Nightingale Health Oyj

My name is Teemu Suna. I'm CEO and founder of Nightingale Health. And in today's presentation, we will be talking about, of course, about Nightingale. I will give a brief update of our business. Then we move to the business targets. And after the business targets, we go to key achievements in this half year period. Then we have the financial review and then a Q&A. So you can post your questions and then we will go through them in the end. So the same agenda as usual. Let's start. So what we are doing at Nightingale, our mission is to build sustainable health care and reduce health inequalities. So why do we need a more sustainable healthcare system? Well, the current healthcare system is not equal. And the current healthcare system is overburdened with too many sick people with chronic diseases. And importantly, chronic diseases that could have been prevented. So how the healthcare system is addressing this problem? We have the primary healthcare system, and the purpose of the primary healthcare system is to promote health and prevent diseases. So we have the system to manage the problem of chronic diseases, but it's not working. it's not working because the primary care doesn't have the right tools to do preventative healthcare. And the problem we are talking about here, this is the biggest healthcare problem in the world. 90% of healthcare costs comes from chronic diseases. And out of that, four out of five of the diseases could have been prevented. So when we talk about solving healthcare challenges, what we need to talk about, we need to talk about managing, preventing the onset of chronic diseases. So we need a change. What can we do? The answer actually is very simple. We often see when we talk about healthcare and when we read from the news about healthcare, we often hear that it's very complicated. But actually it's not that complicated. We just need better tools to do prevention. And why it is not very complicated, it's actually we know what to do to prevent the disease onset. We know what to do, but we just don't have the tools to create a healthcare system that can do prevention. So if we look at the, so what can we get? when we have the better tools for prevention. So we have the current primary care system, and then we have the primary care system with better tools. So when we can start in a systemic way to prevent diseases, we have several very important outcomes from that. We can reduce the number of sick people. When we reduce the number of sick people, we can save costs. And then we create more sustainability and equality when we can have less sick people. We are increasing the quality of life. So I would say those three things are the most important factors, the most important outcomes that we want to achieve in healthcare. So what Nightingale does, we make this possible. We make preventative healthcare possible. Our health check is an efficient and effective tool for large scale prevention. So let's have a look how it works. We have a comparison here. We compare the current tools in healthcare for risk detection, and then we compare that to the Nightingale HealthSec. And why detecting the disease risks is important? Well, if you think about preventative healthcare, how do you do prevention? Well, first you have to find the people out of the population who have a risk of developing a disease in the future. And what does this mean is that actually the preventative healthcare system is not targeted to people who are sick already. This is a healthcare system that is targeted to people who are healthy. And the purpose is to keep the ones who are healthy We want to keep them that way. So that's why detecting the risk of developing a disease, I would say that's the most crucial asset in preventative healthcare. Without that, you don't have preventative healthcare because you don't know who are the individuals you kind of need to target your preventative actions. Okay, a bit long intro, but anyway, let's have a look at the comparison with the current tools to detect the risk and the Nightingale HealthSec. So with the current risk assessment tools, they offer good performance in risk detection capability, but the problem is that they require a lot of different inputs to do the risk assessment. So for example, they need blood pressure measurement, they need body mass index measurement, they need family history, they may need different kinds of other questionnaires. So a lot of input is required. And who collects that input? Well, it's the healthcare professionals. So it's a burden to do the risk evaluation with the current tools. The current tools also evaluate one risk at a time. So if you are being evaluated with your cardiovascular disease risk, you are not being evaluated with your type 2 diabetes risk or kidney disease risk or liver disease risk. So this leads into a situation that the current tools, they are inefficient, they require a lot of resources, they consume a lot of time. So in other words, they don't scale very well. So to put this into context, as I said, so preventative healthcare is that you detect the risks from the healthy population. which means that you do the risk detection for everyone. So how would you use the current tools to do the risk detection for everyone? Well, you can't. Now let's compare to the Nightingale HealthCheck. So the risk detection capability, we offer equal or superior performance against the gold standard in healthcare today. the input required, we require a single blood sample, AIDS and sex. So basically it's the blood sample and your personal identification number. So you don't need to collect, you don't need the healthcare professionals to collect your blood pressure and BMI and questionnaires, et cetera. Then when we use our technology instead of one one disease risk at a time, we can detect multiple disease risks from every test we run. So it's efficient. It requires minimal resources from healthcare professionals. This can be done for everyone in a nation. And this is why I said that the capability to detect the disease risks is critical. This is why we are saying that the primary healthcare needs better tools. This is the tool. This is the tool that allows to detect the disease risks from an entire population. And that's how you do preventative healthcare. So I wanted to also mention briefly about the performance of this technology in risk detection. This is, of course, often something that people ask us. So how can you do it from just a single blood sample and not needing the clinical parameters? Can the performance be equal or better than the current tools? So we made this comparison. So we do the comparison using a metric area under curve, which is the AUC. That is the most typical way of evaluating performance of risk detection. So your AUC number is between 0.5 and one. And one is like perfect risk detection. And now when we look at the, we have a list here of different diseases that we detect, CVD, MI, stroke, type 2 diabetes, chronic kidney disease, et