
	December 31,
	2025	2024

Assets
Current assets:
Cash and cash equivalents	413,355	98,755
Restricted Cash, current	100,000	100,000
Short-term investments	—	330,000
Prepayments and other current assets	3,904	5,227
Total current assets	517,259	533,982
Investment in subsidiaries	199,798	309,901
Total assets	717,057	843,883
Liabilities and shareholders’ equity
Liabilities
Current liabilities:
Other current liabilities	1,557	2,985
Total current liabilities	1,557	2,985

Total liabilities	1,557	2,985
Shareholders’ equity
Ordinary shares (par value of $0.000006 per share; 5,000,000,000 shares authorized, 1,113,822,550 and 1,082,614,740 shares issued as of December 31, 2025 and 2024, respectively; 1,106,389,340 and 1,077,702,540 shares outstanding as of December 31, 2025 and 2024, respectively)	7	7
Additional paid-in capital	3,343,469	3,264,295
Accumulated deficit	(2,628,620)	(2,453,083)
Accumulated other comprehensive income	29,697	50,515
Treasury stock	(29,053)	(20,836)
Total shareholders’ equity	715,500	840,898
Total liabilities and shareholders’ equity	717,057	843,883


	Year Ended December 31,
	2025	2024	2023

Operating Expenses:
Research and development	(30)	(8)	(82)
General and administrative	(13,590)	(20,275)	(16,958)
Loss from operations	(13,620)	(20,283)	(17,040)
Interest income	21,695	28,176	30,840
Interest expenses	(90)	—	—
Other (expense) income, net	(1,145)	(5,438)	4,029
Profit before income tax and equity in loss of subsidiaries	6,840	2,455	17,829
Equity in loss of subsidiaries	(182,377)	(259,558)	(352,449)


Net loss	(175,537)	(257,103)	(334,620)
Other comprehensive (loss) income, net of tax of nil:
Foreign currency translation adjustment	(20,818)	12,889	11,941
Comprehensive loss	(196,355)	(244,214)	(322,679)


	Year Ended December 31,
	2025	2024	2023

Cash flows from operating activities:
Net loss	(175,537)	(257,103)	(334,620)
Adjustments to reconcile net loss to net cash provided by (used in) operating activities:

Share based compensation	3,189	4,759	3,217
Equity in loss of subsidiaries	182,377	259,558	352,449
Loss from fair value changes of equity investment of readily determinable fair value	1,912	6,105	(2,789)
Changes in operating assets and liabilities:
Prepayments and other assets	1,253	2,266	2,780
Other current liabilities	(603)	(248)	(379)
Net cash provided by operating activities	12,591	15,337	20,658
Cash flows from investing activities:
Purchases of short-term investments	—	(330,000)	—
Proceeds from maturity of short-term investments	330,000	—	—

Investment in subsidiaries	(32,594)	(271,830)	(392,893)
Net cash provided by (used in) investing activities	297,406	(601,830)	(392,893)
Cash flows from financing activities:
Proceeds from exercises of stock options	13,675	3,200	2,369
Proceeds from issuance of ordinary shares upon public offerings	—	217,350	—
Payment of public offering costs	(854)	(1,283)	—
Employee taxes paid related to settlement of equity awards	(8,218)	—	(8,802)
Net cash provided by (used in) financing activities	4,603	219,267	(6,433)
Effect of foreign exchange rate changes on cash and cash equivalent	—	—	—
Net increase (decrease) in cash and cash equivalents	314,600	(367,226)	(378,668)
Cash, cash equivalents and restricted cash — beginning of the year	198,755	565,981	944,649
Cash, cash equivalents and restricted cash — end of the year	513,355	198,755	565,981

1. Schedule I has been provided pursuant to the requirements of Rule 12-04(a) and 5-04(c) of Regulation S-X, which require condensed financial information as to the financial position, changes in financial position and results of operations of a parent company as of the same dates and for the same periods for which audited consolidated financial statements have been presented when the restricted net assets of consolidated subsidiaries exceed 25 percent of consolidated net assets as of the end of the most recently completed fiscal year.

2. The condensed financial information has been prepared using the same accounting policies as set out in the consolidated financial statements except that the equity method has been used to account for investments in its subsidiaries. For the parent company, Zai Lab Limited records its investments in subsidiaries under the equity method of accounting as prescribed in ASC 323, Investments-Equity Method and Joint Ventures. Such investments are presented on the Condensed Balance Sheets as “Investment in subsidiaries”. Ordinarily under the equity, an investor in an equity method investee would cease to recognize its share of the losses of an investee once the carrying value of the investment has been reduced to nil absent an undertaking by the investor to provide continuing support and fund losses. For the purpose of this Schedule I, the parent company has continued to reflect its share, based on its proportionate interest, of the losses of subsidiaries regardless of the carrying value of the investment even though the parent company is not obligated to provide continuing support or fund losses.

3. Certain information and footnote disclosures normally included in financial statements prepared in accordance with U.S. GAAP have been condensed or omitted. The footnote disclosures provide certain supplemental information relating to the operations of the Company and, as such, these statements should be read in conjunction with the notes to the accompanying consolidated financial statements.