Full Transcript: VolitionRX Q1 2026 Earnings Call

VolitionRX (AMEX:VNRX) held its first-quarter earnings conference call on Friday. Below is the complete transcript from the call. Benzinga APIs provide real-time access to earnings call transcripts and financial data. Visit https://www.benzinga.com/apis/ to learn more. View the webcast at https://viavid.webcasts.com/starthere.jsp?ei=1763344&tp_key=adca3f50c1 Summary VolitionRX Ltd reported a significant increase in revenue, reaching approximately $1 million in Q1 2026 compared to $0.2 million in Q1 2025, primarily due to deferred revenue recognition from a new Q Vet agreement. Operating expenses rose to $6.3 million, reflecting severance costs and increased R&D expenses, but the company noted a reduction in overall expenditure levels. Cash and cash equivalents at the end of the quarter were $3.1 million, supported by proceeds from an ATM facility and a convertible note issuance. The company highlighted progress in its veterinary products, particularly in automation and product validation, and announced advancements in feline cancer detection with a potential $5 million milestone payment upon publication. Significant progress was reported in the NUQ NETS platform, with promising studies in trauma and chronic diseases, and the development of a finger-prick test for sepsis. VolitionRX Ltd expanded its collaborator network and launched an online shop for recombinant nucleosomes, aiming to leverage its IP and expand revenue streams. The company is actively pursuing licensing agreements with multiple large diagnostic and liquid biopsy companies, with discussions in various stages. VolitionRX Ltd is preparing for the first clinical use of NUQ in lung cancer management and is working on obtaining reimbursement in France. Full Transcript OPERATOR Hello everyone. Thank you for standing by. Welcome to VolitionRX Ltd's first quarter 2026 earnings conference call. During today's presentation, all parties will be in a listen only mode. Following the presentation, the conference call will be open for questions. If you have a question, please press the star key followed by the number one on your touchtone phone. If you would like to withdraw your question, please press the star key followed by the number two. If you're using speaker equipment, please lift the handset before making your selections. This conference is being recorded today, May 15, 2026. I'd now like to turn the conference call over to Louise Batchelor, Group Chief Marketing and Communications Officer. Please go ahead. Louise Batchelor (Group Chief Marketing and Communications Officer) Thank you and welcome everyone to today's earnings conference call for VolitionRx Limited. Before we begin, I'd like to remind everyone that some of the information discussed on this conference call will include forward looking statements covered under the safe harbour provisions of the Private Securities Litigation Reform act of 1995. These statements are based on our beliefs as well as assumptions we have used based upon information currently available to us. Because these statements reflect our current views concerning future events, these statements involve risks, uncertainties and assumptions. Actual results may vary significantly based on a number of factors that may cause the actual results or events to be materially different from future results, performance or achievements expressed or implied by these statements. We have identified various risk factors associated with our operations in our most recent annual report on Form 10K, quarterly reports on Form 10Q and other filings with the securities and Exchange Commission. We do not undertake an obligation to update any forward looking statements made during the course of this call. Terry Cues, Group Chief Financial Officer, will open the call providing a financial report before handing over to Cameron Reynolds, Group Chief Executive Officer, who will provide a summary of recent key achievements and upcoming milestones. We will then open the conference call to a question and answer session and with that I'll turn the call over to Terry. Terry Cues (Group Chief Financial Officer) Thanks very much Lou and hello everyone. I am delighted to provide a financial report for the first quarter ending 31st of March 2026. From a revenue perspective, we recorded approximately $1 million in the first quarter compared to approximately $0.2 million in the same period of 2025. This increase was primarily driven by a 0.7 million increase in deferred revenue recognition related to our new Q Vet agreement with Hessca, the result of a periodic review and consistent with our accounting policies. As we have stated previously, at this stage of commercialisation revenues remain fairly lumpy and difficult to predict from quarter to the next. And so while we remain confident of continuing to see solid growth year over year, we will not be providing revenue guidance for 2026 at this point in time. From an expenditure perspective, the operating expenses for the quarter were $6.3 million compared to $5.8 million in the same period last year. This increase partly reflected severance costs related to cost reduction actions, which will result in future savings as well as higher R&D costs related to work on our CaptureSEEK and completion of certain lung cancer studies. As we reported in the recent 10k. Looking at the trend over the last two years, we now operate at significantly lower levels of expenditure. Furthermore, we have and will continue to take measures to reduce costs further. In 2026, net cash used in