SkinBioTherapeutics plc (5KW.F) Earnings Call Transcript & Summary

Yes. You're absolutely right, Stuart. And one of the things in relation to this product, maybe I mentioned this in the past that the cosmetic industry is built around emotions and -- emotions and emotive products now, people feel good about themselves, and that's important. In this case, with Zenakine, they've been able to quantify and measure those emotional benefits. And that's the first emotional products sell. And when we buy, we smell things. We prefer the better smelling things. There's something called the lipstick effect. So I may have not mentioned this in the past, but during the period when there was financial issues and I think going back to 2008 when the share -- the markets collapsed and everybody was in [indiscernible] phase and the people are not feeling very well about themselves. But what happened when the markets went down is that lipstick sales actually went up. And that's because when we're feeling down, we want to feel better by applying cosmetics and just basically wanting to feel better mentally. And cosmetics have a part to play there. In the case of Zenakine, all that stress alleviation is measurable. But on top of that, you've got the physical benefits in the skin as well. So barrier integrity, collagen formation, anti-wrinkle, anti-aging. So it's a unique product in that sense. And the maximum value is where you've got that both the functional benefits that are measurable, the story, which is very important, but the story and the product that is perceivable by the consumer, and that's been the case here.

Excellent. I think the final comment that one of the marketing ladies said at the back end of the show was it's almost created its own category here. And we were bouncing around that phrase. It's a bit of a Swiss Army knife. And I guess it does bring total new meaning to the phrase beauty sleep. People use that phrase a lot. I need to get some beauty sleep and this absolutely delivers exactly that. So we've got a groundbreaking sort of global launch of a category creating Swiss Army knife that makes you look good, feel good and sleep better.

So it functions during the night, pretty sleep and it also functions for skin regeneration during the day.

And I think the other thing we said is the longer you use it, the better it gets.

Yes. Yes.

And we've proven that, yes. Dr. Surinder Chahal, thank you, first of all, for your presence at the show and your company, and thank you also for explaining this to our shareholders invaluable. Thank you very much indeed.

Pleasure. Thank you.

