Immunocore (IMCR) 6-K 10 Aug 23 Current report (foreign) Financial data

Document and Entity Information

Document and Entity Information	6 Months Ended
	Jun. 30, 2023
Cover [Abstract]
Document Type	6-K
Amendment Flag	false
Document Period End Date	Jun. 30, 2023
Current Fiscal Year End Date	--12-31
Entity Registrant Name	Immunocore Holdings plc
Entity Central Index Key	0001671927

Unaudited Condensed Consolidate

Unaudited Condensed Consolidated Statements of Loss and Comprehensive Loss - GBP (£)	3 Months Ended		6 Months Ended
	Jun. 30, 2023	Jun. 30, 2022	Jun. 30, 2023	Jun. 30, 2022
Unaudited Condensed Consolidated Statements of Loss and Comprehensive Loss [Abstract]
Product revenue, net	£ 45,514,000	£ 23,992,000	£ 87,566,000	£ 31,674,000
Pre-product revenue, net	0	3,708,000	0	6,537,000
Total revenue from sale of therapies	45,514,000	27,700,000	87,566,000	38,211,000
Collaboration revenue	2,250,000	4,302,000	4,739,000	16,265,000
Total revenue	47,764,000	32,002,000	92,305,000	54,476,000
Cost of product revenue	(886,000)	(34,000)	(1,064,000)	(282,000)
Research and development expenses	(28,767,000)	(20,150,000)	(57,216,000)	(38,731,000)
Selling and administrative expenses	(33,884,000)	(18,811,000)	(67,185,000)	(38,916,000)
Operating loss	(15,773,000)	(6,993,000)	(33,160,000)	(23,453,000)
Finance income	3,412,000	118,000	5,958,000	128,000
Finance costs	(1,565,000)	(1,397,000)	(3,185,000)	(2,730,000)
Net finance income / (costs)	1,847,000	(1,279,000)	2,773,000	(2,602,000)
Loss before taxation	(13,926,000)	(8,272,000)	(30,387,000)	(26,055,000)
Income tax (charge) / credit	(151,000)	2,151,000	(387,000)	3,806,000
Loss for the period	(14,077,000)	(6,121,000)	(30,774,000)	(22,249,000)
Other comprehensive income / (loss) that is or may be reclassified to profit or loss in subsequent periods:
Exchange differences on translation of foreign operations	1,054,000	(323,000)	1,434,000	(118,000)
Total other comprehensive income / (loss) for the period	1,054,000	(323,000)	1,434,000	(118,000)
Total comprehensive income / (loss) for the period	£ (13,023,000)	£ (6,444,000)	£ (29,340,000)	£ (22,367,000)
Basic loss per share (in pounds per share)	£ (0.29)	£ (0.14)	£ (0.64)	£ (0.51)
Diluted loss per share (in pounds per share)	£ (0.29)	£ (0.14)	£ (0.64)	£ (0.51)

Unaudited Condensed Consolida_2

Unaudited Condensed Consolidated Statements of Financial Position - GBP (£)	Jun. 30, 2023	Dec. 31, 2022
Non-current assets
Property, plant and equipment	£ 8,325,000	£ 6,472,000
Intangible assets	410,000	410,000
Right of use assets	24,233,000	25,173,000
Other non-current assets	7,895,000	7,342,000
Deferred tax asset	4,442,000	4,240,000
Total non-current assets	45,305,000	43,637,000
Current assets
Inventory	1,891,000	943,000
Trade and other receivables	48,458,000	46,711,000
Tax credits receivable	2,365,000	11,688,000
Cash and cash equivalents	342,341,000	332,539,000
Total current assets	395,055,000	391,881,000
Total assets	440,360,000	435,518,000
Equity
Share capital	98,000	97,000
Share premium	137,957,000	123,751,000
Foreign currency translation reserve	(1,663,000)	(3,097,000)
Other reserves	337,847,000	337,847,000
Share-based payment reserve	95,062,000	81,411,000
Accumulated deficit	(292,027,000)	(261,253,000)
Total equity	277,274,000	278,756,000
Non-current liabilities
Non-current accruals	1,646,000	1,479,000
Interest-bearing loans and borrowings	37,116,000	39,500,000
Deferred revenue	4,331,000	4,331,000
Lease liabilities	27,570,000	28,248,000
Provisions	136,000	114,000
Total non-current liabilities	70,799,000	73,672,000
Current liabilities
Trade and other payables	85,754,000	75,076,000
Corporation tax liability	803,000	0
Interest-bearing loans and borrowings	991,000	0
Deferred revenue	3,204,000	6,408,000
Lease liabilities	1,513,000	1,555,000
Provisions	22,000	51,000
Total current liabilities	92,287,000	83,090,000
Total liabilities	163,086,000	156,762,000
Total equity and liabilities	£ 440,360,000	£ 435,518,000

