Q1 2026 VolitionRx Ltd Earnings Call

May 15, 2026

David Brown: Hello, everyone. Thank you for standing by. Welcome to VolitionRx Limited's Q1 2026 Earnings Conference Call. During today's presentation, all parties will be in a listen-only mode. Following the presentation, the conference call will be opened for questions. If you have a question, please press the star key followed by the number 1 on your touch tone phone. If you would like to withdraw your question, please press the star key followed by the number 2. If you're using speaker equipment, please lift the handset before making your selections. This conference is being recorded today, 15 May 2026. I'd now like to turn the conference call over to Louise Batchelor, Group Chief Marketing and Communications Officer. Please go ahead.

Operator: Hello, everyone. Thank you for standing by. Welcome to VolitionRx Limited's Q1 2026 Earnings Conference Call. During today's presentation, all parties will be in a listen-only mode. Following the presentation, the conference call will be opened for questions. If you have a question, please press the star key followed by the number 1 on your touch tone phone. If you would like to withdraw your question, please press the star key followed by the number 2. If you're using speaker equipment, please lift the handset before making your selections. This conference is being recorded today, 15 May 2026. I'd now like to turn the conference call over to Louise Batchelor, Group Chief Marketing and Communications Officer. Please go ahead.

Speaker #2: If you have a question, please press the star key followed by the number 1 on your touch-tone phone. If you would like to withdraw your question, please press the star key followed by the number 2.

Speaker #2: If you're using speaker equipment, please lift the handset before making your selections. This conference is being recorded today, May 15, 2026. I'd now like to turn the conference call over to Louise Day, Group Chief Marketing and Communications Officer.

Speaker #2: Please go ahead. Thank you, and welcome everyone to today's earnings conference call for VolitionRX Ltd. Before we begin, I'd like to remind everyone that some of the information discussed on this conference call will include forward-looking statements covered under the Safe Harbor Provisions of the Private Securities Litigation Reform Act of 1995.

Louise Batchelor: Thank you. Welcome everyone to today's earnings conference call for VolitionRx Limited. Before we begin, I'd like to remind everyone that some of the information discussed on this conference call will include forward-looking statements covered under the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. These statements are based on our beliefs as well as assumptions we have used based upon information currently available to us. Because these statements reflect our current views concerning future events, these statements involve risks, uncertainties, and assumptions. Actual results may vary significantly based on a number of factors that may cause the actual results or events to be materially different from future results, performance, or achievements expressed or implied by these statements.

Speaker #2: These statements are based on our beliefs as well as assumptions we have used based upon information currently available to us. Because these statements reflect our current views concerning future events, these statements involve risks and certainties and assumptions.

Speaker #2: Actual results may vary significantly based on a number of factors that may cause the actual results or events to be materially different from future results performance or achievements expressed or implied by these statements.

Speaker #2: We have identified various risk factors associated with our operations in our most recent annual report on Form 10-K. Quarterly reports on Form 10-Q, and other filings with the Securities and Exchange Commission.

Louise Batchelor: We have identified various risk factors associated with our operations in our most recent annual report on Form 10-K, quarterly reports on Form 10-Q, and other filings with the Securities and Exchange Commission. We do not undertake an obligation to update any forward-looking statements made during the course of this call. Terig Hughes, Group Chief Financial Officer, will open the call providing a financial report before handing over to Cameron Reynolds, Group Chief Executive Officer, who will provide a summary of recent key achievements and upcoming milestones. We will open the conference call to a question and answer session. With that, I'll turn the call over to Terig.

Speaker #2: We do not undertake an obligation to update any forward-looking statements made during the course of this call. Terig Hughes, Group Chief Financial Officer, will open the call providing a financial report before handing over to Cameron Reynolds, Group Chief Executive Officer, who will provide a summary of recent key achievements and upcoming milestones.

Speaker #2: We will then open the conference call to a question-and-answer session. And with that, I'll turn the call over to Terig.

Speaker #3: Thanks very much, Lou, and hello everyone. I'm delighted to provide a financial report for the first quarter ending 31st of March 2026. From a revenue perspective, we recorded approximately $1 million in the first quarter, compared to approximately 0.2 million in the same period of 2025.

Terig Hughes: Thanks very much, Lou, hello, everyone. I'm delighted to provide a financial report for Q1 ending 31 March 2026. From a revenue perspective, we recorded approximately $1 million in Q1 compared to approximately $0.2 million in the same period of 2025. This increase was primarily driven by a $0.7 million increase in deferred revenue recognition related to our Nu.Q Vet agreement with Heska, the result of a periodic review and consistent with our accounting policies. As we have stated previously, at this stage of commercialization, revenues remain fairly lumpy and difficult to predict from one quarter to the next. While we remain confident of continuing to see solid growth year over year, we will not be providing revenue guidance for 2026 at this point in time.

Speaker #3: This increase was primarily driven by an 0.7 million increase in deferred revenue recognition related to our new QVET agreement with Hesker the result of a periodic review and consistent with our accounting policies.

Speaker #3: As we have stated previously, at this stage of commercialization, revenues remain fairly lumpy and difficult to predict from one quarter to the next, and so while we remain confident of continuing to see solid growth year over year, we will not be providing revenue guidance for 2026 at this point in time.

Speaker #3: From an expenditure perspective, the operating expenses for the quarter were $6.3 million compared to $5.8 million in the same period last year. This increase partly reflected severance costs related to cost reduction actions, which will result in future savings, as well as higher R&D costs related to work on our CAPTURE-SEEK and completion of certain lung cancer studies.

Terig Hughes: From an expenditure perspective, the operating expenses for the quarter were $6.3 million compared to $5.8 million in the same period last year. This increase partly reflected severance costs related to cost reduction actions, which will result in future savings, as well as higher R&D costs related to work on our Capture-Seq and completion of certain lung cancer studies. As we reported in the recent 10-K, looking at the trend over the last two years, we now operate at significantly lower levels of expenditure. We have and will continue to take measures to reduce costs further in 2026. Net cash used in operating activities was $5.3 million compared with $4.3 million in Q1 2025, partly reflecting the timing of supplier payments.

Speaker #3: As we reported in the recent 10-K, looking at the trend over the last two years, we now operate at significantly lower levels of expenditure.

Speaker #3: Furthermore, we have and will continue to take measures to reduce costs further in 2026. Net cash used in operating activities was $5.3 million compared with $4.3 million in Q1 2025, partly reflecting the timing of supplier payments.

Speaker #3: Cash and cash equivalents at the end of the quarter totaled approximately $3.1 million compared to $1.1 million at the end of December 2025. Receipts in the first quarter included approximately $5.4 million in net proceeds from our at-the-market or ATM facility, and $1.9 million in net proceeds from issuance of a convertible note to Lind Global Asset Management LLC.

Terig Hughes: Cash and cash equivalents at the end of the quarter totaled approximately $3.1 million compared to $1.1 million at the end of December 2025. Receipts in Q1 included approximately $5.4 million in net proceeds from our at-the-market or ATM facility and $1.9 million in net proceeds from issuance of a convertible note to Linde Global Asset Management LLC. We also continue to receive significant support from agencies of the Walloon region in Belgium, with non-dilutive funding of approximately $1 million received and an additional approximate $0.9 million expected to be received in tranches based on certain time and event milestones over the next 12 months. This takes the non-dilutive funding support from all sources from inception to date to well over $25 million.

Speaker #3: We also continue to receive significant support from agencies of the Walloon region in Belgium, with non-dilutive funding of approximately $1 million received and an additional approximately $0.9 million expected to be received in tranches based on certain time and event milestones over the next 12 months.

Speaker #3: This takes the non-dilutive funding support from all sources from inception to date to well over 25 million dollars. So to summarize, the financial report: revenue was up 300% year on year, operating loss was 3% lower year on year, we continue to work on reducing our underlying operating expenses, and as reported, we have made progress to secure a $5 million milestone payment from an existing agreement in the VET space.

Terig Hughes: To summarize the finance report, revenue was up 300% year-on-year. Operating loss was 3% lower year-on-year. We continue to work on reducing our underlying operating expenses. As reported, we have made progress to secure a $5 million milestone payment from an existing agreement in the vet space. Last but not least, licensing discussions are progressing well. To provide further detail, I will pass over to Cameron.

Speaker #3: Last but not least, licensing discussions are progressing well, and to provide further detail, I will pass over to Cameron.

Speaker #4: Thank you everyone for joining Volition's earnings call today. As always, we very much appreciate your time, given the busy earnings season. The first quarter call always comes hot on the heels of the K.

Cameron Reynolds: Thank you everyone for joining VolitionRx's earnings call today. As always, we very much appreciate your time given the busy earnings season. The Q1 call always comes hot on the heels of the K, so I will try and be brief today. We have made some strong progress across all of our product pillars this year. Taking each in turn. Nu.Q Vet. The Q1 is always a busy conference season for the vet team, and this year was no different with a booth and sponsored symposium at both VMX and WVC, the two largest veterinary conferences in the world. In March of this year, we announced the completion of all validation and verification of the chemiluminescent immunoassay CLIA version of the Nu.Q Vet cancer test with Fuji Vet Systems in Japan, allowing use of full automation rather than manual plates in central labs for dogs.