Thank you, so that was a very lengthy technical summary. We thought it very important that you see every slide that we saw have that explained by somebody who is uniquely qualified to explain quite how extraordinary a product this is. As we said, it was an outstanding reception. It was by far the busiest auditorium in terms of the technical presentation. We had all of the expected cosmetic attributes and there's many people on the boards I led to believe that have been saying, well, it just enhances sleep, and that's absolute nonsense. I think you've just seen the clinical evidence that shows that this enhances the skin's natural barrier, restores elasticity, has all of the anti aging, the attributes that we look for in closing junctions, all of the increased hydration. And then on top of all of that, it increases melatonin, advances it gets advanced prepared whilst you sleep and it increases your sleep quality and reduces stress. As we said during that talk and as Croda said themselves, this product, this ingredient has created its own category. It is quite literally an advanced Cosmeceutical, and it's all natural. I think it's important to point you in the direction of the amended cosmetic regulations on the use of retinol or the retinol initiative as it's called, which was introduced by the European Union. Jake, something has gone wrong with the slides. Can we go back to -- was introduced by the European Union on the 4th of April 2024. This basically reduces and enforces the reduction of retinol and cosmetics. In face care, the maximum it can be is 0.3% maximum retinol and in body care, 0.5%. Now, as of the 1st of November this year, no new products can be launched that exceed those limitations. And as of the 1st of May 2027, all existing formulations that are above those thresholds are to be removed from shelves. Now this is likely to be repeated worldwide, and it's all to do with the avoidance of overexposure to vitamin A, which causes significant long-term health problems, and that's exactly why this initiative has been brought in. The belief is that we receive enough vitamin A to our diet, and we don't need to overdo it with creams that contain retinol. Therefore, there is a race to find a natural replacement. This is it. So you can understand the excitement that surrounded this. That is a European Union initiative, not something that we created, or Croda. Jake, the slides seem to be glitching. Can I get on to -- Yes. So just in terms of the addressable market here, I thought it's important to point out just some of the products that are out there. This is all available on basically the website that's listed at the bottom there. Jake, it's still glitching. So 111 Skin rose mask, 18 million units sold. Aquaphor healing 45 million units sold. [indiscernible], there's 1 unit sold every 10 seconds. Next slide. AB Cream, one order every 90 seconds. BIOEFFECT, one every 5 seconds, Bobby Brown face base 1 every 9 seconds. And then Olive Olea, Procter & Gamble's jewel in the crown. There's over 60 million people use that product worldwide. So this is an enormous market, an absolutely enormous market. We have ourselves very squarely in the hands of Sederma and the Croda Beauty team. They developed Matrixyl. They built that up into hundreds of millions of revenue. We couldn't be in no better hands than this team of people to move this forward. I know there's a lot of questions about revenues thus far. We -- I can assure you, revenues have commenced. We will update our forecast as and when we can when we're allowed. We have an NDA in place that covers the launch and a little bit thereafter to give Croda Beauty and the Sederma team the opportunity to gauge reaction from the in-cosmetics show. You will have site numbers before our financial year-end, before the end of June, and we will also see revenues listed and reported before then. I cannot give you what I do not have. What we will say is this has been, as I showed in the time line, it's the end of a very long journey. It is a successful end to a journey. More importantly, this product is better than we could ever have imagined. It does everything we wanted and so much more. It is absolutely unique in its attributes and Croda have very, very high internal expectations. Moving on now to talk about Axis Biotix. In terms of Axis Biotix for psoriasis, you remember this product, it was launched in 2022 to alleviate symptoms of psoriasis. We sell this directly through Amazon and Royal products and also through our own website. Sales continue to lift, and we continue to see very high retention rates. Post year-end, we are in discussions with 2 U.K. high street retailer chains. One of those is significantly more advanced than the other. And as soon as I have news on that, we will be RNSing that. Obviously, I can't talk about before that. We also completed the efficacy and the launch of the trial of the product for acne. And that is part of the same commercial discussions that we are talking to the high street retail chains about. As you can see, we're refreshing our packaging to basically explore what this will look like on a shelf, and we're presenting them to the high street retail chains. Next slide, please, Jake. We're exploring multiple options, not just for psoriasis and acne, but as you can see for eczema and rosacea as well. This is part of a much wider campaign to get this product out there on an exclusive basis with one partner in the U.K. and then further overseas. And as I say, as soon as I have further news on that, we will report it. We are not resting on our laurels there. These large deals take time. PLCs and large retail chains do not move at the speed that small companies like ourselves move at, very frustrating, but I think we've proven with Croda and it was worth the wait in the end. In terms of our R&D program, the accelerated wound closure program continues with the Apgen project led by Professor Sheila [indiscernible] and Professor Andrew McBain. The aim of that project is to license this out to a multinational advanced wound care company. I've said this before, I can't stress it enough. This is extremely complex science. This is taking bacteria from a host gut and putting it into an open wound. So from a regulatory perspective, there are a lot of hurdles to overcome here in terms of compliance, in terms of consent. So we need to be very, very careful how we progress with this. It is moving along. I would like to think that we have a deal with a multinational [indiscernible] soon. I can't put a time line on that because it's beyond my control, but the science is moving along at a very nice pace indeed. The oral health program, we read out last year, the first phase of that. That program is now on a hold. We paused it, and that's because we require somewhere between GBP 300,000 and GBP 400,000 worth of additional input and additional cash to be spent in order to get that over the line and have an offering to put out to the likes of Colgate Palmolive or somebody of that [health]. We're not prepared to deploy that cash at this moment in time and won't do until funds from Croda are freely flowing and we have greater sight of what that pipeline looks like. In terms of inflammation, that program is headed by Professor Cath O'Neil, and that's fully funded. That program is ongoing and should see some kind of news on that towards the end of the year.

