Telix Pharmaceuticals Ltd — Interim / Quarterly Report 2017

Jan 29, 2018

Telix Pharmaceuticals Limited ACN 616 620 369 Suite 401, 55 Flemington Road North Melbourne Victoria, 3051 Australia

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Appendix 4C – December 2017 quarter

Melbourne (Australia) – 30[th] January 2018 . Telix Pharmaceuticals Limited (ASX.TLX) (“Telix”, the “Company”), an Australian biopharmaceutical company developing a pipeline of “molecularly targeted radiation”, or “MTR”, products for unmet needs in cancer care, is pleased to provide its Appendix 4C for the December 2017 quarter.

• Net cash outflows in the quarter of $1.685 million, with $0.960 million on direct R&D activities

• $0.462 million R&D tax rebate received in the quarter for eligible R&D activities undertaken in the six months to 30 June 2017. A further R&D tax rebate claim is in process for eligible R&D activities undertaken to 31 December 2017

• Cash reserves of $46.853 million at the end of the quarter

Key activities in the Quarter

• Telix completed an over-subscribed IPO and listed on the ASX on 15 November 2017

• Appointment of Dr Bernard Lambert as President and Chief Operating Officer (COO) of US subsidiary

• Executed a manufacturing partnership with JFE Engineering Corporation, a company with extensive expertise in the installation of cyclotron infrastructure and radiopharmaceutical manufacturing in Japan

• Executed a collaboration with Memorial Sloan Kettering Cancer Center (MSK) which will see MSK use TLX-250 as a tool to better manage treatment of patients with metastatic clear cell renal cell cancer (ccRCC)

About Telix Pharmaceuticals Limited

Telix is an Australian biopharmaceutical company focused on the development of diagnostic and therapeutic products based on targeted radiopharmaceuticals or molecularly-targeted radiation (MTR). The Company is developing an advanced portfolio of oncology products that address significant unmet medical need in renal, prostate and brain (glioblastoma) cancer. Telix is listed on the Australian Securities Exchange (ASX:TLX). For more information visit www.telixpharma.com.

Corporate Contact Dr Christian Behrenbruch Telix Pharmaceuticals Limited Email: chris@telixpharma.com

Investor and Media Relations Kyahn Williamson WE Buchan Tel: +61 (3) 9866 4722 Email: kwilliamson@buchanwe.com.au

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Appendix 4C Quarterly report for entities subject to Listing Rule 4.7B

+Rule 4.7B

Appendix 4C

Quarterly report for entities subject to Listing Rule 4.7B

Introduced 31/03/00 Amended 30/09/01, 24/10/05, 17/12/10, 01/09/16

Name of entity

Telix Pharmaceuticals Limited

ABN		Quarter ended (“current quarter”)
85 616 620 369		December 2017

Consolidated statement of cash flows	Consolidated statement of cash flows	Current quarter	Year to date
		$A’000	(12 months)
			$A’000
1.	Cash flows from operating activities
1.1	Receipts from customers	-	-
1.2	Payments for
	(a) research and development	($960)	($2,850)
	(b) product manufacturing and operating	-	-
	costs
	(c) advertising and marketing	($18)	($22)
	(d) leased assets	-	-
	(e) staff costs	(355)	($874)
	(f) administration and corporate costs	($581)	($1,447)
1.3	Dividends received (see note 3)		-
1.4	Interest received	$5	$30
1.5	Interest and other costs of finance paid	-	-
1.6	Income taxes paid	-	-
1.7	Government grants and tax incentives	$462	$462
1.8	Other (provide details if material)
	- Foreign currency losses	($237)	($289)
	- Others	-	($35)
1.9	Net cash from / (used in) operating	($1,685)	($5,026)
	activities
2.	Cash flows from investing activities
2.1	Payments to acquire:
	(a) property, plant and equipment	($5)	($5)
	(b) businesses (see item 10)

• See chapter 19 for defined terms

1 September 2016

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Appendix 4C Quarterly report for entities subject to Listing Rule 4.7B

Consolidated statement of cash flows	Consolidated statement of cash flows	Current quarter	Year to date
		$A’000	(12 months)
			$A’000
	(c) investments
	(d) intellectual property
	(e) other non-current assets
2.2	Proceeds from disposal of:
	(a) property, plant and equipment
	(b) businesses (see item 10)
	(c) investments
	(d) intellectual property
	(e) other non-current assets
2.3	Cash flows from loans to other entities	($832)	($861)
2.4	Dividends received (see note 3)
2.5	Other (provide details if material)
2.6	Net cash from / (used in) investing	($837)	($866)
	activities
3.	Cash flows from financing activities
3.1	Proceeds from issues of shares	$50,050	$58,550
3.2	Proceeds from issue of convertible notes
3.3	Proceeds from exercise of share options
3.4	Transaction costs related to issues of	($3,197)	($3,964)
	shares, convertible notes or options
3.5	Proceeds from borrowings
3.6	Repayment of borrowings
3.7	Transaction costs related to loans and
	borrowings
3.8	Dividends paid
3.9	Other (provide details if material)
3.10	Net cash from / (used in) financing	$46,853	$54,586
	activities
4.	Net increase / (decrease) in cash and
	cash equivalents for the period
4.1	Cash and cash equivalents at beginning of
	quarter/year to date	$4,363	$0
4.2	Net cash from / (used in) operating	($1,685)	($5,026)
	activities (item 1.9 above)
4.3	Net cash from / (used in) investing activities	($837)	($866)
	(item 2.6 above)
4.4	Net cash from / (used in) financing activities	46,853	$54,586
	(item 3.10 above)

