Immunoprecise Antibodies Ltd (IPA) 2023 Q3 法說會逐字稿

Good morning, and welcome to IPA's earnings call for the third-quarter fiscal year 2023. I am Regina, and I will be your host for today's call.

早上好，歡迎參加 IPA 2023 財年第三季度財報電話會議。我是 Regina，我將擔任今天電話會議的主持人。

Before we begin, I would like to remind everyone that our remarks today may include forward-looking statements, which are subject to risks and uncertainties that could cause actual results to differ materially from those expressed or implied in our statements. We encourage you to review our filings with the Securities and Exchange Commission for a more complete discussion of these risks and uncertainties. IPA undertakes no obligation to update these forward-looking statements, except as required by law.

在開始之前，我想提醒大家，我們今天的言論可能包括前瞻性陳述，這些陳述存在風險和不確定性，可能導致實際結果與我們的陳述中明示或暗示的結果存在重大差異。我們鼓勵您查看我們向美國證券交易委員會提交的文件，以便對這些風險和不確定性進行更完整的討論。除法律要求外，IPA 不承擔更新這些前瞻性陳述的義務。

On today's conference call and the accompanying presentation slides, non-GAAP financial measures will be used to help investors and analysts understand IPA's business performance. IPA believes adjusted EBITDA reflects the business in a manner that allows for a meaningful period-to-period comparisons and analysis of trends in its business. An explanation and reconciliation of non-GAAP to GAAP measures can be found in the text of our management discussion and analysis filed on EDGAR and SEDAR.

在今天的電話會議和隨附的演示幻燈片中，將使用非 GAAP 財務指標來幫助投資者和分析師了解 IPA 的業務績效。 IPA 認為，調整後的 EBITDA 能夠以一種能夠對其業務趨勢進行有意義的期間比較和分析的方式反映業務。非 GAAP 與 GAAP 指標的解釋和協調可以在我們關於 EDGAR 和 SEDAR 的管理層討論和分析文本中找到。

With that, I will now turn the call over to IPA's CEO, Dr. Jennifer Bath, to provide an overview of our results for the quarter.

現在，我將把電話轉給 IPA 首席執行官 Jennifer Bath 博士，概述我們本季度的業績。

Thank you, Regina.

謝謝你，雷吉娜。

Ladies and gentlemen, welcome to our third-quarter earnings call. We are happy to report a very noteworthy quarter for IPA, characterized by strong revenue growth, the expansion of new revenue streams using our AI-driven LENSai complex technology, and the establishment of a potentially disruptive and valuable AI-driven research collaboration.

女士們先生們，歡迎參加我們的第三季度財報電話會議。我們很高興地報告 IPA 的一個非常值得注意的季度，其特點是強勁的收入增長、使用我們的 AI 驅動的 LENSai 複雜技術擴展新的收入流，以及建立具有潛在顛覆性和有價值的 AI 驅動的研究合作。

Regarding this most recent pioneering collaboration, the partnership aims to tackle some of the world's most challenging drug targets, specifically those within cells, which have been long considered inaccessible. By combining IPA's unique discovery technologies with Libera Bio's intracellular targeting formulations, we believe we are offering our investors an important value proposition.

關於這項最新的開創性合作，該夥伴關係旨在解決世界上一些最具挑戰性的藥物靶點，特別是長期以來被認為難以接近的細胞內藥物靶點。通過將 IPA 獨特的發現技術與 Libera Bio 的細胞內靶向製劑相結合，我們相信我們正在為投資者提供重要的價值主張。

Furthermore, we are energized by our ongoing efforts to finalize an AI-driven research collaboration on an additional complex oncology program. The partnership is under negotiation with a highly respected multibillion-dollar global leader in the field of oncology therapeutics and also focuses on a particularly challenging class of oncological proteins.

此外，我們不斷努力完成一項額外的複雜腫瘤學項目的人工智能驅動的研究合作，這讓我們充滿活力。該合作夥伴關係正在與腫瘤治療領域備受尊敬的價值數十億美元的全球領導者進行談判，並且還重點關註一類特別具有挑戰性的腫瘤蛋白。

As previously indicated, this program is still estimated to close around the end of this month. We are confident that these strategic initiatives will continue to drive growth, innovation, and shareholder value. And we look forward to sharing more details on our progress during this call.

如前所述，該計劃預計仍將在本月底左右結束。我們相信，這些戰略舉措將繼續推動增長、創新和股東價值。我們期待在這次電話會議中分享更多有關我們進展的細節。

In relation to our COVID drug product, while we continue to await delivery from our contract development and manufacturing organization, ChemPartner, we have taken decisive action to address the unanticipated delays. We have put any significant further investment into the program on hold as we are hopeful for a promising and mutually beneficial resolution with the service provider.

關於我們的新冠藥物產品，在我們繼續等待我們的合同開發和製造組織 ChemPartner 交付的同時，我們已採取果斷行動來解決意外的延誤問題。我們已暫停對該計劃的任何重大進一步投資，因為我們希望與服務提供商達成有希望且互利的解決方案。

We are currently engaged in what we hope will be productive discussions to address this matter, and we will share more details about this important opportunity both later on this call and going forward when details become available.

我們目前正在進行富有成效的討論來解決這個問題，我們將在本次電話會議稍後以及細節公佈後分享有關這一重要機會的更多細節。

Regarding our quarterly financials, IPA's overall project revenue increased by 16.7% compared to the prior year, driven primarily by the growth of the company's proprietary B Cell Select platform and protein manufacturing services. On a site-by-site basis, this increase reflects overall revenue growth at our Utrecht site of 25.3% year over year on a euro basis; and at our Victoria site, an increase of 11%.

就我們的季度財務數據而言，IPA 的整體項目收入比上年增長了 16.7%，這主要是由公司專有的 B Cell Select 平台和蛋白質製造服務的增長推動的。從各個站點來看，這一增長反映出我們烏得勒支站點的整體收入同比增長 25.3%（按歐元計算）；在我們的維多利亞工廠，增長了 11%。

On a project revenue basis, so excluding the more time variable off-the-shelf product cells and cryopreservation, Victoria and Utrecht have experienced significant revenue growth of 24.6% year over year and 48.9% year over year, respectively. Brad will share more details about our strong quarter revenue shortly.

以項目收入為基礎，排除時間可變的現成產品細胞和冷凍保存，維多利亞和烏得勒支的收入分別同比增長 24.6% 和 48.9%。布拉德將很快分享有關我們強勁的季度收入的更多詳細信息。

This quarter, we were also excited to unveil our new website, showcasing our innovative technologies, including those of our recently acquired subsidiary, BioStrand. These modern in silico solutions have generated new revenue stream, with the potential for quicker turnaround time, faster revenue recognition and higher profit margins. These recently publicized additions to our offerings underscore the value and potential of this strategic acquisition for our investors.

本季度，我們還很高興推出了我們的新網站，展示了我們的創新技術，包括我們最近收購的子公司 BioStrand 的技術。這些現代計算機解決方案產生了新的收入來源，具有更快的周轉時間、更快的收入確認和更高的利潤率的潛力。我們最近公佈的這些新產品強調了此次戰略收購對我們投資者的價值和潛力。

We have also made strategic changes to the Talem website content to better align with our overall focus on all licensing products and reducing expenditures related to partnerships and collaborations. With a slightly refocused approach, we aim to boost profits in curve expenses while delivering high-quality valuable products to our partners.

我們還對 Talem 網站內容進行了戰略性調整，以更好地符合我們對所有許可產品的總體關注，並減少與夥伴關係和協作相關的支出。通過稍微重新調整方法，我們的目標是提高曲線費用的利潤，同時為我們的合作夥伴提供高質量的有價值的產品。

This new direction for Talem involves a gradual shift away from programs where the subsidiary bears most of the preclinical research costs. Instead, it places greater emphasis on upfront financial arrangements, complemented by downstream revenues. This change is expected to benefit both Talem and our organization as a whole, as we move forward in our quest for sustained growth and advancement.

Talem 的這一新方向涉及逐步放棄由子公司承擔大部分臨床前研究成本的項目。相反，它更加重視前期財務安排，並輔之以下游收入。隨著我們不斷追求持續增長和進步，這一變化預計將使 Talem 和我們整個組織受益。

Lastly, in our general overview, we are pleased to announce that IPA has partnered with a premier executive search firm specializing in the life sciences industry to identify and secure top talent for the position of a non-executive Board Director. This collaboration will ensure a highly customized search process, enabling us to select the best candidate who will contribute significantly to delivering long-term value for our shareholders and further solidifying IPA's position as a leader in the industry.

最後，在我們的總體概述中，我們很高興地宣布，IPA 已與一家專門從事生命科學行業的頂級獵頭公司合作，以尋找並確保非執行董事會董事職位的頂尖人才。此次合作將確保高度定制的搜索流程，使我們能夠選擇最佳候選人，為我們的股東創造長期價值並進一步鞏固 IPA 作為行業領導者的地位。

Now for the much anticipated update on sales and revenue, I will turn the call over to Barry Duplantis.

現在，對於備受期待的銷售和收入更新，我將把電話轉給巴里·杜普蘭蒂斯。

Thank you, Jennifer.

