Financial risk management (Tables)
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12 Months Ended |
Jun. 30, 2026 |
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| Disclosure Of Financial Risk Management [Abstract] |
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| Disclosure of Exposure to Financial Risks |
This note explains the Group’s exposure to financial risks and how these risks could affect the Group’s future financial performance. Current year profit and loss information has been included where relevant to add further context. | | | | | | | | | | | | | | | | | | | | | | Risk | | Exposure arising from | | Measurement | | Management | | Market risk – currency risk | | Future commercial transactions
Recognized financial assets and liabilities not denominated in the functional currency of each entity within the Group | | Cash flow forecasting
Sensitivity analysis
Balance sheet
analysis | | The future cash flows of each currency are forecast and the quantum of cash reserves held for each currency are managed in line with future forecasted requirements. Cross currency swaps are undertaken as required.
Natural hedges are utilized to offset exchange rate movements between the asset and liability and to reduce foreign exchange gains and losses in the Consolidated Income Statement. | | | | | | | | | Market risk – interest rate risk | | Term deposits at fixed rates
Cash deposits at variable rates | | Sensitivity analysis | | Vary length of term deposits, utilize interest bearing accounts and periodically review interest rates available to ensure we earn interest at market rates. | | | | | | | | | Market risk – price risk | | Long-term borrowings | | Sensitivity analysis | | The NovaQuest borrowing was fully repaid during the year. Accordingly, the Group had no exposure to price risk associated with the NovaQuest financing arrangement at June 30, 2026. | | | | | | | | | Market risk – margin risk (gross to net) | | Variable consideration deducted from gross product sales in arriving at product sales, net. | | Sensitivity analysis on gross to net percentage; monitoring of actual claims and settlements against accrued balances. | | The Group performs monthly review and true-up of gross to net reserves against actual claims data, conducts independent review of channel and utilization data, and maintains internal controls over the recognition and release of gross to net accruals. | | | | | | | | | Market risk - share price risk | | Warrant liability | | Sensitivity analysis | | The future exercise of warrants will not impact the Group's future cash flows significantly given the warrants will be paid in shares upon exercise. Therefore there are no significant cashflow risks associated with these warrants. The Group monitors the profit or loss impact that share price movements have on the valuation of the warrant liability each period. | | | | | | | | | Credit risk | | Cash and cash equivalents, trade and other receivables and other non-current assets | | Aging analysis
Credit ratings | | Transact primarily with the best risk rated banks available in each region giving consideration to the products required, the quantum of cash reserves held and future forecasted requirements
The Group manages credit risk relating to trade receivables through the implementation of credit policies and procedures. | | | | | | | | | Liquidity risk | | Cash and cash equivalents, borrowings, trade payables, lease liabilities and contingent consideration | | Rolling cash flow forecasts | | Future cash flows requirements are forecasted and capital raising strategies are planned to ensure sufficient cash balances are maintained to meet the Group’s future commitments. |
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| Schedule of Balances Held at the End of Year with an Analysis which Assesses Impact on Profit and Loss Due to Change in Exchange Rate |
The balances held at the end of the year that give rise to currency risk exposure are presented in US$ in the following table, together with a sensitivity analysis which assesses the impact that a change of +/-20% in the exchange rate as of June 30, 2026 and June 30, 2025 would have had on the Group’s reported net profits/(losses) and/or equity balance. The bank balances held at the end of the year that are presented in the following table give rise to currency risk exposure as they are not in the functional currency of the entity in which it is held. | | | | | | | | | | | | | | | | | | | | | +20% | | -20% | (in U.S. dollars, in thousands, unless otherwise noted)
