MACROGENICS INCMGNX

MACROGENICS INC Commitments Disclosure

10-KFiled Mar 9, 20262 min read
Commitments and Contingencies 
Leases    
The Company has non-cancelable operating leases for manufacturing, laboratory, office and warehouse space in Maryland. The Company’s leases each have one or more five-year options to renew.
The table below presents supplemental balance sheet information related to operating leases:
December 31,
20252024
Weighted-average remaining lease term (in years)9.210.0
Weighted-average discount rate12.3%12.0%
During the years ended December 31, 2025 and 2024, the Company made cash payments for operating leases of $5.2 million and $3.8 million, respectively. As of December 31, 2025 and 2024, the Company’s ROU assets were valued at $22.9 million and $24.5 million, respectively.
The components of lease cost for the years ended December 31, 2025 and 2024 were as follows (in thousands):
December 31,
20252024
Operating lease cost
$6,099 $6,610 
Variable lease cost1,163 1,114 
Sublease income
(901)(1,145)
Net lease cost$6,361 $6,579 
As of December 31, 2025, the maturities of the Company’s operating lease liabilities were as follows (in thousands):
2026$5,507 
20276,258 
20287,413 
20296,346 
20306,417 
Thereafter33,356 
Total lease payments65,297 
Less: imputed interest(28,535)
Total lease liabilities$36,762 

In-licensing arrangement
In January 2022, the Company entered into a non-exclusive license agreement with Synaffix B.V., a Lonza company (Synaffix) to develop, manufacture and commercialize up to three antibody-drug conjugate targets using Synaffix’s proprietary technology. The Company made an upfront payment to Synaffix upon contract execution. In March 2023, the Company and Synaffix amended the agreement, adding four additional targets. Assuming all seven targets are successfully developed and commercialized, the Company would be obligated to pay up to $2.8 billion for development, regulatory and sales milestones. Finally, pursuant to the terms of this license agreement, as amended, upon commencement of commercial sales of any products developed from these targets, the Company would be required to pay Synaffix tiered royalties in the low‑single digit percentages on net sales of the respective products. The Company may terminate this agreement at any time with 30 days’ notice to Synaffix. Amounts paid to Synaffix under this agreement are recorded as research and development expense in the consolidated statement of operations. The Company incurred $3.2 million, $4.7 million and $2.8 million in expense under this agreement during the years ended December 31, 2025, 2024 and 2023, respectively.
Contractual Commitments
The Company has certain contractual commitments under manufacturing-related supplier arrangements as of December 31, 2025 totaling $4.1 million that expire through May 2026.

Historical Timeline

Fiscal YearFiled
2025Mar 9, 2026Showing above
2024Mar 20, 2025
2023Mar 7, 2024
2022Mar 15, 2023
2021Feb 24, 2022
2020Feb 25, 2021
2019Feb 25, 2020
2018Feb 26, 2019
2017Feb 27, 2018
2016Feb 28, 2017
2015Feb 29, 2016

About Commitments Disclosures

Commitments and contingencies disclosures catalog a company's off-balance-sheet obligations and legal exposures — purchase commitments, guarantee arrangements, pending litigation, and regulatory proceedings. These items represent potential future cash outflows that may not appear as liabilities on the balance sheet until they become probable and estimable.

Key signals: litigation reserves and disclosed loss ranges quantify management's estimate of legal exposure, but unquantified "reasonably possible" losses often represent the larger risk. Watch for changes in language around pending cases — shifts from "remote" to "reasonably possible" or increases in estimated loss ranges signal deteriorating outcomes. Unconditional purchase obligations and take-or-pay contracts create fixed cost structures that reduce operational flexibility. Guarantee arrangements for subsidiaries or joint ventures can create cascading obligations. Compare the total commitment schedule against projected free cash flow to assess whether the company can meet its obligations without additional financing.

Other Available Disclosures

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