Financial Data and Key Metrics Changes - Operating expenses net for 2025 decreased to approximately $13.8 million from approximately $22 million in 2024, reflecting a significant reduction in costs [17] - Revenues for 2025 totaled approximately $3.9 million, down from approximately $5.6 million in the previous year, primarily due to lower revenue from AgPlenus [22] - The net loss for 2025 was approximately $7.8 million compared to approximately $18.1 million in the same period last year, indicating improved financial performance [31] Business Line Data and Key Metrics Changes - R&D expenses for 2025 were approximately $8 million, a decrease of approximately $4.5 million compared to 2024, mainly due to reduced expenses in Biomica, Casterra, and AgPlenus [24] - Sales and marketing expenses for 2025 were approximately $1.5 million, down from approximately $2 million in the previous year, reflecting cost-cutting measures [25] - AgPlenus continues to apply ChemPass AI for the development of novel herbicides and fungicides, with expectations for growth through collaborations with Bayer and Corteva [14] Market Data and Key Metrics Changes - Casterra Ag ceased operations in Kenya and is focusing on the Brazilian market, leading to an impairment of approximately $2.2 million related to seed inventory [19] - The agricultural market has seen a decline in demand, affecting Casterra's operations, but there is an expectation of increased collaboration opportunities as the need for innovation grows [41] Company Strategy and Development Direction - The company has shifted its focus to two high-impact markets: human health and agriculture, utilizing the ChemPass AI platform for drug development and ag chemicals [8] - The strategic transformation includes discontinuing non-core activities and resizing the organization to enhance operational efficiency [7] - The long-term goal is to develop a proprietary product pipeline while becoming the partner of choice for small molecule discovery and optimization [15] Management's Comments on Operating Environment and Future Outlook - Management highlighted the importance of strategic partnerships and collaborations to enhance the company's capabilities and market position [12] - The company expects to maintain sufficient cash flow for operations for at least a year and a half, even without additional financial transactions [36] - Management anticipates significant future catalysts, including technology collaborations and partnerships with larger biotech and ag chemical companies [39][41] Other Important Information - The company recognized a gain on the sale of Lavie Bio's assets, amounting to approximately $6.4 million, which contributed to the income from discontinued operations [31] - As of December 31, 2025, the company held approximately $13 million in cash equivalents and short-term bank deposits [21] Q&A Session Summary Question: Can you speak to the terms of the BMC128 license agreement with Lishan Pharmaceuticals? - The agreement includes milestone payments based on the advancement of BMC128 and revenue sharing from the end product [34] Question: Can you speak to the magnitude of cash potentially coming in from Lavie Bio and Biomica? - Expected cash from Lavie Bio and Biomica will satisfy operational needs for at least mid-next year, with sufficient cash for over a year and a half [36] Question: What are the expected investor catalysts over the coming 12 months? - Anticipated catalysts include technology collaborations with companies like Google, additional agreements with biotech and pharma companies, and collaborations with ag chemical companies [39][41]

Financial Data and Key Metrics Changes - For the nine months ending September 30, 2025, revenues were approximately $3.5 million, a decrease from $4 million in the same period last year, primarily due to lower revenue from AgPlenus activity [9][31] - Total operating loss for the nine months of 2025 was approximately $8.8 million, significantly reduced from approximately $15.3 million in the same period of 2024, mainly due to decreased operating expenses [10][35] - The net loss for the nine months of 2025 was approximately $2.5 million, compared to approximately $18 million in the same period last year, reflecting a $15.5 million decrease primarily due to reduced operating expenses and income from discontinued operations [37][38] Business Line Data and Key Metrics Changes - Lavie Bio's financial results are presented as a single line item in Evogene's consolidated P&L statement, reflecting the sale of the majority of its activities to ICL, which generated income of approximately $7.9 million in Q3 2025 [9][29] - Research and development expenses for the nine months of 2025 were approximately $6.2 million, down from $9.8 million in the same period of 2024, attributed to reduced R&D expenses in Biomica and the cessation of Canonic's operations [31][32] - Sales and marketing expenses for the nine months of 2025 totaled approximately $1.2 million, a decrease from approximately $1.6 million in the same period last year, mainly due to personnel cost reductions [10][32] Market Data and Key Metrics Changes - The global agricultural market was valued at $79 billion in 2024, with significant opportunities for new product development in herbicides, insecticides, and fungicides [21] - The pharmaceutical market for small molecule-based drugs is valued at approximately $780 billion, representing nearly 60% of the global pharmaceutical market [24] Company Strategy and Development Direction - The company is transitioning to focus on computational chemistry, particularly in the generative design of small molecules for the pharmaceutical and agriculture industries [7][27] - The strategy includes leveraging the proprietary generative AI tech engine, Campus AI, to design novel small molecules that meet multiple parameters for commercial success [18][27] - The company aims to strengthen collaborations with leading global companies in both the agriculture and pharmaceutical sectors to drive innovation and product development [20][25] Management's Comments on Operating Environment and Future Outlook - Management highlighted the increased interest in AI-driven drug discovery following recent partnerships in the industry, indicating a positive outlook for Evogene's technology [41][42] - The company expects to announce additional collaborations with biotech companies and academic institutions in the near future, aiming to enhance its market position [46][50] - Management expressed confidence in the potential for success in the pharmaceutical sector, emphasizing the unique capabilities