Thank you. In terms of the inorganic businesses, Dermatonics, our first acquisition in January 2024, a very quick integration completed shortly thereafter. For the half year end December '24, they reported revenues of GBP 0.3 million, so growth on the prior period, which was at GBP 0.9 million. EBITDA, GBP 0.27 million and growth on the GBP 0.3 million before. Our full year outturn for the year ended June 2025, we expect them to achieve revenue of GBP 2.9 million and estimated EBITDA of GBP 0.7 million. So the growth in revenue is pretty much across the board. We've seen increase in sales to the NHS in individual [indiscernible] clinics. We've seen expansion in Amazon in the U.K. and U.S. And then we've also seen the Modi partnership starting to move along as well nicely in its home country of India, where they are distributing to about 8,000 pharmacy outlets. We've also seen growth in the existing distributor relationships that Dermatonics has. And we've also seen new business wins in areas where they don't have relationships currently at the moment.

And I think it's important to say that we are still very, very confident indeed that we will hit that number. We are very much on track with that. And it is -- post acquisition, it is very much back-end loaded because of the points that Manprit raised.

Next slide, please. Our second acquisition, Biotech Solutions, completed in October 2024. The reason we bought this business was its attractiveness, both from a manufacturing capability perspective, but also the synergies that we can implement with Dermatonics, where we started that process in Q1 2025. They achieved revenues of just over GBP 300,000, and this is for the period post acquisition from the middle of October '24 through the end of December '24 as well. That was growth on the prior year and the same with EBITDA. In terms of full year, on a full year pro forma basis, so had we had Biotech Solutions from the 1st of July 2024, they would outturn GBP 3 million of revenues and GBP 0.9 million of EBITDA. Again, we've had expansion within our existing customer base. And subsequently since the acquisition, some of their exposure, we've increased their marketing presence. They are starting to win more new business as a result. In terms of financial report, the numbers reported in March, total revenues of $1.58 million against $0.1 million in the prior period. Cost of sales have increased in line with revenue. Our gross profit margin has declined, and that's purely because of the mix of products we're selling now. So in HY '24, we only sold Axis by SPS, whereas today, we have the products sold by both Dermatonics and Biotech Solutions. I just illustrate there what their margins are at the moment. So 58% Dermatonics and 50% of Biotech Solutions. Our expectation is our gross margins will start to reach 60% as we implement further synergies across the next 6 to 12 months. In terms of the overhead base, that increased in HY '25. That's largely due to the impact of both the acquisitions, so increased headcount, office footprint, et cetera, et cetera. In terms of EBITDA and net losses, they decreased by 25%. And again, that's because of the accretive nature of both the acquisitions that we've made. Next slide. In terms of the balance sheet, we're comparing the 31st of December 2024 to the 30th of June 2024. So a couple of movements in the convertible loan that was cleared in July 2024, shortly after year-end. And then we took on GBP 960,000 of loans from a long-standing shareholder, and that supported the acquisition of Biotech Solutions. Post period end, that shareholder executed some warrants, which reduced the debt down to about GBP 600,000. In terms of the actual balance sheet itself, that was bolstered by the acquisition of Biotech Solutions. So in noncurrent assets and current assets, that's largely due to the impact of the Biotech Solutions acquisition. Next slide. I want to illustrate how our cash has moved since the 30th of June 2024. So we opened with GBP 800,000 worth of cash, net losses of just over GBP 1 million, a small working capital gain. As I mentioned, in August 2024, we completed the fundraise with Premier One of GBP 1.8 million. We took some loans from that long-standing shareholder of GBP 950,000. And then the acquisition of Biotech Solutions, just over GBP 1.4 million, resulting in a closing cash position of GBP 1.24 million at the end of December 2024. Next slide, please. So I presented this slide when we present the full year financial results, but I wanted to reiterate how we get to that GBP 6.3 million of pro forma revenues and past breakeven on an EBITDA basis. So, you can see the [indiscernible] of revenues from SkinBio [indiscernible] products only. There's no product revenues in this whatsoever. We've got GBP 2.9 million of Dermatonics, and then we've got GBP 3 million of BTS revenues. So when I say pro forma, I mean had we had both Dermatonics and BTS on the 1st of July 2024, and we executed synergies of $600,000, we would have achieved $6.3 million of full year revenues and GBP 0.4 million of positive EBITDA.

