DGAP-News: MorphoSys AG / Key word(s): Quarterly / Interim Statement 
MorphoSys AG Reports First Quarter 2021 Results 
2021-05-05 / 22:03 
The issuer is solely responsible for the content of this announcement. 
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Media Release 
Planegg/Munich, Germany, May 5, 2021 
MorphoSys AG Reports First Quarter 2021 Results 
  . Monjuvi^U.S. net product sales of EUR 12.9 million (USUSD 15.5 million) 
  . Tremfya royalties of EUR 11.6 million 
  . Reaffirming group revenue guidance of EUR 150 to EUR 200 million 
  . Conference call and webcast (in English) tomorrow, May 6, 2021 at 2:00pm CEST (1:00pm BST/8:00am EDT) 
MorphoSys AG (FSE:MOR; NASDAQ:MOR) reports financial results for the first quarter of 2021. 
"For 2021, our focus is on three key areas: executing on the Monjuvi launch; rapidly advancing the tafasitamab backbone 
strategy through additional clinical studies; and expanding our pipeline," said Jean-Paul Kress, M.D., Chief Executive 
Officer of MorphoSys. "While we experienced headwinds from the pandemic in the first quarter, we are cautiously 
optimistic that the COVID-19 impact in the U.S. will start to diminish in the second half of 2021. We are confident in 
the potential of Monjuvi given its broad second-line label and overall profile in the r/r DLBCL setting. We are 
also making important progress initiating key trials for both tafasitamab and felzartamab this year." 
Tafasitamab Highlights 
  . Monjuvi^(R) (tafasitamab-cxix) U.S. net product sales of EUR 12.9 million (USUSD 15.5 million). 
  . Monjuvi was granted a product-specific HCPCS J-Code, effective April 1, 2021. 
  . On January 5, 2021, MorphoSys and Incyte announced that the Swiss Agency for Therapeutic Products (Swissmedic) had 
    accepted the marketing authorization application (MAA) for tafasitamab and on January 12, 2021, MorphoSys and 
    Incyte announced that Health Canada had accepted the New Drug Submission (NDS) for tafasitamab. Both applications 
    seek approval for tafasitamab, in combination with lenalidomide, followed by tafasitamab monotherapy, for the 
    treatment of adult patients with relapsed or refractory diffuse large B-cell lymphoma (DLBCL), including DLBCL 
    arising from low grade lymphoma, who are not eligible for, or refuse, autologous stem cell transplantation (ASCT). 
Pipeline Highlights 
Felzartamab: 
  . M-PLACE study of felzartamab in autoimmune membranous nephropathy ongoing: the safety run-in phase was completed 
    and the full enrollment phase opened. 
  . In February 2021, the first patient with autoimmune membranous nephropathy was dosed with felzartamab in the 
    New-PLACE study, a phase 2 study evaluating different treatment schedules to identify the regimen for the pivotal 
    study. 
Otilimab: 
  . On March 2, 2021, we announced that our partner GSK reported preliminary results of the OSCAR study using otilimab 
    for the treatment of severe pulmonary COVID-19 related disease. Given these data suggest an important clinical 
    benefit in a pre-defined sub-group of high-risk patients and the urgent public health need, GSK has amended the 
    OSCAR study to expand this cohort to confirm these potentially significant findings. The dosing of the first 
    patient in the expanded study triggered milestone payments totaling EUR 16 million to MorphoSys. 
MOR210: 
  . On January 25, 2021, MorphoSys and I-Mab announced that the first patient has been dosed in a phase 1 dose 
    escalation study to evaluate the safety, tolerability, pharmacokinetics (PK) and pharmacodynamics (PD) of MOR210/ 
    TJ210 monotherapy in patients with relapsed or refractory advanced solid tumors in the United States. 
Corporate Updates 
  . On January 6, 2021, MorphoSys announced the appointment of Sung Lee as Chief Financial Officer, effective as of 
    February 2, 2021. 
Significant Events After The Reporting Period 
  . On April 19, 2021, MorphoSys and Incyte announced that the first patient has been dosed in the placebo-controlled 
    Phase 3 inMIND study evaluating the efficacy and safety of tafasitamab or placebo in combination with lenalidomide 
    and rituximab in patients with relapsed or refractory follicular lymphoma (FL) or marginal zone lymphoma (MZL). 
 
First Quarter 2021 Financial Results (IFRS) 
Total revenues for the quarter ended March 31, 2021 were EUR 47.2 million compared to EUR 251.2 million for the comparable 
period in 2020. The year-over-year decline was driven by the upfront payment of the collaboration and license agreement 
with Incyte in the first quarter 2020 for the out-licensing of tafasitamab outside the USA. 
in EUR million                    3M 2021 3M 2020 Change 
 
Total revenues                     47.2   251.2  (81%) 
Monjuvi product sales              12.9       -      - 
Royalties                          11.6     9.3    25% 
Licenses, milestones and other     22.7   241.9  (91%)

Cost of Sales: In the first three months of 2021, cost of sales increased to EUR 5.0 million (3M 2020: EUR 3.3 million).

