BeOne Medicines Ltd 10-Q for FY2026 Q1

BeOne Medicines Ltd. (ONC)

10-Q 2026-05-06 For: 2026-03-31

Added on May 06, 2026

About this 10-Q

BeOne Medicines Ltd filed this 10-Q on May 6, 2026, covering the quarter ended March 31, 2026 (FY2026 Q1).

Headline figures

Quarter ended March 31, 2026, as reported in this filing, compared with the same period a year earlier where the filing states it.

Revenue: $1.51B; up 35.5% from $1.12B a year earlier
Net income: $227.36M; up 17802.1% from net income of $1.27M a year earlier
Diluted EPS: $0.15; compared with $0.00 a year earlier

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Switzerland			98-1209416
(State or other jurisdiction of incorporation or organization)			(I.R.S. Employer Identification No.)

c/o BeOne Medicines I GmbH
Aeschengraben 27
Basel, Switzerland			4051
(Address of principal executive offices)			(Zip Code)


		Page

PART I.	FINANCIAL INFORMATION	3

Item 1.	Financial Statements	3

Item 2.	Management’s Discussion and Analysis of Financial Condition and Results of Operations	26

Item 3.	Quantitative and Qualitative Disclosures about Market Risk	39

Item 4.	Controls and Procedures	40

PART II.	OTHER INFORMATION	41

Item 1.	Legal Proceedings	41

Item 1A.	Risk Factors	41

Item 2.	Unregistered Sales of Equity Securities, Use of Proceeds and Issuer Purchases of Equity Securities	100

Item 3.	Defaults Upon Senior Securities	100

Item 4.	Mine Safety Disclosures	100

Item 5.	Other Information	100

Item 6.	Exhibits	101

SIGNATURES		103


		Three Months Ended
		March 31,
	Note	2026	2025
		$	$
Revenues
Product revenue, net	11	1,487,329	1,108,530
Other revenue	3	26,109	8,749
Total revenues		1,513,438	1,117,279
Cost of sales - product		167,215	165,002
Gross profit		1,346,223	952,277
Operating expenses
Research and development		541,224	481,887
Selling, general and administrative		555,097	459,288

Total operating expenses		1,096,321	941,175
Income from operations		249,902	11,102
Interest income		27,664	12,850
Interest expense		(32,887)	(7,002)
Other income, net		14,536	3,950
Income before income taxes		259,215	20,900
Income tax expense	8	31,858	19,630
Net income		227,357	1,270



Earnings per share
Basic	12	0.16	0.00
Diluted	12	0.15	0.00
Weighted-average shares outstanding—basic		1,442,451,870	1,390,052,966
Weighted-average shares outstanding—diluted		1,505,027,338	1,445,253,219

Earnings per American Depositary Share (“ADS”)
Basic	12	2.05	0.01
Diluted	12	1.96	0.01
Weighted-average ADSs outstanding—basic		110,957,836	106,927,151
Weighted-average ADSs outstanding—diluted		115,771,334	111,173,325


	Three Months Ended
	March 31,
	2026	2025
	$	$
Net income	227,357	1,270
Other comprehensive income, net of tax of nil:
Foreign currency translation adjustments	24,470	6,441
Other adjustments	232	226


Comprehensive income	252,059	7,937


		As of
		March 31,	December 31,
	Note	2026	2025
		$	$
		(unaudited)	(audited)
Assets
Current assets:
Cash and cash equivalents		4,791,676	4,547,530


Accounts receivable, net		938,019	865,080
Inventories, net	9	681,590	608,227
Prepaid expenses and other current assets	9	189,995	212,752
Total current assets		6,601,280	6,233,589

Property, plant and equipment, net	6	1,640,918	1,641,678
Operating lease right-of-use assets		145,497	148,184
Intangible assets, net	7	61,681	62,704