operating activities was $5.3 million compared with $4.3 million in Q1 2025, partly reflecting the timing of supplier payments. Cash and cash equivalents at the end of the quarter totalled approximately $3.1 million compared to $1.1 million at the end of December 2025. Receipts in the first quarter included approximately $5.4 million in net proceeds from our at the Market or ATM facility and $1.9 million in net proceeds from issuance of a convertible note to Lind Global Asset Management llc. We also continue to receive significant support from agencies of the Walloon region in Belgium with non dilutive funding of approximately $1 million received and an additional approximate $0.9 million expected to be received in tranches based on certain time and event milestones over the next 12 months. This takes the non dilutive funding support from all sources from inception to date to well over $25 million. So to summarize the finance report, revenue was up 300% year on year, operating loss was 3% lower year on year. We continue to work on reducing our underlying operating expenses and as reported, we have made progress to secure a $5 million milestone payment from an existing agreement in the vet space. Last but not least, licensing discussions are progressing well and to provide further detail Cameron Reynolds (Group Chief Executive Officer) I will pass over to Cameron thank you everyone for joining Volition's earnings call today. As always, we very much appreciate your time. Given the busy earnings season, the first quarter call always comes hot on the heels of the K, so I will try and be brief today. We have made some strong progress across all of our product pillars this year, so taking each in turn NUQ Vet the first quarter is always a busy conference season for the vet team and this year was no different with a booth and sponsored symposium at both VMX and WVC, the two largest veterinary conferences in the world. In March of this year we announced the completion of all validation and verification of the chemiluminescent immunoassay version of the Nu.Q Vet cancer test with Fuji Vet Systems in Japan allowing use of full automation rather than manual plates in central labs for dogs. This is a world first for us and will significantly enhance turnaround times and through foot to meet increasing demand. We believe that central lab automation is crucial for scaling our vet business and integrating our test into routine pet wellness panels. Importantly, this automation platform is the same technology utilized for our human diagnostic products New Q cancer, Nu.Q NETs and new Q Discover highlighting the inherent synergy and efficiency of our core nuq platform from a product expansion perspective, we have also made great progress with our research into the use of NuQ in cats. Subsequent to quarter end we announced the submission for peer review of a clinical manuscript reporting the high accuracy of our Nu.Q Vet feline prototype assay in detecting lymphoma in cats, the most common cancer in the species. At 97% specificity, the assay detected 86% of feline lymphomas. This breakthrough marks the development of what we expect to be the world's first simple, affordable blood based liquid biopsy test for feline cancer, a significant unmet need in vet medicine. This opens up the potential for cancer screening and monitoring in cats. There are more than 60 million cats in the US alone, 25% of which are senior cats and therefore suitable for an annual check. This represents a tremendous commercial opportunity for volition. The publication of this study in a peer reviewed journal is expected to subsequently unlock a $5 million contractual milestone payment and we also expect it will generate ongoing revenue in this large and growing market where our technology meets an unmet need. Incredibly quick progress from a product development perspective given it was only May last year that we reported detecting nucleosomes in cats, the third species for new Q. Next up Nu.Q NETs netosis really is an area of increasing scientific interest with a significant number of research articles published in recent years. I've spoken before about a number of manuscripts relating to the use of our Nu.Q NETs assay in sepsis and this quarter we reported findings in two further clinical indications. Firstly in January we shared a new clinical study demonstrating the use of Nu.Q NETs in patient management of a chronic disease, a lifelong disease which affects approximately 1% of the world's population. HS is a complex immune mediated disorder with multiple pro inflammatory cytokines contributing to its pathogenesis. The clinical presentation may also vary from person to person, making it challenging to manage. The findings described in the manuscript demonstrate that for the first time in an easy to measure blood test, nuqnets can be used to classify patients and to surrogate response to treatment. In February we sponsored a well attended satellite symposium with key opinion leader Professor Evangelos and are continuing further work in the field. We look forward to sharing further data as it becomes available from a chronic disease use case to very much an acute use case. Secondly, at the end of the quarter we were delighted to announce the publication of a study at the Mayo Clinic in the Shock Journal. The Mayo clinic study of 674 trauma patients demonstrated that nucleosome levels as measured by Volition's NuQ H3.1 and NuQ H3R8 citrulline are elevated in people that have experienced a traumatic event and are even higher in those patients that go on to have complications