Financial Data and Key Metrics Changes - The company reported a net loss of $74.3 million or $0.20 per share for Q2 2025, compared to a net loss of $20.2 million or $0.06 per share for the same period in 2024 [32] - Free cash flow for Q2 2025 was negative $10.7 million, an improvement from negative $12.2 million in Q2 2024 [33] - The cash balance increased significantly to approximately $120 million by July 4, 2025, following various capital raises [30][34] Business Line Data and Key Metrics Changes - The Pre-Feasibility Study (PFS) indicated a combined project net present value (NPV) of over $23 billion, with a clear capital-efficient path to first production [9][28] - The estimated recoverable nodules for the PFS is 164 million wet tons, with an assumed production start date in Q4 2027 and a life of mine of just over 18 years [21][22] - The revenue mix is expected to be 45% from nickel products, 28% from manganese, 17% from copper, and 9% from cobalt [24] Market Data and Key Metrics Changes - The company has renewed and strengthened agreements with the Republic of Nauru and the Kingdom of Tonga, emphasizing a science-based approach to developing the seabed mining industry [12] - The strategic investment of $85 million from Korea Zinc positions the company to supply refined metals in South Korea and potentially build new facilities in the USA [13] Company Strategy and Development Direction - The company aims to adapt to a capital-light approach while advancing its projects, maintaining a competitive edge in the seabed mining industry [8] - The focus is on achieving regulatory certainty and moving towards first production, with a target date set for Q4 2027 [10][11] - The company plans to build refining capacity in the USA to support its production and contribute to US mineral independence [25][70] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism about the regulatory environment, noting daily communication with NOAA and a supportive administration [42][43] - The company anticipates good news from regulators and expects to maintain a regular cadence of updates as it progresses through the permitting process [41][44] - There is confidence in the ability to manage normal business risks and supply chain issues, with a strong board and partnerships in place [52] Other Important Information - The company is pursuing funding opportunities from various US government departments for both offshore and onshore components of its operations [66][68] - The anticipated ramp-up in profitability is expected to support significant capital expenditures for onshore refining capacity after production begins [25][27] Q&A Session Summary Question: What work needs to be done to get through the feasibility level and the timeline? - The focus will be on finalizing agreements with Allsys and preparing for the investment decision to order long lead items for production [39] Question: What are the next major steps or milestones regarding permitting under NOAA? - The company expects good news from NOAA and is in daily contact with regulators, anticipating changes to fast-track permitting [41][42] Question: What factors could accelerate or slow down progress towards production? - Management believes there are no significant regulatory hurdles, and the focus will be on managing supply chain issues [52] Question: How will the capital expenditures be split among partners? - The breakdown of capital expenditures is still being finalized, but there is a long-standing assumption of splitting pre-production costs with Allsys [63] Question: Are there funding opportunities available for the offshore side? - The company is actively pursuing funding from various US government programs for both offshore and onshore components [66][68] Question: Could the processing plant development be expedited? - The company could accelerate the development of processing facilities if favorable terms are available from funding agencies [70]

Financial Data and Key Metrics Changes - Revenue for the fourth quarter was $1.9 billion, up 12% quarter over quarter and 8% year over year, exceeding guidance [5][17] - Non-GAAP earnings per share for the quarter were $0.29, above the guidance range of a loss of $0.10 to a profit of $0.15 [19] - Non-GAAP gross margin for the fourth quarter was 26.4%, up 370 basis points from the prior quarter [18] Business Line Data and Key Metrics Changes - Cloud revenue for the fourth quarter was $213 million, up 8% sequentially and 25% year over year [18] - Client revenue was $1.1 billion, up 19% sequentially and 3% year over year [18] - Consumer revenue was $585 million, up 2% quarter over quarter and 12% year over year [18] Market Data and Key Metrics Changes - Data center represented over 12% of total bits shipped in the fourth quarter, indicating significant growth in this market [9] - Hyperscale capital expenditure in the U.S. is estimated to grow 47% year over year to $368 billion, with rising investments in Asia and Europe [11] Company Strategy and Development Direction - The company is transitioning to BIX-eight as its prominent node, which is expected to drive significant financial improvement and expanding margins [7][8] - The strategy focuses on the adoption of QLC-based SSDs and PCIe Gen five and six solutions to meet the demands of AI and data-intensive workloads [11][12] - Continued innovation in flash-based storage is emphasized, with a commitment to product development and strategic partnerships in the gaming sector [13][14] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism about fiscal year 2026, anticipating a favorable supply-demand dynamic and continued demand exceeding supply [6][27] - The company plans to manage supply in line with demand, adjusting wafer starts and underutilizing fabs when necessary [22] - Management highlighted the importance of navigating tariffs and maintaining a competitive edge in the global market [60] Other Important Information - The company reduced inventory days from 150 to 135, reflecting improved demand-supply alignment [20] - A significant focus on high bandwidth flash memory technology was noted, with expectations for product samples by 2027 [15][16] Q&A Session Summary Question: Can you provide more depth on gross margins? - Management indicated that underutilization costs are decreasing, with startup costs impacting gross margins significantly [30] Question: What is the strategy behind the high bandwidth flash partnership? - The partnership aims to standardize technology for broader applicability across various markets, including AI workloads [34][36] Question: How do you view the growth in client demand in the second half of the year? - Management sees consistent demand from customers, with normalized inventory levels and an undersupplied market [58] Question: What is the outlook for the data center side? - The company aims to increase its market share in the data center segment, with ongoing qualifications and product launches [66] Question: How is the company navigating competitive dynamics in China? - The company views China as an attractive market and is confident in its ability to compete effectively [82] Question: What are the expectations for startup costs moving forward? - Management expects startup costs to decrease significantly in the upcoming quarters, with minimal impacts anticipated [46][71]

Financial Data and Key Metrics Changes - Revenue for the second quarter totaled approximately $61,000, a decrease from $183,000 in the prior year [16] - Gross margin increased to 43% from 32% in the previous year [16] - Net loss attributable to common stockholders was $36,000,000 for the second quarter, compared to a net loss of $5,000,000 in the prior year [19] - Total assets increased to $426,000,000 from $154,000,000 at the end of 2024 [19] - Cash and equivalents rose by $270,000,000 in the first half of 2025 to $349,000,000 [19] - Total liabilities decreased by approximately $16,000,000 compared to year-end 2024 [20] Business Line Data and Key Metrics Changes - The company secured an order for a quantum photonic vibrometer from a leading research institute in the Netherlands, indicating commercial adoption of quantum technologies [10] - A major global automotive manufacturer purchased an EMUCORE reservoir computing system, showcasing the application of quantum technologies in edge-based machine learning [11] - The company announced a subcontract valued at over $400,000 to support NASA, highlighting the practical applications of its quantum systems [12] Market Data and Key Metrics Changes - The company is experiencing growing validation of its technologies through customer orders across quantum systems and photonic chip foundry [5] - There is strong momentum around domestic semiconductor and photonic manufacturing, creating new commercial opportunities for the foundry [7] Company Strategy and Development Direction - The growth strategy is centered on two complementary revenue streams: quantum machines and thin film photonic chip foundry [6] - The company aims to integrate quantum machines with nanophotonic chips to enhance performance and reduce costs [24][25] - The foundry is expected to support further development of quantum machines while also offering services to other companies [25] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the company's position within the evolving quantum ecosystem, emphasizing the importance of delivering real-world solutions [21] - The company is focused on scaling its business to meet increasing demand for quantum technologies [8] Other Important Information - The company completed a $200,000,000 financing round, strengthening its capital position [17] - Operating expenses for the second quarter totaled $10,200,000, driven primarily by increased employee-based expenses [18] - The company was added to the Russell 3000 and Russell 2000 indices, increasing visibility among institutional investors [14] Q&A Session Summary Question: What are the most important milestones for the next one to three years? - Management highlighted the integration of quantum machines with nanophotonic chips as a key focus for the next two to three years [24] Question: Any intentions to accelerate spending or pursue M&A? - Management indicated that while they are hiring additional staff to accelerate technology development, there are no current plans for acquisitions [27][28]

