Q1 2026 Evogene Ltd Earnings Call

May 20, 2026

Speaker #1: Welcome to Evogene's first quarter 2026 results conference call. All participants are at present in listen-only mode. Following management's formal presentation, we will open the question-and-answer session.

Operator: Welcome to Evogene's Q1 2026 Results Conference Call. All participants are at present in listen-only mode. Following management's formal presentation, we will open the question-and-answer session. You may send questions via chat. Please type your name and company before your question. As a reminder, this conference is being recorded 20 May 2026. Before we begin, I would like to caution that certain statements made during this earnings conference call by Evogene's management will constitute forward-looking statements that relate to future events. This presentation contains forward-looking statements relating to future events. Evogene Ltd., the company, may from time to time make other statements regarding our outlook or expectation for future financial or operating results and/or other matters regarding or affecting us that are considered forward-looking statements as defined in the US Private Securities Litigation Reform Act of 1995, the PSLRA, and other securities laws as amended.

Operator: Welcome to Evogene Q1 2026 Results Conference Call. All participants are at present in listen-only mode. Following management's formal presentation, we will open the question-and-answer session. You may send questions via chat. Please type your name and company before your question. As a reminder, this conference is being recorded 20 May 2026. Before we begin, I would like to caution that certain statements made during this earnings conference call by Evogene's management will constitute forward-looking statements that relate to future events. This presentation contains forward-looking statements relating to future events. Evogene Ltd., the company, may from time to time make other statements regarding our outlook or expectation for future financial or operating results and/or other matters regarding or affecting us that are considered forward-looking statements as defined in the US Private Securities Litigation Reform Act of 1995, the PSLRA, and other securities laws as amended.

Speaker #1: You may send questions via chat. Please type your name and company before your question. As a reminder, this conference is being recorded. May 20, 2026.

Speaker #1: Before we begin, I would like to caution that certain statements made during this earning conference call by Evogene's management will constitute forward-looking statements that relate to future events.

Speaker #1: This presentation contains forward-looking statements relating to future events and Evogene Ltd., the company, may from time to time make other statements regarding our outlook or expectations for future financial or operating results and/or other matters regarding or affecting us that are considered forward-looking statements, as defined in the US Private Securities Litigation Reform Act of 1995, the PSLRA, and other securities laws as amended.

Speaker #1: Statements that are not statements of historical facts may be deemed to be forward-looking statements may be identified by the use of such words as "belief," "expect," "anticipate," "should," "planned," "estimated," " "intend," and "potential," or words of similar meaning.

Operator: Statements that are not statements of historical fact may be deemed to be forward-looking statements. Such forward-looking statements may be identified by the use of such words as believe, expect, anticipate, should, plan, estimated, intend, and potential, or words of similar meaning. We are using forward-looking statements in this presentation when we discuss our value drivers, commercialization effort and timing, product development and launches, estimated market size and milestones, pipeline, as well as our capabilities and technology. Such statements are based on current expectations, estimates, projections, and assumptions, describe opinions about future events, involve certain risks and uncertainties which are difficult to predict and are not guarantees of future performance. Readers are cautioned that certain important factors may affect the company's actual results and could cause such results to differ materially from any forward-looking statement that may be made in this presentation.

Speaker #1: We are using forward-looking statements in this presentation when we discuss our value drivers: commercialization effort and timing, product development and launches, estimated market size and milestones, pipeline, as well as our capabilities and technology.

Speaker #1: Such statements are based on current expectations, estimates, projections, and assumptions describe opinions about future events involve certain risk and uncertainty, which are difficult to predict and are not guarantees of future performance.

Speaker #1: Readers are cautioned that certain important factors may affect the company's actual results and could cause such results to differ materially from any forward-looking statement that may be made in this presentation.

Speaker #1: Therefore, actual future events' performance or achievements and trends in the future may differ materially from what is expressed or implied by such forward-looking statements, due to a variety of factors, many of which are beyond our control.

Operator: Therefore, actual future events, performance or achievements and trends in the future may differ materially from what is expressed or implied by such forward-looking statements due to a variety of factors, many of which are beyond our control, including, without limitation, the aftermath of the recent war between Israel and each of the terrorist groups, Hamas and Hezbollah, Iran and other regional terrorist groups supported by Iran, and any destabilizations in Israel, neighboring territories, or the Middle East region, and those described in greater detail in Evogene's annual report on Form 20-F and in other information Evogene files and furnish with the Israel Securities Authority and the US Securities and Exchange Commission, including those factors under the heading Risk Factors.

Speaker #1: Including, without limitation, the aftermath of the recent war between Israel and each of the terrorist groups Hamas and Hezbollah, Iran, and other regional terrorist groups supported by Iran, and any destabilizations in Israel’s neighboring territories of the Middle East region, and those described in greater detail in Evogene's annual report on Form 20-F and in other information Evogene files and furnishes with the Israel Securities Authorities and the U.S. Securities and Exchange Commission, including those factors under the heading risk factors.

Speaker #1: Except as required by the applicable security laws, we disclaim any obligation or commitment to update any information contained in this presentation or to publicly release the results of any revisions to any statement that may be made to reflect future events or developments or changes in expectations, estimates, projections, and assumptions.

Operator: Except as required by applicable securities laws, we disclaim any obligation or commitment to update any information contained in this presentation or to publicly release the results of any revisions to any statement that may be made to reflect future events or developments, or changes in expectations, estimates, projections, and assumptions. The information contained herein does not constitute a prospectus or other offering document, nor does it constitute or form part of any invitation or offer to sell, or any solicitation of any invitation or offer to purchase or subscribe for any securities of Evogene or the company. Nor shall the information or any part of it, or the fact of its distribution, form the basis of, or be relied on in connection with any action, contract, commitment, or relating thereto, or the securities of Evogene or the company.

Speaker #1: The information contained herein does not constitute a prospectus or other offering document, nor does it constitute or form part of any invitation or offer to sell or any solicitation of any invitation or offer to purchase or subscribe for any securities of Evogene or the company.

Speaker #1: Nor shall the information or any part of it, or the fact of its distribution, from the basis of or be relied on in connection with any action, contract, commitment, or relating thereto, or the securities of Evogene or the company.