As of June 30, 2026 | Foreign
currency
balance held | | Profit/(Loss)
US$ | | Profit/(Loss)
US$ | | Bank accounts – USD | US$75,559 | | | $ | 15,112 | | | $ | (15,112) | | | Bank accounts – CHF | CHF308 | | | $ | 76 | | | $ | (76) | | | Bank accounts – SGD | S$362 | | | $ | 56 | | | $ | (56) | | | Bank accounts – EUR | EUR42 | | | $ | 9 | | | $ | (9) | | | Trade and other receivables - USD | US$47 | | | $ | 9 | | | $ | (9) | | | Trade and other receivables - SGD | S$481 | | | $ | 74 | | | $ | (74) | | | Trade and other receivables - CHF | CHF8 | | | $ | 2 | | | $ | (2) | | | Trade and other receivables - EUR | EUR88 | | | $ | 20 | | | $ | (20) | | | Trade payables and accruals - USD | (US$1,274) | | | $ | (255) | | | $ | 255 | | | Trade payables and accruals - AUD | (A$513) | | | $ | (70) | | | $ | 70 | | | Trade payables and accruals - SGD | (S$123) | | | $ | (19) | | | $ | 19 | | | Trade payables and accruals - GBP | (GBP41) | | | $ | (11) | | | $ | 11 | | | Trade payables and accruals - EUR | (EUR7) | | | $ | (2) | | | $ | 2 | | | Trade payables and accruals - CHF | (CHF65) | | | $ | (16) | | | $ | 16 | | | Provisions – USD | (US$1,750) | | | $ | (350) | | | $ | 350 | | | Borrowings – USD | (USD119,235) | | | $ | (23,847) | | | $ | 23,847 | | | | | $ | (9,212) | | | $ | 9,212 | |
| | | | | | | | | | | | | | | | | | | | | +20% | | -20% | (in U.S. dollars, in thousands, unless otherwise noted)
As of June 30, 2025 | Foreign
currency
balance held | | Profit/(Loss)
US$ | | Profit/(Loss)
US$ | | Bank accounts – USD | US$95 | | | $ | 19 | | | $ | (19) | | | Bank accounts – CHF | CHF93 | | | $ | 23 | | | $ | (23) | | | Bank accounts – SGD | S$236 | | | $ | 37 | | | $ | (37) | | | Bank accounts – EUR | EUR29 | | | $ | 7 | | | $ | (7) | | | Trade and other receivables - USD | US$48 | | | $ | 10 | | | $ | (10) | | | Trade and other receivables - SGD | S$191 | | | $ | 30 | | | $ | (30) | | | Trade and other receivables - CHF | CHF4 | | | $ | 1 | | | $ | (1) | | | Trade and other receivables - EUR | EUR101 | | | $ | 24 | | | $ | (24) | | | Trade payables and accruals - USD | (US$1,376) | | | $ | (275) | | | $ | 275 | | | Trade payables and accruals - AUD | (A$458) | | | $ | (60) | | | $ | 60 | | | Trade payables and accruals - SGD | (S$177) | | | $ | (28) | | | $ | 28 | | | Trade payables and accruals - GBP | (GBP42) | | | $ | (12) | | | $ | 12 | | | Trade payables and accruals - CHF | (CHF61) | | | $ | (15) | | | $ | 15 | | | Provisions – USD | (US$1,750) | | | $ | (350) | | | $ | 350 | | | | | $ | (589) | | | $ | 589 | |
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| Schedule of Deposits Held which Derive Interest Revenue with Maximum and Minimum Interest Rates Being Earned |
The deposits held which derive interest revenue are described in the table below, together with the maximum and minimum interest rates being earned as of June 30, 2026 and June 30, 2025. The effect on profit is shown if interest rates change by 10%, in either direction, is as follows: | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | As of
June 30, 2026 | | As of
June 30, 2025 | | (in U.S. dollars, in thousands, except percent data) | Low | | High | | US$ | | Low | | High | | US$ | | Funds invested – US$ | 1.21 | % | | 3.62 | % | | 70,300 | | | 4.18 | % | | 4.18 | % | | 117,902 | | Rate increase by 10% | 1.33 | % | | 3.98 | % | | 216 | | | 4.60 | % | | 4.60 | % | | 493 | | Rate decrease by 10% | 1.09 | % | | 3.26 | % | | (216) | | | 3.76 | % | | 3.76 | % | | (493) | | | | | | | | | | | | | | | As of
June 30, 2026 | | As of
June 30, 2025 | | (in Australian dollars, in thousands, except percent data) | Low | | High | | A$ | | Low | | High | | A$ | | Funds invested – A$ | 3.85 | % | | 4.93 | % | | 1,395 | | | 3.35 | % | | 4.21 | % | | 49,235 | | Rate increase by 10% | 4.24 | % | | 5.42 | % | | 6 | | | 3.69 | % | | 4.63 | % | | 185 | | Rate decrease by 10% | 3.47 | % | | 4.44 | % | | (6) | | | 3.02 | % | | 3.79 | % | | (185) | |
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| Summary of Borrowing to Price Rate Changes |