• See chapter 19 for defined terms

1 September 2016

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Appendix 4C Quarterly report for entities subject to Listing Rule 4.7B

Consolidated statement of cash flows Current quarter $A’000 4.5 Effect of movement in exchange rates on cash held 4.6 Cash and cash equivalents at end of quarter $48,964	Year to date (12 months) $A’000 $48,964
5. Reconciliation of cash and cash equivalents at the end of the quarter (as shown in the consolidated statement of cash flows) to the related items in the accounts Current quarter $A’000 5.1 Bank balances $48,694 5.2 Call deposits 5.3 Bank overdrafts 5.4 Other (provide details) 5.5 Cash and cash equivalents at end of quarter (should equal item 4.6 above) $48,694	Previous quarter $A’000 $4,363 $4,362
6. Payments to directors of the entity and their associates Current quarter $A'000 6.1 Aggregate amount of payments to these parties included in item 1.2 $308 6.2 Aggregate amount of cash flow from loans to these parties included in item 2.3 Nil 6.3 Include below any explanation necessary to understand the transactions included in items 6.1 and 6.2
	Current quarter $A'000 $308 Nil
6.1 are directors’ fees payment.
7. Payments to related entities of the entity and their associates Current quarter $A'000 7.1 Aggregate amount of payments to these parties included in item 1.2 Nil 7.2 Aggregate amount of cash flow from loans to these parties included in item 2.3 ($831) 7.3 Include below any explanation necessary to understand the transactions included in items 7.1 and 7.2
	Current quarter $A'000 Nil ($831)

Repayment of loan payable to ABX-CRO for services performed on behalf of Therapeia GMBH KG & Co

• See chapter 19 for defined terms 1 September 2016

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Appendix 4C Quarterly report for entities subject to Listing Rule 4.7B

8.	Financing facilities available	Total facility amount	Amount drawn	at
	Add notes as necessary for an	at quarter end	quarter end
	understanding of the position	$A’000	$A’000
8.1	Loan facilities	Nil		Nil
8.2	Credit standby arrangements	Nil		Nil
8.3	Other (please specify)	Nil		Nil
8.4	Include below a description of each facility above, including the lender, interest rate and
	whether it is secured or unsecured. If any additional facilities have been entered into or are
	proposed to be entered into after quarter end, include details of those		facilities as well.

9.	Estimated cash outflows for next quarter	$A’000
9.1	Research and development	2,000
9.2	Product manufacturing and operating costs
9.3	Advertising and marketing
9.4	Leased assets
9.5	Staff costs	1,000
9.6	Administration and corporate costs	250
9.7	Other (provide details if material)
9.8	Total estimated cash outflows	$3,250

10.	Acquisitions and disposals of	Acquisitions	Disposals
	business entities
	(items 2.1(b) and 2.2(b) above)
10.1	Name of entity	Therapeia GmbH & Co KG
10.2	Place of incorporation or	Germany
	registration
10.3	Consideration for acquisition or	AUD$1,345
	disposal
10.4	Total net assets	AUD$1,345
10.5	Nature of business	Therapeia was a privately
		held German
		pharmaceutical company
		that held and developed the
		intellectual property for TLX
		101. TLX 101 is the brain
		cancer program of telix.

• See chapter 19 for defined terms 1 September 2016

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Appendix 4C Quarterly report for entities subject to Listing Rule 4.7B

Compliance statement

• 1 This statement has been prepared in accordance with accounting standards and policies which comply with Listing Rule 19.11A.

• 2 This statement gives a true and fair view of the matters disclosed.

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Sign here: ............................................................ ~~(Director~~ /Company secretary)

Date: 30 January 2018

Print name: Melanie Farris

Notes

1. The quarterly report provides a basis for informing the market how the entity’s activities have been financed for the past quarter and the effect on its cash position. An entity that wishes to disclose additional information is encouraged to do so, in a note or notes included in or attached to this report.

2. If this quarterly report has been prepared in accordance with Australian Accounting Standards, the definitions in, and provisions of, AASB 107: Statement of Cash Flows apply to this report. If this quarterly report has been prepared in accordance with other accounting standards agreed by ASX pursuant to Listing Rule 19.11A, the corresponding equivalent standard applies to this report.

3. Dividends received may be classified either as cash flows from operating activities or cash flows from investing activities, depending on the accounting policy of the entity.

4. See chapter 19 for defined terms 1 September 2016

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