ImmunoPrecise Antibodies (IPA) 16 Sep 242025 Q1 Earnings call transcript

Good morning, ladies and gentlemen, and thank you for joining us today for the ImmunoPrecise Antibodies First Quarter Fiscal Year 2025 Earnings Call. We appreciate your time and interest in our company. Today's call will be led by our CEO, Dr. Jennifer Bath; and our CFO, Kristin Taylor. They will provide a review of our financial performance, strategic initiatives, and key operational highlights for the quarter. Please note that a copy of today's presentation, along with our financial statements, will be available on our company website for your reference. We encourage you to review these materials to gain a deeper understanding of our performance and strategic direction. for today. you thank again, joining us Once We our future to sharing and discussing our progress plans look forward with you.

today's law. We reports risks of Commission, our SEC, with participants to to required advise complete Jennifer market Before more forward-looking XX-F, a including the forward-looking are like periodic discussion future conditions, go and various risks. Please including differ discussion we to understanding and our and are remind regulatory over new for results uncertainties. subject all and a potential due to unless materially are more everyone Exchange would refer proceed, my operations the to in is could interest but changes that to events business assumptions not today, business Dr. Please ImmunoPrecise our these these on limited and the now and result future pleasure by and our other turn risks inherent strongly your uncertainties, factors, no update of that to note will as in Antibodies. It other that undertake statements. on obligation statements based We contain statements impact for to, Securities These a in form, most made current Bath, expectations appreciate performance. CEO. risks continued call from recent unforeseen of filings Actual anticipated ahead. I we and of them or today's detailed changes, and those information to as

for of to you morning, good and this everyone, you, Thank welcome and all for update. us quarterly joining Regina,

call. fiscal morning we brief, as recently this held year-end a update be will Our earnings

appreciate your in and always, ImmunoPrecise Antibodies. we interest As your greatly time

meet targets antibody our accelerate take and timelines, clinical help complex increasing personalized on ever quality, language in with core an or Let deliver enabling such powered competitive a path technology of holistic, and reducing approach expertise AI in specificity, delivering technology, Antibodies, more development, IPA, a and with the model. reminder and reduce with biotech and face costs, of the platform candidate offers companies streamlined and brief and diseases. AI up proprietary identification better overview biotherapeutic large lead business this to potentially challenges development antibody to timelines faster development clinic. strategy companies as applications, to trial drug and Pharmaceutical proprietary AI-driven hit antibody needs. giving a speed capability of by identification, data-driven a me LENSai and a start selection, solutions BioStrand's these deep challenges, models as edge optimization, costs. IPA they HYFT higher to reducing both improve integrates medicine. ImmunoPrecise antibodies discovery, high-affinity

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current diverse we're portfolio robust income future enduring user on which while As while biopharmaceutical It our ongoing work the we drives our technological advantages strategy first enables the pillar By and in expand for building creating revenue value. Today, continue addresses LENSai's dynamic balancing this to us us progress shareholder capitalize a XXXX market. value base, challenges. positioning IPA potential, to updates, sustained a foundation within operations growth expand streams. strategy appreciation as drug our I for multi-platform each quarter we outlining with development fiscal ways to will year in these of provide

derived and discovery During antibody the of recent by discovery quarter, unique in the programs. experienced their heavy-chain surge like initiation formats. VHHs, are a multi-specific antibody due variable to gaining llama and adaptability VHH developing significant CAR-T our antibodies segment therapies fee-for-service from drug camelids or traction notable in

and IPA and its has area. Biostrand QX continue antibody the Select well-known previously complex of deliver to AI-driven B-cell first failed, in where final antibody success, clients' impact focus target or As a to obstacles, the of advance and in this inventory enhancing continue revenue key Europe advanced generating 'XX. 'XX demonstrating power new the a initiated significantly replenishing technology as in production This hours continues notable meet TME. Despite significant IPA discovery, entirely antibody therapy VHH a antibodies biochemistry program we directing within revenue in management tumor our its revenue as many to these challenging technology press production portion computer protein coming through demand, microenvironment, development of quarter in year phage libraries Select engineering our no this a within growth year contributed was the of QX succeeded laboratories of also site, of recent technologies programs IPA solutions, in drug panels the to VHH capabilities our on overcoming oncology driver our highly IPA, activity prior antibody inventory announced tailored quarter dedicated BioStrand This quarters. At should Utrecht LENSai the The off-the-shelf ensures hurdles. Building to discovery TME. the structure had the milestone, ongoing needs. to potential. In will diverse AI-driven be during discovery specific utilizes further products. a strategic both revenue toward robust challenges for fiscal was primary knowledge XX B-cell maximizing there with and leader single This simulations, BioStrand B-cell fiscal market faced known release, of target this while a the on to