cetera. And we have in one column, we have the current clinical tool AUC, which is the tool that is being used in the clinic all the time. In the world, hundreds of millions of these tests are being run routinely all the time in healthcare. So there you see the comparison. And indeed, we either match, we have equal performance, or we are better than the current clinical tools. And important to remember that we do this every time. We can do all of the diseases every time. And we do not require the complicated or time consuming clinical parameters to do the risk assessment. So what does it mean if we put this into the... We take a step towards business and we think about like, so what are we actually doing? So because we can detect the risks from the single sample, it changes the value chain in healthcare. Because traditionally, in order to detect disease risks, so what do you need? You need a medical device manufacturer who builds a machine that can run, can analyze blood sample. Then this machine is sold to a diagnostic company that is offering the blood analysis as a service to healthcare providers. And then the healthcare provider is the one who has the customer or the patient. They draw the blood sample and they collect the clinical data. And now in the kind of the traditional way of thinking, you need these three different companies or parts of the value chain. Having these three parts makes it quite expensive. There is no way around it. So what is the breakthrough if we look at this, what I was telling about the risk detection capability? If we look at this from the business point of view, what is the breakthrough? Well, the breakthrough is that we vertically integrate the traditional parts of healthcare value chain into one single solution. It's superior efficiency, superior price point, superior quality. It's just better because we can manage the whole value chain end to end. It naturally takes time to build this kind of a change. This is quite a massive change. You can compare it to any industry when doing these kinds of changes. But I think we are making good progress and I think the end result will be better for everyone. And this technology is available today for healthcare use. You can provide the sample in traditional way at laboratory, or we allow also remote collection, which is then also changing the value chains in a way that you don't need the old way of collecting blood samples. So you can actually enable blood sample collection directly by people themselves, but imagine you can throw the blood sample in the pharmacy. You can throw it basically anywhere. And you can even use this remote collection technology of ours, you can even use it to collect and transport a venous sample. Because many times with venous samples, the problem is that you need 24-hour cold chain and you need very rapid spinning of the sample to separate the cells and the plasma. But with our device, you actually don't need the cold chain. If you put the venous sample into the remote collection device, you have three weeks stability for the sample. So you can build completely different kind of logistics to transport the sample. No need for 24-hour cold chain. I believe that this will also change the way how healthcare operates in the future. Again, it takes time to do this kind of transformation, but I think it's coming because the value is just better. And as I mentioned, this technology is in healthcare use. We are actually running this nationwide in Finland and covering 30% of Finland's workforce. I think the concept of how we have demonstrated that is this risk detection, can it yield value for the clinical workflows? Can you do it large scale? We have basically shown that here in Finland, and I think this implementation is a great example how we can actually make healthcare better. All right. That was the brief intro to our technology. Let's talk a bit about the business targets for the ongoing financial year. So we have three targets, winning new large international deals, increasing revenue, improving efficiency. I don't go now in very much detail into this. I think the only key point to mention here is that, as I said, making this transformation happen around the world, building a better health care system, better primary health care system, solving the world's largest healthcare problem. It takes time, it's quite difficult. We approach it by aiming to win new large international deals. When we win the deals, it demonstrates that this technology is yielding value in the healthcare settings. Like how we have done now in Finland together with Terveystalo, we are now aiming to win kind of the next large deals and with that demonstrate the power of this technology. Our thinking around this is that the value that we can create is so obvious that when we can win more of these demonstrations we believe that the demand will increase after that. That's why we focus on winning the deals at the moment. Of course, increasing revenue is important. We are building also that. But I would say that for us, the more important KPI is to win the large international deals. And then we are very focused on improving efficiency. Our CFO Tuukka will talk more about this. This is very important because we need the timeline to build the business, to make the change in healthcare. That needs time and to have the time, we need the money. And a big part of that story is how we are improving the efficiency. Our mid-term business targets, long-term business targets remains the same. So I think no further comments about these. So we go to key achievements over the past half. I will go through each of these regions. And then I will provide the highlights when we get there. What I can say about the global, if you're looking at the kind of the global progress, we are making strong progress everywhere. We are a small company, but our strategy has been for a long time, a commercial strategy that we we work in a very targeted fashion everywhere we go. And when we work in a very targeted fashion, we can run a global operation with a small team and kind of keeping the high efficiency. Like with small team, the benefit is that you can, the efficiency, you can make it much more efficient than a very large team. But let's go through of this In Finland, Terveystalo is the flagship case here. I think the most important point in this slide is that more than 100,000 health checks were performed by December 24. So the volumes are increasing, the business is going to the right direction. And I think the important point here is that Well, of course, we think about the revenue, but I think if you look at the Nightingale story in the bigger picture, there are more than a thousand healthcare professionals using the technology in their daily work. Getting the technology to be used by people in healthcare, getting something new rolled out in healthcare, when you actually get it to the hands of the people, it's a great achievement. It's not like selling plastic buckets. It's difficult, it's something new, it's