Financial Data and Key Metrics Changes - Revenues for Q4 2025 were $96.5 million, with an operating income of $8.4 million on a fully reported basis, or $28.6 million when excluding the impact of a non-cash impairment related to the Bodil Knutsen [4] - Net income on a fully reported basis was a loss of $6.2 million, whereas it was net income of $14 million when excluding the impairment [4] - Adjusted EBITDA was $59.3 million, and as of December 31, 2025, the company had $137 million in available liquidity, consisting of $89 million in cash and cash equivalents and $48 million in undrawn capacity on credit facilities, which was $11.8 million higher than September 30 [4] Business Line Data and Key Metrics Changes - The company operated with a 99.5% utilization rate, accounting for the scheduled dry docking of Synnøve Knutsen, resulting in an overall utilization of 96.4% [5] - A cash distribution of $0.026 per common unit was declared following Q4, paid in February [5] Market Data and Key Metrics Changes - The markets in both Brazil and the North Sea are tightening, driven by FPSO startups, ramp-ups, expansions, and technology-driven increases in production [8] - The backlog as of December 31, 2025, was sustained at $929 million in fixed contracts averaging 2.6 years, with potential for more if all options are exercised [8] Company Strategy and Development Direction - The company is focused on capital allocation decisions, including distributions, buybacks, and investments in the fleet, with no direct formula for prioritizing these options [26][36] - The company is encouraged by its refinancing experiences and the strong signal regarding lenders' continued appetite for financing [10] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the tightening market and expanding backlog, indicating a positive momentum heading into spring 2026 [7] - The company noted that Petrobras continues to deploy significant capital expenditures into a long-term FPSO pipeline, which is expected to increase shuttle tanker demand [12][13] Other Important Information - The company entered into a $71.1 million senior secured term loan facility to refinance Synnøve Knutsen early in Q4 [5] - The discussions regarding the unsolicited offer from KNOT to buy publicly owned common units were concluded with no transaction recommended [3] Q&A Session Summary Question: Has there been a valuation of KNOP in connection with the TSSI bond issue? - Management indicated that anyone interested in the bond's circumstances should refer to the offering materials, as they were not directly aware of any valuation exercises on KNOP [17] Question: What is the rationale behind reducing the useful life of vessels from 23 to 20 years? - Management explained that the useful life is a measure of how long a vessel is expected to stay with the current owner, and clients typically prefer vessels under 20 years [19] Question: What will it take for the dividend to come back? - Management stated that capital allocation is continually assessed by directors, and there is no direct formula for when to increase distributions [26] Question: Will the annual general meeting be scheduled for this year? - Management confirmed the intention to satisfy the obligation to hold a meeting during 2026 [28] Question: How is the company prioritizing adding vessels to the fleet? - Management noted that there is no direct priority among capital allocation options, and all are considered simultaneously [36]

Financial Data and Key Metrics Changes - Revenues for Q4 2025 were $96.5 million, with an operating income of $8.4 million on a fully reported basis, or $28.6 million when excluding the impact of a non-cash impairment related to the Bodil Knutsen [4] - Net income on a fully reported basis was a loss of $6.2 million, whereas it was net income of $14 million when excluding the impairment [4] - Adjusted EBITDA was $59.3 million, and as of December 31, 2025, the company had $137 million in available liquidity, consisting of $89 million in cash and cash equivalents and $48 million in undrawn capacity on credit facilities, which was $11.8 million higher than September 30 [4] Business Line Data and Key Metrics Changes - The company operated with a 99.5% utilization rate, accounting for the scheduled dry docking of Synnøve Knutsen, resulting in an overall utilization of 96.4% [5] - The company secured a time charter for Fortaleza Knutsen with KNOT to commence in Q2 2026, lasting between 1-3 years [6] Market Data and Key Metrics Changes - The markets in Brazil and the North Sea are tightening, driven by FPSO startups, ramp-ups, expansions, and technology-driven increases in production [7][8] - The backlog as of December 31, 2025, was $929 million in fixed contracts averaging 2.6 years, with potential for more if all options are