謝謝你，詹妮弗。

First off, we're happy to report quarter-over-quarter global revenue was up 7.4% over Q3 fiscal year '22, while project revenue increased by an impressive 16.7% over last year. Secondly, I'd like to touch on sales orders, contracts that are signed commitments to future work. While sales orders may not perfectly correlate with revenue, they do provide a useful metric for forecasting ongoing revenue over the next 10 months. Sales orders showed a Q3, a substantial increase of 66% over Q2 fiscal year '23 and 48% over Q1 fiscal year '23.

首先，我們很高興地報告，全球收入比 22 財年第三季度環比增長了 7.4%，而項目收入比去年增長了 16.7%，令人印象深刻。其次，我想談談銷售訂單、簽署的合同以及對未來工作的承諾。雖然銷售訂單可能與收入並不完全相關，但它們確實為預測未來 10 個月的持續收入提供了有用的指標。第三季度的銷售訂單比 23 財年第二季度大幅增長 66%，比 23 財年第一季度大幅增長 48%。

These figures indicate that as client projects progress, IPA's revenue is expected to continue to grow. Overall, the upward trend in sales orders indicates a promising outlook for IPA's continued success.

這些數字表明，隨著客戶項目的進展，IPA的收入預計將繼續增長。總體而言，銷售訂單的上升趨勢表明IPA 的持續成功前景光明。

Thirdly, IPA has added nine new clients and serviced a total of 145 clients during Q3. The addition of nine clients this quarter is the highest number of new clients onboarded during a quarter in the past two years, while the 145 ongoing clients has averaged over the same time frame.

第三，IPA第三季度新增9家客戶，共服務145家客戶。本季度新增 9 名客戶，是過去兩年單季度新增客戶數量最多的一次，而同期現有客戶數量為 145 名。

IPA has seen a 23% increase in the number of antibody discovery programs initiated when comparing the first three quarters of fiscal year '23 to all of fiscal year '22. This growth represents a significant accomplishment, especially considering that Q4 is still yet to come.

將 23 財年的前三個季度與 22 財年的整個季度進行比較時，IPA 發現啟動的抗體發現項目數量增加了 23%。這一增長代表著一項重大成就，特別是考慮到第四季度尚未到來。

Our continued growth can once again be contributed to IPA's rabbit B-cell platform and an industry that is cycling back towards the use of wild-type rodents. IPA is established and continues to cement itself as the leader in rabbit monoclonal antibodies. Rabbit drive monoclonals are often used by our clients as therapeutic companion reagents, integral components of the drug discovery process with highly distinct roles and specifications perfectly suited to our workflows.

我們的持續增長可以再次為 IPA 的兔 B 細胞平台和正在回歸使用野生型囓齒動物的行業做出貢獻。 IPA 成立並繼續鞏固其作為兔單克隆抗體領域領導者的地位。兔驅動單克隆抗體經常被我們的客戶用作治療配套試劑，是藥物發現過程中不可或缺的組成部分，具有高度獨特的作用和規格，非常適合我們的工作流程。

However, as a standalone strategy or in concert with IPA's ability to use multiple strains, immunization strategies, and discovery platforms, the use of alternative species such as rabbits and chickens has become a very effective means of ensuring a diverse set of therapeutically relevant sequences.

然而，作為一種獨立的策略或與 IPA 使用多種菌株、免疫策略和發現平台的能力相結合，使用兔子和雞等替代物種已成為確保多種治療相關序列的非常有效的手段。

In addition to more phylogenetically distance species, there is a renewed interest from our clients in the use of wild type or non-humanized transgenic animal models for therapeutic discovery. Despite the rise of transgenic models over the past decade, the fact that the wild-type immune systems are still regarded as superior and that wild-type animals do not carry the royalties and milestone payments charged by third-party transgenic providers has led clients back to the use of the wild-type animal model.

除了系統發育上距離較遠的物種外，我們的客戶對使用野生型或非人源化轉基因動物模型進行治療發現產生了新的興趣。儘管轉基因模型在過去十年中興起，但野生型免疫系統仍然被認為更優越，而且野生型動物不承擔第三方轉基因提供商收取的特許權使用費和里程碑付款，這一事實吸引了客戶的青睞野生型動物模型的使用。

With the integration of BioStrand and silico analysis, IPA's next-generation humanization services are well positioned to take advantage of the cyclical market trend. In particular, the high throughput immunogenicity screening provided by BioStrand allows IPA to offer more advanced service that meets the evolving needs of our clients.

通過 BioStrand 和矽分析的整合，IPA 的下一代人性化服務已做好充分準備，以利用周期性市場趨勢。特別是，BioStrand 提供的高通量免疫原性篩選使 IPA 能夠提供更先進的服務，滿足客戶不斷變化的需求。

Overall, the combination of IPA's species agnostic platform, the use of wild-type animal models, and the integration of BioStrand's technology into IPA's humanization platform represents a powerful strategy for continued growth and success in the industry.

總體而言，IPA 的物種不可知平台、野生型動物模型的使用以及 BioStrand 技術與 IPA 人源化平台的整合代表了行業持續增長和成功的強大戰略。

Next up, IPA is excited to introduce its latest marketing undertaking, the IPA Collective, a set of science and social gatherings held in strategic locations. The first event will take place in San Francisco next week. These events, combined with the recruitment of essential sales team members in Q2, will aid in establishing a firm physical presence in these vital markets.

接下來，IPA 很高興地介紹其最新的營銷活動——IPA Collective，這是一系列在戰略地點舉行的科學和社交聚會。第一場活動將於下週在舊金山舉行。這些活動，再加上第二季度招募重要銷售團隊成員，將有助於在這些重要市場建立穩固的實體存在。

Finally, IPA Europe, Utrecht has added 12 new product entries to IPA's online store based on the organoid growth factor R-spondin1 or RSPO1. The addition of RSPO1 to culture medium of stem cells can increase the yield and quality of organoids, making it a valuable component in the production of organoids for the research and therapeutic purposes.

最後，烏得勒支 IPA Europe 在 IPA 在線商店中添加了 12 個基於類器官生長因子 R-spondin1 或 RSPO1 的新產品。在幹細胞培養基中添加 RSPO1 可以提高類器官的產量和質量，使其成為用於研究和治療目的的類器官生產中的重要組成部分。

Overall, RSPO1 is an important component in the growing organoids market as it can enhance the efficiency and effectiveness of organoid production leading to more accurate disease models and better drug testing platforms. The use of RSPO1 has contributed significantly to the growth of the organoids market in recent years.

總體而言，RSPO1 是不斷增長的類器官市場的重要組成部分，因為它可以提高類器官生產的效率和有效性，從而帶來更準確的疾病模型和更好的藥物測試平台。近年來，RSPO1 的使用對類器官市場的增長做出了重大貢獻。

With that, I will now turn the quarterly updates over to Dr. Ilse Rodink, IPA's Chief Scientific Officer.

現在，我將把季度更新轉交給 IPA 首席科學官 Ilse Rodink 博士。

Thank you, Barry. And good morning, all.

謝謝你，巴里。大家早上好。

I would first like to update you on our TrkB T-cell engager program. Solid tumors out of expressing TrkB, such as breast cancer, are also not highly immunogenic; meaning that although immune systems -- cells are present in the environment of the tumor, they are not attacking the cancer cells.

我首先想向您介紹我們的 TrkB T 細胞參與計劃的最新情況。不表達 TrkB 的實體瘤（例如乳腺癌）也不具有高免疫原性；這意味著儘管免疫系統細胞存在於腫瘤環境中，但它們不會攻擊癌細胞。

The combination of our proprietary TrkB-targeting arm with our unique CD3-targeting arm in a bispecific molecule is designed to recruit and activate T cells. And it's also otherwise referred to as a T-cell engager. This bispecific molecule is designed to induce killing of specific cancer cells and is anticipated to lead to a more effective treatment.

我們專有的 TrkB 靶向臂與我們獨特的 CD3 靶向臂在雙特異性分子中的組合旨在招募和激活 T 細胞。它也被稱為 T 細胞接合者。這種雙特異性分子旨在誘導殺死特定癌細胞，並有望帶來更有效的治療。

Our lead candidate in a TrkBxCD3 bispecific asset portfolio has been proven in the lab to activate T cells in the presence of target-expressing cells, while laboratory results also indicated it might be a safer therapy than a benchmark therapy currently available to patients.

我們 TrkBxCD3 雙特異性資產組合中的主要候選藥物已在實驗室證明能夠在存在靶標表達細胞的情況下激活 T 細胞，而實驗室結果也表明它可能是比目前患者可用的基準療法更安全的療法。

An extract submitted to the prestigious AACR Annual Meeting this April demonstrates differentiating properties of this potential first- and best-in-class lead candidate. I was recently accepted for presentation on April 19, whereby just prior to the event, the extract really published in the international peer-reviewed AACR Journal Cancer Research.

今年四月提交給著名的 AACR 年會的摘錄展示了這位潛在的一流和最佳主要候選人的差異化特性。我最近於 4 月 19 日接受了演講，就在活動之前，該摘錄確實發表在國際同行評審的 AACR 癌症研究雜誌上。

In our TATX20R program, we reached an important milestone. The TATX20 target is a target is a membrane-bound protein whose activity plays a key role in the survival of solid tumors and resistance to chemotherapy.

