Cibus (CBUS) Sidoti Small-Cap Virtual Investor Conference summary

Regulatory and industry developments

• EU Parliament adopted new legislation treating gene editing as equivalent to natural breeding, opening major markets and accelerating product opportunities.

• Global regulatory momentum now favors gene editing, with most major markets aligning policies to support innovation in seed genetics.

• The company is positioned at an inflection point, transitioning to commercial and product sales with a strengthened management team.

• Regulatory changes are expected to have a ripple effect globally, influencing other countries' policies.

• The business model is based on annual royalties from seed traits, with significant long-term revenue potential.

Technology and product pipeline

• Proprietary Rapid Trait Development System (RTDS) enables rapid, non-transgenic gene editing in elite crop genetics, reducing development timelines from 12-16 years to 3-5 years.

• Focused on major crops: rice, canola, and soybean, with partnerships across Latin America, Asia, and the U.S.

• Key traits include herbicide tolerance, disease resistance, improved fertilizer efficiency, and yield protection.

• Automated processes and AI integration have enhanced scalability and efficiency in trait development.

• Sustainable ingredients platform includes biofragrances and lauric oils, expanding beyond crops.

Commercialization and financial outlook

• Rice productivity traits targeted for launch in Latin America in 2027, U.S. in 2029, and Asia/India thereafter.

• Annual royalty potential from rice traits alone exceeds $200 million in Latin America, with further upside in Asia and India.

• Fragrance business expected to generate near-term revenue in the second half of 2026, with $20-$40 million annual royalty potential from three to four fragrances.

• Profitability anticipated as revenue builds from fragrance and rice markets by 2028-2029, with current net burn around $30 million.

• Future royalty liabilities are only triggered after $50 million in agricultural royalties and are capped as a percentage, not affecting the fragrance business.