | |||||||||||
2022 | 2021 | 2021 | ||||||||||
Unaudited | Audited | |||||||||||
U.S Dollars in thousands | ||||||||||||
Revenues from proprietary products | $ | 23,011 | $ | 20,870 | $ | 75,521 | ||||||
Revenues from distribution | 5,082 | 4,030 | 28,121 | |||||||||
Total revenues | 28,093 | 24,900 | 103,642 | |||||||||
Cost of revenues from proprietary products | 12,449 | 12,468 | 48,194 | |||||||||
Cost of revenues from distribution | 4,342 | 3,501 | 25,120 | |||||||||
Total cost of revenues | 16,791 | 15,969 | 73,314 | |||||||||
Gross profit | 11,302 | 8,931 | 30,328 | |||||||||
Research and development expenses | 4,420 | 2,628 | 11,357 | |||||||||
Selling and marketing expenses | 3,321 | 1,123 | 6,278 | |||||||||
General and administrative expenses | 3,005 | 2,809 | 12,636 | |||||||||
Other expense | 310 | 7 | 753 | |||||||||
Operating income | 246 | 2,364 | (696 | ) | ||||||||
Financial income | 2 | 110 | 295 | |||||||||
Income in respect of securities measured at fair value, net | - | - | - | |||||||||
Income (expense) in respect of currency exchange differences and derivatives instruments, net | 169 | 266 | (207 | ) | ||||||||
Financial Income (expense) in respect of contingent consideration and other long- term liabilities. | (2,010 | ) | (947 | ) | ||||||||
Financial expense | (194 | ) | (53 | ) | (330 | ) | ||||||
Income before tax on income | (1,787 | ) | 2,687 | (1,885 | ) | |||||||
Taxes on income | 41 | - | 345 | |||||||||
Net Income | $ | (1,828 | ) | $ | 2,687 | $ | (2,230 | ) | ||||
Other Comprehensive Income (loss) : | ||||||||||||
Amounts that will be or that have been reclassified to profit or loss when specific conditions are me | ||||||||||||
Gain (loss) from securities measured at fair value through other comprehensive income | - | - | - | |||||||||
Gain on cash flow hedges | (108 | ) | (73 | ) | 185 | |||||||
Net amounts transferred to the statement of profit or loss for cash flow hedges | 66 | (254 | ) | (488 | ) | |||||||
Items that will not be reclassified to profit or loss in subsequent periods: | ||||||||||||
Remeasurement gain (loss) from defined benefit plan | - | - | 171 | |||||||||
Tax effect | - | - | - | |||||||||
Total comprehensive income | $ | (1,870 | ) | $ | 2,360 | $ | (2,362 | ) | ||||
Earnings per share attributable to equity holders of the Company: | ||||||||||||
Basic income per share | $ | (0.04 | ) | $ | 0.06 | $ | (0.05 | ) | ||||
Diluted income per share | $ | (0.04 | ) | $ | 0.06 | $ | (0.05 | ) |
The accompanying Notes are an integral part of the Consolidated Financial Statements.