Financial Data and Key Metrics Changes - Applied Materials reported total net revenue of approximately $7.3 billion, an 8% increase year over year, exceeding guidance by about $100 million [19] - Non-GAAP gross margin was 48.9%, up 150 basis points year over year, driven by product mix and pricing strategies [19] - Non-GAAP earnings per share reached a record $2.48, reflecting a 17% year-over-year increase due to revenue growth and share repurchases [20] Business Line Data and Key Metrics Changes - Semiconductor Systems revenue was $5.43 billion, up 10% year over year, with growth in foundry logic and DRAM, partially offset by declines in ICAPS nodes [20] - Applied Global Services (AGS) revenue was $1.6 billion, a 1% increase year over year, with core services growing approximately 10% [21] - Display business revenue was $263 million, with a non-GAAP operating margin of 23.6% [22] Market Data and Key Metrics Changes - China accounted for approximately 35% of revenue in Q3, expected to decrease to about 29% in Q4 due to moderating customer spending [24] - The company is tracking over 100 new fabs or major fab expansion projects globally, a 10% increase from the previous year [9] Company Strategy and Development Direction - The company plans to invest over $200 million in Arizona to establish a state-of-the-art facility for manufacturing specialized components [9] - Applied Materials is focusing on AI leadership, with significant investments in infrastructure and R&D to support advanced manufacturing capacity [8] - The company expects to grow its advanced packaging business to over $3 billion in the coming years, driven by innovations in energy-efficient computing [13][71] Management's Comments on Operating Environment and Future Outlook - Management anticipates sequentially lower revenue and earnings in Q4 due to uncertainties in the China business and nonlinear demand from leading-edge customers [5][24] - Despite short-term challenges, the long-term growth thesis for the semiconductor industry remains intact, with expectations for market share gains as new technologies ramp up [17][26] Other Important Information - The company generated approximately $2.6 billion in cash from operations, representing 36% of revenue, and distributed about $1.4 billion to shareholders through dividends and share repurchases [23] - Non-GAAP operating expenses were $1.3 billion, slightly down as a percentage of revenue due to optimized spending [19] Q&A Session Summary Question: Can you discuss the incremental source of weakness in the outlook, particularly regarding China and leading-edge logic? - Management indicated that lower visibility in China is expected to persist for several quarters, with a significant backlog of pending export license applications affecting outlook [30][31] Question: Was China significantly stronger than expected in Q3? - Management confirmed that the quarter played out as expected, with no major surprises in the mix, although leading-edge spending was slightly less than anticipated [38][39] Question: What are the expectations for DRAM growth and its sustainability? - Management expressed confidence in strong DRAM growth, expecting it to be either a record or nearly record year, driven by leading-edge customers [85] Question: How is the advanced packaging segment expected to perform? - Management expects steady growth in advanced packaging, with plans to double the business to over $3 billion in the coming years [71] Question: What is the outlook for leading-edge logic and the associated share position? - Management remains confident in their strong position with leading-edge logic customers, expecting significant revenue growth as new technologies ramp [111][114]

Financial Data and Key Metrics Changes - Revenue for Q2 2025 was €614.2 million, representing a 4.5% year-over-year growth, with a 1% growth in organic constant currency and 0.5% sequential growth [7][32] - Non-IFRS adjusted operating margin was 15% for the quarter, maintaining stability despite foreign exchange headwinds [32] - Non-IFRS adjusted diluted EPS for the quarter was $1.53, an increase from $1.51 in the previous year [32] - Free cash flow for the quarter was negative $2.9 million, an improvement from negative $28 million in the same period last year [33] Business Line Data and Key Metrics Changes - The AI Pods model has gained traction, with 18 clients adopting the subscription model, contributing significantly to pipeline growth [10][41] - The company reported 49 clients generating over €10 million in annual revenue, up from 39 a year ago [20] - The revenue mix is diverse, with North America accounting for 54.1%, Latin America 19.7%, Europe 19.6%, and new markets 6.6% [18][19] Market Data and Key Metrics Changes - North America remains the largest market, but Latin America showed strong recovery with new records in bookings [18][19] - Europe is the fastest-growing region, up 8.1% sequentially, with major wins in aviation and financial services [19] - New markets grew 84% year-over-year, with the Middle East leading this surge [19] Company Strategy and Development Direction - The company is focusing