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spk_0: thank you for standing by this is the conference operator welcome to the tfs pharmaceuticals second quarter twenty twenty two earning conference call as a reminder all participants are and listen only mode and the conference is being recorded after the presentation they'll be an opportunity to ask questions to join the question que una press store then one on your telephone keypad should you need assistance during the conference call you may signal an operator by pressing star and zero i would now to turn the conference over to corey davis from life side by others
spk_1: please go ahead
spk_2: thank you operator hello everyone and welcome to tear the pharmaceutical second quarter financial and business results conference call you be online today is one that as president and ceo of the above her coleman chief financial officer doctor dale christiansen via ups director clinical development doctor bill williams of university of texas at austin and chris canal the about chief operating officer the press release announcing our second a result is available on a t of a pharmaceutical website please take a moment to read the disclaimer about forward looking statements in the release the earnings release and this teleconference buildings are forward looking statements and these forward looking statements are subject to known and unknown risks and uncertainties the may cause actual results to differ materially from the statements made factors that could cause actual results to differ are described in the sky amer and in our filings with the us securities and exchange commission including the risk factor section other twenty twenty two quarterly report on form ten que filed with the fcc and now it's my pleasure to turn the call over mr glenn mattis go ahead one
spk_3: peggy corey good afternoon and thank you for joining or say to review tfs second quarter operations and refund highlights during of call i will provide an update on our overall financial progress then ask our chief financial officer kurt coleman three zero second quarter financials we appreciate all the positive feedback from many of you on the format we use in our first quarter call so we'll take a similar approach today and i will provide the formal commentary is an open up the call for questions to the entirety please note that we're joined by bill williams the or christensen and chris can know who'll be available for the queue and eight the second quarter was another period a significant progress for the company is important to take a few minutes to focus on earth thin film freezing technology and i much we continue to learn about it's potential as we've discussed pff continues to increase the number of productive partnerships with pharma companies academic institutions and the government i am happy to say that the number of open material transfer agreements grew significantly in the second quarter and we added three additional top twenty pharma companies to our portfolio of active collaboration as we continue to advance these engagements beyond the initial formulation stage into advance in vitro or animal testing stability and production stages the new data continues to support why we're so enthusiastic about the creation of shareholder value there is absolutely no question that the growing demand for our technology reflects the versatility of been shown freezing we continue to successfully conduct numerous new feasibility studies across a broad range of experimental and approved drugs with an ever increasing focus on biologics and complex macro molecules these include monoclonal antibodies fusion proteins am already bacteriophage is as ira peptides and have toys in addition to small molecules and others the work we're doing in the vaccine space is particularly exciting and continues to expand you have no doubt seen the recent news about the need to develop vaccines we can be administered directly to the naval mucosa and the line i've always said that a major opportunity for the f technology is in the second and third generation vaccines the pff technology is uniquely positioned to enable this to happen these vaccines are not limited to providing alternative for kovac nineteen vaccines we are doing work in flu and many other types of infections including viral bacterial and fungal let me take a few minutes remind everyone about a specific advantages of thin film freezing and why it is highly differentiated over other technologies doctor believes how inventor of them shown freezing recently published an article and bio five international titled improve formulations to enable stable delivery of biologics the article provides a concise summary explaining the unique advantages a theme song freezing over other dry powder technologies including freeze drying prophecies differences that largely account for a success in forging partnerships at every level of the industry academia and government many of these statements of work start with a comparison a thin film freezing to other dry powder technologies it's essential that a manufacturing process has not changed in molecular structure or properties of a drug that it's therapeutic activities maintained and that is particularly true and creating a dry powder formulation for biologics as noted is actually a review article conventional dry powder formulation techniques such as shelf freeze drying spray freeze dry and spray drying are not well suitable for many biologics to do their tendency to result in the protein clumping into larger are inactive structures a process is known as aggregation in addition many biologics are quite fragile and cannot withstand the harsh impact of sheer and stress aggregation can negatively impact the activity of the