Lifecare (LIFE) Q2 2024 earnings summary

Executive summary

• Achieved a groundbreaking in vivo sensor lifespan in dog trials, confirming wireless data readout and operational longevity exceeding two months, outperforming current CGM sensors.

• Filed a new patent application for modular receptor molecules and a chemical composition enabling detection of multiple diseases, expanding potential applications beyond diabetes.

• Acquired a majority stake in RemovAid (80% in April, increased to 89.6% in July), enhancing capabilities for sensor removal solutions.

• Formed a strategic partnership with OneTwo Analytics for advanced data analysis software and completed a NOK 90 million rights issue.

• Preparing for uplisting from Euronext Growth to Oslo Stock Exchange in Q4 2024.

Financial highlights

• Q2 2024 revenue and other income reached NOK 6.4 million, up from NOK 1.2 million in Q2 2023, mainly from grants and reversal of an earn-out agreement.

• Operating expenses rose to NOK 25.1 million in Q2 2024, reflecting increased R&D, pilot production, and RemovAid inclusion.

• Net loss for Q2 2024 was NOK 18.4 million, compared to NOK 8.4 million in Q2 2023.

• Cash position strengthened to NOK 101.4 million at quarter end, up from NOK 26.7 million a year earlier.

• Equity ratio improved to 80% at 30 June 2024, up from 77% at 30 June 2023.

Outlook and guidance

• Automated production to be established in Mainz, Germany, with cleanroom and advanced equipment in place.

• Targeting first sales in the veterinary market and preparing for a CE study for clinical use.

• Expects stable operating expenses going forward, with capital expenditures projected at NOK 10 million.

• Strong cash position supports ongoing studies and production scale-up.

• Aiming to uplist from Euronext Growth to Oslo Stock Exchange in October.