exercised [8] Company Strategy and Development Direction - The company is focused on capital allocation decisions, including distributions, buybacks, and investments in the fleet through drop-downs, which are essential for fleet rejuvenation [11][12] - The company is encouraged by its refinancing experiences and the strong signal regarding lenders' continued appetite for financing [10] Management's Comments on Operating Environment and Future Outlook - Management noted a strong financial position compared to previous years and emphasized that capital allocation decisions are under continual review [26][27] - The company believes that shuttle tanker demand will absorb the current order book, indicating a medium-term shortage of shuttle tankers against forthcoming production [13] Other Important Information - The company has a fleet of 19 vessels with an average age of 10.2 years and is continuing to repay debt at a rate of $90 million or more per year [9] - The average margin on floating rate debt during Q4 was 2.2% over SOFR [10] Q&A Session Summary Question: Has there been a valuation of KNOP in connection with the TSSI bond? - Management indicated that anyone interested in the bond's circumstances should refer to the offering materials, as they are not directly aware of valuation exercises on KNOP [17] Question: What is the rationale behind reducing the useful life of vessels from 23 to 20 years? - Management explained that the useful life is a measure of how long a vessel is expected to stay with a current owner, and clients typically prefer vessels under 20 years [19] Question: What will it take for the dividend to come back? - Management stated that capital allocation is continually assessed by directors, and there is no direct formula for when dividends will be increased [26] Question: Are there any priorities for drop-downs versus dividends or debt repayment? - Management clarified that there is no working priority among different capital allocation options, and all are considered simultaneously [35]

Financial Data and Key Metrics Changes - In 2025, the company's revenue was RMB 2.4 billion, a decrease of 26% year-over-year [9] - Operating profit grew by 47% year-over-year to RMB 164 million in the second half of 2025, with an operating margin of 7.9% [8] - Operating expenses (OpEx) in the second half dropped 38% year-over-year to RMB 1.3 billion, demonstrating effective cost-saving initiatives [8][10] Business Line Data and Key Metrics Changes - Revenue from gaming and application services decreased by 30% to RMB 3.3 billion, attributed to the optimization of flagship IP [9][11] - The MY business revenue declined by 43% to RMB 1.2 billion, primarily due to the disposal of the Singapore early education business [12] - Despite revenue declines, the gross margin for gaming and application services remained high at 67% [11] Market Data and Key Metrics Changes - The company is optimistic about growth opportunities in Africa and Asia, indicating a focus on expanding its addressable market [6][12] - The management noted challenges in the U.S. market due to economic uncertainties, impacting overall performance [5] Company Strategy and Development Direction - The company is focusing on leveraging AI for growth and cost optimization, transitioning from optimization to execution [4][6] - Plans to introduce native AI games and expand product lines to capture new market opportunities [5][17] - The company aims to maintain profitability while committing to shareholder returns, including a dividend of no less than HKD 1 [23][32] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism about market recovery in 2026, contingent on geopolitical stability, particularly in the Middle East [16][27] - The company is committed to aggressive cost optimization and expects to return to growth by the end of 2026 [26][30] Other Important Information - The company received an ESG rating of A, reflecting its commitment to sustainable practices [26] - The introduction of the AP10 product is expected to enhance service deployment capabilities [17] Q&A Session Summary Question: What is the company's progression with overseas business expansion with Zhongke WengAI? - The partnership is progressing well, with new products expected to be announced soon [51][54] Question: Is there any CapEx plan for AI-related development? - The company plans to double its CapEx in the AI area, expecting RMB 300 million in 2025 [53][54] Question: What is the latest development of the Thailand project? - The project is advancing, focusing on using AI to teach and assess capabilities, with strong support from the local government [56][58]