from the trauma. The numbers and data are quite stark and some of the most compelling data I have ever seen. Levels in healthy people were low at 22.3 ng ML. Those with trauma were elevated to 359.7 and those that went on to get venous thromboembolism VT EL were 828.4 on average over 37 times the level in Healthies. The identification of reliable biomarkers in trauma patients is a clinical challenge and remains an unmet need in emergency and surgical setting. Professor park, the principal investigator and senior author from the Mayo Clinic, said these biomarkers could aid in the early risk identification and may inform targeted preventative strategies in trauma care. For my part, I believe this is a significant study with clear data not only for the clinicians, patients and their families but but also for Volition. A peer reviewed publication with the Mayo Clinic research team can only support our efforts to commercialise our nuqnets products. The Mayo Clinic team have continued their work with NUQ and are very much looking forward to sharing further updates in the coming months. Next up for Nu.Q NETs, a quick update on the DetectSEPS program. As a reminder, Detects is a French government sponsored real world evaluation of the early detection of sepsis and Volition's Nu.Q NETs assay is the sole biomarker. The Detect SEPS program provides an opportunity to receive individualised and personalised care adjusted to the risk of deterioration and progression to sepsis. I'm very pleased to be able to say the program is on track and we hope the first patient will be recruited in the third quarter of this year, likely September. It is a privilege to be involved in such a program and we hope that through the earlier identification of sepsis lives can be saved, the quality of life of survivors can be improved and importantly the burden on the healthcare system can be reduced. Also subsequent to quarter end we were delighted to report the breakthrough finger prick detection of nucleosomes, thereby expanding global market potential for sepsis testing. This was a major technical the successful detection of nucleosomes in capillary blood from critically ill sepsis patients using our lateral flow prototype. This finger prick test sample could be used at the bedside, in the emergency room or even at home with a self test lateral flow kit similar to COVID 19 or pregnancy testing, thereby greatly expanding the potential market beyond centralised lab testing. The ability to rapidly identify high risk patients at the point of care by quantifying their nucleosome levels using a finger prick sample and simple lateral flow device could enable quicker clinical decision making and consequently better patient outcomes. We believe this is a potential game changer not only in diseases where time is critical such as sepsis, but also in significantly expanding potential use cases beyond traditional hospital infrastructure. It also creates a compelling pathway into underserved low income countries where lab infrastructure may be weak or non existent. An exciting development and one to keep an eye out for the future updates. Next I'd like to talk about our Nu.Q Discover pillar where we are commercializing our service offering for nucleosome based biomarkers to drug developers and researchers. The first quarter we were excited to expand our collaborator network and extend the access to Nu.Q Discover through a non exclusive agreement with Medical and Biological Labs CO MBL MBL is a leading provider of clinical research tools in Japan with a particular focus and track record in autoimmune diseases. Through our new 2Discover pillar we are now serving close to 100 clients worldwide including many top pharma and diagnostic companies accelerating disease research and drug development across multiple therapeutic areas. Some of these pharma companies are progressing to late stage clinical trials using our assays as pharmacodynamic biomarkers. Subsequent to quarter end we launched our R nuq web shop offering a range of reliable, ready to use recombinant nucleosomes that we have developed over the past 10 years. Manufactured in our ISO 13485 certified facility delivering reliable reproducibility and quality control, Volition's nucleosomes are stored and shipped at 4 degrees in glycerol free buffer, simplifying handling while preserving structural integrity and experimental performance, thereby providing rapid access to high quality nucleosomes for EPI drug researchers worldwide. This is a potential new source of revenue on our path to commercializing our very large IP portfolio. Moving on to Nu.Q Cancer and specifically nuq lung cancer, where the first clinical use of NUQ is now imminent. Nuq cancer represents a significant advancement in lung cancer patient management, offering clinicians an additional tool to enhance precision in treatment selection and monitoring. Research conducted by our long term collaborators in Taiwan and Leon demonstrates that our nuclear cancer technology empowers clinicians to make more informed treatment decisions and provides valuable new monitoring capabilities throughout the patient journey. Several manuscripts and conference posters and presentations have already been published and several more clinical papers have either recently been submitted for peer review. All will be in the coming weeks together. This evidence provides the basis of our reimbursement submission supported by our long term collaborators at the Hospices Civil de Lyon, one of Europe's leading cancer centres. Reimbursement is the next step on the path to the