Summary of SenesTech (SNES) 2025 Conference Call Company Overview - **Company**: SenesTech, a biotech and life sciences company focused on rodent control through reproductive management rather than lethal methods [5][6] - **Ticker Symbol**: SNES, traded on NASDAQ [4] Core Product and Market Strategy - **Flagship Product**: Evolve, launched in 2024, is a soft bait designed for rodent fertility control, which has quickly become the top-selling product [12][14] - **Sales Growth**: Evolve sales grew by 40% year-over-year in Q1 2025 [15][37] - **Market Opportunity**: The U.S. rodenticide market is estimated at $1 billion annually, with a global market of $4.5 billion [34] Unique Selling Proposition - **Sustainable Approach**: Focus on controlling the birth rate of rodents rather than relying on poisons, which have social, political, and ecological drawbacks [6][8][30] - **Product Safety**: Evolve is designated as a minimum risk product by the EPA, using cottonseed oil as the active ingredient, making it safer for pets and wildlife [14][16] Distribution Channels - **Six Channel Strategy**: Includes e-commerce, agriculture distributors, pest management distributors, retail (e.g., Ace Hardware), international distributors, and direct sales to large customers [18][19] - **E-commerce Growth**: E-commerce sales increased by over 7%, with a run rate approaching $60,000 to $70,000 per month [20][21] Municipal and International Opportunities - **Municipal Deployments**: Significant projects in Chicago and New York City, with repeat orders indicating product effectiveness [23][24][25] - **International Expansion**: Exclusive distribution agreements signed in 12 countries, with expected approvals in Australia and New Zealand [27][28] Financial Performance - **Revenue Growth**: Record revenue of $1.9 million in 2024, up 56% from the previous year [39] - **Gross Margin Improvement**: Gross margins for Evolve reached 64%, compared to 32% in Q1 of the previous year [40] - **Cost Optimization**: Initiatives to reduce operating costs include pausing new product development and optimizing sales efforts [44] Future Outlook - **Path to Profitability**: Aiming for cash flow breakeven at approximately $1.5 million per quarter, with current revenues around $500,000 per quarter [45][46] - **Market Trends**: Increasing awareness of the need for humane rodent control solutions due to public health concerns and regulatory changes [52][53] Key Takeaways - **Transformative Opportunity**: SenesTech believes it has a paradigm-changing product that addresses long-standing rodent control issues in a sustainable manner [55][56] - **Execution Strategy**: Focus on expanding market presence, improving product offerings, and enhancing operational efficiencies to drive future growth [54][56]