something that requires people who are using the technology to adapt the technology and then getting some benefits to their work. So I think that the fact that the volumes are increasing, I think, sends the message that we are creating value for our customer. And that's what we try to do. That's in the center of everything. In Japan, last time we talked about the acquisition of Veltosync. We have now completed the process and the key target with the acquisition was to get a better position in the value chain. This position is now achieved. We are fully managing the customer accounts of Veltus, so we are fully running now the operation that Veltus was running before, but now it runs under Nightingale. And now, because we are in a better position in the value chain, we are exploring multiple new commercial discussions in public and private healthcare sectors in Japan. That work is ongoing. It takes still some time, but I think we are now well positioned and where we want to be. In Singapore, there's been a huge amount of development. We have had two key implementation projects running in parallel in the previous half. One has been Singapore, and the other one has been Boston Heart Diagnostics in the United States. The progress in Singapore... The starting point was that we made a partnership with InnoQuest Diagnostics in Singapore. They are the biggest clinical laboratory in Singapore, and it's part of Pathology Asia. And we are working, the partnership agreement is with them, and we are working with them then later on to expand our technology also beyond Singapore. But now the focus has been purely to make it, to implement it, to make it operational in Singapore. Singapore acts as a kind of a reference for the region. So I think it's a very important step that we have now achieved in the Singapore implementation. So the laboratory is established and it was production ready in December. And then once the lab is production ready, then the next step is to ramp up the commercial operations and the commercial availability will be very soon, so in March. And we are targeting with this new joint product between Nightingale Health and InnoQuest. We call it Health IQ. We are targeting with the Health IQ portfolio the health screening providers in Singapore. And to make this all happen, we also managed to get the regulatory approvals in Singapore. Maybe good to mention, Singapore is one of the most strict regulations in the world. So they really made a very detailed evaluation. And once again, the Nightingale team made great job in getting the approvals in a relatively short time. So the position is great. We tick the boxes, we have the lab, we have the commercial loans. It will be very exciting over the ongoing year half to see the initial reactions also from the market. In the UK, I think the position we are having is good because we have the lab in there. The lab is fully staffed, production is ongoing. We have done the half a million UK biobank samples in the UK, which is, I mean, we have it here in the list because it is a very significant reference in the UK. It's a significant reference to promote discussions with public and private healthcare sectors. And that is what we are doing at the moment. In the United States, we have several very strong customers in the US. We also announced a regulatory plan in the US. So there was a change by the FDA in their ruling. It was maybe the biggest change in several decades. And with that new ruling, I think we are in a better position and I think the rule book is more clear than it used to be. If you read our press release about the regulatory plan, it may seem like that it's not that clear, but I can assure that that's the That's quite clear approach how to go to the market in comparison to the earlier situation. But regulation is always very complicated and of course requires a lot of very detailed expertise. We have a new laboratory to be opened in the state of New York. We are in New York. Maybe the key reason is that the regulatory environment in New York, because in the United States, each of the states have their own rulings also regarding the regulation. New York is a favorable place for us to put the laboratory. And then in the commercial side, I think we have made also very strong progress. We've been working mostly with Boston Heart Diagnostics. We've been working to launch the joint offering to the US market. That project is also going well forward. And we are... We are going to provide more information about that when we move forward before summer. But strong progress also with that account. Then other markets. So the main markets that we have, Finland, Japan, Singapore, UK, US, we have labs now or lab building in all of those. But we are also actively exploring opportunities in other markets. There are like, if you think about the remote health check, it does not The kind of the geographical limitations are very small, so we can actually operate pretty well worldwide. And there's been a lot of discussions and a lot of interest towards Nightingale's technology from Middle East region. And then we announced, we signed an agreement with Enigma Genomics, And they are very keen to then integrate Nightingale's technology as a part of their product portfolio that they are offering in Saudi Arabia and other countries in the region. So I think it's also exciting to move into the new markets. kind of the operational efficiency, we can maintain that in a good level by being very targeted with the customer cases. Working with Enigma, we believe it's a very good match between the two companies. And then when we work with the remote health check, that also gives quite a bit of flexibility, how we then deliver, how we manage, how we do things, how we maintain the efficiency while increasing the business opportunities. This kind of exploration is happening in several markets also outside of Middle East, but we are very critical into which initiatives to engage with, because we have to take good care of the growth and the efficiency. Then outside of the business initiatives, we also announced that we are aiming to transfer our listing from the First North Helsinki into the main list in Nasdaq Helsinki. And also that we are looking to list our shares through the OTCQX market in the United States. Why are we doing this? Well, Nightingale is a very global company. We operate basically almost everywhere. And we have a lot of discussions also with investors around the world. And we feel that it's a very natural part for the company to also improve the visibility in the international capital markets. So this is the, after the first north listing, this is the first step that we are doing. This is the first step that we are doing to increase the visibility and make it easier for potential investors to invest also in the Nightingale's growth story. That's it about the business side and the milestones. Next, we'll go to the financial review, and our CFO Tuukka Paavola will join me on stage. So let's look at the numbers.