Other non-current assets	9	104,243	102,418
Total non-current assets		1,952,339	1,954,984
Total assets		8,553,619	8,188,573
Liabilities and shareholders’ equity
Current liabilities:
Accounts payable		423,546	479,035
Accrued expenses and other payables	9	1,079,283	1,109,120
Tax payable	8	63,522	41,625
Operating lease liabilities, current portion		20,584	20,698
Research and development cost share liability, current portion	3	35,700	64,345
Sale of future royalty liability, current portion	4	72,735	56,714
Short-term debt	10	116,140	57,293
Total current liabilities		1,811,510	1,828,830
Non-current liabilities:
Long-term debt	10	962,515	961,913
Sale of future royalty liability, non-current portion	4	831,664	850,242
Operating lease liabilities, non-current portion		49,670	52,940
Deferred tax liabilities	8	55,866	53,209

Other long-term liabilities	9	81,952	80,245
Total non-current liabilities		1,981,667	1,998,549
Total liabilities		3,793,177	3,827,379
Commitments and contingencies	16
Shareholders’ equity:
Ordinary shares, $0.0001 par value per share; 1,540,975,898 and 1,540,975,898 shares issued and 1,444,479,378 and 1,441,075,618 shares outstanding as of March 31, 2026 and December 31, 2025, respectively		144	144
Additional paid-in capital		12,906,326	12,759,137
Accumulated other comprehensive loss	14	(53,482)	(78,184)
Accumulated deficit		(8,092,546)	(8,319,903)
Total shareholders’ equity		4,760,442	4,361,194


Total liabilities and shareholders’ equity		8,553,619	8,188,573


☒			QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934


☐			TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934


		Three Months Ended March 31,
	Note	2026	2025
		$	$
Operating activities:
Net income		227,357	1,270
Adjustments to reconcile net income to net cash provided by operating activities:
Depreciation and amortization expense		41,144	32,804
Share-based compensation expenses	13	123,355	95,478


Amortization of research and development cost share liability	3	(28,645)	(19,812)

Non-cash interest expense		21,096	—
Other items, net		6,172	12,369
Changes in operating assets and liabilities:
Accounts receivable		(75,300)	(31,866)
Inventories		(71,838)	3,987
Other assets		15,270	29,737
Accounts payable		(42,187)	(31,568)
Accrued expenses and other payables		(16,819)	(52,360)
Other liabilities		1,731	4,043
Net cash provided by operating activities		201,336	44,082
Investing activities:
Purchases of property, plant and equipment		(40,789)	(56,407)

Proceeds from sale or maturity of investments		27	1,800
Purchase of in-process research and development		—	(60,000)
Other investing activities		(4,748)	(7,334)
Net cash used in investing activities		(45,510)	(121,941)
Financing activities:


Repayment of long-term loan	10	(7,641)	(4,215)
Proceeds from short-term loans	10	58,204	80,000
Repayment of short-term loans	10	—	(172,921)
Repayment of sale of future royalties liability	4	(2,557)	—

Proceeds from option exercises and employee share purchase plan		23,875	63,359
Other financing activities		(3,249)	—
Net cash provided by (used in) financing activities		68,632	(33,777)
Effect of foreign exchange rate changes, net		19,320	3,480
Net increase (decrease) in cash, cash equivalents, and restricted cash		243,778	(108,156)
Cash, cash equivalents, and restricted cash at beginning of period		4,609,647	2,638,747
Cash, cash equivalents, and restricted cash at end of period		4,853,425	2,530,591
Supplemental cash flow information:
Cash and cash equivalents		4,791,676	2,516,411
Short-term restricted cash		40,839	11,333
Long-term restricted cash		20,910	2,847
Income taxes (refunded)/paid		(2,737)	9,321
Interest expense paid		12,834	6,247
Supplemental non-cash information:
Capital expenditures included in accounts payable and accrued expenses		43,249	60,010
ROU assets obtained in exchange for new operating lease liabilities		9,261	15,659