在我們的 TATX20R 計劃中，我們達到了一個重要的里程碑。 TATX20靶標是一種膜結合蛋白，其活性在實體瘤的存活和化療耐藥性中發揮關鍵作用。

Inhibition of this activity has been shown to reduce tumor growth and resource susceptibility of cancer cells to chemotherapy in preclinical models. Based on its proven ability to innovate activity in an in vitro assay, we selected an anti-agonistic lead candidate for further characterization.

在臨床前模型中，抑制這種活性已被證明可以降低腫瘤生長和癌細胞對化療的資源敏感性。基於其在體外測定中創新活性的經過驗證的能力，我們選擇了一種抗激動劑先導候選物進行進一步表徵。

Identification of an inhibitory monoclonal antibody is quite an achievement as there are only two such monoclonal antibodies known in the public domain for this target. Our candidate is the first fully human anti-agnostic monoclonal antibody, emphasizing the uniqueness of our lead candidate.

抑制性單克隆抗體的鑑定是一項相當大的成就，因為在公共領域已知針對該靶標的單克隆抗體只有兩種。我們的候選藥物是第一個全人類抗不可知單克隆抗體，強調了我們主要候選藥物的獨特性。

I will now turn you back over to Dr. Jennifer Bath, our CEO.

現在我將把您轉交給我們的首席執行官詹妮弗·巴斯博士。

Thank you, Ilse.

謝謝你，伊爾莎。

I will now focus on providing a comprehensive overview of our recent operational updates for everyone on the call. Firstly, we're excited to announce that BioStrand, whose LENSai intelligent technology is now a central theme in our strategies, has successfully completed its first commercial project using groundbreaking natural language processing technology, or NLP technology, to analyze molecular binding interactions for a clinical-stage program at a pharmaceutical company.

我現在將重點向參加電話會議的每個人提供我們最近的運營更新的全面概述。首先，我們很高興地宣布 BioStrand 已成功完成其第一個商業項目，該項目的 LENSai 智能技術現已成為我們戰略的中心主題，該項目使用突破性的自然語言處理技術（NLP 技術）來分析臨床中的分子結合相互作用。製藥公司的階段計劃。

This accomplishment represents BioStrand's first official revenue generation since joining our team and demonstrates our commitment to driving innovation in the industry. During this project, BioStrand significantly improved its ability to perform in silico structural prediction of multiple isoforms as well as assessed structural homology.

這一成就代表了 BioStrand 自加入我們團隊以來首次正式創收，並體現了我們對推動行業創新的承諾。在該項目期間，BioStrand 顯著提高了其對多種亞型進行計算機結構預測以及評估結構同源性的能力。

These advancements provided valuable insights into the potential mechanism of action and structural characteristics of the client's target protein and its interactions with potential drug candidates. BioStrand has also expanded its commercial activities with in silico immunogenicity screening, enabling the identification of potentially dangerous immune responses to partner drug candidates.

這些進展為了解客戶靶蛋白的潛在作用機制和結構特徵及其與潛在候選藥物的相互作用提供了寶貴的見解。 BioStrand 還通過計算機免疫原性篩選擴大了其商業活動，從而能夠識別對候選藥物的潛在危險免疫反應。

This successful service offering not only confirmed the value and output of BioStrand's in silico immunogenicity testing but also provides a highly scalable, rapid turnaround, powerful, and high-profit service offering that can be integrated into other IPA programs or offered as a standalone service.

這項成功的服務不僅證實了 BioStrand 計算機免疫原性測試的價值和產出，而且還提供了高度可擴展、快速周轉、強大且高利潤的服務產品，可以集成到其他 IPA 項目中或作為獨立服務提供。

This newly commercialized service has the potential to add tremendous value to antibody programs by helping researchers select preferable lead candidates, avoid toxicity pitfalls in early-stage clinical trials, save time and money during preclinical and clinical development, and avoid potentially unnecessary or -- and fatal adverse events in patients.

這項新商業化的服務有可能為抗體項目增加巨大的價值，幫助研究人員選擇更好的主要候選藥物，避免早期臨床試驗中的毒性陷阱，在臨床前和臨床開發過程中節省時間和金錢，並避免潛在不必要的或——和患者致命的不良事件。

Next, our collaboration with BriaCell continues to make significant progress in the first phase of the project, which due to mutually agreed upon additional research steps taken to -- undertaken to enhance the quality of the program began one week ago. Our joint efforts to develop an innovative best-in-class therapy are being supported by BioStrand's LENSai intelligent technology, which is playing a vital role in managing and analyzing the high-quality data produced through our antibody generation platforms. This collaboration emphasizes our commitment to driving innovation and creating long-term value for investors.

接下來，我們與 BriaCell 的合作在該項目的第一階段繼續取得重大進展，這是由於雙方商定了為提高一周前開始的項目質量而採取的額外研究步驟。 BioStrand 的 LENSai 智能技術支持我們共同努力開發創新的一流療法，該技術在管理和分析通過我們的抗體生成平台產生的高質量數據方面發揮著至關重要的作用。此次合作強調了我們對推動創新和為投資者創造長期價值的承諾。

Continuing to focus on the accumulation of meaningful quality data, we turn to our next-generation sequencing, or NGS platform, where we have integrated cutting-edge data mining tools, including our proprietary HYFT technology, with next-generation sequencing to enhance computational efficiency across our data mining and repository capabilities. One example of our success is reducing the laborious preprocessing of bulk data from a week to just four hours.

我們繼續專注於有意義的高質量數據的積累，轉向下一代測序或 NGS 平台，在該平台上，我們將尖端的數據挖掘工具（包括我們專有的 HYFT 技術）與下一代測序相集成，以提高計算效率涵蓋我們的數據挖掘和存儲能力。我們成功的一個例子是將大量數據的繁瑣預處理從一周減少到僅需四個小時。

Furthermore, we have bolstered our wet lab capabilities by implementing a multi-pronged approach that combines single-cell functional screening, single-cell sequencing, stage display next-generation sequencing, and multi-species, multi-organ next-generation sequencing. These efforts have been closely coordinated with our in silico analysis platform, optimizing the functional output and providing us with integrated meaningful data that highlights our innovative capabilities.

此外，我們通過實施多管齊下的方法，結合單細胞功能篩選、單細胞測序、舞台展示下一代測序和多物種、多器官下一代測序，增強了我們的濕實驗室能力。這些努力與我們的計算機分析平台密切配合，優化了功能輸出，並為我們提供了有意義的綜合數據，突顯了我們的創新能力。

BioStrand standalone analysis pipeline for NGS antibody repertoire sequences is another example of our commitment to innovation. The pipeline is functional and capable of analyzing human, mouse, chicken, rabbit, camelid, including lama, rat, and shark antibody next-generation sequences. The pipeline's potential is immense, allowing integration with other bioinformatics pipelines, full IPA-controlled flow of data and data processing steps, ease of customization, scalability, and optimization of computer-intensive steps.

用於 NGS 抗體庫序列的 BioStrand 獨立分析管道是我們致力於創新的另一個例子。該管道功能齊全，能夠分析人類、小鼠、雞、兔子、駱駝科動物，包括喇嘛、大鼠和鯊魚抗體下一代序列。該管道的潛力是巨大的，可以與其他生物信息學管道集成、完全由 IPA 控制的數據流和數據處理步驟、易於定制、可擴展性以及計算機密集型步驟的優化。

This continued focus on leveraging our function-first strategy to drive unparalleled, innovative solutions further solidifies our position as a leader in the next-generation antibody discovery workflows.

繼續專注於利用我們的功能優先策略來推動無與倫比的創新解決方案，進一步鞏固了我們作為下一代抗體發現工作流程領導者的地位。

Lastly, the recent agreement between Talem and Libera Bio showcases our commitment to addressing notoriously difficult intracellular targets and meeting unmet patient needs. This collaboration leverages Libera Bio's multifunctional polymeric nanocapsule or MPN technology, BioStrand's LENSai full suite of integrated intelligence technology, and IPA's wet lab capabilities to develop novel antibodies capable of penetrating the cell membrane and tackling elusive cancer targets.

最後，Talem 和 Libera Bio 最近達成的協議展示了我們致力於解決眾所周知的困難細胞內目標並滿足未滿足的患者需求。此次合作利用 Libera Bio 的多功能聚合物納米膠囊或 MPN 技術、BioStrand 的 LENSai 全套集成智能技術以及 IPA 的濕實驗室能力來開發能夠穿透細胞膜並應對難以捉摸的癌症靶標的新型抗體。

Last but not least, one more example of a commercializable high-demand offering by BioStrand is their SaaS model or SaaS-based data management platform, which has been awarded a first-round request for proposal, or RFP, by an undisclosed large pharma company. The platform allows researchers to store, manage, and analyze large amounts of multi-omic data using AI and machine learning.