first use of NUQ in clinical practice, an exciting prospect which is core to Volition's mission. Using our tests to save lives. This submission is a significant undertaking and we hope to participate in pre submission meetings with the authorities in the coming weeks. Reimbursement will be a major milestone for Volition in the commercialisation and licensing of nuq in the human cancer field and once achieved we anticipate the introduction into clinical routine use in France late this year. The final pillar which has generated a tremendous amount of interest this quarter is capture seeking which we have had several announcements about. Volition is I believe the first company to demonstrate the isolation and analysis of greater than 99% pure circulating tumour derived DNA to set the scene. The biggest problem facing liquid biopsy worldwide is that the vast majority of circulating DNA in the blood plasma samples comes from healthy cells, not cancer cells. In a world first new technology, Volition has overcome this hurdle and and produce greater than 99% pure cancer derived plasma DNA sequencing sets for liquid biopsy. We resubmitted our manuscript in March available to view on Research Square. Our continuing work on CTCF-bound DNA has revealed what we believe to be an unprecedented new discovery that there is almost no CTCF-bound DNA in healthy plasma and almost all CTF bound in the blood of a cancer patient is is derived from cancer cells, that is it is virtually pure circulating tumour derived DNA. Removal of background normal cell free DNA from the blood to reveal this Level of tumour derived DNA has been a long term goal of liquid biopsy. In the updated manuscript we report a new two step method for preparing virtually pure circulating tumour DNA sets for cancer patients. Firstly, physical enrichment of the samples and secondly bioinformatic removal of virtually all remaining non tumour cell free DNA sequences from the DNA Sequences data set. This new method produces greater than 99% pure tumour DNA sequencing data sets for blood samples from cancer patients and whilst we capture a subset of the tumor DNA that is not all the tumor DNA in a sample, it is virtually pure cancer DNA. These methodological and technological breakthroughs represent a novel liquid biopsy method for a novel class of potentially thousands of liquid biopsy sequence biomarkers representing in our chief scientist's opinion, the biggest scientific breakthrough in cancer testing and monitoring in recent years. In addition to the manuscript we also released data this quarter from a blinded validation cohort of 81 subjects, colorectal and lung cancer patients being 59 and healthy controls being 22. And we are extremely encouraged by the results, particularly in early stage cancer detection where we detected over 95% of stage 1 and 2 cancers. For patients the potential significance is huge. If further validated in larger cohorts, CTCF CaptureSEEK could contribute to multi cancer early detection fulfilling a significant unmet clinical need. We also believe CaptureSEEK has the potential to play a role in cancer management including but not limited to minimal residual disease detection including tumour naive MRD and treatment monitoring, either alone or potentially in combination with other technologies. Volition is I believe the first liquid biopsy company to focus on circulating cell free nuclear proteins and we have filed a number of new patents to protect this technology. Our goal is to secure a wide range of licensing agreements in the human diagnostic space, mirroring our successful strategy in the vets market and we anticipate diverse deal structures with potential for upfront and milestone payments and future recurring revenue. We have developed a truly remarkable versatile platform and we are now working with governments and some of the biggest diagnostic and liquid biopsy companies to make our technology available worldwide as quickly as possible. We have continued to make good progress. Indeed I would say that we are delighted to have grown the commercial interest in CTCF in the first quarter with an increase in discussions including for technical evaluations. We set out 15 years ago to help save lives and improve outcomes for millions of patients worldwide and we are making huge progress towards that goal. With the first clinical use now imminent in both early sepsis and lung cancer management, we are about to be part of the solution through simple, easy to use low cost tests. Our vision is for our technology to be incorporated into tests that will be used by first, millions and ultimately hundreds of millions of people and animals a year. With our platform licensed to a range of large diagnostic and liquid biopsy companies and governments worldwide, combining our groundbreaking technology with their installed base of labs, analyzed machines and sales forces around the world, we aim to achieve the optimal outcome for us. Large companies have the resources to realize the opportunities better than Volition. The total addressable market for our technologies on an annualized basis are multi billion dollar opportunities not only for Volition but for our licensing partners too. Volition has made strong progress both clinically and commercially. We are very active with a range of potential partners and we are continuing our discussions with more than a dozen of the world's leading diagnostic and liquid biopsy companies to license and commercialize our very broad IP and product portfolio. These discussions are at various stages of the negotiation process