Speaker #4: So I will try and be brief today. We have made some strong progress across all of our product pillars this year. So, taking each in turn.

Speaker #4: New QVET, the first quarter is always a busy conference season for the VET team, and this year was no different. With a booth and sponsored symposium at both VMX and WVC, the two largest veterinary conferences in the world.

Speaker #4: In March of this year, we announced the completion of all validation and verification of the Chemiluminescent Immunoassay Clear version of the new QVET cancer test, with Fuji VET Systems in Japan.

Speaker #4: Allowing use of full automation rather than manual plates in central labs for dogs. This is a world first for us, and will significantly enhance turnaround times and throughput to meet increasing demand.

Cameron Reynolds: This is a world first for us and will significantly enhance turnaround times and throughput to meet increasing demand. We believe that central lab automation is crucial for scaling our vet business and integrating our test into routine pet wellness panels. Importantly, this automation platform is the same technology utilized for our human diagnostic products, Nu.Q Cancer, Nu.Q NETs, and Nu.Q Discover, highlighting the inherent synergy and efficiency of our core Nu.Q platform. From a product expansion perspective, we have also made great progress with our research into the use of Nu.Q in cats. Subsequent to quarter end, we announced the submission for peer review of a clinical manuscript reporting the high accuracy of our Nu.Q Vet feline prototype assay in detecting lymphoma in cats, the most common cancer in the species. At 97% specificity, the assay detected 86% of feline lymphomas.

Speaker #4: We believe that central lab automation is crucial for scaling our VET business and integrating our test into routine pet wellness panels. Importantly, this automation platform is the same technology utilized for our human diagnostic products: Nu.Q Cancer, Nu.Q NETs, and Nu.Q Discover.

Speaker #4: Highlighting the inherent synergy and efficiency of our core new Q platform. From a product expansion perspective, we have also made great progress with our research into the use of new Q in cats.

Speaker #4: Subsequent to quarter end, we announced the submission for peer review of a clinical manuscript reporting the high accuracy of our new QVET feline prototype assay in detecting lymphoma in cats.

Speaker #4: The most common cancer in the species. At 97% specificity, the assay detected 86% of feline lymphomas. This breakthrough marks the development of what we expect to be the world's first simple, affordable blood-based liquid biopsy test for feline cancer.

Cameron Reynolds: This breakthrough marks the development of what we expect to be the world's first simple, affordable blood-based liquid biopsy test for feline cancer, a significant unmet need in vet medicine. This opens up the potential for cancer screening and monitoring in cats. There are more than 60 million cats in the US alone, 25% of which are senior cats and therefore suitable for an annual check. This represents a tremendous commercial opportunity for Volition. The publication of this study in a peer-reviewed journal is expected to subsequently unlock a $5 million contractual milestone payment. We also expect it will generate ongoing revenue in this large and growing market where our technology meets an unmet need. Incredibly quick progress from a product development perspective given it was only May of last year that we reported detecting nucleosomes in cats, the third species for Nu.Q. Next up, Nu.Q NETs.

Speaker #4: A significant unmet need in vet medicine. This opens up the potential for cancer screening and monitoring in cats. There are more than 60 million cats in the US alone, 25% of which are senior cats, and therefore suitable for an annual check.

Speaker #4: This represents a tremendous commercial opportunity for Volition. The publication of this study in a peer-reviewed journal is expected to subsequently unlock a $5 million contractual milestone payment.

Speaker #4: And we also expect it will generate ongoing revenue in this large and growing market where our technology meets an unmet need. Incredibly quick progress from a product development perspective given it was only May of last year that we reported detecting nucleosomes in cats.

Speaker #4: The third species for new Q. Next up, new Q nets. Natosis really is an area of increasing scientific interest with a significant number of research articles published in recent years.

Cameron Reynolds: NETosis really is an area of increasing scientific interest with a significant number of research articles published in recent years. I've spoken before about a number of manuscripts relating to the use of our Nu.Q NETs assay in sepsis, and this quarter we reported findings in two further clinical indications. Firstly, in January, we shared a new clinical study demonstrating the use of Nu.Q NETs in patient management of a chronic disease, HS, a lifelong disease which affects approximately 1% of the world's population. HS is a complex immune-mediated disorder with multiple pro-inflammatory cytokines contributing to its pathogenesis. The clinical presentation may also vary from person to person, making it challenging to manage. The findings described in the manuscript demonstrate that for the first time in an easy-to-measure blood test, Nu.Q NETs can be used to classify patients and to surrogate response to treatment.

Speaker #4: I've spoken before about a number of manuscripts relating to the use of our new Q nets assay in sepsis and this quarter we reported findings in two further clinical indications.

Speaker #4: Firstly, in January, we shared a new clinical study demonstrating the use of new Q nets in patient management of a chronic disease, HS—a lifelong disease which affects approximately 1% of the world's population.

Speaker #4: HS is a complex immune-mediated disorder, with multiple pro-inflammatory cytokines contributing to its pathogenesis. The clinical presentation may also vary from person to person, making it challenging to manage.

Speaker #4: The findings described in the manuscript demonstrate that for the first time in an easy-to-measure blood test, new Q nets can be used to classify patients and to surrogate response to treatment.

Speaker #4: In February, we sponsored a well-attended satellite symposium with key opinion leader Professor Evangelos. Our continuing work in the field will look forward to sharing further data as it becomes available.

Cameron Reynolds: In February, we sponsored a well-attended satellite symposium with key opinion leader Professor Evangelos, and are continuing further work in the field. We look forward to sharing further data as it becomes available. From a chronic disease use case to very much an acute use case. Secondly, at the end of the quarter, we were delighted to announce the publication of a study at the Mayo Clinic in the Shock Journal. The Mayo Clinic study of 674 trauma patients demonstrated that nucleosome levels, as measured by Volition's Nu.Q H3.1 and Nu.Q H3R8 citrulline, are elevated in people that have experienced a traumatic event, and are even higher in those patients that go on to have complications from the trauma. The numbers and data are quite stark, and some of the most compelling data I have ever seen.

Speaker #4: From a chronic disease use case, to very much an acute use case. Secondly, at the end of the quarter, we were delighted to announce the publication of a study at the Mayo Clinic in the Shock Journal.

Speaker #4: The Mayo Clinic study of 674 trauma patients demonstrated that nucleosome levels as measured by Volition's new Q H3.1 and new Q H3R8 citrulline are elevated in people that have experienced a traumatic event.

Speaker #4: And are even higher in those patients that go on to have complications from the trauma. The numbers and data are quite stark. And some of the most compelling data I have ever seen H3.1 levels in healthy people were low at 22.3 nanograms per mL, those with trauma were elevated to 359.7, and those that went on to get venous thromboembolism, VTE, were 828.4 on average, over 37 times the level in healthies.

Cameron Reynolds: H3.1 levels in healthy people were low at 22.3ng/mL. Those with trauma were elevated to 359.7. Those that went on to get venous thromboembolism, VTE, were 828.4 on average, over 37 times the level in healthies. The identification of reliable biomarkers in trauma patients is a clinical challenge and remains an unmet need in the emergency and surgical setting. Professor Park, the principal investigator and senior author from the Mayo Clinic, said, These biomarkers could aid in the early risk identification and may inform targeted preventative strategies in trauma care. For my part, I believe this is a significant study with clear data, not only for the clinicians, patients, and their families, but also for Volition.

Speaker #4: The identification of reliable biomarkers in trauma patients is a clinical challenge and remains an unmet need in emergency and surgical setting. Professor Park, the principal investigator and senior author from the Mayo Clinic, said, "These biomarkers could aid in the early risk identification and may inform targeted preventative strategies in trauma care." For my part, I believe this is a significant study with clear data not only for the clinicians, patients, and their families, but also for Volition, a peer-reviewed publication with the Mayo Clinic research team can only support our efforts to commercialize our new Q nets products.

Cameron Reynolds: A peer-reviewed publication with the Mayo Clinic research team can only support our efforts to commercialize our Nu.Q NETs products. The Mayo Clinic team have continued their work with Nu.Q and are very much looking forward to sharing further updates in the coming months. Next up for Nu.Q NETs, a quick update on the DETECSEPS program. As a reminder, DETECSEPS is a French government-sponsored real-world evaluation of the early detection of sepsis, and Volition's Nu.Q NETs assay is the sole biomarker. The DETECSEPS program provides an opportunity to receive individualized and personalized care adjusted to the risk of deterioration and progression to sepsis. I'm very pleased to be able to say the program is on track, and we hope the first patient will be recruited in Q3 of this year, likely September.

Speaker #4: The Mayo Clinic team have continued their work with new Q and are very much looking forward to sharing further updates in the coming months.

