Babylon SPAC Presentation Deck
Consolidated Statement of Profit and Loss (Cont'd)
For the Years Ended December 31,
$ in thousands
Revenue
1 Cost of Care Delivery
2 R&D and Technology Expenses
3 Sales, General & Administrative Expenses
Operating Loss
4 Net Finance Costs
5 Exchange Rate Gains/ (Losses)(1)
Share of Loss of Equity-accounted
Investees
Loss Before Taxation
6 Tax Benefit / (Provision)
Net Loss
2019A
16,034
(19,810)
(68,153)
(90,891)
(162,820)
(101)
17,075
(145,846)
5,559
(140,287)
2020A
79,272
(67,254)
(84,188)
(103,341)
(175,511)
(3,920)
(2,836)
(1,124)
(183,391)
(4,639)
(188,030)
1 Increase in 2020 following launch of Value Based Care services in US; further
increases in the UK, Canada and Rwanda due to increased demand for
appointments
2
3
4
Summary of Historical Performance
6
Increase in 2020 due to increased amortization following the launch of Licensing
services in Asia and the US; technology headcount reduction in 2020 following mid-
year restructuring
Increase in 2020 due to higher headcount in commercial and support services
aligned to business growth; increased professional fees from FCMG acquisition and
deployment of Babylon services into new markets
Finance costs relate primarily to lease obligations and the accounting for certain
Licensing services when upfront payments are received from customers
5 Exchange rate loss primarily due to fluctuation between USD and GBP (majority of
Babylon revenue received in USD, majority of expenses paid in GBP); exchange
rate gain in 2019 results from majority of business operating in GBP despite the
functional currency being USD
The change in tax (provision)/benefit is primarily the reversal of previously
recognized tax benefits of $4.3M related to U.K. tax credits for qualifying R&D
activities, which will be amortized over the useful life of the related capitalized
development costs as a reduction to R&D technology expense
Source: Management reporting. Note:
1) Gain includes those resulting from inter-company relationships with significant GBP balances within USD companies translated at rates in accordance with IFRS.
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