3
CONSOLIDATED STATEMENTS OF CHANGES IN EQUITY
Share capital | Additional paid in capital | Capital reserve from securities measured at fair value through other comprehensive income | Capital reserve due to translation to presentation currency | Capital reserve from hedges | Capital reserve from sharebased payments | Capital reserve from employee benefits | Accumulated deficit | Total equity | ||||||||||||||||||||||||||||
Unaudited | ||||||||||||||||||||||||||||||||||||
In thousands | ||||||||||||||||||||||||||||||||||||
Balance as of January 1, 2022 (audited) | $ | 11,725 | $ | 210,204 | $ | - | $ | (3,490 | ) | $ | 54 | $ | 4,643 | $ | (149 | ) | $ | (46,163 | ) | $ | 176,824 | |||||||||||||||
Net income | - | - | - | - | - | - | - | (1,828 | ) | (1,828 | ) | |||||||||||||||||||||||||
Other comprehensive income (loss) | - | - | - | - | (42 | ) | - | - | - | (42 | ) | |||||||||||||||||||||||||
Tax effect | - | - | - | - | - | - | - | - | - | |||||||||||||||||||||||||||
Total comprehensive income (loss) | - | - | - | - | (42 | ) | - | - | (1,828 | ) | (1,870 | ) | ||||||||||||||||||||||||
Exercise and forfeiture of share-based payment into shares | 3 | 65 | - | - | - | (65 | ) | - | - | 3 | ||||||||||||||||||||||||||
Cost of share-based payment | - | - | - | - | - | 193 | - | - | 193 | |||||||||||||||||||||||||||
Balance as of March 31, 2022 | $ | 11,728 | $ | 210,269 | $ | - | $ | (3,490 | ) | $ | 12 | $ | 4,771 | $ | (149 | ) | $ | (47,991 | ) | $ | 175,150 |
Share capital | Additional paid in capital | Capital reserve due to translation to presentation currency | Capital reserve from hedges | Capital reserve from sharebased payments | Capital reserve from employee benefits | Accumulated deficit | Total equity | |||||||||||||||||||||||||
Balance as of January 1, 2021 (audited) | $ | 11,706 | $ | 209,760 | $ | (3,490 | ) | $ | 357 | $ | 4,558 | $ | (320 | ) | $ | (43,933 | ) | $ | 178,638 | |||||||||||||
Net income | - | - | - | - | - | - | 2,687 | 2,687 | ||||||||||||||||||||||||
Other comprehensive income (loss) | - | - | - | (327 | ) | - | - | - | (327 | ) | ||||||||||||||||||||||
Tax effect | - | - | - | - | - | - | - | - | ||||||||||||||||||||||||
Total comprehensive income (loss) | - | - | - | (327 | ) | - | - | 2,687 | 2,360 | |||||||||||||||||||||||
Exercise and forfeiture of share-based payment into shares | 7 | 99 | - | - | (99 | ) | - | - | 7 | |||||||||||||||||||||||
Cost of share-based payment | - | - | - | - | 215 | - | - | 215 | ||||||||||||||||||||||||
Balance as of March 31, 2021 | $ | 11,713 | $ | 209,859 | $ | (3,490 | ) | $ | 30 | $ | 4,674 | $ | (320 | ) | $ | (41,246 | ) | $ | 181,220 |
The accompanying Notes are an integral part of the Consolidated Financial Statements.
4
KAMADA LTD.
CONSOLIDATED STATEMENTS OF CHANGES IN EQUITY
Share capital | Additional paid in capital | Capital reserve from securities measured at fair value through other comprehensive income | Capital reserve due to translation to presentation currency | Capital reserve from hedges | Capital reserve from sharebased payments | Capital reserve from employee benefits | Accumulated deficit | Total equity | ||||||||||||||||||||||||||||
Unaudited | ||||||||||||||||||||||||||||||||||||
In thousands | ||||||||||||||||||||||||||||||||||||
Balance as of January 1, 2021 (audited) | $ | 11,706 | $ | 209,760 | $ | - | $ | (3,490 | ) | $ | 357 | $ | 4,558 | $ | (320 | ) | $ | (43,933 | ) | $ | 178,638 | |||||||||||||||
Net income | - | - | - | - | - | - | - | (2,230 | ) | (2,230 | ) | |||||||||||||||||||||||||
Other comprehensive income (loss) | - | - | - | - | (303 | ) | - | 171 | - | (132 | ) | |||||||||||||||||||||||||
Tax effect | - | - | - | - | - | - | - | - | - | |||||||||||||||||||||||||||
Total comprehensive income (loss) | - | - | - | - | (303 | ) | - | 171 | (2,230 | ) | (2,362 | ) | ||||||||||||||||||||||||
Exercise and forfeiture of share-based payment into shares | 19 | 444 | - | - | - | (444 | ) | - | - | 19 | ||||||||||||||||||||||||||
Cost of share-based payment | - | - | - | - | - | 529 | - | - | 529 | |||||||||||||||||||||||||||
Balance as of December 31, 2021 | $ | 11,725 | $ | 210,204 | $ | - | $ | (3,490 | ) | $ | 54 | $ | 4,643 | $ | (149 | ) | $ | (43,933 | ) | $ | 176,824 |
The accompanying Notes are an integral part of the Consolidated Financial Statements.