biologic by contrast since i'm freezing results and particles which are highly porous with a large surface area and low density attributes that help reduce the tendency towards aggregation and ensure optimal bio activity of the molecules in addition to avoiding aggregation then from freezing also doesn't rely on elevated temperatures during the drying process that is a stark contrast to other dry powder techniques such as spray drying which require high temperatures in the drying process this can lead to the nature ration of the biologic and as negatively impact the molecules activity the biopharmaceutical further notes then from freezing the clickability in developing novel vaccine formulations including positive results with am aren't a base vaccines i work with materials and specific compounds supplied by our partners show that after was standing repeated freezing and thawing of a dry powder vaccine containing aluminum false the thin film freezing vaccine does not show aggregation following eerie constitution importantly the formulation also maintains drug activity after high temperature storage with a judith city of the dry powder vaccine preserve to temperatures as high as forty degrees celsius or one hundred and four degrees fahrenheit so if the approached immunization for i nike continues to produce vaccines reliant on cold chain distribution and storage is clear that by demonstrating these results we believe that pff thin film freezing technology will enable manufacturers to overcome the significant hurdle the other day i read that a covert nineteen vaccine manufacturers had it destroy over one billion dollars worth of product which underscores the need to solve cold chain supply challenges at this point the call you may be wondering why i'm reviewing these new data i purpose is to answer the many questions i get about what work we're doing with partners as we move towards finalizing agreements and to help what y'all know why we're so very optimistic about the positive direction of the business a bit more new data before reviewing our business progress as a test on earlier many of our partners are evaluating thin film freezing to approve other vaccine formulations for power delivery to the long or naval mucosa these include those formulations containing the well known mm fifty nine adjutant by way of brief background mm fifty nine is a white some or based as you're in that enhances the patient's immune response to a vaccine to localized up regulation of cytokine chemo kinds and promoting the recruitment or venus immune cells first approved back in nineteen ninety seven mm fifty nine is commonly used in pandemic or seasonal flu vaccines it's generally recognized as having an excellent safety profile is now i more than thirty countries however vaccines containing him after the must be stored it refrigerated temperatures and are sensitive to accidental slow freeze conditions dr waves and his team at the university of texas at austin just published another paper in the international journal of pharmaceutics demonstrating that vaccines containing mf fifty nine or out of acts which is a preclinical nano emotion that as the same composition and droplet sizes mm fifteen nine can be converted to dry powder form by thin film freezing by contrast the research show that subjecting the save our backs composition the shelf freeze dry lead to significant aggregation or fusion of the droplets and the aggregation flat fusion was mainly due to the slow freezing required by conventional shelf freeze dry so freezing voices step and therefore is much less likely to cause aggregation since i'm freezing also continued to show significant potential for naval delivery which again or have significant relevance for the mandated future vaccine development internees vaccination using vaccines right powders and attractive noninvasive modality with better story stability and added protection at the mucosal surfaces then from freezing has proven viable in enabling the production of dry powders of a larger variety of vaccines advantage or not advantage protein based or nucleic acid base for example the am on a vaccines and dna vaccines as well as live attenuated virus dazed and the vaccine powers have desirable properties for inch nails or administration one last example data from that the wheels labs of a recent pre clinical study in a rat model using partners material show that it is feasible to do specific mucosal and systemic antibody responses following entrant a vote ministration of a thin film freeze dried vaccine can today the dry powder was prepared by thin film freezing of a model at the gene absorbed on alumina oxy hydroxide as an answer it this further demonstrated the ability of the technology to work in a variety of advantage vaccines special emphasis was placed on the characterization of the dry powder vaccine formulation they can be realistically used in humans with an evil dry powder delivery device the key of a vaccine powder was found to have good aerosol properties and the vaccine was uniformly distributed within the dry powder an in vitro naval deposition study using a free the printed human knows model show that around ninety percent of the vaccine powder was deposited in the nasal cavity international immunization in animal studies with the pff powder vaccine elucidate are specific serum antibody response as well as a specific i g a response in the nose and lung secretions of the animals does internationally administered dry powder made by thin film freezing or vaccines has been confirmed
spk_4: i repeat and has been confirmed