Thank you, Teemu. Great to be here again talking about the numbers. So let's start from the cost side and the kind of cash situation. So we have managed to accomplish all the great things that we're explaining now in the first half of this financial year. And we have actually done that with tremendous financial efficiency. So the change in liquid funds in the first half was 6 million euros, and the trailing 12-month burn rate has been 13 million euros. So, of course, why we can do this or be this efficient whilst achieving these great things is that we have actually built this company to be really scalable. And now that we have set up new laboratories in a couple of geographies, we have a strong playbook how to do it, how to go about doing it. So we can actually manage to do that in a rather financially efficient way. So the liquid funds balance of 60 million euros at the end of December last year gives us, of course, a strong financial position to continue the execution of our global growth plan and gives us, even with the current burn rate, multiple years of runway. So all good from that point of view. Looking at the revenue, our revenue in the first half of this financial year was 35% higher than in the first half of the previous financial year. The slight decrease from the second half was due to normal seasonal fluctuation in the research business. The healthcare business and the revenue from healthcare business is actually on a rather stable track, which we get both from Finland and from Japan. I also like to emphasize what Tempo was also talking about earlier, the long sales cycles also in the healthcare business side. So it can take up to 24 months from the starting of a pilot with a new customer to actually starting to receive stable revenues like we now do with Terveys Talo. And that is, of course, explained by the fact that we want to fully integrate our solution to our partners' processes and ways of working. And since we are talking about healthcare here, we, of course, want to be really, really certain. It is of utmost importance that everything is actually working really smoothly. So it takes a lot of time and effort from us and also from our partners to make sure everything is working well. In addition, also want to highlight that we do have a strong sales pipeline with cases that we have been communicating and pilots that we have communicated already. And in addition, a lot of other potential cases, which we of course expect to convert into revenue in the future. So then just to summarize the H1 numbers. So revenue at 2.3 million euros plus 35% year-over-year growth. Improved profitability across the board. So EBITDA, operating profit and net income all improved vis-a-vis the H1 of the previous financial year. Continued financial efficiency, so the 12-month net cash change was at minus 11 million euros, which gives us the net cash position of 58 million euros at the end of December. I'm repeating myself maybe here, but giving us a really strong financial position to continue full speed execution of our global growth plan Thank you. That's it from the numbers. Back to you Teemu.

