Paxman (PAX) investor relations material

Strategic priorities and future vision

• Focus on driving the 'simple switch' to the insurance-based billing model in the U.S. to increase utilization and EBITDA, with community oncology groups as a key target for adoption.

• Launch of new products, including an updated cooling cap and cap cover, as well as the commercialization of both alopecia and neuropathy products, aiming to establish a multi-product portfolio and expand beyond scalp cooling.

• Continued investment in operational excellence, automation, and process improvements to support growth and improve efficiency, including a move to a new 30,000 sq ft facility in 2027.

• Emphasis on clinical excellence and R&D, maintaining leadership in clinical data and research for both scalp cooling and peripheral neuropathy, and leveraging strong relationships with key opinion leaders and advocacy groups.

• Commitment to patient impact and equitable access, with less than 1% of eligible patients currently reached, and ongoing efforts to expand access and improve quality of life for cancer patients globally.

Commercialization and reimbursement strategy

• U.S. market remains the primary focus, with a clear strategy to launch the neuropathy product using CPT-3 codes and an insurance-based billing model to reduce patient burden and accelerate adoption.

• Early CPT-3 code application for the new product, aiming for full commercialization by January 2027, with a soft launch in late 2026 and ongoing engagement with payers to set appropriate reimbursement rates.

• Lessons learned from scalp cooling commercialization are being applied, including early engagement with reimbursement consultants, payer interviews, and a focus on value-based pricing.

• Expansion into select international markets (UK, Germany, Singapore) will follow, with business models adapted to local healthcare systems and reimbursement structures.

• Ongoing legislative and guideline efforts in the U.S. to mandate coverage for scalp cooling and, by extension, future products, with state-level bills and strong advocacy support.

Product development and clinical data

• The new cryocompression device for chemotherapy-induced peripheral neuropathy (CIPN) has completed key regulatory and safety testing, with FDA and European submissions targeted for December and device clearance expected by April 2026.

• Clinical trials in Singapore and the U.S. (including a 777-patient phase III study) show promising efficacy and safety, with only 2.5%-3% of patients developing grade 2 neuropathy compared to 30%-40% historically.

• The device is designed for user-centricity, with feedback from patients and nurses driving improvements in usability, comfort, and workflow integration.

• The product addresses a significant unmet need, with high prevalence and cost burden of CIPN, and is positioned for higher pricing and reimbursement than scalp cooling due to its economic impact.

• Strong demand and interest from existing clinical networks, with early adoption anticipated in current scalp cooling centers and ongoing expansion of clinical evidence to support broader indications.