最後但並非最不重要的一點是，BioStrand 的商業化高需求產品的另一個例子是他們的 SaaS 模型或基於 SaaS 的數據管理平台，該平台已被一家未公開的大型製藥公司授予第一輪提案請求 (RFP) 。該平台允許研究人員使用人工智能和機器學習來存儲、管理和分析大量多組學數據。

If awarded, this program is expected to help the pharmaceutical company accelerate its drug discovery process and improve its R&D efficiency. Minimally, this third-party validation marks the beginning of a new potential revenue stream of great interest and high conceivable revenues for BioStrand.

如果獲獎，該項目預計將幫助該製藥公司加快藥物發現進程並提高研發效率。至少，這次第三方驗證標誌著 BioStrand 備受關注的新潛在收入來源和高可想像收入的開始。

I will now turn the phone over to Mr. Brad McConn for a closer look at this quarter's financials.

我現在將把電話轉給 Brad McConn 先生，以便更仔細地了解本季度的財務狀況。

Thank you, Jennifer, and good morning, everyone.

謝謝你，詹妮弗，大家早上好。

I'll provide an overview of our financial results for the third quarter before touching on our balance sheet as of the end of the period. As a reminder, all numbers that I reference are in Canadian dollars unless otherwise noted.

在討論截至期末的資產負債表之前，我將概述我們第三季度的財務業績。提醒一下，除非另有說明，我引用的所有數字均以加元為單位。

IPA recorded total revenue of $5.2 million during the third quarter, a 7.4% increase from $4.8 million during the third quarter of fiscal 2022. As Jennifer and Barry mentioned, the increase was driven by strong growth in our B Cell Select platform at our Victoria site and protein production services in Utrecht.

IPA 第三季度總收入為 520 萬美元，比 2022 財年第三季度的 480 萬美元增長 7.4%。正如 Jennifer 和 Barry 提到的，這一增長是由維多利亞工廠 B Cell Select 平台的強勁增長推動的和烏得勒支的蛋白質生產服務。

Our project revenue growth was 16.7% year over year, continuing our strong performance in our primary revenue drivers. On a year-to-date basis, total revenue has increased 10.9% year over year, and project revenue has increased 12.7% year over year when adjusting for the effects of currency translations.

我們的項目收入同比增長 16.7%，延續了我們在主要收入驅動力方面的強勁表現。年初至今，總收入同比增長10.9%，調整貨幣換算影響後，項目收入同比增長12.7%。

Gross profit for the quarter totaled $3 million, an increase of 14.6% compared to the same period last year, while gross profit margin increased to 57% from 54% last year.

該季度毛利潤總計300萬美元，較去年同期增長14.6%，毛利率則從去年的54%增至57%。

Moving on to our operating expenses, research and development costs decreased to $1 million from $2.1 million during the same period last year. Of the $1 million in expense, $0.4 million relates to the PolyTope antibody combination therapy. As Jennifer discussed, we anticipate costs related to this program to reduce significantly moving forward. Other notable expenses include $0.3 million in compensation expense and $0.1 million in depreciation that were allocated to research and development.

說到運營費用，研發成本從去年同期的 210 萬美元降至 100 萬美元。在 100 萬美元的費用中，40 萬美元與 PolyTope 抗體聯合療法有關。正如詹妮弗所討論的，我們預計與該計劃相關的成本將大幅減少。其他值得注意的費用包括 30 萬美元的補償費用和 10 萬美元的分配給研發的折舊費用。

Sales and marketing expense totaled $0.8 million during the quarter, which is in line with our expense during the same quarter last year. Sales and marketing include $0.6 million in compensation expense, along with $0.2 million in advertising and marketing costs.

本季度銷售和營銷費用總計 80 萬美元，與去年同期的費用一致。銷售和營銷費用包括 60 萬美元的薪酬費用以及 20 萬美元的廣告和營銷費用。

General and administrative expense was $4.6 million during the period compared to $3.5 million in fiscal 2022. Salaries and benefits increased $0.7 million; and management fees, $0.4 million, primarily due to the addition of staff at BioStrand along with some routine pay increases. Professional fees increased $0.3 million, while insurance and share-based payment expense each decreased by $0.1 million year over year.

該期間的一般和行政費用為 460 萬美元，而 2022 財年為 350 萬美元。工資和福利增加了 70 萬美元；管理費 40 萬美元，主要是由於 BioStrand 增加了員工以及一些常規加薪。專業費用同比增加 30 萬美元，而保險和股票支付費用分別減少 10 萬美元。

And finally, as we've seen in previous quarters this fiscal year, amortization of intangible assets increased $0.5 million, which is due to the intangibles recorded for the acquisition of BioStrand.

最後，正如我們在本財年前幾個季度所看到的，無形資產攤銷增加了 50 萬美元，這是由於收購 BioStrand 記錄的無形資產所致。

IPA recorded other expense of $15,000 during the third quarter of fiscal 2023 compared to income of $0.7 million during the same period last year. Of note, we recorded an unrealized foreign exchange loss of $0.1 million during the quarter, which compared to a gain of $0.5 million during the third quarter of fiscal 2022.

IPA 在 2023 財年第三季度的其他支出為 15,000 美元，而去年同期的收入為 70 萬美元。值得注意的是，我們在本季度錄得未實現外匯損失 10 萬美元，而 2022 財年第三季度則實現了 50 萬美元的收益。

All told, IPA recorded a net loss of $4.7 million during the third quarter of fiscal 2023 compared to a net loss of $3.8 million during the same period last year. Adjusted EBITDA for the quarter was negative $2.5 million, which is a $0.1 million gain from a loss of $2.6 million during the same period last year. As previously mentioned, a reconciliation of adjusted EBITDA to net loss can be found in the management discussion and analysis -- excuse me, filed today.

總而言之，IPA 在 2023 財年第三季度淨虧損 470 萬美元，而去年同期淨虧損 380 萬美元。本季度調整後 EBITDA 為負 250 萬美元，去年同期虧損 260 萬美元，增加 10 萬美元。如前所述，調整後的 EBITDA 與淨虧損的調節表可以在今天提交的管理層討論和分析中找到。

Moving on to the balance sheet, IPA held cash of $11.4 million as of January 31, 2023, compared to $30 million as of April 30, 2022. Cash expenditures totaled $3.7 million during the three months ended January 31, 2023, a reduction from $10.6 million in expenditure during Q1 and $5 million during Q2 of fiscal 2023.

轉到資產負債表，截至 2023 年 1 月 31 日，IPA 持有現金 1,140 萬美元，而截至 2022 年 4 月 30 日，現金支出為 3,000 萬美元。截至 2023 年 1 月 31 日的三個月，現金支出總計 370 萬美元，較 10.6 美元有所減少。 2023 財年第一季度的支出為 100 萬美元，第二季度的支出為 500 萬美元。

For the year, the cash used in investing activities includes $1 million in the purchase of equipment and $0.6 million for the first deferred payment for the acquisition of BioStrand. Cash from financing activities includes an outflow of $1 million from lease payments, offset by inflows of $0.7 million from the issuance of shares due to option exercises.

本年度用於投資活動的現金包括100萬美元用於購買設備和60萬美元用於收購BioStrand的第一筆延期付款。融資活動產生的現金包括租賃付款流出 100 萬美元，被因行使期權而發行股票流入的 70 萬美元所抵消。

And with that, I'll turn the call back over to Regina for question and answer.

然後，我會將電話轉回給里賈納進行問答。

Thanks, Brad. Before Jennifer adds any closing remarks, we would like to open the floor to any questions from analysts and investors. (Operator Instructions) Will McHale, Ingalls & Snyder.

謝謝，布拉德。在詹妮弗發表任何結束語之前，我們想歡迎分析師和投資者提出任何問題。 （操作員說明）Will McHale、Ingalls 和 Snyder。

Hi, Jennifer and team. Good morning. Thanks for giving some information about the other BioStrand deal that you guys are working on. I was wondering if you could also comment on kind of what the pipeline looks like beyond that for future AI drug discovery deals. And also, how you expect the economics of those deals to look over time?

嗨，詹妮弗和團隊。早上好。感謝您提供有關你們正在進行的其他 BioStrand 交易的一些信息。我想知道您是否也可以對未來人工智能藥物發現交易之外的管道情況發表評論。另外，隨著時間的推移，您預計這些交易的經濟效益如何？

Sure. Hi, Will. Thank you for your question. This is Jennifer. So with regard to your first question, an update on the pipeline for the AI drug discovery deals. So sure, happy to answer that, of course. So we expect to finalize the forthcoming AI drug discovery agreement, which involves one of our most prominent pharmaceutical partners, which I mentioned previously, with a complete and definitive contract.

當然。嗨，威爾。謝謝你的問題。這是詹妮弗。關於你的第一個問題，人工智能藥物發現交易管道的最新情況。當然，很高興回答這個問題。因此，我們希望最終敲定即將到來的人工智能藥物發現協議，該協議涉及我們最著名的製藥合作夥伴之一，我之前提到過，並簽署了一份完整而明確的合同。

So this is the one I was referencing that they anticipate having completed by the end of this month. Additionally, another major pharma company is currently in due diligence and has asked for a site visit by myself and also our VP of Client Relations, Barry Duplantis, so that they may conduct a more thorough assessment.