across all of our different pillars. Our laser focus is on executing licensing agreements and we will update you as they progress. Thank you for joining the Call today. We very much appreciate it. We will now take your questions. Operator OPERATOR thank you. We will now be conducting a question and answer session. Again, if you would like to ask a question, please press Star one on your telephone keypad. A confirmation tone will indicate your line is in the question queue. You may press Star two to remove yourself from the queue. For participants using speaker equipment, it may be necessary to pick up the handset before pressing these star keys. One moment please, while we poll for questions, Our first question comes from the line of Justin Waltz with Jones Trading. Your line is now live. Justin Waltz (Equity Analyst) Hi. Thanks for taking the question. I was curious if you could expand on the potential clinical utility of new QNETs in HS. I'm wondering how physicians might use the additional information to inform treatment decisions. Cameron Reynolds (Group Chief Executive Officer) Yes, thank you. A lot of that work has been done by Professor Evangelis, who's one of the world's leading experts in hs. And as we said on the call, we've had a satellite symposium. We're actually working with a lot of other groups getting further data. I won't go through the technical side. HS is a tricky, complicated condition. But what I do know is some of the world's best people are very keen on how it can be used to help. It is 1% of the world's population, which honestly was news to me. I'm not familiar with the condition myself, but it's supposed to be an extremely painful, extremely debilitating condition. For a lot of the world's people. And Patricia Evangelos paper and now I believe other groups are working on it as well, are very convinced that it could be a very big part of the solution. But yeah, I'm not the scientist involved. I'll put you over to Louise. Louise Batchelor (Group Chief Marketing and Communications Officer) You want me, I can add a little bit of color justice. So the way that Professor Evangelos has used it thus far is the way he's used it thus far is really in helping identify patients that might be having a flare up. So it's a chronic condition that is kind of often lifelong and can be under control with treatment and then people can unfortunately experience flare ups. And so really they're using the new QNET assay to help monitor patients on an ongoing basis. His hope is actually to then to utilise it within clinical studies of new therapeutics that are coming through. So that's kind of the direction of travel for hs. So I think it's definitely one to keep an eye on. I think we'll have more news out about it throughout the year. Cameron Reynolds (Group Chief Executive Officer) And the current diagnosis is, I've actually spoken to Angelos a few times, is a very complicated process so they're really hoping to simplify it and he believes that's possible with our test. And just as a background, I guess, obviously in the net space there are so many potential uses. Obviously working with Werfen on aps, another autoimmune disease, obviously with the French government that's doing this large interventional study in sepsis. So that's all looking process. And of course I mentioned we're incredibly excited with the Mayo Clinic data. Trauma is I believe the biggest cause of intensive emergency visits in the US. I think 40 million a year. And obviously it's something tough to diagnose whether you have trauma or not. So I don't know if you had a chance to look at the data, but it was quite. Yeah, it was fantastic with 20 to 360 to over 800. And actually one of the most important parts of that was the VTE section where you go on to having a blood clot, which is obviously incredibly important to know. So I think overall, as you know, the NETS platform is extremely stable. Now works on the revenue machine. The point of care, which is fantastic on the pinprick with capillary blood. And I think now we have a very wide range of really potentially large uses for it beyond sepsis. And actually we're working on another with a group in the US which is exceptionally renowned as well. We could have a fourth very big use for it as well coming up in the short term as well. So overall the picture on nets is really coming together between all those different conditions and we're hoping that will lead to the big companies putting on their platforms and really trying to finish those discussions off with all these different uses. Justin Waltz (Equity Analyst) Great. Thanks for taking the question. Cameron Reynolds (Group Chief Executive Officer) Thank you. OPERATOR Thank you. Our next question comes from the line of Yi Chen with HC Wainwright. Please proceed with your question. Katie Hey, good morning, this is Katie on for Yee. You guys have kind of described discussions with a good number of companies at various stages. Can you give us an idea of how far those have progressed? Have they reached a contract negotiation stage, term sheet and what's kind of a realistic deal structure for those? And I guess what should we really be expecting from the next agreement? Cameron Reynolds (Group Chief Executive Officer) Yeah, very good question. So, yes, we do have a lot of discussions going and I think in the last quarter it's actually expanded beyond the very large number we had. So I think it's fair to say a very large percentage of the large diagnostic companies and the liquid biopsy companies and a range of other companies. As you know, we have