Q1 2024 Dyadic International Inc Earnings Call
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Operator: Ladies and gentlemen, good evening and welcome to Dyadic International's Q1 2024 conference call. Currently, all participants are in a listen-only mode.
Ladies and gentlemen, good evening and welcome to Diavik Internationals Q1, 'twenty 'twenty full conference call.
Speaker Change: Currently all participants are in a listen only mode.
Operator: Following management's prepared remarks, there will be a brief question and answer session. As a reminder, this conference call is being recorded today, May 14, 2024. I would now like to turn the call over to Ms. Ping Rawson, Dyadic's Chief Financial Officer.
Speaker Change: Blowing the managements prepared remarks, there will be a brief question and answer session.
Speaker Change: As a reminder, this conference call is being recorded today may 14th 2020 full.
Speaker Change: I would now like to turn the call over to Mr. Ross <unk> Chief Financial Officer. Please.
Speaker Change: Please go ahead.
Ping Wang Rawson: Thank you. Good evening, and welcome everyone to Dyadic International's Q1 2024 conference call. I have had the opportunity to review Dyadic's price release and financial results for the quarter-ended March 31, 2024. You may access our release and Forum 10 view under the Investors section of the company's website at dyadic.com. On today's call, our President and CEO, Mark Emalfarb, and our Chief Operating Officer, Joe Hazelton, will give a review of our 2024 Business and Corporate Highlights, including a brief summary of our recent research and business development activities.
Speaker Change: Thank you good evening and welcome everyone to Diavik Internationals Q1, 'twenty 'twenty four conference call.
Speaker Change: I had the opportunity to review a Biotics press release.
Speaker Change: Actual results for the quarter ended March 31st 'twenty 'twenty four you may access our release and Form 10-Q, and the investors section of the company's website at <unk> Dot com.
Speaker Change: On today's call are president and CEO, Mark <unk>, and our Chief operating Officer, Joe Hazelton will give a review of our 2020 for business and corporate highlights.
Speaker Change: Including a brief summary of our recent research on the business development efforts.
Joseph P. Hazelton: I will follow with a review of our financial results in more detail.
Joseph P. Hazelton: We will then hold a brief Q&A session.
Ping Wang Rawson: I will then follow with a review of our financial results in more detail. And we will then hold a brief Q&A session. At this time, I would like to inform you that certain commentary made in this conference call may be considered forward-looking statements, which involve risks and uncertainties and other factors that could cause Dyadic's actual results, performance, scientific or otherwise, or achievements to be materially different from those expressed or implied by these forward-looking statements. Dyadic expressly disclaims any duty to provide updates to its forward-looking statements, whether because of new information, future events, or It is now my pleasure to pass the call to our CEO, Mark Emalfarb.
Speaker Change: At this time I would like to inform you that certain commentary made in this conference call maybe considered forward looking statements, which involve risks and uncertainties and other factors that could cause biotics actual results performance scientific or otherwise or achievements to be materially different from those.
Joseph P. Hazelton: As expressed or implied by these forward looking statements.
Speaker Change: <unk> expressly disclaims any duty to provide updates to its forward looking statements, whether because of new information future events or otherwise.
Speaker Change: Participants are directed to the risk factors set forth in Biotics reports filed with the SEC.
Speaker Change: It is now my pleasure to pass the call to our CEO Mark IMO Park.
Speaker Change: Mark.
Mark A. Emalfarb: Thank you, Ping. Hello, everyone, and thank you for joining Dyadic's Q1 2024 conference call. A little over five weeks ago, on our 2023 year-end conference call, I highlighted how Dyadic is uniquely positioned to rapidly capitalize on the present opportunities and those on the horizon. Over the next two years, we anticipate reaching multiple revenue streams and other inflection points through fully funded collaborations in the company's pipeline products to enhance shareholder value. We continue building upon the momentum witnessed in 2023, and we have further accelerated our progress.
Mark A. Emalfarb: Thank you <unk> Hello, everyone and thank you for joining Diana <unk> Q1, 2024 conference call.
Speaker Change: A little over five weeks ago on our 'twenty to 'twenty three year end conference call I highlighted all dyadic is uniquely positioned to rapidly capitalize on the present opportunities and those on the horizon.
Speaker Change: Over the next two years, we anticipate reaching multiple revenue streams and other inflection points.
Speaker Change: We funded collaborations and the company's pipeline products to enhance shareholder value.
Speaker Change: We continue building upon the momentum witnessed in 2023, and we have further accelerated our progress.
Mark A. Emalfarb: The acclaim and acknowledgement of our C1 technology for its speed, productivity, and low cost persists both domestically and globally, receiving commendations from academia, industry, government bodies, and non-profit organizations. Additionally, the depth of this expression platform has exceeded our initial expectations. Despite launching a little over a year ago, we are beginning to gain substantial traction in generating revenue in both the alternative protein and bio-industrial sectors. In the first quarter, we successfully closed a $6 million convertible note financing without issuing any warrants.
Speaker Change: They claim that acknowledgement of our Cmos technology for speed productivity and low cost for sales, both domestically and globally, receiving commendations from academia and industry government bodies and nonprofit organizations.
Speaker Change: Additionally, our dapple this expression platform has exceeded our initial expectations.
Speaker Change: Despite launching a little over a year ago, we are beginning to gain substantial traction and generating revenue and ballsy alternative protein and bio industrial sectors.
Speaker Change: In the first quarter, we successfully closed a $6 million convertible.
Speaker Change: Convertible note financing without issuing any warrants.
Mark A. Emalfarb: And I would again like to extend our gratitude to long-term shareholders for their steadfast support as these funds will fuel the acceleration of our goal to introduce revenue-generating products targeting both pharmaceutical and non-pharmaceutical sectors. To further support our growth imperatives, in March, we announced changes in leadership roles both at the board level and management team. Patrick Lucey has assumed the role of Chairman of Dyadic's Board of Directors, and Joe Hazelton has expanded his responsibilities as our Chief Operating Officer.
Speaker Change: And I would again like to extend our gratitude to long term shareholders for their steadfast support as these funds will fuel the acceleration of our goal to introduce revenue generating products to targeting both pharmaceutical and pharmaceutical sectors.
Speaker Change: To further support our growth imperatives in March we announced changes in leadership roles, both at the board level and management team.
Speaker Change: He has assumed the role of chairman of Diana's Board of directors and Joe Hazelton has expanded his responsibilities as our chief operating officer.