Financial Data and Key Metrics Changes - In 2025, the company achieved an operating profit of RMB 164 million, representing a 47% year-over-year growth and a 41% half-over-half growth [9] - The operating margin improved to 7.9%, an increase of almost 3 percentage points year-over-year and half-over-half [9] - Full-year revenue for 2025 was RMB 2.4 billion, down 26% year-over-year, with gaming and application services revenue decreasing by 30% to RMB 3.3 billion [10] - Gross profit was RMB 3.1 billion, down 30% year-over-year [10] - Operating expenses (OpEx) in the second half dropped 38% year-over-year to RMB 1.3 billion, demonstrating effective cost-saving initiatives [9][10] Business Line Data and Key Metrics Changes - The gaming and application services segment saw a revenue decline of 30% to HKD 3.3 billion, but maintained a gross margin of 67% [12] - The Mynd.ai business experienced a 43% revenue decline to RMB 1.2 billion, primarily due to the disposal of the Singapore early education business [13] - Despite the revenue decline, the gross margin for the Mynd.ai business remained stable at 35% [13] Market Data and Key Metrics Changes - The company noted challenges in the global economy and uncertainty in U.S. policies affecting its largest market [5] - The management expressed optimism about growth opportunities in Africa and Asia, indicating a focus on expanding market presence in these regions [6] Company Strategy and Development Direction - The company is focusing on leveraging AI for growth and cost optimization, transitioning from optimization to execution of costs [4][6] - There is a commitment to enhance shareholder returns, with a dividend of no less than HKD 1 per share planned for 2026 [25] - The company aims to maintain profitability while applying AI and expects to return to growth towards the end of 2026 [29] Management's Comments on Operating Environment and Future Outlook - Management acknowledged the challenging macro environment but highlighted a meaningful recovery in the second half of 2025 [9] - The outlook for 2026 is cautiously optimistic, with expectations of market recovery and growth opportunities in AI and education sectors [6][32] - The company is committed to aggressive cost optimization to ensure EBITDA breakeven and maintain cash flow [34][35] Other Important Information - The company won the Company of the Year award at BETT, a significant recognition in the education sector [20] - The management is working on a sovereign education large language model to cater to the needs of developing countries [30][31] - The company received an ESG rating of A, reflecting its commitment to environmental, social, and governance standards [28] Q&A Session Summary Question: What is the company's progression with overseas business expansion with Zhongke WengAI? - The company is on the verge of announcing new products for both Hong Kong and overseas markets, with positive progress in the partnership with Zhongke WengAI [46][47] Question: Is there any CapEx plan for AI-related development or investment? - The company plans to double its CapEx in the AI area, expecting to reach RMB 300 million in 2025 [45] Question: What is the latest development of the Thailand project and other national-level projects? - The Thailand project is progressing well, focusing on using AI to teach people how to use AI tools, with expectations for continued collaboration with the government [48][49]

Financial Data and Key Metrics Changes - In the second half of 2025, operating profit grew 47% year-over-year to RMB 164 million, with an operating margin of 7.9%, up nearly 3 percentage points year-over-year [9] - Full year revenue for 2025 was RMB 2.4 billion, down 26% year-over-year, with gaming and application services revenue decreasing by 30% to RMB 3.3 billion [10] - Operating expenses in the second half dropped 38% year-over-year to RMB 1.3 billion, demonstrating effective cost-saving initiatives [9][10] Business Line Data and Key Metrics Changes - Gaming and application services revenue decreased by 30% to HKD 3.3 billion, but gross margin remained high at 67% [12] - MY business revenue declined 43% to RMB 1.2 billion, primarily due to the disposal of the Singapore early education business [13] - Despite revenue declines, the core segmental profit margin for gaming increased by 3.9 percentage points to 27.4% [12] Market Data and Key Metrics Changes - The company is optimistic about growth opportunities in Africa and Asia, leveraging AI technology to enhance market presence [7][8] - The education sector faces challenges due to global economic uncertainties, particularly in the U.S. market [6] Company Strategy and Development Direction - The company aims to leverage AI for growth, transitioning from cost optimization to execution [5] - A focus on developing native AI games and expanding product lines to capture a larger addressable market is emphasized [5][7] - The introduction of the sovereign