Intangible assets

12 Months Ended

Dec. 31, 2024

Intangible assets [Abstract]

Intangible assets

20. Intangible assets

	Goodwill			Intellectual property			Customer relationships and brands			Software			Patents			Licenses			Total
	A$’000			A$’000			A$’000			A$’000			A$’000			A$’000			A$’000
Balance at January 1, 2024		4,847			92,217			-			1,622			529			10,448			109,663
Acquisition of businesses		99,424			39,938			1,382			-			-			-			140,744
Additions		-			139,840			-			1,967			-			8,302			150,109
Reclassifications		77			-			-			-			-			(77	)		-
Amortization charge		-			(3,952	)		(232	)		-			(29	)		(299	)		(4,512	)
Impairment reversals		-			768			-			-			-			-			768
Changes in provisions		-			1,579			-			-			-			-			1,579
Exchange differences		2,299			15,212			45			15			98			114			17,783
Balance at December 31, 2024		106,647			285,602			1,195			3,604			598			18,488			416,134
Cost		106,647			311,468			1,456			3,604			1,067			19,990			444,232
Accumulated amortization		-			(25,866	)		(261	)		-			(469	)		(1,502	)		(28,098	)
Net book amount		106,647			285,602			1,195			3,604			598			18,488			416,134
Balance as at January 1, 2023		5,519			41,060			-			-			300			12,105			58,984
Additions		-			57,410			-			1,659			266			77			59,412
Reclassifications		-			-			-			-			-			(2,021	)		(2,021	)
Amortization charge		-			(4,005	)		-			-			(37	)		(302	)		(4,344	)
Impairments		-			(804	)		-			-			-			-			(804	)
Changes in provisions		(672	)		489			-			-			-			282			99
Exchange differences		-			(1,933	)		-			(37	)		-			307			(1,663	)
Balance at December 31, 2023		4,847			92,217			-			1,622			529			10,448			109,663
Cost		4,847			114,048			-			1,622			949			11,604			133,070
Accumulated amortization		-			(21,831	)		-			-			(420	)		(1,156	)		(23,407	)
Net book amount		4,847			92,217			-			1,622			529			10,448			109,663

Cash generating units

The allocation of intangible assets to each cash-generating unit (CGU) is summarized below:

			2024		2023
Operating segment	Useful life	Product or business unit	A$’000		A$’000
Precision Medicine	Definite	TLX591-CDx (Illuccix)		6,947		10,876
Precision Medicine	Definite	TLX66-CDx		768		-
Precision Medicine	Definite	Patents		598		529
Precision Medicine	Indefinite	SENSEI		54,572		50,346
Precision Medicine	Indefinite	Dedicaid, QDOSE		3,604		1,697
Therapeutics	Indefinite	TLX101		1,913		1,613
Therapeutics	Indefinite	QSAM (153Sm-DOTMP)		149,761		-
Therapeutics	Indefinite	TLX591		18,074		17,912
Therapeutics	Indefinite	TLX66		17,159		15,569
Therapeutics	Indefinite	TLX300		6,823		6,823
Manufacturing solutions	Indefinite	ARTMS		123,613		-
Manufacturing solutions	Definite and indefinite	IsoTherapeutics		19,811		-
Manufacturing solutions	Definite	Brussels South and Optimal Tracers		12,491		4,298
				416,134		109,663

Impairment test for goodwill and indefinite life intangible assets

Goodwill and indefinite life intangible assets are tested annually for impairment. At December 31, 2024, the Directors used a fair value less costs to sell approach to assess the carrying value of goodwill and indefinite life intangible assets. No impairment was recognized by the Group.

Key assumptions used for the fair value less costs to sell approach

The Group has identified the estimate of the recoverable amount as a significant judgement for the year ended December 31, 2024. In determining the recoverable amount of goodwill and indefinite life intangible assets, the Group has used discounted cash flow forecasts and the following key assumptions (classified as level 3 inputs in the fair value hierarchy):

• discounted expected future cash flows of each program which span 10 years from marketing authorization after which a terminal value, where appropriate, based on our view of the longer term growth profile of the program is applied. This reflects the anticipated product life cycle, and include cash inflows and outflows determined using further assumptions below

• risk adjusted post-tax discount rate – 12.5% (2023: 13.0%)

• regulatory/marketing authorization approval dates, these are re-assessed in conjunction with Senior Management and Commercial teams

• expected sales volumes, these are determined by applying a target market share to cancer incidence rates across various countries, sourced from data provided by the World Health Organization’s International Agency for Research on Cancer

• net sales price per unit, for commercialized products forecast average selling price is used and for products in development a target sales price is used

• approval for marketing authorization probability success factor, this varies depending on the clinical trial stage of each program

• in relation to cash outflows consideration has been given to cost of sales, selling and marketing expenses, general and administration costs and the anticipated research and development costs to reach commercialization. Associated expenses such as royalties, milestone payments and license fees are included, and

• costs of disposal were assumed to be immaterial at December 31, 2024.

Impact of possible changes in key assumptions

The Group has considered reasonable possible changes in the key assumptions and has not identified any instances that could cause the carrying amounts of the intangible assets at December 31, 2024 to exceed their recoverable amounts.

Whilst there is no impairment, the key sensitivities in the valuation remain the continued successful development and commercialization of core programs. If the Group is unable to successfully develop each product, this may result in an impairment of the carrying amount of our intangible assets.

There were no other internal or external factors identified that could result in an impairment of definite life intangible assets at December 31, 2024.