Speaker #4: Next up for new Q nets, a quick update on the DetectSEPS program. As a reminder, DetectSEPS is a French government-sponsored real-world evaluation of the early detection of sepsis and Volition's new Q nets assay is the sole biomarker.

Speaker #4: The DetectSEPS program provides an opportunity to receive individualized and personalized care, adjusted to the risk of deterioration and progression to sepsis. I'm very pleased to be able to say the program is on track, and we hope the first patient will be recruited in the third quarter of this year.

Speaker #4: Likely September. It is a privilege to be involved in such a program and we hope that through the earlier identification of sepsis, lives can be saved.

Cameron Reynolds: It is a privilege to be involved in such a program, and we hope that through the earlier identification of sepsis, lives can be saved. The quality of life of survivors can be improved, and importantly, the burden on the healthcare system can be reduced. Subsequent to quarter end, we were delighted to report the breakthrough finger prick detection of nucleosomes, thereby expanding global market potential for sepsis testing. This was a major technical milestone, the successful detection of nucleosomes in capillary blood from critically ill sepsis patients using our lateral flow prototype. This finger prick test sample could be used at the bedside, in the emergency room, or even at home with a self-test lateral flow kit, similar to COVID-19 or pregnancy testing, thereby greatly expanding the potential market beyond centralized lab testing.

Speaker #4: The quality of life of survivors can be improved and importantly, the burden on the healthcare system can be reduced. Also, subsequent to quarter end, we were delighted to report the breakthrough finger prick detection of nucleosomes thereby expanding global market potential for sepsis testing.

Speaker #4: This was a major technical milestone. The successful detection of nucleosomes in capillary blood from critically ill sepsis patients using our lateral flow prototype. This finger-prick test sample could be used at the bedside in the emergency room or even at home with a self-test lateral flow kit.

Speaker #4: Similar to COVID-19 or pregnancy testing. Thereby greatly expanding the potential market beyond centralized lab testing. The ability to rapidly identify high-risk patients at the point of care by quantifying their nucleosome levels using a finger prick sample and simple lateral flow device could enable quicker clinical decision-making and consequently better patient outcomes.

Cameron Reynolds: The ability to rapidly identify high-risk patients at the point of care by quantifying their nucleosome levels using a finger prick sample and simple lateral flow device could enable quicker clinical decision-making and consequently better patient outcomes. We believe this is a potential game changer, not only in diseases where time is critical, such as sepsis, but also in significantly expanding potential use cases beyond traditional hospital infrastructure. It also creates a compelling pathway into underserved low-income countries where lab infrastructure may be weak or non-existent. An exciting development and one to keep an eye out for the future updates. Next, I'd like to talk about our Nu.Q Discover pillar, where we are commercializing our service offering for nucleosome-based biomarkers to drug developers and researchers.

Speaker #4: We believe this is a potential game changer. Not only in diseases where time is critical, such as sepsis, but also in significantly expanding potential use cases beyond traditional hospital infrastructure.

Speaker #4: It also creates a compelling pathway into underserved low-income countries where lab infrastructure may be weak or non-existent. An exciting development, and one to keep an eye on for future updates.

Speaker #4: Next, I'd like to talk about our new Q Discover pillar. Where we are commercializing our service offering for nucleosome-based biomarkers to drug developers and researchers.

Speaker #4: The first quarter, we were excited to expand our collaborator network and extend the access to new Q Discover through a non-exclusive agreement with medical and biological labs co-MBL.

Cameron Reynolds: The Q1, we were excited to expand our collaborator network and extend the access to Nu.Q Discover through a non-exclusive agreement with Medical & Biological Laboratories Co., MBL. MBL is a leading provider of clinical research tools in Japan, with a particular focus and track record in autoimmune diseases. Through our Nu.Q Discover pillar, we are now serving close to 100 clients worldwide, including many top pharma and diagnostic companies, accelerating disease research and drug development across multiple therapeutic areas. Some of these pharma companies are progressing to late-stage clinical trials using our assays as pharmaco-dynamic biomarkers. Subsequent to Q1 end, we launched our rNuQ webshop, offering a range of reliable, ready-to-use recombinant nucleosomes that we have developed over the past 10 years.

Speaker #4: MBL is a leading provider of clinical research tools in Japan, with a particular focus and track record in autoimmune diseases. Through our new Q Discover pillar, we are now serving close to 100 clients worldwide, including many top pharma and diagnostic companies, accelerating disease research and drug development across multiple therapeutic areas.

Speaker #4: Some of these pharma companies are progressing to late-stage clinical trials using our assays as pharma codynamic biomarkers. Subsequent to quarter end, we launched our R new Q web shop offering a range of reliable, ready-to-use recombinant nucleosomes that we have developed over the past 10 years.

Speaker #4: Manufactured in our ISO 13485 certified facility. Delivering reliable, reproducibility, and quality control. Volition's nucleosomes are stored and shipped at plus four degrees in glycerol-free buffer.

Cameron Reynolds: Manufactured in our ISO 13485 certified facility, delivering reliable reproducibility and quality control, Volition's nucleosomes are stored and shipped at +4 degrees in glycerol-free buffer, simplifying handling while preserving structural integrity and experimental performance, thereby providing rapid access to high-quality nucleosomes for epi drug researchers worldwide. This is a potential new source of revenue on our path to commercializing our very large IP portfolio. Moving on to Nu.Q Cancer, and specifically Nu.Q Lung Cancer, where the first clinical use of Nu.Q is now imminent. Nu.Q Cancer represents a significant advancement in lung cancer patient management, offering clinicians an additional tool to enhance precision in treatment selection and monitoring. Research conducted by our long-term collaborators in Taiwan and Lyon demonstrates that our Nu.Q Cancer technology empowers clinicians to make more informed treatment decisions and provides valuable new monitoring capabilities throughout the patient journey.

Speaker #4: Simplifying handling while preserving structural integrity and experimental performance thereby providing rapid access to high-quality nucleosomes for EPI drug researchers worldwide. This is a potential new source of revenue on our path to commercializing our very large IP portfolio.

Speaker #4: Moving on to new Q cancer and specifically new Q lung cancer, where the first clinical use of new Q is now imminent. New Q cancer represents a significant advancement in lung cancer patient management.

Speaker #4: Offering clinicians an additional tool to enhance precision in treatment selection and monitoring. Research conducted by our long-term collaborators in Taiwan and Leon demonstrates that our new Q cancer technology empowers clinicians to make more informed treatment decisions and provides valuable new monitoring capabilities throughout the patient journey.

Speaker #4: Several manuscripts and conference posters and presentations have already been published and several more clinical papers have either recently been submitted for peer review or will be in the coming weeks.

Cameron Reynolds: Several manuscripts and conference posters and presentations have already been published, and several more clinical papers have either recently been submitted for peer review or will be in the coming weeks. Together, this evidence provides the basis of our reimbursement submission, supported by our long-term collaborators at the Hospices Civils de Lyon, one of Europe's leading cancer centers. Reimbursement is the next step on the path to the first use of Nu.Q in clinical practice, an exciting prospect which is core to Volition's mission: using our tests to save lives. This submission is a significant undertaking, and we hope to participate in pre-submission meetings with the authorities in the coming weeks. Reimbursement will be a major milestone for Volition in the commercialization and licensing of Nu.Q in the human cancer field, and once achieved, we anticipate the introduction into clinical routine use in France late this year.

Speaker #4: Together, this evidence provides the basis of our reimbursement submission, supported by our long-term collaborators at the Hospices Civils de Lyon, one of Europe's leading cancer centers.

Speaker #4: Reimbursement is the next step on the path to the first use of new Q in clinical practice. An exciting prospect which is core to Volition's mission using our tests to save lives.

Speaker #4: This submission is a significant undertaking, and we hope to participate in pre-submission meetings with the authorities in the coming weeks. Reimbursement will be a major milestone for Volition in the commercialization and licensing of Nu.Q in the human cancer field, and once achieved, we anticipate the introduction into clinical routine use in France late this year.

Speaker #4: The final pillar, which has generated a tremendous amount of interest, this quarter is capture seek which we have had several announcements about. Volition is, I believe, the first company to demonstrate the isolation and analysis of greater than 99% pure circulating tumor-derived DNA.

Cameron Reynolds: The final pillar, which has generated a tremendous amount of interest this quarter, is CaptureSeq, which we have had several announcements about. Volition is, I believe, the first company to demonstrate the isolation and analysis of greater than 99% pure circulating tumor-derived DNA, ctDNA. To set the scene, the biggest problem facing liquid biopsy worldwide is that the vast majority of circulating DNA in the blood plasma samples comes from healthy cells, not cancer cells. In a world-first new technology, Volition has overcome this hurdle and produced greater than 99% pure cancer-derived plasma DNA sequencing sets for liquid biopsy. We resubmitted our manuscript in March, available to view on Research Square.