這就是我提到的他們預計在本月底完成的任務。此外，另一家大型製藥公司目前正在進行盡職調查，並要求我和我們的客戶關係副總裁 Barry Duplantis 進行實地考察，以便他們進行更徹底的評估。

Furthermore, there are ongoing negotiations with two additional biotech pipeline companies. And it is important to note that the negotiation timelines are primarily determined by the clients' requirements and approval procedures, but they seem to be moving along at a respectable pace.

此外，正在與另外兩家生物技術管道公司進行談判。值得注意的是，談判時間表主要由客戶的要求和審批程序決定，但進展似乎相當順利。

As far as the economics of the future deals, very good question because we do anticipate those evolving. The primary goal of the early adopter programs was to attract companies to LENSai, while we were still enhancing and adjusting to the complexities of de novo and in silico antibody generation.

就未來交易的經濟效益而言，這是一個很好的問題，因為我們確實預計這些交易會不斷發展。早期採用者計劃的主要目標是吸引公司使用 LENSai，而我們仍在增強和調整從頭和計算機抗體生成的複雜性。

As you may remember, in exchange for discounted fees and waiving the technology access fee IPA requested early adopters to provide, among other things, the rights to use anonymized data for promotional purposes and the permission to announce the collaboration through press releases. Initially, we had planned to offer the early adopter option only to four companies. And since we expect to finalize four agreements currently under discussion, and there's also one additional one that's already been announced, we are starting to shift away from early adopter conversations.

您可能還記得，為了換取折扣費用和免除技術使用費，IPA 要求早期採用者提供使用匿名數據進行促銷目的的權利以及通過新聞稿宣布合作的許可。最初，我們計劃只向四家公司提供早期採用者選項。由於我們預計最終敲定目前正在討論的四項協議，並且還有一項已經宣布，因此我們開始放棄早期採用者對話。

And considering incorporating technology access fees as initial payments along with downstream milestones and royalties, such as are already existing. The pricing for each program will differ based on factors, including things like program complexity, the number of targets and then also other specifics related to the company that IPA is working with at that time.

並考慮將技術使用費與下游里程碑和特許權使用費一起作為初始付款，例如已經存在的費用。每個項目的定價會根據各種因素而有所不同，包括項目複雜性、目標數量以及與 IPA 當時合作的公司相關的其他細節。

So that's how we see the gradual evolution, but we see that happening a little bit more in the shorter term here Will as we continue to move through and close these initial deals that are on the table.

這就是我們看待逐漸演變的方式，但隨著我們繼續推進並完成這些擺在桌面上的初始交易，我們會看到這種情況在短期內會發生更多。

Got it. Thanks. That's helpful. I know the market probably has some interest in your guys' cash position. I was wondering if you could provide some more detail maybe on just the profitability of kind of the core CRO business? And maybe also comment on the sort of flexible nature of your cost structure.

知道了。謝謝。這很有幫助。我知道市場可能對你們的現金狀況感興趣。我想知道您是否可以提供更多關於核心 CRO 業務盈利能力的細節？也許還可以評論一下您的成本結構的靈活性。

Yes, sure. This is Brad. I'll take that one. Thanks for the question, Will. We do analyze this metric kind of our CRO cash flows each quarter. And we have to do so by removing certain global costs that get allocated to their P&L and certain balance sheet transactions between the entities. But when we focus on those CRO subsidiaries, and I'm obviously talking specifically about Victoria, Osan, Utrecht in this case. Those entities consistently achieve EBITDA margins of around 30% of revenue. And they generate cash flow somewhere in the range of 25% of revenue pretty consistently.

是的，當然。這是布拉德.我會接受那個。謝謝你的提問，威爾。我們每個季度都會分析 CRO 現金流的這種指標。為此，我們必須消除分配給損益表的某些全球成本以及實體之間的某些資產負債表交易。但是，當我們關注那些 CRO 子公司時，我顯然是在專門談論維多利亞、烏山和烏得勒支。這些實體的 EBITDA 利潤率始終保持在收入的 30% 左右。他們產生的現金流相當穩定地保持在收入的 25% 左右。

And so we discussed this in the past kind of this portion of the business that does have -- they provide some flexibility as we determine capital allocation to other projects, and it is that stable cash flow that allows us that capital flexibility as we do make those decisions.

因此，我們在過去討論過這部分業務確實有——它們在我們確定其他項目的資本分配時提供了一定的靈活性，正是穩定的現金流使我們能夠實現資本靈活性那些決定。

Got it. Thanks a lot. That's helpful. And it seems in seeing the cash OpEx come down quite a bit quarter on quarter seems to prove that point as well. Finally, I wanted to ask about the SaaS-based data management platform. Just kind of how are you guys thinking about what the opportunity looks like there? And what are sort of expectations near and long term for kind of the revenue potential?

知道了。多謝。這很有幫助。現金運營支出逐季度大幅下降似乎也證明了這一點。最後想問一下基於SaaS的數據管理平台。你們如何看待那裡的機會？對收入潛力的近期和長期預期是什麼？

Yes, that's a great question, Will. So first of all, with regard to the potential, I would say this is actually one of the things that we're most excited about after getting the validation that we did in that first round of the RFP approval. This is something that we realized quite quickly had a number of beneficial opportunities for us. One is that we're very aware of a high market demand for this type of capability that can allow researchers to store and manage and analyze this mass amount of multi-omic data in particular, a lot of the large pharma that are working in the personalized medicine space and have been collecting data in some cases for several decades, but have disparate and unharmonized data that they haven't been able to analyze.

是的，這是一個很好的問題，威爾。首先，關於潛力，我想說這實際上是我們在第一輪 RFP 批准中得到驗證後最興奮的事情之一。我們很快意識到這對我們來說有很多有益的機會。一是我們非常清楚市場對這種能力的高需求，這種能力可以讓研究人員存儲、管理和分析大量的多組學數據，特別是許多在該領域工作的大型製藥公司。個性化醫療領域，幾十年來一直在收集某些情況下的數據，但他們無法分析不同且不統一的數據。

So we see this as a high priority, in particular, after seeing that BioStrand did so well after being pitted against several dozen companies that were flowing in from across the world to compete for this RFP. And with regard to that, there's a couple of interesting things that have really dawned on us in this process.

因此，我們認為這是一個高度優先的事項，特別是在看到 BioStrand 在與來自世界各地湧入競爭此 RFP 的數十家公司競爭後表現如此出色之後。就這一點而言，我們在這個過程中真正意識到了一些有趣的事情。

In addition to BioStrand being very good at this and being able to offer some unique capabilities with the way that they would actually organize and then provide the ability for these companies to analyze their data. They're also able to go out and sell these opportunities themselves. So the other activities like off-target analyses and immunogenicity are things that our current sales team means to go out and sell because it's very much on the biological drug discovery side. And it's targeting actually a lot of the same clients that we target with our regular wet lab work even though the activities themselves are not cannibalistic in nature.

BioStrand 在這方面非常擅長，能夠通過他們實際組織的方式提供一些獨特的功能，然後為這些公司提供分析數據的能力。他們還可以自己出去推銷這些機會。因此，諸如脫靶分析和免疫原性之類的其他活動是我們當前的銷售團隊打算出去銷售的東西，因為它很大程度上屬於生物藥物發現方面。它實際上針對的是我們常規濕實驗室工作的目標客戶，儘管這些活動本身並不是同類相食。

So one of the things we find really interesting about this is it's actually a different subset of individuals that are the key decision makers and in some case, completely different companies. And it means essentially that BioStrand being able to pitch this so effectively and having such a service that is distinguishable and deemed in this case, by a very prominent third party to be superior means that they are able to supply their own marketing and sales personnel, even in a different regional distribution to a new market audience, which we find to be highly favorable and exciting.

因此，我們發現真正有趣的事情之一是，實際上是不同的個人子集是關鍵決策者，在某些情況下，是完全不同的公司。這本質上意味著 BioStrand 能夠如此有效地推銷這一點，並擁有這樣一種可區分的服務，在這種情況下，被一個非常著名的第三方認為是卓越的，意味著他們能夠提供自己的營銷和銷售人員，即使是在不同的區域發行給新的市場受眾，我們發現這是非常有利和令人興奮的。

With regard to the revenue potential, this is still something that we are exploring. We know that the opportunity for revenue in the existing deal is extremely high. We were asked to actually pitch that in the RFP. The other aspect of this that's really exciting is that initially in the very beginning of setting up the data organization, it's a lot of basically FTEs, but not much other cost. And once it's up and running the profit margins are extremely high.

至於收入潛力，這仍然是我們正在探索的事情。我們知道，現有交易中獲得收入的機會非常高。我們被要求在 RFP 中實際提出這一點。真正令人興奮的另一個方面是，在建立數據組織的一開始，基本上需要大量的 FTE，但沒有太多其他成本。一旦啟動並運行，利潤率將非常高。

So with regard to actual revenue potential, what we are doing right now involving both BioStrand marketing and sales is taking a very close look at exactly what this kind of piece of the market looks like and what we believe the piece of that pie is that we can take on right now with BioStrand and how to manage those FTEs and the capacity if we're able to win a good percentage of those.