spk_3: indeed one additional publication from dr williams group and the pff collaborators he worked with recently received second place for the best paper or twenty twenty two by the journal of pharmaceutics in this paper our team described the formulation of red death severe as an active analog i will stop here and say like a share additional successful data we're producing and working with our partners thanks to believes in the entire team pff pharmaceuticals has become a key partner for farmer and biotech companies evaluating dry powder formulations but our superior technology is only a starting point and a long line of value creation that ultimately leads to medicines with the potential to create significant clinical benefit and our accounts for each one of our programs we start with a singular purpose to enable more efficient targeted delivery of medicine is a patient while minimizing systemic exposure to accommodate growing demand for our technology we recently opened a new are in the facility in austin texas right us with significantly more lab space to develop larger scale production for are numerous partner preclinical programs doctor donald owings our director of product development will supervise the facility supported by dr john calling give us vice president or product development and manufacturing we're also expanding the product development team in austin usually based at the new facility the support the growing number of part in preclinical projects do additional points first we continue to fully partner with all of our colleagues at the university of texas second we're taking a very efficient approach to finding the new lab space the costs will be managed within our existing budgets in addition we do receive funds from our partners the phone many of the experiments that are part of the expanding material transfer agreements and statements of work now onto he business updates first are to most advanced clinical state programs for canada inhalation powder and tackle him as inhalation powder are currently in open label phase two trials and we expect a new show a valuable patient data by the end of the third quarter as previously discussed we intend to partner these programs and we're currently working with three a partners to reach out broadly to potential interested companies i'm happy reported this process is going well with a number of companies under see the a n or in our product data rooms who really valuable patient data to those companies and you see the eight given these programs advanced stage of development we seek partnerships that reflect our significant investment made to date and these products potential to improve upon the current standard of care in addition we are working to go about the clinical supply materials that so that prospective partner carry me focus on clinical development and registration strategy we also expect both the war you pack programs to gain more visibility in the very near term dr bradley gardner from the royal alfred hospital in melbourne australia has been selected to provide a podium presentation on the ongoing compassionate you study of our for canada inhalation powder at the international congress on lung transplantation taking place in paris france on september eighth and ninth notably in this lung transplantation we observe the expected lack of drug drug interactions when in move during work on his all by inhalation just the patient did not require dosage jasmine of their tackle him as immunosuppressant which is not possible with or of work on of all and demonstrates one of the say the advantages we expect the further demonstrate and our ongoing face to study we remain very excited about the value these two programs are created pretty fast and look forward to providing further updates i mean yeah provide an update on the status of inhaled my closer my powder i'm happy to tell you that we very recently sent in i close the my phase one complete study report the union we believe this study report provides meaningful information to our partners at union if they continue to evaluate all the data and assessed pff my the my inhalation powder i can tell you that union is outstanding partner and are quite impressed with the results in is working diligently to provide pff with feedback on their option the license like close ally inhalation powder and be interface to clinical program in covered nineteen patients another updates our partnership with catalans is progressing well cowards has referred a number of their clients pff to begin feasibility work in addition we are working with multiple catalan size preparing to install tf equipment for the purpose of developing and manufacturing product candidates we also continue to think strategically about the future of augment the thirty three eighty seven pff and augmented believe there is a therapeutic opportunity for an effective monoclonal antibody potentially in combination with other antiviral therapeutic options you have also continues to be increasingly encourage about the potential for inhale can avenue a product opportunities we recently produced additional product to be used in further consumer testing the opportunity to partner with pff on these opportunities is now been presented to glass house and a broader base of canada's companies both in the us and canada as our go the determined a specific path forward shortly the said earlier the number of pharma companies that open mph is increased and we added three new top twenty companies during the second quarter our data sets are reaching critical decision inflection points with many partners i'm a legislator front we are keenly focused on the opportunity thin film freezing offers to the advanced development of therapeutics in vaccines the fact is working directly with members of the congressional appropriations committee and departments with in health and human services we expect that opportunities we consider for funding pff efforts under the language written in the twenty twenty two am the this budget bill in addition as our development projects increase a mature we have been able to file funding grants would help us advance programs already moving forward as a part of our to crate is and are academic partnerships
