Arctic Bioscience (ABS) H1 2025 earnings summary

Executive summary

• Delivered encouraging top-line results from the HeROPA phase IIb clinical study for HRO350, with promising secondary endpoint data and no safety concerns reported.

• NOK 30 million in new long-term funding secured in January 2025, supporting ongoing operations and strengthening liquidity.

• Cost reduction initiatives led to a NOK 6.4 million decrease in operating costs compared to H1 2024.

• Nutra revenues increased 2.9% year-over-year to NOK 17.2 million, with gross margin improving to 33.4%.

• Launch of ROMEGA® Skin Refine in Norway marked entry into the beauty segment, with international expansion planned.

Financial highlights

• Sales revenues stable at NOK 17.2 million in H1 2025, with the Americas representing 30% of total revenues.

• Gross margin improved to 33.4% in H1 2025 from 30.6% in H1 2024.

• Adjusted EBITDA improved to NOK -13.6 million from NOK -20.9 million year-over-year.

• Net loss for H1 2025 was NOK -18.9 million, an improvement from NOK -23.5 million in H1 2024.

• Available liquidity at period end was NOK 5.5 million, with an unused credit facility of NOK 3 million.

Outlook and guidance

• Increased nutraceutical revenues expected in H2 2025 based on order outlook and delayed deliveries from H1.

• Strategic opportunities and partnerships for further development and regulatory engagement of HRO350 will be evaluated.

• Further development of HRO350 beyond phase IIb will be funded separately through partnerships or project funding.

• Liquidity situation is closely monitored, with ongoing dialogue with financing partners and further measures to be implemented if necessary.