SenzaGen AB

Tack så mycket för det och varmt välkomna till den här presentationen då av Sensat Gens första kvartal för 2026. Vi kommer inleda med att Peter Nellstedt, VD, kommer att presentera rapporten och innehållet och sedan så kommer vi öppna upp för frågor. As Bärden said earlier, you can either write them in or have them on the phone. We have a number of questions prepared here. I will now hand over to you, Peter, to present the report.

Thank you, Rodney, and welcome and good morning from my side to all of you. I will make a short introduction of the first quarter of 2026, describe what has driven our growth and how it goes for our completing businesses. Then I will go over a little presentation about the company and how it is intended that we will grow forward. with our strategic initiative and end with a little picture of what our ownership looks like. After that, we will, as Rodney mentioned, go into a Q&A session where it is good that you ask questions. Rodney will moderate that session. So, if we start with the first quarter, we achieved 10% sales growth, while at the same time, during this quarter, we saw increased attention to animal-free methods. And if we look at the financial part of the quarter, we achieved a sales of 15 million kronor. It is a growth of 10%, but we had a currency against the wind and in constant currencies we had a growth of 14%. Man kan se att det som drev vår tillväxt i gruppen är guardförsäljningen som växte lite kraftigare med 16% eller 21% i konstanta valutor till 11 miljoner. and we achieved a gross margin of 69%. 69% is in the range between 65-70%, which we consider to be a historical and normal, reasonable level for the company, even if it is also affected by the currency. During this growth, we managed to maintain a constant cost base, which means that we have increased our efficiency. We also improved our EBIT and EBITDA went down somewhat. This is partly due to the different writing methods that have changed since we introduced IFRS. But in total, you also see that our cash position is very good with 38 million. And this is largely due to the fact that we made an emission during quarter one to Eiffel, which now became the largest owner in Senzaja. So, to go a little deeper and tell you how it went for GARD, because GARD is what drives sales. So you can see that sales growth increased by 16%, as I mentioned earlier. It is the chemical industry and it is the USA that stands out a bit, it is just this quarter. We got 14 new customers in the quarter and that is a good figure. We also have a constant high repeat, so the business is generated to 83% of returning customers. During the first quarter, we carried out our collaboration at the world's largest toxicology conference. i USA, det här året hösten i San Diego. Man kan väl säga att det verkligen bekräftar vår ställning som ledande och drivande inom det här fältet hudallergi och säkerhetstestning inom det. Men också att vi öppnar upp dörren för respiratorisk allergi. Bilden till höger visar konferensrummet där det skulle rymmas 80-90 pärs, vilket vi hade räknat med. Man kan se att det är kö ut ur dörren, vi fick en totalt fullsatt presentation. And together with us, we also had the industry that presented its results at GARD. For example, J&J Medtech and ExxonMobil worked together with us, but also Merck, who talked about respiratory allergies. Så vi tycker att det här bekräftar det starka industriintresset för Guard och att vi kommer att ha fin tillväxt och hög efterfrågan även framöver. Så vi har ju som ni vet ett antal större bolag som testar med Guard. Vi har gjort ett axplock här av sådana som vi under åren har presenterat med och är glada att kunna lägga till fler namn på den här listan vartefter. Our other businesses include Vitroscreen, which adds value to the group in animal-free effect testing. It is a company we acquired in 2021 that is currently undergoing a change. We have strengthened sales capacity by recruiting a new sales manager. And we believe that this will help us to transform the strong pipeline that we have now built up to businesses during this year. And we have also worked a lot with costs. We have introduced a number of cost savings measures and we believe that this will have full effect from and with the second quarter of 2026. We also received a good new order on the flagship product Aura, Bitcoin Screen Aura. which is a spheroid platform, so that you can test on a custom-adjusted model of a piece of weaving, artificial weaving, and thereby show effects on, for example, skin. Here we got a new order, a fairly large order, almost SEK 600,000, and it will affect the turnover here in the second quarter. Att återställa tillväxt och lönsamhet i Vitroscreen är en prioritering, en mycket viktig prioritering för hela gruppens arbete. Vi har ytterligare ett dotterbolag i gruppen, ToxHub. Det är en rådgivningsaffär som hjälper till och de har expertis kring både toxikologi och farmakologi. Both regulatory in many different industries. This is very important for us when we run new businesses, including Guard. But as you can see, this is very good for your own legs. 10% of our turnover, very strong growth, high profitability and a very nice complement to our core business. Om vi då växlar över från Q1 och litegrann in till en bolagsbeskrivning så är ju Sensagen's vision att vi vill skydda och förbättra människors hälsa genom innovativ teknik som ersätter djurtestning. Och vi har kommit en liten bit på vägen med vårt bygge. Sensegen i Lund är ungefär 69 procent av gruppens omsättning. Experter inom djurfri toxikologi, alltså säkerhetstestning. Och med vår plattform Guard så är vi ledande inom hudsensibilisering. And as we mentioned before, two other subsidiaries, VitroScreen, animal-free effect testing, complements this, 21% of the turnover. And then we have ToxHub, which is our regulatory advisory board. If we look at the market we are working on, we have seen that the market for animal-free testing is now estimated at 13 billion dollars. It is a market that is growing between 6 and 9.5% according to the figures we have access to. Vi har trattat ner den marknaden till vår SAM, Serviceable Addressable Market, som är ungefär 500 miljoner dollar. Då ska det motsvara den testmarknad där Sensain idag kan erbjuda lösningar. We see that this market will continue to grow strongly in the future. There are scientific and regulatory progress. Animal-free tests are more cost-effective, and a lot of companies guarantee social engagement in society and thereby want to reduce the burden by reducing animal studies. Europe, North America, three quarters of the market, the rest is more or less in Asia, but a little bit in some countries in Latin America. And we work quite broadly on both cosmetics, medtech, chemicals, drugs and also in the food market. We have seen