Mark A. Emalfarb: With strengthened financial resources, scientific prowess, and bolstered leadership, we are well positioned to execute our strategic business objectives. We will continue to leverage our microbial protein production platform, C1 endopelvis, to craft antigens, antibodies, enzymes, and other recombinant proteins pivotal to each of the sectors we are focused on, Human Health, Animal Health, and Alternative Protein.
Speaker Change: Our strengthened financial resources.
Speaker Change: <unk> prowess and bolstered leadership, we are well positioned to execute our strategic business objectives. We.
She: We'll continue to leverage our microbial protein production platforms. She wanted to applebee's to craft the antigen antibody enzymes and other recombinant proteins pivotal to each of the sectors. We are focused on human health animal health and alternative proteins.
Mark A. Emalfarb: These efforts are anticipated to unlock monetization avenues significantly enhancing shareholder value for Dyadic and our partners, spanning both pharmaceutical and non-pharmaceutical domains. With regard to the human health sector, I cannot overstate the significance of the positive outcomes from our Phase I Human Study, which has had a significant impact on bolstering academia, industry, and government attention towards Dyadic and our C1 Expression Platform. Today we announce that the final clinical study report, CSR, has been issued for a phase one clinical trial demonstrating safety and antibody response for DYA-100, a recombinant protein receptor-bonding domain ( RVD), booster vaccine candidate for protection against COVID-19 infections.
She: These efforts are anticipated to unlock the monetization avenues.
She: Secondly, enhancing shareholder value for dyadic and our partners.
She: Meaning both pharmaceutical and non pharmaceutical demand.
Speaker Change: With regard to the human health sector I cannot overstate the significance of the positive outcomes from our phase one human study.
Speaker Change: Having bolstering academia <unk> government attention towards dyadic anti PD, one expression platform.
Speaker Change: Today, we announced that the final clinical study report.
Speaker Change: Oh, Sarah has been issued for a phase one clinical trial.
Speaker Change: It's trading safety, an antibody response for D Y went hungry.
Speaker Change: Recombinant protein receptor binding domain R V D booster vaccine candidate.
Speaker Change: Jackson against COVID-19 infection.
Mark A. Emalfarb: This was the final step in the journey to the first in human study for a C1-produced protein to not only achieve its primary endpoint of safety and reactogenicity but also produce a strong immune response. Since the announcement of these results, heightened interest from industry partners, including two top ten pharmaceutical firms, has spurred the start of over 12 fully funded vaccine and anti-virage studies. Antibody Projects, five of which are fully funded by two of the ten pharmaceutical companies.
Speaker Change: This was the final step in the journey the first in human study for C. One produce protein.
Speaker Change: And not only achieved its primary endpoint is safety and Walter density, but also produced a strong immune response.
Speaker Change: Since the announcement of these results heightened interest from industry partners, including two top 10 pharmaceutical firms have spurred the start of over 12 wholly funded vaccine and anti projects antibody projects five of which are in fully funded by two of the 10 pharmaceutical companies.
Mark A. Emalfarb: These projects span various disease areas, exemplified by our strategic partnership with RabinVV, a Dutch innovative SME founded by seasoned entrepreneurs in vaccine science. Rabien secured 1.7 million euros in funding from Eurostars for the Avatar project, aiming to leverage his virology expertise to develop a rabies vaccine utilizing Dyadic's C1 protein production platform.
Speaker Change: These projects span various disease areas exemplified by our strategic partnership with Arabian BV.
Speaker Change: Innovative SME, followed by season and entrepreneurs in vaccine scientists right.
Speaker Change: Arabian secured a 1.7 million euros and funding from your all stars.
Speaker Change: Avatar project aiming to leverage its virology expertise to develop a rabies vaccine utilizing dyadic C. One protein production platform.
Mark A. Emalfarb: Additionally, the Israel Institute for Biological Research, IIBR, is harnessing Dyadic's microbial platform expertise in conjunction with their own capabilities in antibodies and antigen discovery to develop and manufacture treatments and vaccines for emerging diseases and potential bio-threats for out-licensing opportunities. In the realm of infectious diseases, a recombinant vaccine capability continues to attract growing interest. We are engaged in expanded research collaborations with a top five pharmaceutical company to develop a number of additional antigens to prevent and treat various infectious diseases.
Speaker Change: Additionally, the Israel Institute for biological Research I D. R is harnessing Diana my coffee platform.
Speaker Change: Expertise in conjunction with their own capabilities and antibody and antigen discovery to develop and manufacture treatments.
Speaker Change: Exchange for emerging diseases, and potential bio threats for out licensing opportunities.
Speaker Change: In the realm of infectious diseases.
Speaker Change: Combo vaccine capability continues to attract growing interest.
Speaker Change: Gage and expanded research collaborations with a top five pharmaceutical pharmaceutical company to develop a number of additional antigen, preventing and treating various infectious diseases.
Mark A. Emalfarb: Furthermore, our research collaboration to develop and test vaccine antigens for influenza A and other infectious diseases using the C1 and other platforms with the Vaccine and Immunotherapy Center, VIC, at Massachusetts General Hospital, which received over $5 million in funding from the DOD or Department of Defense, is ongoing, showing strong initial yield results with the C1 platform. Turning our focus to therapeutic proteins, particularly monoclonal antibodies, or MABs, we see significant potential in utilizing the C1 production system for the production of antibodies targeting infectious and other diseases.
Speaker Change: Furthermore, our research collaborations to develop and test <unk>.
Speaker Change: C N antigen for influenza a.
Speaker Change: And other infectious diseases, using you see one and other platforms with the vaccine and immunotherapy Center Vic at Massachusetts General Hospital, which received over $5 million in funding from the D. O D or the department of Defense is ongoing showing strong initial yield results what does one platform.
Speaker Change: Turning our focus to therapeutic proteins, particularly monoclonal antibodies or mab.
Speaker Change: We see significant potential and utilize them as seamless production system instead of production of antibodies.
Speaker Change: Turning infectious and other diseases.
Mark A. Emalfarb: In the first quarter, we announced the publication of a manuscript in the esteemed peer-reviewed journal Nature Communications, detailing preclinical studies conducted on a monoclonal antibody produced using the C1 system, utilizing non-human primates and hamsters as models. In the non-human primate challenge study, a C1-produced COVID-19 monoclonal antibody previously shown to possess broad neutralization and protection against various variants, including Omicron, BA1 and BA2, as well as the earlier variants of concern in hamsters, underwent those. Findings from the challenge study involving the SARS-CoV-2 Delta variant and non-human primates indicated promisingly high levels of protection.
Speaker Change: In the first quarter, we announced the publication of the manuscript and he esteemed peer reviewed journal nature Communications detailing preclinical studies conducted on a monoclonal antibody produced using machine when system utilizing nonhuman primates enhancers as models.
