0001558370-24-010095 | 6-K | XBRL Viewer

Material accounting policy information	6 Months Ended
Jun. 30, 2024
Material accounting policy information
Material accounting policy information	3. Material accounting policy information There were no significant changes in the material accounting policies, critical accounting judgements and key sources of estimation uncertainty applied by us in these unaudited condensed consolidated interim financial statements compared to those used in the annual consolidated financial statements as of December 31, 2023.

Material accounting policy information

6 Months Ended

Jun. 30, 2024

Material accounting policy information

3. Material accounting policy information

There were no significant changes in the material accounting policies, critical accounting judgements and key sources of estimation uncertainty applied by us in these unaudited condensed consolidated interim financial statements compared to those used in the annual consolidated financial statements as of December 31, 2023.

Research and development expenses

6 Months Ended

Jun. 30, 2024

Research and development expenses

Research and development expenses

12. Research and development expenses


	Six Months Ended
	June 30,
(in thousands of $)	2024		2023
Personnel expenses	$	132,903	$	99,482
External research and development expenses		286,038		233,868
Materials and consumables		2,309		2,044
Depreciation and amortization		2,769		3,498
IT expenses		16,493		13,441
Other expenses		9,743		9,031
Total Research and development expenses	$	450,255	$	361,364

Shareholders' capital (Details)	6 Months Ended
Shareholders' capital (Details)	Jun. 30, 2024 shares
Shareholders' capital
Number of shares outstanding at beginning of period	59,194,488
Exercise of stock options	555,392
Vesting of RSUs	46,393
Number of shares outstanding at end of period	59,796,273

UNAUDITED CONDENSED CONSOLIDATED INTERIM STATEMENTS OF FINANCIAL POSITION - USD ($) $ in Thousands	Jun. 30, 2024	Dec. 31, 2023
Non-current assets
Property, plant and equipment	$ 36,931	$ 22,675
Intangible assets	141,774	125,228
Deferred tax asset	174,626	97,211
Research and development incentive receivables	91,237	76,706
Investment in joint venture	6,599	9,912
Prepaid expenses	47,327	47,327
Other non-current assets	34,276	39,662
Total non-current assets	532,770	418,721
Current assets
Inventories	326,460	310,550
Prepaid expenses	179,420	134,072
Trade and other receivables	652,875	496,687
Research and development incentive receivables	2,686	2,584
Financial assets	1,664,100	1,131,000
Cash and cash equivalents	1,438,247	2,048,844
Total current assets	4,263,788	4,123,737
TOTAL ASSETS	4,796,558	4,542,458
Equity
Share capital	7,118	7,058
Share premium	5,747,441	5,651,497
Translation differences	128,935	131,543
Accumulated losses	(2,437,375)	(2,404,844)
Other reserves	816,128	712,253
Total equity	4,262,247	4,097,507
Non-current liabilities
Provisions for employee benefits	1,581	1,449
Lease liabilities	28,107	15,354
Deferred tax liabilities	4,994	5,155
Total non-current liabilities	34,682	21,958
Current liabilities
Lease liabilities	5,853	4,646
Trade and other payables	479,829	414,013
Tax liabilities	13,947	4,334
Total current liabilities	499,629	422,993
Total liabilities	534,311	444,951
TOTAL EQUITY AND LIABILITIES	$ 4,796,558	$ 4,542,458

Income taxes

6 Months Ended

Jun. 30, 2024

Income taxes

Income taxes

14. Income taxes

The Company recorded an income tax benefit of $57 million (compared to $37 million for the same period in 2023) in relation to a loss of the period before taxes of $89 million for the six months ended June 30, 2024 (compared to $160 million for the same period in 2023). The effective tax rate for the six months ended June 30, 2024 and June 30, 2023 was primarily impacted by the following items: (i) the mix of income generated among the jurisdictions in which the Company operates, (ii) certain deferred tax assets not recognized mainly due to the history of losses, and (iii) a $64 million deferred tax benefit due to intra-group inventory transfers (compared to $44 million for the same period in 2023).

Other non-current assets

6 Months Ended

Jun. 30, 2024

Other non-current assets

Other non-current assets

4. Other non-current assets


	At June 30,		At December 31,
(in thousands of $)	2024		2023
Non-current restricted cash	$	2,269	$	2,419
Non-current financial assets held at fair value through profit or loss		22,160		21,715
Non-current financial assets held at fair value through OCI		9,847		15,528
Total other non-current assets	$	34,276	$	39,662

Please also refer to note 15 for more information on the financial instruments.

Related party transaction

6 Months Ended

Jun. 30, 2024

Related party transaction

Related party transaction

16. Related party transaction

The Company has a joint venture agreement with the University of Colorado Anschutz Medical Campus and UCHealth as a separate legal entity, OncoVerity, Inc. The Company contributed $13 million in 2023 towards the joint venture to fund its operations. The share of net loss resulting from investment in joint ventures is presented in the unaudited condensed consolidated statements of profit or loss and other comprehensive income (loss) in line “Loss from investment in joint ventures”.

During the six months ended June 30, 2024 a total of 98,306 stock options and 36,365 restricted stock units were granted to senior management members as a group. During the six months ended June 30, 2024 a total of 10,118 restricted stock units were granted to non-executive board members.

General information about the company

6 Months Ended

Jun. 30, 2024

General information about the company

General information about the company

1. General information about the company

argenx SE (the Company) is a Dutch European public company with limited liability incorporated under the laws of the Netherlands. The Company (COC 24435214) has its official seat in Rotterdam, the Netherlands, and its registered office is at Laarderhoogteweg 25, 1101 EB Amsterdam, the Netherlands.

argenx SE is a publicly traded company with ordinary shares listed on Euronext Brussels under the symbol “ARGX” since July 2014 and with American Depositary Shares listed on Nasdaq under the symbol “ARGX” since May 2017.