Speaker #4: CT DNA. To set the scene, the biggest problem facing liquid biopsy worldwide is that the vast majority of circulating DNA in the blood plasma samples comes from healthy cells, not cancer cells.

Speaker #4: In a world-first new technology, Volition has overcome this hurdle and produced greater than 99% pure cancer-derived plasma DNA sequencing sets for liquid biopsy. We resubmitted our manuscript in March available to view on research square.

Speaker #4: Our continuing work on CTCF-bound DNA has revealed what we believe to be an unprecedented new discovery that there is almost no CTCF-bound DNA in healthy plasma and almost all CTCF-bound in the blood of a cancer patient is derived from cancer cells.

Cameron Reynolds: Our continuing work on CTCF-bound DNA has revealed what we believe to be an unprecedented new discovery, that there is almost no CTCF-bound DNA in healthy plasma and almost all CTCF bound in the blood of a cancer patient is derived from cancer cells, i.e., it is virtually pure circulating tumor-derived DNA. Removal of background normal cell-free DNA from the blood to reveal this level of tumor-derived DNA has been a long-term goal of liquid biopsy. In the updated manuscript, we report a new two-step method for preparing virtually pure circulating tumor DNA sets for cancer patients. Firstly, physical enrichment of the samples, and secondly, bioinformatic removal of virtually all remaining non-tumor cell-free DNA sequences from the DNA sequences data set. This new method produces greater than 99% pure tumor DNA sequencing data sets for blood samples from cancer patients.

Speaker #4: I.e., it is virtually pure circulating tumor-derived DNA. Removal of background normal cell-free DNA from the blood to reveal this level of tumor-derived DNA has been a long-term goal of liquid biopsy.

Speaker #4: In the updated manuscript, we report a new two-step method for preparing virtually pure circulating tumor DNA sets for cancer patients. Firstly, physical enrichment of the samples and secondly, bioinformatic removal of virtually all remaining non-tumor cell-free DNA sequences from the DNA sequences data set.

Speaker #4: This new method produces greater than 99% pure tumor DNA sequencing data sets for blood samples from cancer patients, and whilst we capture a subset of the tumor DNA—i.e., not all the tumor DNA in a sample—it is virtually pure cancer DNA.

Cameron Reynolds: Whilst we capture a subset of the tumor DNA, i.e., not all the tumor DNA in a sample, it is virtually pure cancer DNA. These methodological and technological breakthroughs represent a novel liquid biopsy method for a novel class of potentially thousands of liquid biopsy sequence biomarkers, representing, in our chief scientist's opinion, the biggest scientific breakthrough in cancer testing and monitoring in recent years. In addition to the manuscript, we also released data this quarter from a blinded validation cohort of 81 subjects, colorectal and lung cancer patients being 59, and healthy controls being 22. We are extremely encouraged by the results, particularly in early stage cancer detection, where we detected over 95% of stage 1 and 2 cancers. For patients, the potential significance is huge. If further validated in larger cohorts, CTCF Capture-Seq could contribute to multi-cancer early detection, fulfilling a significant unmet clinical need.

Speaker #4: These methodological and technological breakthroughs represent a novel liquid biopsy method for a novel class of potential thousands of liquid biopsy sequence biomarkers. Representing in our chief scientist opinion the biggest scientific breakthrough in cancer testing and monitoring in recent years.

Speaker #4: In addition to the manuscript, we also released data this quarter from a blinded validation cohort of 81 subjects: colorectal and lung cancer patients, being 59, and healthy controls being 22.

Speaker #4: And we are extremely encouraged by the results, particularly in early-stage cancer detection, where we detected over 95% of stage one and two cancers. For patients, the potential significance is huge.

Speaker #4: If further validated in larger cohorts, CTCF capture seek could contribute to multi-cancer early detection fulfilling a significant unmet clinical need. We also believe capture seek has the potential to play a role in cancer management including but not limited to minimal residual disease detection, including tumor naive MRD, and treatment monitoring either alone or in potentially in combination with other technologies.

Cameron Reynolds: We also believe CaptureSeq has the potential to play a role in cancer management, including, but not limited to, minimal residual disease detection, including tumor-naive MRD, and treatment monitoring, either alone or potentially in combination with other technologies. Volition is, I believe, the first liquid biopsy company to focus on circulating cell-free nuclear proteins, and we have filed a number of new patents to protect this technology. Our goal is to secure a wide range of licensing agreements in the human diagnostic space, mirroring our successful strategy in the vets market. We anticipate diverse deal structures with potential for upfront and milestone payments and future recurring revenue. We have developed a truly remarkable, versatile platform, and we are now working with governments and some of the biggest diagnostic and liquid biopsy companies to make our technology available worldwide as quickly as possible. We have continued to make good progress.

Speaker #4: Volition is, I believe, the first liquid biopsy company to focus on circulating cell-free nuclear proteins, and we have filed a number of new patents to protect this technology.

Speaker #4: Our goal is to secure a wide range of licensing agreements in the human diagnostic space, mirroring our successful strategy in the vets market. And we anticipate diverse deal structures with potential for upfront and milestone payments, and future recurring revenue.

Speaker #4: We have developed a truly remarkable, versatile platform, and we are now working with governments and some of the biggest diagnostic and liquid biopsy companies to make our technology available worldwide as quickly as possible.

Speaker #4: We have continued to make good progress. Indeed, I would say that we are delighted to have grown the commercial interest in CTCF in the first quarter with an increase in discussions including for technical evaluations.

Cameron Reynolds: Indeed, I would say that we are delighted to have grown the commercial interest in CTCF in the Q1 with an increase in discussions, including for technical evaluations. We set out 15 years ago to help save lives and improve outcomes for millions of patients worldwide, and we are making huge progress towards that goal. With the first clinical use now imminent in both early sepsis and lung cancer management, we are about to be part of the solution through simple, easy-to-use, low-cost tests. Our vision is for our technology to be incorporated into tests that will be used by first millions and ultimately hundreds of millions of people and animals a year. With our platform licensed to a range of large diagnostic and liquid biopsy companies and governments worldwide.

Speaker #4: We set out 15 years ago to help save lives and improve outcomes for millions of patients worldwide and we are making huge progress towards that goal.

Speaker #4: With the first clinical use now imminent, in both early sepsis and lung cancer management, we are about to be part of the solution through simple, easy-to-use, low-cost tests.

Speaker #4: Our vision is for our technology to be incorporated into tests that will be used by, first, millions and ultimately hundreds of millions of people and animals a year, with our platform licensed to a range of large diagnostic and liquid biopsy companies and governments worldwide.

Speaker #4: Combining our groundbreaking technology with their installed base of labs, analyzed machines, and sales forces around the world, we aim to achieve the optimal outcome for us.

Cameron Reynolds: Combining our groundbreaking technology with their installed base of labs, analyzing machines, and sales forces around the world, we aim to achieve the optimal outcome for us. Large companies have the resources to realize the opportunities better than Volition. The total addressable market, TAMs, for our technologies on an annualized basis are multi-billion dollar opportunities, not only for Volition, but for our licensing partners too. Volition has made strong progress both clinically and commercially. We are very active with a range of potential partners, and we are continuing our discussions with more than a dozen of the world's leading diagnostic and liquid biopsy companies to license and commercialize our very broad IP and product portfolio. These discussions are at various stages of the negotiation process across all of our different pillars. Our laser focus is on executing licensing agreements, and we'll update you as they progress.

Speaker #4: Large companies have the resources to realize the opportunities better than Volition. The total addressable market, TAMS, for our technologies on an annualized basis are multi-billion dollar opportunities, not only for Volition but for our licensing partners too.

Speaker #4: Volition has made strong progress both clinically and commercially; we are very active with a range of potential partners, and we are continuing our discussions with more than a dozen of the world's leading diagnostic and liquid biopsy companies to license and commercialize our very broad IP and product portfolio.

Speaker #4: These discussions are at various stages of the negotiation process across all of our different pillars, our laser focus is on executing licensing agreements and we will update you as they progress.

Speaker #4: Thank you for joining the call today. We very much appreciate it. We will now take your questions.

Cameron Reynolds: Thank you for joining the call today. We very much appreciate it. We will now take your questions. Operator?

Speaker #2: Thank you. We will now be conducting a question-and-answer session. Again, if you would like to ask a question, please press star one on your telephone keypad.

Operator: Thank you. We will now be conducting a question and answer session. Our first question comes from the line of Justin Walsh with JonesTrading. Your line is now live.

Operator: Thank you. We will now be conducting a question and answer session. Again, if you would like to ask a question, please press star 1 on your telephone keypad. A confirmation tone will indicate your line is in the question queue. You may press star 2 to remove yourself from the queue. For participants using speaker equipment, it may be necessary to pick up the handset before pressing these star keys. One moment, please, while we poll for questions. Our first question comes from the line of Justin Walsh with JonesTrading. Your line is now live.