	Ordinary Shares Issued	Effect of Redomiciliation1	Total Outstanding Shares	Ordinary Shares Issued	Additional Paid-In Capital	Accumulated Other Comprehensive Loss	Accumulated Deficit	Total

	Shares			$	$	$	$	$
Balance at December 31, 2025	1,540,975,898	(99,900,280)	1,441,075,618	144	12,759,137	(78,184)	(8,319,903)	4,361,194

Exercise of options, ESPP and release of RSUs	—	3,403,760	3,403,760	—	23,834	—	—	23,834
Share-based compensation	—	—	—	—	123,355	—	—	123,355
Other comprehensive income	—	—	—	—	—	24,702	—	24,702
Net income	—	—	—	—	—	—	227,357	227,357
Balance at March 31, 2026	1,540,975,898	(96,496,520)	1,444,479,378	144	12,906,326	(53,482)	(8,092,546)	4,760,442













Balance at December 31, 2024	1,387,367,704	—	1,387,367,704	138	12,087,908	(148,988)	(8,606,836)	3,332,222
Issuance of shares reserved for share option exercises	402,532	—	402,532	—	—	—	—	—
Exercise of options, ESPP and release of RSUs	15,511,587	—	15,511,587	2	63,874	—	—	63,876
Share-based compensation	—	—	—	—	95,478	—	—	95,478
Other comprehensive income	—	—	—	—	—	6,667	—	6,667
Net income	—	—	—	—	—	—	1,270	1,270
Balance at March 31, 2025	1,403,281,823	—	1,403,281,823	140	12,247,260	(142,321)	(8,605,566)	3,499,513


	Quoted Price in Active Market for Identical Assets	Significant Other Observable Inputs	Significant Unobservable Inputs
As of March 31, 2026	(Level 1)	(Level 2)	(Level 3)
	$	$	$
Cash equivalents
Money market funds	2,264,810	—	—




Other non-current assets (Note 5):
Equity securities with readily determinable fair values	—	2	—
Convertible debt instrument	—	—	5,998
Other	2,337	—	—
Total	2,267,147	2	5,998


						Royalty Sale Liability
						$
Balance at December 31, 2025						906,956
Debt portion of royalties recognized and settled to Royalty Pharma						(2,557)
Balance at March 31, 2026						904,399


	As of
	March 31, 2026			December 31, 2025
	Gross			Gross
	carrying	Accumulated	Intangible	carrying	Accumulated	Intangible
	amount	amortization	assets, net	amount	amortization	assets, net
	$	$	$	$	$	$
Finite-lived intangible assets:
Developed products	78,396	(17,207)	61,189	77,486	(15,291)	62,195
Other	8,987	(8,495)	492	8,987	(8,478)	509
Total finite-lived intangible assets	87,383	(25,702)	61,681	86,473	(23,769)	62,704


Year Ending December 31,	Cost of Sales - Product	Selling, General and Administrative	Total
	$	$	$
2026 (remainder of year)	5,995	50	6,045
2027	7,994	67	8,061
2028	7,994	67	8,061
2029	7,994	67	8,061
2030	7,994	67	8,061
2031 and thereafter	23,218	174	23,392
Total	61,189	492	61,681


Lender	Borrower	Term	Maturity Date	Note	As of
					March 31, 2026	December 31, 2025
					$	$
China Construction Bank	BeOne Guangzhou Biologics Manufacturing Co., Ltd.	9-year	June 11, 2027	1	21,746	21,450
China Merchants Bank	BeOne Guangzhou Biologics Manufacturing Co., Ltd.	9-year	January 20, 2029	2	9,112	8,989
China Merchants Bank	BeOne Guangzhou Biologics Manufacturing Co., Ltd.	9-year	November 8, 2029	3	8,614	8,497
China CITIC Bank	BeOne Pharmaceutical (Suzhou) Co., Ltd.	10-year	July 28, 2032	4	9,423	9,294
China Merchants Bank	BeOne Guangzhou Biologics Manufacturing Co., Ltd.	1-year	March 18, 2027	5	57,989	—
Total short-term debt					106,884	48,230

