Cibus Q4 2024: Navigating Contradictions in EU Regulations, Commercialization, and Soybean Strategies

These are the key contradictions discussed in Cibus's latest 2024Q4 earnings call, specifically including: EU regulatory progress and patentability, commercialization timelines, and market opportunity and timing of soybean projects:



EU Regulatory Advancements and Market Expansion:
- The EU Council's approval of the new genomic techniques regulation is expected to significantly expand Cibus' addressable market.
- This regulatory advancement allows gene-edited plants to be regulated similar to conventional breeding, opening the European market for Cibus' products.
- The timing and impact of this regulatory change are crucial for Cibus' commercialization plans and customer interest.

Soybean Platform Development and Market Potential:
- Cibus successfully edited soybean cells for HT2 traits, enabling the expansion of its soybean platform.
- This platform positions Cibus to access a substantial market, with an estimated 125 million accessible soybean acres.
- The development of the soybean platform is crucial for Cibus to pursue traits like white mold resistance and to create a fully operational soybean platform.

Rice Platform and Market Penetration:
- Cibus has agreements with four major rice seed companies, representing about 40% of accessible rice acres in North and Latin America.
- The company has made significant progress in field trials and collaborations, such as an agreement with FEDEARROZ in Colombia.
- These advancements are key to commercializing herbicide resistance rice traits, generating future royalty potential.

Financial Improvement and Cash Position:
- Cibus' cash position was strengthened with $21.6 million net proceeds from a January 2025 offering.
- The company's cash and cash equivalents were $14.4 million as of December 31, 2024.
- Existing cash is expected to fund planned operating expenses and capital expenditures into the late third quarter of 2025.