Company: ZLAB
Filing Date: 2025-02-27
Form Type: 10-K
Source: 0001628280-25-008409
Chunk: 38

Company: Zai Lab Ltd
Filing Date: 2025-02-27
Form: 10-K
Item: Item 16
Chunk 38
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 as required under ASC 280 (see Note 21).

F-19

Zai Lab LimitedNotes to the Consolidated Financial StatementsFor the Years Ended December 31, 2024, 2023, and 2022

3.    Cash and Cash Equivalents 

The following table presents the Company’s cash and cash equivalents ($ in thousands):December 31,20242023Cash448,508 789,051 Cash equivalents (i)1,159 1,100 449,667 790,151 Denominated in:US$429,887 762,436 RMB (ii)18,979 25,093 Hong Kong dollar (“HK$”)114 1,974 Australian dollar (“A$”)522 587 Taiwan dollar (“TW$”)165 61 449,667 790,151 (i)Cash equivalents represent short-term and highly liquid investments in a money market fund. 

(ii)Certain cash and bank balances denominated in RMB were deposited with banks in mainland China. The conversion of these RMB-denominated balances into foreign currencies is subject to the rules and regulations of foreign exchange control promulgated by the Chinese government. 

4.    Short-Term Investments

Short-term investments are primarily comprised of time deposits with original maturities between three months and one year. The short-term investments balance was $330.0 million and $16.3 million as of December 31, 2024 and 2023, respectively. No allowance for credit loss was recorded as of December 31, 2024 and 2023. 

5.    Inventories, Net

The following table presents the Company’s inventories, net ($ in thousands):December 31,20242023Finished goods24,063 22,702 Raw materials13,268 17,655 Work in progress2,544 4,470 Inventories, net39,875 44,827 The Company writes down inventory for any excess or obsolete inventories or when the Company believes that the net realizable value of inventories is less than the carrying value. The Company recorded write-downs in inventory, which were included in cost of product revenue of $0.8 million, $1.0 million, and $0.5 million in 2024, 2023, and 2022, respectively.

F-20

Zai Lab LimitedNotes to the Consolidated Financial StatementsFor