Speaker Change: In the nonhuman Primate Challenge study a C. One produced COVID-19 monoclonal antibody previously shown presents broadening preservation and protection against various variance, including Army crime P. A wanna be a too.
Speaker Change: Well as the earlier variance of concern and hamsters underwent dosing.
Speaker Change: Findings from a challenge study involving a Sars cov, two delta brand and nonhuman primates indicated promising really high levels of protection.
Mark A. Emalfarb: This marks the first instance of a C1-produced monoclone antibody being employed in a non-human primate study, affirming both the safety and efficacy of C1-produced antibodies for addressing infectious disease. These recent findings regarding the safety and efficacy of monoclonal antibodies produced using C1 technology are significant in accelerating research and development efforts in the field of infectious disease. This is particularly noteworthy, taken with previously reported data, that C1-produced MABs are comparable in efficacy and safety to those produced using traditional CHO cells or Chinese hamster ovary cells.
Speaker Change: This marks the first time since we've seen one produce monoclonal antibody being employed in the nonhuman primate study.
Speaker Change: Affirming both the safety and efficacy of cement produced antibodies for addressing infectious diseases.
Speaker Change: These recent findings regarding the safety and efficacy of monoclonal antibody.
Speaker Change: Using <unk> technology are significant and accelerating research and development efforts in the field of infectious disease.
Speaker Change: This is particularly noteworthy takeaway previous reporting data to see what produce may ads are comparable in efficacy and safety today is produced using traditional chose cells or Chinese hamster ovary cells.
Mark A. Emalfarb: In the first quarter, Dyadic entered into a collaboration with another top ten pharmaceutical company to develop an infectious disease monoclonal antibody and vaccine antigen using our C1 technology. This marks a significant step forward in this area.
Speaker Change: In the first quarter dyadic entered into a collaboration with another top 10 pharmaceutical company to develop an afternoon infectious disease monoclonal antibody and vaccine antigen using our <unk> technology.
Speaker Change: This marks a significant step forward in this area.
Mark A. Emalfarb: The fact that this collaboration is fully funded underscores the confidence in the potential of the C1 technology for producing effective treatments and vaccines against infectious and other diseases. Overall, these developments suggest a promising future for C1 technology in the field of infectious disease research and development, potentially leading to more effective treatments and vaccines and antibodies against a variety of pathogens. In the animal health sector, we continue to extend and expand our presence in vaccines and therapeutic proteins, with a focus on zoonotic infectious diseases with the potential for spillover, which refers to the transmission of a pathogen that typically infects one species and is transferred to another, between animals and humans.
Speaker Change: Walter just collaborations fully funded underscores our confidence in the potential of the Cmos technology.
Speaker Change: What are you seeing effective treatments and vaccines against infectious and other diseases.
Speaker Change: Overall these developments suggest a promising future for the Siem one technology in the field of infectious disease research and development potentially leading to more effective treatments and vaccines and antibodies against a variety of pathogens.
Speaker Change: In animal health sector, we continue to extend and expand our presence in vaccines and therapeutic proteins with a focus on zoonotic infection diseases, what's the potential for spillover, which refers to the transmission of a cough the gym.
Speaker Change: Typically in Fox, one species and is transferred to another to other animals and humans.
Mark A. Emalfarb: One example is the H5N1 pathogen, or bird flu spillover threat, which continues to escalate. H5N1 is now being found in multiple animal species, including dairy cows, companion animals, and has surfaced on a few occasions in humans. We are experiencing the worst outbreak of H5N1 since 2015, when over 50 million chickens died, and in 2022, over 90 million chickens have died in 48 states, with an estimated 50 million dead this year, mostly from being slaughtered to control the spread, but some from the deadly virus itself.
Speaker Change: One example is the H five N, one pathogen or bird flu spillover threat, which continues to escalate.
Speaker Change: Eight follow up on one is now being found in multiple animal species, including dairy cows companion animals and has surfaced in a few occasions in humans.
Speaker Change: We're experiencing the worst outbreak of H five N. One since 2015 over 50 million chickens died and in 2020 to over 90 million chickens, a dyed in 48 states.
Speaker Change: Over an estimated 50 million there this year, mostly from being slaughtered to control the spread but something deadly virus itself.
Mark A. Emalfarb: This kind of transmission can pose significant health risks, especially if the new host species has little to no immunity against the pathogen. Verovax has completed initial preclinical testing of the potential H5N1 bird flu ferritin nanoparticle vaccine candidate, showing promising results in producing a strong immune response in animal models. The company has also estimated the potential production of up to 300 million doses that can be manufactured and purified in as little as two weeks using one 15,000-liter microbial bioreactor using dose levels based on preclinical dosing of 25 to 50 micrograms.
Speaker Change: Just kind of transmission compose significant health risk, especially if the new whole species has little to no immunity against the pathogen.
Speaker Change: Okay Annick reports the girl Vacs has completed initial preclinical testing of the potential H five N one blue bird flu.
Speaker Change: 10, nanoparticle vaccine candidate showing promising results and producing a strong immune response in animal models.
Speaker Change: The company is also estimated the potential production of up to 300 million doses that can be manufacturing purified and as little as two weeks using 115000 legal leader microbial bioreactor using dose dose levels based on the preclinical dosing of 25 to 50 micro.
Speaker Change: Grams.
Mark A. Emalfarb: Dyadic has taken a proactive approach to tackle the threat of a bird flu outbreak in collaboration with VeroVac. We are combining the strengths of our C1 platform to rapidly produce large amounts of low-cost H5N1 vaccine antibodies with ViralVax's highly efficient and effective adjuvant to develop an efficacious bird flu vaccine candidate that may offer significant advantages in terms of scalability, speed, and efficacy. The C1-produced adjuvanted recombinant ferritin nanoparticle H5N1 bird flu human vaccine candidate demonstrated a strong immune response in animal studies.
Speaker Change: Toyota can taken proactive approach to tackle the threat of a bird flu outbreak in collaboration with <unk>. We are combining the strengths of our CRM platform to rapidly produce large amounts of low cost H five N. One vaccine antigens, a world that is highly efficient and effective adjuvant.
Speaker Change: To develop an efficacious, but flu vaccine candidate they may offer significant advantages in terms of scalability speed and efficacy.
Speaker Change: The C. One produced adjuvant in the prominent Paragon nanoparticle H five N. One bird flu human vaccine candidate demonstrated a strong immune response in animal studies recently.