Related party transaction (Details) $ in Millions	1 Months Ended		6 Months Ended
Related party transaction (Details) $ in Millions	Jun. 30, 2024 USD ($) EquityInstruments	Apr. 30, 2024 EquityInstruments	Jun. 30, 2024 USD ($) shares EquityInstruments
Compensation of key management personnel
Numbers of stock options granted in the year \| EquityInstruments	660,166	42,243	660,166
Onco Verity Inc. Joint Venture
Compensation of key management personnel
Contractual capital commitments \| $	$ 13		$ 13
Senior management
Compensation of key management personnel
Numbers of stock options granted in the year			98,306
Numbers of restricted stock units granted in the year			36,365
Non-executive Directors
Compensation of key management personnel
Numbers of restricted stock units granted in the year			10,118

Trade and other receivables

6 Months Ended

Jun. 30, 2024

Trade and other receivables.

Trade and other receivables

6. Trade and other receivables

Trade and other receivables are composed of receivables which are detailed below:


	At June 30,		At December 31,
(in thousands of $)	2024		2023
Trade receivable	$	515,960	$	417,994
Interest receivable		33,295		13,126
Tax receivables		46,107		63,605
Other receivables		57,513		1,962
Total trade and other receivables	$	652,875	$	496,687

The carrying amounts of trade and other receivables approximate their respective fair values. On June 30, 2024 and December 31, 2023, the Company did not have any provision for expected credit losses.

On June 30, 2024, Other receivables include $52 million related to proceeds of exercise of stock options.

Research and development expenses (Details) - USD ($) $ in Thousands	6 Months Ended
	Jun. 30, 2024	Jun. 30, 2023
Research and development expenses
Personnel expenses	$ 132,903	$ 99,482
External research and development expenses	286,038	233,868
Materials and consumables	2,309	2,044
Depreciation and amortization	2,769	3,498
IT expenses	16,493	13,441
Other expenses	9,743	9,031
Total research and development expenses	$ 450,255	$ 361,364

Shareholders' capital

6 Months Ended

Jun. 30, 2024

Shareholders' capital

Shareholders' capital

8. Shareholders’ capital

On June 30, 2024, the Company’s share capital was represented by 59,796,273 shares. All shares were issued, fully paid and of the same class. The table below summarizes the share issuances as a result of the exercise of stock options and vesting of restricted stock units under the Company’s Employee Stock Option Plan, for the period ended June 30, 2024.


Number of shares outstanding on December 31, 2023		59,194,488
Exercise of stock options		555,392
Vesting of RSUs		46,393
Number of shares outstanding on June 30, 2024		59,796,273

Document and Entity Information	6 Months Ended
Document and Entity Information	Jun. 30, 2024
Cover [Abstract]
Document Type	6-K
Document Period End Date	Jun. 30, 2024
Entity Registrant Name	ARGENX SE
Entity Central Index Key	0001697862
Current Fiscal Year End Date	--12-31
Document Fiscal Year Focus	2024
Document Fiscal Period Focus	Q2
Amendment Flag	false

Trade and other payables - Movement in the gross-to-net accruals (Details) - USD ($) $ in Thousands	6 Months Ended	12 Months Ended
	Jun. 30, 2024	Dec. 31, 2023
Disclosure of subsidiaries [line items]
Gross-to-net accruals	$ 55,788	$ 19,478
Estimate related to the sales made in the current year	130,770	149,969
Adjustment for prior year sales	(5,431)	(4,924)
(Credits or payments)	(96,891)	(108,734)
Gross-to-net accruals	84,236	55,788
Rebates and charge backs
Disclosure of subsidiaries [line items]
Gross-to-net accruals	49,662	15,398
Estimate related to the sales made in the current year	111,669	123,542
Adjustment for prior year sales	(5,391)	(4,041)
(Credits or payments)	(77,627)	(85,237)
Gross-to-net accruals	78,313	49,662
Distribution fees, product returns and other
Disclosure of subsidiaries [line items]
Gross-to-net accruals	6,126	4,079
Estimate related to the sales made in the current year	19,101	26,427
Adjustment for prior year sales	(40)	(883)
(Credits or payments)	(19,264)	(23,497)
Gross-to-net accruals	$ 5,923	$ 6,126

Financial instruments and financial risk management - Fair value (Details) - USD ($) $ in Thousands	Jun. 30, 2024	Dec. 31, 2023
Level 1
Financial instruments and financial risk management
Non-current financial assets	$ 10,293	$ 15,528
Cash and cash equivalents	1,307,197	1,678,100
Assets carried at fair value	1,317,490	1,693,628
Level 3
Financial instruments and financial risk management
Non-current financial assets	21,715	21,715
Assets carried at fair value	$ 21,715	$ 21,715

UNAUDITED CONDENSED CONSOLIDATED INTERIM STATEMENTS OF CASH FLOWS - USD ($) $ in Thousands	6 Months Ended
	Jun. 30, 2024	Jun. 30, 2023
CASH FLOWS (USED IN) / FROM OPERATING ACTIVITIES
Operating loss	$ (138,882)	$ (205,837)
Adjustments for non-cash items
Amortization of intangible assets	4,956	43
Depreciation of property, plant and equipment	3,667	2,661
Provisions for employee benefits	143	138
Expense recognized in respect of share-based payments	102,381	102,083
Fair value gains on financial assets at fair value through profit or loss	(445)
Loss from investment in joint venture	3,313	1,880
Other non-cash expenses	8
Adjustments for non-cash items	(24,859)	(99,032)
Movements in current assets/liabilities
(Increase)/decrease in trade and other receivables	(97,612)	(68,057)
(Increase)/decrease in inventories	(16,072)	27,240
(Increase)/decrease in other current assets	(45,821)	(62,500)
Increase/(decrease) in trade and other payables	76,710	(616)
Movements in non-current assets/liabilities
(Increase)/decrease in other non-current assets	(18,139)	(11,603)
(Increase)/decrease in non-current prepaid expense		(47,327)
Net cash flows used in operating activities, before interest and taxes	(125,793)	(261,894)
Interest paid	(157)	(78)
Income taxes received/(paid)	1,294	(23,465)
Net cash flows used in operating activities	(124,656)	(285,436)
CASH FLOWS (USED IN) / FROM INVESTING ACTIVITIES
Purchase of intangible assets	(21,500)
Purchase of property, plant and equipment	(811)	(479)
Purchase of current financial assets	(1,108,410)	(267,196)
Sale of current financial assets	568,410	780,331
Interest received	48,552	27,361
Investment in joint venture		(13,000)
Net cash flows from / (used in) investing activities	(513,759)	527,017
CASH FLOWS (USED IN) / FROM FINANCING ACTIVITIES
Principal elements of lease payments	(3,604)	(2,182)
Payment of employee withholding taxes relating to restricted stock unit awards	(1,792)	(604)
Proceeds from exercise of stock options	45,470	65,074
Net cash flows from financing activities	40,074	62,288
Increase/(decrease) in cash and cash equivalents	(598,341)	303,868
Cash and cash equivalents at the beginning of the period	2,048,844	800,740
Exchange gains/(losses) on cash and cash equivalents	(12,256)	5,960
Cash and cash equivalents at the end of the period	$ 1,438,247	$ 1,110,567

