XP Chemistries (XPC) Q1 2025 earnings summary

Executive summary

• Achieved a significant regulatory milestone with EFSA's positive scientific opinion for capsaicin as an animal feed additive, positioning the company for EU market entry and future export opportunities.

• Preparing for commercial launch in autumn 2025, focusing on sales channels, partnerships, and production capacity.

• Raised approximately 3.4 MSEK through 94.7% subscription of TO3 warrants, strengthening financial position ahead of commercialization.

Financial highlights

• Net sales for Q1 2025 were 103 TSEK, up from 51 TSEK in Q1 2024.

• Operating loss improved to -2,123 TSEK from -2,326 TSEK year-over-year.

• Result before tax was -2,144 TSEK, compared to -2,293 TSEK in Q1 2024.

• Earnings per share for the period were -0.01 SEK, up from -0.02 SEK in Q1 2024.

• Cash and cash equivalents at March 31, 2025, were 3,061 TSEK, down from 5,393 TSEK a year earlier.

Outlook and guidance

• Formal EU Commission approval for capsaicin feed additive expected late summer 2025, with commercial launch planned for autumn.

• Anticipates increased market interest, especially from those seeking natural, antibiotic-free feed solutions.