Unaudited Condensed Consolida_3

Unaudited Condensed Consolidated Statements of Changes in Equity - GBP (£) £ in Thousands	Total	Share Capital [Member]	Share Premium [Member]	Foreign Currency Translation Reserve [Member]	Share-based Payment Reserve [Member]	Other Reserve [Member]	Accumulated Deficit [Member]
Beginning balance at Dec. 31, 2021	£ 171,547	£ 88	£ 212,238	£ 89	£ 54,357	£ 386,167	£ (481,392)
Changes in equity
Loss for the period	(22,249)	0	0	0	0	0	(22,249)
Other comprehensive income (loss)	(118)	0	0	(118)	0	0	0
Total comprehensive income / (loss) for the period	(22,367)	0	0	(118)	0	0	(22,249)
Exercise of share options	1,384	0	1,384	0	0	0	0
Capital reduction in Group's parent company	0	0	(213,043)	0	0	(48,320)	261,363
Equity-settled share-based payment transactions	14,088	0	0	0	14,088	0	0
Ending balance at Jun. 30, 2022	164,652	88	579	(29)	68,445	337,847	(242,278)
Beginning balance at Dec. 31, 2022	278,756	97	123,751	(3,097)	81,411	337,847	(261,253)
Changes in equity
Loss for the period	(30,774)	0	0	0	0	0	(30,774)
Other comprehensive income (loss)	1,434	0	0	1,434	0	0	0
Total comprehensive income / (loss) for the period	(29,340)	0	0	1,434	0	0	(30,774)
Exercise of share options	14,207	1	14,206	0	0	0	0
Equity-settled share-based payment transactions	13,651	0	0	0	13,651	0	0
Ending balance at Jun. 30, 2023	£ 277,274	£ 98	£ 137,957	£ (1,663)	£ 95,062	£ 337,847	£ (292,027)

Unaudited Condensed Consolida_4

Unaudited Condensed Consolidated Statements of Cash Flows - GBP (£)	6 Months Ended
	Jun. 30, 2023	Jun. 30, 2022
Cash flows from operating activities
Loss for the period	£ (30,774,000)	£ (22,249,000)
Adjustments for:
Equity settled share-based payment expense	13,651,000	14,088,000
Depreciation	2,601,000	3,317,000
Net finance (income) / costs	(2,773,000)	2,602,000
Foreign exchange movements	9,106,000	(8,808,000)
Other	(187,000)	(131,000)
Income tax charge / (credit)	387,000	(3,806,000)
Working capital adjustments:
Increase in trade and other receivables and other non-current assets	(3,562,000)	(19,951,000)
Increase in trade and other payables	12,177,000	11,474,000
Decrease in current and non-current deferred revenue	(3,204,000)	(15,905,000)
Other working capital movements	(748,000)	(648,000)
Cash used in operations	(3,326,000)	(40,017,000)
R&D tax credits received	9,904,000	0
Taxation paid	(177,000)	0
Net cash from / (used in) operating activities	6,401,000	(40,017,000)
Cash flows from investing activities
Proceeds from sale of property, plant and equipment	0	5,000
Purchase of property, plant and equipment	(3,238,000)	(475,000)
Interest income receipts	5,550,000	128,000
Net cash flows from / (used in) investing activities	2,312,000	(342,000)
Cash flows from financing activities
Exercise of share options	14,207,000	1,384,000
Interest paid	(3,559,000)	(1,805,000)
Repayment of lease liabilities	(805,000)	(1,449,000)
Net cash flows from / (used in) financing activities	9,843,000	(1,870,000)
Increase / (decrease) in cash and cash equivalents	18,556,000	(42,229,000)
Net foreign exchange difference on cash held	(8,754,000)	12,407,000
Cash and cash equivalents at beginning of the period	332,539,000	237,886,000
Cash and cash equivalents at end of the period	£ 342,341,000	£ 208,064,000

Organization and nature of busi

Organization and nature of business	6 Months Ended
	Jun. 30, 2023
Organization and nature of business [Abstract]
Organization and nature of business	1. Organization and nature of business General information Immunocore Holdings plc (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 (collectively referred to as the “Group”). The Company’s American Depositary Shares (“ADSs”) began trading on the Nasdaq Global Select Market under the ticker symbol “IMCR” on February 5, 2021, following its initial public offering (“IPO”). The IPO and concurrent private placement generated net proceeds of £210,985,000 ($286,887,000) after underwriting discounts, commissions and directly attributable offering expenses. In July 2022, the Company raised £116,812,000 ($140,000,000) before deductions for offering exp enses of £388,000 through the sale of its ordinary shares in the form of ADSs and non-voting ordinary shares in a private placement The principal activity of the Group is pioneering the development and sale of a novel class of TCR bispecific immunotherapies called ImmTAX – I m m T A X In 2022, the Group received approval for its lead product, KIMMTRAK, for the treatment of unresectable metastatic uveal melanoma from the U.S. Food and Drug Administration, the European Commission, and other health authorities. KIMMTRAK is now approved in over 35 countries and the Group has commercially launched in the United States, Germany and France, among other territories, with further commercial launches underway in additional territories where it has received approval. The Group expects to obtain regulatory approval for KIMMTRAK in further territories in 2023.