Speaker #2: A confirmation tone will indicate your line is in the question queue. You may press star two (*) to remove yourself from the queue. For participants using speaker equipment, it may be necessary to pick up the handset before pressing the star keys.

Speaker #2: One moment, please, while we pull for questions. Our first question comes from the line of Justin Waltz with JonesTrading. Your line is now live.

Speaker #3: Hi. Thanks for taking the question. I was curious if you could expand on the potential clinical utility of new QNETs in HS. I'm wondering how physicians might use the additional information to inform treatment decisions.

Justin Walsh: Hi. Thanks for taking a question. I was curious if you could expand on the potential clinical utility of Nu.Q NETs in HS, wondering how physicians might use the additional information to inform treatment decisions.

Speaker #4: Yes, thank you. A lot of that work has been done by Professor Evangelos, who's one of the world's leading experts in HS, and as we said on the call, we've had a satellite symposium where, actually, we're working with a lot of other groups getting further data.

Cameron Reynolds: Yes. Thank you. A lot of that work has been done by Evangelos Georgiou, who's one of the world's leading experts in HS. As we said on the call, we've had a satellite symposium. We're actually working with a lot of other groups getting further data. I won't go through the technical side. HS is a tricky, complicated condition. But what I do know is some of the world's best people are very keen on how it can be used to help. It is 1% of the world's population, which honestly was news to me. I'm not familiar with the condition myself. It's supposed to be an extremely painful, extremely debilitating condition for a lot of the world's people.

Speaker #4: I won't go through the technical side. HS is a tricky, complicated condition, but what I do know is some of the world's best people are very keen on how it can be used to help.

Speaker #4: It is 1% of the world's population, which honestly was news to me. I've not familiar with the condition myself, but it's supposed to be an extremely painful and extremely debilitating condition for a lot of the world's people.

Speaker #4: And Professor Evangelos' paper and now I believe other groups are working on it as well. I'm very convinced that it could be a very big part of the solution but yeah, I'm not the scientist involved.

Cameron Reynolds: Evangelos Georgiou's paper, and now I believe other groups are working on it as well, are very convinced that it could be a very big part of the solution. Yeah, I'm not the scientist involved. I'll put you over to Louise. You,

Speaker #4: I'll put you over to Louise. You want?

Speaker #5: I can add a little bit of color just in. So, the way that Professor Evangelos has used it thus far is—the way he's used it thus far is really in helping identify patients that might be having a flare-up.

Louise Batchelor: I can add a little bit of color, Justin. The way Evangelos Georgiou has used it thus far is really in helping identify patients that might be having a flare-up. It's a chronic condition that is kind of often lifelong, and can be under control with treatment. People can unfortunately experience flare-ups. Really, they're using the Nu.Q NETs assay to help monitor patients on an ongoing basis. His hope is actually then to utilize it within clinical studies of new therapeutics that are coming through. That's kind of the direction of travel for HS. I think it's definitely one to keep an eye on. I think we'll have more news out about it throughout the year.

Speaker #5: So it's a chronic condition that is kind of often lifelong. And it can be under control with treatment. And then people can unfortunately experience flare-ups.

Speaker #5: And so really, they’re using the new QNETs, I’d say, to help monitor patients on an ongoing basis. His hope is actually to then utilize it within clinical studies of new therapeutics that are coming through.

Speaker #5: So that's kind of the direction of travel for HS. So I think it's definitely one to keep an eye on. I think we'll have more news out about it throughout the year.

Speaker #4: And the current diagnosis is—I've actually spoken to Evangelos a few times—is a very complicated process. So they’re really hoping to simplify it.

Cameron Reynolds: The current diagnosis, I've actually spoken to Evangelos a few times, is a very complicated process, so they're really hoping to simplify it, and he believes that's possible with our tests. Just as a background, I guess, obviously in the NETs space, there are so many potential uses. You know, obviously working with Werfen on APS, another autoimmune disease. Obviously, with the French government that's doing this large interventional study in sepsis. Of course, I mentioned we're incredibly excited with the Mayo Clinic data. Trauma is, I believe, the biggest cause of emergency in intensive care, emergency visits in the US. I think 40 million a year. Obviously it's something tough to diagnose whether you have trauma or not.

Speaker #4: And he believes that's possible with our tests. And just as a background, I guess obviously in the NET space, there are so many potential uses—obviously, working with Werfen on APS, another autoimmune disease.

Speaker #4: Obviously, with the French government that's doing this large interventional study in sepsis—so that's all looking promising. And of course, I mentioned we're incredibly excited with the Mayo Clinic data. Trauma is, I believe, the biggest cause of emergency intensive emergency visits in the US.

Speaker #4: I think 40 million a year. And obviously, it's something tough to diagnose, whether you have trauma or not. So I don't know if you had a chance to look at the data, but it was quite—yeah, it was fantastic.

Cameron Reynolds: I don't know if you had a chance to look at the data, but it was quite. Yeah, it was fantastic, with 20 to 360 to over 800. Actually, one of the most important parts of that was the VTE section, whether you go on to having a blood clot, which is obviously incredibly important to know. I think overall, as you know, the NETs platform is extremely stable. Now works on the Revvity machine, at the point of care, which is fantastic on the pinprick with capillary blood. I think now we have a very wide range of really potentially large uses for it beyond sepsis. Actually, we're working on another with a group in the US which is exceptionally renowned as well.

Speaker #4: But 20 to 360 to over 800. And actually, one of the most important parts of that was the VTE section, where you go on to having a blood clot, which is obviously incredibly important to know.

Speaker #4: So I think overall as you know, the NETs platform is extremely stable. Now works on the revenue machine. The point of care, which is fantastic on the pinprick with capillary blood.

Speaker #4: And I think now we have a very wide range of really potentially large uses for it beyond sepsis. And actually, we're working on another with a group in the US, which is exceptionally renowned as well. We could have a fourth very big use for it as well coming up in the short term as well.

Cameron Reynolds: We could have a fourth very big use for it as well coming up in the short term as well. Overall, the picture on NETs is really coming together between all those different conditions, and we are hoping that will lead to the big companies putting it on their platforms and really trying to finish those discussions off with all these different uses.

Speaker #4: So overall, the picture on NETs is really coming together between all those different conditions, and we're hoping that will lead to the big companies putting it on their platforms and really trying to finish those discussions off with all these different uses.

Speaker #3: Great. Thanks for taking the question.

Justin Walsh: Great. Thanks for taking the question.

Speaker #4: Thank you.

Louise Batchelor: Thank you.

Cameron Reynolds: Thank you.

Speaker #2: Thank you. Our next question comes from the line of Yi Chen with HC Wainwright. Please proceed with your question.

Operator: Thank you. Our next question comes from the line of Yi Chen with H.C. Wainwright. Please proceed with your question.

Speaker #6: Hey, good morning. This is Katie on for Yi. You guys have kind of described discussions with a good number of companies at various stages.

[Analyst] (H.C. Wainwright): Hey, good morning. This is Katie on for Yi. You guys have kind of described discussions with a good number of companies at various stages. Can you give us an idea of how far those have progressed? Have they reached a contract negotiation stage, term sheet? What's kind of a realistic deal structure for those? I guess, what should we really be expecting from the next agreement?

Speaker #6: Can you give us an idea of how far those have progressed? Have they reached a contract negotiation stage, term sheet? And what’s kind of a realistic deal structure for those?

Speaker #6: And I guess, what should we really be expecting from the next agreement?

Speaker #4: Yeah, very good question. So yes, we do have a lot of discussions going, and I think in the last quarter, it's actually expanded because of a very large number we had.

Cameron Reynolds: Yeah, very good question. Yes, we do have a lot of discussions going, and I think in the last quarter it's actually expanded beyond the very large number we had. I think it's fair to say a very large percentage of the large diagnostic companies and the liquid biopsy companies, and a range of other companies. As you know, we have signed some deals already with Hologic, with Werfen, and with Revvity. Revvity being the machine platform for the IVDR launch in Europe and the IVDR. That's gone extremely well. The NETosis stage, I think it hinges on getting the big agreements with the big diagnostic companies.

Speaker #4: So I think it's fair to say a very large percentage of the large diagnostic companies and the liquid biopsy companies and a range of other companies as you know, we have signed some deals already.

Speaker #4: With Hologic, with WERFEN, and with Reviti—Reviti being the machine platform for the IVDR launch in Europe and the IVDD. And so that's gone extremely well.

Speaker #4: The Nintosis stage I think it's hinges on getting the big agreements with the big diagnostic companies. These very large use cases really well flushed out.

Cameron Reynolds: These very large use cases really well flushed out. As I said, I think we're getting there definitely on sepsis. Trauma has been a fantastic new entrance in the last quarter with the Mayo Clinic and then HS, as was mentioned. As I said, we're also working on another very large use with a fantastic institution in the US. Then of course, we have the new capture side, which interest has gone up tremendously since the paper was actually in preprint. On the preprint side, just as a background, it's now been downloaded 2,700 times, which is quite obviously a huge amount of interest. Very fair to say a large amount of interest from a lot of groups on the capture side.