Mark A. Emalfarb: Recently, Verovax generated additional data that indicates that the C1-produced adjuvanted recombinant ferritin nanoparticle H5N1 bird flu human vaccine candidate also has the potential to induce a strong immune response against all three of the circulating H5N1 viruses, including Texas, to provide protection for humans and cattle. We are pleased with the progress of the CIMLIN platform in both the human and animal health sectors. As part of that effort, it's important for us to continue to invest in our platforms to meet regulatory expectations.
Speaker Change: Recently rural Vacs generated additional data that in any case. It does seem when produced adjuvant in recombinant farrington nanoparticle H five N. One bird flu human vaccine candidate also has a potential to induce a strong immune response against all three of the circulating H five N one viruses.
Speaker Change: And clothing, Texas to provide protection for humans and cattle.
Speaker Change: We are pleased with the progress of the seamless platform in both the human and animal health sectors.
Speaker Change: As part of that effort, it's important and can you continue for us to invest in our platforms to meet regulatory expectations.
Mark A. Emalfarb: As part of those efforts, we previously engaged Cygnus Technologies to co-develop a semen host cell protein ELISA kit. These kits are essential for detecting and quantifying contaminating proteins derived from the host strain during manufacturing to ensure product purity and quality are achieved. This is a standard test required for all protein production platforms. We are pleased that the C1HCP ELISA kits are now available to Dyadic and CYGNSS customers through CYGNSS' online ordering system. I will now turn the call over to our Chief Operating Officer, Joe Hazelton, to provide an update on the alternative protein sector.
Speaker Change: As part of those efforts, we previously engaged sickness technologies to co develop a siem one host cell protein H C. P. Elisa kit piece.
Speaker Change: These kids are essential for detecting and quantifying contaminating proteins derived from the whole strained during manufacturing to ensure product purity and quality has achieved.
Speaker Change: This is a standard test required for all protein production platforms. We were pleased to see one H C. P. Elisa kits are now available to dyadic and cigna customers through sickness is online ordering system.
Speaker Change: I will now turn the call over to our Chief operating Officer, Joe Hazelton to provide an update on the alternative protein sector Joe.
Joseph P. Hazelton: Thank you Mark Diavik remains truly excited about the uses of its microbial platforms and the alternative protein sector. We believe this sector offers significant promise in terms of high value markets and near term revenue.
Joseph P. Hazelton: Thank you, Mark. Dyadic remains truly excited about the uses of its microbial platforms in the alternative protein sector. We believe this sector offers significant promise in terms of high-value markets and near-term revenue. Our gene expression and protein production platforms, including the recently launched Apibus, are tailored to facilitate rapid protein production, proof-of-concept, and large-scale manufacturing of enzymes, proteins, metabolites, and other biological products. These products span the full spectrum of production grades, from research to food grade, and ultimately, pharmaceutical grade materials. Their applications are diverse and encompass diagnostics, research, nutrition, health, and wellness, reflecting the increasing demand in these areas.
Joseph P. Hazelton: Gene expression and protein production platforms, including the recently launched out of this are tailored to facilitate rapid protein production proof of concept and large scale manufacturing enzymes and proteins metabolite. So another biological products.
Joseph P. Hazelton: These products span the full spectrum of production grades from research to food grade and ultimately pharmaceutical grade materials.
Joseph P. Hazelton: Their applications are diverse and encompass diagnostics research nutrition health and wellness, reflecting the increasing demand in these areas.
Joseph P. Hazelton: Diving deeper into our strategic plans to boost near-term revenue, we remain focused and confident that identifying and producing high-value, high-volume recombinant targets that can be rapidly and efficiently commercialized provides the best near-term revenue potential. Recombinant serum albumin serves as the prime illustration of a focus on valuable recombinant products offering diverse commercialization prospects across various market segments in the approximately $6 billion serum albumin market. Pharmaceutical-grade serum albumin holds potential as a disease treatment and is integral to vaccine development.
Joseph P. Hazelton: Diving deeper into our strategic plans to boost near term revenue, we remain focused and confident that identifying a producing high value high volume recombinant targets that can be rapidly and efficiently commercialized provides the best near term revenue potential.
Speaker Change: Recombinant serum albumin serves as the prime illustration of our focus on valuable recombinant products offering diverse commercialization prospects.
Speaker Change: Ross various market segments, and the approximately $6 billion serum albumin market.
Speaker Change: Pharmaceutical grade German argument holds potential as a disease treatment and is integral to vaccine development also conserve as a carrier protein for therapeutics and the standard reagent for research and development.
Joseph P. Hazelton: Also, it can serve as a carrier protein for therapeutics and a standard reagent for research and development. Recently, completion of certificates of analysis for our recombinant human and bovine albumin affirms their analytical equivalence to currently commercialized research-grade products. Moreover, we are exploring recombinant bovine albumin's application in cell culture media for cultured meat production.
Speaker Change: Recent completion of certificates of analysis for our recombinant human and bovine announcements are.
Speaker Change: Affirms their analytical equivalents to currently commercialized research grade products.
Speaker Change: Moreover, we are exploring recombinant bovine albumin its application and cell culture media for cultured meat production.
Joseph P. Hazelton: We are now seeing this strategy creating value, as evidenced by the recent term sheet we've executed with a global albumin manufacturer and distributor to license, develop, and commercialize Dyadic's recombinant serum albumin product. This strategic partnership will potentially enable our recombinant albumin products to enter the market within approximately 12 months. We hope to be able to share more information in the very near future on this important collaboration.
Speaker Change: We're now seeing this strategy, creating value as evidenced by the recent term sheet, we've executed with a global albumin manufacturer and distributor the license to develop and commercialize dynamics or covenants, Jeremy albumin products.
Jeremy: This strategic partnership will potentially enable a recover the albumin products to enter the market within approximately 12 months.
Jeremy: We hope to be able to share more information in the very near future on this important collaboration.
Joseph P. Hazelton: Expanding our presence in cell culture media, we've also partnered with Turkish firm Biftec Incorporated, leveraging their patent-pended, cost-reducing, animal-free growth medium to expand into the cell culture media sector and earn a share of net sales from Biftec supplements. Additionally, Dyadic's initial production of recombinant transferrin using its microbial platform presents a new opportunity in the alternative protein sector. Outside of recombinant cell culture products, we believe recombinant non-animal dairy products offer Dyadic the potential for more rapid commercialization opportunities.
Speaker Change: Expanding our presence in cell culture media. We've also partnered with Turkish firm Best Tech incorporated leveraging their patent pending cost reducing animal free growth medium.
Speaker Change: To expand into the cell culture media sector and earn a share of net sales from <unk> supplement.