Other non-current assets (Tables)

6 Months Ended

Jun. 30, 2024

Other non-current assets

Schedule of other non-current assets


	At June 30,		At December 31,
(in thousands of $)	2024		2023
Non-current restricted cash	$	2,269	$	2,419
Non-current financial assets held at fair value through profit or loss		22,160		21,715
Non-current financial assets held at fair value through OCI		9,847		15,528
Total other non-current assets	$	34,276	$	39,662

Selling, general and administrative expenses

6 Months Ended

Jun. 30, 2024

Selling, general and administrative expenses

Selling, general and administrative expenses

13. Selling, general and administrative expenses


	Six Months Ended
	June 30,
(in thousands of $)	2024		2023
Personnel expenses	$	194,026	$	134,862
Marketing services		150,341		90,436
Professional fees		86,406		42,796
Supervisory board		4,267		3,978
Depreciation and amortization		1,424		1,083
IT expenses		11,647		5,496
Other expenses		43,583		32,499
Total Selling, general and administrative expenses	$	491,694	$	311,149

Shareholders' capital (Tables)

6 Months Ended

Jun. 30, 2024

Shareholders' capital

Schedule of number of share outstanding


Number of shares outstanding on December 31, 2023		59,194,488
Exercise of stock options		555,392
Vesting of RSUs		46,393
Number of shares outstanding on June 30, 2024		59,796,273

Inventories (Tables)

6 Months Ended

Jun. 30, 2024

Inventories

Schedule of inventories


	At June 30,		At December 31,
(in thousands of $)	2024		2023
Raw materials and consumables	$	250,891	$	240,836
Inventories in process		37,158		47,074
Finished goods		38,411		22,640
Total inventories	$	326,460	$	310,550

Other non-current assets - (Details) - USD ($) $ in Thousands	Jun. 30, 2024	Dec. 31, 2023
Other non-current assets
Non-current restricted cash	$ 2,269	$ 2,419
Non-current financial assets held at fair value through profit or loss	22,160	21,715
Non-current financial assets held at fair value through OCI	9,847	15,528
Total other non-current assets	$ 34,276	$ 39,662

Trade and other receivables (Details) - USD ($) $ in Thousands	Jun. 30, 2024	Dec. 31, 2023
Trade and other receivables.
Trade receivable	$ 515,960	$ 417,994
Interest receivable	33,295	13,126
Tax receivables	46,107	63,605
Other receivables	57,513	1,962
Total trade and other receivables	652,875	$ 496,687
Proceeds of exercise of stock options receivable included in other receivables	$ 52,000

Trade and other payables (Tables)

6 Months Ended

Jun. 30, 2024

Trade and other payables.

Schedule of trade and other payables


	At June 30,		At December 31,
(in thousands of $)	2024		2023
Trade payables	$	280,633	$	245,557
Gross-to-net accruals		84,236		55,788
Short‑term employee benefits		106,708		95,104
Other		8,252		17,564
Total trade and other payables	$	479,829	$	414,013

Schedule of movement in gross to net accruals


(in thousands of $)	Rebates and chargebacks		Distribution fees, product returns and other		Total Gross-to-net accruals
Balance at December 31, 2022	$	15,398	$	4,079	$	19,478
Estimate related to the sales made in the current year		123,542		26,427		149,969
Adjustment for prior year sales		(4,041)		(883)		(4,924)
(Credits or payments)		(85,237)		(23,497)		(108,734)
Balance at December 31, 2023	$	49,662	$	6,126	$	55,788
Estimate related to the sales made in the current period		111,669		19,101		130,770
Adjustment for prior year sales		(5,391)		(40)		(5,431)
(Credits or payments)		(77,627)		(19,264)		(96,891)
Balance at June 30, 2024	$	78,313	$	5,923	$	84,236

Trade and other payables

6 Months Ended

Jun. 30, 2024

Trade and other payables.

Trade and other payables

10. Trade and other payables


	At June 30,		At December 31,
(in thousands of $)	2024		2023
Trade payables	$	280,633	$	245,557
Gross-to-net accruals		84,236		55,788
Short‑term employee benefits		106,708		95,104
Other		8,252		17,564
Total trade and other payables	$	479,829	$	414,013

The carrying amounts of trade and other payables approximate their respective fair values.

Trade payables correspond primarily to clinical and manufacturing activities and include accrued expenses related to these activities.

Short-term employee benefits include payables and accruals for compensation and bonuses to be paid to the employees of the Company.