spk_5: finally the work we're progressing with darpa formulating topical and okcular preparations of countermeasures is now and year to and the preliminary results are promising and the feedback from why does is excellent those updates are like to turn the call over to our chief financial officer hurt common a view of our financials kirk thank you glenn for the three months ended june thirty twenty twenty two research and development expenses for the company were five point one million compared to two point eight million for the same period and twenty twenty one general administrative expenses for the three months ended june thirty twenty twenty two for the company were three point seven million compared to two point four million to the same period and twenty twenty one the company reported net loss of the three months ended june thirtieth twenty twenty two have a point seven million compared to and that loss of four point seven million for the same period and twenty twenty one weighted average common shares outstanding basic and waited for the three months ended june thirtieth twenty twenty two or twenty five million three hundred seventy three seventy six compared with twenty five million three sixty nine one forty four for the same period of twenty twenty one as of june thirtieth twenty twenty two the total assets are approximate
spk_6: choi some point nine million and working capital the approximately twenty one point four million
spk_7: at the end of the second quarter or liquidity included approximately twenty point nine million of cash and cash equivalents
spk_3: and with that i'd like to turn the call back over decline thank you card the second half twenty twenty two reporting results promise to be a medieval period for tfl pharmaceuticals out they have given you a flavour for the data that further confirms the potential for are ubiquitous unique and value creating thin film freezing platform technology we are very well positioned to meet our needs as well as the needs of our pharmaceutical academic and government partners the unmet needs of pharmaceutical development in this arena is perfectly set up for thin film freezing please search out the comments by doctor fouty and other vaccine experts emphasizing the need to deliver vaccines directly to the nasal and lung mucosa what a tremendous set of opportunity this is for tfs our pardon me activities continue to expand we haven't played both the personnel and facilities to accommodate this growth as discussed on health for a all intact relentless programs are eat slated to reach important clinical milestones and were also pleased with the pace of partnership discussions surrounding the these two innovative products
spk_0: thanks to all of the t of have team for their hard work and positive outcomes and thanks as always the all of our investors
spk_3: and with that i'll turn we call back to the operator and opening up to questions operator thank you for going into q any a grandmother has an additional piece of information to add planning a line is open yeah thank you i want to take this opportunity to one who are and for my listeners of on the why far wider here and on a website that time now thing that in our ten you today
spk_0: we do now said down fortunate malcolm fairbairn has resigned from the theater for i certainly want to thank malcolm for his counsel the service and wish him our well on his future endeavors and with that now open up to questions thank you operator thank you we will now begin the question and answer session to join the question que me press star then fine on your telephone keypad you will hear a tone acknowledging your request if you're using a speaker phone please pick up your handset before pressing any keys
spk_8: to withdraw your question please press star and to we will pause for a moment as collards join the queue
spk_9: the first question comes from jonathan ass off but ross capital partners
spk_3: please go ahead and thank you thank you guys are glance and see if that continues to test cbd formulations with consumers you know what are your thoughts about entering the market formerly can't drive has been a really interesting and six march yeah we we certainly again want to acknowledge that plus did a great job and and helping us get ready formulation why are and he read yeah really have now been a woman hater samples and test them with consumers and also introduce detect now allergy to other companies i grabbed canada club house is not confirm their interest at this point so we have been working to go out for different companies they've been working with our sample live in now also are testing and from consumers so yeah i can we now have a real opportunity it's a backhoe that look it up a strategy of of either one or multiple multi say operators to take this into into the marketplace and you are hopeful that that could still happen yeah by later in the year we also seen an not take an interest from companies since the i am the day being a very moved from from tobacco and i think a lot of the companies feel that there is a real opportunity to like it didn't feel freezing can avenue eight or formulations as i healthy alternatives after that has in your seat in the add to the cbd market but i've noted and out the folks i work with they're helping to fund have now be mapped if out
spk_9: real i've taken interest so on you hopefully by the next quarters