education large language model aims to cater to local needs in both developed and developing countries [27][28] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism about market recovery in 2026, contingent on geopolitical stability, particularly in the Middle East [16][26] - The company plans to maintain profitability while applying AI to optimize costs and enhance growth [25][26] Other Important Information - The company committed to a dividend of no less than HKD 1 for 2026 and plans to return no less than HKD 600 million to shareholders [23][34] - The company received an A rating for its ESG efforts, indicating a strong commitment to sustainability [25] Q&A Session Questions and Answers Question: What is the company's progression with overseas business expansion with Zhongke WengAI? - The company is on the verge of announcing new products for both Hong Kong and overseas markets, with positive progress in the partnership with Zhongke WengAI [42][43] Question: Is there any CapEx plan or guidance for AI-related development? - The company plans to double its CapEx in the AI area, expecting to reach RMB 300 million in 2025 [41] Question: What is the latest development of the Thailand project and other national-level projects? - The Thailand project is progressing well, focusing on using AI to teach and assess capabilities, with expectations for continued collaboration with the local government [44][46]

Financial Data and Key Metrics Changes - Full-year EPS for fiscal 2025 was $1.90, exceeding consensus expectations [4] - Gross profit margin exceeded 35% for the fifth consecutive year, ending at 36.6% for the full year, an increase of 100 basis points from fiscal 2024 [4][18] - Net sales for the full fiscal year were $1.135 billion, a decline of 5.6% compared to the previous year [18] - Fourth quarter net sales were $254.1 million, a decline of 3.4% from $262.9 million in the same quarter of fiscal 2024 [15] Business Line Data and Key Metrics Changes - Shoe Station's net sales grew 2.7% for the year, while Shoe Carnival's sales declined [5][18] - Shoe Station represented 21% of total net sales, with a low single-digit comparable store sales decline in the fourth quarter [15][18] - The performance gap between Shoe Station and Shoe Carnival is acknowledged, with efforts to improve Shoe Carnival's performance [5] Market Data and Key Metrics Changes - Shoe Station's e-commerce performance was strong, indicating broad consumer resonance beyond physical store locations [5] - The holiday selling environment was highly competitive, impacting sales strategies [16] Company Strategy and Development Direction - The company plans to focus on reducing inventory, completing targeted rebanners, and controlling costs in fiscal 2026 [10] - A disciplined approach to the rebanner program is being adopted, with approximately 21 stores planned for conversion before back-to-school 2026 [8][10] - The board remains committed to Shoe Station as the long-term growth vehicle, with a proposed name change to Shoe Station Group, Incorporated [8] Management's Comments on Operating Environment and Future Outlook - Management acknowledges the near-term earnings pressure but emphasizes a clear plan to manage through it [14] - The company expects gross profit margin to decline to approximately 34% in fiscal 2026, primarily due to tariff-driven cost increases and the non-recurrence of prior price increases [27][29] - Management is optimistic about the potential for improvement in the second half of fiscal 2026 as adjustments to product assortments are made [68] Other Important Information - The company ended fiscal 2025 debt-free for the 21st consecutive year, with over $130 million in cash and securities [4][22] - A quarterly cash dividend of $0.17 per share was approved, marking the twelfth consecutive year of dividend increases [12][13] Q&A Session Summary Question: Variability in Shoe Station in-store performance - Management indicated that the variability is due to a combination of factors including demographics and product assortment, and adjustments are being made to improve performance [33][34] Question: Future of the two banners - Management confirmed the intention to operate both Shoe Station and Shoe Carnival, adjusting product mixes based on demographics [37][38] Question: Guidance for fiscal 2026 - Management expects a better second half for sales compared to the first half, with specific improvements anticipated [83]

