Financial Overview
Fourth quarter 2024, October 1 to December 31
• Net sales amounted to TSEK 79 (0).
• Result after taxes amounted to TSEK-15,476 (-5,777).
• Earnings per share before and after dilution amounted to SEK -0.06 (-0.03).
• Cash flow from operating activities after changes in working capital amounted to TSEK -6,213 (-5,480).
Full Year 2024, 1 January to 31 December
• Net sales amounted to TSEK 97 (0).
• Result after taxes amounted to TSEK -41,564 (-25,804).
• Earnings per share before and after dilution amounted to SEK -0.18 (-0.12).
• Cash flow from operating activities after changes in working capital amounted to TSEK -28,027 (-25,315).
• Cash and cash equivalents on the balance sheet date amounted to TSEK 21,592 (22,454).
Fourth quarter 2024
Turnover and results
Net sales for the fourth quarter of 2024 amounted to TSEK 79 (0).
Operating costs including capitalised costs and depreciation for the fourth quarter amounted to TSEK 15,161 (9,740).
Depreciation of balanced development work and patents has begun as the product development was considered to be completed in July 2024 and amounts to TSEK 4,702 for the fourth quarter. The depreciation period is estimated at 5 years. During the quarter, a write-down of patents deemed to be of lesser value was carried out by TSEK 2,439.
A small part of the costs has been capitalized in the quarter compared to the corresponding period last year, TSEK 42 (3,175) as the product development is considered to be completed.
The operating profit for the fourth quarter amounted to TSEK -14,982 (-6,500) and the profit after tax amounted to TSEK -12,804 (-5,777).
Cash flow
Cash flow from operating activities during the fourth quarter amounted to TSEK -8,335
(-5,746). After changes in working capital, the cash flow during the period was TSEK -6,213 (-5,480). The period's total cash flow amounted to TSEK -4,578 (332). The existing loan agreement for a total of MSEK 20 issued by Fenja Capital II A/S was refinanced at the beginning of December through a new loan of MSEK 12.5 from Freja Capital II A/S. Lumito thus repaid MSEK 7.5. The new issue has been carried out through the exercise of warrants for a total of approximately TSEK 11,679 after issue costs.
Full Year 2024
Turnover and results
Net sales for the full year 2024 amounted to TSEK 97 (0).
Operating costs, including capitalized costs and depreciation for the full year, amounted to TSEK 42,733 (40,763). A smaller share of the costs has been capitalized during the full year compared to the corresponding period of the previous year, TSEK 4,030 (13,933) due to the fact that the product is considered completed.
During the full year, write-off of balanced development work and patents has begun as the product development is considered to be completed in July 2024 and amounts to TSEK 9,710. The depreciation period is estimated at 5 years. During the fourth quarter, a write-down of patents deemed to be of lesser value was carried out by TSEK 2,439.
The operating profit for the full year amounted to TSEK -38,304 (-26,525) and the profit after tax amounted to TSEK -41,564 (-25,892).
Cash flow
Cash flow from operating activities for the full year amounted to TSEK -29,415 (-25,679). After changes in working capital, the cash flow during the period was TSEK -28,027 (-25,315). The period's total cash flow amounted to TSEK -862 (-30,262). The existing loan agreement for a total of MSEK 20 issued by Fenja Capital II A/S was refinanced at the beginning of December through a new loan of MSEK 12.5 from Freja Capital II A/S. Lumito thus repaid MSEK 7.5. The new issue has been carried out through the exercise of warrants in June and November of TSEK 19,518 and 11,679, respectively, after issue costs.
Staff
The average number of employees during the full year amounted to 12 (15), of which 3 (4) were women.
Investments, liquidity and financial position
On December 31, 2024, the accumulated book investments for balanced research and development expenses amounted to TSEK 83,800 (89,754). The sum refers to continued development work related to the company's products. The capitalization during the year has been according to principles that are related to development, mainly written-off consulting costs. Depreciation has begun as of the third quarter and amounts to TSEK 9,710. The depreciation period is estimated at 5 years.
Booked investments in the patent portfolio amounted to TSEK 2,739 (4,805), of which the majority refers to investments in patents and patent applications related to the company's products. Depreciation has begun as of the third quarter and amounts to TSEK 300. During the fourth quarter, a write-down of patents deemed to be of lesser value was carried out by TSEK 2,439.
Cash and cash equivalents on the balance sheet date amounted to TSEK 21,592 (22,454).
Equity amounted to TSEK 92,792 (103,159).
The equity ratio was 83 (85) percent.
Annual report
The annual report will be available on the website on April 17, 2025.
The board's proposal for a dividend
The company's board will propose to the annual general meeting that no dividend be paid for the financial year 2024.
Accounting and valuation principles
This quarterly report has been prepared in accordance with the Annual Accounts Act and the Accounting Board's general advice BFNAR 2012:1. Annual report and consolidated accounts (K3).
