Q2 2026 Nanoform Finland Oyj Earnings Call

August 20, 2026

Speaker #2: Welcome to the conference call. For the first part of the conference call, participants will be in listen-only mode. During the Q&A session, participants are able to ask questions by dialing *5 on their telephone keypad.

Operator: Welcome to the conference call. For the first part of the conference call, the participants will be in listen-only mode. During the questions and answer session, participants are able to ask questions by dialing star five on their telephone keypad. Now I will hand the conference over to the speakers. Please go ahead.

Operator: Welcome to the conference call. For the first part of the conference call, the participants will be in listen-only mode. During the questions-and answer session, participants are able to ask questions by dialing star five on their telephone keypad. Now I will hand the conference over to the speakers. Please go ahead.

Speaker #2: Now, I will hand the conference over to the speakers. Please go ahead.

Speaker #3: Thank you, Operator. Good day, all, and a warm welcome to Nanoform's second quarter 2026 report presentation. My name is Henry Eamon Hartmann, and I'm your Director of Investor Relations.

Henri von Haartman: Thank you, operator. Good day all, and a warm welcome to Nanoform's Q2 2026 report presentation. My name is Henri von Haartman, and I am your Director of Investor Relations. Today, our CEO, Edward Hæggström, CFO, Albert Hæggström, Chief Commercial Officer, Christian Jones, and Chief Development Officer, Peter Hänninen, will present to you. This presentation is webcasted through Investor Caller, and there is also the possibility to call in and listen by phone. The presentation slides are shown throughout the webcast, and they can be found on our webpage in the investor section.

Speaker #3: Today, our CEO, Edward Hegström; CFO, Albert Hegström; Chief Commercial Officer, Christian Jones; and Chief Development Officer, Peter Haninen, will present to you. This presentation is webcast through Investor Caller, and there is also the possibility to call in and listen by phone.

Speaker #3: The presentation slides are shown throughout the webcast, and they can be found on our web page in the Investor section. After the presentation, we will hold a Q&A, and it's possible to ask questions by calling in.

Henri von Haartman: After the presentation, we will hold a Q&A, and it is possible to ask questions by calling in. We will today start with a short introduction, then key business highlights, then financials, then commercial, and we conclude with our product kernels and the biologics market. With these words, our CEO and founder, Edward Hæggström, please go ahead.

Speaker #3: Today, we will start with a short introduction, followed by key business highlights, financials, and commercial updates. We will conclude with our product kernels and the biologics market.

Speaker #3: With these words, our CEO and founder, Edward Hegström—please, go ahead.

Speaker #4: Thank you, Henry, and welcome also on my behalf today. We're going to talk about the UK response, we're going to talk about our reduced cash burn, and we're going to talk about the BioGMP CDMO negotiations.

Edward Hæggström: Thank you, Henri, and welcome also on my behalf. Today, we are going to talk about the UK response, we are going to talk about our reduced cash burn, and we are going to talk about the bio GMP CDMO negotiations. Next slide, please. First of all, I think it is important to say that we are executing the strategy that was presented in the Capital Markets Day in December 2025. That is really the framework. We offer both services and development on small molecules, biologics formulation, and we have a strong AI platform to support us. Our customers are from global pharma, from mid-sized and specialty pharma, as well as biotechs. We have two technologies, and right now they are in small molecules and biologics. The revenues come to Nanoform from service fees, from developmental and commercial milestones, from commercial GMP supply, and then from exclusivity fees, royalties, and profit shares.

Speaker #4: Next slide, please. First of all, I think it's important to say that we're executing the strategy that was presented at the Capital Markets Day in December 2025.

Speaker #4: So that's really the framework. We offer both services and development for small molecules, biologics, and formulation, and we have a strong AI platform to support us.

Speaker #4: Our customers are from global pharma, from mid-sized and specialty pharma, as well as biotechs. We have two technologies, and right now they are in small molecules and biologics.

Edward Hæggström: Our customers are from global pharma, from mid-sized and specialty pharma, as well as biotechs. We have two technologies, and right now they are in small molecules and biologics. The revenues come to Nanoform from service fees, from developmental and commercial milestones, from commercial GMP supply, and then from exclusivity fees, royalties, and profit shares. The midterm targets were presented for 2030 on the Capital Markets Day. Three Nanoform medicines launched by 2030, an income growth larger than 50% CAGR, and the EBIT margin above 30% by 2030.

Speaker #4: The revenues come to Nanoform from service fees, from developmental and commercial milestones, from commercial GMP supply, and then from exclusivity fees, royalties, and profit shares.

Speaker #4: The midterm targets were presented for 2030 on the Capital Markets Day: three Nanoform medicines launched by 2030, income growth greater than 50% CAGR, and an EBITDA margin above 30% by 2030.

Edward Hæggström: The midterm targets were presented for 2030 on the Capital Markets Day. Three Nanoform medicines launched by 2030, an income growth larger than 50% CAGR, and the EBIT margin above 30% by 2030. Next, please. Here we have four business highlights. First of all, we now got positive feedback from the scientific advice meeting in the UK. This means that we are on track to submit our first marketing authorization application for nanoenzalutamide. We expect this to happen during 2026. We have shown a significantly improved cash flow, and this means that our target to have a cash burn below $10 million is on track. We have been working diligently to increase our status on the biologics side to GMP. This means that we have now been negotiating with reputable CDMOs how to do exactly just this. Peter will talk more about the details.

Speaker #4: Next, please. Here we have four business highlights. First of all, we have now received positive feedback from the scientific advice meeting in the UK. This means that we're on track to submit our first market authorization application for nanoinsolutomide.