Speaker #1: The trademarks include herein are the property of the owners thereof and are used for reference purposes only. Such use should not be construed as an endorsement of our product or services.

Operator: The trademarks included herein are the property of the owners thereof and are used for reference purposes only. Such use should not be construed as an endorsement of our product or services. With us on the line will be Ofer Haviv, President and CEO of Evogene, and Polina Ravzin, VP Finance of Evogene. Now I would like to turn the call over to Ofer Haviv. Mr. Haviv, please go ahead.

Speaker #1: With us on the line will be Offer Haviv, President and CEO of Evogene, and Polina Rabzin, VP Finance of Evogene. Now I would like to turn the call over to Offer Haviv.

Speaker #1: Mr. Haviv, please go ahead.

Speaker #2: Thank you for joining Evogene's first quarter 2026 analyst call. In today's call, I will focus on the significant progress Evogene has made over the past quarter, and outline the company's key objectives for this year.

Ofer Haviv: Thank you for joining Evogene's Q1 2026 analyst call. In today's call, I will focus on the significant progress Evogene has made over the past quarter and outline the company's key objectives for this year. Joining me for this part of the presentation are Dr. Gabi Tarcic, the company's Chief Development Officer, and Dr. Dan Gelvan, CEO of our subsidiary AgPlenus, which focus on ag chemical development. Following our remarks, our Vice President of Finance, Polina Ravzin, will present the financial results. We will open the call for questions. As I stated in our previous call, Evogene's mission is clear and focused: to design novel, highly potent small molecules optimized across multiple parameters for drug development and ag chemicals by leveraging ChemPass AI, our computational generative AI engine. This mission is guided by a strong objective to direct Evogene's resources towards areas where we believe we can create the greatest substantial value.

Speaker #2: Joining me for this part of the presentation are Dr. Gabi Tausik, the company's Chief Development Officer, and Dr. Dan Gelvan, CEO of our subsidiary Act Planus, which focuses on ag-chemical development.

Speaker #2: Following our remarks, our VP Finance, Polina Rabzin, will present the financial results. Then we will open the call for questions. As I stated in our previous call, Evogene's mission is clear and focused.

Speaker #2: To design novel, highly potent small molecules optimized across multiple parameters for drug development and ag-chemicals, we are leveraging Campus AI, our computational generative AI engine.

Ofer Haviv: As I stated in our previous call, Evogene's mission is clear and focused: to design novel, highly potent small molecules optimized across multiple parameters for drug development and ag chemicals by leveraging ChemPass AI, our computational generative AI engine. This mission is guided by a strong objective to direct Evogene's resources towards areas where we believe we can create the greatest substantial value.

Speaker #2: This mission is guided by a strong objective, to direct Evogene's resources toward areas where we believe we can create the greatest substantial value. To execute this mission, we made two key strategic decisions.

Speaker #2: The first one was to focus all of our technology efforts on our proprietary computational engine, Campus AI. In this context, I would like to emphasize that we strongly believe that technological collaborations are essential for advancing our core platform.

Ofer Haviv: To execute this mission, we made two key strategic decisions. The first one was to focus all of our technology efforts on our proprietary computational engine, ChemPass AI. In this context, I would like to emphasize that we strongly believe that technological collaborations are essential for advancing our core platform. This belief was clearly demonstrated in the partnership we announced with Google in 2025. In this collaboration, we successfully developed a breakthrough generative engine capable of designing entirely new molecule structure, molecules that are not only highly novel but also easier to synthesize and better align with multiple product development requirements. The second strategic decision was to streamline our business activity to concentrate on two highly impact markets where ChemPass AI provides a strong competitive advantage. Pharma, focused on small molecule drug discovery, and agriculture, focused on next generation ag chemicals.

Speaker #2: This belief was clearly demonstrated in the partnership we announced with Google in 2025. In this collaboration, we successfully developed a breakthrough generative engine capable of designing entirely new molecules' structure, molecules that are not only highly novel but also easier to synthesize, and better align with multiple product development requirements.

Speaker #2: The second strategic decision was to streamline our business activity to concentrate on two highly impactful markets where Campus AI provides a strong competitive advantage.

Speaker #2: Pharma focused on small molecules drug discovery, and agriculture focused on next-generation ag-chemicals. To maximize the value of our technology, we adapt a clear and consistent business model across both domains, which is built on two complementary channels.

Speaker #2: The first channel is to establish strategic collaborations with industry partners for early-stage product development. Those collaborations help reduce both our scientific and financial risk, while accelerating innovation.

Ofer Haviv: To maximize the value of our technology, we adopt a clear and concise business model across both domains, which is built on two complementary channels. The first channel is establishing strategic collaborations with industry partners for early-stage product development. Those collaborations help reduce both our scientific and financial risk while accelerating innovation. The second channel is the advancement of our own internally funded product pipeline. In this channel, our goal is to mature those programs further before entering partnership, allowing us to secure stronger commercial terms with leading industry players. This slide highlights the collaboration and internal programs Evogene was advancing at the end of 2025. In agriculture, we established two strategic collaborations for herbicide development, one with Bayer and another with Corteva. At the same time, we continue advancing our internal funded program focused on novel Septoria fungicide.

Speaker #2: The second channel is the advancement of our own internally funded product pipeline, and this channel our goal is to mature those programs further before entering partnership, allowing us to secure stronger commercial terms with leading industry players.

Speaker #2: This slide highlights the collaboration and internal programs Evogene was advancing at the end of 2025. In agriculture, we established two strategic collaborations for herbicide development, one with Bayer and another with Corteva.

Speaker #2: At the same time, we continue advancing our internal funded program focused on novel septoria fungicide. It is important to note that Evogene ag-chemical activity activities began in 2018 and are carried out through our subsidiary Act Planus.

Speaker #2: In parallel, our pharmaceutical activity focused on small molecules drug discovery, whereas launched only at the beginning of 2025, as a division of Evogene. At the end of 2025, our first and only announced collaboration in this field was with Tel Aviv University targeting therapy for metabolic diseases linked to a protein aggregation in blood vessels.