in delivering marketplace is new AI-driven with collaboration making accounts, technologies, engaging Services its Amazon onboarding opening SaaS This and strides to Web BioStrand the applications. solutions. high visibility growth of enables AWS and Additionally, target quality by platform global while on top leverage partners avenues for enhancing

dual our company. This technology offering BioStrand's collaboration preparing for on We and are optimization. strategic AI to also benefits enhancements the Talem which utilized Talem's an assets, significant incorporated update has pipeline, optimize

for align turn capabilities biopharmaceutical for platform the Kristin candidates, the our these value, optimization but BioStrand's and us our the second, things over not multiple packages Taylor value interests platform. creating asset the data efficiency enhances creation partners, our candidates we it showcase for it supporting the synergy showcase those landscape. I'll First, to in of with strengthens LENSai enables By of AI-optimized within quarter. antibody This and the improves our also offering the capabilities our of updates pipeline. now to AI-powered competitive licensing, development, avenues for only financial Talem antibody

XXXX financial results Thank provide financial as our overview of July was the fiscal XX, position before end period, of which the XXXX. for touching of I'll our you, of Jennifer. brief on our the quarter first a

are reference Canadian all in unless dollars, noted. reminder, a otherwise numbers As I

our generated first XXXX, at our above-market of is million, year-over-year, XX% impacts $X.X quarter. which For XX% the XX% decrease the of Victoria, the previous and We increase against discovery the site, our the the a timing fiscal and protein continued first product Netherlands, strong in of of and fiscal in X.X% quarter Netherlands, protein projects, labs we growth X XXXX. a and site's Canada, our which year's revenues location a representing Oss over saw quarter achieved decline custom in third manufacturing we included first respectively. At Utrecht, custom antibody

site part on building this focused timing, product quarter the product inventory As second the sales. for of also

As of drug expand we business services. monitor do as AI-enhanced all our segments, to our we with we segment our this antibody discovery of continue

Now our on operating expenses. to

our were administrative million loss and million million in personnel of are $X million used the as revenue. Year-to-date first related first we This previous reflects spend LENSai versus and to expenses the at discovery loss $X.X phased the on and our which $X share versus and costs per were million another resulted $X.X drug year's sales 'XX, the additional offset with of previous our general or first cost efforts R&D synergistic development share, quarter Our sales and versus our the reported quarter 'XX a $X.X overall being includes first expenses antibody million in expenses increased efficiencies of research marketing discovery savings down fees. Overall, development of reflecting of today million, by the net supporting for $X.X fiscal quarter $X.XX platform year-over-year year. for $X.X are in for professional spend in across increased drug AI-enhanced which million that proprietary fee-for-service comprehensive impact of rollout expense from or $X.X capabilities, $X.XX the quarter per services. And LENSai. generating increase of fiscal a our development quarter versus commercialization and cost of

completed by liquidity. operations, use tranche first $X.X balance was of of cash facility, million venture million. XX, of our the This million. This ended issue including previously included closed quarter ATM our of by net convertibles $X along on spend sale remainder. The We announced quarter. from and on Now million cash the R&D that $X August second the first first drawing funds cash X financing our to with during the tranche use fiscal with the on 'XX offset million down This reflects XXXX. utilizing of $X.X USD of of for of

as drug you. down up best our as the we well slow our and R&D investments. monitor And AI-enabled we work efficiency With for of questions. revenue, cost spend, our cash our R&D or to have discovery open capital LENSai, We meet needs. Thank from our will continued to on to antibody of return flexibility customers' operations, partners' now R&D plus versus as the we speed

question Instructions] Wainwright. with a line take from question We'll of the [Operator [ ] take Technical our Swayampakula [ Difficulty We'll H.C. Technical Ramakanth first line the ] Difficulty of from

Can you folks hear me?