Speaker #4: And I think, as I said, I think we're getting there definitely on sepsis. Trauma has been a fantastic new entrant in the last quarter.

Speaker #4: With the Mayo Clinic, and then HS, as was mentioned, and as I said, we've also been working on another very large use with a fantastic institution in the US.

Speaker #4: And then of course, we have the new Q capture side, which interest has gone up tremendously since the paper was actually in preprint. And on the preprint side, just as a background, it's now been downloaded 2,700 times, which is quite obviously a huge amount of interest.

Speaker #4: And very fair to say a large amount of interest from a lot of groups on the capture side. So yeah, where we are with the different groups, all of them obviously we're having discussions with.

Cameron Reynolds: Yeah, where we are with the different groups, all of them obviously we're having discussions with. The more advanced ones are going through the stage of technical validation and their own trials on, or at different technologies and their own processes, and that's progressing well. We're very happy with how they're progressing. We're doing a lot of work with quite a few of them. The actual terms and the processes is confidential until we finish. What we've said, and if you look at deals that have been done in this space, they typically involve upfront payments or milestones and a share of the revenue going forward, either through royalty or through some other process like the sale of key components. We, we don't update on each one individually.

Speaker #4: The more advanced ones are going through the stage of technical validation and their own trials on a different technologies and their own processes. And that's progressing well.

Speaker #4: And so we're very happy with how they're progressing. We're doing a lot of work with quite a few of them. The actual terms and the processes is confidential until we finish.

Speaker #4: But what we've said, and if you look at deals that have been done in this space, they typically involve upfront payments or milestones, and a share of the revenue going forward, either through royalty or through some other process like the sale of key components.

Speaker #4: So we don't update on each one individually. Obviously, there's confidentiality issues. But yeah, we're very happy with how they're advancing. There's a lot of discussions going on.

Cameron Reynolds: Obviously, there's confidentiality issues, but, yeah, we're very happy with how they're advancing. There's a lot of discussions going on, and we'll continue to update as they come through. Certainly in the NETosis space and the capture space, and with groups like Revvity, Hologic, and Werfen, we've made fantastic progress, and we'll update you as they come through.

Speaker #4: And we'll continue to update as they come through. But certainly in the Nintosis space and the capture space and with groups like Reviti, Hologic, and WERFIN, we've made fantastic progress.

Speaker #4: And we'll update you as they come through.

Speaker #6: Great. If there's time, I'd like to have a quick follow-up on WERFIN and Hologic.

David Brown: Great. If there's time, I'd like to have a quick follow-up on Werfen and Hologic.

[Analyst] (H.C. Wainwright): Great. If there's time, I'd like to have a quick follow-up on Werfen and Hologic.

Speaker #4: Yep.

Cameron Reynolds: Yep.

Speaker #6: Could you quantify how what revenue has come in from those two so far this year? What kind of format it came in as? And kind of give us an idea of what conditions or triggers might produce more revenue from those deals for the rest of 2026, '27.

David Brown: Could you quantify what revenue has come in from those two so far this year? What kind of format it came in as, and kind of give us an idea of what conditions or triggers might produce more revenue from those deals for the rest of 2026, 2027.

[Analyst] (H.C. Wainwright): Could you quantify what revenue has come in from those two so far this year? What kind of format it came in as, and kind of give us an idea of what conditions or triggers might produce more revenue from those deals for the rest of 2026, 2027.

Speaker #4: Yeah, good question. So WERFIN, we're working on APS. So basically, the NETs platform, as you know, as you can tell from everything, can be used in a very, very wide range of areas from all the autoimmune diseases sepsis, COVID, trauma, as we now know.

Cameron Reynolds: Yeah, good question. Werfen, we're working on APS. Basically the NETs platform, as you know, as you can tell from everything, can be used in a very, very wide range of areas, from all the autoimmune diseases, sepsis, COVID, trauma, as we now know, and of course, you know, things like sepsis and, I mean, extremely wide range of uses. What we've been working with different groups is getting them to either sign up for a big license for things like sepsis or for smaller uses, which then we hope to expand through other processes. Groups like Werfen, they're in the process of showing how well it works in that autoimmune disease, as we also have HS on top of that, as you know. There was a small upfront payment which we've made.

Speaker #4: And of course, things like sepsis and I mean, extremely wide range of uses. So what we've been working with different groups is getting them to either sign up for a big license for things like sepsis or for a smaller uses, which then we hope to expand through other processes.

Speaker #4: So groups like WERFIN, they're in the process of showing how well it works in that autoimmune disease as we also have HS on top of that, as you know.

Speaker #4: So there was a small upfront payment, which we've made. We part of the contract, we don't disclose that, but they have paid an upfront payment and they are and there are further payments being made from them.

Cameron Reynolds: We part of the contract, we don't disclose that, but they have paid an upfront payment, and there are further payments being made from them. Not of a large scale yet because they're still in the process of review in APS, but we are working with them and other groups to broaden it beyond those first beachheads, if you will. Hologic has been working on a few agreements. We don't break down the different individual revenues, but they are working with us on selling some of the Discover portfolio. Also with them, we're looking at these as the first beachheads to expand it to other processes and other products. Companies like Hologic and Werfen and Revvity, where we have existing agreements, we are looking to really grow them through the process.

Speaker #4: Not of a large scale yet because they're still in the process of reviewing it in APS, but we are working with them and other groups to broaden it beyond those first beachheads, if you will.

Speaker #4: Hologic has been working the different individual revenues, but they are working with us on selling some of the Discover portfolio. But also with them, we're looking at these as the first beachheads to expand it to other processes and other products.

Speaker #4: Companies like Hologic and WERFIN and Reviti where we have existing agreements we're looking to really grow them through the process. So the bigger agreements, which we're working on, we expect to be coming with larger upfront payments and larger milestone payments.

Cameron Reynolds: The, the bigger agreements which we expect to be coming with larger upfront payments and larger milestone payments. The first ones were kind of working through those early projects, working through with Revvity, the launch in Europe. Working with Hologic, so they can sell our range of Discover products. The revenue from Discover, as you can probably tell, has gone extremely well and is growing strongly. We don't break out what comes from them, but it's going strongly as a group. Werfen, they're working through APS now, and there was that initial payment. They're all kind of starter agreements. We're working to get bigger agreements with them and working on a very wide range of big agreements with the other companies.

Speaker #4: But the first ones were kind of working through those early projects working through with Reviti, the launch in Europe, working with Hologic so they can sell our range of Discover products.

Speaker #4: And the revenue from Discover, as you can probably tell, has gone extremely well and is growing strongly. We don't break out what comes from them, but it's going strongly as a group.

Speaker #4: And WERFIN, they're working through APS now. And it was that initial payment. So they're both they're all kind of starter agreements. We're working to get big agreements with them and working on a very wide range of big agreements with the other companies.

Speaker #4: And we'll update the other ones and the upgrades as they come through.

Cameron Reynolds: We'll update the other ones and the upgrades as they come through.

Speaker #6: Great. Thank you, guys.

David Brown: Great. Thank you, guys.

[Analyst] (H.C. Wainwright): Great. Thank you, guys.

Speaker #4: Thank you. Take care.

Cameron Reynolds: Thank you. Take care.

Speaker #1: Thank you. Our next question comes from the line of Steven Ralston with ZAX. Please proceed with your question.

Operator: Thank you. Our next question comes from the line of Steven Ralston with Zacks. Please proceed with your question.

Speaker #7: Good morning. Or good afternoon for you. My first question concerns the progress of the prospective clinical study at the hospitality de Lyon. They placed their first commercial order for their internal validation process.

Steven Ralston: Good morning, or good afternoon for you. My first question concerns the progress of the prospective clinical study at the Hospices Civils de Lyon. They placed their first commercial order for their internal validation process. How is that process going? Does Volition need to wait for the reimbursement dossier to be completed for an additional order, or is there a possibility it could be an order through I understand there's funding through the MERRI G03 allocation process.

Speaker #7: How is that process going? And does Volition need to wait for the reimbursement dossier to be completed for an additional order, or is there a possibility it could be an order through—I understand there's funding through the Mary G.

Speaker #7: Zero Three allocation process?

Speaker #8: Okay. Well, Steven, I've not heard of the Mary G., but we can come back to that. So there's a couple of things that are still going on with the Lyon team.

Louise Batchelor: Okay. Well, Steven, I've not heard of the MERRI G03, but we can come back to that. There's a couple of things that are still going on with the Lyon team. Firstly, from a clinical study point of view, they have a final clinical validation study that is called ULYSSES MAP, and that is ongoing. The recruitment has been completed, and that study now it just plays out because it's a longitudinal study. We hope to report that study later this year at ESMO 2026. That's the clinical study. In terms of the certification of the product for use at the hospital, that has been completed. That work has been completed, so there's no issues there.