Speaker Change: Additionally, diet its initial production of recombinant transfer it usually gets microbial platform presents a new opportunity in the alternative protein sector.
Speaker Change: Outside of recombinant cell culture products, we believe recombinant non animal dairy products offer that at the potential for more rapid commercialization opportunities.
Joseph P. Hazelton: The global animal-free dairy products market was valued at over $26 billion in 2022 and is projected to reach more than $75 billion by 2032. Today's animal-free dairy products are crafted through precision microbial fermentation technology, a market driven by evolving consumer preferences and concerns over health issues associated with traditional cow's milk, such as lactose intolerance and allergy. Despite the current higher cost of animal-free dairy, this obstacle aligns with our expertise in producing large quantities of cost-effective recombinant proteins using our microbial expression platform.
Speaker Change: The global animal free dairy products market was valued at over $26 billion in 2022 and is projected to reach more than 75 billion by 2032.
Speaker Change: Today's animal free dairy products are crafted through precision microbial fermentation technology, a market driven by evolving consumer preferences and concerns over health issues associated with traditional cow's milk, but there's lactose intolerance analogies.
Speaker Change: Despite the current higher cost of animal free dairy this obstacle lives with our expertise in producing large quantities of cost effective recombinant proteins using our microbial expression platforms.
Joseph P. Hazelton: Our focus on this sector has been validated by our 2023 commercial agreement to utilize our DAPABIS platform for developing and commercializing non-animal dairy enzymes for food production that included upfront payments, milestones, and oil. We're also anticipating success from this collaboration in the first half of 2024. In efforts to expand our animal-free dairy portfolio, we have developed and initiated sampling of a recombinant non-animal alpha-lactalbumin protein, while also starting development of food-grade beta-lactoglobulin and lactoferrin, with expected sampling later this year.
Speaker Change: Our focus on this sector has been validated by our 2023 commercial agreement to utilize our depth of this platform for developing and commercializing non animal dairy enzymes for food production that included upfront payments milestones and royalties.
Speaker Change: We're also anticipating successories from this collaboration in the first half of 2024.
Speaker Change: And efforts to expand our animal free dairy portfolio, we have developed and initiated sampling of our recombinant non animal Alpha lactalbumin protein. While also starting development of food grade beta lack of globulin lactoferrin with expected sampling later this year.
Joseph P. Hazelton: We're engaged in several discussions with potential partners, boosting our confidence in the non-animal dairy segment's revenue potential in 2024 and beyond. We're further expanding our potential pipeline through the development of several bioindustrial-grade enzymes that have the potential for use in multiple industries, such as nutrition, biogas, biofuels, and biorefining. In particular, with our development and commercialization partner, FirmVox. We have developed a cellulosic enzyme for the biofuel industry that is currently being tested by potential customers. In addition, Dyadic has developed three additional enzymes to target the pulp and paper industry. However, these enzymes may have applications in the biogas and biofuels industries as well.
Speaker Change: We're engaged with several discussions with potential partners boosting our confidence in the non animal dairy segments revenue potential in 2024 and beyond.
Speaker Change: We're further expanding our potential pipeline through the development of several bio industrial grade enzymes that have the potential for use multiple industries, such as nutrition biogas biofuels and bio refining.
Speaker Change: In particular, our development and commercialization partner firm box, we have developed a cellulosic enzyme for the biofuel industry that is currently being tested by potential customers.
Diavik International: In addition, Diavik has developed three additional enzymes to target the pulp and paper industry. However, these enzymes may have applications in the biogas and Biofuels industries as well buy.
Joseph P. Hazelton: By increasing the volume of internal pipeline products and external partnerships with non-pharmaceutical and pharmaceutical applications, we believe we can accelerate more consistent revenue generation in the coming year that is not strictly reliant on platform licensing. With the funding secured in the first quarter and the recent organizational adjustments, Dyadic is poised for a new phase of growth. While the future looks promising, we must remain disciplined in how we assess product opportunities from a financial perspective and command full value for the contribution of Dyadic technology and expertise.
Speaker Change: By increasing the volume of internal pipeline products and external partnerships with non pharmaceutical and pharmaceutical applications. We believe we can accelerate more consistent revenue generation in the coming year, but it's not strictly relying a platform licensing.
Mark A. Emalfarb: With the funding secured in the first quarter and the recent organizational adjustments dyadic is poised for a new phase of growth while the future looks promising we must remain disciplined in how we assess product opportunities from a financial perspective and command full value for the contribution of the dyadic technology and expertise.
Joseph P. Hazelton: There's still work ahead to capitalize on the opportunities before us and drive near-term revenue growth across our three core sectors. With that, I'd like to turn the call over to our CFO, Ping Rawson, to discuss our financials. Ping? Thank you.
Mark A. Emalfarb: Still work ahead to capitalize on the opportunities before us and drive near term revenue growth across our three core sectors.
Speaker Change: With that I'd like to turn the call over to our CFO, Craig Rossman to discuss our financials.
Ping Wang Rawson: Thank you, Joe. I will now go over our key financial results for the quarter ended March 31st, 2024 in more detail. You can find additional information in our earnings press release and Form 10-Q, which we filed earlier today. Research and development revenue and license revenue for the quarter ended March 31, 2024 decreased to approximately $335,000 compared to $934,000 for the same period a year ago. The decrease in research and development revenue was due to the winding down of several large research collaborations conducted in 2023.
Craig Rossman: Thank you Joe.
Craig Rossman: I will now go over our key financial results for the quarter ended March 31st 2024, and more detail you can find the additional information in our earnings press release and Form 10-Q, which we filed earlier today.
Craig Rossman: Research and development revenue and the license revenue for the quarter ended March 31, 2024 decreased to approximately $335000 compared to 940 $34000 for the same period a year ago. The decrease in research and development revenue was due to the winding down of several law.
Speaker Change: Large research collaborations come back in 2023.
Ping Wang Rawson: For the first quarter of 2024, the company's revenue was generated from 10 collaborations, compared to 7 collaborations in the same period a year ago. We are experiencing an increasing number of collaborations with smaller dollar amounts for individual contracts. The cost of research and development revenue for the quarter ended March 31st, 2024 decreased to approximately $144,000 compared to $727,000 for the same period a year ago. The decrease was due to the same reason for the revenue mentioned earlier.
Speaker Change: For the first quarter 'twenty 'twenty four the company's revenue was generated from 10 collaborations comparing to southern collaborations in the same period a year ago.
Speaker Change: We are experiencing an increasing number of collaborations with smaller dollar amounts for individual contract.