The following table summerizes the movement in the Gross-to-net accruals for the period ended June 30, 2024:


(in thousands of $)	Rebates and chargebacks		Distribution fees, product returns and other		Total Gross-to-net accruals
Balance at December 31, 2022	$	15,398	$	4,079	$	19,478
Estimate related to the sales made in the current year		123,542		26,427		149,969
Adjustment for prior year sales		(4,041)		(883)		(4,924)
(Credits or payments)		(85,237)		(23,497)		(108,734)
Balance at December 31, 2023	$	49,662	$	6,126	$	55,788
Estimate related to the sales made in the current period		111,669		19,101		130,770
Adjustment for prior year sales		(5,391)		(40)		(5,431)
(Credits or payments)		(77,627)		(19,264)		(96,891)
Balance at June 30, 2024	$	78,313	$	5,923	$	84,236

Contractual obligations and commitments (Details) € in Millions	1 Months Ended
	Feb. 28, 2019 USD ($)	Jun. 30, 2024 USD ($)	Jun. 30, 2024 EUR (€)
Commitments [Line Items]
Commitments to acquire property, plant and equipment		$ 0
Borrowings		11,000,000	€ 10
Efgartigimod
Commitments [Line Items]
Outstanding commitment		$ 330,000,000
Halozyme \| Global Collaboration and License Agreement
Commitments [Line Items]
Outstanding commitment	$ 110,000,000
Payment for each future target	12,500,000
Future milestone payments	160,000,000
Payment for additional milestones	$ 40,000,000

Contractual obligations and commitments

6 Months Ended

Jun. 30, 2024

Contractual obligations and commitments

Contractual obligations and commitments

17. Contractual obligations and commitments

At balance sheet date, there were no commitments signed for the acquisition of property, plant and equipment.

In February 2019, and as amended in September 2020, the Company entered into a global collaboration and license agreement with Halozyme Therapeutics, Inc. Under the terms of the agreement as of June 30, 2024, the Company will pay up to $110 million to achievement of specific regulatory and sales-based milestones related to VYVGART SC. This amount represents the maximum amount that would be paid if all milestones would be achieved but excludes variable royalty payments based on unit sales. Further, the Company will pay $12.5 million per target for future target nominations and potential future payments of up to $160 million per selected target subject to achievement of specified development, regulatory and sales-based milestones and up to $40 million subject to the achievement of additional, specified sales-based milestones. This amount represents the

maximum amount that would be paid if all milestones would be achieved but excludes variable royalty payments based on unit sales.

The Company’s manufacturing commitments with Lonza, its drug substance manufacturing contractor, relate to the ongoing execution of the biologic license application (BLA) services for efgartigimod and its manufacturing activities related to the commercialization or potential future commercialization. In December 2018, the Company signed its first commercial supply agreement with Lonza related to the reservation of commercial drug substance supply capacity for efgartigimod. In the aggregate, as of June 30, 2024, the Company has outstanding commitments for efgartigimod under the first commercial supply agreement of $330 million.

As of June 30, 2024, the Company had a line of credit totalling to $11 million (€ 10 million) with the banks.

Share based payments - Restricted Stock Units (Details) - USD ($) $ in Millions	6 Months Ended
	Jun. 30, 2024	Jun. 30, 2023
Disclosure of terms and conditions of share-based payment arrangement [line items]
Number of shares on conversion	1
Total share based payment expense	$ 70	$ 72
Restricted Stock Units (RSUs)
Disclosure of terms and conditions of share-based payment arrangement [line items]
Number of shares on conversion	1
Vesting period	4 years
Vesting percentage	25.00%
Total share based payment expense	$ 33	$ 30

Events after the balance sheet date

6 Months Ended

Jun. 30, 2024

Events after the balance sheet date

Events after the balance sheet date

18. Events after the balance sheet date

No events have occurred after the balance sheet date that could have a material impact on the unaudited condensed consolidated financial statements.

Inventories (Details) - USD ($) $ in Thousands	6 Months Ended
Inventories (Details) - USD ($) $ in Thousands	Jun. 30, 2024	Jun. 30, 2023	Dec. 31, 2023
Inventories
Raw materials and consumables	$ 250,891		$ 240,836
Inventories in process	37,158		47,074
Finished goods	38,411		22,640
Total inventories	326,460		$ 310,550
Cost of merchandise sold	76,000	$ 42,000
Pre-launch inventory awaiting facility approval
Inventories
Total inventories	$ 84,000

Cash and cash equivalents

6 Months Ended

Jun. 30, 2024

Cash and cash equivalents

Cash and cash equivalents

7. Cash and cash equivalents


	At June 30,		At December 31,
(in thousands of $)	2024		2023
Money market funds	$	1,307,197	$	1,678,100
Term accounts		100,000		350,000
Cash and bank balances		31,050		20,744
Total cash and cash equivalents	$	1,438,247	$	2,048,844

On June 30, 2024, Cash and cash equivalents amounted to $1,438 million, compared to $2,049 million on December 31, 2023 and comprise of cash and bank balances, term accounts with an original maturity not exceeding 3 months and money market funds that are readily convertible to cash and are subject to an insignificant risk of changes in value.

Please also refer to note 15 for more information on the financial instruments.

Financial instruments and financial risk management (Tables)

6 Months Ended

Jun. 30, 2024

Financial instruments and financial risk management

Schedule of assets at fair value


	At June 30, 2024
(in thousands of $)	Level 1		Level 2		Level 3
Non-current financial assets	$	10,293	$	—	$	21,715
Cash and cash equivalents		1,307,197		—		—
Assets carried at fair value	$	1,317,490	$	—	$	21,715


	At December 31, 2023
(in thousands of $)	Level 1		Level 2		Level 3
Non-current financial assets	$	15,528	$	—	$	21,715
Cash and cash equivalents		1,678,100		—		—
Assets carried at fair value	$	1,693,628	$	—	$	21,715

Selling, general and administrative expenses (Tables)

