Good morning, everybody, and welcome to the 9 months 2025 Earnings Call of FamiCord. As usual, this call takes place in a small group meeting here on Zoom. So thank you for joining our session today again. We prepared a short presentation for you as an update on the Q3 financials and the business highlights during the quarter. Following this, there will be a Q&A session. Please be reminded that, as usual, this call will be recorded, and the recording will be made available publicly after this call. And now I'm handing you over to Jakub Baran, CEO of FamiCord, who will lead you through today's call. Jakub, please go ahead. Good morning. Welcome to our quarterly call, and I believe our results were pretty good, and we can shortly jump to details. I would not maybe read all the numbers, but just focus on financial highlights. First of all, our revenue grew visibly. Our reported EBITDA improved disproportionately better. Net profit is positive again. What changed against last year, and that continues for this year, entire year, is more clients choosing subscription model over prepayment model. That means that from cash flow perspective, we have worse result you might have expected, but that's on the short-term perspective. In long-term term perspective, these clients will obviously pay us more in annual payments. We did a few M&As, so that means our equity ratio improved in H1, but liquidity declined. We also started a few quarters ago showing invoiced amount, which is probably important for investors willing to better understand how IFRS rules, let's say, may be applicable to cash revenues. And what is probably strategically one of the key aspects is growth of annual recurring payments by almost 7%- 17.3%. So overall, three quarters were solid or very solid, and that is, I think, 10th quarter in a row we are improving our results. I'm pretty happy with performance of the company. Certain things changed, certain things are same. We are living in the world of small number of newborns, and that will not change as it's all over Europe. It's the same in developed countries in Asia, and I believe that that will continue at least for a while. I already mentioned increased share of recurring revenues. What we see in terms of geography is that Eastern European countries are doing pretty well or very well. Southern Europe, depends, let's say, we have certain issues, and in Central Europe, we have a mix of countries developing well, and we continue suffering in Germany. As mentioned also before, we increased stakes in Slovakian and Czech companies to 95%, and I believe that was the only spot we are not controlling in Central East or Central Eastern Europe. And we believe these countries have potential of growth, particularly Czech Republic. Slovakia is due to the size of the country, which may be then not that promising. However, Slovakia many years ago used to be one of the most developed markets in terms of cord blood banking, thanks to very strong local player who is now not so much active. Two important things from business perspective. First of all, we see certain improvement, visible improvement in CDMO activity. So in Q3, we signed three contracts worth more than EUR 1 million in total, and there are more prospects, which we believe will materialize in the next year. Revenue from those contracts, obviously, will come mostly with certain delays. It's natural for B2B business. We have to prepare certain things first before delivering products to the clients. Interestingly, one of these clients is a German company, which will start clinical trial in Germany, and I hope first application or patient will be this week, tomorrow, over the weekend. If not, maybe that would come on Monday or Tuesday, but the samples are already in Leipzig at Fraunhofer. We are cooperating with Fraunhofer. In terms of something which is very, very old historical issue, Cryo-Save, our former competitor, which bankrupted six years ago. We had several issues related with that, although we are not fully involved in problems of Cryo-Save, if we simply took over the storage of 300,000 samples belonging to 300,000 families. And we settled court cases we had in Poland, and that is an important message because we would be able to open communication with these families, proposing them to sign storage agreement with us. What would be the financial income? We don't know. However, we believe strategically, that may have certain positive, only positive impact at our revenues in coming years. And we decided to maintain our guidelines in terms of revenue and EBITDA. Over, after three quarters, you see that it there is a high likelihood we will be in the rather in the top part of our guidelines, in particular in terms of EBITDA. But as we know from the past, fourth quarter usually brings more costs and is a little bit less predictable than the previous quarters, so we stayed rather conservative. If only we would see that the results are even better than guidelines, obviously we will notify the market, but at the moment it's definitely premature. And I think that that's everything in a nutshell. If you have any questions, obviously we are happy to answer. Maybe, Ingo, I mean, for, for participants, Thomas Pfaadt and Ingo knows him, Tim knows him. Martin, I don't know. Thomas, Thomas is our CFO. Yes, so maybe we should- Good morning. Yeah. We have a small group here, so it's