Significant accounting policies

Significant accounting policies	6 Months Ended
	Jun. 30, 2023
Significant accounting policies [Abstract]
Significant accounting policies	2. Significant accounting policies Basis of preparation and statement of compliance The unaudited condensed consolidated interim financial statements as at and for the three and six months ended June 30, 2023 and 2022 have been prepared in accordance with International Accounting Standard 34, Interim Financial Reporting (“IAS 34”). The The unaudited condensed consolidated interim financial statements 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 Group for the year ended December 31, 2022 included in the Company’s Annual Report on Form 20-F, filed with the Securities and Exchange Commission on March 1, 2023 (the “Annual Report”). The unaudited condensed consolidated interim financial statements have been prepared under the historical cost basis, as modified by the recognition of certain financial instruments measured at fair value and are presented in pounds sterling which is the Company’s functional currency. All values are rounded to the nearest thousand, except where otherwise indicated. Date of authorization These unaudited condensed consolidated interim financial statements were prepared at the request of the Company’s Board of Directors (the “Board”) and were approved by the Board on August 10, 2023, and signed on its behalf by Dr. Bahija Jallal, Chief Executive Officer of the Group. Adoption of new accounting standards There have been no new accounting standards adopted by the Group in the three and six months ended June 30, 2023 which have had a material impact on these unaudited condensed consolidated interim financial statements. There are no standards issued but not yet effective that the Group expects to have a material impact on its financial statements. Going concern The Group reported cash and cash equivalents of £342,341,000 and net current assets of £302,768,000 as at June 30, 2023, with an operating loss for the three and six months ended June 30, 2023 of £15,773,000 and £33,160,000 respectively, and net cash from operating activities for the six months ended June 30, 2023 of £6,401,000. The positive operational cash inflow was largely due to R&D tax credits received, and generated net product revenue of £45,514,000 and £87,566,000 for the three and six months ended June 30, 2023, respectively. In assessing the going concern assumptions, the Board has undertaken an assessment of the current business and strategy forecasts covering a twelve month period, which includes anticipated KIMMTRAK revenue. In assessing the downside risks, the Board has also considered scenarios incorporating a range of revenue arising from KIMMTRAK sales. As part of considering the downside risks, the Board has considered the impact of the current macroeconomic environment, such as the effects of pandemics or epidemics and other potential economic impacts including the war in Ukraine and related geopolitical tensions, as well as global inflation, liquidity concerns at banks and financial institutions, capital market instability, interest and exchange rate fluctuations, and increases in commodity, energy and fuel prices as well as supply chain disruptions. The Board has concluded that while these may have a future impact on the Group’s business and implementation of its strategy and plans, it anticipates that any such impact will be minimal on clinical trials or other business activities over the period assessed for going concern purposes. As of the date of these financial statements, the Group is not aware of any specific event or circumstance that would require the Group to update its estimates, assumptions and judgments or revise the carrying value of its assets or liabilities. Actual results could differ from these estimates, and any such differences may be material to the Group’s financial statements. Given the current cash position and the assessment performed, the Board believes that the Group will have sufficient funds to continue to meet its liabilities as they fall due for a period of at least twelve months from the date of issue of these unaudited condensed consolidated interim financial statements and therefore, the Group has prepared the financial statements on a going concern basis. This scenario is based on the Group’s lower range of anticipated revenue levels. As the Group continues to incur significant expenses in the pursuit of its business strategy, including further commercialization and marketing plans for KIMMTRAK, additional funding will be needed before further existing clinical and preclinical programs may be expected to reach commercialization, which would potentially lead to additional operational cash inflows. Until the Group can generate revenue from product sales sufficient to fund its ongoing operations and further develop its pipeline, if ever, it expects to finance its operations through a combination of public or private equity offerings and debt financings or other sources, such as potential collaboration agreements, strategic alliances and licensing arrangements. Estimates and judgments The preparation of the unaudited condensed consolidated interim financial statements in conformity with IAS 34 requires management to make judgments, estimates and assumptions. These judgments, estimates and assumptions affect the reported assets and liabilities as well as contingent liabilities and income and expenses in the financial period. The estimates and associated assumptions are based on information available when the unaudited condensed consolidated interim 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 Group’s control. Hence, estimates may vary from the actual values. The estimates and underlying assumptions are reviewed on an ongoing basis. Revisions to accounting estimates are recognized in the period in which the estimate is revised if the revision affects only that period or the period of revision and future periods if this revision affects both current and future periods. Judgments and estimates made, including Critical accounting estimates, together with the Group’s significant accounting policies, are disclosed in the consolidated financial statements of the Group for the year ended December 31, 2022, and are presented in the Group’s Annual Report. There have been no significant updates to the Group’s estimates and accounting policies for the three and six months ended June 30, 2023. Fair value disclosures For financial assets and liabilities not measured at fair value in the unaudited condensed consolidated statement of financial position, the carrying amount is a reasonable approximation of fair value, with the exception of the Group’s loan, the fair value of which does not materially differ to its carrying value at June 30, 2023 and December 31, 2022. Segmental reporting The Group operates in one operating segment. The Group’s chief operating decision maker (the “CODM”), its Chief Executive Officer, manages the Group’s operations on an integrated basis for the purposes of allocating resources .