More about the Company's accounting principles can be found on page 28 of the annual report 2023. From July 2024, depreciation is made on balanced development work and patents over a 5-year period. Amounts are expressed in TSEK and MSEK, which in this report refers to thousands of Swedish kronor and millions of Swedish kronor. Amounts in parentheses refer to comparative figures with the corresponding period of the previous year.
The auditors' review
This report has not been reviewed by the Company's auditors.
Significant risks and uncertainties
A description of Lumito's significant risks and uncertainty factors is described on pages 20-21 of the Company's annual report 2023. No significant changes have occurred since then.
Significant events during the fourth quarter of 2024
OCTOBER 11
Lumito signs a Letter of Intent with Katana Labs GmbH
OCTOBER 15
Lumito signs a Letter of Intent with scientific advisor
NOVEMBER 4
The subscription price for exercise of warrants of series TO6 in Lumito AB is set to SEK 0.39 and the subscription period commences today November 4, 2024
NOVEMBER 12
The last day for trading the warrants of series TO6 in Lumito is today, November 12, 2024
NOVEMBER 12
Members of Lumito's board and management intend to exercise warrants of series TO6
NOVEMBER 14
Nomination committee in Lumito appointed before the 2025 annual general meeting
NOVEMBER 18
Warrants of series TO6 were subscribed to approximately 94 percent and Lumito AB (publ) received approximately SEK 12.6 million
NOVEMBER 28
Lumito refinances loans of SEK 12.5 million
NOVEMBER 28
Lumito focus on the accelerated commercialisation of SCIZYS and are initiating a cost-reduction programme
DECEMBER 19
Lumito and Truly Labs join forces to drive innovation and enhanced competitiveness in tissue analysis
Significant events after the end of the period
FEBRUARY 6
Lumito clarifies its product message – increased objectivity in tissue analysis
FEBRUARY 11
Product patent approved for Lumito's advanced imaging technology in Europe
FEBRUARY 14
Lumito has renewed its ISO 13485:2016 certification
CEO comment
Lumito's priority is to establish our product, Scizys, in the market, strengthen our brand and continue the work for revenue generation. During the quarter, we adapted the organisation to the phase we are in, with a clear focus on customer-related activities.
In this report, we have reworked our company texts to better reflect the insights and lessons learned during the second half of 2024 and clarify our quarterly reports and make them more accessible to stakeholders.
Q4 in brief
The quarter was marked by important strategic progress and financial stabilisation. Through a utilisation rate of warrants of 94%, refinancing of loans, and a cost reduction program, a continued focus on commercialisation and a more financially sustainable structure for the company was secured.
We see that our customers want to evaluate Scizy's performance in their specific applications, which requires an evaluation phase. During the autumn, we have identified that this is best done through strategic collaborations and partnerships. Therefore, we have initiated several important collaborative projects with potential customers and users.
A particular milestone was our strategic partnership with Truly Labs. We see this as the starting point for a scalable business model where we expect many more similar collaborations in the future. With a technology like Scizys, which is not tied to a specific tissue type or biomarker, significant opportunities are opened for collaborations with researchers and smaller companies in adjacent and relevant areas of use. During the quarter, we have initiated several projects with goals ranging from sales and scientific publications to more extensive commercial collaborations.
In November, our advisor, Paul Waring, visited Lumito for a full-day overview of Scizys and our work. His summary after the visit was clear:
“Lumito has the potential to significantly improve the utility of immunohistochemistry both for biomarker quantification and in diagnostic pathology. Their technology is ready to be explored in many different areas of use”.
Paul Waring, with his extensive experience in clinical pathology, academic research, and leading roles at AstraZeneca and Roche, is very important in our work towards establishing collaborations with major pharmaceutical and diagnostic companies.
Strategic progress
We have developed more precise product messages and see increasing interest from our target groups. Scizys have a unique ability to measure very low levels of biomarkers in tissue, to reliably see where in the cell the biomarker is, and to make quantitative comparisons of test results. These are decisive advantages in both drug development and research. We see a significant and growing interest when we present the possibility of quantification and increased objectivity in the analysis.
Our business model targeting CRO companies has evolved and shows clear scalability possibilities. We work in project form with CRO companies to strengthen their offerings and introduce Scizys-based tests to their end customers. The CRO companies that show the most interest are those that strive to offer their customers "cutting-edge" products and methods to solve complex research and development challenges.
Lumito's customer groups are, above all, highly trained specialists who place high demands on Scizy's ability to deliver better performance than products on the market. We must meet the customers' demands and be a company with knowledge and credibility. We are therefore investing in a targeted market strategy with scientifically based sales material, as well as conference and congress attendance with lectures and posters. We will tie more so-called key opinion leaders, KOLs, to the company, both for advice but also to open doors to new business opportunities and collaborations.
Thank you for your trust
In conclusion, I would like to extend a big and warm thank you to all our shareholders for your continued commitment and support. Your faith in Lumito is invaluable for Lumito's continued development and journey forward.
Lund in February 2025
Sanna Wallenborg
CEO, Lumito AB