Speaker #8: So firstly, from a clinical study point of view, they have a final clinical validation study that is called Ulysses MAP. And that is ongoing.

Speaker #8: The recruitment has been completed. And that study now is just plays out because it's a longitudinal study. We hope to report that study later this year at ESMO 2026.

Speaker #8: So that's the clinical study. In terms of the certification of the product for use at the hospital, that has been completed. So that work has been completed.

Speaker #8: So there's no issues there. In terms of the reimbursement, then from a reimbursement perspective, we have compiled and sent into the relevant authorities a clinical compendium for their review.

Louise Batchelor: In terms of the reimbursement, from a reimbursement perspective, we have compiled and sent into the relevant authorities, a clinical compendium for their review so that we've requested a pre-submission meeting. We're now just awaiting with the team at Lyon and indeed a couple of other hospitals in France that are supporting us at the pre-sub meeting for reimbursement. A lot of work going on in the background, but we're kind of on track, I would say, at the moment for Nu.Q Lung Cancer.

Speaker #8: So that we've requested a pre-submission meeting. So we're now just awaiting with the team at Lyon and indeed a couple of other hospitals in France that are supporting us the pre-sub meeting for reimbursement.

Speaker #8: So a lot of work going on in the background, but we're kind of on track, I would say, at the moment for new Q lung cancer.

Speaker #7: Thank you. Could you talk about the documentation that's being used to support the new Q test in the new in vitro diagnostic requirements for the CE mark?

Steven Ralston: Thank you. Could you talk about the documentation that's being used to support the Nu.Q test in the new in vitro diagnostic requirements for the CE mark?

Speaker #8: So I don't have a lot of detail on that to hand, but just suffice to say that there is a team. They've worked on the IVDR submission.

Louise Batchelor: I don't have a lot of detail on that to hand, but just suffice to say that there is a team, they've worked on the IVDR submission.

Speaker #8: All of the documentation that's gone alongside that. We haven't yet published some of that information. That's going to be used to support the IVDR application, because I myself had scientific today.

Louise Batchelor: -all of the documentation that's gone alongside that. We haven't yet published some of that information that's going to be used to support the IVDR application because I myself have sight of it today. The submission for IVDR status is ahead of schedule in terms of our IVDR application, and we'll update you later in the year as that progresses.

Speaker #8: But the submission for IVDR status is ahead of schedule. In terms of our IVDR application. And we'll update you later in the year as that progresses.

Speaker #7: And that's something which is obviously going to be very important for us, Steven, moving from IVD to IVDR. As we've talked about, there's like a dozen hospital networks now reviewing it for more than 20 different uses.

Cameron Reynolds: That's something which is obviously gonna be very important for us, Steven. Moving from IVD to IVDR, as we've talked about, there's like a dozen hospital networks now reviewing it for more than 20 different uses. Beyond those very big ones that we've mentioned many times, traumas, sepsis, HS, APS, they're working on a very wide range of different uses. Having that regulated product move from IVDD to IVDR is a very big point for us. As Louise said, we're very happy with how it's going and everything is ahead of schedule. Expect to see a lot more on that this year as well.

Speaker #7: Beyond those very big ones that we've mentioned many times, trauma, sepsis, HS, APS, they're working on a very wide range of different uses. So having that regulated product move from IVDD to IVDR is a very big point for us.

Speaker #7: And as Lou said, we're very happy with how it's going. And if anything gets ahead of schedule. So expect to see a lot more on that this year as well.

Speaker #7: And lastly, I see the number of potential licensees, the discussions with them, has gone up from 10 to 12 according to your latest press release.

Steven Ralston: Lastly, I see the number of potential licensees, the discussions with them, has gone up from 10 to 12 according to your latest press release. Could you talk about in general the pathway that leads these companies to initiate discussions with Volition? Is it the clinical papers, or is it the symposiums, or the conferences that you attend with your posters and presentations, or are there some other avenues, or is it just a mixed bag?

Speaker #7: Could you talk about, in general, the pathway that leads these companies to initiate discussions with Volition? Is it the clinical papers, or is it the symposiums or conferences that you attend with your posters and presentations?

Speaker #7: Or are there some other avenues, or is it just a mixed bag?

Speaker #4: It's interesting. Yeah, it's a mixed bag. Some are inbound requests. Obviously, let's just talk about the capture paper, for example. It's been downloaded 2,700 times now.

Cameron Reynolds: It's interesting. Yeah, it's a mixed bag. Some are inbound re-requests. Obviously, let's just talk about the Capture paper, for example. You know, it's been downloaded 2,700 times now. We've had some inbound interests. We've been in discussions with pretty much everyone for a while now on different things. They've often got back to us now they've seen the new data that's come through. On the Nu.Q NETs side, as we've come through with things like the Mayo Clinic paper, we've had a lot of discussions progressing, obviously, contact them with such a great institute, having such great data in such a key area. We've had some very high-level, very active discussions for a while and as the negotiation's going on.

Speaker #4: So we've had some inbound interest. We've been in discussions with pretty much everyone for a while now on different things. So they've often got back to us when now they've seen the new data that's come through.

Speaker #4: On the new Q net side, as we've come through with things like the Mayo paper, we've had a lot of discussions progressing. Obviously, contact with them, with such a great institute having such great data in such a key area.

Speaker #4: We've had some very high-level, very active discussions for a while. And as I said, negotiations are going on. So it's a mixture of people we know from being around a long time, who we've worked with.

Cameron Reynolds: It's a mixture of people we know from, you know, been around a long time, who we've worked with, partners which have followed us in the space. Some have come through key opinion leaders, like in Evangelos' case in the HS field. Some inbound, some outbound, some long-term relationships. Actually it's 12, but there's actually a bunch more that have kind of semi-active that we've been working through that have become active. Yeah, we're very happy there's been a pickup in all of that. I think also, I mean, the cat paper is getting close to. We're moving through the review process. Some vet people we've spoken to have contacted us again because of that.

Speaker #4: Partners which have followed us in the space—some have come through key opinion leaders, like in Evangelist's case in the HS field. So, some inbound, some outbound, some long-term relationships.

Speaker #4: Actually, it's 12, but there's actually a bunch more that have kind of semi-active—that we've been working through—that have become active. So, yeah, we're very happy there's been a pickup in all of that.

Speaker #4: And I think also I mean, the CAT papers getting close to we're moving through the review process. So some vet people we've spoken to have contacted us again because of that.

Speaker #4: Sometimes, and beyond the human space, back into the vet space, obviously some of our groups we're currently working with become interested in something new.

Cameron Reynolds: Sometimes and beyond the human space, back into the vet space, obviously some of our groups we're currently working with become interested in something new. They ask, you know, Can Capture work in cats or dogs? We get renewed interest like that kind of thing as well. A bit of everything. All the things you said, we've got interest. I think it's actually, if you add up all the big players, it's pretty much everyone is interested at some level, in liquid biopsy companies and, large diagnostic companies and all the vet companies. We're getting a lot of interest. We know now our job is not to get interest, but close deals. We're working on that very hard.

Speaker #4: So they ask, "Can capture work in CATs or dogs?" So we get renewed interest like that kind of thing as well. So a bit of everything.

Speaker #4: All the things you said, we've got interest. I think it's actually if you add up all the big players, it's pretty much everyone is interested at some level.

Speaker #4: In liquid biopsy companies and large diagnostic companies and all the vet companies. So we're getting a lot of interest. We know now our job is not to get interest, but close deals.

Speaker #4: So we're working on that very hard. But I'd have to say there's a big wave of interest coming as the publications get close. And for example, capture the paper is also working through the system.

Cameron Reynolds: I'd have to say there's a big wave of interest coming as the publications get close. For example, Capture paper is also working through the system, so that could be something which is out as well, and that's another reason to reinvigorate discussions when you actually have a published paper. Yeah, we're happy with how it's going, and we'll have a lot more to talk about this year, we think.

Speaker #4: So that could be something which is out as well. And that's another reason to reinvigorate discussions when you actually have a published paper. So yeah, we're happy with how it's going.

Speaker #4: And we'll have a lot more to talk about this year, we think.

Speaker #7: Thank you for taking my questions.

Steven Ralston: Thank you for taking my questions.

Speaker #4: Thank you, Steven.

Cameron Reynolds: Thank you, Steven.

Speaker #1: Thank you. Our next question comes from the line of Ilya Zubkov with Freedom Broker. Please proceed with your question.

Operator: Thank you. Our next question comes from the line of Ilya Zukov with Freedom Broker. Please proceed with your question.

Operator: Thank you. Our next question comes from the line of Ilya Zubkov with Freedom Broker. Please proceed with your question.

Speaker #7: Yeah. Good afternoon. Thank you for taking my question. I have a question related to the launch of the RNQ web shop. Could you provide more detail on your plans for developing this online channel going forward and how should we think about the revenue contribution of this channel?

Ilya Zukov: Hey, good afternoon. Thank you for taking my question.

Ilya Zubkov: Hey, good afternoon. Thank you for taking my question.