Edward Hæggström: Next, please. Here we have four business highlights. First of all, we now got positive feedback from the scientific advice meeting in the UK. This means that we are on track to submit our first marketing authorization application for nanoenzalutamide. We expect this to happen during 2026. We have shown a significantly improved cash flow, and this means that our target to have a cash burn below $10 million is on track. We have been working diligently to increase our status on the biologics side to GMP. This means that we have now been negotiating with reputable CDMOs how to do exactly just this.

Speaker #4: We expect this to happen during 2026. We have shown significantly improved cash flow, and this means that our target to have a cash burn below €10 million is on track.

Speaker #4: We have been working diligently to increase our status on the biologics side to GMP. This means that we have now been negotiating with reputable CDMOs on how to do exactly this.

Speaker #4: Peter will talk more about the details. And then, the coming years now are really about preparing to launch Nanoform products—first on the small molecule side, and then on the large molecule side.

Edward Hæggström: Peter will talk more about the details. The coming years now is really about preparing to launch Nanoform products, first on the small molecule sides, and then on the large molecule sides. This we will do together with our partners, and this will have a global impact. Next, please. Here I hand over to Albert.

Edward Hæggström: The coming years now is really about preparing to launch Nanoform products, first on the small molecule sides, and then on the large molecule sides. This we will do together with our partners, and this will have a global impact. Next, please. Here I hand over to Albert.

Speaker #4: This, we will partner, and this will have a global impact. Next, please. And here I hand over to Albert.

Speaker #5: Thank you, Edward. If we then go to a little bit of the numbers, here you can see the number of projects signed. In the second quarter, we signed three GMPs and three non-GMPs.

Albert Hæggström: Thank you, Edvard. If we then go to a little bit numbers, here you can see the number of projects signed. In Q2, we signed 3 GMPs and 3 non-GMPs, so first time we had equal amounts of both. On the right-hand side, you can see that according to our strategy, we have been able to increase the proportion of GMP projects, and the signed ones are related to our product kernels on the small molecule side. If we then go on the following page to income, you can see that in H1, income grew. Here is important to remember that the deal we made with the biopharmaceutical company listed on Nasdaq, only a small proportion of that is booked in P&L in Q2, while the whole amount we received, $1 million, got into the cash flow.

Speaker #5: So first time we had equal amounts of both. And on the right-hand side, you can see that, according to our strategy, we have been able to increase the proportion of GMP projects, and the signed ones are related to our kernels on the small molecule side.

Speaker #5: If we then go on the following page to income, you can see that in the first half, income grew. Here it's important to remember that the deal we made with the biopharmaceutical company listed on Nasdaq—only a small proportion of that is booked in P&L in the second quarter.

Albert Hæggström: Here is important to remember that the deal we made with the biopharmaceutical company listed on Nasdaq, only a small proportion of that is booked in P&L in Q2, while the whole amount we received, $1 million, got into the cash flow. That is why cash flow is even a little bit better than the P&L. We can also see on the right-hand side that the gross margin exceeded 90% again, which is, of course, our target level. If we then go to operating expenses, they came down by 33% in H1. That is, of course, the reason from our focus on decreasing the cost structure.

Speaker #5: While the whole amount we received—$1 million—went into the cash flow. So that's why cash flow is even a little bit better than the P&L.

Albert Hæggström: That is why cash flow is even a little bit better than the P&L. We can also see on the right-hand side that the gross margin exceeded 90% again, which is, of course, our target level. If we then go to operating expenses, they came down by 33% in H1. That is, of course, the reason from our focus on decreasing the cost structure. You can also see that the fact that we were able to build the factory, and after the factory has been built, we need less people and less costs. It is quite expensive to build a factory with all the systems and the different functions. Now you can start to see the impact from the fact that we now have built basically the factory ready on the small molecule side. The trend has been very good so far this year.

Speaker #5: And we can also see on the right-hand side that the gross margin exceeded 90%, which is, of course, our target level. If we then go to operating expenses, they came down by 33% in the first half.

Speaker #5: And that is, of course, the reason for our focus on decreasing the cost structure. And you can also see that the fact that we were able to build the factory, and after the factory has been built, we need fewer people and incur less cost.

Albert Hæggström: You can also see that the fact that we were able to build the factory, and after the factory has been built, we need less people and less costs. It is quite expensive to build a factory with all the systems and the different functions. Now you can start to see the impact from the fact that we now have built basically the factory ready on the small molecule side. The trend has been very good so far this year. This, of course, impacts the EBITDA directly, which you can see on the right-hand side.

Speaker #5: It's quite expensive to build a factory with all the systems and the different functions. And now you can start to see the impact from the fact that we now have basically the factory ready on the small molecule side.

Speaker #5: So, the trend has been very good so far this year. This, of course, impacts the EBITDA directly, which you can see on the right-hand side.

Albert Hæggström: This, of course, impacts the EBITDA directly, which you can see on the right-hand side. As I said, the cash flow was even better than the P&L, and we actually burned only EUR 1.5 million in the Q2, meaning that the H1 cash burn in this year was EUR 5 million, and that means that we are on track to meet our cash burn target for the full year, which is below EUR 10 million in cash burn. The EUR 1.5 million cash burn in Q2 also meant that our cash was EUR 19 million at the end of the quarter, compared to EUR 20.5 million at the end of Q1. So I think we have done a really good job on reducing the cash burn, and we believe that the cash pile is enough until we are cash flow positive. Here you have the near-term business targets for this year.