rather cozy- Yeah. A rather cozy happening. I would just like to ask you to unmute yourself and just ask your question. Yeah. Morning, everybody. Thanks, thanks for the update, Jakub. Tim here. Just a few questions from, from my side. Can you remind us, maybe this is for Thomas, actually, what, what the impact of the consolidation of the new entities was in Q3, in terms of EBITDA, roughly? So, that would be interesting. And then, in terms of M&A activities, do you see anything else, sort of on the horizon? Any other, yeah, targets or minorities, you might want to take over? And then, lastly, what's the status on the CAR-T wind down? Where are you, with that program? I mean, you're obviously reporting continued operations, so it seems you still have discontinued operations, so maybe a quick update, would be, would be helpful. Thank you. So, for Czech and Slovakia, I'm not fully aware of the detailed number, but I... Jakub, you might help me, for Q3, what we expect for Czech and Slovakia, so it's consolidated since June this year. So we have the first impact in Q3 for Czech and Slovakia. I believe that for entire 2026, the impact will be in the range of 400-500 thou- sorry, 200-250 thousand EUR. 2025 or 2026? 2025. 2025. 2025. Okay. So that- Yeah. That's not a full year. That's the sort of the half, second half. It's a half, yeah, yeah. Because we... Full year effect would be 200, like, 500,000- Yes. EUR 400,000 -EUR 500,000. That range, yes. Uh. That, that depends, obviously, because we are now budgeting next year, and there are several question marks whether we should invest more and or rather stay conservative to understand better the market, you know, so on a... I don't know. I mean, normally, with normal approach, that should bring us down in that range of EBITDA. If we decide to invest, obviously there will be delay. Yes, because first you invest, then you see the result. What is interesting in Czech Republic, particular, are very high prices there, because competition is very limited, and it seems that the statistical client is bit better. You mean better, probably from mid upper upper class rather than mid-class, which is our statistical clients across Europe, including Germany, yeah? So in Czech Republic, that product is offered to, let's say, the really top part of the society. This is our understanding, yes? In Slovakia, it's like for most of the other countries. So yeah, we will see. But yeah, that is the range, yes, anyway. M&As, there are some targets, but not so many, honestly speaking, and for that, we would need capital increase. Yes, because we cannot afford it, doing that from our credit lines. Remember that we have some payments remaining for the transactions in Slovakia and Czech Republic. This year, we have expected a closing of Novum transaction. The signing was a couple of weeks ago, right? So I don't think we can afford doing more. I would say there are maybe three, four, not more, left in Europe, which are considerable. Yeah, but that's another story. I would say that this is not the topic for the moment, not the topic. Maybe very important from an IR side to stress, there is no transaction in preparation. So this is- Yes. Very important. That we can say. Obviously, we are in touch because this, that industry is super niche. Yeah, we know each other very well with most of the owners or CEOs or boards. Yeah, but, at the moment, we don't expect anything coming soon. Maybe just maybe have a quick follow-up on that. What is the sort of the magnitude like? Do you have an idea of sort of EBITDA of these targets, the size or the overall transaction? Very, very different. You know, we have one company where, for example, you know, the founder is already 80 years old. He handed over the company to the son, and son is in the renewable energy sector, and he's not interested. Yes, and these clients are paying mostly annually. So it's a very interesting topic, because it's very easy to measure that there is no risk. The size is in the range of EUR 0.5 million-EUR 1 million for transaction. So it's... You may name it even risk-free, but that would mean we have to enter a new country, and I'm not sure we like to do that. It's because that's an effort as well, right? So that's one transaction. Another is a pretty big one in the range of EUR 10 million. But yeah, but again, we don't have money. So, why consider at the moment? We stay in touch, obviously, we see certain synergies, but it does not mean we would agree price, and it's simply premature. So there are also targets in... I mentioned three, four, yes? There are some targets I would like to buy, but they are not on sale. Mm-hmm. So, they are highly- Those are usually the best targets. I mean, obviously, everything is on sale, but the price would be disproportionately high, so... And there, as mentioned, several, I mean, we mentioned several times, the industry is in, is continuing, consolidation. However, there are not, not so many targets which are really interesting. Yeah, so we have probably reached the moment the market is saturated in terms of, new transactions. Yes. Maybe, as I said, 3, 4, not more. I don't expect. And for CAR-T, we expect in November or December, we will drop below 20% of, of the holding. General assembly already happened of FamiCord Therapeutics. And at the moment, the company board is, collecting interest from minority shareholders and from