Revenue

Revenue	6 Months Ended
	Jun. 30, 2023
Revenue [Abstract]
Revenue	3. Revenue Revenue is presented by type, and net of deductions in the table below. The Group’s accounting policies for revenue and such deductions are disclosed in the consolidated financial statements of the Group for the year ended December 31, 2022 . For the three months ended June 30, For the six months ended June 30, 2023 £’000 2022 £’000 2023 £’000 2022 £’000 Product revenue, net 45,514 23,992 87,566 31,674 Pre-product revenue, net — 3,708 — 6,537 Total revenue from sale of therapies 45,514 27,700 87,566 38,211 Collaboration revenue Eli Lilly — — — 7,361 Genentech 2,250 4,302 4,739 8,904 Total collaboration revenue 2,250 4,302 4,739 16,265 Total revenue 47,764 32,002 92,305 54,476 Eli Lilly and Genentech are based in the United States. Ne For the three months ended June 30, For the six months ended June 30, 2023 £’000 2022 £’000 2023 £’000 2022 £’000 United States 32,812 18,137 62,345 25,819 Europe 12,189 9,560 24,517 12,389 Rest of World 513 3 704 3 Total revenue from sale of therapies 45,514 27,700 87,566 38,211 Product revenue, net During the three and six months ended June 30, 2023, the Group recognized £45,514,000 and £87,566,000 of net product revenue, respectively, relating to the sale of KIMMTRAK primarily in the United States and Europe following marketing approvals in the first half of 2022. Revenue is presented after estimated deductions for rebates, chargebacks, other customer fees and returns. Pre-product revenue, net There was no pre-product revenue during the three and six months ended June 30, 2023, following the transition to the commercial sale of KIMMTRAK in France in the second half of 2022. In the three and six months ended June 30, 2022, the Group recognized £3,708,000 and £6,537,000 of net pre-product revenue, respectively, relating to the sale of tebentafusp under a compassionate use and early access program in France after estimated deductions for rebates and returns. Genentech Collaboration During the three and six months ended June 30, 2023, the Group recognized £2,250,000 and £4,739,000 of revenue, respectively, relating to the 2018 Genentech agreement and IMC-C103C (for the three and six months ended June 30, 2022: £4,302,000 and £8,904,000). In February 2023, Genentech accepted the Group’s proposal to cease co-funding the development of MAGE-A4 HLA-A02 targeted programs, except for the Group’s equal share of the wind-down costs of the IMC-C103C Phase 1 clinical trial. Eli Lilly Collaboration During the three and six months ended June 30, 2023, the Group recognized no revenue relating to the Eli Lilly collaboration nil The Group released the remaining deferred revenue attributed to the third target under the collaboration after the parties agreed to terminate the agreement during the three months ended March 31, 2022. No further revenue under the collaboration is expected. Deferred revenue Of the total revenue recognized during the three and six months ended June 30, 2023, £1,602,000 and £3,204,000, respectively, was included in deferred revenue at January 1, 2023. No revenue was recognized in the three and six months ended June 30, 2023 relating to performance obligations satisfied in previous years (for the three and six months ended June 30, 2022: £ nil Non-current deferred revenue in the unaudited condensed consolidated interim statement of financial position as at June 30, 2023 and December 31, 2022, respectively, relates to the Group’s non-refundable payment of £4,331,000 received from Medison Pharma Ltd (“Medison”) in the year ended December 31, 2022. The Group expects to recognize revenue for this combined performance obligation of supplying KIMMTRAK and granting Medison the exclusive right to distribute KIMMTRAK in South America with the sale of products following regulatory approval in South America. The Group estimates that Product revenue recognition of this Non-current deferred revenue will commence later than June 30 , 2024 .

Selling and Administrative Expe

Selling and Administrative Expenses	6 Months Ended
	Jun. 30, 2023
Selling and administrative expenses [Abstract]
Selling and administrative expenses	4. Selling and administrative expenses There were £4,653,000 and £9,406,000 of foreign exchange losses, which the Group classifies within Selling and administrative expenses, for the three and six months ended June 30, 2023 respectively, compared to gains of £6,778,000 and £9,159,000 in the three and six months ended June 30, 2022 respectively. These gains and losses arise on a number of foreign currency items, including the translation of monetary foreign currency balances in the Group’s main operating subsidiary in the United Kingdom.

Finance income

Finance income	6 Months Ended
	Jun. 30, 2023
Finance income [Abstract]
Finance income	5. Finance income Finance income increased in the t hree and six months ended June 30, 2023 due to higher interest rates and higher levels of cash and cash equivalents held by the Group in the three and six months ended June 30, 2022 compared to the three and six months ended June 30, 2023.

Income tax

Income tax	6 Months Ended
	Jun. 30, 2023
Income tax [Abstract]
Income tax	6. Income tax Income tax (charge) / credit is recognized at an amount determined by multiplying the loss before taxation for the interim reporting period by the Group’s best estimate of the weighted-average annual income tax rate expected for the full financial year, adjusted for the tax effect of certain items recognized in full in the interim period. As such, the effective tax rate in the interim financial statements may differ from the Group’s estimate of the effective tax rate for the annual financial statements. The Group’s consolidated estimated effective tax rate for the six months ended June 30, 2023 was 1.3% (tax credit rate for the six months ended June 30, 2022: 14.6%). During the six months ended June 30, 2023, the Company recorded a tax charge of £387,000 (tax credit for the six months ended June 30, 2022: £3,806,000). Historically, the Group satisfied the definition of a Small and Medium-sized Enterprise (“SME”) and was able to surrender some of its U.K. tax losses for a cash rebate of up to 33.35% of expenditures related to eligible research and development projects. The Group exceeded the size limit thresholds and no longer qualifies for tax relief under the U.K. SME research and development regime in 2023. The Group will continue to benefit from the U.K. large company, Research & Development Expenditure Credit (“RDEC”) regime which can generate a cash rebate of up to 10.53% of qualifying research and development expenditures incurred prior to 1 April 2023 and 15% for expenditure incurred after this date. The Group records tax credits receivable under the SME research and development tax credit regime within Income tax (charge) / credit. Tax credits receivable under the large company RDEC regime are recorded ‘above the line’ as a reduction from research and development expenses. A deferred tax asset of £4,442,000 has been recognized as of June 30, 2023 (December 31, 2022: £4,240,000) primarily representing unused tax credits and relevant research and development expenditure (which is capitalized for U.S. Federal Income Tax purposes but not for accounting purposes under IFRS) carried forward for one of the Group’s U.S. subsidiaries, Immunocore LLC, following an annual assessment, or periodically as required, of all available and applicable information, including its forecasts of costs and future profitability and the resulting ability to reverse the recognized deferred tax assets over a short period of time. During the six months ended June 30, 2023 the Group received U.K. tax credits of £9,904,000 relating to research and development expenditure in the year ended December 31, 2021 (for the six months ended June 30, 2022 no tax credits were received).

