FEBRUARY 2024 - APRIL 2024
Net sales | 1 686(1 869) KSEK |
Operating result before depreciation (EBITDA) | -2 719 (-4 240) KSEK |
Net result | -5 349(-7 717) KSEK |
Earnings per share |
-0.22 |
Gross margin | 60 (31) % |
MAY 2023 - APRIL 2024
Net sales | 10 510 (9 900) KSEK |
Operating result before depreciation (EBITDA) | -12 287 (-16 866) KSEK |
Net result | -20 175 (-23 185) KSEK |
Earnings per share |
-0.81 |
Gross margin | 71 (51) % |
IN SHORT- PHI has increased its recognition in the growing regenerative medicine field. Our CSO,
Kersti Alm , delivered an impactful presentation at the Alliance for Regenerative Medicine conference in Rome . -
We welcomed
Ivan Jurkovic to the PHI Board to support our growth and strategic objectives. -
In March, PHI's sales partner,
Altium , hired a distributor manager who has been actively engaging with potential sales partners to open new markets and increase our global footprint. -
We have been intensely involved in supporting
Altium by training new sales colleagues and providing support at initial product demonstrations, taking noticeable resources from the PHI team. However, we know that we set ourselves up for future returns. -
PHI published "Shaping the Future of Regenerative Medicine - PHI's Vision for QPI in Cell Therapy Manufacturing" to outline its vision for QPI technology in regenerative medicine and the technology's capability to enhance cell quality control throughout the whole cell manufacturing cycle - from bedside to bedside.
CEO COMMENTARY
This spring has been a dynamic and productive period for PHI, as our team and partners have made significant efforts on multiple fronts. Externally, our collaboration with
Increased Visibility within Regenerative Medicine
Our visibility in the industry has grown substantially through participation in key investor and regenerative medicine events this spring. Our Chief Scientific Officer,
Additionally, we published a well-received opinion piece, "Shaping the Future of Regenerative Medicine - PHI's Vision for QPI in Cell Therapy Manufacturing", which outlines our vision for establishing Quantitative Phase Imaging (QPI) as the gold standard for cell quality control measurements for cell therapies. This publication underscores our commitment to innovation in regenerative medicine and highlights our strategic goals for the future.
Strengthening Our Team and Board
To support our strategic growth and expand our market presence, we have had key additions to our team and board. Since March,
Additionally, we were pleased to announce
Sales Strategy and Progress
Our collaboration with
Currently, we are intensely involved in supporting
While sales this quarter were not as strong as anticipated due to our focus on intense training, process building and hand-overs, we remain optimistic about
Looking Ahead
Moving forward, we are committed to anchoring our position in the regenerative medicine market, expanding our collaborations and HoloMonitor's global reach. Our goal is to make Quantitative Phase Imaging (QPI) a measurement standard for cell quality control, ensuring that future cell therapies are safe, cost-effective, and widely accessible.
I want to thank our whole PHI team, partners, and stakeholders for their unwavering support and belief in our vision.
Have a good summer,
ABOUT PHI
The foundation of PHI's current commercial HoloMonitor® products is Quantitative Phase Imaging (QPI) technology. This technology brings an innovative approach to real-time cell quality evaluation. It offers a detailed analysis of a large number of cell health and behavior characteristics without harming or influencing living cells and thus differing from conventional measurement methods, which often jeopardize cell integrity.
PHI is actively focusing on developing its business to expand from its current pre-clinical research market to the sizable healthcare industry and the emerging regenerative medicine field.
PHI envisions setting a new benchmark with QPI as a gold standard method for cell quality control, enabling regenerative treatments to advance and making future cell therapies safe, reliable, and economically and universally accessible for patients worldwide.
The addressable market
PHI has been active within the pre-clinical and biomedical cell research market, having established a global presence with HoloMonitor® systems and their scientific validation in both academia and industry, primarily addressing cancer, stem cell and drug development research.
PHI's HoloMonitor technology is transforming pre-clinical research by providing a foundation for better cell models, which are critical before clinical drug testing. This innovative approach, utilizing Quantitative Phase Imaging (QPI), ensures cells remain unaffected during analysis. Unlike conventional cell measurement methods that often require genetic manipulation or staining with toxic substances, QPI offers a non-invasive alternative that maintains the integrity of cell cultures. This advancement addresses the critical need for accurate, cost-efficient preclinical data to reduce the high failure rates in drug development. With 9 out of 10 drugs failing in clinical trials due to ineffective results or adverse effects, largely stemming from flawed preclinical outcomes, PHI's technology represents a significant leap forward. By enabling scientists to obtain better data without compromising cell health, HoloMonitor sets a new standard in drug development and basic medical research, aiming for more successful patient outcomes and reduced research expenses.
PHI is strategically prepared to extend its reach into the large clinical market and emerging regenerative medicine field, which presents significant growth opportunities. By striving to achieve Good Manufacturing Practice (GMP) standards and create a company quality management system (QMS), PHI aims to penetrate these markets in the future, where its non-invasive cell analysis solutions can offer critical cell quality control assessment.