6 Months Ended

Jun. 30, 2024

Selling, general and administrative expenses

Schedule of selling, general and administrative expenses


	Six Months Ended
	June 30,
(in thousands of $)	2024		2023
Personnel expenses	$	194,026	$	134,862
Marketing services		150,341		90,436
Professional fees		86,406		42,796
Supervisory board		4,267		3,978
Depreciation and amortization		1,424		1,083
IT expenses		11,647		5,496
Other expenses		43,583		32,499
Total Selling, general and administrative expenses	$	491,694	$	311,149

Segment reporting - Product net sales by country of sales (Details) - USD ($) $ in Thousands	6 Months Ended
	Jun. 30, 2024	Jun. 30, 2023
Segment reporting
Total product net sales	$ 875,918	$ 487,335
North-America
Segment reporting
Total product net sales	755,536	440,853
Japan
Segment reporting
Total product net sales	38,114	23,645
EMEA
Segment reporting
Total product net sales	66,072	$ 22,836
China
Segment reporting
Total product net sales	$ 16,196

UNAUDITED CONDENSED CONSOLIDATED INTERIM STATEMENTS OF PROFIT OR LOSS - USD ($) $ in Thousands	6 Months Ended
	Jun. 30, 2024	Jun. 30, 2023
UNAUDITED CONDENSED CONSOLIDATED INTERIM STATEMENTS OF PROFIT OR LOSS
Product net sales	$ 875,918	$ 487,335
Collaboration revenue	2,718	2,355
Other operating income	23,305	21,225
Total operating income	901,941	510,915
Cost of sales	(95,561)	(42,359)
Research and development expenses	(450,255)	(361,364)
Selling, general and administrative expenses	(491,694)	(311,149)
Loss from investment in joint venture	(3,313)	(1,880)
Total operating expenses	(1,040,823)	(716,752)
Operating loss	(138,882)	(205,837)
Financial income	77,828	37,029
Financial expense	(1,084)	(395)
Exchange gains/(losses)	(27,215)	9,164
Loss for the period before taxes	(89,353)	(160,039)
Income tax benefit	56,822	36,800
Loss for the period	(32,531)	(123,239)
Owners of the parent	$ (32,531)	$ (123,239)
Weighted average number of shares outstanding	59,400,217	55,690,873
Basic (loss) per share (in $)	$ (0.55)	$ (2.21)
Diluted (loss) per share (in $)	$ (0.55)	$ (2.21)

UNAUDITED CONDENSED CONSOLIDATED INTERIM STATEMENTS OF CHANGES IN EQUITY - USD ($) $ in Thousands	Share Capital	Share Premium	Accumulated Losses	Translation Difference	Share-based payment and income tax deduction on share-based payments	Fair value movement on investment in equity instruments designated as at FVTOCI	Total Equity Attributable to Owners of the Parent	Total
Equity at beginning of period at Dec. 31, 2022	$ 6,640	$ 4,309,880	$ (2,109,791)	$ 129,280	$ 535,247	$ (57,557)	$ 2,813,699	$ 2,813,699
Loss for the period			(123,239)				(123,239)	(123,239)
Other comprehensive income / (loss)				762		(1,688)	(926)	(926)
Total comprehensive income / (loss) for the year			(123,239)	762		(1,688)	(124,165)	(124,165)
Income tax benefit from excess tax deductions related to share-based payments					1,396		1,396	1,396
Share-based payment					102,651		102,651	102,651
Exercise of stock options	58	65,016					65,074	65,074
Ordinary shares withheld for payment of employees' withholding tax liability		(604)					(604)	(604)
Equity at end of period at Jun. 30, 2023	6,698	4,374,291	(2,233,029)	130,042	639,294	(59,245)	2,858,051	2,858,051
Equity at beginning of period at Dec. 31, 2023	7,058	5,651,497	(2,404,844)	131,543	771,725	(59,472)	4,097,507	4,097,507
Loss for the period			(32,531)				(32,531)	(32,531)
Other comprehensive income / (loss)				(2,608)		(5,682)	(8,290)	(8,290)
Total comprehensive income / (loss) for the year			(32,531)	(2,608)		(5,682)	(40,821)	(40,821)
Income tax benefit from excess tax deductions related to share-based payments					7,013		7,013	7,013
Share-based payment					102,544		102,544	102,544
Exercise of stock options	60	97,736					97,796	97,796
Ordinary shares withheld for payment of employees' withholding tax liability		(1,792)					(1,792)	(1,792)
Equity at end of period at Jun. 30, 2024	$ 7,118	$ 5,747,441	$ (2,437,375)	$ 128,935	$ 881,282	$ (65,154)	$ 4,262,247	$ 4,262,247

- Definition

The amount of residual interest in the assets of the entity after deducting all its liabilities.

+ References + Details

- Definition

The total of income less expenses from continuing and discontinued operations, excluding the components of other comprehensive income. [Refer: Other comprehensive income]

+ References

Reference 1: http://www.xbrl.org/2003/role/disclosureRef
-Name IAS
-Number 7
-IssueDate 2023-01-01
-Paragraph 18
-Subparagraph b
-URI https://taxonomy.ifrs.org/xifrs-link?type=IAS&num=7&code=ifrs-tx-2023-en-r&anchor=para_18_b&doctype=Standard
-URIDate 2023-03-23

Reference 2: http://www.xbrl.org/2003/role/disclosureRef
-Name IFRS
-Number 1
-IssueDate 2023-01-01
-Paragraph 32
-Subparagraph a
-Clause ii
-URI https://taxonomy.ifrs.org/xifrs-link?type=IFRS&num=1&code=ifrs-tx-2023-en-r&anchor=para_32_a_ii&doctype=Standard
-URIDate 2023-03-23

Reference 3: http://www.xbrl.org/2003/role/disclosureRef
-Name IFRS
-Number 1
-IssueDate 2023-01-01
-Paragraph 24
-Subparagraph b
-URI https://taxonomy.ifrs.org/xifrs-link?type=IFRS&num=1&code=ifrs-tx-2023-en-r&anchor=para_24_b&doctype=Standard
-URIDate 2023-03-23

