VibroSense Dynamics AB

There is a great demand in the health sector for new, better and more precise tools and methods of measurement and analysis. This is not only us who say this, but especially in the health care sector, both in Sweden and abroad. We have a solution for this, and it is what we work with. It is a technology that we own ourselves, which is called multi-frequency vibrametry. The instrument we work with is called vibroSense or vibroSense METE 2. The advantage of this instrument and the technologies compared to what is available on the market and elsewhere is that we can very quickly identify and detect peripheral nerve damage. We can follow up over time, we can make a database, and for the health care sector this also means that you get a much earlier and more specific diagnosis of a peripheral nerve damage and can set up measures in the pre-organized system for the patients who are affected by this. So very important. A few words about the quarter that has passed. The first quarter, we have broken a year of accounting, as you see for those who are with us and look at the web and not just listen. We have converted net 546,000 during the first quarter and it is actually the fifth quarter in a row that we are increasing the net revenue compared to the same period the previous year. I am well aware that it is still not a huge number, but it is a clear trend and indication that the market accepts what we do. We feel quite excited and proud and it is a good feeling to repeat ourselves in the quarter after quarter. The result of tax is somewhat lower during this period, nothing that we are specifically worried about. There is a reason, we have had increased costs for patent registration and also marketing. I will talk a little about it, but we have been participating in some congresses during the first quarter and it is also costed more money, so it is very natural for us. We have a good control over our costs and we feel safe with it. The revenues come, as you know, from the sale of instruments at Procenz 2 but also from the sale of license and lease agreement and it is important for us that every time we sell or rent an instrument we also factor in the annual future as long as we use our technology and instrument a license cost or a lease agreement depending on how the agreement looks like. This means that we build a base, because everything that we delivered last year sold or rented out, new revenues come all the time and this base is important for us in our business, it is what makes this so attractive for us. We base the result on this. FHV stands for Prevental Sales and Care, it is still the largest revenue source but diabetes, which we are focusing a lot on now, we notice that it is gradually changing and in the last quarter, about 30% of the company's turnover comes from diabetes. Finally, as I have said a few times, we have had and have a positive sales trend we feel that we have a co-agent, I should not even assume that it is a storm that comes with us in the back, but it is a pretty nice soft breeze that has made us able to lift this a few quarters in a row and we are happy about it and we feel inspired by it as well. Even though I was in the quarter, I was with diabetes as I said, we have had a very good start on the new accounting year and then I switched to this quarter of course. Our goals, and I always have this with me because I want all of you who have heard and will hear it again and those who are new will hear it for the first time we have a clear strategy, we work on the markets we go out on with establishing reference clinics and what we call key opinion leaders, KOL in the next step we go out on a broader scale but the first step is important, it is often a university clinic or a clinic that we can use as an ambassador for us and technology in the next situation, talk to us and work with you on the market we go in, it is important to get them here and it takes a little time in the beginning, but it is well invested and it is an important job for us to do. We have had a good start during the first quarter normally July, August and September are no fantastic months within the hospital's value of distribution and I have worked many years with soreness and osteopathy the same thing, so it is not specific for us but we have had a good last quarter, the last months before the summer April, May, June and we have been able to continue to ride on that wave and actually be able to capitalize on what we did during the spring and even summer to some extent so that we can get a little flying start here now during the autumn and that feels great, we have delivered new instruments during Q1 both in Sweden and abroad but among other things in the University Hospital of Schone here in Malmö so if you look a little earlier, we see that the number of license revenues and what we also hire, they increase successively and this is our base that is important to us and what we can ride on I have also been able to look at some new prospects during the last months so new potential customers we have exciting discussions with new clinics both in Sweden and abroad so we will see what results are, it is too early to say something right now we try to send PMs as often as we can and if we do not have a PM, we write a new letter but we will tell more about this in the fall but very exciting we have as I said been on two congresses and exhibitions and this is in line with our strategy we have said it earlier in our report and also in our communiqué here earlier this year that we will put more into this year of revenue and we will be more visible and more active in this type of meetings and it is important that we meet our existing customers but we also meet new potential customers so it is important that we are seen NeuroDiab and EOSD meet the customers we want to do both in the research world and in the medical and clinical care in the area of diabetes but also neurology, so it is a little wider NeuroDiab was a congress and an exhibition linked to this, which went to Zaloriki at the end of September EOSD followed the week after, the first week in October in Hamburg and a little lucky for us, Hamburg is in Germany Germany is a market that is shown to be extra on that some of us probably know so EOSD was also very important but both these congresses have created new opportunities for us and we have been able to get in touch with new potential customers but also received questions from new markets so we are very pleased with the participation that we have done in these two exhibitions and we look further at what can come now after the year change what should be done externally at similar congresses but not just these two specifically We also have a voice resource in Germany or a person, that's the resource I refer to that we have contracted has started a small start up during the summer that we have already talked about but is now in progress and is looking for more contacts for under-clinics in the German market and that's what we can say in this situation but we have great interest in this and it is also a part of our strategy and we are moving forward in Germany and Germany is still important to us now we will put a lot of effort into Germany What is China, that has also been with us now we are approaching sending in a request for regulatory approval in China Havs Handle Vibration Syndrome or vibration damage in the hand, we can easily say that's the core area where we come from and I just want to be clear that even if we don't talk so much about Havs or company health care or environmental medicine this is still very important to us We have a big customer, our biggest individual customer who is called Abonova Hälsa who is a Swedish actor in company health care one of the three biggest actors on the market in Sweden they have a large number of instruments and this collaboration is of course important to us I have said this a few times now that we continue to develop positively but it really does this we will deepen the collaboration it's not just about selling new instruments but we also discuss projects to get closer to each other and expand this collaboration and how we can help Abonova to strengthen the market and thanks to Abonova and the instruments that they have historically used our license and house income has increased and they were in the early stages of our sales We continue to look at opportunities to find more partners and this is something we have returned to and we think of FHV as a company health care we think of a partner in the Nordic region there are a few, but not many but who have the same dignity and size as Abonova the work that Abonova does out on the market is active and seen with our instruments and we get a lot of questions but this is a long-term work the big concern organizations do not make decisions immediately but we work for this and it is our goal to find a partner in the same dignity and size as Abonova what is not there, we can add there is a smaller constellation in Sweden called national companies so it is a free-standing organization of 44 small or medium-sized companies and they have a collection that normally delivers but we are invited this year to come and talk more about our technology Tony was there a month ago talked to representatives from national companies presented our technology and we have had a number of interesting discussions after the meeting not only the big actors are important but also the small companies so we do not release health care but we have continued our focus on diabetes so during 2023-24 this is a strategy that we are working on during this year it can be fine adjustments but you should recognize this picture our goal is to increase our attention increase the turnover and in the meantime we are looking for the national partners for distribution it is in our business model we do not work with we want to find partners that deal with distribution so we are active right now we focus on three geographical areas the north, Germany and China no secrets either and we continue our development of diabetes in the north and Germany the work we do is to build established reference clinics and we have also been working on other clinics to attract next segment and last but not least we are active in international congresses the two examples I mentioned we were in two of them and last but not least we are approaching a request for regulatory approval and soon a product launch in China these are our four points that we strategically have our main focus on during this year we are today and I repeat this picture to grow we are in the northern market we have our biggest base but we have to move out in Germany as you can see on this picture and we have a number of reference clinics that are important to us so that this map will be even more blue and that is what we are working hard for finally, my last slide I want to summarize the trend we have had during the previous four years is now a 50 quarter with a strong trend that sales are going up increase .5% compared to the same period a large percentage, less in the crown and the pipes but we are on the right track there is growth in the business sector we are getting approval from the market and that is important to us and we hope that during the next quarter we can be even more positive I feel quite grounded and grounded we have a success now we see the possibility of export when we are at the international congresses and just as we write in the report we have not said it today, but at EASD we have the doctors who are in these organizations for example NeuroDiab have meetings and we got a reminder of one of the heavier doctors that we are very proud of and that means a lot because we are on the map in a different way internationally among those who work clinically with diabetes and that is important to us and last but not least, we are getting closer to the application for regulatory approval in China and the sales start in 2024 we are very strong, I say this on this picture from the last two quarters but specifically the last two we see that the conditions and trends will continue during this year and we are looking forward to the last year next year I have my pictures today so now I think we open for questions