signed some deals already with Hologic, with Wurfn and with Revity Reviti being the machine platform for the IVDR launch in Europe and the ivdd. And so that's gone extremely well. The dentosis stage I think hinges on getting the big agreements with the big diagnostic companies, these very large use cases really well flushed out. And I think, as I said, I think we're getting there definitely on sepsis. Trauma has been a fantastic new entrant in the last quarter with the Mayo Clinic and then HS as was mention. And as I said, we're also working on another very large use with a fantastic institution in the US and then of course we have the NICU capture side, which interest has gone up tremendously since the paper was actually in preprint. And on the preprint side, just as a background, it's now been downloaded 2,700 times, which is quite obviously a huge amount of interest and very fair to say a large amount of interest from a lot of groups on the capture side. So yeah, where we are with the different groups, all of them, obviously we're having discussions with the more advanced ones are going through the stage of technical validation and their own trials on different technologies and their own processes and that's progressing well. And so we're very happy with how they're progressing. We're doing a lot of work with quite a few of them. The Actual terms and processes is confidential until we finish. But what we've said, and if you look at deals that have been done in this space, they typically involve upfront payments or milestones and a share of the revenue going forward, either through royalty or through some other process like the sale of key components. So we don't update on each one individually. Obviously there's confidentiality issues, but we're very happy with how they're advancing. There's a lot of discussions going on and we'll continue to update as they come through, but certainly in the netosis space and the Captcha space and with groups like Revolution Logic and wurfn, we've made fantastic progress and we'll update you as they come through. Great. If there's time, I'd like to have a quick follow up on Orphan and Hologic. Yep. Could you quantify what revenue has come in from those two so far this year, what kind of format it came in as, and kind of give us an idea of what conditions or triggers might produce more revenue from those deals for the rest of 2026, 27? Yeah, good question. So Worfn, we're working on APS. So basically the NETS platform, as you know, as you can tell from everything, can be used in a very, very wide range of areas from all autoimmune diseases, sepsis, Covid trauma, as we now know, and of course things like sepsis, extremely wide range of uses. So what we've been working with different groups is getting them to either sign up for a big license for things like sepsis or for smaller uses, which then we hope to expand through other processes. So groups like Werfen, they're in the process of showing how well it works in that autoimmune disease, as we also have HS on top of that, as you know. So there was a small upfront payment which we've made part of the contract. We don't disclose that, but they have paid an upfront payment and they are. And there are further payments being made from them, not of a large scale yet because they're still in the process of reviewing in aps, but we are working with them and other groups to broaden it beyond those first beachheads, if you will. Hologic has been working on a few agreements. We don't break down the different individual revenues, but they are working with us on selling some of the Discover portfolio, but also with them. We are looking at these as the first beachheads to expand it to other processes and other products. Companies like Logic and Wurfen and Reviti where we have existing agreements, we are looking to really grow them through the process. So the bigger agreements which we are working on, we expect to be coming with larger upfront payments and larger milestone payments. But the first ones were kind of working through those early projects, working through with Reviti, the launch in Europe, working with Hologic so they can sell our range of Discover products. And the revenue from Discover, as you can probably tell, has gone extremely well and is growing strongly. We don't break out what comes from them, but it's going strongly as a group. And wurfn they're working through APS now and it was that initial payment. So they're all kind of starter agreements. We're working to get big agreements with them and working on a very wide range of big agreements with the other companies. And we'll update the other ones and the upgrades as they come through. Great. Thank you guys. Thank you. Take care. OPERATOR Thank you. Our next question comes from the line of Stephen Ralston with Zacks. Please proceed with your question. Stephen Ralston Good morning or good afternoon for you. My first question concerns the progress of the prospective clinical study at the Hospital de Lyon. They placed their first commercial order for their internal validation process. How is that process going and does volition need to wait for the reimbursement dossier to be completed for an additional order or is there a possibility it could be an order through? I understand there's funding through the Mary G03 allocation process. Cameron Reynolds (Group Chief Executive Officer) Okay, well, Stephen, I've not heard of the Mary G, but we can come back to that. So there's a couple of things that are still going on with the Leon team. So firstly from a clinical study point of view, they