you Yes, we can hear RK. fine,

Jennifer, trying how base it's the so and understand progressing. just business to

color centers give terms that? talking then X done the has additional the into of were Can And facility facility. in and Utrecht you the us the which you historically Vancouver about do So, inventory when how going have we would and building for the that to an of off revenues site? seeing process this a products, start long is of idea you be off-the-shelf well, of

great RK. question, Yes,

some the So the We've of of majority that the the their the indeed, locations see off-the-shelf Victoria, had shelf generation double-digit Utrecht in stock. that was in Canada off product utilized in renewal growth coming personnel QX. restoration Netherlands it also revenue already that the stock from Oss, or and and was that started site actually to rebuilding

feel So in we utilize of the quite decided products. off-the-shelf good efforts which timing they the for that about rebuilding those to

Okay.

So $X.X has million you if of product of the been the I if sold data, as Kristin to increment this be would the if don't had first first that that, actually know, quarter, sort of quarter? end what during that reported that

if Oh, first it quarter? the been sold had during

Yes.

over Kristin turn I'll it how what Well, it have Yes. would Okay. QX. would the about excuse it from to me, -- QX. impacted, product numbers

address I can that. Yes,

our note timing to we obviously, And in we the more custom for So experience as our custom this return sites, which I the product quite services August been issues than in turn did and QX, X would protein bit products, said, have because see have builds. or with those product but right, August. for which otherwise with those, the sold obviously, sold finalizing, those month, would but X those of custom those sites. being a other on other accounting, not site, site, we products recorded a we just are off-the-shelf longer a nice next is We're at were churn see did still does this manufacturing those see

of impact So projects both with quick turn the Utrecht because their off-the-shelf see of products. timing those more and tend the site, to we do

to gap, of quarters. what this reassuring. And that portfolio was into by LENSai said And I prolong not Okay. a And your trying -- to health of -- can you I'm that's short-term the trying in just you're Perfect. technologies. that? understand to just terms wanted sure something utilizing Talem No, then just state you're that make improving

Yes, great question.

we felt attractiveness candidates the we improvement Talem the on candidate there of had things could identified the several that the lead portfolio room assets lead So have that increase within information of for various are those yet already for value or didn't partners. and that

the most also cases, or or EMA things based those might different that would have needs particular, things the bring that of characterization those feedback what value were a on of IND and assets in align we depending variety was assets. And worked support partners. In kind some did to partners thought different assets with particular. so applications of the we help particular we in quality the we have in and to currently for interested that that they for on doing And seeing

So to able what knowledge and/or to about and really lead partners of different candidates would applications enhance the applied different the our be potential were to those share to better inform partners value we those assets. with enhance

downloadable of a new data to we that lead AI that. We products lot we all have our bit as the of benefits little the as I'm exactly assets within enhancements have a next in website, what feel but information gives a here, we into of as that additional going includes provide and one those been you what Talem done with with And by well to those probably assets how data to be have off because weeks, go to our information also of we So will Talem listeners within enhancements information we didn't mean only the brochure that the that's X added, not more detail still X and detail that say that regard pipeline in additional the those information is on what will coming on weeks. releasing that pipeline. next, the X

pieces really more written to and of the on our share for last So packages data holistically those for visual those waiting the investors. we're updates

they potential And you asked to make portfolio, to of stage, set make? them a another this that get on the achieving been with partners decisions of some better these have ensure enhancements way to that to next or you're need is that information that the your is trying that for conversations

We of also also, a That providing we then definitely that partners discussions. to the do a feel those a of prospects little It's get is question. great lot when of And from things bit in like would and information both. value do they feedback enhances we're it see.

that perspective, it's of little both. bit believe So we a from

those partnerships a for way assets, to believe able would demonstrate more information fee-for-service. good We -- doing it's this also private than own we're parties we're readily share to we because we under and be that when

be they done also with to not in power it's So way pipeline. exist work our individual to the part to within also conversations in capabilities LENSai able can that fee-for-service we've with of another receive that public partnership and partners also but the demonstrating will we this then permanent LENSai, because share the and what the what and also public, a a becomes just

into multifold serves application we've in these ways assets. those So a particular AI embedded it that really

me, Jennifer. question from last One

Sure.

course? In couple do gained you next reporting, maybe? see first terms within of of during so of you that yet quarter, if especially And within which the the LENSai you're coming quarters offerings, far either the fee-for-service, that quarter in have the current any or not revenue not,

Yes. also. Great question

revenue at seeing seen to weighted had pipeline with in now what currently the pipeline, for yet. is fee-for-service our regard are BioStrand have we both weighted work we strongest right So specifically have and we

BioStrand project So or we partner detailed our have way in that's statements based those through requests. requests. the quotes at are to where that's work we And that working issued client on plan of or response

set for time So any that's sitting better actually than it's previously.