I see that you have come in thanks Hans, good presentation there is one thing I would like to complete and it is about NeuroDiab and it was me who was there with my colleague and there is a general trend in diabetes and it is not only NeuroDiab we see this throughout Europe and that is what we call one stop shop and that means that diabetes doctors today have become aware that it is very important to collect and do these surveys that are done in different ways today and treat it as a test before doctors have to meet patients they have done all the surveys and there our instrument fits in so it is a strong trend and we see this from three actors and we have several questions about this but ok Hans, is there anything you want to add about that? No,

it is a good summary and it is the big clinics that work in the same way in Sweden to be able to conduct these surveys together at one time to save time and move time from doctors to doctors who are cheaper but that is the fact

and today many patients come to the hospital several times and it costs resources in the form of their own time not to mention the administrative bit that you should call them and sleep I will add

one thing, I do not know how interesting but I will not go too far but you talk about that one stop shop so there are a few moments that you investigate a person with diabetes routinely at least once a year, but several times it is an eye bottom photographing you take blood pressure, you measure HVA1c and then you add this with a foot examination with our instrument in those cases it is the same dialog as we have so it is very good in that scenario

I have some questions here now Daniel Lillibad has asked two questions how do you see our Chinese distributor on HAFS and CIPN or the primary interest of diabetes when it is damaged it is like this that the business situation against the regulatory part of China it is about diabetes and we see rather that in the later stages we are working with CIPN I personally do not believe much on HAFS because in China they have a big production sector and they are not as afraid of their employees as we are in Europe another question from Daniel how is CIPN doing with Henrik Grene it is going on for a long time it is now in...