have a final clinical validation study that is called Ulysses MAP and that is ongoing. The recruitment has been completed and that study now just plays out because it's a longitudinal study. We hope to report that study later this year at ESMO 2026. So that's the clinical study in terms of the certification of the product for use at the hospital, that has been completed. So that work has been completed. So there's no issues there in terms of the reimbursement then from a reimbursement perspective, we have compiled and sent into the relevant authorities a clinical compendium for their review so that we've requested a pre submission meeting. So we're now just awaiting with the team at Leon and indeed a couple of other hospitals in France that are supporting us, the pre sub meeting for reimbursement. So a lot of work going on in the background but we're kind of on track, I would say, at the moment for New Q lung cancer. Stephen Ralston Thank you. Could you talk about the documentation that's being used to support the NUQ test in the new in vitro diagnostic requirements for the ce Mark? Louise Batchelor (Group Chief Marketing and Communications Officer) So I don't have a lot of detail on that to hand, but just suffice to say that there is a team, they've worked on the IVDR submission. All of the documentation that's gone alongside that. We haven't yet published some of that information that's going to be used to support the IVDR application because I myself had sight of it today. But the submission for IVDR status is ahead of schedule in terms of our IVDR application. And we'll update you later in the year as that progresses. Cameron Reynolds (Group Chief Executive Officer) And that's something which is obviously going to be very important for us. Stephen, moving from IVD to ivdr, as we've talked about, there's like a dozen hospital networks now reviewing it for more than 20 different uses. Beyond those very big ones that we've mentioned many times, trauma, sepsis, hs, aps, they're working on a very wide range of different uses. So having that regulated product move from IVDD to IVDR is a very big point for us. And as Lou said, we're very happy with how it's going and depending it's ahead of schedule. So expect to see a lot more on that this year as well. Stephen Ralston And lastly, I see the number of potential licensees. The discussions with them has gone up from 10 to 12 according to your latest press release. Could you talk about in general the pathway that leads these companies to initiate discussions with volition? Is it the clinical papers or is it the semi posiums or the conferences that you attend with your posters and presentations, or are there some other avenues or is it just a mixed bag? Cameron Reynolds (Group Chief Executive Officer) It's interesting. Yeah, it's a mixed bag. Some are inbound requests, obviously. Just talk about the Captcha paper, for example. It's been downloaded 2,700 times now. So we've had some inbound interests. We've been in discussions with pretty much everyone for a while on different things. So they've often got back to us now. They've seen the new data that's come through on the UQ Net side as we've come through with things like the Mayo paper. We've had a lot of discussions progressing, obviously, contact them. With such a great institute, having such great data in such a key area, We've had some very high level, very active discussions for a While and as I said, negotiations going on. So it's a mixture of people we know from been around a long time who have been worked with partners which have followed us in the space. Some have come through key opinion leaders like in Evangelos, case in the HS field. So some inbound, some outbound, some long term relationships. Actually it's 12, but there's actually a bunch more that have kind of semi active that we've been working through that have become active. So yeah, we're very happy there's been a pickup in all of that. And I think also, I mean the cat paper is getting close to moving through the review process. So some vet people we've spoken to have contacted us again because of that sometimes and beyond human space, back into the vet space. Obviously some of our groups we're currently working with become interested in something new. So they ask, can Capture work in cats or dogs? So we get renewed interest, like that kind of thing as well. So a bit of everything, all the things you said, we've got interest. I think it's actually if you add up all the big players, it's pretty much everyone is interested at some level in liquid biopsy companies and large diagnostic companies and all the vet companies. So we're getting a lot of interest. We know now our job is not to get interest but close deals. So we're working on that very hard. But I have to say there's a big wave of interest coming as the publications get close. And for example, Capture paper is also working through the system. So that could be something which is out as well. And that's another reason to reinvigorate discussions when you actually have a published paper. So yeah, we're happy with how it's going and we'll have a lot more to talk about this year, we think. Stephen Ralston Thank you for taking my questions. Cameron Reynolds (Group Chief Executive Officer) Thank you, Stephen. OPERATOR Thank you. Our next question comes from the line of Ilya Zhukov with Freedom Broker. Please proceed with your question. Ilya Zhukov Good afternoon. Thank you for taking my question. I have a question related to the launch of the Arniq web shop. Could you provide more detail on your plans for