Speaker #5: As I said, the cash flow was even better than the P&L. And we actually burned only €1.5 million in the second quarter, meaning that the half-year cash burn this year was €5 million.

Albert Hæggström: As I said, the cash flow was even better than the P&L, and we actually burned only EUR 1.5 million in the Q2, meaning that the H1 cash burn in this year was EUR 5 million, and that means that we are on track to meet our cash burn target for the full year, which is below EUR 10 million in cash burn. The EUR 1.5 million cash burn in Q2 also meant that our cash was EUR 19 million at the end of the quarter, compared to EUR 20.5 million at the end of Q1. So I think we have done a really good job on reducing the cash burn, and we believe that the cash pile is enough until we are cash flow positive.

Speaker #5: And that means that we are on track to meet our cash burn target for the full year, which is below €10 million in cash burn.

Speaker #5: The $1.5 million cash burn in the second quarter also meant that our cash was $19 million at the end of the quarter, compared to $20.5 million.

Speaker #5: At the end of the first quarter. So I think we have done a really good job on reducing the cash burn, and we believe that the cash pile is enough until we are cash flow positive.

Speaker #5: Here you have the near-term business targets for this year. Cash burn below €10 million—we are on track for that. First marketing authorization application for a Nanoform medicine submitted.

Albert Hæggström: Here you have the near-term business targets for this year. Cash burn below EUR 10 million, we are on track on that. First marketing authorization application for a Nanoform medicine submitted, and now after the positive feedback from the scientific advice in the UK, we are on track on that also. Increased number of non-GMP and GMP projects signed in 2026. We are on track there also. We are working hard to also achieve the fourth near-term business target, meaning to sign development and license commercial supply agreements on several product kernels still during this year.

Albert Hæggström: Cash burn below EUR 10 million, we are on track on that. First marketing authorization application for a Nanoform medicine submitted, and now after the positive feedback from the scientific advice in the UK, we are on track on that also. Increased number of non-GMP and GMP projects signed in 2026. We are on track there also. We are working hard to also achieve the fourth near-term business target, meaning to sign development and license commercial supply agreements on several product kernels still during this year. Just as a reminder, here are our business targets for 2030. Three Nanoform medicines on the market, income growth more than 50% on average during the five years period, and the EBITDA margin above 30% by 2030. With that, I give over to Christian. Please, Christian.

Speaker #5: And now, after the positive feedback from the scientific advice in the UK, we are on track on that also. Increased number of non-GMP and GMP projects signed in 2026.

Speaker #5: We are on track there also, and we are working hard to also achieve the fourth near-term business target—that is, to sign development and license commercial supply agreements on several product kernels still during this year.

Speaker #5: And just as a reminder, here are our business targets for 2030: three Nanoform medicines on the market, income growth of more than 50% on average during the five-year period, and EBIT margin above 30% by 2030.

Albert Hæggström: Just as a reminder, here are our business targets for 2030. Three Nanoform medicines on the market, income growth more than 50% on average during the five years period, and the EBITDA margin above 30% by 2030. With that, I give over to Christian. Please, Christian.

Speaker #5: And with that, I hand over to Christian. Please, Christian.

Speaker #2: Thank you, Albert. And as you can see on this slide, we're going to talk about the recent positive feedback from the MHRA, the U.K.'s regulatory agency.

Christian Jones: Thank you, Albert. As you can see on this slide, we are going to talk about the recent positive feedback from the MHRA, the UK's regulatory agency. This was around our nanoenzalutamide product, and it is very positive for many different reasons. First is the product and its regulatory approval status. This means we are moving in the right direction. It does not mean that we will have an approval, but it means that scientifically, the FDA believes that our rationale for taking the product forward makes sense. It is on this that we will be filing an application with the UK regulatory authorities this year. It is positive for other applications that we may want to put forward because the UK authorities are viewed very positively by other authorities. It is certainly in Europe and around the globe.

Speaker #2: This was around our nanoinsolutomide product, and it's very, very positive for many different reasons. First is the product and its regulatory approval status. This means we're moving in the right direction.

Speaker #2: It doesn't mean that we will have an approval, but it means that, scientifically, the FDA believes that our rationale for taking the product forward makes sense.

Speaker #2: And it's on this that we will be filing an application with the UK regulatory authorities this year. It's positive for, you know, other applications that we may want to put forward, because the UK authorities have viewed it very positively.

Christian Jones: It is positive for other applications that we may want to put forward because the UK authorities are viewed very positively by other authorities. It is certainly in Europe and around the globe. Also, both for our customers in the generic space, but also in the innovative space, it is very positive to see that our technology has been received positively by the regulatory authorities. There has been no questions around the technology itself, and we are very pleased to see this feedback. So all in all, a very positive situation. Can we move to the next slide?

Speaker #2: By other authorities, it's certainly in Europe and around the globe. And also, both for our customers in the generic space and in the innovator space, it's very positive to see that our technology has been received positively by the regulatory authorities.

Christian Jones: Also, both for our customers in the generic space, but also in the innovative space, it is very positive to see that our technology has been received positively by the regulatory authorities. There has been no questions around the technology itself, and we are very pleased to see this feedback. So all in all, a very positive situation. Can we move to the next slide? When we look at the performance in H2, we have had, obviously the feedback from the MHRA, which was, I would say, key and quite a milestone. Then we had very positive news earlier this year with regards to our bio deal that we did with a US Nasdaq-listed company, and that is around our biologics technology. So this has been really, I guess, a key milestone for us as a company.

Speaker #2: There have been no questions regarding the technology itself, and we're very pleased to see this feedback. So yes, all in all, I'm very, very positive about the situation.

