Cyclezyme (CYCLE) Q2 2024 earnings summary

Executive summary

• Focuses on enzymatic recycling of PET plastics, aiming for a sustainable, circular plastic economy.

• Achieved a breakthrough enabling enzymatic breakdown of commercial PET packaging without pre-treatment.

• Entered a feasibility agreement with Circular Venture AS to enhance PET recycling via pyrolysis.

• Laboratory completed to support R&D; new board chair appointed in Q2 2024.

Financial highlights

• Net sales were 0 KSEK for both Q2 and H1 2024, unchanged year-over-year.

• Operating loss was -620 KSEK in Q2 2024 (442 KSEK profit Q2 2023); H1 2024 operating loss -1,030 KSEK (-411 KSEK H1 2023).

• Net loss after tax was -636 KSEK in Q2 2024 (442 KSEK profit Q2 2023); H1 2024 net loss -1,061 KSEK (-411 KSEK H1 2023).

• Cash flow for H1 2024 was -1,773 KSEK (-1,556 KSEK H1 2023); cash and equivalents at period end 4,030 KSEK.

• Equity per share at June 30, 2024 was 2.72 SEK (3.21 SEK at Dec 31, 2023); solidity 85.4%.

Outlook and guidance

• Positioned for commercialization following technological breakthrough in PET recycling.

• Focus on expanding customer projects and scaling technology through strategic partnerships.

• Sufficient liquidity expected to support operations for at least the next 12 months.