developing this online channel going forward and how should we think about the revenue contribution of this channel? Cameron Reynolds (Group Chief Executive Officer) Yeah, good question. So obviously we have, I think there's no doubt now we have a remarkable platform that's robust, reproducible, reliable. We have a lot of intellectual property. So that's all fascinating. But people want to see money, so how does that make revenue? So obviously we spend all the time thinking beyond Yuki discover Which is growing very well and vet, which is also growing and all the licensing deals. How can we make money with what we have? We've become the experts at chromatin fragments and what we do to get those chromatin fragments on an elisa, you need a control. As you know, we've been making recombinant nucleosomes for a long period of time and we're working also on nucleosomes for sequencing. So we've become very, very good at making them. So we do actually, it's like a lot of things, it's usually worth making quite a large amount of them in one batch beyond what we need them for. So we've had some inbound interest in the past for groups that need recombinant things for a whole lot of uses. They're useful in a very wide range of like in Discover, we have 100 clients, people have said, oh, you know, we are making extremely good recombinant nucleosomes now. So we did a bit of a market analysis and it's potentially quite a big market. So we thought let's make it available and easy for people who want to order it. On the revenue side, I guess Terry can say, short answer is we're not sure exactly how much the take up is going to be. They're extremely useful to us and I think potentially extremely useful to other groups. So in the interest of getting all the revenue wherever we can, we thought it was worth setting up. The cost obviously was quite low in setting up a recombinant shop and we'll be adding other things to it as well as we see how these go. We make a lot of different recombinant nucleosomes for our own research and processes. And I said what we call mustangs, which are recombinants for sequencing as well, which is potentially a really big market. So we'll see how it goes in the next few months and I think there will be an interest, but we're not releasing projections now and. But honestly we're not exactly sure what the take up is going to be, but we're hopeful because it is very useful and it wasn't a lot of effort to make it out of the process. So in the interest of making as much chance of revenue as possible, we put it on the market. So we can update you over the coming quarters. All right, got it. Thank you very much. Thank you. OPERATOR Thank you. Our next question comes from the line of Bruce Jackson with Stonex. Please proceed with your question. Bruce Jackson Hi, good morning. A couple of Questions on the vet space. So with the feline milestone, that goes to deferred revenue. Correct. And have you, have you received the $5 million payment yet? Terry Cues (Group Chief Financial Officer) You're right, Bruce. That goes. That will, when we receive it, go to deferred revenue. We haven't received it yet. What we have done is we've submitted the paper which is part of the milestone, and when that paper gets published, that's the completion from our end, at least, of our milestone deliverables. And so after that, it will be a matter of time before we collect that milestone payment. But you're right. When we initially collect it, it would go to deferred revenue. Bruce Jackson Okay. And then a question about the product revenue for the quarter. What portion of that was from the vet business? Terry Cues (Group Chief Financial Officer) We don't split out the individual pillars at this point, but what I can say is that we continued to make progress in the product revenue sales. So we did see underlying growth there. As I mentioned in the earnings call itself, the big bump did come from deferred revenue, which we recognized, $0.7 million. And that was a result of us reviewing, in line with our accounting policies, the revenue recognition and deciding that we recognize that a bit faster. Bruce Jackson And then with that, is that kind of the rate going forward or is that kind of like a catch up type of recognition? Terry Cues (Group Chief Financial Officer) Yes, so it's partly a catch up, but the rate going forward will be a bit faster as well. Bruce Jackson Okay, that's it for me. Thank you. Terry Cues (Group Chief Financial Officer) Thank you. OPERATOR Thank you. And we have reached the end of the question and answer session. I would like to turn the floor back to Cameron Reynolds for closing remarks. Cameron Reynolds (Group Chief Executive Officer) Thank you all for coming on the call today. I hope it was a good review. And just to reiterate, we are working very hard on the commercialization side. We're in a lot of discussions and we hope to have a lot of news on that throughout the year, as well as on all the product developments, and particularly in the capture and the net space. So thank you very much for all your interest and we look forward to catching up with you next quarter. Thanks for your time. Disclaimer: This transcript is provided for informational purposes only. While we strive for accuracy, there may be errors or omissions in this automated transcription. For official company statements and financial information, please refer to the company's SEC filings and official press releases. Corporate participants' and analysts' statements reflect their views as of the date of this call and are subject to change without notice.