UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

FORM 10-Q

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

For the quarterly period ended June 30, 2022

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

For the transition period from to

Commission file number 0-17999

ImmunoGen, Inc.

Massachusetts		04-2726691
(State or other jurisdiction of incorporation or organization)		(I.R.S. Employer Identification No.)

830 Winter Street, Waltham, MA 02451

(Address of principal executive offices, including zip code)

(781) 895-0600

(Registrant’s telephone number, including area code)

Securities registered pursuant to Section 12(b) of the Act:

	Title of Each Class		Trading Symbol		Name of Each Exchange on Which Registered
	Common Stock, $.01 par value		IMGN		Nasdaq Global Select Market

Indicate by check mark whether the registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days. ⌧ Yes ◻ No

Indicate by check mark whether the registrant has submitted electronically every Interactive Data File required to be submitted pursuant to Rule 405 of Regulation S-T (§232.405 of this chapter) during the preceding 12 months (or for such shorter period that the registrant was required to submit such files). ⌧ Yes ◻ No

Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, a smaller reporting company, or an emerging growth company. See definitions of “large accelerated filer,” “accelerated filer,” “smaller reporting company,” and “emerging growth company” in Rule 12-b2 of the Exchange Act.

Large accelerated filer ⌧	Accelerated filer ◻
Non-accelerated filer ◻	Smaller reporting company ☐
	Emerging growth company ☐

If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. ◻

Indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Exchange Act). ☐ Yes ⌧ No

Indicate the number of shares outstanding of each of the issuer’s classes of common stock, as of the latest practicable date.

Shares of common stock, par value $.01 per share: 220,713,090 shares outstanding as of July 25, 2022.

Table of Contents

IMMUNOGEN, INC.

FORM 10-Q

FOR THE QUARTER ENDED JUNE 30, 2022

TABLE OF CONTENTS



Item		Page Number
	Part I
	Financial Information
1.	Financial Statements (Unaudited)	2

1a.	Consolidated Balance Sheets as of June 30, 2022 and December 31, 2021	2

1b.	Consolidated Statements of Operations and Comprehensive Loss for the three and six months ended June 30, 2022 and 2021	3

1c.	Consolidated Statements of Shareholders’ Equity for the three months ended June 30, 2022 and March 31, 2022 and the three months ended March 31, June 30, September 30, and December 31, 2021	4

1d.	Consolidated Statements of Cash Flows for the six months ended June 30, 2022 and 2021	5

1e.	Notes to Consolidated Financial Statements	6

2.	Management’s Discussion and Analysis of Financial Condition and Results of Operations	17

3.	Quantitative and Qualitative Disclosures about Market Risk	23

4.	Controls and Procedures	23

	Part II
	Other Information
1A.	Risk Factors	23

6.	Exhibits	24

	Signatures	25

Forward-looking statements

This Form 10-Q includes forward-looking statements. Forward-looking statements are neither historical facts nor assurances of future performance. Instead, these forward-looking statements relate to analyses and other information that are based on beliefs, expectations, assumptions, and forecasts of future results and estimates of amounts that are not yet determinable. These statements also relate to our prospects, future developments, product candidates, and business strategies.

These forward-looking statements are identified by their use of terms and phrases, such as “anticipate,” “believe,” “could,” “estimate,” “expect,” “intend,” “may,” “plan,” “predict,” “project,” “will,” and other similar terms and phrases, including references to assumptions. These statements are contained in the “Management’s Discussion and Analysis of Financial Condition and Results of Operations” and “Risk Factors” sections, as well as the notes to our financial statements and other sections of this report.

We may not actually achieve the plans, intentions, or expectations disclosed in our forward-looking statements, and investors should not place undue reliance on our forward-looking statements. Additionally, these forward-looking statements involve known and unknown risks, uncertainties, and other factors that may cause actual results to be materially different from those contemplated by our forward-looking statements. These known and unknown risks, uncertainties, and other factors are described in detail in the “Risk Factors” section and in other sections of this report and our Annual Report on Form 10-K for the year ended December 31, 2021 filed with the Securities and Exchange Commission (SEC) on February 28, 2022, as supplemented by our Quarterly Report on Form 10-Q for the quarter ended March 31, 2022, and as updated and/or supplemented in subsequent filings with the SEC. Except as required by law, we disclaim any intention or obligation to update or revise any forward-looking statements, whether as a result of new information, future events, or otherwise.

Table of Contents

ITEM 1. Financial Statements

IMMUNOGEN, INC.

CONSOLIDATED BALANCE SHEETS

(UNAUDITED)

In thousands, except per share amounts


	June 30,		December 31,
	2022		2021
ASSETS
Cash and cash equivalents	$	373,874	$	478,750
Accounts receivable		909		4,467
Unbilled receivable		1,874		2,345
Contract assets		—		3,000
Non-cash royalty receivable		3,168		4,115
Prepaid and other current assets		14,099		7,322
Total current assets		393,924		499,999
Property and equipment, net of accumulated depreciation		4,334		4,663
Operating lease right-of-use assets		11,361		12,392
Other assets		12,676		8,711
Total assets	$	422,295	$	525,765
LIABILITIES AND SHAREHOLDERS’ EQUITY
Accounts payable	$	17,245	$	18,434
Accrued compensation		4,960		5,469
Other accrued liabilities		36,588		23,077
Current portion of liability related to the sale of future royalties, net of deferred financing costs of $187 and $198, respectively		8,772		6,077
Current portion of operating lease liability		3,870		3,537
Current portion of deferred revenue		15,636		44,351
Total current liabilities		87,071		100,945
Deferred revenue, net of current portion		43,611		47,717
Operating lease liability, net of current portion		13,254		15,244
Liability related to the sale of future royalties, net of current portion and deferred financing costs of $282 and $381, respectively		28,062		34,967
Other long-term liabilities		466		1,306
Total liabilities		172,464		200,179
Commitments and contingencies (Note H)
Shareholders’ equity:
Preferred stock, $.01 par value; authorized 5,000 shares; no shares issued and outstanding as of each of June 30, 2022 and December 31, 2021		—		—
Common stock, $.01 par value; authorized 600,000 shares; 220,644 and 220,361 shares issued and outstanding as of June 30, 2022 and December 31, 2021, respectively		2,206		2,204
Additional paid-in capital		1,804,934		1,794,525
Accumulated deficit		(1,557,309)		(1,471,143)
Total shareholders’ equity		249,831		325,586
Total liabilities and shareholders’ equity	$	422,295	$	525,765

The accompanying notes are an integral part of the consolidated financial statements.

Table of Contents

IMMUNOGEN, INC.

CONSOLIDATED STATEMENTS OF OPERATIONS AND COMPREHENSIVE LOSS

(UNAUDITED)

In thousands, except per share amounts



	Three Months Ended				Six Months Ended
	June 30,				June 30,
	2022		2021		2022		2021
Revenues:
License and milestone fees	$	6,973	$	252	$	37,865	$	409
Non-cash royalty revenue related to the sale of future royalties		7,116		16,690		13,544		32,235
Research and development support		73		6		831		10
Total revenues		14,162		16,948		52,240		32,654
Operating expenses:
Research and development

SEC Form 10-Q filed by ImmunoGen Inc.