Ofer Haviv: It is important to note that Evogene ag chemical activities began in 2018 and are carried out through our subsidiary, AgPlenus. In parallel, our pharmaceutical activity focus on small molecules drug discovery were launched only at the beginning of 2025 as a division of Evogene. At the end of 2025, our first and only announced collaboration in this field was with Tel Aviv University, targeting therapies for metabolic diseases linked to a protein aggregation in blood vessels. Now, I would like to present the company's achievements over the last quarter and to date across those three areas: our core technology platform, our pharma activities, and our ag chemical activities. We will begin by reviewing the achievements in the area of our core technology platform, ChemPass AI. In February this year, we announced our second collaboration with Google aimed at integrating agents into ChemPass.

Speaker #2: Now, I would like to present the company's achievements over the last quarter and to date across those three areas: our core technology platform, our pharma activities, and our ag-chemical activities.

Speaker #2: We will begin by reviewing the achievements in the area of our core technology platform, Campus AI. In February this year, we announced our second collaboration with Google, aimed at integrating agents into Campus.

Speaker #2: The collaboration is expected to enable capabilities that currently do not exist in the global small molecule discovery process. Our second collaboration with Google focused on developing advanced AI agents to solve complex scientific challenges.

Ofer Haviv: The collaboration is expected to enable capabilities that currently do not exist in the global small molecule discovery process. Our second collaboration with Google focused on developing advanced AI agents to solve complex scientific challenges. Success in this project will enable Evogene to automatically extract valuable insights from scientific publications and create proprietary data sets. These data sets will help us build highly accurate computational models for characterizing specific scientific parameters. We will use those models to support the development of new molecules designed in accordance with the requirements of our target product profiles. Overall, these new capabilities are expected to significantly strengthen Evogene's technological leadership and competitive advantage. We will now proceed to reviewing the achievement and activities in the company's pharma division, where the most significant growth occurred this year.

Speaker #2: Success in this project will enable Evogene to automatically extract valuable insights from scientific publications and create proprietary datasets. These datasets will help us build highly accurate computational models for characterizing specific scientific parameters.

Speaker #2: We will then use those models to support the development of new molecules designed in accordance with the requirement of our target product profiles. Overall, this new capabilities are expected to significantly strengthen Evogene's technological leadership and competitive advantage.

Speaker #2: We will now proceed to reviewing the achievement and division, where the most significant growth occurred this year. In the first quarter of the year, the company announced three new collaborations agreements, two with biotech companies and one with an academic institution.

Speaker #2: In the following slides, Dr. Gabi Tarsik's Evogene CDO will elaborate on each collaboration. Gabi, thank you, Offer. I'm excited to share with you the progress in the pharma division that has taken place since the beginning of the year.

Ofer Haviv: In the Q1 of the year, the company announced 3 new collaboration agreements, 2 with biotech companies and 1 with an academic institution. In the following slide, Dr. Gabi Tarcic, Evogene's CDO, will elaborate on each collaboration. Gabi?

Speaker #2: In February, we announced a new collaboration with Cystocele Bioscience and Ludwig-Maximilian University Hospital in Germany. This collaboration focuses on a novel biological target involved in neutrophil-driven hyper-inflammatory diseases.

Gabi Tarcic: Thank you, Ofer. I'm excited to share with you the progress in the pharma division that has taken place since the beginning of the year. In February, we announced a new collaboration with Systasy Bioscience and Ludwig Maximilian University Hospital in Germany. This collaboration focuses on a novel biological target involved in neutrophil-driven hyperinflammatory diseases such as inflammatory bowel disease, IBD, an area of significant unmet medical need. The collaboration, supported by the prestigious Eureka Grant, brings together three complementary capabilities. Evogene's ChemPass AI engine, Systasy's proprietary pathway profiler technology for high-content functional validation in patient-specific models, and the clinical expertise of Ludwig Maximilian University Hospital. By integrating AI-driven molecular design, advanced functional biology, and clinical insights from the earliest stages, we aim to accelerate the identification of high-quality drug candidates while building strong long-term therapeutic and commercial value.

Speaker #2: Such as inflammatory bowel disease, IBD, an area of significant unmet medical need. The collaboration supported by the prestigious Eureka grant brings together three complementary capabilities.

Speaker #2: Evogene's Campus AI engine, Cystocele's proprietary pathway profiler technology for high-content functional validation in patient-specific models, and the clinical expertise of Ludwig-Maximilian University Hospital. By integrating AI-driven molecular design, advanced functional biology, and clinical insights from the earliest stages, we aim to accelerate the identification of high-quality drug candidates, while building strong long-term therapeutic and commercial value.

Speaker #2: In January this year, we announced a collaboration with Unravel Biosciences that focuses on a newly discovered target for demyelinating disorders, such as multiple sclerosis.

Speaker #2: To develop brain-penetrant therapies capable of restoring myelin and improving neurological function. Here, by combining Evogene's Campus AI drug design engine with Unravel's patient-derived molecular profiling capabilities, we are accelerating the identification of drug candidates and addressing a major unmet medical need in a neurodegenerative market exceeding $26 billion.

Gabi Tarcic: In January this year, we announced a collaboration with Unravel Biosciences that focuses on a newly discovered target for demyelinating disorders, such as multiple sclerosis, to develop brain-penetrant therapies capable of restoring myelin and improving neurological function. Here, by combining Evogene's ChemPass AI drug design engine with Unravel's patient-derived molecular profiling capabilities, we are accelerating the identification of drug candidates and addressing a major unmet medical need in a neurodegenerative market exceeding $26 billion, thereby creating significant long-term partnering and commercial opportunities. This collaboration exemplifies the strategic partnerships we are pursuing by bringing together deep biological insight and Evogene's advanced computational chemistry platform to create differentiated first-in-class therapeutic opportunities with strong pharmaceutical licensing potential. In mid-February, we announced an additional collaboration that focuses on addressing chemotherapy resistance, one of the major challenges that limits the effectiveness of current cancer treatments.

Speaker #2: Thereby creating significant long-term partnering and commercial opportunities. This collaboration exemplifies the strategic partnerships we are pursuing by bringing together deep biological insight and Evogene's advanced computational chemistry platform to create differentiated, first-in-class therapeutic opportunities with strong pharmaceutical licensing potential.

Speaker #2: In mid-February, we announced an additional collaboration that focuses on addressing chemotherapy resistance, one of the major challenges that limits the effectiveness of current cancer treatments.