Speaker #2: We move to the next slide. When we look at the performance in H2, we've had, obviously, the feedback from the MHRA, which was, I would say, key and quite a milestone.

Christian Jones: When we look at the performance in H2, we have had, obviously the feedback from the MHRA, which was, I would say, key and quite a milestone. Then we had very positive news earlier this year with regards to our bio deal that we did with a US Nasdaq-listed company, and that is around our biologics technology. So this has been really, I guess, a key milestone for us as a company. As we progress the biologics technology forward, it has really helped to raise the profile of Nanoform in this space for ultra-high concentration subcutaneous injections.

Speaker #2: Then we had very positive news earlier this year with regards to our bio deal that we did with a US Nasdaq listed company. And that's around our biologics technology.

Speaker #2: So, this has been really, I guess, a key milestone for us as a company as we progress the biologics technology forward. It's really helped to raise the profile of Nanoform in this space for ultra-high concentration, subcutaneous injections.

Christian Jones: As we progress the biologics technology forward, it has really helped to raise the profile of Nanoform in this space for ultra-high concentration subcutaneous injections. We have seen great momentum from this and also further endorsement of the technology and an approach to be active in this space and to create value for patients. Third point is we have had 6 new customer projects signed in Q2, 3 non-GMP and 3 GMP projects, which is great. Of course, that helps us be on track to deliver more projects this year than last year. As I mentioned, the momentum has really accelerated around the biologics technology. So we have multiple major pharma and biotech feasibility projects underway at this point in time.

Speaker #2: And we've seen great momentum from this, and also further endorsement of the technology and our approach to be active in this space and to create value for patients.

Christian Jones: We have seen great momentum from this and also further endorsement of the technology and an approach to be active in this space and to create value for patients. Third point is we have had 6 new customer projects signed in Q2, 3 non-GMP and 3 GMP projects, which is great. Of course, that helps us be on track to deliver more projects this year than last year. As I mentioned, the momentum has really accelerated around the biologics technology. So we have multiple major pharma and biotech feasibility projects underway at this point in time.

Speaker #2: The third point is, we've had six new customer projects signed in Q2—three non-GMP and three GMP projects—which is great. And of course, that helps us be on track to deliver more projects this year than last year.

Speaker #2: And as I mentioned, the momentum has really accelerated around the biologics technology. So, we have multiple major pharma and biotech feasibility projects underway at this point in time.

Speaker #2: And of course, the key thing is to be able to give all of our partners confidence that our technology is not just a laboratory-based approach, but that we actually have a viable GMP manufacturing process to deliver clinical material, to start generating value in clinical development, and then ultimately into commercial manufacturing.

Christian Jones: Of course, the key thing is to be able to give all of our partners confidence that our technology is not just a laboratory-based approach, but we actually have a viable GMP manufacturing process to deliver clinical material to start generating value in clinical development and then ultimately into commercial manufacturing. We will talk more about that in the next couple of slides when Peter talks. But we have advanced negotiations underway now to secure a strategic GMP partnership for our biologics technology with multiple different CDMOs. So we will make an announcement on that when we feel it is appropriate. I will hand over now to Peter to take us through our product development strategy.

Speaker #2: And so we’ll talk more about that in the next couple of slides and Peter talks. But we have advanced negotiations underway now to secure a strategic GMP partnership for our biologics technology.

Speaker #2: ...with multiple different CDMOs. So, we will make an announcement on that when we feel it is appropriate. I'll hand over now to Peter to take us through our product development strategy.

Christian Jones: So we will make an announcement on that when we feel it is appropriate. I will hand over now to Peter to take us through our product development strategy.

Speaker #1: Thank you, Christian. So, my colleagues already commented on the recent positive MHRA feedback that we and our partners received. And this was, of course, also what we were hoping for as well.

Peter Hänninen: Thank you, Christian. So my colleagues already commented on the recent positive MHRA feedback that when our partners received, and this was of course also what we were hoping for as well. Without now repeating everything that was already said, I would just want to maybe highlight from my side also the shared legislative background of Europe and the UK in this, and that this shows really that different regulators may have different views on the interpretation of these regulatory pathways, but that there is really a good support for the view that we have adopted together with our partners since the start. Of course, importantly, that there is a clear pathway forward to meet a first marketing authorization application for a Nanoform medicine this year.

Speaker #1: And without now repeating everything that was already said, I would just want to maybe highlight from my side also the shared legislative background of Europe and the UK in this.

Speaker #1: And that this shows really that different regulators may have different views on the interpretation of these regulatory pathways but that there is really a good support for the view that we have adopted together with our partners since the start.

Speaker #1: And of course, importantly, there is a clear pathway forward to meet a first marketing application for a Nanoform medicine this year. We have, of course, also continued the focused execution on the rest of the kernel pipeline as well.

Peter Hänninen: Of course, importantly, that there is a clear pathway forward to meet a first marketing authorization application for a Nanoform medicine this year. We have, of course, also continued the focused execution on the rest of the kernel pipeline as well, and in particular, the most advanced programs. You can see that we have also added a line here as we now have received a 9% ownership share in PlusVitech. This is a customer that we mentioned before as well, that is repurposing an anti-nausea medication for oncology indications.