The NovaQuest borrowing was fully repaid during the year. Accordingly, the Group had no exposure to price risk associated with the NovaQuest financing arrangement at June 30, 2026. | | | | | | | | | | | | | | | | | | | | | | | | | As of
June 30, 2026 | | As of
June 30, 2025 | | (in U.S. dollars, in thousands, except percent data) | Total | | % of total borrowings | | Total | | % of total borrowings | | Financial liabilities | | | | | | | | | Current borrowings | | | | | | | | | Borrowings – NovaQuest | — | | | — | % | | 11,153 | | | 9 | % | | Non-current borrowings | | | | | | | | | Borrowings – NovaQuest | — | | | — | % | | 67,739 | | | 56 | % | | — | | | — | % | | 78,892 | | | 65 | % |
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| Schedule of Increase/Decrease of Share Price |
The table below summarizes the impact of the increase/decrease of Mesoblast's share price on the Group's profit or loss during the period, based on the assumption that the share price had increased/decreased by 10% and 10% with all other variables held constant as of June 30, 2026 and June 30, 2025 respectively. | | | | | | | | | | | | | | | | (in U.S. dollars, in thousands) | | As of June 30,
2026 | | As of June 30,
2025 | | Financial liabilities | | | | | | Warrant liability | | 8,912 | | | 5,724 | | | Financial derivative liability | | — | | | 10,262 | | | Impact on profit or (loss) | | | | | Share price increase by 10% (2025: 10%) - Warrant liability | | (1,274) | | | (767) | | Share price decrease by 10% (2025: 10%) - Warrant liability | | 1,241 | | | 751 | | Share price increase by Nil (2025: 10%) - Financial derivative liability
| | — | | | 873 | | Share price decrease by Nil (2025: 10%) - Financial derivative liability | | — | | | (925) | |
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| Schedule of Group's Receivables |
Credit risk is the risk that one party to a financial instrument will fail to discharge its obligation and cause financial loss to the other party. The maximum exposure to credit risk at the end of the reporting period is the carrying amount of each class of financial assets. The Group’s receivables are tabled below. | | | | | | | | | | | | | As of June 30, | | (in U.S. dollars, in thousands) | 2026 | | 2025 | | Cash and cash equivalents | | | | | Deposits at call (Note 5(a)) - minimum A rated | 55,524 | | | 393 | | | Cash at bank (Note 5(a)) - minimum A rated | 47,390 | | | 161,158 | | | Trade and other receivables | | | | | Receivable from other parties (non-rated) | 57,075 | | | 13,911 | | | Receivable from the Singapore Government (Goods and Services Tax) | 372 | | | 150 | | | Receivable from the Australian Government (Goods and Services Tax) | 180 | | | 587 | | | Receivable from the Australian Government (Foreign Withholding Tax) | 20 | | | 22 | | | Receivable from the Swiss Government (Value-Added Tax) | 10 | | | 4 | | | Receivable from the United Kingdom Government (Foreign Withholding Tax) | 2 | | | 2 | | | Receivable from minimum A rated bank deposits (interest) | 1 | | | 2 | | | Other non-current assets | | | | | Minimum A rated bank deposits (held as security) | 1,205 | | | 1,297 | |
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| Schedule of Maturity Profile of Anticipated Future Contractual Cash Flows Borrowings and Carrying Value |
As of June 30, 2026, the maturity profile of the anticipated future contractual cash flows, on an undiscounted basis, and which, therefore differs from the carrying value, is as follows: | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | (in U.S. dollars, in thousands) | Within
1 year | | Between
1-2 years | | Between
2-5 years | | Over
5 years | | Total
contractual
cash flows | | Carrying
amount | Borrowings(1) | (11,111) | | | (10,167) | | | (150,333) | | | — | | | (171,611) | | | (119,235) | | | Trade payables | (46,806) | | | — | | | — | | | — | | | (46,806) | | | (46,806) | | | Lease liabilities | (3,432) | | | (2,587) | | | (2,920) | | | (36) | | | (8,975) | | | (8,099) | | | (61,349) | | | (12,754) | | | (153,253) | | | (36) | | | (227,392) | | | (174,140) | |
(1)Contractual cash flows include payments of principal, interest and other charges. Interest is calculated based on debt held at June 30, 2026.
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