Speaker #2: In collaboration with Dr. Mark Adams, and the Queensland University of Technology in Australia. Together, we are targeting a newly identified cellular detoxification pathway that enables tumors to resist cancer therapy.

Speaker #2: The collaboration integrates Evogene's Campus AI generative molecular design engine with advanced cancer genomic expertise to develop novel small molecule inhibitors designed to restore treatment sensitivity.

Gabi Tarcic: In collaboration with Dr. Mark Adams and the Queensland University of Technology in Australia. Together, we are targeting a newly identified cellular detoxification pathway that enables tumors to resist cancer therapy. The collaboration integrates Evogene's ChemPass AI generative molecular design engine with advanced cancer genomic expertise to develop novel small molecule inhibitors designed to restore treatment sensitivity. By addressing a key resistance mechanism across multiple cancer types, including non-small cell lung cancer, this program has the potential to generate differentiated oncology candidates with strong clinical and commercial value. I am very proud to present, for the first time, the small molecule pipelines of Evogene's pharma division, a growing and highly promising portfolio that reflects the strengths of our technology, innovation, and strategic collaborations.

Speaker #2: By addressing a key resistance mechanism across multiple cancer types, including non-small cell lung cancer, this program has the potential to generate differentiated oncology candidates with strong clinical and commercial value.

Speaker #2: I am very proud to present, for the first time, the small molecule pipelines of Evogene's pharma division. A growing and highly promising portfolio that reflects the strengths of our technology innovation and strategic collaborations.

Speaker #2: We are encouraged by the advancement of the molecules generated in collaboration with our partners, and we look forward to seeing these programs progress rapidly into more advanced preclinical and clinical stages.

Speaker #2: At the same time, we expect additional high-potential projects to join this exciting pipeline. Further expanding the opportunities ahead of us. Looking ahead, I am excited to continue sharing updates on meaningful progress we are making across this program.

Gabi Tarcic: We are encouraged by the advancement of the molecules generated in collaboration with our partners, and we look forward to seeing these programs progress rapidly into more advanced preclinical and clinical stages. At the same time, we expect additional high-potential projects to join this exciting pipeline, further expanding the opportunities ahead of us. Looking ahead, I am excited to continue sharing updates on meaningful progress we are making across these programs. With that, I would like to conclude my remarks and hand over the call back to Ofer.

Speaker #2: With that, I would like to conclude my remarks and hand over the call back to Offer.

Speaker #1: Thank you, Gabi. We'll conclude the update on the corporate core business activities with the status in the field of Abb Chemical development. Operation in this field are conducted through our subsidiary Act Plans.

Speaker #1: I will ask Dr. Dan Galvan Act Plans' CEO to elaborate on the company's activities.

Ofer Haviv: Thank you, Gabi. We'll conclude the update on the corporate core business activities with the status in the field of ag chemical development. Operations in this field are conducted through our subsidiary, AgPlenus. I will ask Dr. Dan Gelvan, AgPlenus' CEO, to elaborate on the company's activities.

Speaker #2: Thank you, Ofer. I'm pleased to provide an update on the status of Ag Plenus' activities since the beginning of 2026. The main progress has been in our internal project aimed at developing a fungicide for Septoria, and I will elaborate on this topic in the coming two slides.

Speaker #2: But first, I would like to focus on an update regarding our collaboration with Bayer. While Act Plans' collaboration with Bayer has yielded significant novel active compounds, thereby thoroughly validating our ability to optimize active molecules, it has now become evident that these candidates cannot be further developed due to issues pertaining to the biology of the target protein.

Dan Gelvan: Thank you, Ofer. I'm pleased to provide an update on the status of AgPlenus' activities since the beginning of 2026. The main progress has been in our internal project aimed at developing a fungicide for Septoria, and I will elaborate on this topic on the coming two slides. First, I would like to focus on an update regarding our collaboration with Bayer. While AgPlenus' collaboration with Bayer has yielded significant novel active compounds, thereby thoroughly validating our ability to optimize active molecules, it has now become evident that these candidates cannot be further developed due to issues pertaining to the biology of the target protein. As a result of this inherent target problem, we have amicably, together with Bayer, decided to terminate our research collaboration agreements.

Speaker #2: As a result of this inherent target problem, we have amicably, together with Bayer, decided to terminate our research collaboration agreements. Based on the strong professional relationship established during this collaboration, we are now exploring potential opportunities for future collaborations that would leverage Act Plans' computational chemistry capabilities discovery platforms and molecule optimization expertise as demonstrated throughout this collaboration.

Speaker #2: I will be happy to update on the outcomes of these discussions in future updates. Within our internal development pipeline, we are making good progress in developing a new fungicide for wheat blotch as a disease caused by Xymoseptoria tritici.

Dan Gelvan: Based on the strong professional relationship established during this collaboration, we are now exploring potential opportunities for future collaborations that would leverage AgPlenus' computational chemistry capabilities, discovery platforms, and molecule optimization expertise as demonstrated throughout this collaboration. I will be happy to update on the outcomes of these discussions in future updates. Within our internal development pipeline, we are making good progress in developing a new fungicide for wheat blotch as a disease caused by Zymoseptoria tritici. We are working to address a major problem representing an annual market value of over $1.2 billion. Approximately 70% of fungicides applied to wheat in Europe are aimed at fighting wheat blotch. Concurrently, many existing products, such as strobilurins, are experiencing diminished efficacy as the disease develops resistance. This underscores the critical need for a new and effective solution.

Speaker #2: We are working to address a major problem representing an annual market value of over 1.2 billion dollars. Approximately 70% of fungicides applied to wheat in Europe are aimed at fighting wheat blotch.

Speaker #2: Concurrently, many existing products such as Strobilurance are experiencing diminished efficacy as the disease develops resistance. This underscores the critical need for a new and effective solution.

Speaker #2: Our initial assessment was not promising, as no structural data was available for the target protein—a common challenge in chemistry research aimed at overcoming resistance.

Speaker #2: We used homology modeling and structure-based pharmacophore development to characterize the active site. Utilizing point hits, the initial phase of molecule screening employing CAMPASH AI, 440 candidates were selected for testing.

