Vyome Holdings, Inc (HIND) Q1 2026 Earnings Call Transcript

Ladies and gentlemen, thank you for standing by. Good afternoon, and welcome to the Viome Holdings, Inc. First Quarter 2026 Financial Results and Corporate Update Conference Call. All participants will be in listen-only mode. Should you need assistance, please signal a conference specialist by pressing the star key, followed by zero. After today's presentation, there will be an opportunity to ask questions. To ask a question, you may press star, then 1 on a touch-tone phone. To withdraw your question, please press star, then 2. Please note this event is being recorded. I would now like to turn the call over to Jules Abraham from the company's investor relations firm. Please go ahead.

Thank you, Operator. Good morning, everyone, and thank you all for participating in today's conference call. Previously, the company released its financial results for the quarter ended March 31, 2026. A copy of that press release can be found on its website under the Investors tab. And joining me today on today's earnings call from Viome Holdings Management Team are Venkat Nelabotla, Chief Executive Officer, and Robert Dickey, Chief Financial Officer. During this call, management will be making forward-looking statements, including statements to address Viome Holdings' expectations for future performance or operational results. Forward-looking statements involve risks and other factors that may cause actual results to differ materially from those statements. For more information about these risks, please refer to the risk factors described in the company's most recently filed annual report on Form 10-K and subsequent periodic reports filed with the SEC and Byam Holdings' press release that accompanies this call, particularly the cautionary statements within. The content of this call contains time-sensitive information that is accurate only as of today, June 3, 2026. Accepted as required by law, Viome Holdings disclaims any obligation to publicly update or revise any information to reflect events or circumstances that occur after this call. It's now my pleasure to turn the call over to CEO Venka Nelabaple. Venka? Thank you.

And thank you, everyone, for joining us today. The first quarter of 2026 represented another important period of disciplined execution and continued progress for Viome Holdings. Following our listing on NASDAQ, we have spent the last several quarters highly focused on building the company thoughtfully around differentiated immuno-inflammatory and rare disease opportunities while maintaining an extremely clean capital structure. To that end, we continue to operate with no debt, no preferred stock, no toxic financing instruments, and no warrant overhang. We believe maintaining this discipline is critical for long-term shareholder value and alignment and institutional credibility. In April 2026, following shareholder approval, the company completed the reduction in authorized common shares from 300 million shares to 50 million shares, which we believe better aligns the company's capital structure with long-term shareholder interests. Operationally, a lead program, VT1953, which is indicated for signs and symptoms associated with malignant fungating wounds, a condition associated with substantial unmet medical need, and no FDA-approved therapies specifically addressing this condition, continued progressing toward pivotal stage readiness during the quarter. Independent analysts estimated this indication represents a more than $2 billion total addressable market opportunity in the USA. As part of this progression, during the quarter, we made regulatory submissions with the FDA related to VT1953 pivotal development readiness, including proposals involving manufacturing, toxicology, pharmacokinetic requirements, and clinical development considerations. We have also filed an orphan drug designation application for the VT1953 program with the FDA. We presented positive VT1953 phase 2 clinical study data at the prestigious American Association for Cancer Research 2026 conference in San Diego as well and were met with very positive feedback during the meeting. One important point I would like to underscore is that malignant fungating wounds remain one of the most underserved and emotionally distressing conditions in advanced cancer care, affecting not only physical symptoms such as odor, pain, but also dignity, emotional well-being, and quality of life for both patients and caregivers. We believe increasing awareness around this condition is itself important. Apart from our lead asset, we utilized the quarter to continue development activities around ET1908 and our broader immunoinflammatory strategy. This included our announced strategic in-licensing agreement with Impetus Biosciences Limited, a Thara enterprise involving selective JAK inhibitor assets, which opens an opportunity in a $57 billion total addressable market. We believe this transaction reflects our continued focus on accessing differentiated innovation opportunities through a capital efficient and disciplined structure with no upfront payments and no milestone obligations beyond back-end royalties linked to commercialization. Importantly, this strategic optionality does not alter our continued primary focus on VT1953 and disciplined capital allocation. We raised approximately $5.29 million through the sale of 1,089,545 common shares on January 27-26 at an average price of $5 per share, representing a 59.2% premium to the prior day's closing price, with total dilution to existing shareholders of approximately 15%. Overall, we continue to believe the long-term global opportunity in immunoinflammatory and rare diseases therapeutics remain highly attractive, and we believe Wyoming is positioning itself thoughtfully within that landscape. With that, I will now turn the call over to our CFO, Robert Dickey, for the financial review.

