COMMENTS FROM CEO MATS WALLNÉR

The fourth quarter of 2024 saw several important commercial steps forward for our dendrimer/denron product group with an order from a leading international US-based biopharmaceutical company. At the end of the period, we obtained a patent for DNG (next-gen drug delivery platform) in China after obtaining a patent in the US by the middle of the year. Revenues for this quarter are higher than the same quarter last year, something that we have the ambition to build on as we enter 2025.

"We are seeing more recurring customers, which is good for the economy but also an indication of satisfied customer"

This quarter we have realized several goals set for the year and have been able to witness the results of the work that has been put into our technology from various aspects. During the fourth quarter, we have taken important steps with SpheriCal and we are seeing increased sales compared to last year. The company has signed a distribution agreement with AMR, covering the company's SpheriCal platform, including the recently launched SpheriCal IM-MS products. AMR is a distributor of mass spectrometry (MS) products located in Japan, a difficult-to-access country but with a strong presence in the mass spectrometry market. Through companies such as Shimadzu, AMR works to market various products for the MS market and more. We also have very interesting business discussions with several international large companies that find our SpheriCal products competitive and provide interesting added values.

At the company, we are building the future of drug delivery, enabling a highly tunable and scalable technology that can deliver drugs with improved precision and stability and lower side effects. We have developed and patented DNG (Dendritic NanoGel), a nanoscale delivery platform based on dendritic linear-dendritic block copolymers with a programmable interior for encapsulation, transport and release of various therapeutic compounds. DNG allows excellent particle size control, core adaptability and stability, batch-to-batch consistency, biodegradability, as well as protection and controlled release of the cargo. In addition, it could stabilize and deliver drugs at room temperature, without cold chain requirements, which is an important advantage.

Polymer Factory participates in the NanoSHIELD project funded by the European Defence Fund (EDF) which aims to develop protective equipment against CNBR threats (chemical, biological, radioactive and nuclear). Polymer Factory's role in the project is to contribute its products to be implemented in the protective equipment and which are shown to reduce CNBR threats. In the fourth quarter, the company received 2.8 MSEK from EDF, which was the second payment since the project started.

We see that many different customers come to us, both smaller companies and more established pharmaceutical and biotechnology companies; regardless of size, we are always eager to collaborate with our customers to achieve the best possible results. During the fourth quarter, we have had around 30 transactions where customers have purchased our products either based on quotes or through our e-commerce solution. We deliver value to our customers' research, development and project success. The value we deliver to our customers in turn helps us deliver value to our shareholders and to society. The company has an ambition to achieve a better balance between the company's revenues and costs in the near future.

I look forward to being part of the operational team and I am very impressed by the immense competence, expertise and dedication that the team has built and shows in the company. It is my strong belief that we are now entering 2025 much stronger and that the company will be more successful and valuable.