So how about Q&A? Fantastic. Yes. So this time we have a new person to help us with the Q&A. So we have Janna Ranta. So Janna is leading our strategic partnerships and working very closely with me in several of the projects that were also I mentioned in the milestone. Welcome, Janna.

Thank you. Hello, viewers online. Tuukka and Teemu, are you ready to start our Q&A sessions? Yes. I thought that we would have a trip around the world to go to the markets we are active in, but there's a very nice question that I would like to start with. Summary of the last period. What were you satisfied with and what could have gone better?

All right. it's always difficult to kind of... put everything together because I think in the positive side, what I'm very proud about is how we can run a global company and having so many different things running in parallel. I think it's quite amazing how we can kind of make it happen. And I think that's kind of the superpower of Nightingale. Then there are, of course, like I mentioned, the progress we have made in Singapore and with Boston Heart Diagnostics, because they have been the key commercial projects that we've been working with. But for me, it's kind of seeing how we can execute in the global game. On the negative side, or what we could do better, it's always a learning process. So you always find out something that was not optimal, and then you can kind of highlight and say like, okay, this process could have been better. But then we do it better next time. How about Tuukka?

Well, maybe to kind of piggyback on what you said from the numbers side. So of course, our cost level is really low compared to many global peers that we have. And what we have achieved with that cost level is I think it's world class, definitely. So as a CFO, I'm really, really happy with that.

Good, happy to hear that. So now we're ready to start our trip around the world. So buckle up. First, we're going to Asia and Singapore. The lab has been opened now and the first samples are soon coming in, I suppose. What steps will be taken to scale up the operations?

So now I think the most important, like building up these operations, the kind of complicated thing is that first you need to establish the partnership. Then you need to, if we are building a lab, you need to build the laboratory. So you have a lot of different like physical elements and different things that you actually have to have to do. Like in the physical world, it's not like software. And then once you have the lab running, you have the technical capability, then you start doing the commercial stuff. So you have the commercial launch, and then once you have the commercial launch, typically then the sales effort starts with the partner. So now we are in the phase where we are starting the commercial efforts. And of course we are now following very closely what is happening, what is the feedback from the market. We have of course done already some pre-marketing and the feedback has been very positive. So we continue with that kind of the commercial side and try to learn from the feedback. Then I think that also the next step that we will do in Singapore is that we will start looking at the other countries in the region. We have a great partner, Pathology Asia. They are the biggest player in the region. So I think the next natural step beyond Singapore is then to look at other countries. But I cannot say more about that. But that's definitely the next thing.

Okay, good to hear that. Tuukka, you mentioned also that the sales cycles can be up to 24 months. Could you elaborate a bit more what this really means?

Yeah, maybe then just repeating myself here. Of course, getting to the stage where we start a pilot with the customer takes a long time. There's a lot of negotiations and we might need to set up local laboratories for which we might need regulatory approvals, etc. a lot of work might need to be done or typically needs to be done before we get the pilot phase in the first place and then when we start a pilot with the customer you know working in the healthcare space we need to be really certain that everything flows smoothly all the customers receive their results and then we of course want to integrate our ways of working with our partners in ways of working and their processes and their user interfaces and whatnot. So there's a lot of work that needs to be done that we do together with the partners so that we then, when we actually go live with the product, it's working super smoothly like now with Tervestalo. And we can actually deliver to value to the end customers that we want and can. Okay.

Yeah, I think it's like maybe some of the investors and some people when hearing us talking here and saying like, well, it just takes time and it's a long sales cycle and it may feel a bit frustrating, but let's put it this way. So it's not easier for anyone. It's just not easy. And if you, and then we do it. it also builds like massive competitive advantage because it's also protecting the position that we then have earned. So kind of keeping on building this, I think it's the right strategy. And then this efficiency, the faster we can do it, the better, because then the quicker we get into the commercial activities. But I just wanted to say that there are like two sides of the coin also here.

Okay, thank you for that. Let's move on to the US. So a lot of questions about Boston Heart. So after the pilot, you have now announced a partnership. So how has the operation taken off with Boston Heart?

Yeah. So after the pilot, we got very good feedback from the pilot, and then we agreed that we move into building the production states. Very similar story as in Singapore. With Boston, we are not, of course, building a separate laboratory for Boston, but there is a lot of building the software integrations and making everything work, building the integrating our product into the commercial portfolio of Boston Heart. All of that work has been done. And now we are also nearing the moment when the commercial launch happens. So just to clarify, so the Boston Heart launches the product that utilizes Nightingale's technology to the US market. So we are nearing that moment. and we will update the market. I believe we will have an update before summer.