Basic and diluted loss per shar

Basic and diluted loss per share	6 Months Ended
	Jun. 30, 2023
Basic and diluted loss per share [Abstract]
Basic and diluted loss per share	7. Basic and diluted loss per share For the three months ended June 30, For the six months ended June 30, 2023 2022 2023 2022 Loss for the period (£’000s) (14,077 ) (6,121 ) (30,774 ) (22,249 ) Basic and diluted weighted average number of shares 48,694,047 43,935,837 48,440,318 43,901,011 Basic and diluted loss per share (£) (0.29 ) (0.14 ) (0.64 ) (0.51 ) B asic and diluted loss per share is calculated by dividing the loss for the period attributable to the equity holders of the Group by the weighted average number of ordinary shares outstanding during the period, including ordinary shares represented by ADSs. Outstanding share options are considered to be anti-dilutive as they would decrease the loss per share and are, therefore, excluded from the calculation of diluted loss per shar

Property, plant and equipment

Property, plant and equipment	6 Months Ended
	Jun. 30, 2023
Property, plant and equipment [Abstract]
Property, plant and equipment	8. Property, plant and equipment During the three and six months ended June 30, 2023, the Group acquired assets at a cost

Trade and other receivables

Trade and other receivables	6 Months Ended
	Jun. 30, 2023
Trade and other receivables [Abstract]
Trade and other receivables	9. Trade and other receivables June 30, 2023 £’000 December 31, 2022 £’000 Trade receivables 32,273 27,736 Other receivables 5,525 7,682 Prepayments and accrued income 10,660 11,293 48,458 46,711 Included within prepayments and accrued income are amounts paid in advance for clinical trials that are expected to be received in services or repaid within twelve months.

Share capital

Share capital	6 Months Ended
	Jun. 30, 2023
Share capital [Abstract]
Share capital	10. Share capital Issued share capital Ordinary Deferred (0.2p per share, except deferred shares which are 0.01p per share) shares shares At January 1, 2023 48,088,346 5,793,501 Exercise of share options 853,003 — At June 30 2023 48,941,349 5,793,501

Share-based payments

Share-based payments	6 Months Ended
	Jun. 30, 2023
Share-based payments [Abstract]
Share-based payments	11. Share-based payments During the three and six months ended June 30, 2023 the total charge for share-based payments was £6,990,000 The Group granted 48,980 and 180,621 options to purchase ordinary shares under the Group’s 2021 Equity Incentive Plan in the three months ended June 30, 2023 and 2022 respectively, and 742,105 and 1,363,653 options in the six months ended June 30, 2023 and 2022, respectively. The weighted average exercise price and weighted average fair value of options granted is set out below. The options in both periods were valued using the Black-Scholes model, with the majority vesting over a four-year period from the date of grant, and with 25% of the award vesting at the end of the first year and the remaining award vesting quarterly over the following three years. Of the options granted in the three months ended June 30, 2023, 43,380 options were awarded to the Company’s non-executive directors, which vest after one year from the date of grant. For the three months ended June 30, For the six months ended June 30, 2023 2022 2023 2022 $ $ $ $ Weighted average exercise price 57.51 28.86 63.94 25.47 Weighted average fair value 35.14 17.91 39.52 15.62 During the three and months ended June 30, 2023, 561,940 and 853,003 options with a weighted average exercise price of $20.48 and $20.64, were exercised, respectively.

Trade and other payables

Trade and other payables	6 Months Ended
	Jun. 30, 2023
Trade and other payables [Abstract]
Trade and other payables	12. Trade and other payables June 30, 2023 £’000 December 31, 2022 £’000 Trade payables 13,992 11,716 Other taxation and social security 1,066 927 Pension liability 395 34 Accruals 70,301 62,399 85,754 75,076 Accr uals as at June 30, 2023 include estimates for rebates, chargebacks, other customer fees and returns of £39,434,000 in respect of Product revenue from the sale of KIMMTRAK and Pre-product revenue from the sale of tebentafusp, compared to £24,066,000 as at December 31, 2022. Combined with the Non-current accruals in the unaudited condensed consolidated interim statement of financial position, our total accruals for such deductions from revenue were £41,080,000 as at June 30, 2023, and £25,545,000 as at December 31, 2022

Events after the reporting peri

Events after the reporting period	6 Months Ended
	Jun. 30, 2023
Events after the reporting period [Abstract]
Events after the reporting period	13. Events after the reporting period In early August, the Group negotiated KIMMTRAK pricing with authorities in Germany. This price is expected to be published in September 2023 and is not materially higher than the Group’s estimate.

