Financial Data and Key Metrics Changes - The company reported Q1 revenue of $14 million, rebounding from $12.4 million in Q4 of fiscal 2025, indicating a recovery from previous softness [3][7] - Year-over-year revenue comparison appears flat, but the current quarter is viewed as a return to stability and the start of renewed momentum [8] - GAAP loss from operations was $0.5 million compared to income of $1.3 million in the same quarter last year, with adjusted EBITDA slightly positive at $60,000 [8][9] Business Line Data and Key Metrics Changes - Research services contributed $13.7 million to the total revenue, while the data business provided the remaining amount [7] - Gross margin decreased to 43% from 50% year-over-year, primarily due to increased outsourced lab service costs [8][9] - Operating expenses rose to $6 million, with intentional increases in R&D and sales and marketing to support the data business [9] Market Data and Key Metrics Changes - Customer cancellations have decreased, and bookings to revenue conversion has improved, indicating stronger customer relationships [4] - The macro environment remains challenging, but there are signs of improvement in biotech funding and R&D budgets [3][4] Company Strategy and Development Direction - The company aims to drive value opportunities in Corellia and its data business while expanding its core TOS platform [3][4] - The focus is on integrating radiopharmaceutical services to enhance customer offerings and improve gross margins [4][5] - The company is optimistic about the long-term potential of AI and machine learning in drug discovery [5] Management's Comments on Operating Environment and Future Outlook - Management expresses cautious optimism regarding the investment landscape, noting improvements in budget constraints [20][21] - The company anticipates sequential revenue growth and margin expansion as operations improve [11] - There is confidence in the ability to execute and deliver shareholder value, supported by a strong balance sheet and no debt [11] Other Important Information - The company ended Q1 with $10.3 million in cash, up $0.5 million from year-end, and expects to remain cash neutral in Q2 [10][11] - Management emphasizes the importance of investments in R&D and sales and marketing for future growth [9] Q&A Session Summary Question: Changes in data licensing business strategy - Management confirmed no changes in strategy for the data licensing business, with early wins and customer engagement being encouraging [14] Question: Size of the opportunity in the data business - Management stated it is too early to predict the exact size and success of the data opportunity, but there is potential and interest [15] Question: Deal structuring for Corellia - Management is looking for external partners and funding to support Corellia's advancement, with compelling data emerging from the platform [16] Question: Broader investment landscape - Management described the environment as tough but cautiously optimistic about improvements in market conditions [20] Question: Revenue expectations for Q2 - Management anticipates revenue will increase on a quarterly basis but did not provide specific guidance on numbers [27]