Financial Data and Key Metrics Changes - Revenue and other income amounted to EUR 9 million, including EUR 2.8 million from licensing and collaboration agreements and EUR 6.2 million in governmental funding for research expenditures [55] - Operating expenses were EUR 63 million, with R&D expenses decreasing by 16% year-over-year to EUR 43.6 million, reflecting study maturity and reduced indirect R&D expenses [56] - Cash position at the end of 2025 was EUR 44.8 million, providing funding visibility until the end of the third quarter of 2026 [57] Business Line Data and Key Metrics Changes - Focus on three priority programs: lacutamab, IPH4502, and monalizumab, with significant progress reported in each [6][11] - Lacutamab received FDA clearance for the TELLOMAK 3 phase III trial, expected to initiate in the second half of 2026 [8][18] - IPH4502 is advancing rapidly with early signs of antitumor activity in heavily pretreated patients, particularly in urothelial cancer [9][40] Market Data and Key Metrics Changes - Estimated 300 incident patients per year in Sézary syndrome in the U.S., with a prevalence of around 1,000 patients, primarily treated in specialized academic centers [22] - Mycosis fungoides represents a larger opportunity with approximately 3,000 incident patients per year and a prevalence of around 12,000 patients in the U.S. [25] - Mogamulizumab generated approximately $300 million in annual sales in 2025, projected to reach $350 million in 2026 [25] Company Strategy and Development Direction - Company aims to deliver high-value differentiated therapies for patients with significant unmet medical needs, focusing on late-stage development of its pipeline [4][5] - Strategic focus on three high-value clinical assets allows for concentrated resource allocation to generate clinical impact and long-term value [6] - Plans to leverage internal expertise and platform capabilities to advance the next generation of antibody-drug conjugates (ADCs) [6] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the potential of IPH4502 to address significant unmet needs in the post-PADCEV setting and expand into other tumor types [60] - The company is negotiating non-dilutive financing options to support the initiation of the TELLOMAK 3 study for lacutamab [61] - Upcoming data readouts for monalizumab and IPH4502 are expected to create inflection points for the company [110] Other Important Information - The partnership with AstraZeneca for monalizumab includes potential milestones of up to $1.275 billion, with $450 million already received [52] - The MATISSE phase II trial for IPH5201 is ongoing, with results from an interim analysis expected to be presented at the AACR Annual Meeting [51] Q&A Session Summary Question: Updates on IPH4502 program and competitive positioning - Management highlighted strong interest in IPH4502 and its differentiation as a topo 1 ADC, focusing on the post-PADCEV setting [66] Question: MATISSE interim data presentation at AACR - The interim analysis will provide insights into the trial's efficacy and the potential path forward for lung cancer development [70] Question: Collaboration revenue from monalizumab program - Management clarified that revenue from the old agreement has dropped as the project is now fully under AstraZeneca's control [72] Question: Updates on lacutamab partnership discussions - Management is evaluating options for financing and partnership structures to maximize shareholder value [90] Question: Sales infrastructure for lacutamab - If pursued independently, a small sales team of around 20 people would be needed, focusing on specialized academic centers [105]

Financial Data and Key Metrics Changes - Full-year EPS for fiscal 2025 was $1.90, exceeding consensus estimates [4] - Gross profit margin exceeded 35% for the fifth consecutive year [4] - Net sales for the fourth quarter were $254.1 million, a decline of 3.4% from $262.9 million in the fourth quarter of fiscal 2024 [15] - Comparable store sales declined 3.5% in the fourth quarter [15] - Full-year net sales were $1.135 billion, a decline of 5.6% [18] - Full-year gross profit margin was 36.6%, an increase of 100 basis points from fiscal 2024 [18] - SG&A expenses for the full year were $348.4 million, or 30.7% of net sales, compared to 28.0% in fiscal 2024 [21] Business Line Data and Key Metrics Changes - Shoe Station's net sales grew 2.7% for the year, while Shoe Carnival sales declined [5] - Shoe Station represented 21% of total net sales for the full year [18] - Rogan's Shoes, now integrated into Shoe Station, generated $15.5 million in net sales [16] Market Data and Key Metrics Changes - Shoe Station's e-commerce performance was strong, demonstrating broad consumer resonance [5] - The performance gap between Shoe Carnival and Shoe Station is acknowledged, with efforts to improve Shoe Carnival's performance [5] Company Strategy and Development Direction - The company plans to focus on reducing inventory, completing targeted rebanners, and controlling costs in fiscal 2026 [9] - Approximately 21 stores are planned for rebanner before back-to-school 2026 [10] - The board remains committed to Shoe