a very strong increase in visibility for animal-free methods in the last few years. Backward earlier, we have an increase in a number of messages, both from the EU, UK and also the US, that the authorities there want to see a transition to animal-free methods. And we also received another receipt for this during quarter one, when TV4 here in Sweden showed a report on how the EU is working to drive this change. And we are very happy that we were able to contribute with our expertise and what we contribute with, to restore testing to animal-free in skin allergies. We will continue to grow on this interesting market in the future with four strategic initiatives. One is that we want to establish GARD as an industry standard within Medtech. Vi kommer att fortsätta utveckla Guard-plattformen genom ytterligare regulatoriska godkännanden, men också uppgraderingar tekniskt. Vi kommer att skala bolaget med nya innovationer som vi har i vår pipeline, där vi kommer att ta djurfri testning till andra områden. Och sen jobbar vi kontinuerligt med att utöka vår marknadstäckning. And in parallel with these four growth initiatives, we are working with looking at strategic acquisitions that can complement and strengthen the growth of our existing business. And how are we doing with these initiatives? We continue to move forward quickly. As for Medtech, we are preparing to enter this ring trial. We are in the first stage of it. Vi har avtal på plats med Ring Trial Partners och vi väntar nu klartecken från kommittén på att gå vidare med ett with our Ring Trial. The Ring Trial aims to confirm that Guarded Skin Medical Device works just as well in labs regardless of each other. We have already shown that the method works perfectly for the MedTech application. We have already been approved for that before. Vi har gjort en vidareutveckling av Guard Skin i det vi kallar för dose response. Det är ett sätt att mäta vilka nivåer av ett ämne där du kan börja få problem med allergenicitet. Därigenom kan du formulera produkter så att du har säkra dosnivåer av problematiska ämnen. Vi säljer testet redan idag, vi säljer ganska mycket av det. Vi vill gärna få in det här som en regulatorisk standard. Vi jobbar med att få in det här som en OECD test guideline. Det här har vi ett samarbete med myndigheterna kring. Vi siktar på att få det färdigt under 2027. We have said from 2027 to 2028. We will do this as soon as we can. It also depends on how fast the authorities can handle such events. We continue to develop our market reach. This means that we want to reach customers on new markets. with new distributors and new license partners, but of course also to reach new large customers and continue to establish strong collaborations with the industry. And we think we have taken a step forward during the first quarter, where we have shown our collaboration or customer project together with ExxonMobil, J&J Medtech and Halion, which is before this GSK, their consumer medical business. And we have also seen a very interesting thing here with Guard Air, our respiratory solution, where the American company Nicetam and top pharma company Merck presented their work with GuardAir. So these three were a very good basis. We then look to accelerate growth with our product development. We are implementing complementary methods in our lab here in Lund. We have implemented one more method that we just started up with new customer orders now. And we show that this VitroScreen Aura platform, the steroid test platform is attractive. We got a new order during the first, just at the beginning of the second quarter and have many more in the pipeline. And then we continue to look at new areas. Photo, oops, now we change, we'll go back. phototoxicity, neurotoxicity and AI. And if we go a little further here, we look at these initiatives that we have made progress with and how we have put them out in time. So in the short term, we assume that we are currently in a break-even phase. Here we will see growth, which is what we delivered in the first quarter, and good and good cost control. We will, when our initiatives are completed between 2027 and 2028, enter a more expansive phase with a strong revenue development. We believe that we will get approval within MedTech and DosResponse. And thereafter, we will be able to scale the company with new markets and new test methods that are in the pipeline. If you look at how this can look, we have made this indicative growth plan that shows good growth here where we are now around 2026, which accelerates under 2027-2028 and which we can then scale up. And then of course it is intended that this will also grow under increased profitability from and with the break-even phase. A little about our ownership. got a new big institutional owner, Eiffel Investment Group. It is an independent French institution, 7 billion euro assets under management. They make a relatively large fund from a global perspective. And they have a long-term sustainability focus on their investments. Look at growth companies in technology, life science, etc. And we carried out a targeted emission of 17.5 million, which has taken them up to 9.5% of our shareholder. And they have become our largest owner. Our next largest owner is CheapQ. It is a shareholder that came in in connection with an emission that we carried out in 2024 to finance our growth initiative. Det är en tysk långsiktig investeringsfirma som fokuserar på small och midcap europeiska tillväxtbolag. Vi tycker att det är en fin kvalitetsstämpel på Sensagen att vi har fått in de här två fina institutionella ägarna i bolaget. Utöver kvalitetsstämpeln så har vi nu också storägare som har en alignment med våra planer. This will make it easier for us to strengthen our execution of our 2030 growth plan and also support potential accelerations or initiatives that may take us a little faster on that curve than what we showed in the previous picture. So, this was my last picture. I thank you so much for your attention on this quarter. My closing remark is that we have a strong sales growth, effective cost base, a very strong financial position, and in that way, Sense is in an incredibly good position to be able to deliver, continue to deliver on the growth plan we have communicated. Tack så mycket för mig och då kommer vi att gå över till en liten frågestund. Jag lämnar över ordet till dig Rodney.

Tack så mycket Peter och tack för den här fullödiga presentationen. Ja, vi går in nu i en frågestund. Det går bra att ringa in och det går bra också att skriva frågorna. Jag tänkte bara öppna upp med ett par frågor själv innan vi släpper in publiken. And I'm thinking more broadly about the quarter. You provide a good income growth, while the EBITDA is still a bit negative. But how would you describe the quarter more broadly and how you are in relation to your plans?