Research and Development (R&D) Expenses: In the first three months of 2021, research and development expenses were EUR 33.3 million (3M 2020: EUR 21.5 million). Growth over 2020 reflects the increased investment to support the advancement of proprietary programs and consisted primarily of expenses for external laboratory services and personnel expenses.

Selling, General and Administrative (SG&A) Expenses: Selling expenses increased in the first three months of 2021 to EUR 28.2 million (3M 2020: EUR 12.8 million) and general and administrative expenses remained almost unchanged at EUR 10.3 million (3M 2020:EUR 10.1 million). The year-over-year increase in selling expenses was primarily driven by the full quarter impact of the expenses for services provided by Incyte as part of the joint U.S. marketing activities for Monjuvi.

Operating Loss: Operating loss amounted to EUR 29.6 million in the first three months of 2021 (3M 2020: operating profit of EUR 203.5 million).

Consolidated Net Loss: For the first three months of 2021, consolidated net loss was EUR 41.6 million (3M 2020: consolidated net profit of EUR 195.5 million).

Cash and Investments: As of March 31, 2021, the Company had cash and investments of EUR 1,215.0 million compared to EUR 1,244.0 million on December 31, 2020.

Number of shares: The number of shares issued remained unchanged since year-end 2020 and totaled 32,890,046. Financial Guidance and Operational Outlook for 2021 


in EUR million                              Financial Guidance 2021 
 
Group Revenues                                  150 to 200* 
Operating Expenses                             355 to 385** 
R&D expense as a % of Operating Expenses         45 to 50%

*Group revenues includes the announced EUR 16 million milestone payments from GSK, but excludes other potential significant milestones from development partners and/or licensing partnerships. This revenue guidance is subject to a number of uncertainties including the potential for variability from the first full year of the Monjuvi product launch, the limited visibility that MorphoSys has on the Tremfya royalty stream as well as the ongoing COVID-19 pandemic and the impact on our as well as our partner's business operations.

**Operating expenses is comprised of R&D and SG&A, inclusive of Incyte's share of Monjuvi selling costs in the USA.

MorphoSys expects for Tafasitamab the following events and activities in 2021: . Continuation of the phase 1b trial with tafasitamab in previously untreated DLBCL (firstMIND); . Initiation of a pivotal phase 3 trial of tafasitamab in previously untreated DLBCL (frontMIND); . Continuation of the phase 3 inMIND trial of tafasitamab in patients with relapsed or refractory follicular lymphoma

(FL) or marginal zone lymphoma (MZL); . Investigation of tafasitamab, plamotamab and lenalidomide in patients with relapsed or refractory DLBCL, first-line

DLBCL and relapsed or refractory follicular lymphoma (r/r FL) jointly with Incyte and Xencor; . Continuation of the L-MIND study of tafasitamab and evaluate the long-term efficacy and safety data; . Continuation of the phase 3 B-MIND study of tafasitamab in combination with bendamustine for r/r DLBCL; . Presentation of data from the 3-year follow up of L-MIND as well as other abstracts at several scientific

conferences (e.g. ASCO, EHA); . Decision on the European Marketing Authorization Application (MAA), seeking approval of tafasitamab in combination

with lenalidomide, followed by tafasitamab monotherapy, for the treatment of adult patients with r/r DLBCL which is

currently under review; . Support of Incyte in submitting marketing authorization applications in other markets. MorphoSys Group Key Figures (IFRS, March 31, 2021) 


in EUR million                                  3M 2021  3M 2020   Change 
 
Revenues                                         47.2    251.2    (81%) 
Monjuvi product sales                            12.9        -        - 
Royalties                                        11.6      9.3      25% 
Licenses, milestones and other                   22.7    242.0    (91%) 
Cost of Sales                                   (5.0)    (3.3)      52% 
Gross Profit                                     42.1    248.0    (83%) 
Total Operating Expenses:                      (71.7)   (44.4)      61% 
Research and Developlment                      (33.3)   (21.5)      55% 
Selling                                        (28.2)   (12.8)   > 100% 
General and Administrative                     (10.3)   (10.1)     (2%) 
Operating Profit / (Loss)                      (29.6)    203.5 > (100%) 
Consolidated Net Profit (+) / (Loss)           (41.6)    195.5 > (100%) 
Earnings per Share, Basic and Diluted (in EUR)   (1.27) 
Earnings per Share, Basic (in EUR)                    -     6.12        - 
Earnings per Share, diluted (in EUR)                  -     6.11        - 
Cash and investments (end of period)          1,215.0 1,244.0*     (2%)

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