Thank you, Venkat. For the quarter ended March 31, 2026, the company reported cash and cash equivalents of approximately $8.8 million, compared to approximately $5 million as of December 31, 2025. Total assets were approximately $10.2 million as of March 31, 2026, while total stockholders' equity was approximately $8 million. Total operating expenses for the quarter were approximately $1.15 million, Research and development expenses were approximately $660,000, while selling, general, and administrative expenses were approximately $478,000. Net loss, attributable to common shareholders for the quarter ended March 31, 2026, was approximately $963,000, or approximately $0.15 per basic and diluted share. As Venkat mentioned earlier, we continue to maintain a disciplined approach towards capital allocation and financial management. During the quarter and subsequent period, the company also continued strengthening governance processes and completed various public company reporting and compliance milestones. Importantly, following shareholder approval, the company completed the reduction in authorized common shares from 300 million to 50 million shares, which we believe better aligns the company's capital structure with long-term shareholder interests. Looking ahead, we remain focused on prudent cash management while continuing to support key regulatory manufacturing and development activities associated with VT1953 and our broader pipeline initiatives. I will now turn the call back over to Venkat for closing remarks.

Thank you, Rob. As we look ahead, our priorities remain clear. We intend to advance VT1953 responsibly and thoughtfully toward the next stages of development while maintaining discipline, capital allocation, and focusing on long-term shareholder value creation. We also remain committed to building biome around scientific rigor, operational discipline, patient-focused innovation, and thoughtful, cost-effective execution. I'd like to sincerely thank our shareholders, investigators, employees, clinicians, advisors, partners, vendors, and supporters for their continued trust and support. Operator, we are now ready to open the call for questions.

We will now begin the question and answer session. To ask a question, you may press star then one on your touch-tone phone if you're using a speakerphone please pick up your handset before pressing the keys if at any time your question has been addressed and you would like to withdraw the question please press star then two at this time we will pause momentarily to assemble our roster our first question comes from Theodore O'Neill with Litchfield Hills Research. Please go ahead.

Oh, thanks very much. I wanted to ask about the Impetus Bioscience Agreement, and could you give us some more information about what indications the JAK inhibitors are for, and do you expect there to be any milestones for your relationship with them beyond this in 2026?

Okay. So I can take that. So this agreement has been disclosed through an 8K filing sometime back, and this involves no upfront payments and no milestone payments. Everything is linked to commercialization. These are preclinical assets. And currently, the early development was more for atopic and psoriasis, autoimmune diseases. But we're kind of figuring out various other indications and see how best, you know, through some non-valuative pathways, we can develop for some rare indications. But it is at this time completely, you know, open book, the strategic discussions are happening inside. And it'll take a couple of quarters to figure that out.

And then what about looking into 2027? Can you give us any indication about what you might expect? we might expect to see from the relationship, say, over the next 12 to 24 months?

Yeah, we might do some work, definitely, using some non-dilutive pathways that we have in mind. Our capital is kind of focused on VT1953, essentially, and it's the late-stage trial that we're planning to do. But with respect to these selective JAK inhibitors, We're kind of exploring, and you probably will see some news development and publications, you know, something of that kind. But right now, nothing is fixed in our mind. We will have to debate with the board and get back with a clear plan on this.

Okay. Thanks very much.

This concludes our question and answer session. The conference is now concluded. Thank you for attending today's presentation. You may now disconnect.