Appendix 4D & FY26 Interim Report
Released
Released
Announcement PDF
ASX Announcement
26 February 2026
JOIN MICROBA’S INTERACTIVE INVESTOR HUB
For more Company information and to engage with management by asking questions about Microba’s latest announcements
and updates, visit ir.microba.com/welcome
Microba Life Sciences Ltd | ABN 82 617 096 652 | L10, 324 Queen Street, Brisbane QLD 4000 Australia | 1300 974 621
Appendix 4D & FY26 Interim Report
Microba Life Sciences Limited (ASX: MAP) (“Microba” or the “Company”), a precision microbiome
company driven to improve human health, is pleased to announce its results for the six-month period
ended 31 December 2025 (“H1 FY26”).
Key Highlights
Testing
Core test volume and market development
• 10,258 core tests sold globally in H1 FY26, up 113% vs PCP
• Annualised run rate surpassed 21,300 tests, on track for 24,000+ for FY26
• Microbiome Explorer increased from 20% to 55% of total revenue vs PCP
• Completed strategic discontinuation of all legacy products
Australia - Continued record growth for Microbiome Explorer
• 8,244 tests sold in H1 FY26, up 87% vs PCP
• 878 ordering clinician accounts, up 19% vs PCP
• H1 growth underpinned by increases in both ordering clinicians and orders per clinician
• Adoption advancing into early adopter segment with 12 enterprise clinic contracts signed since
November 2025
Australia - MetaPanel steady clinical adoption
• 503 tests sold in H1 FY26, up 20% vs PCP
• Clinical adoption continuing to build in partnership with Sonic Healthcare (ASX: SHL)
• Focus on organic development of Gastroenterology specialists to drive broader clinician market
adoption
United Kingdom - Microbiome Explorer strong market development
• 1,511 Microbiome Explorer tests sold in H1 FY26, first full half of UK market access
• UK adoption outperforming Australia by 33% at an equivalent time post launch
• All legacy UK testing products discontinued; Microbiome Explorer represents 100% of GI tests
sold
• Supplements business remains robust, with Invivo branded products achieving a record quarter
Therapeutics
Partnering phase advancement
• Transitioned to active partnering phase; no further R&D expenditure
• Multiple positive sector readouts validating the live biotherapeutic modality
• Active in partnering discussions with deal precedents of $1.5B to $11B
ASX Announcement
26 February 2026
JOIN MICROBA’S INTERACTIVE INVESTOR HUB
For more Company information and to engage with management by asking questions about Microba’s latest announcements
and updates, visit ir.microba.com/welcome
Microba Life Sciences Ltd | ABN 82 617 096 652 | L10, 324 Queen Street, Brisbane QLD 4000 Australia | 1300 974 621
Additional Achievements
• Completed major Microba brand update, consolidating global brands and driving operational and
marketing efficiency
• AI implementation delivering measurable efficiency gains across customer support, engineering,
and scientific operations
• Five key product features released during the half, supporting high-volume clinician adoption and
enterprise accounts
• Global laboratory consolidation completed, expected to deliver over $1.0m in cost savings over
24 months
• Board renewal with appointment of Mr Stéphane Chatonsky as Independent Non-Executive
Director
Financial Metrics
• H1 FY26 revenue of $7.32 million, down 9% vs PCP, aligned to legacy product discontinuation,
core testing revenue up 123%
• H1 FY26 Growth product revenue of $4.0 million, up 135% vs PCP
• Staff costs reduced $2.0m annually through global efficiencies and restructuring initiatives
• $11.27 million in cash and equivalents at 31 December 2025
• On track for regional break-even by end of FY26
Commenting on the Interim Report, Microba CEO Dr Luke Reid said:
“The first half of FY26 delivered strong continued growth of our core testing products, reaching an
annualised run rate of over 21,300 tests and tracking towards our regional break-even guidance. We
sold over 10,000 core tests in the half, more than doubling the prior corresponding period.”
“Q2 marked the completion of our strategic transition, finalising the discontinuation of all legacy product
sales. From Q3 we will present a clean revenue growth picture with no remaining legacy product impact,
and we are confident in accelerating top-line momentum.”
“We completed a major brand and operational consolidation during the half, unifying our global brands,
rebuilding our marketing engine, and consolidating our global laboratory footprint. We are already seeing
tangible results - reducing clinician signup to first referral from over 12 days to under 2 days, and the
laboratory consolidation alone is expected to deliver more than $1 million in cost savings over 24
months. Combined with our restructuring initiatives, which have reduced underlying staff costs by $2
million annually, we are building significant operating leverage into the business as we scale. In the UK,
adoption is outperforming Australia by 33% at equivalent time post launch, and in Australia we are now
signing enterprise-style clinic contracts as we move into the early adopter segment.”