Station as the long-term growth vehicle, with a proposed name change to Shoe Station Group, Incorporated [8] Management's Comments on Operating Environment and Future Outlook - Management acknowledges the competitive holiday environment and the decision to avoid unprofitable sales [4] - The company expects near-term gross margin pressure due to inventory reduction efforts [10] - Fiscal 2026 guidance reflects a decline in EPS to $1.40-$1.60, primarily due to gross margin compression [12] Other Important Information - The company ended fiscal 2025 debt-free for the 21st consecutive year, with over $130 million in cash and securities [4] - A quarterly cash dividend of $0.17 per share was approved, marking the twelfth consecutive year of dividend increases [12] Q&A Session Summary Question: Variability in Shoe Station in-store performance - Management indicated that variability is due to a mix of factors including demographics and product assortment, and adjustments are being made to improve performance [33][34] Question: Future of the two banners - Management confirmed the intention to operate both Shoe Carnival and Shoe Station, with adjustments to product mix based on demographics [37][38] Question: Guidance for first quarter margins - Management noted that the first half of fiscal 2026 will experience more margin pressure due to previous pricing strategies and tariff impacts [40][42] Question: Impact of tax refunds on business - Management stated that various economic factors make it difficult to attribute business trends solely to tax refunds [78] Question: Expectations for fiscal 2027 - Management anticipates a return to more historical gross profit margins in fiscal 2027, with ongoing evaluations of store performance and rebanner strategies [75][76]

Financial Data and Key Metrics Changes - Revenue and other income amounted to EUR 9 million, including EUR 2.8 million from licensing and collaboration agreements and EUR 6.2 million in governmental funding for research expenditures [33] - Operating expenses were EUR 63 million, with R&D expenses decreasing by 16% year-over-year to EUR 43.6 million, reflecting study maturity and reduced indirect R&D expenses [33] - Cash position at the end of 2025 was EUR 44.8 million, providing funding visibility until the end of the third quarter of 2026 [33] Business Line Data and Key Metrics Changes - The company is prioritizing three high-value clinical assets: IPH4502, lacutamab, and monalizumab, focusing resources on these areas to generate clinical impact and long-term value [5][6] - Lacutamab has received FDA clearance to proceed with the TELLOMAK 3 phase III trial, expected to initiate in the second half of 2026 [7][10] - IPH4502 is progressing rapidly with early signs of antitumor activity in heavily pretreated patients, particularly in urothelial cancer [7][8] Market Data and Key Metrics Changes - The market for lacutamab in CTCL is concentrated, with approximately 300 incident patients per year in Sézary syndrome and around 1,000 patients in total, primarily treated in specialized academic centers [14][15] - Mycosis fungoides represents a larger opportunity with approximately 3,000 incident patients per year and a prevalence of around 12,000 patients in the U.S. [15] - Mogamulizumab generated approximately $300 million in annual sales in 2025, projected to reach $350 million in 2026, highlighting the market potential for lacutamab [15] Company Strategy and Development Direction - The company aims to advance its pipeline of differentiated therapies for significant unmet medical needs, focusing on late-stage development and key clinical and regulatory milestones [4][5] - A streamlined organization supports efficient decision-making and disciplined capital allocation, with a redundancy plan expected to be completed by the end of April [5] - The strategic focus on high-value clinical assets allows the company to concentrate resources effectively [5] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the progress of IPH4502 and its potential to address unmet needs in the post-PADCEV setting, with a focus on expanding into earlier lines of therapy [36] - The company is negotiating non-dilutive financing options to support the initiation of the TELLOMAK 3 study for lacutamab [36] - The upcoming data readouts for monalizumab and IPH4502 are expected to create significant inflection points for the company [36][37] Other Important Information - The partnership with AstraZeneca for monalizumab and IPH5201 includes potential milestone payments of up to $1.275 billion and $885 million, respectively [31][32] - The MATISSE phase II trial for IPH5201 is ongoing, with results from an interim analysis expected to be presented at the AACR Annual Meeting [30][44] Q&A Session Summary Question: Can you provide specifics