Dan Gelvan: Our initial assessment was not promising, as no structural data was available for the target protein, a common challenge in ag chemistry research aimed at overcoming resistance. We used homology modeling and structure-based pharmacophore development to characterize the active sites. Utilizing PointHit, the initial phase of molecule screening employing ChemPass AI, 440 candidates were selected for testing. Of these, only 11 met the enzymatic inhibition thresholds, and only 2 demonstrated antifungal activity. From these 2 in vitro and in vivo validated compounds, and incorporating the negative results, utilizing ActiveSearch, the subsequent phase of molecule screening that leveraged the data generated in the preceding stage, we selected 164 off-the-shelf molecules for purchase. Subsequently, 38 of these showed enzymatic inhibition, and 5 demonstrated antifungal activity, demonstrating a clear improvement over the initial screen.

Speaker #2: Of these, only 11 met the enzymatic inhibition thresholds, and only two demonstrated antifungal activity. From these two in vitro and in vivo validated compounds, an incorporating the negative results, utilizing active search, the subsequent phase of molecule screening that leveraged the data generated in the preceding stage, we selected 164 off-the-shelf molecules for purchase.

Speaker #2: Subsequently, 38 of these showed enzymatic inhibition, and five demonstrated antifungal activity, demonstrating a clear improvement over the initial screen. Building on these insights, we moved to lead up GPT and generated 27 novel compounds, which were custom synthesized and tested over the past months.

Speaker #2: Of these, 25 met the enzymatic inhibition thresholds, and 15 also showed the desired biological activity, which represents a dramatic improvement. This progression illustrates how the integration of iterative experimental validation with AI-driven molecular design can transform limited early signals into a focused, high-quality lead set.

Dan Gelvan: Building on these insights, we moved to LeadOptGPT and generated 27 novel compounds, which were custom synthesized and tested over the past months. Of these, 25 met the enzymatic inhibition thresholds, and 15 also showed the desired biological activity, which represents a dramatic improvement. This progression illustrates how the integration of iterative experimental validation with AI-driven molecular design can transform limited early signals into a focused, high-quality lead set. We have high expectations for this program, and I will be pleased to update you on the progress we make in the coming quarters. I'm pleased to present and add AgPlenus' pipeline to that of Evogene's pharma division. I believe that consolidating these two activities on a single technological platform will create strong synergy and mutual enrichment, thereby accelerating product development in both areas and strengthening our competitive advantage and value proposition across the two industries in which we operate.

Speaker #2: We have high expectations for this program, and I will be pleased to update you on the progress we make in the coming quarters. I'm pleased to present and add Act Plan's pipeline to that of Evogene's pharma division.

Speaker #2: I believe that consolidating these two activities under a single technological platform will create strong synergy and mutual enrichment. Thereby, accelerating product development in both areas and strengthening our competitive advantage and value proposition across the two industries in which we operate.

Speaker #2: With that, I conclude my remarks and hand the presentation back to Offer.

Speaker #1: Thank you, Dan. Looking ahead, we anticipate meaningful progress across all three of the companies' core areas of activity, reinforcing our growth trajectory and long-term value creation.

Speaker #1: With respect to our technology engine, we continue to strengthen our competitive edge through the expansion of additional technological collaborations designated to further enhance our innovations' capabilities and sustain our unique market advantage.

Dan Gelvan: With that, I conclude my remarks and hand the presentation back to Ofer.

Ofer Haviv: Thank you, Dan. Looking ahead, we anticipate meaningful progress across all three of the company's core areas of activity, reinforcing our growth trajectory and long-term value creation. With respect to our technology engine, we continue to strengthen our competitive edge through the expansion of additional technological collaborations designated to further enhance our innovations capabilities and sustain our unique market advantage. Looking at our drug development activity for the pharmaceutical industry, we are expecting to advancing our existing pipeline toward key value-creating milestones, establishing new strategic collaborations with leading biotech companies and academic institutions, deepening relationships with global pharmaceutical companies, and actively evaluating new opportunities to establish our internal drug development pipeline.

Speaker #1: Looking at our drug development activity for the pharmaceutical industry, we are expecting to advance our existing pipeline toward key value-creating milestones. We are establishing new strategic collaborations with leading biotech companies and academic institutions, deepening relationships with global pharmaceutical companies, and actively evaluating new opportunities to establish our internal drug development pipeline.

Speaker #1: With respect to our alchemical development activity for the agriculture industry, we expect to continued advancement of our existing pipeline assets forming new collaboration with leading ag chem companies and ongoing evaluation of opportunities to expand and strengthen our internal pipeline.

Speaker #1: Overall, we remain strongly focused on executing partnership expansion and pipeline development across all business areas. Positioning the company for sustained growth and long-term success.

Ofer Haviv: With respect to our ag chemical development activity for the agriculture industry, we expect to continue the advancement of our existing pipeline assets, forming new collaboration with leading ag chem companies, and ongoing evaluation of opportunities to expand and strengthen our internal pipeline. Overall, we remain strongly focused on executing partnership expansion and pipeline development across all business areas positioning the company for sustained growth and long-term success. With this, I conclude my part and hand over the discussion to Polina. This is her first time participating in quarterly call, and I would like to wish her great success as the lead Evogene's finance department. Good luck, Polina.

Speaker #1: With this, I conclude my part and hand over the discussion to Paulina. This is her first time participating in the quarterly call, and I would like to wish her great success as the lead of Evogene's finance department.

Speaker #1: Good luck, Paulina.

Speaker #3: Thank you, Ofer. Before I move on to the update regarding the first quarter financial statements, I would like to provide an update on the activities of Evogene's subsidiaries that, in line with our revised strategy, are no longer part of our core business focus.

Speaker #3: Three companies fall into this category: Lavie Bio, Biomica, and Castera. We will begin with an update regarding the companies with activities we have decided to discontinue significantly scaled down Lavie Bio and Biomica.

Polina Ravzin: Thank you, Ofer. Before I move on to the update regarding the Q1 financial statement, I would like to provide an update on the activities of Evogene subsidiaries that, in line with our revised strategy, are no longer part of our core business focus. Three companies fall into this category. LavieBio, Biomica, and Casterra. We will begin with an update regarding the companies whose activities we have decided to discontinue or significantly scale down, LavieBio and Biomica. LavieBio's activity, Evogene subsidiary in the field of agro-biologicals, was acquired by ICL in 2025. LavieBio's operations were discontinued at the end of the Q1 of 2026. We are distributing the remaining cash balance accumulated in the company as a result of the sale of its operations by ICL. The company expects to receive 2 additional payments under this transaction.