Cost of research and development revenue for the quarter ended March 31, 2020 four decreased to approximately $144000 compared to $727000 for the same period a year ago. The decrease was due to the same reason for the revenue mentioned earlier.
Ping Wang Rawson: R&D expenses for the quarter of 2024 decreased by 35.5% to approximately $523,000 compared to $811,000 for the same period a year ago. The decrease reflected the winding down of activities related to the company's Phase I clinical trial of the DYA-100 COVID-19 vaccine candidates and a decrease in the amount of ongoing internal research projects.
Speaker Change: R&D expenses for the quarter of 'twenty 'twenty four decreased by 35, 5% to approximately $523000 compared to $811000 for the same period a year ago.
Speaker Change: The decrease reflected the winding down of activities related to the company's phase one clinical trial of the Y O Y country be 19 vaccine candidate and a decrease in the amount of ongoing internal research projects.
Ping Wang Rawson: GNA's expenses for the first quarter of 2024 increased to approximately $1,789,000 compared to $1,480,000 for the same period a year ago. The increase was due to increases in business development and investor relations expenses of $138,000, audit fees of $99,000, management incentives of $59,000, and other increases offset by decreases in insurance expenses and legal expenses. Loss from operations for the quarter of 2024 slightly increased to $2,126,000 compared to $2,050,000 for the same period a year ago.
Speaker Change: G&A expenses for the first quarter of 'twenty 'twenty, four increased to approximately $1.789 million compared to $1.480 million for the same period a year ago.
Speaker Change: The increase was due to increases in business development and Investor Relations experience expenses.
Speaker Change: Of $138000. All these fees of $99000 management incentives of $59000 and other increases offset by decreases in insurance expenses and the legal expenses.
Speaker Change: Loss from operations for the quarter of 'twenty 'twenty, four slightly increased to $2.126 million compared to 2 million a $50000 for the same period a year ago.
Ping Wang Rawson: The net loss for the quarter of 2024 was approximately $2 million or $0.07 per share compared to a net loss of $956,000 or $0.03 per share for the same period a year ago. The increase in net loss was due to the sale of the company's equity interest in Afazan ILC for $989,000 in 2023. As we announced previously, on March 8, 2024, the company issued an aggregated principal amount of $6 million of 8% Senior Secured Convertible Promising Notes due March 8, 2027 in a private placement. The convertible notes have a conversion price of $1.79 with no warrants.
Speaker Change: Net loss for the quarter of 'twenty 'twenty, four was approximately $2 million or seven cents per share compared to a net loss of $956000 or three cents per share for the same period a year ago. The.
Speaker Change: The increase in net loss was due to the sale of the company's equity interest and offers an I O C for $989000 in 'twenty to 'twenty three.
Ping Wang Rawson: The purchasers of the convertible notes include immediate family members and family trusts related to Mark Emalfarb, our President and CEO, and the Francisco Trust, an existing holder of more than 5% of the company's outstanding common stock. As of March 31st, 2024, we have cash and investment grade securities of $12.1 million, compared to $7.3 million as of December 31st, 2023. We believe we are well-positioned financially to support our near-term revenue growth and accelerate our strategic objectives of commercializing opportunities for pharmaceutical and non-pharmaceutical applications.
Speaker Change: As we announced previously on March eight 2024, the company issued an aggregate principal amount of $6 million up 8% senior secured convertible promissory notes due March eight 2027 in the private placement.
Speaker Change: The convertible notes have a conversion price of $1.79 with no warrants.
Speaker Change: The purchasers of the convertible notes include immediate family members and family Trust related to Mark <unk>, Our President and C O. The Francisco trust and existing holder of more than 5% of the company's outstanding common stock.
Speaker Change: As of March 31st 'twenty 'twenty, four we have cash in investment grade securities of $12 $1 million compared to $7 $3 million as of December 31st 2023.
Speaker Change: We believe we are well positioned financially to support our near term revenue growth and accelerates our strategic objectives of commercialization opportunities for pharmaceutical and non pharmacy vertical applications.
Operator: With that, I will now ask the operator to begin our Q&A session. Joe Hazelton will join Mark and me to answer your questions. Each caller will be allowed one question and one follow-up question to provide all callers an opportunity to participate. If time permits, the operator will allow additional questions from those who have already spoken. Operator.
Speaker Change: With that I will now ask the operator to begin our Q&A session, Joe Hazelton will Don Mark and I to answer your question.
Joseph P. Hazelton: Each caller will be allowed one question and one follow up question to provide all callers an opportunity to participate in.
Joseph P. Hazelton: If time permits the operator will allow additional questions from those who have already spoken.
Joseph P. Hazelton: Operator.
Speaker Change: Thank you, ladies and gentlemen, we will now be conducting a question and answer session.
Operator: Thank you. Ladies and gentlemen, we will now be conducting a question and answer session. If you would like to ask a question, please press star and 1 on your telephone keypad. A confirmation tone will indicate your line is in the question queue. You may press stars and 2 if you'd like to remove your question from the queue. For participants using speaker equipment, it may be necessary to pick up your handset before pressing the start button. Ladies and gentlemen, we will wait for a moment while we poll for questions. Our first question is from the line of John Vandermosten with SACS. Please go ahead.
Speaker Change: If you'd like to ask a question. Please press star and one on your telephone keypad.
Speaker Change: A confirmation tone will indicate your line is in the question queue.
Speaker Change: You May press star two if you'd like to remove your question from the queue.
Speaker Change: All participants using speaker equipment, it may be necessary to pick up your handset before pressing the stock east.
Speaker Change: Ladies and gentlemen, we will wait for a moment, while we poll for questions.
Speaker Change: Okay.
Speaker Change: Our first question is from the line of John Random often but sex. Please go ahead.
John D. Vandermosten: Great. Thank you and good afternoon, Mark, Joe, and Ping. I thought I'd start out with a question on the serum human bovine albumin projects and try to find out what some of the, I guess, the milestones you have to achieve before you can get to sales there. I think, Mark, you mentioned that that's something that you see, or Joe, you mentioned that that's something that's about 12 months out. What do you need to get done, especially on the regulatory side, if anything, to have those first sales?
Speaker Change: Great. Thank you and good afternoon, Marc Jo Ann Tang.
John Random: I thought I'd start out with a question on the on the on the serum human both bovine albumin projects in and try to find out what some of the I guess the the milestones you have to achieve before you can get the sales are I think Mark you mentioned that that's something that you see or Joe you mentioned that that's something that's about 12 months out what do you.
Speaker Change: Need to get done, especially on the regulatory side if anything.