Significant accounting polici_2

Significant accounting policies (Policies)	6 Months Ended
	Jun. 30, 2023
Significant accounting policies [Abstract]
Basis of preparation and statement of compliance	Basis of preparation and statement of compliance The unaudited condensed consolidated interim financial statements as at and for the three and six months ended June 30, 2023 and 2022 have been prepared in accordance with International Accounting Standard 34, Interim Financial Reporting (“IAS 34”). The The unaudited condensed consolidated interim financial statements 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 Group for the year ended December 31, 2022 included in the Company’s Annual Report on Form 20-F, filed with the Securities and Exchange Commission on March 1, 2023 (the “Annual Report”). The unaudited condensed consolidated interim financial statements have been prepared under the historical cost basis, as modified by the recognition of certain financial instruments measured at fair value and are presented in pounds sterling which is the Company’s functional currency. All values are rounded to the nearest thousand, except where otherwise indicated.
Date of authorization	Date of authorization These unaudited condensed consolidated interim financial statements were prepared at the request of the Company’s Board of Directors (the “Board”) and were approved by the Board on August 10, 2023, and signed on its behalf by Dr. Bahija Jallal, Chief Executive Officer of the Group.
Adoption of new accounting standards	Adoption of new accounting standards There have been no new accounting standards adopted by the Group in the three and six months ended June 30, 2023 which have had a material impact on these unaudited condensed consolidated interim financial statements. There are no standards issued but not yet effective that the Group expects to have a material impact on its financial statements.
Going concern	Going concern The Group reported cash and cash equivalents of £342,341,000 and net current assets of £302,768,000 as at June 30, 2023, with an operating loss for the three and six months ended June 30, 2023 of £15,773,000 and £33,160,000 respectively, and net cash from operating activities for the six months ended June 30, 2023 of £6,401,000. The positive operational cash inflow was largely due to R&D tax credits received, and generated net product revenue of £45,514,000 and £87,566,000 for the three and six months ended June 30, 2023, respectively. In assessing the going concern assumptions, the Board has undertaken an assessment of the current business and strategy forecasts covering a twelve month period, which includes anticipated KIMMTRAK revenue. In assessing the downside risks, the Board has also considered scenarios incorporating a range of revenue arising from KIMMTRAK sales. As part of considering the downside risks, the Board has considered the impact of the current macroeconomic environment, such as the effects of pandemics or epidemics and other potential economic impacts including the war in Ukraine and related geopolitical tensions, as well as global inflation, liquidity concerns at banks and financial institutions, capital market instability, interest and exchange rate fluctuations, and increases in commodity, energy and fuel prices as well as supply chain disruptions. The Board has concluded that while these may have a future impact on the Group’s business and implementation of its strategy and plans, it anticipates that any such impact will be minimal on clinical trials or other business activities over the period assessed for going concern purposes. As of the date of these financial statements, the Group is not aware of any specific event or circumstance that would require the Group to update its estimates, assumptions and judgments or revise the carrying value of its assets or liabilities. Actual results could differ from these estimates, and any such differences may be material to the Group’s financial statements. Given the current cash position and the assessment performed, the Board believes that the Group will have sufficient funds to continue to meet its liabilities as they fall due for a period of at least twelve months from the date of issue of these unaudited condensed consolidated interim financial statements and therefore, the Group has prepared the financial statements on a going concern basis. This scenario is based on the Group’s lower range of anticipated revenue levels. As the Group continues to incur significant expenses in the pursuit of its business strategy, including further commercialization and marketing plans for KIMMTRAK, additional funding will be needed before further existing clinical and preclinical programs may be expected to reach commercialization, which would potentially lead to additional operational cash inflows. Until the Group can generate revenue from product sales sufficient to fund its ongoing operations and further develop its pipeline, if ever, it expects to finance its operations through a combination of public or private equity offerings and debt financings or other sources, such as potential collaboration agreements, strategic alliances and licensing arrangements.
Estimates and judgments	Estimates and judgments The preparation of the unaudited condensed consolidated interim financial statements in conformity with IAS 34 requires management to make judgments, estimates and assumptions. These judgments, estimates and assumptions affect the reported assets and liabilities as well as contingent liabilities and income and expenses in the financial period. The estimates and associated assumptions are based on information available when the unaudited condensed consolidated interim 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 Group’s control. Hence, estimates may vary from the actual values. The estimates and underlying assumptions are reviewed on an ongoing basis. Revisions to accounting estimates are recognized in the period in which the estimate is revised if the revision affects only that period or the period of revision and future periods if this revision affects both current and future periods. Judgments and estimates made, including Critical accounting estimates, together with the Group’s significant accounting policies, are disclosed in the consolidated financial statements of the Group for the year ended December 31, 2022, and are presented in the Group’s Annual Report. There have been no significant updates to the Group’s estimates and accounting policies for the three and six months ended June 30, 2023.
Fair value disclosures	Fair value disclosures For financial assets and liabilities not measured at fair value in the unaudited condensed consolidated statement of financial position, the carrying amount is a reasonable approximation of fair value, with the exception of the Group’s loan, the fair value of which does not materially differ to its carrying value at June 30, 2023 and December 31, 2022.
Segmental reporting	Segmental reporting The Group operates in one operating segment. The Group’s chief operating decision maker (the “CODM”), its Chief Executive Officer, manages the Group’s operations on an integrated basis for the purposes of allocating resources .

Revenue (Tables)

Revenue (Tables)	6 Months Ended
	Jun. 30, 2023
Revenue [Abstract]
Revenue recognized	Revenue is presented by type, and net of deductions in the table below. The Group’s accounting policies for revenue and such deductions are disclosed in the consolidated financial statements of the Group for the year ended December 31, 2022 . For the three months ended June 30, For the six months ended June 30, 2023 £’000 2022 £’000 2023 £’000 2022 £’000 Product revenue, net 45,514 23,992 87,566 31,674 Pre-product revenue, net — 3,708 — 6,537 Total revenue from sale of therapies 45,514 27,700 87,566 38,211 Collaboration revenue Eli Lilly — — — 7,361 Genentech 2,250 4,302 4,739 8,904 Total collaboration revenue 2,250 4,302 4,739 16,265 Total revenue 47,764 32,002 92,305 54,476 Eli Lilly and Genentech are based in the United States. Ne For the three months ended June 30, For the six months ended June 30, 2023 £’000 2022 £’000 2023 £’000 2022 £’000 United States 32,812 18,137 62,345 25,819 Europe 12,189 9,560 24,517 12,389 Rest of World 513 3 704 3 Total revenue from sale of therapies 45,514 27,700 87,566 38,211

Basic and diluted loss per sh_2

Basic and diluted loss per share (Tables)	6 Months Ended
	Jun. 30, 2023
Basic and diluted loss per share [Abstract]
Basic and diluted loss per share	For the three months ended June 30, For the six months ended June 30, 2023 2022 2023 2022 Loss for the period (£’000s) (14,077 ) (6,121 ) (30,774 ) (22,249 ) Basic and diluted weighted average number of shares 48,694,047 43,935,837 48,440,318 43,901,011 Basic and diluted loss per share (£) (0.29 ) (0.14 ) (0.64 ) (0.51 )