spk_10: update i'll have a more specific there but that you are really seen terrific response to the product and i think that's the key here in order for us to take a look at the being a positive contribution to our revenue lines
spk_11: okay thank you and are we going the compassionate use on case report for the long term legit that dumb will be presented in our paris you know that lung transplant congress you those results from that patients support the treat my path of this is for ita and you know give you confidence or success
spk_3: and the phase two trial
spk_12: yeah the how could you answer that question your closest to them to either yes thanks clan and takes jonathan it's very good question i'm as we stated previously we believe that by delivering for a call us all by innovation directly to the long we can increase the local concentration in a long were you would derive the deaths they're appealing benefit and we can also reduce the systemic concentration that's associated with the toxicity and drug drug interactions from the or work on us off and this the patient the we have been treating could not take oral work on us all on or any other a whole antifungal due to toxicity and tolerability issues on one of the toxicities was that they had a history of melanoma and there's kind of a a black box warning on work on us all for melanoma and so this patient couldn't take it and so this patient was having declining lung function what we are able to do is stabilize the lung function
spk_9: get huge effective treatment of the fungal infection and were able to do so without the patient haven't done to adjust the dose their to crawl i'm assuming us pressure medication
spk_3: ah so it showed that but we can have efficacy and i without the drug drug interactions and so it really does reinforce that treatment hypothesis that we've been working
spk_12: thank you that a minute linux questions your with a dorm and be a five copa del rey and data on your tax law that we ban cases what do you think that creates terms of an opening for and closer night the out and you have their own as well please sure the thanks again i also a very good question so with the emergence of the be a five variant it seems to be
spk_13: worse than the previous ah micron versions and really at five hundred deaths today nearly five hundred deaths a day of the us and i basically in a worldwide sixty five deaths around and around the world star from covered in the last four weeks
spk_12: it very clearly indicates covered not over i ended better treatments are needed and so ah you know that level of death really as an excessive acceptable and many the patients that die ours category are in high risk categories cancer patients patients who can't take half of it due to drug drug interactions and we take those patients will benefit from inhaled my closer might ah because they're to again like for kind of thought when we deliver to the long you can avoid drug drug interact
spk_14: and you know we've also seen that from the pack with a rebound a it's very clear that be a five and potentially future various will take longer it so we're planning to when we move forward or dose longer in our studies
spk_9: because we can avoid the drug drug interactions that has a you know great safety we think that weekend prevent a rebound and and will monitor that during the clinical trials
spk_15: thank you for us to sorry to have the might but your to more
spk_3: should partnering of boy heck happen will you bring in new internal develop them programs you know and how we select them in the last question is he added three top twenty forms what's that bring the total or two and sarah for our goal is always for have an actor internal of products that were developing com care of our without without turning into your out
spk_16: companies and down to it taking things all the way to the finish line of the goal is to it's like we're doing with or you can take them through meaningful clinical inflection points on the other five or five be to strategy
spk_3: certainly are you know was the right way for us to go but strategically where what we have of to time travel arrangements that would include code development and sharing of development like we did reebok banter where we did our and fifty fifty in on magilligan take your phase one in still my and then yes but proceeds from that point on so out we we have a number of different down your options available classes we see zero with how refreshing serially look at out and taking products is the was in general jazzy it takes about seven to twelve million dollars depending on the the cost of a p i too
spk_16: to get together to our or that inflection point so we have some we have some products that we've been and sometimes with looking at
spk_3: jordan kennedy who are we eat analyst has been working with some folks on the outside to do some an hour for use on what the market opportunities might be went to development targets might look like so soon as we created dub ya in fear revenue and cleared out the expense for worry attack
spk_17: yeah we will look to to refresh out our portfolio it on on the is on the top twenty question on i don't remember the exact number are we were we were at a majority somewhere somewhere down the area that
spk_3: after a comeback the on exact number i would say you know between twelve and fifteen am probably on the higher side of that but the good there is an both companies that many of them are not one one trick ponies we have multiple projects that we're working with them
spk_9: you know and those both programs are getting your are quite detailed phone and in the very last stages of producing a data and others better at that the starting gate and that were really excited about and wish we get fact we wish we could share
