Financial Data and Key Metrics Changes - As of December 31, 2025, the company's cash and cash equivalents were $9.9 million, and in January 2026, it raised $22.3 million in gross proceeds from a public offering, extending its runway for operations [24][25] - The net loss for the fourth quarter of 2025 was $31.9 million, compared to $25.8 million in the same period the previous year [27] - Research and development expenses decreased to $9.4 million from $12.4 million year-over-year, while selling, general, and administrative expenses fell to $5.1 million from $6.8 million [25][26] Business Line Data and Key Metrics Changes - The rice program remains a core revenue generator, with seven rice customers representing a potential annual royalty opportunity of over $200 million [9][48] - The sustainable ingredients program has completed pre-commercial pilot runs for two biofragrance products, leading to the first customer payment in Q4 2025, with potential annual royalties estimated between $20 million and $40 million [15][16] Market Data and Key Metrics Changes - The company is targeting 5-7 million acres in the Americas for its rice traits, with potential expansion into India, which has approximately 120 million acres of rice cultivation [46][48] - The EU's recent political agreement on New Genomic Techniques legislation opens up approximately 100 million acres of greenfield opportunity in Europe, which has historically restricted GMO technologies [17][35] Company Strategy and Development Direction - The company is transitioning to a commercially driven model, focusing on gene editing as a core technology for agricultural innovation [4][5] - Cibus aims to build long-term shareholder value through a licensing and royalty framework tied to its gene editing capabilities, emphasizing ongoing relationships with seed companies [8][9] - The company is expanding its partnerships in Latin America and India, with plans for commercial launches in 2027 and 2030, respectively [10][12] Management's Comments on Operating Environment and Future Outlook - Management views 2026 as a pivotal year focused on execution and momentum, with expectations for significant advancements in rice commercialization and sustainable ingredients [29][30] - The regulatory landscape is evolving positively, with the EU's new legislation expected to catalyze commercial opportunities and partnerships [17][30] Other Important Information - The company has streamlined operations, reducing annual net cash usage to approximately $30 million or less in 2026, which supports its focus on near-term revenue [27][66] - The company has consolidated operations from its Oberlin facility into its San Diego headquarters, which is part of its cost-saving initiatives [27] Q&A Session Summary Question: Impact of EU NGT framework on CapEx for canola WOSR program - Management highlighted that the EU regulatory progress opens up significant opportunities for gene editing in Europe, particularly for winter oilseed rape, which is a major crop [34][35] Question: Next steps for rice commercialization in Latin America - Management outlined the process of editing elite genetics and the partnership with Interoc for commercialization in Ecuador and Colombia, with a focus on chemical registration and trait work [38][40] Question: Trend line for acres touched by technology - Management indicated a target of 5-7 million acres in the Americas, with potential for an additional 200 million acres in India by the end of the decade [46][48] Question: Maximum throughput for gene edits as a service - Management discussed the scalability of their gene editing platform, emphasizing the efficiency gained through automation and AI, which allows for managing multiple crops and lines [50][53] Question: Royalty rates for gene edits as a service - Management noted that the speed and scalability of their gene editing process allow for favorable negotiations on trait royalties, as customers can see value added quickly [56] Question: Scale of fragrance projects - Management mentioned the potential to work on approximately 17 fragrances, with plans to accelerate the process once the initial products are commercialized [57]

Financial Data and Key Metrics Changes - As of December 31, 2025, cash and cash equivalents were $9.9 million, with a subsequent capital raise of $22.3 million in January 2026, extending the company's runway [22][23] - Operating expenses were reduced by approximately $10 million across R&D and SG&A for the full year of 2025, with R&D expenses at $9.4 million and SG&A at $5.1 million for Q4 2025, down from $12.4 million and $6.8 million respectively in the prior year [23][24] - The net loss for Q4 2025 was $31.9 million, compared to $25.8 million in the same period last year [24] Business Line Data and Key Metrics Changes - The rice program is projected to generate $200 million in potential annual royalty opportunities through herbicide-tolerant traits, with initial market entry in Latin America expected in 2027 [9][10] - The sustainable ingredients program has completed pre-commercial pilot runs for two biofragrance products, leading to the first payment in Q4 2025, with potential annual royalties estimated between $20 million and $40 million [14][15] Market Data and Key Metrics Changes - The EU's political agreement on New Genomic Techniques legislation opens up approximately 100 million acres of greenfield opportunity, significantly impacting the gene editing market [16] - The company is targeting 5-7 million acres in the Americas for its rice traits, with potential expansion into the Indian market, which encompasses around 120 million acres [44] Company Strategy and Development Direction - The company is transitioning to a commercially driven model, focusing on gene editing as a core technology for agricultural innovation [5][6] - Cibus aims to serve as a gene editing engine for plant breeding capabilities, moving beyond traditional trait licensing to establish ongoing genomic editing relationships with seed companies [6][8] Management's Comments on Operating Environment and Future Outlook - Management views 2026 as a year focused on execution and momentum, with plans to expand customer relationships and advance commercialization agreements [27] - The regulatory landscape is evolving positively, with significant developments in Europe and the Americas that are expected to accelerate commercial conversations globally [16][27] Other Important Information - The company has consolidated operations from its Oberlin facility into its San Diego headquarters, which is part of a broader effort to streamline operations and reduce cash usage [24][25] - The advancements in gene editing technology have led to improved efficiency and scalability, enabling the company to respond to market demands more effectively [18][46] Q&A Session Summary Question: Impact of EU NGT framework on CapEx and canola program - Management highlighted the EU regulatory progress as a watershed moment, opening up significant opportunities for crops like winter oilseed rape, which is a major crop in Europe [32][33] Question: Next steps for rice commercialization in Latin America - The company outlined the process of editing elite genetics and the partnership with Interoc for commercialization in Ecuador and Colombia, with a focus on chemical registration and trait work [36][38] Question: Trend line for acres touched by technology - Management indicated a target of 5-7 million acres in the Americas, with potential for additional revenue from the Indian market in the future [44] Question: Scale of gene editing services - The company emphasized its efficient production system and automation, which allows for rapid scaling of gene editing services without significant increases in R&D expenses [46][49] Question: Royalty rates for gene edits as a service - Management noted that the speed and scalability of their gene editing process allow for favorable negotiations on trait royalties, as customers can see value added quickly [51][52] Question: Scale of fragrance projects - The company is currently focused on a few fragrances but sees potential to scale quickly, targeting around 17 fragrances for future development [53]