on AI-driven solutions and has launched a new go-to-market strategy centered around AI industry studios and the 100 square accounts [34] - A business optimization plan was executed, resulting in a reduction of approximately 1,000 employees (3% of the workforce) to align with strategic priorities [35] - The company aims to ensure structural agility to compete effectively in an evolving landscape while delivering strong results for shareholders [8][21] Management's Comments on Operating Environment and Future Outlook - Management noted that the macro environment has extended sales cycles, but they remain optimistic about converting the pipeline into signed work [7][50] - The company expects revenue for 2025 to be at least $2.445 billion, representing 1.2% year-over-year growth [38] - Management expressed cautious optimism regarding the recovery in North America and Latin America, with signs of stabilization and growth [72][74] Other Important Information - The company has strengthened its position in the robotics and AI ecosystem by investing in InOrbit, enhancing capabilities in advanced orchestration of robotic systems [17] - A multiyear collaboration with OpenAI and a strategic partnership with Amazon Web Services were announced to enhance AI adoption [15][30] Q&A Session Summary Question: Inquiry about the AI-based delivery model and subscription clients - Management confirmed that 18 clients have adopted the subscription model, which has been well received and is generating significant pipeline growth [41][44] Question: Discussion on optimization progress and headcount reduction - Management indicated that additional reductions are expected in Q3, with most of the optimization plan already implemented [52][53] Question: Performance of the creative pillar relative to other studios - Management noted that the creative pillar has been growing nicely and is not expected to be significantly impacted by AI [56][60] Question: Stickiness of the enterprise AI platform compared to traditional engagements - Management stated that the enterprise AI platform is becoming essential for clients, enhancing engagement and reducing churn [66][68] Question: Details on larger deals in the pipeline - Management highlighted significant deals in the financial services and healthcare sectors in the US, indicating a positive trend in the pipeline [71][72] Question: Assumptions around revised growth outlook and conservatism - Management explained that the revised guidance reflects stabilization in Latin America and a positive outlook for the US market [77][78] Question: North American deceleration and pipeline conversion trends - Management acknowledged a sequential decline in North America but expressed optimism about pipeline growth and deal closures [94][95]

Financial Data and Key Metrics Changes - Applied Materials reported total net revenue of approximately $7.3 billion, an 8% increase year over year, exceeding guidance by about $100 million [17] - Non-GAAP gross margin was 48.9%, up 150 basis points year over year, driven by product and segment mix and pricing [17] - Non-GAAP earnings per share reached a record $2.48, a 17% increase year over year [18] Business Segment Data and Key Metrics Changes - Semiconductor Systems revenue was $5.43 billion, up 10% year over year, with growth in foundry logic and DRAM, partially offset by decreases in ICAPS nodes [18] - Applied Global Services (AGS) revenue was $1.6 billion, up 1% year over year, with core services growing approximately 10% [19] - Display business revenue was $263 million, with a non-GAAP operating margin of 23.6% [20] Market Data and Key Metrics Changes - China accounted for approximately 35% of revenue in Q3, expected to decrease to about 29% in Q4 due to moderating customer spending [21] - The company is tracking over 100 new fabs or major fab expansion projects globally, a 10% increase from the previous year [7] Company Strategy and Development Direction - The company plans to invest over $200 million in Arizona to establish a state-of-the-art facility for manufacturing specialized components [7] - Applied Materials is focused on leadership in AI, with significant investments in infrastructure and R&D to support advanced manufacturing capacity [6] - The company expects to grow its advanced packaging business to over $3 billion in the coming years, driven by innovations in power electronics and energy-efficient computing [12][69] Management's Comments on Operating Environment and Future Outlook - Management anticipates sequentially lower revenue and earnings in Q4 due to uncertainties in the China business and nonlinear demand from leading-edge customers [4][21] - Despite short-term challenges, the long-term growth thesis for the semiconductor industry remains intact, with expectations for continued market share gains [15][24] - Management highlighted that the demand for DRAM is expected to grow by around 50% in fiscal 2025, driven by AI-related technologies [11][50] Other Important Information - The company generated approximately $2.6 billion in cash from operations, representing 36% of revenue, and distributed about $1.4 billion to shareholders through