So in summary, the Croda Global launch is now complete. I know it was a long wait. Zenakine has now hit the world stage. We've had a lot of criticism about how long this has taken. I've said this before, the pathway of complex science is never linear. I've said it a dozen times, and it's not. And I think that time line showed that. This was well worth the wait. Sederma are incredibly excited about this. And I think do we trust Sederma? They are our commercial partner here. Yes, they have executed the launch of some of the biggest cosmetic ingredients in the world. The buzz on the stand was palatable. You name it, it was a who's who of cosmetic giants that were on that stand and the buzz were on and everyone's with Zenakine. We do have access to forecast post launch. Once I have them, you will have them. In terms of recognition of revenue, that's a very complex process. The sales pipeline is open. Croda have made sales. And as soon as we are able to report them, we will. That's not going to be a long wait. We are working with our analysts to upgrade that report. But as soon as we can do that, we will. In terms of AxisBiotix, the national Psoriasis Foundation Accreditation was applied for. We've been notified that we have that now. We're just waiting for the paperwork to come through. That will allow us to put that Rosetta of excellence as the first food supplement for psoriasis approved by the biggest psoriasis charitable organization in the world. We'll be able to put that on our packaging when we launch with a high street retail chain. I'm hoping to have news on that very shortly as soon as I do. Obviously, I'm duly bound and legally bound to release that as an RNS, and I will absolutely do that. Why would I not? It would be my pleasure to do so. In terms of R&D projects, the inflammation project with Professor Cath O'Neil continues. The oral program with Professor Andrew McBain is on pause until we've got sufficient cash to throw at that. And the Epiderm project with Professor [indiscernible] is on track and running very, very well. Indeed, that feeds into the MediBiotix project. And then in terms of AxisBiotix having done psoriasis and acne, we're now looking at eczema and rosacea. In terms of mergers and acquisitions, as Manprit's just said, given great detail on those businesses are now integrated. Biotech Solutions are now manufacturing many of the products that Dermatonics were previously buying in from a third party. The upside of that is circa GBP 600,000 when it's fully integrated, and that's GBP 600,000 that stays within the group. In terms of further acquisitions, I've said this before, let me put the silly bullet and board rumors to bed. We are not rushing out and buying companies tomorrow. We're not buying anything this side of the summer. In fact, I'm not sure we'll buy anything at all this year. We reserve the right to continue the search for positive acquisitions that may well bolster the group's fortunes and create great stability, but we're not rushing out to fundraise in order to do that. We need to see a clear visibility of the Croda pipeline and the forecast therein before we move on that. So let's just put that to bed once and for all. In terms of financial outlook, as Manprit has clearly pointed out, combined pro forma turnover on an annualized basis of GBP 6.3 million. EBITDA puts us beyond breakeven. And again, let me put this one to bed. We have 0 cash concerns whatsoever. We are not running out of cash, and we are not going to be dashing out to do a fundraise to proper working capital for this company, simply not needed. Next slide, please. This picture has been put up in 2019. It was our strategic vision for the company. We started off with the pillars and the Pantheon as we called it. The skin Biotix pillar is well and truly now achieved. The Croda launch has taken place. We have a product called Zenakine. It is out there now being sold by a small army of people worldwide to the biggest cosmetic companies and the smallest cosmetic companies in the world. It is all natural. It is a natural replacement for [indiscernible] and many, many other products out there. We also -- we can well and truly say we've ticked that box. You could also argue that within that pillar, some of the Dermatonics products sit where we sell cosmetic foot creams, et cetera, et cetera and [30-foot forms]. The AxisBiotix pillar, we've been selling that since 2022. We continue to increase sales. We continue to retain the retention levels, the great retention levels that we've had, they continue very high, very high 80s, early 90% in terms of people who come back and buy us again and again. We are very close to an agreement with a U.K. high street retail chain. And again, when I have news on that, of course, I will RNS immediately. You've seen the preparation, the various packaging designs we've done. This is for retail. It's not the sort of stuff that we get. Our subscribers currently get talking to their letter box. So we ticked that box too, and we will continue to evolve with Eczema and with rosacea there. Medibiotix is ongoing. The project with Professor [indiscernible] in Project Epiderm leads towards an advanced wound care product. We are still in discussions with a very highly regulated, very complex area. The other 2 pillars are very much fuel for the future. But I think we've underpinned that Pantheon with solid foundations. AxisBiotix was our first revenue-generating product that went out there. We acquired Dermatonics after that in January of 2024, that's going from strength to strength. Biotech Solutions is another excellent acquisition, now manufacturing Dermatonics products amongst so many other products. And now finally, I'm delighted and very proud to announce that we underpin the financial security of the company with Zenakine. As soon as I have any news whatsoever on that, I will absolutely RNS that.

