Inhalation Sciences (ISAB) Q1 2025 earnings summary

Executive summary

• Order backlog reached a record 45 MSEK, driven by new FDA guidelines requiring dissolution studies for inhalation drugs.

• FDA approved publication of joint study with ISAB, highlighting DissolvIt®'s regulatory potential.

• Launch of upgraded XposeALI® with microperfusion planned for the biologics market, estimated at $4 billion.

• Board initiated a rights issue to fund commercialization and growth; strategic alternatives, including a sale, are under review.

• R&D and business development costs reduced by 35% year-over-year; break-even estimated at annual revenue of 13 MSEK.

Financial highlights

• Net sales for Q1 2025 were 809 tkr, down from 3,920 tkr in Q1 2024.

• Operating loss widened to -2,241 tkr from -775 tkr year-over-year.

• Net loss after tax was -2,249 tkr, with EPS at -0.15 SEK (vs. -0.05 SEK in Q1 2024).

• Order intake increased to 908 tkr from 402 tkr year-over-year.

• Cash flow for the period was -1,245 tkr; cash and equivalents at period end were 3,200 tkr.

Outlook and guidance

• Break-even is projected at annual sales of approximately 13 MSEK.

• Additional capital and liquidity are required until positive cash flow is achieved; a 15.2 MSEK rights issue is planned.

• Commercialization efforts are being accelerated, with new product launches and expanded service offerings.