Scarlet question Capital of We'll take Farrell from ]. our with line next Robert the [ Knight

of here. missed investor hear part okay? me you Can Because the beginning. new Jennifer, I

hear can We can. we you. Yes,

fine. Okay,

couple so I have So just, this, may me a missed let part questions. of some I and have of these, of

outlook for trends lowered clients, seeing from their services? recent news of restructuring biotech due Labs IPA demand Given is River client revenue Charles the similar demand in to reduced initiatives the and discovery

of question That's a and a actually, people a even industry where for sense last get of times, I this just great of asking, think in of because -- question. to that funny, trying Thanks the kind couple market I've heard are. couple weeks,

here is services. demand development to one IPA antibody strong peers, our thing for unlike and experience lot so, for we have a very discovery And continued of

they're far B-cell if us that growth. to the the show that's starting the -- Select driven and better results, of that, to really discovery These that within to to referred quite we internal software are well our allowed but that then in you've strategic development efficiencies, to reviewed in in primarily it's improve particularly case that's And been quarter-over-quarter advancements expanded reflected drug as manufacturing as rollout platform us and so the AI today, BioStrand clients. And last fiscal the our our with tangible the driven strongly very in not I as much year, response our just also demands question. And so addition mentioned, only this in meet investments AI, positioning the capacity LENSai our facility space. by of

So broader while seen. and very positive diversified our have leveraging this to strategic have of trajectory innovative ahead kind and about that continue that offerings we remain aware go we industry been approach of challenge, we

That's Okay, good. great.

You -- and ties company? long-term In and revenue know, contribute already your particularly asked gentleman then LENSai, how the question by elaborate to royalty the to but been I think model, you how that the payments addition, platform and do driven was it here is, that. yourself answered into creation my generation just AI short-term it's licensing can response right do The talent second prior question next by and IPA's on in the milestone on value both pipeline? structures the you question also for how

question. great All right. Okay,

and generation value the model to also then model, a to really create is revenue designed short-term our approach licensing regard with creation. between so So balanced licensing long-term

able to them more molecules potential that variety as benefits other then with discussed. also our we enhance to a through we and AI-driven partners, and again, those platform, Talem just as attractive also but therapeutic we're LENSai -- pipeline, So of make

models, to X As part as that also will of we pillars these assets. the therapeutic enhanced we future, of we look focused leverage on outlicensing and innovative mentioned, revenue technologies AI stream our are as our

approach position, long-term it for this to also partnerships, -- your on enhancing question, and streams. In and market So assets, the partnerships innovative technologies believe strategic significant particular these forge position then valuable our additional begins to capitalize regard revenue as driving generate our our to is to for our we then these regard designed IPA with and with recover, potential us market therapeutic allowing to market holds shareholder value. enhancing

So groundwork our successfully and focus well-prepared remains see as ensuring on laying the strategy to to opportunities the are arise the necessary that implement in the landscape. we they

Okay. degree, works. I this model have your current some That capitalization and here. question to really here, and just relates X of to -- kind the more Fine. market business

it's IPA's on something the that the least that ones how cap? I model, how it it net at lot investors, current So to of me present licensing how impact and by value? your how you a company's think And want does influence and extension, does company market to kind see in I some want and they know of introduced the it to cap of, the change know influences other how kind people, it market that?

-- that you present question. asked that's have No, one Yes. interesting good that, because about great the might the -- then very influence the net And it. glad has us And actually But question. value asked I'm that capitalization. in a market and Sure. no

royalties, its can from structure a payments value of these forecasted flows then and future cash direct the impact, the potential on both more licensing milestone cetera. accurately analysts, it company, the with then payments much company, obviously, future net model, commercial present from et be has within as of upfront So and

streams Talem's more especially pipeline, licensing calculations. then which enhanced molecules revenue when can agreements with NPV be those time, secure LENSai involved over deals, So predictable those into these factored create and we

from securing it financial strong potential, So successfully company's milestones, market to then a right, our stability. those the perspective, about and about deals the signals key capitalization reaching sends market, growth