Okay, good to hear that. Then there's questions about the regulatory roadmap that you announced in the US and how does the local operations in the US function before obtaining the CLEP license and how does the absence of the license practically affect the company?

There is a very complicated answer to this, so I try to stay in a very simple level here. The important point is that now when we are building the laboratory, what we can do, of course, immediately when the laboratory is up and running, we can serve the research customers. And we are also starting the CLEP process immediately. It's very hard to say the timing, how long time that will take, but I think the difference to previous rulings by the FDA, I think now this CLEP process, I think there is When you go into the details, it's much more clear what is required and what is the process to have it. So I think we are now operating in the US market. We have the remote health check. We can utilize that. We have partnerships that we can move forward as we have already demonstrated on that side. We have the laboratory building up in New York. And once that process goes forward, then some of the collaborations we are now doing with remote checks and using other laboratories globally to run, to analyze the samples, then we can those volumes bring back to New York. So, I mean, I feel that we are now commercially in a rather good position to also push commercially in the United States because there are different ways to solve this question. So it's not that like black and white that now you need to have like some specific things before you can do anything. It's not like that. But going into more detail, like how it actually goes and all the kind of the detailed questions, it would get very complicated. So pre-fundserve, we are moving forward in the US commercially. I believe we have ways to deliver. We have ways to build the customer relationships. And we have the New York lab coming up. And I believe it will be there on time.

Okay. Thank you for sharing that very exciting news. I think it's time to now move forward from the US to a new market that you have opened. You started the collaboration with Enigma Genomics in Middle East. In the short term, is there other new clients in the pipeline or are you focusing on the ramp up of current accounts?

Yes. I've been looking at the pipeline of this. For me, one of the KPIs that I'm looking at very closely is the pipeline. Because given the long sales cycle, when you look at the revenue, you're kind of, you are looking to like ancient history in a way. So I'm having like, I have my eyes on the pipeline. And the way how I look at the pipeline is I ask the question, is the pipeline improving? Is it better? Are we getting cases to pipeline that tick the boxes, that they are substantial in size? If we win them, they can move the needle for the company. They work as references. There is significant volumes to build up the revenue. The price point is right. So when I'm evaluating these questions, what I'm seeing is that the pipeline is getting better all the time. And that's my KPI. So the answer, do we have other stuff in the pipeline? Oh, yes, of course. But it's a balance. So if we would go now, I think we are commercially in a situation, if we would go now to some of the big markets that we are operating and we would try to get as many new sales cases and pilots as we can, it would, this is like my personal view, it would kill the company. There are too many of them. We cannot do it. And the question is, does it make sense to do it? Because I think the point in healthcare is that you play with the best. You play with the best, you win the deals, you make the references. Once you have done that, then you can scale it out. So it's a delicate balance between the pipeline new deals and the existing deals and delivering those. But we are... I think we are very well aware of the situation. We keep very good care of that because that's how we then maintain the efficiency, manage the runway and all that. So it's a very good question. There's a lot of stuff under it.

Yes, maybe we'll ask the CFO of the company the same question from different angles. So you are a fairly small team and you're working globally. So are the company's finances and resources sufficient to expand to new markets?

Yes, so maybe again repeating a little bit what I said earlier, is that now that we have expanded to a couple of new markets already, we have a lab in the UK up and running, Singapore up and running, US coming. So we have a really experienced team. We have a good playbook how to go about setting up new country operations, new laboratories. And actually, we should rewind back 10 years and think that the way the technology has been developed from the start is that it is really meant to be really easily scalable and to operate in many different kinds of implementations. So everything has been from the start built from the point of view that this can and will be scaled globally. And we can actually do it now really efficiently. We have done it a few times. We know how to do it, how to go about it. And of course, then when we set up new labs, we need to invest in CapEx, but it's not that much that we need to invest in. We need to hire maybe a few people there to run the lab. So with rather small investments, we can actually set up these new country operations. So I think the runway we still have remaining with the 60 million euros of liquid funds that we have is well sufficient for executing our global strategy.

Okay.

Yeah, but I think like 10 years ago we did it, but many people thought that it was kind of a joke that we will go to the healthcare and aim to replace all this routine testing in preventative healthcare. So it's been like we took kind of a leap of faith back in the days and took a very brave vision. And now these projects that are actually implementing, it's of course very exciting times, but it's absolutely right that taking those decisions usually you do very early on. Do you focus on scalability and do you try to go into these large volume cases? So it's a great point because one of the reasons why it's quite exciting times for many of us.