dividends and share repurchases [20] - Non-GAAP operating expenses were $1.3 billion, slightly down as a percentage of revenue due to optimized G&A spending [17] Q&A Session Summary Question: Concerns about the outlook for China and leading-edge logic - Management indicated that lower visibility in China is expected to persist for several quarters, with a digestion phase following large shipments in previous years [28][29] - The leading-edge logic demand is strong, but order patterns are uneven due to market concentration and timing issues [30][31] Question: Clarification on China revenue strength - Management confirmed that the quarter played out as expected, with no significant changes in the flow from leading-edge spending [36][37] Question: Future growth expectations for DRAM - Management expects DRAM growth to be sustainable, with strong demand driven by leading-edge customers [82] Question: Advanced packaging growth expectations - Management anticipates steady growth in advanced packaging, with plans to double the business to over $3 billion in the coming years [69][70] Question: Licensing backlog impact - Management highlighted a significant backlog of pending export licenses but did not include any revenue from this backlog in their outlook [59][60]

Financial Data and Key Metrics Changes - In Q2 2025, the company achieved record revenue of approximately $4 million, up 63% from the same quarter in 2024 [5][26] - The first quarterly profit was reported at $0.22 per share, attributed to the Bitcoin treasury strategy [5] - The balance sheet includes approximately $140 million in cash and Bitcoin, indicating strong capitalization for growth [6][29] - Product revenue increased by 74% year over year, while service revenue decreased by 57% [27] Business Line Data and Key Metrics Changes - Product revenue per customer grew by 4.6%, while service revenue per customer declined by 50% [27] - Gross margin for Q2 was 18%, down due to unanticipated labor hours and Bitcoin price effects [28] - The company is transitioning from a design and testing service model to a product-focused model, with expectations to double revenue in 2025 compared to 2024 [6][7] Market Data and Key Metrics Changes - The subsea battery system market is projected to grow from approximately $1.2 billion in 2024 to $3.5 billion by 2035 [20] - The company is exploring new markets, including exoskeleton technology, which is expected to grow quickly and contribute to revenue in 2025 [23] Company Strategy and Development Direction - The company aims to leverage its Bitcoin treasury strategy to build a portfolio of frontier technologies, including high-performance energy systems and AI robotics [13][24] - The Cooler One platform is positioned as a key growth engine, with plans to introduce new products for unmanned vehicles and industrial applications [6][7] - The company is focused on enhancing shareholder communications and addressing negative sentiments in the market [10][11] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the company's growth trajectory, emphasizing the importance of the Cooler One platform and its advanced battery products [16][21] - The management acknowledged the challenges posed by negative market sentiments and short-selling reports but remains focused on long-term growth [11][72] Other Important Information - The company has no material debts and maintains a strong cash position, with a current accounts receivable of about $4.2 million [29] - The reverse stock split was executed to attract institutional investors, not for compliance reasons [9][12] Q&A Session Summary Question: What is the traction with DOD regarding Vibe and helicopters? - The product can balance various helicopters, and significant work has been done with DOD customers [30][31] Question: Why are SG&A costs increasing while sales growth is not keeping pace? - SG&A costs reflect planned investments for future growth, despite record revenue [33][34] Question: Why should shareholders continue to hold shares given dilution concerns? - The ATM strategy has strengthened the balance sheet, allowing for continued investment in growth areas [36][37] Question: Is there any class action lawsuit against the company? - The company is not aware of any class action litigation against it or its officers [44] Question: What is the current status of the K1DS testing services division? - The investment in K1DS has been completed, and the focus is now on strategic key customers [63] Question: What is the rationale behind the reverse stock split? - The reverse split was voluntary to attract institutional investors and strengthen the shareholder base [39][66] Question: What is the company's strategy regarding Bitcoin and product development? - Bitcoin is a key part of the treasury strategy, but the company continues to focus on technology and product development [76] Question: What is the current hash rate and target for Bitcoin mining? - The current hash rate is approximately 900 petahash, with a target to reach one exahash by fall [77][78] Question: What is the status of the Texas Space Commission order? - The grant program is progressing well, and a satellite manufacturing partner is being selected [79]