Perfect. Stuart, Manprit. If I may just jump back in there. Thank you very much indeed for your presentation this morning. [operator instructions] I just like to remind you that a recording of this presentation, along with a copy of the slides and the published Q&A can be accessed via your investor dashboards. Guys, it seems like we have received a number of questions that were both pre-submitted ahead of today's event as well as those that have come in throughout your presentation this morning as well. So firstly, thank you to all of those on the call for taking the time to submit their questions. Stuart, obviously, given the significant attendance on today's call, you may not be able to get through all of the questions, but of course, we'll give these back to you afterwards for you to review. But at this point, guys, if I may just hand back to you just to read out those questions and give your responses where it's appropriate to do so. And if I pick up from you at the end, that would be great.

Thank you. Yes, there's nearly 100 questions here. So we'll do our -- a lot of them are repetitive, but we'll do our best to get through them. So the first one, having been repeatedly told that what attractive product skin biotix was the first ingredient to tackle the whole trinity of skin barrier function by reducing [indiscernible], transdermal water loss, closing of tight junctions and improving elasticity, why was the focus of the launch purely on new findings related to more rested appearance with fuel? Look, I think we answered that in the fireside chat with Dr. Surinder Chahal -- this was launched at a cosmetic ingredient show. So it is a given that you are launching a cosmetic ingredient and not something that sends you to sleep. It's because of those additional attributes that this product is in a category of its own, is a new primary color is another phrase that was used. This absolutely does in the slides which we will upload that deck, not only will we upload this IMC presentation to our website, we'll also -- [indiscernible] think we can do that upload the Croda technical deck to the website so that people can have a look at that. There's some incredible statistics in there that address exactly what you're talking about, the transdermal water loss, closing of tight junctions, increased skin elasticity, restoration of elasticity and they improve barrier function and they're statistically listed in that slide deck. So it is all of the things that we said it was going to be and Croda were looking for, and it's so much more. The next question is, why is the SkinBiotix patented name not retained within the Zenakine's product category? Okay. That's quite a simple one to answer. When you launch a product on a global basis, you have to run through a global search on what is translatable across worldwide platforms in every language. SkinBiotix is not translatable across every language. This was a strategic name for a pillar that ultimately became the name of a project. That project was the project that we did with Croda and with Sederma. Zenakine is a multilingual translatable name. So that is the name they have run with. Our names are all of the IP and the patents. Frankly, in terms of our marketing, we can directly point to Zenakine. It is our IP. So we just have to point people in the right direction. How likely is it that Croda will announce new ingredients based on our lysate and how soon could that happen? The bloodhounds on the boards found on the very same day that was launched, a list of 6 formulations where it's already combined with existing products that are out there. When we pointed that out to Croda and said that there's a leak of 6 formulations out there, they lapped and said more like 600. So it's already being partnered. It isn't -- remember, this is not a finished product. It's an ingredient. It's already being partnered with multiple other cosmetic ingredients that give color, et cetera, et cetera, to form final products and finished products. But this does the job that 4 or 5 other ingredients would we do, would have to be combined to do. So yes, you will see some new formulations and new ingredients come up. And there is an entire media rollout of this by Croda and Sederma that will take place now that the launch is complete. How likely is it that Croda will announce -- we've already done that one. I realize the company has no control over when products are launched. Can you give investors some indication of when we might see Zenakine on the shelves? Well, the short answer to that is we don't sell Zenakine, Croda and Croda Beauty do. I would imagine it, you won't have to wait very long. Some of the VIPs have been working with this for some time. Please understand that when the VIPs acquire this ingredient and formulate it, they have to do aging studies, et cetera, et cetera. So they're not just going to launch, let's, for example, say, Olive Ole with now containing Zenakine day 1, week 1. They've obviously have to do stability testing. What does it look like after 6 months? Does it turn the product around? Does it impact viscosity? Does it impact odor, et cetera, et cetera. But what I can