Chordate Medical

Summary of the period April–June 2024

• Net turnover was SEK 172,941 (163,316)
• Cash flow from operating activities was SEK -6,999,204 (-6,320,325)
• Profit/loss after financial items was SEK -7,023,261 (-7,292,267)
• Profit/loss after tax was SEK -7,023,261 (-7,292,267)
• Earnings per share were SEK -0.01 (-0.03)

Summary of the period January–June 2024

• Net turnover was SEK 430,617 (283,737)
• Cash flow from operating activities was SEK -12,907,262 (-14,800,251)
• Profit/loss after financial items was SEK -13,042,462 (-14,405,401)
• Profit/loss after tax was SEK -13,042,462 (-14,405,401)
• Earnings per share were SEK -0.03 (-0.06)

Breakthrough on new focus market and extensive international interest
The major highlight of the second quarter of the year was the first order from Switzerland after the Company decided to make the country a new focus market. Work also continued during the quarter to introduce Ozilia at different types of investor congresses throughout Europe.

Another highlight was the decision from the United States Patent and Trademark Office (USPTO) that it will grant another patent application from the Company. This means the Company can add a fourth US patent to its growing patent family.

• Switzerland new focus market, first order received
• The USPTO will approve another patent application
• Strong interest in Ozilia at international investor conferences
• Ozilia presented to national specialist associations from Germany, Switzerland & Austria

Switzerland new focus market, first order received
In mid-June, Chordate added Switzerland to its focus markets for the Ozilia treatment and signed an agreement with Neurolite AG to be the Company's distributor and regulatory representative in Switzerland and Liechtenstein. At the end of June a first order was received with a value of approximately SEK 370,000.

We have been noting considerable interest in Ozilia in Switzerland for some time, and we have been engaged in discussions with a number of interested parties. This, combined with Switzerland’s manageable decision-making processes, which have relatively short paths to remuneration codes for insurance payments, makes Switzerland a very suitable focus market for the Company.

The USPTO will approve another patent application
At the beginning of May, the USPTO issued a decision that it intends to approve our patent application US 17/942,912 from 2022. The patent application is related to treatment of headache with a focus on protecting the Company’s product Ozilia Migraine. The approved application means that a fourth US patent is added to the growing patent family the Company has been building since 2011 to target headache treatment.

The Company thus currently has 79 patents distributed between 32 countries and 9 patent families related to different aspects of the Company's treatment techniques. The intellectual property rights defense for the Company’s technology as support for continued business development is an important part of what we consider to be the Company’s core values.

Strong interest in Ozilia at international investor conferences
During the quarter, we introduced Ozilia at investor congresses in Oslo, London, Basel and Lund, where we saw strong interest in the technology and came home with a number of strong leads.

Given the order we received from Switzerland, we now have a first concrete result that can be directly traced to our marketing activities. The plan is to continue to work to introduce Ozilia in our focus markets during the rest of the year.

Ozilia presented to national specialist associations from Germany, Switzerland & Austria
In April, we also participated at the headache conference Dreiländertagung Kopfschmerz in Switzerland, which was arranged jointly by specialist associations in Germany, Switzerland and Austria. This presented us with an excellent opportunity to present Ozilia to a large number of migraine and headache specialists from three significant European markets at one location.

In addition to increasing awareness for Ozilia among potential investors and buyers of the Company, it is important that we continue to develop the profession as well. Interest in neuromodulation as a treatment technique among specialists and neurologists is growing, and in this area Ozilia is a unique alternative that an increasing number of migraine care providers are considering.

Focus during the rest of 2024

• Development of focus markets
• Generate attention in industry and investor circles
• The studies PM009 and PM010
• Ongoing product registrations

Kista, August 2024
Anders Weilandt, CEO