Regenerative medicine is a groundbreaking field focused on developing methods to regenerate, repair, or replace damaged cells, tissues, or organs. It integrates biology, chemistry, computer science, and engineering to develop treatments for conditions previously thought untreatable. It has already begun to transform healthcare by offering new hope to patients with conditions like cancer, Parkinson's disease, diabetes, and deafness, displaying its vast potential to improve and save lives around the globe.
Business model & strategy
PHI markets a competitive combination of sophisticated software and quality hardware, constantly evolving its offerings through in-house development in response to changing market needs. The production of the hardware and accessories is strategically outsourced to specialized subcontractors located in
PHI's business model strategically centers around the HoloMonitor portfolio, designed to meet the specific needs of academia and industry research labs. The company prioritizes direct interactions and live product demonstrations at potential customer facilities, particularly in cell-based research environments. Combined with a digital marketing approach, this sales strategy is essential for demonstrating HoloMonitor's advantages firsthand, aiming to foster trust and enabling customers to assess its suitability for their unique research needs. The sales process at PHI is designed to align with the detailed and extended decision-making cycles often found within the scientific community. It accounts for the crucial phase of securing grant funding or other financial support for institutions looking to invest in new research equipment. As a result, sales cycles typically span 6 to 12 months.
PHI is actively expanding its global reach within its current core markets, such as
Achieving future goals
PHI is focusing on achieving important milestones in the coming years, utilizing the potential of its partnerships and collaborations. PHI has a clear focus on expanding its business to the clinical research market and positioning itself in the Regenerative Medicine field.
The collaboration with
PHI engages in these strategic relationships to fortify the Company's position as a thought leader in the field with the intention to accelerate progress, bolster market penetration, open new doors to new business opportunities, and enhance shareholder value.
NET SALES AND RESULTS
Net sales for the third quarter amounted to 1 686 (1 869) KSEK and operating results before depreciation (EBITDA) to -2 719 (-4 240) KSEK. The net result amounted to -5 349 (-7 717) KSEK.
INVESTMENTS
With an emphasis on regenerative medicine, the company invested 2 110 (2 667) KSEK in the product, patent, and application development during the period.
FINANCING
Cash, cash equivalents, and unutilized granted credits amounted to 810 (7 307) KSEK by the end of the period. After closing PHI took a bridge loan in the amount of 7 000 KSEK. The equity ratio was 15 (11) %.
Warrants of series TO 3
On
Warrants of series TO 4
Each warrant of series TO 4 entitles to subscribe for one (1) new share in PHI during the period from and including
Convertibles
The convertible loan to Formue Nord Fokus A/S end of
- Number of convertibles: 1 700 000 convertibles, which entails the right to subscribe for 1 700 000 new shares.
- Conversion rates:
11.90 SEK per new share until2 May 2023 (last day in the exercise period for warrants of series TO 3) and15.45 SEK per new share fromMay 3, 2023 , untilOctober 16, 2024 . - Conversion period: the convertible holder is entitled during the period from the date of payment to
October 16, 2024 , to convert the loan into shares. - Maturity: in the event that the entire loan is not converted, repayment of the loan and interest must take place no later than
October 16, 2024 . The company has the right to repay all or part of the convertible loan at any time until the due date, after which Formue Nord has the opportunity to accept repayment or request conversion according to the above conversion rates. - Interest: the convertibles run at a quarterly interest rate of 3%.
Altium acquired Formues Convertible loan
In November,
RISKS
The company may be affected by various factors, described in the 2022/23 Annual Report. These factors may individually or jointly increase risks for the operation and result of the company.
ACCOUNTING PRINCIPLES
The accounts are prepared in accordance with the Annual Accounts Act and general advice from the Swedish Accounting Standards Board BFNAR 2012:1 Annual accounts and consolidated accounts (K3).
REVIEW
This interim report has not been subject to review by the company's auditor.
STATEMENTS ABOUT THE FUTURE
Statements concerning the company's business environment and the future in this report reflect the board of director's current view of future events and financial developments. Forward-looking statements only express the judgments and assumptions made by the board of directors on the day of the report. These statements have been carefully assessed. However, it is brought to the reader's attention that these statements are associated with uncertainty, like all statements about the future.
CALENDAR- 16th of September, Interim Report 1 2024/2025
-
End of September: Publication of annual report, which will be available in our office in
Lund and on www.phiab.com
ABOUT PHI
On behalf of the Board of Directors
For additional information, please contact:
E-mail: ir@phiab.com
Web: www.phiab.com - Live cell imaging & analysis
https://news.cision.com/phase-holographic/r/year-end-report-2023-24,c4006116
https://mb.cision.com/Main/11597/4006116/2885166.pdf
https://news.cision.com/phase-holographic/i/cells-banner,c3314445
https://news.cision.com/phase-holographic/i/patrik-eschricht,c3314446
https://news.cision.com/phase-holographic/i/rolling-12-q4-2023-24,c3314447
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