for of It in capitalization. investor long term revenue confidence. And positively and impact our the the assets potential demonstrate value our this turn through so as royalties, we the can increases market

of progress through is IPA successful of So and obviously the in our marketplace, significantly well. deal strategy a development licensing uplift each the its can perceived essentially, which as value part

a That's answer. good

looking in the start my rates what You you net enhanced. all. didn't the at present which start to analysts I Hopefully, somewhat really rate and people those, more. this lower should a week honing affect interest And their tailwinds a series else? that be know opinion, also, discount that doing only actually as -- Fed beginning the value -- because other will discuss and in net of at macro little is see bit value, present will really maybe

So actually, see -- will here, I tailwinds and value I what people see do the will and which the here. enhance coming hopefully see macro, I --

rates things any to the make to want macro, began general as or microcap increases. started the that the get the rate that kind in of Fed nature, you on lowering it's, see If comments we space more really of whether Fed interest crushed, interest

Now opinion. opposite, starting in see we're my to the

all comments any on I And that? have. So that's

Wall and absolutely some prevalent of reflect the benefit, feel are the there the talking -- that, of that the Yes, to been hearing what's much conversations, about markets, we and markets is quite there broader change the almost years, happening what's and on it, tone in saying no, hit people been that IPA in business. have bulk about a the to But -- we and people hard, is of I just our hot of it to biotech the talk kind try focus overlaying goodness, to a well, most everybody's, of occurring, they're really that it biotech primarily of appreciate my specifically the very kind devastation tend because at as at really the conversations main companies couple not institutions We everything companies actually Street identically, NASDAQ like topic, took with other last relations Wall group is charts really, the potentially to with talking about brokers time and and which it our tailwinds on probably interviewing on from spent last how happening Quantum and week that's MSNBC. And obviously. and, those the of meeting follows stand Street. XBI, IPA investors, investor It conversation to and right. really

interest as pharma we -- believing much larger in who growth inflation rates potentially, -- the in that, for -- a impacted we're seeing the the really as already we As and in decrease have in decrease as haven't of rewards can also not trickle in right. past we the the have small did and spaces, survived, years. the companies down some of to seeing that, biotech that micro it cap cap many make a through been the couple Noting sector anticipate that who companies

just was and what's definitely come of we an different there Wall on of struggled have general a the also that conversations this anticipation So was air from also and hearing from optimism biotech, from institutions I week. overall during investors, were consensus excitement not who later this just that and in Street lifting, to but heavy And of time. veil banking just not think on kind

everyone watching really So along closely with something that I'm we're that glad That's certainly that you very else. question. asked

Bath, CEO, now for call your I'll hand conclude insightful the our back questions. Jennifer to the you to Thank over Dr. call.

Thank so Great. much. you

strong we and advancements. as quarter our our So performance earnings highlight strategic first I to want call, conclude

ending recorded During sites $X.X that rates XXXX, delivering the with previous quarter, double-digit to first growth X compared July X of million, of we our revenue XX, year.

we onboarding. that been these have contribute can we programs. VHH are that bispecific, to experienced CAR-T, discovery VHHs as drug to additionally fee-for-service a that of gaining work I clients in with talked notable segment the areas about traction that antibody Our with multispecific continue surge formats, antibody significant all initiation

on specific the with saw quite in our has press is the we we same XX more programs exactly to fabulous more the solve talked being then robust our know did, that in through activity about who across relative which quarters. In be and look have what for significant at a partners B-cell entirely also and discovery how to of was challenging did, We the to did BioStrand, simulations, that challenging tumor antibody silico come have a we or we in area technology impressive can conversation of programs very and recent development very as how within lab. computer our those initiated, prospective done it, ask new microenvironment. targeting highly made utilize bit market we a milestone a release, we antibodies oncology how their can't capabilities This want basis the clients been

So of and these LENSai looking focused strong power for our on being leveraging hurdles. And strategic revenue support our then further streams. complex that's very AI-driven overcoming ahead, really us discovery we able very to been a licensing advanced to remain demonstrate our the enhance technology agreements

leading technology the Our strengthen collaborations sustained stage to for with set growth. research our institutions then innovative and continue

your once support. mission drive and we continued And thank long-term shareholders. we you So for for our our again, as forward create we value

This all call. you for joining. Thank concludes today's

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