Reference 4: http://www.xbrl.org/2003/role/disclosureRef
-Name IFRS
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-Paragraph 28
-Subparagraph b
-URI https://taxonomy.ifrs.org/xifrs-link?type=IFRS&num=8&code=ifrs-tx-2023-en-r&anchor=para_28_b&doctype=Standard
-URIDate 2023-03-23

Reference 5: http://www.xbrl.org/2003/role/disclosureRef
-Name IFRS
-Number 8
-IssueDate 2023-01-01
-Paragraph 23
-URI https://taxonomy.ifrs.org/xifrs-link?type=IFRS&num=8&code=ifrs-tx-2023-en-r&anchor=para_23&doctype=Standard
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Reference 6: http://www.xbrl.org/2003/role/exampleRef
-Name IFRS
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Reference 7: http://www.xbrl.org/2003/role/exampleRef
-Name IFRS
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-URIDate 2023-03-23

Reference 8: http://www.xbrl.org/2003/role/disclosureRef
-Name IAS
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-IssueDate 2023-01-01
-Paragraph 81A
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-URIDate 2023-03-23

Reference 9: http://www.xbrl.org/2003/role/disclosureRef
-Name IAS
-Number 1
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-Paragraph 106
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-URI https://taxonomy.ifrs.org/xifrs-link?type=IAS&num=1&code=ifrs-tx-2023-en-r&anchor=para_106_d_i&doctype=Standard
-URIDate 2023-03-23

+ Details

Inventories

6 Months Ended

Jun. 30, 2024

Inventories

Inventories

5. Inventories


	At June 30,		At December 31,
(in thousands of $)	2024		2023
Raw materials and consumables	$	250,891	$	240,836
Inventories in process		37,158		47,074
Finished goods		38,411		22,640
Total inventories	$	326,460	$	310,550

The cost of inventories, which is recognized under “Cost of sales” on the unaudited condensed consolidated statements of profit or loss, amounted to $76 million for the six months ended June 30, 2024 (compared to $42 million for the six months ended June 30, 2023).

On June 30, 2024, pre-launch inventory awaiting facility approval amounted to $84 million.

Basis of preparation (Policies)

6 Months Ended

Jun. 30, 2024

Basis of preparation

Basis of preparation

The unaudited condensed consolidated interim financial statements for the six months ended June 30, 2024 have been prepared in accordance with IAS 34 ‘Interim Financial Reporting’ as issued by the IASB and as adopted by the European Union. The unaudited condensed consolidated interim financial statements should be read in conjunction with the annual financial statements for the year ended December 31, 2023.

All amounts herein are presented in thousands of $, unless otherwise indicated, rounded to the nearest $ ‘000.

The unaudited condensed consolidated financial statements have been approved for issue by the Company’s Board of Directors (the “Board”) on July 23, 2024.

Segment reporting (Tables)

6 Months Ended

Jun. 30, 2024

Segment reporting

Schedule of product net sales by country of sales


	Six Months Ended
	June 30,
(in thousands of $)	2024		2023
North America	$	755,536	$	440,853
Japan		38,114		23,645
EMEA		66,072		22,836
China		16,196		—
Total product net sales	$	875,918	$	487,335

Share based payments - Outstanding stock options (Details) - USD ($) $ in Millions	6 Months Ended
	Jun. 30, 2024	Jun. 30, 2023
Disclosure of terms and conditions of share-based payment arrangement [line items]
Number of shares on conversion	1
Total share based payment expense	$ 70	$ 72
Tranche One
Disclosure of terms and conditions of share-based payment arrangement [line items]
Vesting percentage	33.33%
Tranche Two
Disclosure of terms and conditions of share-based payment arrangement [line items]
Vesting percentage	2.78%

Share based payments

6 Months Ended

Jun. 30, 2024

Share based payments

Share based payments

9. Share based payments

The Company has an equity incentive plan for the employees, key consultants, board members, senior managers and key outside advisors (“key persons”) of the Company and its subsidiaries. In accordance with the term of the plan, as approved by shareholders, employees may be granted stock options and/or restricted stock units.

9.1 Stock options

The stock options are granted to key persons of the Company and its subsidiaries. The stock options may be granted to purchase ordinary shares at an exercise price. The stock options have been granted free of charge. Each employee’s stock option converts into one ordinary share of the Company upon exercise. The stock options carry neither rights to dividends nor voting rights. Stock options may be exercised at any time from the date of vesting to the date of their expiry.

The stock options granted vest, in principle, as follows:

●

1/3^rd of the total stock options granted on the first anniversary of the granting of the stock options; and

●

1/36^th of the total grant on the first day of each month following the first anniversary of the date of grant of the stock options.

Stock options granted to non-executive directors vest on the third anniversary of the date of grant.

Upon leave of the key persons, stock options must be exercised before the later of (i) 90 days after the last working day at argenx, or (ii) March 31 of the 4th year following the date of grant of those stock options, and in any case no later than the expiration date of the option.

Below is an overview of the parameters used in relation to the new grant during the six months ended June 30, 2024:


Stock options granted in	April 2024			June 2024 (1)
Number of options granted		42,243			660,166
Average Fair value of options (in $) (2)	$	112.14 - 156.49		$	158.50
Share price (in $) (2)	$	365.56 - 396.30		$	437.41
Exercise price (in $) (2)	$	396.30		$	445.76
Expected volatility		35.53 - 39.04	%		35.17	%
Average Expected option life (in years)		4.30 - 6.49			5.34
Risk‑free interest rate		2.66 - 3.02	%		2.87	%
Expected dividends		—	%		—	%

(1)

In June 2024, the Company granted a total of 660,166 stock options of which 188,606 stock options to Belgian taxed beneficiaries. Belgian taxed beneficiaries can choose between a contractual term of five or ten years. The expected option life ranges between 4.16 and 6.35 years. The fair value per option granted to Belgian taxed beneficiaries at grant date would range from $ 137.63 (for the stock options of Belgian taxed beneficiaries with a contractual term of five years) to $174.78 (for the stock options of Belgian taxed beneficiaries with a contractual term of ten years). This estimate will be reassessed once the acceptance period of 60 days has passed and the beneficiaries will have made a choice between a contractual term of five or ten years.