Cameron Reynolds: Thank you.

Ilya Zukov: I have a question related to the launch of the rNuQ web shop. Could you provide more detail on your plans for developing this online channel going forward? How should we think about the revenue contribution of this channel?

Ilya Zubkov: I have a question related to the launch of the rNuQ web shop. Could you provide more detail on your plans for developing this online channel going forward? How should we think about the revenue contribution of this channel?

Speaker #4: Yeah, good question. So obviously, I think there’s no doubt now—we have a remarkable platform that’s robust, reproducible, reliable. We have a lot of intellectual property.

Cameron Reynolds: Yeah, good question. Obviously, we have, I think there's no doubt now we have a remarkable platform that's robust, reproducible, and reliable. We have a lot of intellectual property, so that's all fascinating, but people want to see money. How does that make revenue? Obviously we spend a lot of time thinking beyond Nu.Q Discover, which is growing very well, and Nu.Q Vet, which is also growing, and all the licensing deals. How can we make money with what we have? We've become the experts at chromatin fragments and what we do. To get those chromatin fragments on an ELISA, you need a control. As you know, we've been making recombinant nucleosomes for a long period of time, and we're working also on nucleosomes for sequencing. We've become very, very good at making them.

Speaker #4: So that's all fascinating, but people want to see money. So how does that make revenue? So obviously, we spend a lot of time thinking beyond UQ Discover, which is growing very well in vet.

Speaker #4: Which is also growing. And all the licensing deals. How can we make money with what we have? We've become the experts at chromatin fragments and what we do to get those chromatin fragments on an ELISA?

Speaker #4: You need a control. As you know, we've been making recombinant nucleosomes for a long period of time. And we're working also on nucleosomes for sequencing.

Speaker #4: So, we've become very, very good at making them. So we do—actually, it's like a lot of things—it's usually worth making quite a large amount of them in one batch.

Cameron Reynolds: We do actually. It's like a lot of things. It's usually worth making five, quite a large amount of them in one batch, beyond what we need them for. We've had some inbound interest in the past for groups that need recombinant things for a whole lot of uses. They're useful in a very wide range. Like in Discover, we have 100 clients. People have said, you know, we are making extremely good recombinant nucleosomes now. We've did a bit of a market analysis, and it's potentially quite a big market. We thought, let's make it available and easy for people who want to order to order it. On the revenue side, I guess Terry can say. Short answer is, we're not sure exactly how much the take-up's going to be.

Speaker #4: But so beyond what we need them for. So we've had some inbound interest in the past for groups that need recombinant things for a whole lot of uses.

Speaker #4: They're useful in a very wide range of like in Discover, we have 100 clients, people have said, "Oh, we are making extremely good recombinant nucleosomes now." So we did a bit of a market analysis.

Speaker #4: And it's potentially quite a big market. So we thought, 'Let's make it available and easy for people who want to order it.' On the revenue side, I guess Terig can say the short answer is we're not sure exactly how much the take-up is going to be.

Speaker #4: They're extremely useful to us. And I think potentially extremely useful to other groups. So in the interest of getting all the revenue can wherever we can, we thought it was worth setting up at the cost obviously was quite low on setting up a recombinant shop.

Cameron Reynolds: They're extremely useful to us and I think potentially extremely useful to other groups. In the interest of getting all the revenue we can, wherever we can, we thought it was worth setting up. The cost obviously was quite low when setting up a recombinant shop, and we'll be adding other things to it as well as we see how these go. We make a lot of different recombinant nucleosomes for our own research and processes, and I said, what we call Mustangs, which are recombinants for sequencing as well, which potentially a really big market.

Speaker #4: And we'll be adding other things to it as well as we see how these go. We make a lot of different recombinant nucleosomes for our own research and processes.

Speaker #4: And I said, what we call Mustangs, which are recombinants for sequencing as well, which is potentially a really big market. So we'll see how it goes in the next few months.

Cameron Reynolds: We'll see how it goes in the next few months. I think there will be an interest, but we're not releasing projections now. Honestly, we're not exactly sure what the take-up's gonna be, but we're hopeful because it is very useful, and it wasn't a lot of effort to make it out of the process. In the interest of making as much chance of revenue as possible, we put it on the market, so we can update you over the coming quarters.

Speaker #4: And I think there will be an interest, but we're not releasing projections now. And quite honestly, we're not exactly sure what the takeup is going to be.

Speaker #4: But we're hopeful because it is very useful. And it wasn't a lot of effort to make it out of the process. So, in the interest of making as much chance of revenue as possible, we put it on the market.

Speaker #4: So we can update you over the coming quarters.

Ilya Zukov: Mm-hmm. All right. Got it. Thank you very much.

Ilya Zubkov: Mm-hmm. All right. Got it. Thank you very much.

Speaker #7: All right. Thank you very much.

Speaker #4: Thank you.

Cameron Reynolds: Thank you.

Speaker #1: Thank you. Our next question comes from the line of Bruce Jackson with StoneX. Please proceed with your question.

Operator: Thank you. Our next question comes from the line of Bruce Jackson with StoneX. Please proceed with your question.

Speaker #8: Hi. Good morning. A couple of questions on the vet space. So with the feline milestone that goes to deferred revenue, correct? And have you received the $5 million payment yet?

Bruce Jackson: Hi. Good morning. A couple of questions on the vet space. With the feline milestone, that goes to deferred revenue, correct? Have you received the $5 million payment yet?

Speaker #4: Terig, you're right, Bruce. That goes that will when we receive it go to deferred revenue. We haven't received it yet. What we have done is we've submitted the paper, which is part of the milestone.

Cameron Reynolds: Terry?

Terig Hughes: You're right, Bruce. That goes, that will, when we receive it, go to deferred revenue. We haven't received it yet. What we have done is we've submitted the paper, which is part of the milestone. When that paper gets published, that's the completion from our end, at least of our milestone deliverables. After that, it would be a matter of time before we collect that milestone payment. You're right, when we initially collect it would go to deferred revenue.

Speaker #4: And when that paper gets published, that's the completion from our end at least of the of our milestone deliverables. And so after that, it would be a matter of time before we collect that milestone payment.

Speaker #4: But you're right. When we initially collect it, it would go to deferred revenue.

Speaker #8: Okay. And then a question about the product revenue for the quarter. What portion of that was from the vet business?

Bruce Jackson: Okay. A question about the product revenue.

Terig Hughes: Yeah.

Bruce Jackson: for the quarter. What, what portion of that was from the vet business?

Speaker #4: We don't split out the individual pillars. At this point, but what I can say is that we've continued to make progress in the product revenue sales.

Terig Hughes: We don't split out the individual pillars at this point. What I can say is that, you know, we've continued to make progress in the product revenue sales. We did see underlying growth there. As I mentioned in the earnings call itself, the big bump did come from deferred revenue, which we recognized $0.7 million of, and that was a result of us reviewing, in line with our accounting policies, the revenue recognition and deciding that we recognize that a bit faster.

Speaker #4: So we did see underlying growth there. As I mentioned in the earnings call itself, the big bump did come from deferred revenue, which we recognized 0.7 million dollars.

Speaker #4: And that was a result of us reviewing in line with our accounting policies the revenue recognition and deciding that we recognize that a bit faster.

Speaker #8: And then with that, is that kind of the rate going forward, or is that kind of like a catch-up type of recognition?

Bruce Jackson: With that, is that kind of the rate going forward, or was that kind of like a catch-up type of recognition?

Speaker #4: Yeah. So it's partly a catch-up. But the rate going forward will be a bit faster as well.

Terig Hughes: Yeah. It's partly a catch up and the rate going forward will be a bit faster as well.

Speaker #8: Okay. That's it for me. Thank you.

Bruce Jackson: Okay. That's it for me. Thank you.

Speaker #4: Thank you.

Cameron Reynolds: Thank you.

Speaker #1: Thank you. And we have reached the end of the question and answer session. I would like to turn the floor back to Cameron Reynolds for closing remarks.

Operator: Thank you. We have reached the end of the question and answer session. I would like to turn the floor back to Cameron Reynolds for closing remarks.

Speaker #4: So thank you all for coming on the call today. I hope it was a good review. And just to reiterate, we are working very hard on the commercialization side.

Cameron Reynolds: Thank you all for coming on the call today. I hope it was a good review. Just to reiterate, we are working very hard on the commercialization side. We're in a lot of discussions, and we hope to have a lot of news on that throughout the year, as well as on all the product developments and particularly in the Capture and the NETs space. Thank you very much for all your interest, and we look forward to catching up with you next quarter. Thanks for your time.

Speaker #4: We're in a lot of discussions. And we hope to have a lot of news on that throughout the year. As well as on all the product developments and particularly in the capture and the net space.

Speaker #4: So thank you very much for all your interest. And we look forward to catching up with you next quarter. Thanks for your time.

Operator: Thank you. This concludes today's conference, and you may disconnect your line at this time. We thank you for your participation.