因此，就實際收入潛力而言，我們現在正在做的涉及 BioStrand 營銷和銷售的工作是非常仔細地研究這類市場的具體情況，以及我們相信這塊蛋糕的一部分是我們現在可以與 BioStrand 競爭，以及如何管理這些 FTE 和產能（如果我們能夠贏得其中的很大一部分）。

At this point in time, we know this group is actually the third group that we would be able to perform this capability for them. So this is pretty new. Will, it's only been about a week since they were brought through that process and awarded in the final RFP Group. And so we're kind of full steam ahead in analyzing this with a lot of excitement.

此時，我們知道這個小組實際上是我們能夠為他們執行此功能的第三個小組。所以這是很新的。威爾，距離他們完成該流程並在最終的 RFP 組中獲獎只花了大約一周的時間。因此，我們滿懷興奮地全速進行分析。

Great. We'll look forward to hearing updates on that. Thanks. I'll get back into the queue.

偉大的。我們期待聽到這方面的最新消息。謝謝。我會回到隊列中。

Thank you, Will.

謝謝你，威爾。

Swayampakula Ramakanth, H.C. Wainright.

斯瓦安帕庫拉·拉瑪坎特 (Swayampakula Ramakanth)，H.C.溫賴特。

Thank you. Good morning, Jennifer.

謝謝。早上好，詹妮弗。

Hello.

你好。

So a couple of quick questions. The first one, just looking at a 40,000-foot level with funding needs for some of these biotech companies not either being met or some even decreasing your R&D spend? Are you seeing any impact in your pipeline?

有幾個簡單的問題。第一個，只是看看 40,000 英尺的高度，其中一些生物技術公司的資金需求要么沒有得到滿足，要么甚至減少了您的研發支出？您是否發現您的管道受到任何影響？

In terms of, for instance, like clients and partners coming to IPA?

例如，就客戶和合作夥伴來 IPA 而言？

Yes. Yes.

是的。是的。

Yes. So we have not. Last year, we saw some changes that we alluded to on previous calls, where we were seeing that some of the smaller companies were being absorbed into larger companies. And then the majority of the time, those larger companies were still being guided back to IPA's, they weren't already with us. So we kind of replaced some of our historical clients with new clients in those transitions.

是的。所以我們還沒有。去年，我們看到了我們在之前的電話會議中提到的一些變化，我們看到一些較小的公司正在被較大的公司吸收。大多數時候，那些較大的公司仍然被引導回到 IPA，他們還沒有加入我們。因此，在這些轉變中，我們用新客戶取代了一些歷史客戶。

Now more recently, in the last two quarters, we really haven't seen any changes at all with regard to clients being impacted by an inability to raise money. And as Barry demonstrated in his portion of the conversation, we actually have had a very significant increase in the number of new clients and the overall number of clients that we are serving dramatically so when we compare it just these first three quarters compared to last year as well.

最近，在過去兩個季度中，我們確實沒有看到客戶因無法籌集資金而受到影響的任何變化。正如巴里在談話中所展示的那樣，我們的新客戶數量和我們服務的客戶總數實際上有了非常顯著的增長，因此當我們將前三個季度與去年相比時以及。

Perfect. That's great. As we were speaking about BioStrand, I certainly understand it has a large potential. But some of these projects and our industry relationships seems to be taking a little bit longer than at least what I was expecting. Is this more because some of these legal minutia that you need to kind of meander through for these transactions or is there a request from some of these potential partners for additional development or additional data such that they can move forward?

完美的。那太棒了。當我們談論 BioStrand 時，我當然知道它具有巨大的潛力。但其中一些項目和我們的行業關係似乎比我預期的要長一些。這更多是因為您需要仔細研究這些交易的一些法律細節，還是其中一些潛在合作夥伴要求進行額外的開發或額外的數據，以便他們能夠繼續前進？

Yes, that is a great question and it's been a little bit of each. So even the launch of the initial program with BriaCell took longer than we expected because of that latter scenario where they came back in and they said - we actually have some different things that might be interesting for us to research. And through the discussions we all realized that there were some very interesting avenues to research that might enhance the probability of success in the program.

是的，這是一個很好的問題，而且每個問題都有一點。因此，即使是 BriaCell 啟動初始項目的時間也比我們預期的要長，因為在後一種情況下，他們回來後說——我們實際上有一些不同的東西，我們可能會感興趣去研究。通過討論，我們都意識到有一些非常有趣的研究途徑可以提高該計劃成功的可能性。

We have also had for instance, another smaller company that was at the table and negotiating on the AI aspect of the program. Who then all of sudden thought they might actually want to go with the Talem route and take a look at some of the assets already existing in Talem, and just kind of internally in their own decision about which direction to go took more time than we had anticipated while they kind of went back and forth, trying to determine exactly what it is that they would like to specifically move forward on.

例如，我們還有另一家較小的公司參與談判，就該計劃的人工智能方面進行談判。然後他們突然想到他們實際上可能想走 Talem 路線，看看 Talem 中已經存在的一些資產，只是在他們自己內部決定走哪個方向，比我們花了更多的時間當他們來來回回地嘗試確定他們想要具體推進的是什麼時，他們就進行了預期。

More so on something that's a done deal where they know what they're getting or something that is more exploratory around a particular target that they know they have an interest in. And in the particular case of that one, we're still working with them and they're continuing to look at two different options, but it might be both, it might be one. And then as far as the overall kind of overarching theme, you hit the nail on the head, legal is always takes longer than everyone anticipates.

更重要的是，他們知道自己會得到什麼，或者是圍繞他們知道自己感興趣的特定目標更具探索性的事情。在這種特殊情況下，我們仍在與他們合作他們正在繼續尋找兩種不同的選擇，但可能是兩者，也可能是其中之一。就總體主題而言，你一針見血，法律總是比每個人預期的要花更長的時間。

Our legal team is on the standby and has been able to move really quickly and has our Director of Business Development, Tim Miller. And so, we've been pretty impressed with our turnaround times, but oftentimes, yes, things get held up with legal counsel and other places. While they're redlining and getting their comments in and there are times that we wait well over a month to get a draft back that has their legal account suggestions.

我們的法律團隊隨時待命，行動迅速，並有我們的業務發展總監蒂姆·米勒 (Tim Miller)。因此，我們的周轉時間給我們留下了深刻的印象，但通常，法律顧問和其他地方的事情都會受到阻礙。當他們進行紅線修改並聽取意見時，有時我們要等一個多月才能收到包含他們的法律賬戶建議的草稿。

Okay understood, understood. So as you talked about Talem, and certainly Talem has a deep pipeline, how are you planning to develop some of these drug candidates? And also how far would you and the Board be willing to develop these before out-licensing to drug developers or you kind of partitioning a certain portion of the pipeline that you feel you can handle it versus some that can be given away on out-licensing. And I'm just trying to understand, how we should be thinking about that subsidiary?

好的明白了明白了。因此，當您談到 Talem 時，當然 Talem 擁有深厚的產品線，您計劃如何開發其中一些候選藥物？另外，在向藥物開發商授予許可之前，您和董事會願意在多大程度上開發這些產品，或者您將管道中您認為可以處理的特定部分與可以通過向外許可贈送的部分進行劃分。我只是想了解，我們應該如何考慮該子公司？

Yes, so like Talem philosophy on this is very similar to what it has been all along, which is, it's really not our aim to move these particular programs through to IND enabling in vivo study for clinical work. That really we feel our true value inflection is to be able to show mechanism of action or functional activity that provides evidence to suggest that the molecule does what we believed it would do and therefore might have the beneficial impact in treating the disease that we are targeting, and enable the partner to take the product on from there.

是的，Talem 的理念與一直以來的理念非常相似，也就是說，我們的目標並不是將這些特定項目轉移到 IND，從而實現臨床工作的體內研究。我們確實認為我們真正的價值轉變是能夠展示作用機製或功能活動，提供證據表明該分子做了我們相信它會做的事情，因此可能對治療我們所針對的疾病產生有益的影響，並使合作夥伴能夠從那裡獲取產品。

And really from that, what we feel is really beneficial for our investors is that one we're not taking on the larger expenses that begin to be incurred in the IND-enabling studies and beyond. But we are still taking part in the downstream financials. And over the course of time in the long-term eventually in a substantial number of programs hopefully that really enable us to diversify that portfolio and the number of programs that we have a stake in.

事實上，我們認為對我們的投資者真正有利的是，我們不會承擔在 IND 支持研究及其他方面開始產生的較大費用。但我們仍然參與下游的金融。隨著時間的推移，從長遠來看，最終會有大量的項目希望能夠真正使我們的投資組合和我們所擁有的項目數量多樣化。

So as our partners and collaborators continue to move on. We're providing more and more opportunity for investors. So in short, RK really through in vitro functional studies is really one place where we're finding, we're landing and getting a particular amount of interest in these programs at that point in time. And if needed, possibly in vivo functional studies, which is originally where we thought we would need to go, but we're finding that more and more companies are, needing assets earlier now after having been a little bit more stagnant during COVID.