Okay, that's great to hear. And I think the time is running fast when you're having fun. So now it's time to fly back to Finland and ask about Terveystalo. So what lessons have you learned from the successfully initiated collaboration with Terveystalo?

Yeah, I think that one of the things that we have learned is that when you look at healthcare, there are many, many different layers. I saw this slide where we had this like medical device manufacturers, we had the diagnostic companies, we had the healthcare providers. And there are much more of these layers in healthcare. You may have a great technology that can detect the risks, but you need to be able to integrate it to the workflow that is being operated by the healthcare professional on a daily basis. And the point of view, it may not be enough that it just makes a kind of a technical magic trick. You really have to go and try to understand how you help the actual real world workflow that the healthcare professional is implementing. And if you can contribute to that, that's when you build value. So I think working together with Tervestalo, it has opened a It's a unique possibility for us to grow also from just being a technology company to really understand how we can help the clinical workflows to do better, how we can help the healthcare professionals to make their work easier, make it more efficient, help them to do some real-world things better. So I think that's one of the highlights that we have learned a lot.

Yes, it's always good to learn stuff and then you can take them forward to the next cases you're working with. Then a very interesting question and maybe this is more to Tuukka. So you announced the transfer of your shares to the main market and then also adding the OTCQX market as an additional trading venue in the US. So I think the main market is probably more familiar for our shareholders, but could you educate us a little bit about what the OTCQX is about?

Yeah, sure. And maybe just to elaborate, so we are investigating the possible transfer to main list, possible listing of our share in the OTCQX. So, like maybe many of you listeners know, or the viewers, that you have, like in the US, you have these regulatory stock exchanges like Nasdaq and New York Stock Exchange. But then you also have these, what you call the party-to-party networks for trading equities, of which the OTC markets is by far the largest one. And even in the OTC markets, they have different tiers of which the OTCQX, which we are now investigating, is of the highest quality. There are roughly 630 companies listed in the OTCQX. The good thing about that is that it's not SEC regulated, but it's SEC recognized. So the companies don't need to file or do the SEC filings, or they don't need to adhere to Sarbanes-Oxley, for instance, which makes it easier, less burdensome, and of course less costly for the companies to be listed on the OTC. QX whilst getting also then at the same time the investor access to US in a different way than only be listed in Europe. So there are big European companies such as Heineken or Adidas or like Stora Enso from Finland who are actually listed in the OTCQX to get the US access without the burden and the costs from being listed in Nasdaq or New York Stock Exchange. So that's also kind of the thinking behind, and like Tem was saying, that is now in a way the next step in our capital market story that we are now investigating. And of course, we will be communicating more about the decisions and next steps during the first half of this calendar year.

I think like how Tuukka put it, it's a way how we evaluate different, like many things, like when we see that something could be like beneficial for us, as I said, like increasing the kind of the access, improving the access to shareholders. And then we started to investigate these options. But the way how we think about it is like, OK, how can we get the advantage that we are looking how can we reach the goal and do it in a way that it's manageable and it's not like crazy expensive and like so you kind of you keep it keep it together so all of the decisions whether it's business decision or it's a financial decision we try to maintain the still the kind of the key theme is to keep the efficient team together like capitalize the superpower that we have built and that's why then OTCQX was kind of the that's why we started to investigate that because we feel that it ticks the boxes It's a completely different ballgame then to go into these regulated US markets and maybe the day will come. Who knows? But I mean, now it's important to focus doing the things our way and where we can get good results. Yes.

Okay. I think now we are running out of time. I want to ask these last questions for both of you. What is the company focusing on in 2025?

I try to keep this brief, which is not my main talent. I think we are focusing on winning the deals. and winning deals that really move the needle in our mission. I stop here.

Tuukka. Well, I go with this three-point strategy. Winning deals, increased revenue, improving profitability. So I think the targets for this financial year will also be applicable for the whole Canada year, definitely.

Thank you. That sounds like good priorities for the rest of the fiscal year. And I'm happy to end this Q&A session now. Thank you, Tuukka. Thank you, Teemu.

All right. Final words. All right. I think final words. I think that's it for today. Thank you for your time and see you next time. Have a nice day.