Trade and other receivables (Ta

Trade and other receivables (Tables)	6 Months Ended
	Jun. 30, 2023
Trade and other receivables [Abstract]
Trade and other receivables	June 30, 2023 £’000 December 31, 2022 £’000 Trade receivables 32,273 27,736 Other receivables 5,525 7,682 Prepayments and accrued income 10,660 11,293 48,458 46,711

Share capital (Tables)

Share capital (Tables)	6 Months Ended
	Jun. 30, 2023
Share capital [Abstract]
Issued share capital	Issued share capital Ordinary Deferred (0.2p per share, except deferred shares which are 0.01p per share) shares shares At January 1, 2023 48,088,346 5,793,501 Exercise of share options 853,003 — At June 30 2023 48,941,349 5,793,501

Share-based payments (Tables)

Share-based payments (Tables)	6 Months Ended
	Jun. 30, 2023
Share-based payments [Abstract]
Weighted average fair value and exercise prices of options granted	For the three months ended June 30, For the six months ended June 30, 2023 2022 2023 2022 $ $ $ $ Weighted average exercise price 57.51 28.86 63.94 25.47 Weighted average fair value 35.14 17.91 39.52 15.62

Trade and other payables (Table

Trade and other payables (Tables)	6 Months Ended
	Jun. 30, 2023
Trade and other payables [Abstract]
Trade and other payables	June 30, 2023 £’000 December 31, 2022 £’000 Trade payables 13,992 11,716 Other taxation and social security 1,066 927 Pension liability 395 34 Accruals 70,301 62,399 85,754 75,076

Organization and nature of bu_2

Organization and nature of business (Details)			1 Months Ended		6 Months Ended
	Feb. 05, 2021 GBP (£)	Feb. 05, 2021 USD ($)	Jul. 31, 2022 GBP (£)	Jul. 31, 2022 USD ($)	Jun. 30, 2023 ClinicalStageProgram
General information [Abstract]
Number of clinical stage programs | ClinicalStageProgram					4
Ordinary shares [member]
General information [Abstract]
Proceeds from shares issued			£ 116,812,000	$ 140,000,000
Offering expenses | £			£ 388,000
IPO [Member]
General information [Abstract]
Proceeds from shares issued	£ 210,985,000	$ 286,887,000

Significant accounting polici_3

Significant accounting policies, Going concern (Details) - GBP (£)	3 Months Ended		6 Months Ended
	Jun. 30, 2023	Jun. 30, 2022	Jun. 30, 2023	Jun. 30, 2022	Dec. 31, 2022	Dec. 31, 2021
Going concern [Abstract]
Cash and cash equivalents	£ 342,341,000	£ 208,064,000	£ 342,341,000	£ 208,064,000	£ 332,539,000	£ 237,886,000
Net current assets	302,768,000		302,768,000
Operating loss	(15,773,000)	(6,993,000)	(33,160,000)	(23,453,000)
Net cash used in operating activities			6,401,000	(40,017,000)
Net product revenue	£ 45,514,000	£ 27,700,000	£ 87,566,000	£ 38,211,000

Significant accounting polici_4

Significant accounting policies, Segmental reporting (Details)	6 Months Ended
	Jun. 30, 2023 Segment
Segment reporting [Abstract]
Number of operating segment	1

Revenue, Revenue recognised (De

Revenue, Revenue recognised (Details) - GBP (£)	3 Months Ended		6 Months Ended
	Jun. 30, 2023	Jun. 30, 2022	Jun. 30, 2023	Jun. 30, 2022
Revenue recognitions [Abstract]
Product revenue, net	£ 45,514,000	£ 23,992,000	£ 87,566,000	£ 31,674,000
Pre-product revenue, net	0	3,708,000	0	6,537,000
Total revenue from sale of therapies	45,514,000	27,700,000	87,566,000	38,211,000
Collaboration revenue	2,250,000	4,302,000	4,739,000	16,265,000
Total revenue	47,764,000	32,002,000	92,305,000	54,476,000
United States [Member]
Revenue recognitions [Abstract]
Total revenue from sale of therapies	32,812,000	18,137,000	62,345,000	25,819,000
Europe [Member]
Revenue recognitions [Abstract]
Total revenue from sale of therapies	12,189,000	9,560,000	24,517,000	12,389,000
Rest of World [Member]
Revenue recognitions [Abstract]
Total revenue from sale of therapies	513,000	3,000	704,000	3,000
Eli Lilly [Member]
Revenue recognitions [Abstract]
Collaboration revenue	0	0	0	7,361,000
Genentech [Member]
Revenue recognitions [Abstract]
Collaboration revenue	£ 2,250,000	£ 4,302,000	£ 4,739,000	£ 8,904,000

Revenue, Collaboration (Details

Revenue, Collaboration (Details)	3 Months Ended
	Mar. 31, 2022 GBP (£)
Eli Lilly [Member]
Collaboration [Abstract]
Revenue recognized	£ 0

Revenue, Deferred revenue (Deta

Revenue, Deferred revenue (Details) - GBP (£)	3 Months Ended		6 Months Ended
	Jun. 30, 2023	Jun. 30, 2022	Jun. 30, 2023	Jun. 30, 2022	Dec. 31, 2022
Deferred revenue [Abstract]
Revenue recognized	£ 1,602,000		£ 3,204,000
Revenue recognised related to performance obligations	0	£ 0	0	£ 0
Aggregate non-refundable fee payment	£ 4,331,000		£ 4,331,000		£ 4,331,000