some new investors, mostly individual people. Interestingly, these are people from pharmaceutical companies, usually managers, willing to invest. Competitors, they are competing with, as companies, each other, but these are private investments, right? So we expect that to be finalized in November and December. Then we will continue as a, you may name it, financial investor a little bit, with 20% stake and as potential subcontractor. Yes, in case the company continue research projects and they will need products, we will be providing them from our, let's say, CDMO, from. By the way, our CDMO activity, we branded it Bramble Bio, so we are promoting Bramble Bio, and so Bramble Bio would be supplier for FamiCord Therapeutics. I think I talked about- Great. Thank you. Well, that's right. Are there further questions for the moment? I would have one question. Good morning, everyone. Good morning, Nils. Thank you very much for the presentation. You mentioned that you settled the dispute with Cryo-Save. And could you give us some light on the current process, where you are standing there in terms of invoicing or like that you basically invoice some of the samples from Switzerland, and what's the timeline around this? Thank you very much. I mean, we are what I can say that we are. We are communicating now with these families actively. We started in second week of October, so it's pretty new. And we started from families who of which already left the updated contact data at our website, right? So that is limited to roughly 20,000 families. To remind, we store samples belonging to 300,000 families. 50,000 of them already signed with us. Yes, 50,000. 20,000 is registered, and rest is a mix of clients of different portfolios of clients. Yes, because some of these families actually are our clients, because originally, the companies we acquired over years, used to cooperate with Cryo-Save in the past. So by protecting Cryo-Save inventory, we also protected part of our own inventory. Yes. But still, we estimate that we should reach at least to 100,000 more families, right? So that communication is under preparation. The difference is that we, starting November, end of November, we are not respecting prepayments done by those families to Cryo-Save. Before, we were somehow obliged to respect money they paid to Cryo-Save, yes, for storage of the samples. It's not the case anymore, right? So we will simply see what's the interest, real commercial interest in of these families to continue the storage. But overall, we can only be, let's say, on the surplus here, because until now we had limited revenues, right? Because obviously, we, as mentioned, we signed 50,000 contracts, and these families, we sold some extra services, like checking the samples, you know, expansion of cells, they, they were simply, very interested in, in understanding the quality and so and so. But we are not publicly sharing, information about expected, revenues from the, from, from that, group of clients because it's simply a bit unpredictable, yes. I, I would say that Q1, Q2, we will have more information, and then I, I believe that we can, we can start sharing, if we would only be able to say: "Yes, this is the number we can, we can publicly s-, you know, confirm." But what I can also say from the other hand, it is not a subject of ad hoc. Yes? So there is a certain positive impact, but not that big, yes. You would be able to say what is the financial impact on the current results and future results. Definitely positive. And over time, that is definitely super positive because the prepayment periods will be over, and from our perspective, from 40%-70% of these families will continue storage. And remember, Cryo-Save started in 2001 or 2002, and the highest number of clients they had in years 2009, 2012. Yeah, so in 3-4 years, there will be a bulk of families which will have to decide whether to continue storage or not, and we believe 40%-70% of them will continue under one condition, we have to reach them. You know, after so many years, it's not that easy because obviously people are moving, they are changing email addresses, telephone numbers, and these contacts are not fully up to date. Just one more question from my side, Jakub, for better understanding. So you currently have 50,000 clients already? Yes. You target to reach 100,000 clients or...? I mean, in total, I believe 100,000 clients is possible. Yes. So you want to double the current amount of- Yes. Yes, I think that we can say. However, this is not like a... That's a guess, you know, that's not a forecast, yes, because we don't know. Why? It's pretty psychological topic, yes? Because those families, we think that those families who are the most interested already signed. Yeah. Yeah. So we don't know what would be the, the tail, let's say, of interest from the other families. And obviously, we know thousands of people are completely not aware that something happened to Cryo-Save. Because if you, you know, they did service in 2003, imagine, yes, you signed something so many years ago, you don't care, yes? You think this, everything is fine, and then you can discover new information. So this is why it's a bit unpredictable. One last question from my side then, really. If you invoice them on an annual basis, what average revenue do you expect for- I mean. Storage. We are charging roughly between EUR 90-EUR 100 per