Speaker Change: To add those first sales.
Operator: Here, Joe, you can go ahead and answer that.
Speaker Change: Yeah, James you can go after that.
Joseph P. Hazelton: Yep, no problem. John, thanks for the question.
John Random: Yes, no problem John Thanks for the question and really the the main obstacle right now is scale up our what we need right. We've done the foreseen a local testing.
Joseph P. Hazelton: And really, the main obstacle right now is scale. We need, right? We've done the first analytical testing that has shown, and we have the certificate of analysis that shows we are equivalent to the reference compound in at least the research and diagnostic segment. So, obviously, for pharmaceutical grade segments, yes, that's a longer time horizon, but in order for us to meet the initial first 12 months for research and diagnostic grade material, it's really about scale up and then, obviously, still finishing and getting it onto the market. And that's where our collaboration partner, I believe, will significantly increase our ability to accelerate that opportunity.
James: It has shown and we have the certificates of analysis that show we are equivalent to the reference compound into at least a research and diagnostics segment. So obviously for pharmaceutical grade segments, Yes, that's a longer time horizon, but in order for us to meet the initial first 12 months for research and diagnostic grade material, it's really about scale up.
Speaker Change: And then obviously fill finish and getting it onto the market and that's where our collaboration partner I believe will significantly increase our ability to accelerate that opportunity.
John D. Vandermosten: Okay. And I also want to understand the financial structure of that. I guess, will there be any kind of milestone amount that is paid upon the first sale, and then after that, is there a royalty? Or how is that structured when that starts generating revenue for you?
Speaker Change: Okay and also wanted to understand the financial structure of that I guess will there be any kind of a milestone amount that is paid upon first sale and then after that is there a royalty or how is that structured.
Speaker Change: When when that starts generating revenue for you.
Operator: Go ahead, John.
Speaker Change: Brian you want to handle that one well I think you know you've been dealing with that are intimately. So why don't you add what would you have and then I can add some color to it if I need to.
Joseph P. Hazelton: Well, I think you've been dealing with that intimately, so why don't you add what you have, and then I can add some color to it if I need to?
Joseph P. Hazelton: Sure, so obviously we will work towards initial milestone payments for obviously access to the technology and the production strain, but then obviously we're going to look towards more of a potential revenue share on the back end as well so we can, you know, increase our opportunity to grow as we're able to enter different market segments, whether it be excipient grade or cell culture media. So we're looking at different financial models and offtakes, but yes, milestones and royalties and things of that nature are also obviously part of the discussion.
Brian: Yeah sure. So obviously we will.
Brian: Work towards initial milestone payments for obviously the access to the technology and the production strain, but then obviously won't gonna look towards more of a potential revenue share on the back end as well. So we can increase our opportunity to grow as we're able to.
Brian: Enter different market segments, whether it would be excipient grade whether it be in cell culture media. So we're looking at different financial models and offerings, but yes milestones.
Brian: Royalties and things of that nature also obviously part of the discussion.
Mark A. Emalfarb: And just to add a little color, John, to that, you know, we do expect in the term sheet we have executed an upfront payment along with, you know, potential milestones and royalties. And I think the important thing here is we've developed a very productive upstream production process for albumin, both bovine and human serum albumin, and the term sheet partner that we're working with, that we hope to finalize an agreement with in the not too distant future, has a very, very low-cost downstream processing capability.
Brian: Okay.
John: Add little color John do that you know we do expect in the term sheet, we have executed an upfront payment along with potential milestones and royalties and I think the important thing here is when you do.
John: Developed a very productive upstream production over the album in both bovine and human serum albumin and the term sheet partner that we're working with and we hope to finalize an agreement with them in not too distant future.
Speaker Change: He is very very low cost downstream processing capability.
Mark A. Emalfarb: So when you marry high-volume, low-cost upstream with high-volume, low-cost downstream and the fact that they have access to the marketplace, it's a great marriage and a great opportunity for both companies to exploit each other's strengths. So I think you need to keep in mind that when we're targeting these new product opportunities, we're targeting partners that can distribute, commercialize, and market these products through existing channels.
Speaker Change: Capabilities. So when you marry high volume low cost upstream with high volume low cost downstream and the fact that they have access to the marketplace. It's a great marriage and a great opportunity for both companies to exploit each other's strengths.
Speaker Change: So I think you need to keep in mind that when we're targeting these new product opportunities, we're targeting partners, taking distributor distribute commercialize and market these products through existing channels.
Operator: Got it. All right, I'll get back in line for some questions after some of the people ask.
Speaker Change: Got it all right I'll get back in line for for some questions. After some other people ask.
Speaker Change: Thank you.
Operator: Ladies and gentlemen, a reminder, if you wish to ask a question, please press star and 1. We have a follow-up question from John Vandermosten with SACS. Please go ahead.
Speaker Change: Ladies and gentlemen, a reminder, if you wish to ask a question. Please press star and one.
Speaker Change: We have a follow up question from John Random Austin, but sacks. Please go ahead.
Speaker Change: Alright. Thanks, I also wanted to ask about the CSR for D Y a 100 and kind of what that what regulatory steps you might be doing next with that I mean, I don't know I mean, I think mark you would've indicated that youre not going to pursue that exact vaccine anymore, because it doesn't make sense, but there maybe other.
John D. Vandermosten: All right, thanks. I also want to ask about the CSR for DYA-100 and kind of what regulatory steps you might be taking next with that. I mean, I don't know.
Operator: I mean, Mark, you had indicated that you're not going to pursue that exact vaccine anymore because it doesn't make sense, but there may be other things that you can do that may be on the regulatory side in terms of interacting with the FDA and planning something else. Just wanted to hear what your plans are there, especially with the regulatory focus in mind. Yeah, so we've been in contact with certain members of the FDA.
Speaker Change: Things that you can do with that maybe on the regulatory side in terms of interacting with the FDA and planning something else I'm just wanted to hear what your plans are there, especially with regulatory focus.
Speaker Change: <unk> focus in mind.
Mark A. Emalfarb: Yeah, so we've been in contact with certain members of the FDA, including Peter Marks, the head of the FDA, on several occasions. But we do not plan on moving D-Wave 100 forward to the COVID-19 booster vaccine. The market acceptance of booster vaccines seems to be short, and we have even better vaccines that we've developed since then for COVID. So if we move forward with anything, it'll be with a better performing, higher efficacy, potentially longer lasting, and maybe a potential universal vaccine. But it won't be funded by us to move that forward.