Speaker #3: Lavie Bio's activity Evogene's subsidiary in the field of agrobiologicals was inquired by ICL in 2025. Lavie Bio's operations were discontinued at the end of the first quarter of distributing the remaining cash balance accumulated in the company as a result of the sale of its operations to ICL.

Speaker #3: The company expects to receive two additional payments under this transaction. With respect to Biomica, Evogene's subsidiary in the field of therapeutics based on the human microbiome, significant events have occurred since the beginning of the year.

Speaker #3: Biomica licensed its lead oncology candidate BMC128 to Lishen Pharmaceuticals in early 2026. Biomica is currently completing a phase one clinical trial for BMC128. Biomica has recently received approval to distribute the company's remaining cash to its shareholders.

Polina Ravzin: With respect to Biomica, Evogene subsidiary in the field of therapeutics based on the human microbiome, recent significant events have occurred since the beginning of the year. Biomica licensed its lead oncology candidate, BMC128, to Mission Pharmacal Company in early 2026. Biomica is currently completing a phase I clinical trial for BMC128. Biomica has recently received approval to distribute the company's remaining cash to its shareholders. We will continue to provide updates on these three matters in the coming quarter. We will now move on to the update regarding Casterra, our subsidiary in the castor cultivation sector for oil production, for by-products, and alternative energy. As previously noted, although this activity is not part of our core business, this activity is ongoing, and we are evaluating its potential, primarily in Brazil.

Speaker #3: We will continue to provide updates on these three matters in the coming quarter. We will now move on to the update regarding Castera, our subsidiary on the caster cultivation sector for oil production for bioproducts and alternative energy.

Speaker #3: As previously noted, although this activity is not part of our core business, its activities ongoing and we are evaluating the potential primarily in Brazil.

Speaker #3: I would like to note that Castera's operations have also undergone a significant reduction in recent months in order to align its activities with Brazil only.

Speaker #3: As we noted in the previous quarter, we are evaluating the potential inherent in Castera's operations in Brazil. As part of this activity, we are pleased to report two significant events.

Speaker #3: In April, we reported strong results in terms of yield in agronomic performance of our varieties in commercial scale trials in Brazil. In May, we reported that the company is conducting approximately 13 field trials of our commercial and new varieties in seven target regions in Brazil under different cultivation regimes.

Polina Ravzin: I would like to note that Casterra's operations have also undergone a significant reduction in recent months in order to align its activities with Brazil only. As we noted in the previous quarter, we are evaluating the potential inherent in Casterra's operations in Brazil. As part of this activity, we are pleased to report 2 significant events. In April, we reported strong results in terms of the agronomic performance of our varieties in commercial scale trials in Brazil. In May, we reported that the company is conducting approximately 13 field trials of our commercial and new varieties in 7 target regions in Brazil under different cultivation regimes. We expect that this activity will form the basis for the commencement of sales into Casterra seeds for the 2027 growing season.

Speaker #3: We expect that this activity will form the basis for the commencement of sales in Castera seeds for the 2027 growing season. Now, we will move on to present the company's financial statements for the first quarter of the year, and we'll begin with the balance sheet.

Speaker #3: Let's start with our cash position. As of March 31, 2026, Evogene held consolidated cash equivalent and short-term bond deposits of approximately $13.1 million. The consolidated cash usage during the first quarter of 2026 was approximately $2.8 million.

Speaker #3: During the first quarter of 2026, Lavie Bio received court approval for the distribution of a $4.25 million dividend to its shareholders. In April 2026, Biomica received court approval for the distribution of a $2.7 million dividend to its shareholders.

Polina Ravzin: Now, we will move on to present the company's financial statements for Q1 of the year, and we'll begin with the balance sheet. Let's start with our cash position. As of 31 March 2026, Evogene held consolidated cash equivalents, and short-term bank deposits of approximately $13.1 million. The consolidated cash usage during Q1 2026 was approximately $2.8 million. During Q1 2026, Lavie Bio received court approval for the distribution of a $4.25 million dividend to its shareholders. In April 2026, Biomica received court approval for the distribution of $2.7 million dividend to its shareholders. Both distribution processes are expected to be completed in Q2 of the year.

Speaker #3: Both distribution processes are expected to be completed in the second quarter of the year. In February 2026, Evogene entered into a warrant inducement agreement with an existing investor for the immediate exercise of all August 2024 Series A and Series B warrants.

Speaker #3: Resulted in a gross profit of approximately $3.4 million, before fees and expenses. Let's consider the exercise: the investor received, in a private placement, new unregistered Series A1 and Series B1 warrants to purchase up to an aggregate 5,076,924 ordinary shares.

Polina Ravzin: In February 2026, Evogene entered into a warrant inducement agreement with an existing investor for the immediate exercise of all August 2024 Series A and Series B warrants, resulting in a gross profit of approximately $3.4 million before fees and expenses. As consideration for the exercise, the investor received in a private placement new unregistered Series A-1 and Series B-1 warrants to purchase up to an aggregate of 5,076,924 ordinary shares. The new warrants are immediately exercisable at an exercise price of $1.25 per share. The Series A-1 and Series B-1 warrants were classified as a liability in the consolidated statements of financial position, initially recorded at fair value, and subsequently were measured at each reporting date using Black-Scholes option pricing model. As of 31 March 2026, the warrants liability totaled to approximately $1.7 million. We will now focus on the income statement.

Speaker #3: The new warrants are immediately exercisable, with an exercise price of $1.25 per share. The Series A1 and Series B1 warrants were classified as a liability in the consolidated statements of financial position, initially recorded at fair value, and subsequently were measured at each reporting date using Berkshire's option pricing model.

Speaker #3: As of March 31, 2026, the warrants' liability total to approximately $1.7 million. We will now focus on the income statement. Revenues for the first quarter of 2026 totaled approximately $0.3 million.

Speaker #3: Compared to approximately $2.3 million in the same period of 2025, representing a decrease of approximately $2 million. The decrease was mainly attributable to lower revenue recognized by Castera, which in the first quarter of 2025 included significant seed sales of approximately $2 million.