year. Thank you very much. That's free of VAT, yes, because the families are signing with our Swiss entity. Jakub, may I just have a quick follow-up on Nils question? But if I understand correctly, from those 50,000 potential, in brackets, yeah, it's sort of your estimate, 20,000 already left their data on... Or is that additional to the 20,000? No, no, no. It's a 50,000 families already signed. But I think you mentioned something of 20,000- EUR 20,000 is on top of this EUR 50, which left updated data but did not sign. Exactly. Yeah, and that... And those would be within the 50,000 additional- Yes. But maybe a bit more easy because they've already- Exactly. You know, been in contact- Exactly. Et cetera, et cetera. Okay. Exactly. Okay. Understood. Yeah. Yeah. And then just maybe one final question from me, maybe a quick update on the placenta business. Yes. Good news from Germany. We got the license, which we struggled to obtain for more than two years, I think. So finally we have it. And the next topic is as a process of amending the agreements with clinics. So we will not start offering that before we reach, we guess 100 clinics with amended contracts, because, you know, we cannot just contract and then say to the client: "You know, you can't deliver." Yeah. So I hope that we will be able to go to the market with this product in Germany in Q3 next year. But what would be the reaction of the market is difficult to say. Overall experience is positive from all the countries, what we mentioned several times. Actually, in none of the countries we started that, we saw negative reaction, only positive. So there is only a question mark of, you know, how many clients will decide on this kind of product. And the next country would be probably Portugal, yeah, because that depends on the authorities a little bit. But that's great news. I mean, I think the order was the other way around before. I think you always mentioned you think Portugal would be before Germany. Yes. So- Yes, yes, we are... I mean- Overall, this is good news, right? We were negatively surprised first by German authorities. Now, we are positively surprised by German authorities. They did not raise more questions. You know, they are precautious, I said, because that is the first license of that type in Germany. So I think they were really, really precautious, asking several questions, and at certain moment, they stopped, and they just told us, "You have the license. Cool. Good news. But may I add, Tim, even if you, as Jakub said, when we start in Q3 this next year, there will be kind of ramp-up phase, so we won't see that much revenue in the beginning, of course. Mm-hmm. Yes, and it's natural. I mean, first of all, this limitation by the number of hospitals. I don't know whether we communicated that, but, you know, there are roughly 650 hospitals with deliveries in Germany at this moment. In comparison to 750, which was 10 years ago, roughly. So they are consolidating. And out of the 650 hospitals, we have roughly 90% coverage in terms of collection of cord blood. But for cord tissue, I think that we have roughly 70% of these hospitals covered with agreements. So we expect similar situation for placenta. So there will be a fast growth in the very beginning with hospitals which are, let's say, easier to amend such a thing. And then, that would gradually go up, but not that way, right? So that will be like a jump, and then up, up, up, up. Like we continue with cord tissue, yes? We like to have the same coverage like for cord blood. But this is long process, you know, because we have, you have different authorities in lands, and they have different requirements. In certain lands, the authority has to approve the agreement with the hospital. So that is very, very slow process. But overall, it's a positive message because we see really how positively is the reaction of the client, but also midwives. I think this is something which is very, very important, because when you collect cord blood, some midwives are saying you should do it in the very last moment, enabling the fetus or the baby to get as much blood as possible. And this is so-called delayed clamping, and that is done to even certain extreme. It went to certain extreme, how much blood or how long that the baby could be connected with mother. So some midwives may consider cord blood banking as a negative thing from fetal perspective, but that has nothing to do with placenta. Yes? And there is much more literature supporting placental cells are very, very interesting, can be rich in many substances or active substances, which could be used for treatment. And it is also more natural. Tim, 10 years ago, if I would ask you on the street, "You know, what is cord blood?" You probably would have no clue. Yes? If I would ask you, "What is placenta?" I would guess 99.9% of people are aware what is placenta. It's more natural, right? Yeah. So we really believe that should bring us simply more margin overall. Right? Good. Thanks a lot, guys. Thank you. Thanks for the questions, Tim and Niels. Are there further questions for the moment? I assume not. Then we've reached the end of today's call. Thank you very much again for participating. Should any further questions occur, then please just drop us a mail or call us. We're happy to assist you. Then, talk to you soon on our next call. Thank you very much. Bye-bye. Thank you. Thank you.