5
CONSOLIDATED STATEMENTS OF CASH FLOWS
Three months period Ended | Year Ended | |||||||||||
March 31, | December 31, | |||||||||||
2022 | 2021 | 2021 | ||||||||||
Unaudited | Audited | |||||||||||
U.S Dollars in thousands | U.S Dollars in thousands | |||||||||||
Net income | $ | (1,828 | ) | $ | 2,687 | $ | (2,230 | ) | ||||
Adjustments to reconcile net income to net cash provided by operating activities: | ||||||||||||
Adjustments to the profit or loss items: | ||||||||||||
Depreciation and amortization | 3,027 | 1,147 | 5,609 | |||||||||
Financial expense (income), net | 2,033 | (323 | ) | 1,189 | ||||||||
Cost of share-based payment | 193 | 215 | 529 | |||||||||
Taxes on income | 41 | - | 345 | |||||||||
(Gain) loss from sale of property and equipment | - | - | - | |||||||||
Change in employee benefit liabilities, net | (12 | ) | (37 | ) | 45 | |||||||
5,282 | 1,002 | 7,717 | ||||||||||
Changes in asset and liability items: | ||||||||||||
Decrease(increase) in trade receivables, net | 13,492 | 1,585 | (12,861 | |||||||||
Decrease (increase) in other accounts receivables | 589 | (14 | ) | (1,634 | ) | |||||||
Decrease (increase) in inventories | 2,662 | 1,045 | (2,373 | |||||||||
Decrease (increase) in deferred expenses | (110 | ) | (1,153 | ) | (6,883 | |||||||
Increase (decrease) in trade payables | (13,649 | ) | (1,484 | ) | 7,917 | ) | ||||||
Increase (decrease) in other accounts payables | (772 | ) | (2,145 | ) | (392 | ) | ||||||
Increase (decrease) in deferred revenues | - | 500 | (1,815 | |||||||||
2,212 | (1,666 | ) | (14,411 | ) | ||||||||
Cash received (paid) during the year for: | ||||||||||||
Interest paid | (194 | ) | (48 | ) | (228 | ) | ||||||
Interest received | 2 | 141 | 375 | |||||||||
Taxes paid | (9 | ) | (14 | ) | (42 | ) | ||||||
(201 | ) | 79 | 105 | |||||||||
Net cash provided by (used in) operating activities | $ | 5,465 | $ | 2,102 | $ | (8,819 | ) |
The accompanying Notes are an integral part of the Consolidated Financial Statements.
6
KAMADA LTD.
CONSOLIDATED STATEMENTS OF CASH FLOWS
Three months period Ended | Year Ended | |||||||||||
March 31, | December 31, | |||||||||||
2022 | 2021 | 2021 | ||||||||||
Unaudited | Audited | |||||||||||
U.S Dollars in thousands | U.S Dollars in thousands | |||||||||||
Cash Flows from Investing Activities | ||||||||||||
Investment in short term investments, net | $ | - | $ | (9,000 | ) | $ | 39,083 | |||||
Purchase of property and equipment and intangible assets | (513 | ) | (131 | ) | (3,730 | ) | ||||||
Proceeds from sale of property and equipment | - | - | 7 | |||||||||
Business combination | - | (1,404 | (96,403 | ) | ||||||||
Net cash used in investing activities | (513 | ) | (10,535 | ) | (61,050 | ) | ||||||
Cash Flows from Financing Activities | ||||||||||||
Proceeds from exercise of share base payments | 3 | 7 | 19 | |||||||||
Receipt of long-term loans | - | - | 20,000 | |||||||||
Repayment of lease liabilities | (295 | ) | (289 | ) | (1,221 | ) | ||||||
Repayment of long-term loans | (16 | ) | (121 | ) | (205 | ) | ||||||
Repayment of other long-term liabilities | (1,500 | ) | - | - | ||||||||
Net cash provided by (used in) financing activities | (1,808 | ) | (403 | ) | 18,593 | |||||||
Exchange differences on balances of cash and cash equivalent | 236 | 75 | (334 | ) | ||||||||
Increase (decrease) in cash and cash equivalents | 3,380 | (8,761 | ) | (51,610 | ) | |||||||
Cash and cash equivalents at the beginning of the year | 18,587 | 70,197 | 70,197 | |||||||||
Cash and cash equivalents at the end of the year | $ | 21,967 | $ | 61,436 | $ | 18,587 | ||||||
Significant non-cash transactions | ||||||||||||
Purchase of property and equipment through capital lease | $ | 174 | $ | 302 | $ | 845 | ||||||
Purchase of property and equipment | $ | 254 | $ | 670 | $ | 1,001 |
The accompanying Notes are an integral part of the Consolidated Financial Statements.