sorry, before you tell me for those who do not know tell me what it is

CIPN, now you are a little blind it stands for self-induced periphenic neuropathy and this is a very big and common problem, which means that when treated with cancer with drugs, you risk getting kidney damage, existing kidney damage because you prevent growth of the tumor but with the thought that it has increased quite a lot when it comes to treatment of cell drugs and then there are many patients who after the end of treatment get existing problems and that is life-threatening problems so therefore it is about, and it can be done with a few tools to adjust the dosage of cell drugs that you do not get these kidney damage and to come back to this with Henrik Grene Henrik Grene is a professor in Linköping who does a multisense study and right now a part of this is going on in Jönköping and it is a study on breast cancer and you are on it it is not fully updated, but if I remember correctly phase 1 will be completed during the spring next year then I see another question here Hans, it says here on the last quarter presentation you talked about possible breakthroughs in Sweden it is about coming recommendations to regions for research do you have anything more to say about that?

Yes, breakthrough is a subjective term I try to be, as I said before I try to be grounded we do not like to exaggerate our efforts but let's put it this way we delivered an instrument and it is only one instrument to Sofiahemmet, and it is a private clinic here in Sweden but Sofiahemmet is if you may express yourself flagrantly a high-skinned, but a very good clinic in Sweden that you would like to come in on and when I worked with the Opthopedi I wanted to be on Sofiahemmet because it is a very good reference point it is a private clinic they are different in their actions from public health but they also exist and it is not just a clinic, but a lot of private clinics and we will have discussions with some other units that will test our instrument but it is a breakthrough Sofiahemmet another breakthrough could be we have worked with a close collaboration with two clinics two universities in Sweden one of them officially says that we introduce this in the care as a standard it would have been a breakthrough and it is a process that we do not really advise even if they use our instrument we are careful to go out and ensure that before we have the treatment and it is also about them having to verify themselves and build a database with patients so it is a breakthrough we have done it on the private side I am completely convinced unfortunately we can not talk about all breakthroughs we have done good deals I will not say what we have done there are customers that we cannot talk about unfortunately it would have been very nice and good to do but it is not always another breakthrough that I see we are working hard on when we can hire someone who wants to distribute our products because then we have more feet on the market in Sweden and that is why it is important for us and not only Sweden but the other Nordic countries I think another breakthrough could be if we come to another market in the Nordic countries where we are not commercial sales we will see what it leads to during these remaining months of this year I hope tomorrow I

can you will soon be able to develop this I have a question about this topic I have balanced

this but there

is another question it is about the test report from China is it a reason to worry No, I would not say that it is not the test report that dies the test report is signed and ready I have worked a lot on this we are preparing the application for NNP so it is not the tests that are taking time we have received a package of documents that will be signed by Notaris Publicus and then they will be sent to NNP so when it comes to the tests there is no danger at all if you wonder why it has taken some time it is about the fact that the product in China will be classified into a class 2 product while in Sweden or Europe it is classified as class 1 and all the tests that are required to make a test 2 for a class 2 product it is ready so test the report and it is ready but it will be part of the application to China I have another thing here can you tell us about the questions we have received from new markets after the congresses and are they distributors or end customers

I start from the distributors and end customers I can mention that because it is not even speculative but to get a question does not mean anything we often get the interest in the question and it is not always the case some can be more hot but we have had on E&S in Hamburg we have had a lot of interesting contacts some distributors in Europe and it is always far the markets that are far away Asia, Middle East but also in some parts of the US they have a kind of overrepresentation in many of the congresses we got a lot of interest from both Middle East and Asia some markets feel that it costs too much to put down early energy but we have a dialogue and a few weeks after the congress it is difficult to say if this will lead to something I am very open to it we can do it but it can also lead to the truth I do not know if you have put something in Tony, you were together with the E&M yes,

we can speculate a bit we can test new markets but there is another thing we forget there are many countries in Europe my personal guess is that we have everything ready with the E&M to go into a new market it will take a lot of time

we have three focus we have the north we have Germany we have the final work we have three areas that are our priorities that said, it does not mean that we do not look at other things we value the questions and the possibilities we create I would not be surprised if we end up outside of this just like Tony in Europe before this year of accounting is closed we will of course report that but it is not something we run after but if we see a business opportunity we will of course take it we have a product that is registered in the OECD market so the whole EU can take this product it is not a great effort to sell instruments in other markets of course we will open to that

the question was about distributors I thought you answered some of that but when it comes to Europe we have something so far that it can be interesting to try to find a distributor that takes up this we do not need to prove the product's benefits but that we know where it is then I have another question Johan Engsberg asks is Håkan Petersson on the way to buy some shares or does he not yet get one I can say that Håkan Petersson is our new head of board and I can not answer it is not like the head of board in any of the following conditions when you buy shares it is his private economy and I can not comment on that Hans, do you have anything else?

No no more questions I can talk as long as I want but we have respect for those who listen

I see that it is 10.31 and we are important to try to keep the time if there is nothing else I think we close here and the presentation will be posted on YouTube a little later today and for those who noticed recording in progress I started recording a little late but it will be a round table but still good enough with those words I want to thank you for the interest and hope you will continue to follow us

thank you very much send us an email and we will talk on that way

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