say is that those tests have been going on for quite some time. So I don't think you've got particularly long to wait. What is the time duration of the NDA with Croda? Okay. The NDA forms part of the actual commercial agreement. It is very specific to the launch and the period post launch, which gives them the coverage of a few months so that they can gauge market reaction to the launch in Amsterdam. We agreed to that given the bay of secrecy that was put over this. As Dr. Surinder Chahal pointed out, this has never been done before. There's nothing else like this on the market that can claim to restore sleep, improve circadian rhythm. The skin matrix regeneration that he talked about that's detailed in their slide is second to none. There's nothing that comes anything close to this product. So I would imagine there's a bit of a race now to get this product out there. Croda are eager to gauge that market reaction. As soon as I get a green light, and I would imagine it will be in the next month or 2, we will release whatever information we are able to release. Part of their contract does give us quarterly forecast, we are paid quarterly in arrears. So once that [indiscernible] lifts, we will literally lift the curtain and reveal everything that we've got. Zeneca is part of several formulations containing other ingredients. Do we get our double-digit royalty on the percentage of sales of the full formulation? Or do we get a percentage of a percentage? If the latter did you negotiate the split of revenues formulation by formulation or were you told it by Croda. Let's be clear on this, we get double-digit royalties on the sale of Zenakine as an ingredient. If that's put in with other ingredients by Estée Lauder, Procter & Gamble, et cetera, we don't get percentages of somebody else's ingredient that would be unreasonable to expect that. The Acne Access Biotix launch was possibly due before Christmas, but early 2025. We're now nearing the end of April. What on earth is the delay. As I said, large launches take a while to negotiate. We are very advanced indeed in negotiations. As I've said earlier, you've seen the mockups of retail-ready packaging, not just for psoriasis and acne, but also for rosacea and eczema and that's how advanced those negotiations are. We're putting together markups of packaging for a family of products that we haven't even formulated yet. That's the interest that we have from these people. I can't give a date because I would have to RNS that. But when I say we're very close, we're very close indeed, and that would be on an exclusive basis. When will the broker note be updated with revenues from Croda? We are working with our broker. Obviously, we are bound by certain elements of the NDA. We're not breaching any PLC rules. We're not breaching any revenue recognition rules. We are well within the boundaries of the NDA. We're well within our operating guidelines. What I will say, as I've said earlier, is revenues have begun. That's all I can say. Outside of that, as soon as I have notification and clearance, we will update the analyst statement. So yes, that's as much as I can say on that, but revenues have begun. [Zenakine] seems to enhance various things, sleep and the aging, are we likely to see customers selling a range of different products, which could all include Zenakine? Yes, indeed, that is very much the whole. I put up some examples of some of the products that are out there that contain retinol because there are hundreds of thousands of products out there that contain retinol. There are hundreds of thousands out there that don't. There are -- I mean, what I will say is at the show, I was very surprised to see people from their own hotel chains, very large ones, representatives of international hotel chains, representatives of companies that manufacture mattresses and pillows that were looking for sleep aids and looking for fragrances that they can put in the hotel rooms and things to help people sleep. So I mean the market is way, way bigger than we had initially thought, but it covers multiple, multiple products. It's not -- this is not just a night green. The stock that [indiscernible] pointed out, it rejuvenates your skin during the day, during the night and restores your sleep lower stress levels, and we've clinically proven that during very extensive trials. And then furthermore, it protects your skin and rejuvenates it during the day. So there's multiple applications for this product. How does Zenakine fit with Croda and Sederma's existing product portfolio? Is SkinBiotix the only microbiome 100% natural product that is marketed as an all-in-one product that can address stress, aging and well-being? Yes, it is. It's created its own category. As the technical lady said, it's a new primary color. It's when customers come to Sederma and say, I'd like to create a fragrance, I'd like to create a product, a cream, I'd like to create a serum. This is what I wanted to do. This product Zenakine ticks multiple boxes. So rather than using 5 or 6 products, they can use 1 to do it all. So it is literally, as it was described, again, a Swiss Army life. Jake, have i got time for more?