7
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
Note 1:- General
General description of the Company and its activity
Kamada Ltd. (the “Company”) is a vertically integrated global biopharmaceutical company, focused on specialty plasma-derived therapeutics, with a diverse portfolio of marketed products, a robust development pipeline and industry-leading manufacturing capabilities. The Company’s strategy is focused on driving profitable growth from our current commercial activities as well as our manufacturing and development expertise in the plasma-derived biopharmaceutical market. The Company’s commercial products portfolio includes its developed and FDA approved products GLASSIA® and KEDRRAB® as well as its recently acquired FDA approved plasma-derived hyperimmune products CYTOGAM®, HEPAGAM B®, VARIZIG® and WINRHO®SDF. The Company has additional four plasma-derived products which are registered in markets outside the U.S. The Company distributes its commercial products portfolio directly, and through strategic partners or third party distributors in more than 30 countries, including the U.S., Canada, Israel, Russia, Brazil, Argentina, India and other countries in Latin America and Asia. The Company has a diverse portfolio of development pipeline products including an inhaled AAT for the treatment of AAT deficiency for which the Company is currently conducting the InnovAATe clinical trial, a randomized, double-blind, placebo-controlled, pivotal Phase 3 trial. The Company leverages its expertise and presence in the Israeli pharmaceutical market to distribute in Israel more than 20 products that are manufactured by third parties and have recently added eleven biosimilar products to its Israeli distribution portfolio, which, subject to EMA and the Israeli MOH approvals, are expected to be launched in Israel between the years 2022 and 2028.
In November 2021, the Company acquired a portfolio of four FDA approved plasma-derived hyperimmune commercial products from Saol Therapeutics (“Saol”). The acquisition of this portfolio furthers the Company’s core objective to become a fully integrated specialty plasma company with strong commercial capabilities in the U.S. market, as well as to expand to new markets, mainly in the Middle East/North Africa region, and to broaden the Company’s portfolio offering in existing markets. The Company’s wholly owned U.S. subsidiary, Kamada Inc., will be responsible for the commercialization of the four products in the U.S. market, including direct sales to wholesalers and local distributers. Refer to Note 5 of the Company’s annual financial statements as of December 31, 2021.
The Company markets GLASSIA in the U.S. through a strategic partnership with Takeda Pharmaceuticals Company Limited (“Takeda”). Pursuant to an agreement with Takeda, the Company terminated the production and sale of GLASSIA to Takeda during 2021 resulting in a significant reduction in revenues. Takeda initiated its own production of GLASSIA for the U.S. market. Commencing 2022, Takeda pays royalties to the Company at a rate of 12% on GLASSIA’s net sales through August 2025, and at a rate of 6% thereafter until 2040, with a minimum of $5 million annually. Refer to Note 19 of the Company’s annual financial statements as of December 31, 2021.
8
KAMADA LTD.
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
Note 2:- Significant Accounting Policies
a. | Basis of preparation of the interim consolidated financial statements: |
The interim consolidated financial statements have been prepared in accordance with generally accepted accounting principles for the preparation of financial statements for interim periods, as prescribed in IAS 34, “Interim Financial Reporting”.
b. | Implementation of new accounting standards: |
i. | Amendment to IAS 1, Presentation of Financial Statements: Classification of Liabilities as Current or Non-Current |
In January 2020, the IASB issued an amendment to IAS 1, “Presentation of Financial Statements” (“the Amendment”) regarding the criteria for determining the classification of liabilities as current or non-current. The Amendment replaces certain requirements for classifying liabilities as current or non-current. Thus for example, according to the Amendment, a liability will be classified as non-current when the entity has the right to defer settlement for at least 12 months after the reporting
period, and it “has substance” and is in existence at the end of the reporting period, this instead of the requirement that there be an “unconditional” right. According to the Amendment, a right is in existence at the reporting date only if the entity complies with conditions for deferring settlement at that date. Furthermore, the Amendment clarifies that the conversion option of a liability will affect its classification as current or non-current, other than when the conversion option is recognized as equity.