Peter Hänninen: We have, of course, also continued the focused execution on the rest of the kernel pipeline as well, and in particular, the most advanced programs. You can see that we have also added a line here as we now have received a 9% ownership share in PlusVitech. This is a customer that we mentioned before as well, that is repurposing an anti-nausea medication for oncology indications. This new use that PlusVitech is pioneering for this medication requires a substantially higher dose, and they are looking to, therefore, an enabling nanoformulation for the product with our particles. Moving then forward towards biologics, and as has been mentioned, just before summer, we shared this news that we have signed the first exclusivity deal for our biologics technology and that we are progressing or looking to progress towards clinic without delay.

Speaker #1: And in particular, the most advanced programs, you can see that we've also added a line here, as we now have received a 9% ownership share in Plasmid Tech.

Speaker #1: This is a customer that we mentioned before as well, that is repurposing an anti-nausea medication for oncology indications. And this new use that Plasmid Tech is pioneering for this medication requires a substantially higher dose, and they are therefore looking to enable a nanoformulation for the product with our particles.

Peter Hänninen: This new use that PlusVitech is pioneering for this medication requires a substantially higher dose, and they are looking to, therefore, an enabling nanoformulation for the product with our particles. Moving then forward towards biologics, and as has been mentioned, just before summer, we shared this news that we have signed the first exclusivity deal for our biologics technology and that we are progressing or looking to progress towards clinic without delay.

Speaker #1: Moving then forward towards biologics, and as has been mentioned, just before summer we shared the news that we have signed the first exclusivity deal for our biologics technology.

Speaker #1: And that we are progressing, or looking to progress, towards clinic without delay. And we've identified that the fastest and most efficient way to do this is to partner with a CDMO that has long experience in aseptic manufacturing.

Peter Hänninen: We have identified that the fastest and most efficient way to do this is to partner with a CDMO that has a long experience from aseptic manufacturing, something that our small molecule technology doesn't require. These discussions have progressed fast over the summer, and we are, of course, pleased to have received now concrete feasible options from potential partners. We believe that combining on one hand, Nanoform's leading particle engineering capability with a leader in aseptic biologics manufacturing will be a competitive offering for customers considering clinical trials and help accelerate the commercialization of this technology. This slide we have now been showing for a few quarters, and what we want to highlight with it is that there is an established market and business model for drug delivery technologies that can enable subcutaneous delivery for biologics.

Speaker #1: Something that our small molecule technology doesn't require. These discussions have progressed quickly over the summer, and we are, of course, pleased to have now received concrete, feasible options from potential partners.

Speaker #1: And we believe that combining, on one hand, Nanoform's leading particle engineering capability with a leader in aseptic biologics manufacturing will be a competitive offering for customers considering clinical trials.

Peter Hänninen: We believe that combining on one hand, Nanoform's leading particle engineering capability with a leader in aseptic biologics manufacturing will be a competitive offering for customers considering clinical trials and help accelerate the commercialization of this technology. This slide we have now been showing for a few quarters, and what we want to highlight with it is that there is an established market and business model for drug delivery technologies that can enable subcutaneous delivery for biologics.

Speaker #1: And help accelerate the commercialization of this technology. This is a slide we've now been showing for a few quarters, and what we want to highlight with it is that there is an established market and business model for drug delivery technologies that can enable subcutaneous delivery for biologics.

Speaker #1: And the slide really highlights why many biologics developers are actively looking for alternatives, as the business model that has been adopted is based on signing these exclusive deals on a target-by-target basis.

Peter Hänninen: The slide really highlights why many biologics developers are actively looking for alternatives, as the business model that has been adopted is based on signing these exclusive deals on a target-by-target basis. During the Q2, the current market leader, as well as ourselves, have been signing deals, and we believe that the biologics sub-Q delivery market will only continue to grow from here and potentially in an accelerated pace.

Speaker #1: Basis. And during the second quarter, the current market leader, as well as ourselves, have been signing deals, and we believe that the biologics subcu delivery market will only continue to grow from here.

Speaker #1: And potentially at an accelerated pace. With that, I will turn it back over to Henry.

Henri von Haartman: With that, I will turn it back over to Henrik.

Speaker #3: If you wish to ask a question, please dial star five on your telephone keypad to enter the queue. If you wish to withdraw your question, please dial star five again on your telephone keypad.

Henri von Haartman: If you wish to ask a question, please dial star five on your telephone keypad to enter the queue. If you wish to withdraw your question, please dial star five again on your telephone keypad. The next question comes from Christopher from SEB. Please go ahead.

Operator: If you wish to ask a question, please dial star five on your telephone keypad to enter the queue. If you wish to withdraw your question, please dial star five again on your telephone keypad. The next question comes from Christopher from SEB. Please go ahead.

Speaker #3: The next question comes from Christopher from SEB. Please go ahead.

Speaker #4: Yes, hi there. Christopher Yudi from SEB. Thanks for taking my questions. I guess what I'm wondering about is the revenue implications of the bio process outsourcing to a CDMO.

[Analyst] (SEB): Yes. Hi there, Christopher from SEB. Thanks for taking my questions. I guess what I am wondering about is the revenue implications of the bioprocess outsourcing to a CDMO. So if we, let us say for instance, take a 5% royalty as a midpoint on an average royalty, and you are using a CDMO, how should we think about, and I appreciate it is a discussion ongoing, but how should we think about the impact to that royalty level? Thank you.

Christopher Uhde: Yes. Hi there, Christopher from SEB. Thanks for taking my questions. I guess what I am wondering about is the revenue implications of the bioprocess outsourcing to a CDMO. So if we, let us say for instance, take a 5% royalty as a midpoint on an average royalty, and you are using a CDMO, how should we think about, and I appreciate it is a discussion ongoing, but how should we think about the impact to that royalty level? Thank you.