China Construction Bank	BeOne Guangzhou Biologics Manufacturing Co., Ltd.	9-year	June 11, 2027	1	21,746	21,450
China Merchants Bank	BeOne Guangzhou Biologics Manufacturing Co., Ltd.	9-year	January 20, 2029	2	18,225	20,224
China Merchants Bank	BeOne Guangzhou Biologics Manufacturing Co., Ltd.	9-year	November 8, 2029	3	24,174	25,970
China CITIC Bank	BeOne Pharmaceutical (Suzhou) Co., Ltd.	10-year	July 28, 2032	4	55,450	57,900
Total long-term debt					119,595	125,544


	Rebates, Returns and Other Deductions	Contra AR Accruals	Total
	$	$
Balance at December 31, 2025	398,533	79,126	477,659
Accrual	198,270	207,890	406,160
Payments	(156,366)	(225,344)	(381,710)
Balance at March 31, 2026	440,437	61,672	502,109

Balance at December 31, 2024	235,600	50,699	286,299
Accrual	130,027	161,509	291,536
Payments	(105,683)	(177,050)	(282,733)
Balance at March 31, 2025	259,944	35,158	295,102


	As of
	March 31,	December 31,
	2026	2025
	$	$
Land	71,434	71,434
Building	1,196,791	1,187,836
Manufacturing equipment	283,416	273,769
Laboratory equipment	318,589	309,471
Leasehold improvement	77,178	76,568
Software, electronics and office equipment	129,824	124,136
Property, plant and equipment, at cost	2,077,232	2,043,214
Less: accumulated depreciation	(573,760)	(528,695)
Construction in progress	137,446	127,159
Property, plant and equipment, net	1,640,918	1,641,678


	As of
	March 31,	December 31,
	2026	2025
	$	$
Raw materials	274,228	236,190
Work in process	109,209	122,681
Finished goods	298,153	249,356
Total	681,590	608,227


	As of
	March 31,	December 31,
	2026	2025
	$	$
Deferred government grant income	28,724	28,979
Pension liability	18,263	18,170
Asset retirement obligation	3,614	3,565
Other	31,351	29,531
Total	81,952	80,245


	As of
	March 31,	December 31,
	2026	2025
	$	$
A Loan Facility	12,467	12,298
Less: unamortized debt issuance costs	(3,211)	(3,235)
Total short-term debt	9,256	9,063

A Loan Facility	299,218	295,152
B2 Term Loan Facility	560,000	560,000
Less: unamortized debt issuance costs	(16,298)	(18,783)
Total long-term debt	842,920	836,369


	Number of Ordinary Shares Issued	Market Price1				Purchase Price2
Issuance Date		ADS		Ordinary		ADS		Ordinary		Proceeds

February 28, 2026	741,299	$	316.99	$	24.38	$	269.44	$	20.73	$	15,364
August 31, 2025	818,506	$	245.53	$	18.89	$	208.70	$	16.05	$	13,140
February 28, 2025	955,396	$	188.26	$	14.48	$	160.02	$	12.31	$	11,760


	Foreign Currency
	Translation	Other
	Adjustments	Adjustments	Total
	$	$	$
Balance as of December 31, 2025	(66,252)	(11,932)	(78,184)
Other comprehensive income before reclassifications	24,470	58	24,528
Amounts reclassified from accumulated other comprehensive loss	—	174	174
Net-current period other comprehensive income	24,470	232	24,702
Balance as of March 31, 2026	(41,782)	(11,700)	(53,482)


