Nxera Pharma Co Ltd

Thank you very much for taking time out of your busy schedule to join us today. I am Nomura, CFO, and I will be the moderator. Today, we have Chris Cargill, CEO, Dr. Matt Barnes, President of Paris and Head of UK R&D, and Dr. Satoshi Tanaka, President of Nexera Japan, Nexera Pharma Japan, and Korea. Simultaneous interpretation is provided. Please click on the Earth icon. in the lower right corner of the screen and select either Japanese or English. If you choose off, you will hear the speaker's original voice. Today, we will explain the progress of our business using the material in the first half, followed by a Q&A session in the second half. The presentation materials will be shown on the screen and are also available on our website. If you want a copy, please access the website by selecting Presentation Materials and Video from the Investor Relations tab in the upper right corner of the website. Institutional investors, analysts, and members of the media are welcome to raise your hands and ask questions during the Q&A session. For all others, please submit your questions via the Q&A button. Questions can be submitted anytime during the webinar and will be answered as much as time allows during the Q&A session later. So we will start the briefing. I will first explain the first half financial results, followed by Chris on the overall business update, Tanaka on Japanese and APAC business, and Matt on the progress of R&D. Finally, Chris will explain our FY2024 goals and events. Please turn to page 5 of the presentation.

資料の5ページです。 This is page 5.

This is the summary of the financial results for the first half of FY 2024. Revenue was 12.7 billion yen compared to 2.1 billion yen in the same period last year, while core operating profit was 1.1 billion yen compared to a loss of 2.7 billion yen in the same period last year. This was mainly due to new partnerships and milestone revenues. which were weak in the same period last year, including new partnership with Behringer and Milestone Revenues from Neurocrime, Sentessa and Abdi in 2024. Operating profit on IFRS basis, including non-core, was loss of 3.6 billion, a slight improvement from last year's loss of 4.1 billion. We continue to invest for future growth, and with cash and cash equivalents of 50.9 billion yen at the end of June, we have sufficient capacity to support these investments. Slide 6, please. This overlaps with the summary I just explained, but the left side shows revenue and breakdown and changes in operating profit and poor operating profit, and the right side shows the factors behind these changes. As an addition from the summary, revenue increased as pivot sales contributed from the beginning of this year, whereas last year the contribution came from the second half of July, after the acquisition.