We are just coming up over the hour now. So what we can do is we can give you back all of the questions immediately after the presentation has ended for you to review, and then we can publish those responses out on the platform for the attendees to access if that works. Perfect. Well, Stuart, Manprit, thank you very much indeed. And Stuart, perhaps before really just looking now just to redirect those on the call to provide you their feedback, which I know is particularly important to yourself and the company. If I could please just ask you for a few closing comments just to wrap up with, that would be great.

Thank you. So thank you all for taking the time to listen. My apologies if that went over the hour. We normally try to get this wrapped up within 60 minutes. And the bulk of that was taken up with Dr. Surinder Chahal's lengthy technical presentation. We felt quite deeply that you've had the right to see the entire technical presentation and have someone that's been intricately involved in this project explain just how extraordinary this product truly is. It has been a lengthy and tedious journey. It's been fraught with pitfalls and go, no-go hurdles, but we are past that now. The product is now launched -- what happens now is in the hands of Sederma. We could not have picked a better partner. I know a lot of people feel that Croda have been too guarded and too secretive with their information. I am assured that, that will lift now that this is launched and once they gauged activity in market. Can I also stress that the acquired entities are going from strength to strength. I'd also like to say that we do not intend to be doing acquisitions anytime soon and burning cash. And on the cash front, as Manprit has pointed out tirelessly throughout the presentation, as I have, we have no cash concerns whatsoever. We have enough cash without anything at all from Croda to last through till the summer of 2026. This company has moved from research and development into truly operational and revenue generating and very quickly, we will move into profitability and cash generating. I'm very proud of what this team have delivered. I know it's been frustrating and as investors. I hope that the destination will be well worth the journey. Thank you for your time.

Perfect. Stuart, Manprit. thank you once again for updating investors today. Could I please ask investors not to close this session as you will now be automatically redirected for the opportunity to provide your feedback in order the management team can better understand your views and expectations. This will only take a few moments to complete, but I'm sure it will be greatly valued by the company. On behalf of the management team of Skin Biotherapeutics plc, we would like to thank you for attending today's presentation. That now concludes today's session. So good afternoon to you all.