spk_17: some of these with you that he's a big companies are very hesitant to let us disclose and you can if he knew what we were working i can understand yeah they that the competitive nature of of work since i'm freezing could be doing for those companies and their compounds in their marketplaces
spk_3: okay do you still see the oriental trials as pivotal or that up well we we certainly shows the data will be meaningful and me out and jonathan you know that the of the ever says yes i'm never see now depends on the data and when we when we talk to the partner companies have already and you see the a weapon
spk_16: during the day the room yeah we we certainly talk about what potentially latter additional studies might look like and three me as you know about those parties will be looking at those as well but damn near will start to see it pretty soon and weren't what those data showing us
spk_3: hopefully it's it and we believe certainly you don't have data be quite good and we'll see with atlanta
spk_18: thank you very much less but the one thing that now jonathan with we we have that budgeted for additional trials so is such a here is that the partner
spk_19: would take those if still shroud needed to be done with would do those trials
spk_0: understand thank you
spk_1: thank you don't
spk_20: the next question comes from daniel carlson with t w research group please go ahead hey glenn beck's for take the questions
spk_3: first up at making great progress it appears and bringing in and t a's and and potential partners there and though we're still looking like preclinical stuff and and in the past you've mentioned some pretty large numbers associated with the getting these partners and it though license agreements that and is one are you you know what he what is the big hurdle and getting from preclinical to to in in human trials and it is it is that the terms their the they to tougher just trying to figure that one else now he of the terms are not an issue daniel on the only games with a company increases really clear what the expectations are and what what thirty what the the relationship with look like so i'm in discussions that we'd have a companies that are closer to finish line and terms or discuss your service and negotiation there but as as that we don't see that with rate limiting step and you know woodward now that's really the bottom line we're dealing with during the day that
spk_20: before any company is willing to write a check in and licenses they want to be sure that we dance rather clinical questions and damn that's where rat and know and sometimes it is it's a little bit slower than we want but you the days are me theme in a very positive light and out we don't see the financial as being an obstacle
spk_3: that yeah that's that's good news then and then next question i have is them in are you in like was in the past you've mentioned that you never lost a beta than i'm sure that a lot of these companies are looking at everything out there and certainly there's been a lot of stuff in the press about other people trying nasal vaccines it's that just i'm just wondering is it still the case that they everyone the cup easier talking to the has not move forward alternate technologies and this and you guys are still running yeah i can say that i know of any company that informed as a big move forward with an alternate alternative technology yes they were have been a few companies that have decided to stick with the days program before moving on to them from freezing we seen a little bit of an uptick in that daniel and him and full transparency in these tough times and carrying the capital markets where the things were better i think it is a small to medium sized companies they going to the capital markets are a funding to do the project so for a few of them were on hold by die here we it it it's become pretty routine that as the it's it's almost predictable yeah chris and i sit on the cause he out you know they're comparing us to the standard laugh elevation approaches and that's why frank they are still to do you know
spk_16: driving with some of the specific data from his trial and publications to to reassure the of after that we continue to produce outstanding day that better than what you can see with the all alternative modalities and yeah that's now even you're going beyond
spk_2: we will are even like three to six months ago looking at the naval delivery or your the are doing on the diaper programs so in that was a little bit of a different approach today but you know about for papers that excited and there are others were actually using partners materials
spk_21: yeah i think they give great evidence to out
spk_22: yeah gonna ask you about the the papers they publish and this what they mean we're commercialization efforts
spk_2: go the other perspective on that i'll bite my day job that thanks daniel that's a good question so our strategies always done to and and you can follow our papers engineered a our papers or the way that we teach our partners and potential partners about our technology and about potential uses that day can imagine with their compounds that they're working on they can imagine it in our technology and so you'd look for problems we'd like or were very aggressive and studying competing technologies and finding holes and competing technologies where where are the dome freezing said and and then ah our papers or a way that we need library sat with that partners and central planners so it's a critical products are so they say and one last thing as you know when when we ever calls that thick the piano and and others saw that we were talking with their the company's top scientists and they're all science driven that at the point we're talking to him and so they wanna see our data they wanna see it and publications and and also you know publishing i guess it's a tricky part for for our for the company