	Three Months Ended
	March 31,				Change
	2026		2025		$		%
	(dollars in thousands)
Revenues
Product revenue, net	$	1,487,329	$	1,108,530	$	378,799	34.2	%
Other revenue	26,109		8,749		17,360		198.4	%
Total revenues	1,513,438		1,117,279		396,159		35.5	%
Cost of sales - product	167,215		165,002		2,213		1.3	%
Gross profit	1,346,223		952,277		393,946		41.4	%
Operating expenses
Research and development	541,224		481,887		59,337		12.3	%
Selling, general and administrative	555,097		459,288		95,809		20.9	%
Total operating expenses	1,096,321		941,175		155,146		16.5	%
Income from operations	249,902		11,102		238,800		2,151.0	%
Interest income	27,664		12,850		14,814		115.3	%
Interest expense	(32,887)		(7,002)		(25,885)		369.7	%
Other income, net	14,536		3,950		10,586		268.0	%
Income before income taxes	259,215		20,900		238,315		1,140.3	%
Income tax expense	31,858		19,630		12,228		62.3	%
Net income	$	227,357	$	1,270	$	226,087	17,802.1	%


	Three Months Ended
	March 31,				Changes
	2026		2025		$		%
	(dollars in thousands)
BRUKINSA®	$	1,094,843	$	791,664	$	303,179	38.3	%
TEVIMBRA®	206,241		171,164		35,077		20.5	%
XGEVA®	89,920		70,423		19,497		27.7	%
BLINCYTO®	34,035		23,906		10,129		42.4	%
KYPROLIS®	16,971		19,728		(2,757)		(14.0)	%
POBEVCY®	12,127		13,745		(1,618)		(11.8)	%
Other	33,192		17,900		15,292		85.4	%
Total product revenue	$	1,487,329	$	1,108,530	$	378,799	34.2	%


	Three Months Ended March 31,
	2026		2025

	(dollars in thousands)
Cash, cash equivalents and restricted cash at beginning of period	$	4,609,647	$	2,638,747
Net cash provided by operating activities	201,336		44,082
Net cash used in investing activities	(45,510)		(121,941)
Net cash provided by (used in) financing activities	68,632		(33,777)
Net effect of foreign exchange rate changes	19,320		3,480
Net increase (decrease) in cash, cash equivalents, and restricted cash	243,778		(108,156)
Cash, cash equivalents and restricted cash at end of period	$	4,853,425	$	2,530,591
Unused borrowing capacity available, at end of period	$	219,734	$	—


	Payments Due by Period
	Total		Short Term		Long Term
	(dollars in thousands)
Contractual obligations
Operating lease commitments	$	76,646	$	17,678	$	58,968
Purchase commitments	186,437		186,437		—
Debt obligations	1,098,164		119,351		978,813
Interest on debt	99,702		51,885		47,817
Co-development funding commitment	72,346		72,346		—
Funding commitment	4,406		4,350		56

Capital commitments	22,925		22,925		—
Total	$	1,560,626	$	474,972	$	1,085,654


	BEONE MEDICINES LTD.

Date: May 6, 2026	By:	/s/ John V. Oyler
	John V. Oyler
	Chief Executive Officer and Chairman
	(Principal Executive Officer)

Date: May 6, 2026	By:	/s/ Aaron Rosenberg
	Aaron Rosenberg
	Chief Financial Officer
	(Principal Financial Officer)


Annual Retainer for Board Membership For general availability and participation in meetings and conference calls of the Board; no additional compensation for attending individual Board meetings			$65,000
Annual Retainers for Committee Membership and Service as Chairperson No additional compensation for attending individual committee meetings.
Audit Committee Chairperson			$35,000
Audit Committee Member			$17,500
Compensation Committee Chairperson			$30,000
Compensation Committee Member			$15,000
Nominating and Corporate Governance Committee Chairperson			$20,000
Nominating and Corporate Governance Committee Member			$10,000
Commercial and Medical Affairs Advisory Committee Chairperson			$20,000
Commercial and Medical Affairs Advisory Committee Member			$10,000
Scientific Advisory Committee Co-Chairperson			$20,000
Scientific Advisory Committee Member			$10,000