(2)	amounts have been converted to USD at the applicable rate prevailing at the grant date.

The total share-based payment expense related to stock options recognized in the unaudited condensed consolidated statement of profit or loss totaled $70 million for the six months ended June 30, 2024 compared to $72 million for the six months ended June 30, 2023.

9.2 Restricted Stock Units (RSUs)

The RSUs are granted to key persons of the Company and its subsidiaries. The RSUs have been granted free of charge. Each employee’s RSUs converts into one ordinary share of the Company upon vesting. The RSUs carry neither rights to dividends nor voting rights. RSUs once converted into ordinary shares, may be sold at any time from the date of vesting, have no expiry date and may be held by the participant without limitation. The fair value of RSUs is based on the closing sale price of our Company’s common stock on the day prior to the date of issuance. RSUs vest over a period of 4 years with 1/4^th of the total grant vesting at each anniversary of the date of grant.

The total share-based payment expense related to RSUs recognized in the unaudited condensed consolidated interim statements of profit or loss totaled $33 million for the six months ended June 30, 2024 compared to $30 million for six months ended June 30, 2023.

Financial instruments and financial risk management

6 Months Ended

Jun. 30, 2024

Financial instruments and financial risk management

Financial instruments and financial risk management

15. Financial instruments and financial risk management

The Company carried the following assets at fair value on June 30, 2024 and December 31, 2023, respectively:


	At June 30, 2024
(in thousands of $)	Level 1		Level 2		Level 3
Non-current financial assets	$	10,293	$	—	$	21,715
Cash and cash equivalents		1,307,197		—		—
Assets carried at fair value	$	1,317,490	$	—	$	21,715


	At December 31, 2023
(in thousands of $)	Level 1		Level 2		Level 3
Non-current financial assets	$	15,528	$	—	$	21,715
Cash and cash equivalents		1,678,100		—		—
Assets carried at fair value	$	1,693,628	$	—	$	21,715

Non-current financial assets – Level 3

The Company has a profit share in AgomAb Therapeutics NV. Since AgomAb Therapeutics NV is a private company, the valuation of the profit is based on level 3 assumptions.

In October 2023, AgomAb Therapeutics NV secured $100 million as a result of a Series C financing round. The Company’s profit share diluted as the number of shares held by the company stayed stable where the post-money valuation of AgomAb increased, which results in unchanged fair value of the non-current asset.

Non-current financial assets – Level 1

As part of the license agreement for the development and commercialization for efgartigimod in Greater China, the Company obtained, amongst others, 568,182 newly issued Zai Lab shares calculated at a price of $132 per share. The fair value of the equity instrument at period-end is determined by reference to the closing price of such securities at each reporting date (classified as level 1 in the fair value hierarchy), resulting in a change in fair value. The Company made the irrevocable election to recognize subsequent changes in fair value through OCI.

Income tax benefit (Details) - USD ($) $ in Thousands	6 Months Ended
Income tax benefit (Details) - USD ($) $ in Thousands	Jun. 30, 2024	Jun. 30, 2023
Income taxes
Income tax benefit	$ (56,822)	$ (36,800)
Pretax loss	(89,353)	(160,039)
Deferred tax impact	$ 64,000	$ 44,000

- Definition

The aggregate amount included in the determination of profit (loss) for the period in respect of current tax and deferred tax. [Refer: Current tax expense (income); Deferred tax expense (income)]

+ References + Details

Share based payments (Tables)

6 Months Ended

Jun. 30, 2024

Share based payments

Schedule of parameters used in relation to the new grants


Stock options granted in	April 2024			June 2024 (1)
Number of options granted		42,243			660,166
Average Fair value of options (in $) (2)	$	112.14 - 156.49		$	158.50
Share price (in $) (2)	$	365.56 - 396.30		$	437.41
Exercise price (in $) (2)	$	396.30		$	445.76
Expected volatility		35.53 - 39.04	%		35.17	%
Average Expected option life (in years)		4.30 - 6.49			5.34
Risk‑free interest rate		2.66 - 3.02	%		2.87	%
Expected dividends		—	%		—	%

(1)

(2)	amounts have been converted to USD at the applicable rate prevailing at the grant date.

Share based payments - Overview (Details)	1 Months Ended		6 Months Ended
Share based payments - Overview (Details)	Jun. 30, 2024 USD ($) Y EquityInstruments $ / shares	Apr. 30, 2024 Y EquityInstruments $ / shares	Jun. 30, 2024 USD ($) Y EquityInstruments $ / shares
Disclosure of terms and conditions of share-based payment arrangement [line items]
Number of options granted \| EquityInstruments	660,166	42,243	660,166
Average Fair value of options	$ 158.50
Share price	437.41
Exercise price	$ 445.76	$ 396.30	$ 445.76
Expected volatility	35.17%
Average Expected option life (in years) \| Y	5.34
Risk-free interest rate	2.87%
Belgian taxed beneficiaries
Disclosure of terms and conditions of share-based payment arrangement [line items]
Number of options granted \| EquityInstruments			188,606
Minimum
Disclosure of terms and conditions of share-based payment arrangement [line items]
Average Fair value of options		112.14
Share price		$ 365.56
Expected volatility		35.53%
Average Expected option life (in years) \| Y		4.30	4.16
Risk-free interest rate		2.66%
Time period for beneficiaries to choose contractual term	5 years
Minimum \| Belgian taxed beneficiaries
Disclosure of terms and conditions of share-based payment arrangement [line items]
Time period for beneficiaries to choose contractual term	5 years
Fair value of options \| $	$ 137,630		$ 137,630
Maximum
Disclosure of terms and conditions of share-based payment arrangement [line items]
Average Fair value of options		$ 156.49
Share price		$ 396.30
Expected volatility		39.04%
Average Expected option life (in years) \| Y	6.35	6.49
Risk-free interest rate		3.02%
Time period for beneficiaries to choose contractual term	10 years
Maximum \| Belgian taxed beneficiaries
Disclosure of terms and conditions of share-based payment arrangement [line items]
Time period for beneficiaries to choose contractual term	10 years
Fair value of options \| $	$ 174,780		$ 174,780

