Clever Culture Systems (CC5) Q3 2025 earnings summary

Executive summary

• Achieved second consecutive quarter of cash flow positive operations, with $0.5 million net cash inflow for the quarter ended 31 March 2025, driven by commercialization of APAS Independence in the pharmaceutical sector.

• Sales pipeline exceeds AUD 75 million in potential upfront sales and AUD 15 million in recurring annual revenue, with over 40 active customer opportunities.

• Key partnerships and validations with AstraZeneca and Bristol Myers Squibb, including successful technology validation and new orders.

• Annual recurring revenues surpassed $500k, supported by a global install base of 27 APAS Independence units.

• Expanded marketing and sales activities, including new global marketing manager, first Asia-Pacific conference participation, and increased presence at industry events.

Financial highlights

• Net cash inflows of $500,000 for the quarter ended 31 March 2025, with $2.3 million in receipts, mainly from AstraZeneca and Bristol Myers Squibb.

• Closing cash balance of $2.2 million as of 31 March 2025, with $3.6 million additional inflows expected over the next two quarters.

• Receipts from customers for the quarter were $2.145 million.

• Related party payments for the quarter were $131,000 to Directors.

• $0.1 million net cash outflows from financing activities, mainly office lease payments.

Outlook and guidance

• On track for a transformative fiscal year 2025, with a strategic focus on large pharmaceutical organizations and a shift toward profitability.

• On track for cashflow breakeven or better for the half year ending 30 June 2025.

• Contact plate validation program scheduled for completion mid-2025, expected to accelerate adoption and sales.

• Continued focus on converting sales opportunities and expanding placements with global pharmaceutical customers in FY26.

• Expanded marketing initiatives planned for the remainder of 2025 to drive brand awareness and lead generation.