Speaker #4: So if we, let's say, for instance, take a five percent royalty as a midpoint on an average royalty, and you're using a CDMO, how should we think about—and I appreciate it's a discussion ongoing—but how should we think about the impact to that royalty level?

Speaker #4: Thank you.

Speaker #2: Albert, would you like to take that?

Edward Hæggström: Albert, would you like to take that?

Speaker #5: Yes. So as you know most CDMOs they are sort of the business model in the CDMO world is very much about fee for service.

Albert Hæggström: Yes. As you know, most CDMOs, the business model in the CDMO world is very much about fee for service and potentially less around royalties. That is the norm if you have mature available technologies. Our thinking is different. Our thinking is more like the proprietary technology provider that has something unique, and therefore you can enable a situation where the clients are actually prepared to pay milestones and royalties for that. We are, of course, negotiating with several now, and this is a discussion, but if I put it like this, it seems that this is not a hot topic in that sense that we have clearly different strategic and tactical thinking around this, in a sense that they are fine with thinking about the fee for service part, and we can think about the milestones and royalties.

Speaker #5: And potentially less around royalties, and that is sort of the norm if you have a mature, available technology. Our thinking is different. Our thinking is more like the proprietary technology provider that has something unique, and therefore you can enable a situation where the clients are actually prepared to pay milestones and royalties for that.

Speaker #5: We are of course negotiating with several now and this is a discussion but if I put it like this that it seems that this is not a hot topic in that sense that we have clearly different strategic and tactical thinking along around this in the sense that they are fine with thinking about the fee for service part and we can think about the sort of the milestones and royalties.

Albert Hæggström: We are, of course, negotiating with several now, and this is a discussion, but if I put it like this, it seems that this is not a hot topic in that sense that we have clearly different strategic and tactical thinking around this, in a sense that they are fine with thinking about the fee for service part, and we can think about the milestones and royalties. I would say that at this point, do not think of it like there will be changes to our strategy. However, of course, this is negotiation still ongoing, but that is what I would like to say.

Speaker #5: But so, I would say that at this point, don't think of it like there would be changes to our strategy. However, of course, this negotiation is still ongoing, but that's what I would like to say.

Albert Hæggström: I would say that at this point, do not think of it like there will be changes to our strategy. However, of course, this is negotiation still ongoing, but that is what I would like to say.

Speaker #4: Okay, so maybe I could ask a clarifying question. Just from a cash flow perspective, should we view this as something that— I mean, is there any kind of guidance at all you can give to what kind of impact it would have proportionally?

[Analyst] (SEB): Okay. Maybe I could ask a clarifying question. From a cash flow perspective, should we view this as something that is there any kind of guidance at all you can give to what kind of impact it would have proportionally? Thank you. That is all for me.

Christopher Uhde: Okay. Maybe I could ask a clarifying question. From a cash flow perspective, should we view this as something that is there any kind of guidance at all you can give to what kind of impact it would have proportionally? Thank you. That is all for me.

Speaker #4: Thank you. That's all from me.

Speaker #5: I think that this would have an absolutely positive impact on the cash flow and the revenue for Nanoform. And exactly how the share goes when it comes to the—so think about it like this.

Albert Hæggström: I think that this would have an absolute positive impact on the cash flow and the revenue for Nanoform, and exactly how the share goes when it comes to the. Think about it like this. We do nanoforming. They have other services in their facilities, and then the exact share of those are, of course, different. But on an absolute level, we believe this will be very positive for our cash flow and top line. As I said, we are unique in that sense that we have a unique technology, and they recognize that.

Speaker #5: We do nanoforming. They have other services in their facilities, and then the exact share of those are, of course, different. But on an absolute level, we believe this will be very positive for our cash flow and top line.

Speaker #5: And as I said, we are unique in that sense, that we have a unique technology, and they recognize that.

Speaker #4: Okay. Thank you very much.

[Analyst] (SEB): Okay. Thank you very much.

Christopher Uhde: Okay. Thank you very much.

Speaker #3: The next question comes from Christian Glennie from Stiefel. Please go ahead.

[Analyst] (SEB): The next question comes from Christian Glennie from Stifel. Please go ahead.

Operator: The next question comes from Christian Glennie from Stifel. Please go ahead.

Speaker #4: Hi, yeah, good morning, guys. Maybe just on the UK process—obviously, you've had different outcomes here now from going to EMA and then UK. What do you think have been the reasons for, you know, the acceptance on the UK part versus the EMA?

Christian Glennie: Hi. Yeah, good morning, guys. Maybe just on the UK process. Obviously, you have had different outcomes here now from going to EMA, and then UK. What do you think has been the reasons for the acceptance on the UK part versus the EMA? Is there any prospect that this may have an influence back on the EMA process, or that is probably a bit of a stretch at this point? Thanks.

Speaker #4: And is there any prospect that this may have an influence back on the EMA process, or is that probably a bit of a stretch at this point?

Speaker #4: Thanks.

Speaker #2: Thank you. So, first of all, if I may speculate a little bit, I think that the objective thing that differed between our first interaction, that we reported in the previous call, and this one is that there is something called ICH15M.

Edward Hæggström: Thank you. First of all, if I may speculate a little bit, I think that the objective thing that differed between our first interaction that we reported in the previous call and this one is that there is something called ICH M15, which is a document that was in existence but was not ratified during our first interaction, and it was now ratified. So one proposed explanation could be just this. Of course, every single authority has prerogative their ability to interpret the situation the way they see fit. Then your final part of the question, which is there a feedback loop? Which means that if there are positive outcomes in country one, two, three, can it affect other countries that we either have or have not interacted with? Of course, speculative again, but I would presume that this is the case.