of their team and technology [56][57] Other Important Information - The company completed a cost reduction plan by the end of Q2 2025, which is reflected in the reduced operating expenses in Q3 2025 [8][29] - The cash balance as of September 30, 2025, was approximately $16 million, reflecting proceeds from the sale of Lavie Bio's assets [10][30] Q&A Session Summary Question: Has the levels of interest in AI champs increased post the recent NVIDIA Eli Lilly AI drug discovery partnerships? - Management noted that the announcement increased interest in AI-related companies in the pharma industry, and Evogene has seen growing interest in its technology [41][42] Question: How close are you to unlocking partners with AI champs? - Management indicated an increase in potential candidates for collaboration and expects to announce new partnerships with biotech companies early next year [45][46] Question: What is the IR strategy going forward? - Management confirmed plans to initiate roadshows and participate in conferences to enhance awareness of the company's new strategy and technology [47][49] Question: Could you highlight upcoming catalysts over the coming 6-12 months? - Management outlined expectations for new collaborations in both the pharma and ag divisions, as well as potential announcements regarding partnerships with major tech companies [50][51] Question: What type of revenue level can we expect for customer seeds in Q4 and for 2026? - Management refrained from disclosing specific revenue levels but mentioned ongoing discussions with strategic companies that could significantly impact future revenue [52][53] Question: How excited are you about AI champs compared to all your other times at Evogene? - Management expressed optimism about the focus on the pharma industry and the potential for significant financial rewards from successful collaborations [54][56]

Financial Data and Key Metrics Changes - For the nine months ending September 30, 2025, revenues were approximately $3.5 million, a decrease from approximately $4 million in the same period last year, primarily due to lower revenue from AgPlenus activity [9][31] - Total operating loss for the nine months of 2025 was approximately $8.8 million, a significant decrease from approximately $15.3 million in the same period of the previous year, mainly due to reduced operating expenses [10][35] - The net loss for the nine months of 2025 was approximately $2.5 million compared to approximately $18 million in the same period last year, reflecting a $15.5 million decrease primarily due to decreased operating expenses and income from discontinued operations [37][38] Business Line Data and Key Metrics Changes - The financial results of Lavie Bio, Evogene's subsidiary, are presented as a single line item in the consolidated P&L statement for 2025, reflecting the sale of the majority of its activities to ICL [8][29] - Research and development expenses for the nine months of 2025 were approximately $6.2 million, a decrease of approximately $3.6 million compared to $9.8 million in the nine months of 2024, primarily due to reduced R&D expenses in Biomica and the cessation of Canonic's operations [31][32] - Sales and marketing expenses for the nine months of 2025 were approximately $1.2 million, a decrease of approximately $400,000 compared to approximately $1.6 million in the same period last year, mainly due to personnel cost reductions [10][32] Market Data and Key Metrics Changes - The global agricultural market was valued at $79 billion in 2024, with significant opportunities for new product development in herbicides, insecticides, and fungicides [21] - The global pharmaceutical market for small molecule-based drugs is valued at approximately $780 billion, representing nearly 60% of the market [23] Company Strategy and Development Direction - The company is transitioning to focus on computational chemistry and generative design of small molecules for the pharmaceutical and agriculture industries [6][7] - The strategy includes leveraging the proprietary generative AI tech engine, Campus AI, to design novel small molecules that meet multiple parameters for commercial success [12][18] - The company aims to strengthen collaborations with leading global companies in both agriculture and pharmaceuticals to drive innovation and product development [28][25] Management's Comments on Operating Environment and Future Outlook - Management highlighted the increased interest in AI-driven drug discovery following recent partnerships in the industry, indicating a positive outlook for Evogene's technology [39][40] - The company expects to announce additional collaborations in the pharma division and expand existing partnerships in agriculture, which are anticipated to generate cash inflows [47][48] Other Important Information - The company completed a cost reduction plan, which is reflected in the reduced operating expenses for the third quarter of 2025 [8][29] - The cash balance as of September 30, 2025, was approximately $16 million, reflecting proceeds from the sale of Lavie Bio's assets [10][30] Q&A Session Summary Question: Has the levels of interest in AI champs increased post the recent NVIDIA Eli Lilly AI drug discovery partnerships? - Management noted that the announcement increased interest in AI-related activities in the pharma industry, and they have seen growing interest in their technology [39][40] Question: How close are you to unlocking partners with AI champs? - Management indicated that interest has increased significantly, and they expect to announce new collaborations with biotech companies early next year [43][44] Question: What is the IR strategy going forward? - Management confirmed that they will focus on presenting the new company strategy and will initiate roadshows and participate in conferences to increase visibility [45][46] Question: Could you highlight upcoming catalysts over the coming 6-12 months? - Management expects to announce new collaborations in both the pharma and ag divisions, as well as additional partnerships with major tech companies [47] Question: What type of revenue level can we expect for customer seeds in Q4 and for 2026? - Management refrained from disclosing specific revenue levels but mentioned ongoing discussions with strategic companies that could significantly impact future revenue [48] Question: How excited are you about AI champs compared to all your other times at Evogene? - Management expressed optimism about the focus on the pharma industry, highlighting the unique expertise of their team and the potential for significant financial rewards [49][50]