因此，隨著我們的合作夥伴和合作者繼續前進。我們正在為投資者提供越來越多的機會。簡而言之，RK 真正通過體外功能研究確實是我們發現的一個地方，我們當時對這些項目產生了特別的興趣。如果需要的話，可能會進行體內功能研究，這原本是我們認為需要進行的領域，但我們發現越來越多的公司在新冠疫情期間陷入停滯後，現在更早地需要資產。

Okay. So the last question from me. I'm glad to see that you're going to have an abstract at the AACR next month. What are we going to see there in terms of data? And also more how are you planning to utilize these data for commercializing not only your CRO ability, but also your drug developing capabilities?

好的。這是我的最後一個問題。我很高興看到您下個月將在 AACR 上提交摘要。我們將在那裡看到什麼數據？還有更多您計劃如何利用這些數據不僅將您的 CRO 能力商業化，而且將您的藥物開發能力商業化？

Yes, so at AACR, we'll be presenting that T-cell engager bispecific. That Ilse mentioned during her portion of the sharing today. And I'll go ahead and let Ilse give you the specifics on what will be presented both in the publication and in the presentation at the conference.

是的，所以在 AACR 上，我們將展示 T 細胞接合器雙特異性。伊爾斯在今天的分享中提到了這一點。我將繼續讓 Ilse 向您介紹出版物和會議演示中將介紹的內容的具體信息。

Yes, hello, thank you for the question. This is Ilse. What we are going to present at the AACR is the current status of the program. And that the functionality in vitro showing that our T-cell engager is able to activate T-cells in the presence of the TrkB expressing cells, so kind of proof-of-concept in vitro for this bispecific molecule. Is that answering your question?

是的，你好，謝謝你的提問。這是伊爾莎。我們將在 AACR 上介紹該計劃的當前狀態。體外功能表明我們的 T 細胞接合器能夠在 TrkB 表達細胞存在的情況下激活 T 細胞，這是這種雙特異性分子的體外概念驗證。這是回答你的問題嗎？

Yes, yes. Now the other portion was how you plan to commercialize it, I guess, Jennifer, may I have a comment on it?

是的是的。現在的另一部分是你打算如何將其商業化，我想，詹妮弗，我可以對此發表評論嗎？

Sure. So that program, which is TATX-200 the bispecific program, is actually really our hottest program right now. So that is the one where we have the most people interested. And right now, the way it's looking like we will commercialize it is through the process of and this is just likely, can't say for sure until something find on the dotted line. So a lot of companies are fickle and change their mind here and there.

當然。所以這個程序，即 TATX-200 雙特異性程序，實際上是我們現在最熱門的程序。所以這是我們最感興趣的一個。現在，我們將其商業化的方式看起來是通過這個過程，這只是可能的，在虛線上找到一些東西之前不能確定。所以很多公司都是善變的，時不時地改變主意。

But right now, what it's looking like is we will extend the material transfer agreement and likely exclusivity for a group to investigate whether or not the in vivo functional activity corresponds with what we're seeing in vitro. And if so, the resulting license would look very similar to the licenses we've been discussing in BioStrand, but would include not only already originally financial incentive to have that exclusivity and the material transfer.

但現在看來，我們將擴大材料轉移協議，並可能為一個小組提供排他性，以調查體內功能活動是否與我們在體外看到的相符。如果是這樣，最終的許可看起來與我們在 BioStrand 中討論的許可非常相似，但不僅包括最初已經獲得的排他性和材料轉讓的財務激勵。

But then after the in vivo work, and upfront payments, you actually take control of the product as an in-license. And then relatively early stage milestones beginning with preclinical and IND-enabling, filing through the traditional milestones in the clinic and commercial royalties. So that's the current plan with TrkBxCD3 bispecific program.

但在體內工作和預付款之後，您實際上以內部許可的形式控制了該產品。然後是相對早期的里程碑，從臨床前和 IND 啟用開始，通過臨床和商業特許權使用費中的傳統里程碑進行歸檔。這就是 TrkBxCD3 雙特異性程序的當前計劃。

Perfect, thank you, thank you, Jennifer, for taking all my questions, I appreciate that.

完美，謝謝你，詹妮弗，謝謝你回答我所有的問題，我很感激。

Of course, thank you.

當然，謝謝。

Michael Freeman, Raymond James.

邁克爾·弗里曼，雷蒙德·詹姆斯。

Hello Jennifer, Ilse, Brad. Thanks so much for taking our questions. And congratulations on driving progress in so many different corners of the business this quarter. It's truly impressive. First question is on the - is on Talem's agreement with Libera Bio. I wonder if you could provide A bit more color on the deal, how milestones are distributed through that agreement? How many targets are contemplated and anything else you could probably share?

你好，詹妮弗、伊爾斯、布拉德。非常感謝您回答我們的問題。祝賀您本季度在業務的許多不同領域取得了進展。這確實令人印象深刻。第一個問題是關於 Talem 與 Libera Bio 達成的協議。我想知道您是否可以提供更多有關該交易的信息，里程碑是如何通過該協議分配的？考慮了多少目標以及您可以分享的其他內容？

Yes, no, that's a great question because Libera Bio is a little bit of a one-off. It didn't fall into our early adopter program. And it was really an opportunity that came about at a conference that would really just appears to be a very good marriage of capabilities to tackle something challenging. So right now, the actual agreement itself is a little bit different than other agreements that we currently have put forward.

是的，不，這是一個很好的問題，因為 Libera Bio 有點一次性。它不屬於我們的早期採用者計劃。這確實是一次會議上出現的機會，看起來確實是解決具有挑戰性的問題的能力的完美結合。所以現在，實際協議本身與我們目前提出的其他協議有點不同。

The program itself still has the same type of structure with regard to upfront payments milestones and commercial royalties. But with the revenue model that currently exists, all of the downstream financials are split evenly at 50-50. With the initial work that gets conducted, IPA is only responsible for the initial discovery work and the selection of the lead candidates. And the actual financial details around that have not been solidified, but what has been discussed to date is that Libera Bio would pay the base cost so that there would be no actual cost of IPA for running its portion for the discovery and lead candidate selection.

該計劃本身在預付款里程碑和商業特許權使用費方面仍然具有相同類型的結構。但按照目前存在的收入模式，所有下游財務費用均按 50-50 平分。隨著初步工作的開展，IPA 只負責初步發現工作和主要候選藥物的選擇。實際的財務細節尚未確定，但迄今為止討論的是 Libera Bio 將支付基本成本，這樣 IPA 就不會為發現和主要候選藥物選擇而產生實際成本。

After the candidate selection, it turns over to Libera, who then goes through the process of doing the formulation and then the process of reaching out to some already identified third parties who they believe are interested in the first two initial targets that we're going after to combine those with an existing monotherapy in the oncology space with the aim that those groups would do any in vitro or in vivo analysis on the quality of the product.

選擇候選人後，它會交給 Libera，然後由 Libera 完成製定過程，然後接觸一些已經確定的第三方，他們認為這些第三方對我們要實現的前兩個初始目標感興趣之後將這些與腫瘤學領域現有的單一療法結合起來，目的是這些小組對產品的質量進行任何體外或體內分析。

If they do not use a third-party, Libera is actually obligated in the current MOU to be the one that carries forward, that in vitro on in vivo work. So our financial commitments in this are relatively constrained, relatively limited and are really more geared toward of being able to apply our AI and some of our wet lab capabilities that we believe and Libera Bio believes have very unique propositions for being able to accomplish this type of a target, which is not typically or historically been very successful in a traditional laboratory setting.

如果他們不使用第三方，Libera 實際上有義務在當前的諒解備忘錄中繼續推進體內體外工作。因此，我們在這方面的財務承諾相對有限，實際上更適合於能夠應用我們的人工智能和我們的一些濕實驗室能力，我們相信這些能力和 Libera Bio 相信對於能夠完成這種類型具有非常獨特的主張目標，這在傳統實驗室環境中通常或歷史上並不是非常成功。

Okay. That's helpful.

好的。這很有幫助。

Not clear all those downstream, my apologies in case it's not clear all those downstream payments milestones and royalties, of which we are collecting and we have the 50-50 split on would come from a third party that would be out licensing the product.

不清楚所有下游的情況，我很抱歉，如果不清楚所有下游付款里程碑和特許權使用費，我們正在收取這些費用，我們有 50-50 的分成將來自將授權該產品的第三方。

Got you. Got you. You guys are taking part of the very early stages of this and then one third party takes the baton, that's when the -- I guess, the more substantial milestones could precept stage.

明白你了。明白你了。你們正在參與這個項目的早期階段，然後第三方接過接力棒，那時——我想，更重要的里程碑可能會預示階段。

Exactly.

確切地。

Yes. Okay. And then I also see that Libera Bio has made a very similar type of agreement with another company called EVQLV, I think it's called in New York. Is there any separation in the type of work that each IPA or Talem is doing versus this EVQLV company? Are these different sort of targets? Or is this sort of a group effort?