Speaker #2: Which is a document that was in existence but was not ratified during our first interaction, and it has now been ratified. So, one proposed explanation could be just this.

Speaker #2: Of course, every single authority has a prerogative—their ability to interpret the situation the way they see fit. Then, your final part of the question, which is: Is there a feedback loop? Which means that, if there are positive outcomes in country one, two, three, can it affect other countries that we either have or have not interacted with.

Edward Hæggström: Which means that if there are positive outcomes in country one, two, three, can it affect other countries that we either have or have not interacted with? Of course, speculative again, but I would presume that this is the case.

Speaker #2: Of course speculative case.

Speaker #4: Thanks. Yeah. Okay, thank you. And then, in terms of potential partnerships for the UK market at least, what status, if any, of discussions may be ongoing or what interest level this has sparked? And what do you think is the optimum timing around a commercial deal as you're thinking about regulatory filings as well?

Christian Glennie: Thanks. Yeah. Okay. Thank you. Then in terms of potential partnerships for the UK market at least, what status of any discussions may be ongoing or interest level that this has sparked? What do you think is the optimum timing around a commercial deal as you are thinking about regulatory filings as well? Thank you.

Speaker #4: Thank you.

Speaker #2: Okay. So, if I start first, and then maybe Christian can follow up on that. My mental picture is always that it's better to be fast, and it's better to talk early.

Edward Hæggström: Okay. If I start first and then maybe Christian can follow up on that. My mental picture is always that it is better to be fast and it is better to talk early and everything positive that comes out drive actually both the conversations that are ongoing and the conversations that are about to start. But maybe Christian can give some more flavor.

Speaker #2: And everything positive that comes out drives actually both the conversations that are ongoing and the conversations that are about to start. But maybe, Christian, you can give some more flavor.

Speaker #4: Yes, obviously we're in talks with many different companies in different regions, and I think when we have something more to say about that, we will.

Christian Jones: Yes. Obviously, we are in talks with many different companies in different regions. I think when we have something more to say about that, we will. Needless to say, this will be received very positively by our partners, not just those that may be interested in the UK, but also in other regions as well.

Speaker #4: But needless to say, this will be received very positively by our partners—not just those who may be interested in the UK, but also in other regions as well.

Speaker #4: Thanks. And maybe one final one on any— I know it hasn't been a huge amount of time, obviously, since you signed that biologics deal with the US biopharma company.

Christian Glennie: Thanks. Maybe one final one on any, I know it has not been a huge amount of time, obviously, since you signed that biologics deal with a US biopharma company. Anything, obviously, you are now talking about this potential for accelerating into CDMO for GMP, but anything to note, particularly on the progress of the development work on your side, at least on that asset? Thank you.

Speaker #4: But, obviously, you're now talking about this potential for accelerating into CDMO for GMP, but is there anything to note particularly on the progress of the development work on your side, at least on that asset?

Speaker #2: No, I don't think we have anything specific to report on that at this moment. To me, it's clear that the customer is very interested in what we do on getting this biologics GMP status, and we are working on getting it as soon as we can.

Edward Hæggström: No, I do not think we have anything specific to report on that at this moment. To me it is clear that the customer is very interested in what we do on getting this biologics GMP status. We are working on getting it as soon as we can. That is in everybody's interest.

Speaker #2: That is in everybody's interest.

Speaker #4: Great. Thank you very much.

Christian Glennie: Great. Thank you very much.

Speaker #3: The next question comes from Sammy Sarkemis from Danske Bank Markets. Please go ahead.

Christian Glennie: The next question comes from Sami Sarkamies from Danske Bank markets. Please go ahead.

Operator: The next question comes from Sami Sarkamies from Danske Bank markets. Please go ahead.

Speaker #4: Hi. I have three questions. We'll be taking these one by one. Firstly, regarding the first exclusivity deal within biologics: have you already booked any revenues from this deal? When do you think that will happen, and will this be under revenue or other operating income?

Sami Sarkamies: Hi, I have three questions. I will be taking this one by one. Firstly, regarding the first exclusivity deal within biologics, have you already booked any revenues from this deal? When do you think that will happen and will this be under revenue or other operating income?

Speaker #2: Albert, please.

Edward Hæggström: Albert, please.

Speaker #5: Yes, so we will book it over the 12-month period, and that means that we signed it in May. So the impact is very small on the P&L, as I said.

Albert Hæggström: Yes. We will book it over the 12-month period, and that means that we signed it in May, so the impact is very small on the P&L, as I said, but we received the full amount of money already in Q2. So that is why you see that the Q2 cash flow is better than the EBITDA, for example. And the small proportion went into the top line, the revenue line.

Speaker #5: But we received the full amount of money already in Q2, so that's why you see that the Q2 cash flow is better than the EBITDA, for example.

Speaker #5: And the small proportion went into the top line, the revenue line.

Speaker #4: Okay. Secondly, regarding the GMP manufacturing for biologicals, you've initiated discussions. How long do you think these discussions will take, and what has been the initial response or feedback from the parties that you've been contacting?

Sami Sarkamies: Okay. Then secondly, regarding the GMP manufacturing for biologicals, you have initiated discussions. How long do you think these discussions will take and what has been the initial response or feedback from the parties that you have been contacting?

Speaker #2: So, maybe I can start, and Peter can then provide some detail. To me, it's hard to judge into the future. I think it's in everybody's interest to execute the negotiations effectively.

