Company: ZLAB
Filing Date: 2025-08-07
Form Type: 10-Q
Source: 0001628280-25-038548
Chunk: 72

Company: Zai Lab Ltd
Filing Date: 2025-08-07
Form: 10-Q
Item: Part I, Item 8
Chunk 72
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’s property and equipment, net ($ in thousands):June 30, 2025December 31, 2024Office equipment1,237 1,230 Electronic equipment9,279 9,211 Vehicle196 196 Laboratory equipment20,444 20,516 Manufacturing equipment17,573 17,493 Leasehold improvements14,560 11,306 Building24,150 — Construction in progress1,242 25,129 88,681 85,081 Less: accumulated depreciation(38,521)(37,120)Property and equipment, net50,160 47,961 

Depreciation expense was $2.3 million and $4.3 million in the three and six months ended June 30, 2025, respectively, and $2.2 million and $4.4 million in the three and six months ended June 30, 2024, respectively. 

6. Intangible Assets, Net 

The following table presents the components of the Company’s intangible assets, net ($ in thousands):June 30, 2025December 31, 2024Gross Carrying AmountAccumulated AmortizationNet Carrying ValueGross Carrying AmountAccumulated AmortizationNet Carrying ValueFinite-lived intangible assetsCommercial products60,544 (5,279)55,265 57,104 (2,637)54,467 Software4,377 (3,123)1,254 4,360 (2,800)1,560 Total64,921 (8,402)56,519 61,464 (5,437)56,027 Intangible assets for commercial products include capitalized post-approval milestone fees and acquired commercial manufacturing know-how and related development costs. The Company is amortizing intangible assets for commercial 

10

Zai Lab Limited Notes to the unaudited condensed consolidated financial statements 

products as cost of product revenue over the estimated remaining useful life of the related products. Intangible assets for externally purchased software are amortized over three to five years on a straight-line basis.Amortization expense was $1.5 million and $2.9 million in the three and six months ended June 30, 2025, respectively, and $0.8 million and $1.5 million in the three and six months ended June 30, 2024, respectively. The weighted-average remaining