Financial Data and Key Metrics Changes - Revenue net of returns totaled $86,000 for Q2 2025 compared to $140,000 in Q2 2024, and $156,000 for the first half of 2025 compared to $474,000 for the first half of 2024, reflecting a significant decline due to decreased unit sales of ClearUp [16][17] - Cost of sales decreased to $32,000 from $110,000 in the year-ago quarter, and gross margins increased to 63% for Q2 2025 compared to 21% a year ago, driven by reductions in product support and fulfillment costs [17][18] - Net loss was $1,900,000 for Q2 2025 compared with $1,300,000 for Q2 2024, and $3,400,000 for the first half of 2025 compared with $2,700,000 for the first half of 2024 [18][19] Business Line Data and Key Metrics Changes - The decline in revenue was primarily due to reduced unit sales of ClearUp, as the company intentionally decreased marketing expenditures to focus on advancing its TLR5 program [17] - Operating expenses increased to $2,000,000 for Q2 2025 compared with $1,300,000 for Q2 2024, mainly due to increased research and development investments in the biologics program [18] Market Data and Key Metrics Changes - The market for neutropenia drugs is projected to be between $19 billion to $24 billion over the next few years, with entolimod potentially addressing a significant portion of this market [10] Company Strategy and Development Direction - The company is transitioning towards the biopharmaceutical market and away from the consumer device market, planning to exit the consumer health tech business by year-end [14] - The exclusive licensing of Sotero Biopharma's TLR5 portfolio is expected to provide a late-stage, highly derisked drug candidate, with significant sales potential from government contracts for acute radiation syndrome (ARS) treatments [4][5] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the potential of entolimod and its derivatives to treat radiation and chemotherapy side effects, emphasizing the importance of their strategic pipeline [11][12] - The company is focused on advancing its clinical and commercial opportunities, with key milestones including the transfer of existing INDs and validation of GMP materials [22][23] Other Important Information - The company raised gross proceeds of $900,000 through equity financing, which will support progress towards GMP manufacturing validation for entolimod [19] - Management highlighted the importance of talent acquisition to support clinical work and government relations, indicating a strategic alignment with their new focus [21] Q&A Session Summary - No specific questions and answers were provided in the content, thus this section is not applicable.

Financial Data and Key Metrics Changes - The company reported revenue of $11.1 million, a $2.1 million or 22% increase year-over-year, with a gross margin of 57% compared to 51% last year, significantly above guidance of 45% to 50% [14] - The net loss for the quarter was $3.5 million, with adjusted EBITDA of negative $2.1 million, compared to a net loss of $3.1 million and adjusted EBITDA of $1.4 million in the prior year quarter [14][15] - Cash and cash equivalents stood at $2 million as of June 30, 2025, with $8.9 million available on a $12.5 million working capital facility [15][16] Business Line Data and Key Metrics Changes - Streaming business delivered 4 billion total minutes viewed, up 38% year-over-year, and 20% sequentially, with total streaming viewers climbing to 214 million, up 24% [17][18] - Subscriber count grew to 1.4 million, an increase of 5% year-over-year and 1% over the prior quarter [18] - The advertising business saw a 57% year-over-year growth driven by new and returning advertisers, despite mixed performance in open market programmatic [19] Market Data and Key Metrics Changes - The company is entering the microseries market, projected to reach $10 billion by February 2027, with a joint venture for MicroCo aimed at becoming a first mover in this rapidly growing market [12][26] - The Cineverse channel has grown more than 4300% since January, indicating strong traction in the market [18] Company Strategy and Development Direction - The company is focusing on expanding its theatrical releasing business and building out its technology product, with significant investments in sales, legal, marketing, and technology [7][14] - The strategy includes leveraging unique assets in streaming, content, technology, and AI to create a competitive advantage in the microseries space [13][26] - The Motion Picture Group is building a strong slate of wide releases, targeting identifiable audiences and creating event viewing experiences [27][32] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in seeing strong returns from investments made in the current quarter, expecting improved top and bottom line results for the remainder of the fiscal year [7][14] - The company is optimistic about the upcoming releases, including "The Toxic Avenger" and "Air Bud Returns," which are expected to resonate well with audiences [10][11][28] - Management highlighted the importance of engaging with fans and delivering films they want to see, emphasizing