是的。好的。然後我還看到 Libera Bio 與另一家名為 EVQLV 的公司達成了非常類似的協議，我認為它在紐約被稱為 EVQLV。每個 IPA 或 Talem 與這家 EVQLV 公司所做的工作類型是否有區別？這些是不同類型的目標嗎？或者這是一種集體努力？

So they are different programs and different targets to the best of our knowledge. That being said, there are tremendous differences between the capabilities at EVQLV and IPA. And were short of kind of repeating some of the components or aspects as to why Libera specifically came to us after already having arrangements are things that I won't get into, but I think overall, the stance is that we are uniquely positioned in a way that other companies they have talked to and/or started collaboration with are not prepared and not situated in a competitive manner.

因此，據我們所知，它們是不同的計劃和不同的目標。話雖如此，EVQLV 和 IPA 的功能之間存在巨大差異。關於為什麼 Libera 在已經有安排後專門來找我們，我沒有重複一些組成部分或方面，我不會討論這些事情，但我認為總體而言，我們的立場是，我們處於獨特的地位他們與之交談和/或開始合作的其他公司沒有做好準備，也沒有處於競爭地位。

Got you. Okay. And now next question is on -- the new clients added during the third quarter, a very high number during this quarter. Could you describe how the sort of type of client, if there has been an evolution in the sort of phenotype of clients that, I guess, this is the core CRO is attracting over the last little while?

明白你了。好的。現在下一個問題是——第三季度增加的新客戶，這個季度的數量非常高。如果客戶的表型發生了演變（我猜這就是核心 CRO 在過去一段時間裡吸引的客戶），您能否描述一下客戶的類型如何？

Yes, I can jump on --

是的，我可以跳下去——

I'm going to turn it over to Barry. He absolutely has been. Go ahead, Barry.

我要把它交給巴里。他絕對是。繼續吧，巴里。

Yes. I mean as far as evolution of clients and the types of programs that IPA's run, when I first joined IPA around five years ago revenue generation was primarily through protein manufacturing at the Utrecht site and hybrid DOMA anti-recovery services at the Canadian site, and both of those -- well, particularly the Canadian site was supporting the diagnostic and Canadian academic markets.

是的。我的意思是，就客戶的演變和 IPA 運行的項目類型而言，當我大約五年前第一次加入 IPA 時，收入主要來自烏得勒支工廠的蛋白質製造和加拿大工廠的混合 DOMA 抗恢復服務，以及這兩個網站——尤其是加拿大網站都支持診斷和加拿大學術市場。

So that was a lot of the types of clienteles that were coming in at the time. So the first significant change that was made with the company was aligning the service pricing with the offerings of -- sorry, the service offerings with the pricing of the therapeutic market in general? So IPA was performing at a level that catered to the therapeutic market but was not charging the prices that associated with that high level of a program.

所以當時進來的客戶類型很多。因此，公司做出的第一個重大改變是將服務定價與產品相一致——抱歉，服務產品與總體治療市場的定價相一致？因此，IPA 的表現符合治療市場的水平，但沒有收取與高水平項目相關的價格。

Secondly, was the adoption of IPA's B-cell Select platform. So either for the therapeutic market or for therapeutic companion reagent generation, this was a pretty big window that IPA stepped into. And then thirdly, it was the addition of office more advanced engineering capabilities. So the services have altered to more core to the therapeutic industry. We're able to provide more comprehensive end-to-end service offerings for those clients. And then this has allowed our large partners. And then also we kind of mentioned about how -- we haven't seen attrition in clients as we've moved forward. And a lot of that is the type of client that's out there is pipeline companies consolidate, but we've also seen kind of the emergence of these small hedge fund based companies that really require completely consolidated service offerings under one roof.

其次，是採用 IPA 的 B-cell Select 平台。因此，無論是對於治療市場還是對於治療配套試劑的生成，這是 IPA 進入的一個相當大的窗口。第三，增加了辦公室更先進的工程能力。因此，服務已經變得更加核心於治療行業。我們能夠為這些客戶提供更全面的端到端服務。這也讓我們的大型合作夥伴得以實現。然後我們還提到瞭如何——在我們前進的過程中，我們沒有看到客戶流失。其中很多是管道公司整合的客戶類型，但我們也看到了這些小型對沖基金公司的出現，它們確實需要在一個屋簷下提供完全整合的服務產品。

So us allowing large pharma to consolidate vendors and us being able to be the sole vendor for these up-and-coming startups has really helped kind of drive the type of client and offerings that we're offering.

因此，我們允許大型製藥公司整合供應商，並且我們能夠成為這些新興初創公司的唯一供應商，這確實有助於推動我們提供的客戶類型和產品。

Okay. All right. Thank you. That is very helpful. Those are all my questions. Congratulations on a really good quarter.

好的。好的。謝謝。這非常有幫助。這些都是我的問題。祝賀您度過了一個非常好的季度。

Thank you, Michael.

謝謝你，邁克爾。

We thank you for your thoughtful questions today. I will move us now to closing remarks.

我們感謝您今天提出的深思熟慮的問題。我現在請大家致閉幕詞。

All right. Thank you, Regina.

好的。謝謝你，雷吉娜。

In closing today, we emphasize IPA's commitment to the generation of innovation and long-term investor value. IPA remains committed to developing better and safer therapeutic drugs against challenging targets. IPA's LENSai specifically aims to develop drugs faster and help partners target difficult-to-treat conditions, offering a unique value proposition for investors by demonstrating innovation, addressing unmet medical needs and reducing time to market. We believe that this combination of factors will lead to higher returns and more diversified investment portfolio.

最後，我們強調 IPA 對創造創新和長期投資者價值的承諾。 IPA 仍然致力於針對具有挑戰性的目標開發更好、更安全的治療藥物。 IPA 的 LENSai 的具體目標是更快地開發藥物並幫助合作夥伴針對難以治療的疾病，通過展示創新、解決未滿足的醫療需求和縮短上市時間，為投資者提供獨特的價值主張。我們相信，這些因素的結合將帶來更高的回報和更多元化的投資組合。

Let me quickly elaborate. IPA's commitment to innovation. By focusing on challenging targets, the company demonstrates its commitment to innovation and pushing the boundaries of traditional drug development. This willingness to tackle complex issues and lead -- can lead to breakthrough discoveries, which may result in significant market opportunities for our partners and, therefore, for IPA, a competitive advantage, speeding up the drug development process through AI can help IPA partners stay ahead of the competitors and establish themselves as a leader in the industry. This competitive advantage can lead to increased market share, stronger brand recognition and improved profitability.

讓我快速詳細說明一下。 IPA 對創新的承諾。通過專注於具有挑戰性的目標，該公司展示了其對創新和突破傳統藥物開發界限的承諾。這種解決複雜問題和領導的意願可以帶來突破性的發現，這可能為我們的合作夥伴帶來重大的市場機會，因此，對於 IPA 來說，這是一種競爭優勢，通過人工智能加快藥物開發過程可以幫助 IPA 合作夥伴保持領先地位。領先於競爭對手，確立行業領先地位。這種競爭優勢可以增加市場份額、增強品牌知名度並提高盈利能力。

Addressing unmet medical needs. By targeting difficult-to-treat conditions, the company is addressing a significant unmet medical need. This not only benefits patients, but also create a potentially lucrative market for the companies and investors involved.

解決未滿足的醫療需求。通過針對難以治療的疾病，該公司正在解決重大的未滿足的醫療需求。這不僅有利於患者，還為相關公司和投資者創造了一個潛在利潤豐厚的市場。

Reduced time to market. A faster drug development process reduces the time it takes to bring a new drug to market. This shortened time line allows the company to generate revenue sooner and may yield benefits such as market exclusivity and patent protection.

縮短了上市時間。更快的藥物開發過程可以減少將新藥推向市場所需的時間。縮短的時間線使公司能夠更快地產生收入，並可能帶來市場獨占性和專利保護等好處。

Lastly, higher pricing potential, drugs that address challenging targets or unmet needs, often command higher prices due to their unique value proposition and limited competition. This can lead to higher profit margins and increased return for the companies involved, as well as their investors. IPA is committed to enhancing the LENSai platform and utilizing cutting-edge wet-lab technologies to drive the development of more personalized, safer and targeted drugs. Our goal is to empower our partners to create best-in-class therapies, tackle on explored diseases and deliver groundbreaking solutions to patients faster by harnessing the power of true innovation and strategically deploying disruptive technologies, we aim to create significant value for our investors and position ourselves as a leader in the biotechnology industry.

最後，定價潛力較高，針對具有挑戰性的目標或未滿足的需求的藥物，由於其獨特的價值主張和有限的競爭，通常會獲得更高的價格。這可以為相關公司及其投資者帶來更高的利潤率和更高的回報。 IPA 致力於增強 LENSai 平台，利用尖端的濕實驗室技術來推動更個性化、更安全、更有針對性的藥物的開發。我們的目標是通過利用真正創新的力量和戰略性部署顛覆性技術，使我們的合作夥伴能夠創造一流的療法，解決已探索的疾病，並更快地為患者提供突破性的解決方案，我們的目標是為我們的投資者和將我們定位為生物技術行業的領導者。

Thank you for joining us this morning, and we wish each of you a pleasant rest of your day.

感謝您今天早上加入我們，祝大家度過愉快的一天。

That does conclude today's meeting. You may now disconnect.

今天的會議到此結束。您現在可以斷開連接。