The Amendment is effective for reporting periods beginning on or after January 1, 2023 with earlier application being permitted. The Amendment is applicable retrospectively, including an amendment to comparative data.
The Company believes that the adoption of the Amendment will not have an effect on its financial statements.
ii. | Amendment to IAS 12, Income Taxes: Deferred Tax related to Assets and Liabilities arising from a Single Transaction |
The Amendment narrows the scope of the exemption from recognizing deferred taxes as a result of temporary differences created at the initial recognition of assets and/or liabilities, so that it does not apply to transactions that give rise to equal and offsetting temporary differences.
As a result, companies will need to recognize a deferred tax asset or a deferred tax liability for these temporary differences at the initial recognition of transactions that give rise to equal and offsetting temporary differences, such as lease transactions and provisions for decommissioning and restoration.
The Amendment is effective for annual periods beginning on or after January 1, 2023, by amending the opening balance of the retained earnings or adjusting a different component of equity in the period the Amendment was first adopted. Earlier application is permitted.
The Company has not yet commenced examining the effects of applying the Amendment on the financial statements.
9
KAMADA LTD.
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
Note 3:- Significant events in the reporting period
Grant of options to the purchase ordinary shares of the Company to employees, executive officers, CEO and Board of Directors members
On February 28, 2022, the Company’s Board of Directors approved the grant of options to purchase up to 1,345,600, 400,000 and 270,000 ordinary shares of the Company to employees and executive officers, CEO and Board of Directors members, respectively.
As of March 31, 2022, out of the above mentioned, the Company granted to employees and executive officers a total of:
- | 1,130,100 options to purchase the ordinary shares of the Company, under the Israeli Share Option Plan, at exercise prices that ranged between NIS 19.36-18.92 (USD 5.80-6.05) per share. The fair value of the options calculated on the date of grant using the binomial option valuation model was estimated at $2,272 thousands. |
- | 101,200 options to purchase the ordinary shares of the Company, under the US Share Option Plan, at exercise prices that ranged between USD 5.88-6.10 per share. The fair value of the options calculated on the date of grant using the binomial option valuation model was estimated at $226 thousands. |
The grant of options to the CEO and the Board of Directors members are subject to the approval of the General Meeting of Shareholders that is expected to take place during 2022.
10
KAMADA LTD.
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
Note 4:- Operating Segments
a. | General: |
The company has two operating segments, as follows:
Proprietary Products | - | Development, manufacturing, sales and distribution of proprietary plasma-derived protein therapeutics. |
Distribution | - | Distribute imported drug products in Israel, which are manufactured by third parties. |
b. | Reporting on operating segments: |
Proprietary Products | Distribution | Total | ||||||||||
U.S Dollars in thousands | ||||||||||||
Unaudited | ||||||||||||
Three months period ended March 31, 2022 | ||||||||||||
Revenues | $ | 23,011 | $ | 5,082 | $ | 28,093 | ||||||
Gross profit | $ | 10,562 | $ | 740 | $ | 11,302 | ||||||
Unallocated corporate expenses | (11,056 | ) | ||||||||||
Finance expenses, net | (2,033 | ) | ||||||||||
Income before taxes on income | $ | (1,787 | ) |
Proprietary Products | Distribution | Total | ||||||||||
U.S Dollars in thousands | ||||||||||||
Unaudited | ||||||||||||
Three months period ended March 31, 2021 | ||||||||||||
Revenues | $ | 20,870 | $ | 4,030 | $ | 24,900 | ||||||
Gross profit | $ | 8,402 | $ | 529 | $ | 8,931 | ||||||
Unallocated corporate expenses | (6,567 | ) | ||||||||||
Finance expenses, net | 323 | |||||||||||
Income before taxes on income | $ | 2,687 |
11
KAMADA LTD.