spk_23: gotcha thanks ambulance gonna one last question for me it looks like i think you put some new logos on your side that
spk_3: and you get three new and t a's the top twenty you mention them either how does it is their criteria for getting in there is hitting a certain level of them relationship or why does why are some companies in there and there's not yeah for their you certainly don't even trust the subject and so we think we have or on a meaningful path and a bigger companies are really really reluctant to do that and we we have some breakthroughs their i think those are symbolic of for morale in terms of the work we're doing with them you know we we don't know we don't fight too hard to say now that we don't enjoy it and got fed the apple cards here by damn near when when when it's appropriate my when we think it's a reasonable time we will ask and but don't take a tentative the logo is an ordinary doesn't mean that were not a pretty good place in terms of where we are working with those companies so it's ah here we started a good and bad as her as a practice of of where we can putting companies are academic institutions on on the fly
spk_10: continue look for opportunities to do that and just an indication that we're moving forward and in this corner yeah i have with second tell you who we find up with them and have you mph with some very exciting but again realize those three are starting from from this from the starting line no ill will
spk_24: wow so won't happen yelling in the next quarter or hopefully sooner
spk_25: oh thanks guys them that look afford the second happier lives with things stuff come
spk_1: thank you
spk_26: operated we have any more questions when we do the next question comes from michael a sandwich with and group
spk_27: please go ahead
spk_22: very good thank you guys are you take my my
spk_3: i'm though
spk_28: are you going to guess members facilitate think a bit big picture just see given that you've had a lot more partner interaction and particular on the big pharma side if you could talk about what kind of feedback you're getting our on what specifically attracted to the key at that platform as opposed to other an elbow technology the question chris this year you probably have more the initial calls can can you answer that question place
spk_22: yes sure thanks are going in and thanks michael for the question so when we're dealing with a big pharma company rate and engaging with any in discussions there's usually a product that's been identified are usually a biologic that has a challenge and so we before we even engage with that
spk_29: partner we do some diligence we look at their pipeline and then we come to them with a solution to their problem
spk_30: and so or whether it is right for inhalation whether it is for cold chain ah now we're even exploring as we talked about intranasal it really depends on what the partners program what their challenges and that's where we really focus our efforts because our dry powder offers the solution to
spk_31: their problem
spk_22: i thank you
spk_20: i'm not for michael
spk_22: yeah very much so images and treated as follow up in terms of that collaboration activities
spk_3: i like to just ask where you see on the partners looking to apply that technology this are you more looking at reformulated of drugs that are already approved and life cycle management many disapproving the profile of their existing products or is it more so novel drugs in a pipeline that would work better once you applied attacked
spk_16: yeah
spk_32: so it's good him so when i started year almost five years ago and i recruited chris
spk_3: they're coming shortly after he would ask with them this question i certainly would have said it will be more reformulation and and but now as we sit here today i'm gonna and on have an exact pie chart in front of me i say it's about eighty percent in and season biologics and about twenty to twenty five percent read formulation chris you can you can if we from way off you can correct me but
spk_17: i think that's a fair assessment of of of where we're at it it's amazing to come out much differently
spk_3: and i originally thought you know he started reach out chapter you know different kinds of companies are we started this and then slowly as as as we began to introduce the technology to companies are to allow this is where the whole biologics a set of opportunities really exploded for us and down you know it's what's unique about that to michael is at it we have seen some situations where we've gone as far as successfully formulating getting into animals and then that new chemical entity isn't quite what the partner wants to see her outcome
spk_22: and i'll give us another set of materials
spk_3: in a in a biologic space so yeah i did he do like cut out of our hands they are because we've got everything we need to do from a technology standpoint and sometimes it's come back onto a way to make it in their compound didn't really from to the counter is also they needed to takes you back gonna walk away from us but is it takes you back to the starting line again date you know i really appreciate the additional color rapid progress over the quarters i use my god it's really again i wish as i sit here today i can tell you who these these my top twenties arm what we're working on because it is incredibly exciting for she's i think we've exhausted the
spk_0: with the questioners in more about the younger the our i want to thank of you for listening our hope by we show our enjoyable rest of the summer and i stay healthy and we really do look forward to ongoing discussions with you and
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