Speaker #3: Cost of revenues for the first quarter of 2026 was approximately $0.1 million. Compared to approximately $1.5 million, in the corresponding period of 2025. The decrease in cost of revenues is consistent with the decline in revenues during the quarter.

Polina Ravzin: Revenues for Q1 2026 totaled approximately $0.3 million, compared to approximately $2.3 million in the same period of 2025, representing a decrease of approximately $2 million. The decrease is mainly attributable to lower revenue recognized by Casterra, which in Q1 2025 included significant seed sales of approximately $2 million. Cost of revenues for Q1 2026 was approximately $0.1 million, compared to approximately $1.5 million in the corresponding period of 2025. The decrease in cost of revenues is consistent with the decline in revenues during the quarter. Research and development expenses, net of non-refundable grants for Q1 2026, were approximately $1.8 million, compared to approximately $2.5 million in the corresponding period of 2025, representing a decrease of approximately $0.7 million. The decrease is mainly attributable to lower R&D expenses in Biomica, Casterra, and AgPlenus.

Speaker #3: Research and development expenses net of non-refundable grants for the first quarter of 2026 were approximately $1.8 million, compared to approximately $2.5 million in the corresponding period of 2025, representing a decrease of approximately $0.7 million.

Speaker #3: The decrease is mainly attributable to lower R&D expenses in Biomica, Castera, and Appliance. Sales and marketing expenses for the first quarter of 2026 and 2025 were approximately $0.4 million.

Speaker #3: With no material change between the periods. General administrative expenses for the first quarter of 2026 remained stable at approximately $1.2 million, compared to the corresponding period of 2025.

Speaker #3: Although there was a material decrease in the company's GMA expenses, it was substantially offset by the impact of exchange rate fluctuations between the US dollar and the NIS, as well as transaction costs related to the warrant inducement transaction.

Polina Ravzin: Sales and marketing expenses for Q1 2026 and 2025 were approximately $0.4 million, with no material change between the periods. General administrative expenses for Q1 2026 remained stable at approximately $1.2 million compared with the corresponding period of 2025. Although there was a material decrease in the company's GA expenses, it was substantially offset by the impact of exchange rate fluctuations between the US dollar and the NIS, as well as transaction costs related to the warrant inducement transaction. Other income, net of approximately $30,000, was recorded in Q1 2026, mainly attributable to the sale of SEED assets, compared to other income of approximately $191,000 recorded in Q1 2025, which was mainly related to the accounting treatment associated with Evogene's subsidiary.

Speaker #3: Other income net of approximately $30,000 was recorded in the first quarter of 2026, mainly attributable to the sale of fixed assets, compared to other income of approximately $191,000 recorded in the first quarter of 2025.

Speaker #3: Which was mainly related to the accounting treatment associated with Evogene's submit agreement. Operating loss for the first quarter of 2026 was approximately $3.2 million.

Speaker #3: Compared to approximately $3 million, in the corresponding period of 2025. The increases in operating loss is mainly due to decreased revenues, partially offset by lower operating expenses as described above.

Speaker #3: Financing expenses net for the first quarter of 2026 were approximately $2.7 million. Compared to financing income net of approximately $1.1 million, in the corresponding period of 2025.

Speaker #3: The change was primarily attributable to the accounting treatment of pre-funded warrants, and warrants issued in the August 2024 fundraising, and warrants issued in the February 2026 warrant inducement transactions.

Polina Ravzin: Operating loss for Q1 2026 was approximately $3.2 million, compared to approximately $3 million in the corresponding period of 2025. The increases in operating loss is mainly due to decreased revenues, partially offset by lower operating expenses as described above. Financing expenses net for Q1 2026 were approximately $2.7 million, compared to financing income net of approximately $1.1 million in the corresponding period of 2025. The change was primarily attributable to the accounting treatment of pre-funded warrants and warrants issued in the August 2024 fundraising and warrants issued in the February 2026 warrant usage transaction. As part of the February of 2026 warrant usage transaction, the company recorded financial expenses of approximately $3.8 million during Q1 2026, partially offset by financial income of approximately $0.9 million related to the revaluation of warrants.

Speaker #3: As part of the February 2026 warrant inducement transaction, the company recorded financial expenses of [amount] million during the first quarter of 2026, partially offset by financial income of approximately $0.9 million related to the revaluation of warrants.

Speaker #3: Income from discontinued operations net for the first quarter of 2026 was approximately $40,000. Compared to a loss from discontinued operations net of approximately $1.1 million, in the corresponding period of 2025.

Speaker #3: This amount primarily reflects the financial results of Lavie Bio's operations, as well as expenses related to the development and maintenance of MicroBoost AI for Ag, which are presented as a single-line item in the consolidated statements of profit and loss.

Speaker #3: Following the sale of the majority of Lavie Bio's assets, as well as Evogene MicroBoost AI for Ag in July 2025, Lavie Bio no longer maintains—an increase in its operating expense level has decreased significantly.

Polina Ravzin: Income from discontinued operations net for Q1 2026 was approximately ILS 40,000, compared to a loss from discontinued operations net of approximately ILS 1.1 million in the corresponding period of 2025. These amounts primarily reflect the financial results of the Lavie Bio's operations, as well as expenses related to the development and maintenance of MicroBoost AI for AG, which are presented as a single line item in the consolidated statements of profit and loss. Following the sale of majority of the Lavie Bio's assets, as well as Evogene MicroBoost AI for AG in July 2025, Lavie Bio no longer maintains its lease, and its operating expense level has decreased significantly. Net loss for Q1 2026 was approximately ILS 5.9 million, compared to approximately ILS 3 million in the same period last year.

Speaker #3: Net loss for the first quarter of 2026 was approximately $5.9 million. Compared to approximately $3 million in the same period last year. The increase of approximately $2.9 million was mainly due to decrease in revenues and increase in net financing expenses, partially offset by a decrease in operating expenses and a reduced loss from discontinued operations.

Speaker #3: Net. I now conclude my remarks and we will open the call for questions.

Speaker #1: Thank you. Ladies and gentlemen, at this time we will begin the question and answer session. In order to send the question, use the chat button located at the bottom of your screen.

Speaker #1: Please type your full name and your company's name before the question.