Selling and Administrative Ex_2

Selling and Administrative Expenses (Details) - Selling and Administrative Expense [Member] - GBP (£)	3 Months Ended		6 Months Ended
	Jun. 30, 2023	Jun. 30, 2022	Jun. 30, 2023	Jun. 30, 2022
Foreign exchange gain (loss) [abstract]
Foreign exchange gain		£ 6,778,000		£ 9,159,000
Foreign exchange losses	£ 4,653,000		£ 9,406,000

Income tax (Details)

Income tax (Details) - GBP (£)	3 Months Ended			6 Months Ended		12 Months Ended
	Jun. 30, 2023	Mar. 31, 2023	Jun. 30, 2022	Jun. 30, 2023	Jun. 30, 2022	Dec. 31, 2021	Dec. 31, 2022
Tax rate [Abstract]
Effective tax credit rate				1.30%	14.60%
Income tax charge (credit)	£ 151,000		£ (2,151,000)	£ 387,000	£ (3,806,000)
Percentage of cash rebate on tax losses	15%	10.53%		33.35%
Deferred tax asset	£ 4,442,000			£ 4,442,000			£ 4,240,000
Unused tax credits [Member]
Tax rate [Abstract]
Deferred tax asset	£ 4,442,000			£ 4,442,000			£ 4,240,000
UK [Member]
Tax rate [Abstract]
R&D tax credit received					£ 0	£ 9,904,000

Basic and diluted loss per sh_3

Basic and diluted loss per share (Details) - GBP (£) £ / shares in Units, £ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2023	Jun. 30, 2022	Jun. 30, 2023	Jun. 30, 2022
Basic and diluted profit/ (loss) [Abstract]
Loss for the period	£ (14,077)	£ (6,121)	£ (30,774)	£ (22,249)
Basic weighted average number of shares (in shares)	48,694,047	43,935,837	48,440,318	43,901,011
Diluted weighted average number of shares (in shares)	48,694,047	43,935,837	48,440,318	43,901,011
Basic loss per share (in pounds per share)	£ (0.29)	£ (0.14)	£ (0.64)	£ (0.51)
Diluted loss per share (in pounds per share)	£ (0.29)	£ (0.14)	£ (0.64)	£ (0.51)

Property, plant and equipment (

Property, plant and equipment (Details) - GBP (£) £ in Thousands	3 Months Ended	6 Months Ended
	Jun. 30, 2023	Jun. 30, 2023
Property, plant and equipment [Abstract]
Asset acquisition at cost	£ 768	£ 3,238

Trade and other receivables (De

Trade and other receivables (Details) - GBP (£) £ in Thousands	Jun. 30, 2023	Dec. 31, 2022
Trade and other receivables [Abstract]
Trade receivables	£ 32,273	£ 27,736
Other receivables	5,525	7,682
Prepayments and accrued income	10,660	11,293
Total trade and other receivables	£ 48,458	£ 46,711

Share capital (Details)

Share capital (Details)	6 Months Ended
	Jun. 30, 2023 shares
Ordinary Shares [Member]
Issued and Fully Paid Share Capital [Abstract]
Number of shares outstanding at beginning of period (in shares)	48,088,346
Exercise of share options (in shares)	853,003
Number of shares outstanding at end of period (in shares)	48,941,349
Deferred Shares [Member]
Issued and Fully Paid Share Capital [Abstract]
Number of shares outstanding at beginning of period (in shares)	5,793,501
Exercise of share options (in shares)	0
Number of shares outstanding at end of period (in shares)	5,793,501

Share-based payments (Details)

Share-based payments (Details) £ in Thousands	3 Months Ended				6 Months Ended
	Jun. 30, 2023 GBP (£) shares	Jun. 30, 2023 shares $ / shares	Jun. 30, 2022 GBP (£) shares	Jun. 30, 2022 shares $ / shares	Jun. 30, 2023 GBP (£) shares	Jun. 30, 2023 shares $ / shares	Jun. 30, 2022 GBP (£) shares	Jun. 30, 2022 shares $ / shares
Share-based payments awards [Abstract]
Share-based payments | £	£ 6,990		£ 6,675		£ 13,651		£ 14,088
Awards granted, number of share options (in shares)	48,980		180,621		742,105		1,363,653
Share-based compensation arrangement by award vesting period					4 years
Share-based compensation arrangement by award vesting percentage					0.25
Vesting period					3 years
Weighted average fair value and exercise prices of options granted [Abstract]
Weighted average exercise price (in dollars per share) | $ / shares		$ 57.51		$ 28.86		$ 63.94		$ 25.47
Weighted average fair value (in dollars per share) | $ / shares		35.14		$ 17.91		39.52		$ 15.62
Options exercised during the period (in shares)	561,940				853,003
Weighted average exercise price (in dollars per share) | $ / shares		$ 20.48				$ 20.64
Number of share options outstanding (in shares)	9,739,383	9,739,383	10,174,957	10,174,957	9,739,383	9,739,383	10,174,957	10,174,957
Number of share options exercisable (in shares)	5,474,272	5,474,272	4,358,536	4,358,536	5,474,272	5,474,272	4,358,536	4,358,536
Non-Executive Directors [Member]
Share-based payments awards [Abstract]
Awards granted, number of share options (in shares)	43,380
Share-based compensation arrangement by award vesting period					1 year

Trade and other payables (Detai

Trade and other payables (Details) - GBP (£) £ in Thousands	6 Months Ended	12 Months Ended
	Jun. 30, 2023	Dec. 31, 2022
Trade and other payables [Abstract]
Trade payables	£ 13,992	£ 11,716
Other taxation and social security	1,066	927
Pension liability	395	34
Accruals	70,301	62,399
Trade and other payables	85,754	75,076
Accruals in respect of product revenue and pre-product revenue	39,434	24,066
Total accruals, deductions from revenue	£ 41,080	£ 25,545