a commitment to innovative approaches in distribution and marketing [31][32] Other Important Information - The company has no long-term debt and has reduced outstanding warrants to 700,000, positioning itself favorably for future growth [15][16] - The marketing campaign for "The Toxic Avenger" was noted as a significant success, receiving extensive media coverage and positive fan engagement [30] Q&A Session Summary Question: Why partner with Cineverse for MicroCo? - Management highlighted the unique collection of assets Cineverse has built, making it an attractive partner for entering the microseries market, which is expected to be a $10 billion business [36][41] Question: What is the investment strategy for MicroCo? - The company plans to bootstrap and fund the launch internally with potential for additional equity partners if needed, emphasizing the scalability of the business [45] Question: What progress has been made with MatchPoint technology? - Management reported significant inroads in bringing MatchPoint to market, with a tripled pipeline of potential deals and a focus on targeting larger studios for meaningful revenue [51][52] Question: How is the podcast revenue strategy evolving? - The company is shifting from programmatic sales to direct sales with a dedicated team, already seeing significant deals coming in, indicating a strong belief in future revenue growth from this segment [55][56]

Financial Data and Key Metrics Changes - For the second quarter of 2025, the company reported revenues of approximately $422,000 from commercial sales of the RenovaCATH device, driven by new customer purchase orders and early repeat orders [17] - Research and development expenses were $1.4 million, reflecting a $100,000 decrease from the same quarter year over year [17] - The company ended the quarter with $12.3 million in cash and cash equivalents [17] Business Line Data and Key Metrics Changes - The RenovaCATH device achieved over $400,000 in sales in the second quarter, marking a significant accomplishment shortly after its launch [7][11] - The company has randomized 95 patients in the Phase three TIGER PACT trial, with 61 events occurring, keeping it on track to complete enrollment later this year or early next year [10][13] Market Data and Key Metrics Changes - The initial U.S. total addressable market for the RenovaCATH device is estimated at $400 million in peak annual sales opportunity [12] - The company believes there is potential for a several billion dollar total addressable market as it expands into additional cancer applications [12] Company Strategy and Development Direction - The company aims to transform patient outcomes through safer, more effective targeted therapy, particularly for difficult-to-treat cancers like locally advanced pancreatic cancer [10] - The company is focused on building commercialization momentum while maintaining a lean operational structure [11] - The company plans to explore international markets after establishing a strong presence in the U.S. [41] Management's Comments on Operating Environment and Future Outlook - Management expressed excitement about the positive recommendation from the independent data monitoring committee (DMC) to continue the TIGER PACT trial, indicating confidence in the trial's potential outcomes [9][13] - The company anticipates a ramp-up in enrollment pace due to the addition of larger cancer centers [29] Other Important Information - The company launched a multicenter post-marketing registry study called PANTHER to evaluate the safety and effectiveness of the RenovaCATH device in real-world clinical settings [14] - The company is exploring the use of the RenovaCATH device for various solid tumors beyond pancreatic cancer, including cholangiocarcinoma and non-small cell lung cancer [52][53] Q&A Session Summary Question: Clarification on trial patient numbers - Management confirmed that the DMC's feedback was positive, and the trial will maintain the same sample size without adding patients [22] Question: Timing for data from the PANTHER trial - Management indicated that data from the PANTHER study will be published as interesting findings arise, without a specific timeline [31] Question: Update on partnerships with top cancer centers - Management reported that they are currently in 13 hospitals with approvals to purchase the device, with four centers already treating patients [39] Question: Revenue from clinical studies vs. commercial sales - Management clarified that the reported revenue of $422,000 is from new customers outside of the clinical trial, with no revenue recognized from the TIGER PACT trial [46] Question: Plans for international market expansion - Management stated that while the focus is currently on the U.S. market, there are plans to explore international opportunities in the future [41] Question: Gross margins sustainability - Management expressed confidence that gross margins could increase towards the 70% to 90% range as the company scales [72] Question: Future revenue expectations - Management anticipates growth throughout the year, with a significant ramp-up expected in 2026 as the sales team is fully established [76]