Speaker Change: Yeah. So we've been in contact with certain members of the FDA, including Peter marks they had any S. T. A eye on several occasions. So we do not plan on moving a D wave 100 forward to COVID-19 booster vaccine all of them.
Speaker Change: Market acceptance of booster vaccines seems to be short.
Speaker Change: And we have even better vaccines that we've developed since then for Covid. So if we move forward with anything it'll be with a better performing.
Speaker Change: More higher efficacy potentially longer lasting and maybe a universal potential vaccine, but that won't be funded by us to move that forward. So from a regulatory perspective.
Mark A. Emalfarb: So from a regulatory perspective, you know, the finish of Phase I now has shown top-line results and final results of safety, tolerability, and immune response, both at high and low doses. And that's driven excitement, and it's driven up markets, and it's driven up access to these one, if not two, big pharma companies. We're working with two of the top 10, one we'd already started working with, and I think both of them have come in based on the results that they've seen and what they've heard about from that.
Speaker Change: The finish of the phase one now has shown topline results and final results. So safety Tolerability and immune response, both on the high and low dose that's driven segment and it's driven up markets and it's driven up access to these one if not two big pharma companies, we're working with two of them.
Speaker Change: Top 10, one way it already started working with and I think both of them have come in based on the results that they've seen and they've heard about from that so from a regulatory perspective, we hope to potentially move or bird flu vaccine.
Mark A. Emalfarb: So from a regulatory perspective, we hope to potentially move our bird flu vaccine that we've developed with Virovax that not only works in humans, as we mentioned, but recently, Virovax has shown it works on the three different variants of viruses that are floating around, including the one in cattle. So we think that that potential vaccine, not only can we mass produce it at a low cost and rapidly, and we've already developed the strain in the cell line, so we're four to six months ahead; we can address that challenge and, I think, the opportunity both from an animal health and a human health perspective.
Speaker Change: With there'll vacs.
Speaker Change: Not only works in humans as we mentioned, but recently viral vaccines showed it worse on the three different variants of viruses that are floating around including the one in the cattle. So we think that that potential.
Speaker Change: Vaccine not only can we mass produce it at low class rapidly and we've already developed a strain in the cell line. So were four to six months ahead, we can address that challenge and I think the opportunity both from an animal health and human health perspective, So there that you'd have a U S. P. A with the animal health side, and the FDA and EMA.
Mark A. Emalfarb: So there you would have the USTA with the animal health side and the FDA and EMA and other regulatory agencies around the world if we can get the funding and partnership where we can move that forward in an expedient manner. So that would bring another product forward. And then again, we're working on 12 different projects, some of them being antigen vaccines with the two top 10 pharmaceutical companies. I think there are five projects or six projects; I think five new ones and one from the past.
Speaker Change: Other regulatory agencies around the world. If we can get the funding and partnership where we can move that forward in an expedient manner. So that would bring another product for them and then again, we're working with 12 different projects some of them being antigen vaccines or the two top 10 pharmaceutical companies I think there's five projects or six.
Speaker Change: Projects like five new ones, one once in the past and one or more of those named moving to the regulatory EMA Our F. T. A because they would hopefully potentially take one or more of those into the clinic and then in the monoclonal antibody space. We have three antibodies that we produced already and we're working on.
Mark A. Emalfarb: And one or more of those may move into the regulatory EMA or FDA because they would, hopefully, potentially take one or more of those into the clinic. And then in the monoclonal antibody space, we have three antibodies that we've produced already, and we're working on another one that we believe has the potential also to go into regulatory and potentially eyeballs. I believe BARDA will have on that, and HHS and the U.S. government, so I think they're aware of what these people are doing with our technology to drive the cost down.
Speaker Change: Another one that we believe have the potential also to go into regulatory and potentially high balls I believe BARDA will have on that then the HHS and the U S. Government. So that I think they were aware of what these people are doing with our technology to drive the costs down and I can tell you from conversations that we've had with BARDA.
Mark A. Emalfarb: And I can tell you from conversations that we've had with BARDA and with these companies and others, that BARDA and the U.S. government are looking to reduce the cost and increase the yield of antibodies. They see that as a major problem, and I think we have the most advanced solution, but there is one to produce antibodies faster and larger amounts at lower costs to satisfy gaping holes in infectious and other diseases that the U.S. government and others are looking for.
Speaker Change: And with these companies and others that the BARDA in the U S government's looking to reduce the cost and increase the yield of antibodies. They see it as a major problem and I think we have the most advanced solution because she wanted to produce antibodies faster and larger amounts and lower cost to satisfy gaping holes.
Speaker Change: And in Texas, and other diseases that the U S government and others are looking for.
Mike: Thanks, Mike.
Mike: Thank you.
Operator: As there are no further questions, I will now turn the call over to Dyadic's CEO, Mr. Emalfarb, for closing comments.
Speaker Change #101: As there are no further questions I will now turn the call over to diabetics CEO Mr. M O Fob for closing comments.
Mark A. Emalfarb: The company remains dedicated to driving near-term revenue and growth through innovation and commercialization efforts, expanding the use of the C1 and Diabetes platforms for the production of proteins in our three core sectors: Human Health, Animal Health, and Alternative Protein.
Speaker Change #102: Thank you the company remains dedicated to driving near term revenue and growth through innovation and commercialization efforts.
Speaker Change #103: Spanning the use of the Siem, one and that would have us platforms. So the production of proteins in our three core sectors human health animal health and alternative proteins. Once again I cannot overstate how exciting. This time is in Diana's history, we are uniquely positioned to rapidly capitals.
Mark A. Emalfarb: Once again, I cannot overstate how exciting this time is in Dyadic's history. We are uniquely positioned to rapidly capitalize on the present opportunities and those on the horizon. Thank you for joining us on today's first quarter 2004 or 2024 conference call. We look forward to keeping you informed about our progress in commercial and scientific endeavors during our next call. Please stay tuned for additional updates from us.
Speaker Change #103: And the present opportunities and those on the horizon.
Operator: Thank you. The conference of Dyadic International has now concluded. Thank you for your participation. You may now disconnect your lines.
Speaker Change #104: Thank you for joining us on today's first quarter 2000, and for 2024 conference call. We look forward to keeping you informed about our progress in commercial and scientific endeavors. During our next call.
Speaker Change #105: Stay tuned for additional updates from us.
Speaker Change #106: Thank you the conference off diet against National has now concluded. Thank you for your participation you may now disconnect your line.
Speaker Change #106: Yeah.
Speaker Change #106: [music].
Speaker Change #106: Yeah.
Speaker Change #106: [music].
Speaker Change #106: Okay.
Speaker Change #106: [music].