regarding the IPH4502 program and its competitive positioning? - Management highlighted strong interest in IPH4502 and its differentiation as a Topo 1 ADC, focusing on the post-PADCEV setting [40][41] Question: What can be expected from the MATISSE interim data presentation at AACR? - The interim analysis will provide insights into the trial's efficacy and the potential path forward for development in lung cancer [44] Question: What is the status of collaboration revenue from the monalizumab program? - Revenue from the collaboration has dropped as the project is now fully under AstraZeneca's control, with future development dependent on upcoming results [46] Question: How does CD39 fit in relation to CD73 in the context of the MATISSE trial? - CD39 is upstream in the adenosine pathway, and blocking it can enhance immune stimulation, making it a valuable target in combination with chemotherapy [55][56] Question: What sales infrastructure is the company considering for lacutamab? - The company is evaluating whether to build its own sales team or partner with a BD partner, estimating a small commercial infrastructure would suffice for the CTCL market [72]

Financial Data and Key Metrics Changes - Revenue and other income for 2025 amounted to EUR 9 million, including EUR 2.8 million from licensing and collaboration agreements and EUR 6.2 million in governmental funding for research expenditures [33] - Operating expenses were EUR 63 million, with R&D expenses at EUR 43.6 million, a decrease of 16% year-over-year, reflecting study maturity and reduced indirect R&D expenses [33] - Cash position at the end of 2025 was EUR 44.8 million, providing funding visibility until the end of Q3 2026 [33] Business Line Data and Key Metrics Changes - The company is focusing on three high-value clinical assets: IPH4502, lacutamab, and monalizumab, with significant progress reported in their development [5][6] - IPH4502 is showing preliminary antitumor activity in heavily pretreated patients, particularly in urothelial cancer [7][23] - Lacutamab has received FDA clearance for the TELLOMAK 3 phase III trial, expected to initiate in the second half of 2026 [9][10] Market Data and Key Metrics Changes - In the U.S., there are approximately 300 incident patients per year in Sézary syndrome, with a prevalence of around 1,000 patients, primarily treated in specialized academic centers [14][15] - Mycosis fungoides represents a larger opportunity with approximately 3,000 incident patients per year and a prevalence of around 12,000 patients in the U.S. [16] Company Strategy and Development Direction - The company aims to deliver high-value differentiated therapies for significant unmet medical needs, focusing on late-stage development of its pipeline [5][6] - A strategic focus on IPH4502, lacutamab, and monalizumab allows for concentrated resource allocation to generate clinical impact and long-term value [6] - The company is exploring potential pharma partnerships and royalty-based structures to support late-stage development while preserving shareholder value [7] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the progress of their clinical programs and the potential for multiple catalysts in the near and medium term [8][36] - The company is negotiating non-dilutive financing options to support the initiation of the TELLOMAK 3 study for lacutamab [36] Other Important Information - The partnership with AstraZeneca for monalizumab and IPH5201 includes significant milestone payments, with potential royalties on sales [31][32] - The company has streamlined its organization to ensure efficient decision-making and disciplined capital allocation [6] Q&A Session Summary Question: Can you provide specifics regarding the IPH4502 program and its competitive positioning? - Management highlighted strong interest in IPH4502 and its differentiation as a Topo 1 ADC, focusing on the post-PADCEV setting [39][40] Question: What can be expected from the MATISSE interim data presentation at AACR? - The interim analysis will provide insights into the trial's efficacy and the potential path forward for development in lung cancer [42][44] Question: How is the collaboration revenue from the monalizumab program expected to evolve? - Future development will depend on upcoming results from the PACIFIC-9 trial, with current revenue reflecting the transition to AstraZeneca's control [45] Question: What updates can be shared regarding lacutamab's partnership discussions? - The company is evaluating options for financing and partnerships to bring lacutamab to market efficiently [58][60] Question: What kind of sales infrastructure is being considered for lacutamab? - If pursued independently, a small sales team of around 20 people would be sufficient due to the concentrated treatment landscape [70][71]