Speaker #3: The first question: When can you sign a strategic deal via tech partner, pharma partner, ag partner, that would include an investment into the shares?

Polina Ravzin: The increase of approximately $2.9 million was mainly due to decrease in revenues and increase in net financing expenses, partially offset by decrease in operating expenses and a reduced loss from discontinued operations net. I now conclude my remarks. We will open the call for questions.

Speaker #4: This is Ofer and I think that this question came from Patrick, which I'm really happy to hear from him. It's been a while since we were in contact.

Speaker #4: Well, I think that trying to project when such transactions could take place really depends on the progress and results we achieve in the different areas that you mentioned: ag, pharma, or the technology itself.

Operator: Thank you. Ladies and gentlemen, at this time we will begin the question and answer session. In order to send a question, use the chat button located at the bottom of your screen. Please type your full name and your company's name before the question. The first question, when can you sign a strategic deal via tech partner, pharma partner, Ag partner that would include an investment into the shares?

Speaker #4: I think that since Evogene through AgPlanus is a highly active in the ag sector and we already have over there some very significant results, as was presented today by.

Ofer Haviv: This is Ofer, I see that this question came from Patrick, which I'm really happy to hear from him. The last time we were in contact. Well, I think that trying to project when such a transaction could take place, it really depends on the progress and results we achieve in the different areas that you mentioned, Ag, pharma or the technology itself. I think that since Evogene through AgPlenus is highly active in the Ag sector, we already have signed and observed some very significant results, as was presented today by Dan, I intend to believe that this is one of the first places where we can see a strategic transaction that might, not necessarily, but might also include equity investment, but definitely should be something that is meaningful for AgPlenus and also, of course, definitely for Evogene.

Speaker #4: Again, I intend to believe that this is one of the first places where we can see a strategic transaction that might not necessarily, but might also include equity investment, but definitely should be something that is meaningful for AgPlanus and also, of course, definitely for Evogene.

Speaker #4: So this is one of the areas that I believe could represent a catalyst, the way that you described, in the next few. In the future.

Speaker #4: The next area actually is technology. I believe that over there since we are working with some big names, companies such as Google and I can also maybe disclose that we are talking with some other companies in the same size like Google, where we are looking for areas to collaborate with them.

Speaker #4: And expand our technology advantage. I think that this type of company or similar to the one that I to Google, could be another area that maybe after the ag, could lead to a significant transaction.

Ofer Haviv: This is one of the areas that I believe could represent a catalyst, the way that you described, in the future. The next area actually is technology. I believe that over there, since we are working with some big-name companies such as Google, and I can also maybe disclose that we are talking with some other companies in the same size like Google, where we are looking for areas to collaborate with them and expand our technology advantage. I think that these type of companies, or similar to Google, could be another area that maybe after the ag, could lead to a significant transaction. In the pharma, once again, I would like to emphasize the point that we initiate our activity there only at the beginning of 2025.

Speaker #4: In the pharma, once again, I would like to emphasize the point that we initiate our activity there only at the beginning of 2025. And the fact that today we have actually four ongoing collaborations in this area and we are now talking with some other partners or an additional collaboration, it's very, very impressive.

Speaker #4: And I'm really excited about it. Still, in order to convince the big pharma or the big biotech companies to adopt our technology in a way that it will lead to a significant transaction and equity investment, it will take a while.

Speaker #4: I'm not talking about many years, but I'm not talking about—of course, it's not going to be in the next few quarters. The good news is that we are already starting discussion with big pharma. Of course, I cannot disclose the name in this case.

Speaker #4: The reason interest in what we are doing, and I believe that when we start to see results coming from our ongoing collaboration in this market segment, it will be much easier for us to start to build a relationship with the big pharma companies which later on, hopefully, can lead to the type of strategic collaboration that can also involve equity investment.

Ofer Haviv: The fact that today we have actually 4 ongoing collaborations in this area, and we are now talking with some other partners on additional collaboration, it's very impressive, and I'm really excited about it. Still, in order to convince the big pharma or the big biotech companies to adopt our technology in a way that it will lead to a significant transaction and equity investment, it will take a while. I'm not talking about many years, but I'm not talking about, of course, it's not going to be in the next few quarters. The good news is that we are already start discussion with a big pharma. Of course, I cannot disclose the name in this stage.

Speaker #4: So I think that we are in the right direction. And actually, each segment is fed the provision of success of the other segment. So a success in the ag will feed the potential success in the technology segment.

Speaker #4: And of course, both of them is going to feed the provision of success to such an engagement with the big pharma in the pharma in the big type of collaboration in the pharma industry.

Ofer Haviv: There is an interest in what we are doing, and I believe that when we start to see results coming from our ongoing collaboration in this market segment, it will be much easier for us to start to build a relationship with the big pharma companies, which later on, hopefully, can lead to the type of strategic collaboration that will also involve equity investment. I think that we are in the right direction, and actually, each segment, it feeds the probability of success of the other segment. A success in the ag will feed the potential success in the technology segment. Of course, both of them is going to feed the probability of success for such an engagement with the big pharma in the big type of collaboration in the pharma industry. I hope that I addressed your question?

Speaker #4: I hope that I addressed your question.

Speaker #3: I repeat: In order to send the question, use the chat button located at the bottom of your screen. Please type your full name and your company's name before asking a question.

Speaker #3: There are no further questions at this time. Mr. Haviv, would you like to make your concluding statement?

Speaker #4: Yes, thank you. And I really appreciate the time of all the people that participated in this analyst call. We are all looking forward to continuing to update you on the COMBI progress.

Speaker #4: And I really hope that we continue with the same speed of new collaboration and agreement like we did at the beginning of this year.

Speaker #4: Thank you very much.

Operator: I repeat, in order to send a question, use the chat button located at the bottom of your screen. Please type your full name and your company's name before asking a question. There are no further questions at this time. Mr. Haviv, would you like to make a concluding statement?

Ofer Haviv: Yes, thank you. I really appreciate the time of all the people that participated in this analyst call, and we are all looking forward to continue to update you on the company progress. I really hope that we continue with the same speed of new collaboration and agreement, like we did at the beginning of this year. Thank you very much.

Operator: This concludes Evogene's Q1 2026 results conference call. Thank you for your participation. You may go ahead and disconnect.