Cash and cash equivalents (Tables)

6 Months Ended

Jun. 30, 2024

Cash and cash equivalents

Schedule of cash and cash equivalents


	At June 30,		At December 31,
(in thousands of $)	2024		2023
Money market funds	$	1,307,197	$	1,678,100
Term accounts		100,000		350,000
Cash and bank balances		31,050		20,744
Total cash and cash equivalents	$	1,438,247	$	2,048,844

Basis of preparation

6 Months Ended

Jun. 30, 2024

Basis of preparation

Basis of preparation

2. Basis of preparation

All amounts herein are presented in thousands of $, unless otherwise indicated, rounded to the nearest $ ‘000.

The unaudited condensed consolidated financial statements have been approved for issue by the Company’s Board of Directors (the “Board”) on July 23, 2024.

Research and development expenses (Tables)

6 Months Ended

Jun. 30, 2024

Research and development expenses

Schedule of research and development expenses


	Six Months Ended
	June 30,
(in thousands of $)	2024		2023
Personnel expenses	$	132,903	$	99,482
External research and development expenses		286,038		233,868
Materials and consumables		2,309		2,044
Depreciation and amortization		2,769		3,498
IT expenses		16,493		13,441
Other expenses		9,743		9,031
Total Research and development expenses	$	450,255	$	361,364

Segment reporting

6 Months Ended

Jun. 30, 2024

Segment reporting

Segment reporting

11. Segment reporting

The Company manages its activities and operates as one business unit which is reflected in its organizational structure and internal reporting. The Company’s information on different segments or geographical segments is not used by management in making operating decisions.

The following table summarizes the product net sales by region of sales:


	Six Months Ended
	June 30,
(in thousands of $)	2024		2023
North America	$	755,536	$	440,853
Japan		38,114		23,645
EMEA		66,072		22,836
China		16,196		—
Total product net sales	$	875,918	$	487,335

We sell our products through a limited number of distributors and wholesalers. Four U.S. customers represent approximately 88% of the product net sales in the U.S. during six months ended June 30, 2024 (compared to 88% for the same period in 2023).

Segment reporting - Major distributor or whole sellers (Details)	6 Months Ended
	Jun. 30, 2024 customer item	Jun. 30, 2023
Segment reporting
Number of operating segments \| item	1
Number of major customers from U.S. \| customer	4
Percentage of product net sales from major customers from United States	88.00%	88.00%

Cash and cash equivalents (Details) - USD ($) $ in Thousands	Jun. 30, 2024	Dec. 31, 2023	Jun. 30, 2023	Dec. 31, 2022
Cash and cash equivalents
Money market funds	$ 1,307,197	$ 1,678,100
Term accounts	100,000	350,000
Cash and bank balances	31,050	20,744
Total cash and cash equivalents	$ 1,438,247	$ 2,048,844	$ 1,110,567	$ 800,740

Trade and other receivables (Tables)

6 Months Ended

Jun. 30, 2024

Trade and other receivables.

Schedule of trade and other receivables


	At June 30,		At December 31,
(in thousands of $)	2024		2023
Trade receivable	$	515,960	$	417,994
Interest receivable		33,295		13,126
Tax receivables		46,107		63,605
Other receivables		57,513		1,962
Total trade and other receivables	$	652,875	$	496,687

UNAUDITED CONDENSED CONSOLIDATED INTERIM STATEMENTS OF COMPREHENSIVE INCOME (LOSS) - USD ($) $ in Thousands	6 Months Ended
	Jun. 30, 2024	Jun. 30, 2023
UNAUDITED CONDENSED CONSOLIDATED INTERIM STATEMENTS OF COMPREHENSIVE INCOME (LOSS)
Loss for the period	$ (32,531)	$ (123,239)
Currency translation differences, arisen from translating foreign activities	(2,608)	762
Fair value gain/(loss) on investments in equity instruments designated as at FVTOCI	(5,682)	(1,688)
Other comprehensive loss, net of income tax	(8,290)	(926)
Owners of the parent	$ (40,821)	$ (124,165)

- Definition

The total of income less expenses from continuing and discontinued operations, excluding the components of other comprehensive income. [Refer: Other comprehensive income]

+ References

+ Details

Trade and other payables (Details) - USD ($) $ in Thousands	Jun. 30, 2024	Dec. 31, 2023	Dec. 31, 2022
Trade and other payables.
Trade payables	$ 280,633	$ 245,557
Gross-to-net accruals	84,236	55,788	$ 19,478
Short-term employee benefits	106,708	95,104
Other	8,252	17,564
Total trade and other payables	$ 479,829	$ 414,013

Financial instruments and financial risk management - License agreement (Details) - USD ($) $ / shares in Units, $ in Millions	1 Months Ended	6 Months Ended
	Oct. 31, 2023	Jun. 30, 2024
AgomAb \| Preferred Class C Shares
Financial instruments and financial risk management
Proceeds from issue of shares	$ 100
Zai Lab
Financial instruments and financial risk management
Number of equity instruments obtained		568,182
Price of equity instrument		$ 132

Selling, general and administrative expenses (Details) - USD ($) $ in Thousands	6 Months Ended
	Jun. 30, 2024	Jun. 30, 2023
Selling, general and administrative expenses
Personnel expenses	$ 194,026	$ 134,862
Marketing services	150,341	90,436
Professional fees	86,406	42,796
Supervisory board	4,267	3,978
Depreciation and amortization	1,424	1,083
IT expenses	11,647	5,496
Other expenses	43,583	32,499
Total Selling, general and administrative expenses	$ 491,694	$ 311,149