Edward Hæggström: So maybe I can start and Peter can then provide some detail. To me it is hard to judge into the future. I think it is in everybody's interest to execute the negotiations effectively, and that means also as fast as possible. However, there are many details that needs to be put in place, so expect it to take a little bit of time. Then when it comes to how people see this, I think it has been seen very positively by all the different parties that we have been talking to. The positivity comes from the fact that this is not us pushing a technology. This is us making sure that we serve a need which has been explicitly stated by a customer. Peter, please.

Speaker #2: And that means also as fast as possible. However, there are many details that need to be put in place, so expect it to take a little bit of time.

Speaker #2: Then, when it comes to how people see this, I think it has been seen very positively by all the different parties that we have been talking to.

Speaker #2: The positivity comes from the fact that this is not us pushing a technology; this is us making sure that we serve a need which has been explicitly stated by a customer.

Edward Hæggström: This is us making sure that we serve a need which has been explicitly stated by a customer. Peter, please.

Speaker #2: Peter please.

Speaker #1: Yeah, thanks, Albert. I don't really have much to add to that, other than that. I mean, this has been over the summer and vacation period, and even with that in mind, these discussions have progressed very nicely.

Peter Hänninen: Yeah. Thanks, Edward. I do not really have much to add to that other than that this has been over the summer and vacation period and even with that in mind, the discussions have progressed very nicely to a point where, as we say, we have concrete and feasible proposals that we have received. So we are optimistic and that the good momentum will continue, but of course, can't provide any guidance on that.

Speaker #1: To a point where, as we say, we have concrete and feasible proposals that we have received, so we're optimistic that the good momentum will continue. But, of course, I can't provide any guidance on that.

Speaker #4: Okay. And then finally, regarding nanoinsolutamide, you will be filing in the UK by year-end, but can you summarize the other actions you have ongoing regarding other European markets and the US market?

Sami Sarkamies: Okay. Then finally, regarding nanoenzalutamide, you will be filing in the UK by the year-end, but can you summarize the other actions you have ongoing regarding other European markets and the US market?

Speaker #2: Albert, since this is a financial call, maybe you want to take it this time. I will just add that this is a program I spend a lot of time on—both on the originator, on the generic, and on the technical side.

Edward Hæggström: Albert, since this is a financial call, maybe you want to take it this time. I only say that this is the program I spend a lot of time on, both on the originator, on the generic, and on the technical side. Albert, please.

Speaker #2: Albert please.

Speaker #5: As you know, we are having a multi-track strategy, as we wrote in the report. As you know, we have signed agreements and have negotiations going on for a long time already in very many markets.

Albert Hæggström: As you know, we are having a multi-track strategy as we write in the report. As you know, we have signed agreements and negotiations going on for a long time already on very many markets. We are, of course, keeping a close contact with all the parties involved. As we also say that in the coming months we now receive the feedback from the. First we received the feedback from one authority in Europe. Now we received the feedback from UK that was positive after potentially the change in the guide or the ratification of the guidelines. We will in the coming months before year-end have feedback from other countries and also from the US, for example. So we will keep you updated and this is, of course, something that we do together with both signed commercial partners, but also partners that we are talking to.

Speaker #5: And we are, of course, keeping close contact with all the parties involved. As we also said, in the coming months we will—well, we have now received feedback from the first, we received feedback from one authority in Europe, and now we have received feedback from the UK that was positive after, potentially, the change in the guide or the ratification of the guidelines.

Speaker #5: And we will in the coming months before year end have feedback from other countries and also from the US for example so we will keep you updated and this is of course something that we do together with both signed commercial partners but also partners that we are talking to and in some case it is the consortium together with us who do the are more in the driver's seat and in some cases it's the sort of the partners on the commercialization side.

Albert Hæggström: We will in the coming months before year-end have feedback from other countries and also from the US, for example. So we will keep you updated and this is, of course, something that we do together with both signed commercial partners, but also partners that we are talking to. In some case it is the consortium together with us who are more in the driver's seat and in some cases it is the sort of the partners on the commercialization side. But we will keep you informed when we have more to tell.

Albert Hæggström: In some case it is the consortium together with us who are more in the driver's seat and in some cases it is the sort of the partners on the commercialization side. But we will keep you informed when we have more to tell.

Speaker #5: But we will keep you informed when we have more to share.

Speaker #4: Okay, thank you. I don't have any further questions.

Sami Sarkamies: Okay, thank you. I don't have any further questions.

Albert Hæggström: What is fair to say is that we think that this will be a very intriguing sort of end of the year during the coming 4 or 5 months. We will get lots of more info.

Speaker #5: But fair to say is that we think this will be a very intriguing sort of end to the year during the coming four or five months.

Speaker #5: We will get a lot more info.

Speaker #3: There are no more questions at this time, so I will hand the conference back to the speakers for any closing comments.

Albert Hæggström: There are no more questions at this time, so I hand the conference back to the speakers for any closing comments.

Operator: There are no more questions at this time, so I hand the conference back to the speakers for any closing comments.

Speaker #1: Thank you, operator. On behalf of Nanoform, I would like to thank all participants for today. If you have any more questions, then please just reach out to us.

Henri von Haartman: Thank you, operator. On behalf of Nanoform, I would like to thank all participants for today and if you have any more questions then just please reach out to us. We wish everybody a great Thursday afternoon and evening. Thank you and goodbye.

Speaker #1: We wish everybody a great Thursday afternoon and evening. Thank you and goodbye.

Henri von Haartman: The host has ended this call. Goodbye.

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Q2 2026 Nanoform Finland Oyj Earnings Call

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