Company: HMDCF
Filing Date: 2025-03-19
Form Type: 20-F
Source: 0001410578-25-000377
Chunk: 669

Company: HUTCHMED (China) Ltd
Filing Date: 2025-03-19
Form: 20-F
Item: Item 16K
Chunk 669
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,405,767share options were granted in August 2024 where the number of share options exercisable is subject to certain performance targets based on a market condition covering the3-yearperiods from 2023 to 2025 and from 2024 to 2026 respectively which has been reflected in estimating the grant date fair value using the Monte Carlo simulation model. The grant date fair value of such awards are US$1.29and US$1.24per share respectively. Vesting of such awards will occur in March 2026 and March 2027 respectively if the performance targets are met.
In estimating the fair value of share options granted, the following assumptions were used in the Monte Carlo simulation model for the awards that are subject to certain performance targets based on a market condition and Polynomial model for other options granted in the periods indicated:
Year Ended December 31,
2024 2023
─────────────────────────────────────────────────────────────────────────────────────────────────────────────────────
Weighted average grant date fair value of share options (in US$ per share) 1.29 1.14
Significant inputs into the valuation model (weighted average):
Exercise price (in US$ per share) 3.69 2.50
Share price at effective date of grant (in US$ per share) 3.69 2.50
Expected volatility (note (a)) 54.7 53.3
Risk-free interest rate (note (b)) 3.86 3.69
Contractual life of share options (in years) 10 10
Expected dividend yield (note (c)) 0 0
Notes:
(a) The Company calculated its expected volatility with reference to the historical volatility prior to the issuances of share options.
(b) The risk-free interest rates reference the US Treasury yield curves.
(c) The Company has not declared or paid any dividends and does not currently expect to do so prior to the exercise of the granted share options, and therefore uses an expected dividend yield of ze...

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Table of Contents

The Company will issue new shares to satisfy share option exercises. The following table summarizes the Company’s share option exercises:
Year Ended December 31,
2024 2023 2022
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(in US$ ’ 000)
Cash received from share option exercises 790 5,094 174
Total intrinsic value of share option exercises 476 4