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
Note 4:- Operating Segments (cont.)
b. | Reporting on operating segments: |
Proprietary Products | Distribution | Total | ||||||||||
U.S Dollars in thousands | ||||||||||||
Audited | ||||||||||||
Year Ended December 31, 2021 | ||||||||||||
Revenues | $ | 75,521 | $ | 28,121 | $ | 103,642 | ||||||
Gross profit | $ | 27,327 | $ | 3,001 | $ | 30,328 | ||||||
Unallocated corporate expenses | (31,024 | ) | ||||||||||
Finance expenses, net | (1,189 | ) | ||||||||||
Income before taxes on income | $ | (1,885 | ) |
c. | Reporting on operating segments by geographic region: |
Three months period ended March 31, 2022 | ||||||||||||
Proprietary Products | Distribution | Total | ||||||||||
U.S Dollars in thousands | ||||||||||||
Unaudited | ||||||||||||
Geographical markets | ||||||||||||
U.S.A and North America | $ | 16,951 | $ | - | $ | 16,951 | ||||||
Israel | 1,627 | 5,082 | 6,709 | |||||||||
Europe | 1,052 | - | 1,052 | |||||||||
Latin America | 2,030 | - | 2,030 | |||||||||
Asia | 984 | - | 984 | |||||||||
Others | 367 | - | 367 | |||||||||
$ | 23,011 | $ | 5,082 | $ | 28,093 |
12
KAMADA LTD.
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
Note 4:-Operating Segments (cont.)
c. | Reporting on operating segments by geographic region: |
Three months period ended March 31, 2021 | ||||||||||||
Proprietary Products | Distribution | Total | ||||||||||
U.S Dollars in thousands | ||||||||||||
Unaudited | ||||||||||||
Geographical markets | ||||||||||||
U.S.A and North America. | $ | 13,883 | $ | - | $ | 13,883 | ||||||
Israel | 1,986 | 4,030 | 6,016 | |||||||||
Europe | 2,427 | - | 2,427 | |||||||||
Latin America | 2,175 | - | 2,175 | |||||||||
Asia | 380 | - | 380 | |||||||||
Others | 19 | - | 19 | |||||||||
$ | 20,870 | $ | 4,030 | $ | 24,900 |
Year ended December 31, 2021 | ||||||||||||
Proprietary Products | Distribution | Total | ||||||||||
U.S Dollars in thousands | ||||||||||||
Audited | ||||||||||||
Geographical markets | ||||||||||||
U.S.A and North America | $ | 49,763 | $ | - | $ | 49,763 | ||||||
Israel | 7,653 | 28,121 | 35,774 | |||||||||
Europe | 5,677 | - | 5,677 | |||||||||
Latin America | 9,127 | - | 9,127 | |||||||||
Asia | 3,167 | - | 3,167 | |||||||||
Others | 134 | - | 134 | |||||||||
$ | 75,521 | $ | 28,121 | $ | 103,642 |
13
KAMADA LTD.
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
Note 5:- Financial Instruments
a. | Classification of financial instruments by fair value hierarchy |
Financial assets (liabilities) measured at fair value
Level 1 | Level 2 | Level 3 | ||||||||||
U.S Dollars in thousands | ||||||||||||
March 31, 2022 | ||||||||||||
Derivatives instruments | $ | - | $ | (58 | ) | - | ||||||
Contingent consideration | - | - | $ | (22,551 | ) | |||||||
March 31, 2021 | ||||||||||||
Derivatives instruments | $ | - | $ | 66 | $ | - | ||||||
December 31, 2021 | ||||||||||||
Derivatives instruments | $ | - | $ | 73 | $ | - | ||||||
Contingent consideration | $ | - | $ | - | $ | (21,995 | ) |
During the three months ended on March 31, 2022 there were no transfers due to the fair value measurement of any financial instrument from Level 1 to Level 2, and furthermore, there were no transfers to or from Level 3 due to the fair value measurement of any financial instrument.
Note 6:- Subsequent events
In November 2018, the Company signed a collective bargaining agreement with the Histadrut and the Employees’ Committee, which expired on December 31, 2021. On April 26, 2022, during the Company’s negotiations with the Histadrut - General Federation of Labor in Israel (the “Histadrut”) and the Employees’ Committee of Kamada’s Beit Kama production facility in Israel (the “Employee’s Committee”), on the extension of a collective bargaining agreement, the Employee’s Committee elected to declare a labor strike in the Beit Kama plant. As the strike was initiated by the Employee's Committee, the Company cannot currently predict how long it will last.
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