“For our therapeutic assets, multiple positive sector readouts are validating the live biotherapeutic
modality, creating an environment for deal activity. We remain intensively focused on executing our
commercial growth strategy, advancing towards regional break-even in FY26, and capturing the
significant opportunity ahead in this major new diagnostic category.”
View this announcement on Microba’s Investor Hub: https://ir.microba.com/link/yVQV5P
ASX Announcement
26 February 2026
JOIN MICROBA’S INTERACTIVE INVESTOR HUB
For more Company information and to engage with management by asking questions about Microba’s latest announcements
and updates, visit ir.microba.com/welcome
Microba Life Sciences Ltd | ABN 82 617 096 652 | L10, 324 Queen Street, Brisbane QLD 4000 Australia | 1300 974 621
This announcement has been authorised for release by the Board of Directors.
For further information, please contact:
Dr Luke Reid
Chief Executive Officer
luke.reid@microba.com
Investor / Media Relations
investor@microba.com
https://ir.microba.com/welcome
About Microba Life Sciences Limited
Microba is at the forefront of microbiome health and human care. With world-leading science, insights and
collaboration tools, Microba's vision is to deliver clinical-grade microbiome tests that help people live healthier,
happier lives. Better science. Better insights. Better health. Microba - Expect better. www.microba.com
Microba Life Sciences Limited and controlled entities
Appendix 4D
Half-year report
1. Company details
Name of entity: Microba Life Sciences Limited
ABN: 82 617 096 652
Reporting period: For the half-year ended 31 December 2025
Previous period: For the half-year ended 31 December 2024
2. Results for announcement to the market
$
Revenues from ordinary activities down 9.5% to 7,319,904
Loss from ordinary activities after tax attributable to the owners of Microba
Life Sciences Limited up 83.9% to (10,556,230)
Loss for the half-year attributable to the owners of Microba Life Sciences
Limited up 83.9% to (10,556,230)
Dividends
There were no dividends paid, recommended or declared during the current financial period.
Comments
The loss for the Group after providing for income tax amounted to $10,556,230 (31 December 2024: $5,741,685).
3. Net tangible assets
Reporting
period
Previous
period
Cents Cents
Net tangible assets per ordinary security 1.09 1.57
4. Control gained over entities
Not applicable.
5. Loss of control over entities
Not applicable.
6. Dividends
Current period
There were no dividends paid, recommended or declared during the current financial period.
Previous period
There were no dividends paid, recommended or declared during the previous financial period.
7. Dividend reinvestment plans
Not applicable.
1
FY26 INTERIM REPORT
Microba Life Sciences Limited and controlled entities
Appendix 4D
Half-year report
8. Details of associates and joint venture entities
Not applicable.
9. Foreign entities
Details of origin of accounting standards used in compiling the report:
Not applicable.
10. Audit qualification or review
Details of audit/review dispute or qualification (if any):
The financial statements were subject to a review by the auditors and the review report is attached as part of the Financial
Report.
11. Attachments
Details of attachments (if any):
The Financial Report of Microba Life Sciences Limited for the half-year ended 31 December 2025 is attached.
12. Signed
Signed ___________________________ Date: 26 February 2026
Pasquale Rombola
Director
Brisbane
Authorised for release by the Board.
2
FY26 INTERIM REPORT
Interim
Financial Report
For the six months ended 31 December 2025
Microba Life Sciences Limited
ABN 82 617 096 652
Microba Life Sciences Limited
and controlled entities
Performance Highlights
Therapeutics
Partnering phase advancement
• Transitioned to active partnering phase; no further R&D expenditure
• Multiple positive sector readouts validating the live biotherapeutic modality
• Active in partnering discussions with deal precedents of $1.5B to $11B
Additional Achievements
• Completed major Microba brand update, consolidating global brands and driving operational and marketing efficiency
• AI implementation delivering measurable efficiency gains across customer support, engineering, and
scientific operations
• Five key product features released during the half, supporting high-volume clinician adoption and enterprise accounts
• Global laboratory consolidation completed, expected to deliver over $1.0m in cost savings over 24 months
• Board renewal with appointment of Mr Stéphane Chatonsky as Independent Non-Executive Director
Financial Metrics
• H1 FY26 revenue of $7.32 million, down 9% vs PCP, aligned to legacy product discontinuation (core testing
revenue up 123%)
• H1 FY26 Growth product revenue of $4.0 million, up 135% vs PCP
• Staff costs reduced $2.0m annually through global efficiencies and restructuring initiatives
• $11.27 million in cash and equivalents at 31 December 2025
• On track for regional break-even by end of FY26
Testing
Core test volume and market development
• 10,258 core tests sold globally in H1 FY26, up 113% vs PCP
• Annualised run rate surpassed 21,300 tests, on track for 24,000+ for FY26
• Microbiome Explorer increased from 20% to 55% of total revenue vs PCP
• Completed strategic discontinuation of all legacy products
Australia - Continued record growth for Microbiome Explorer™
• 8,244 tests sold in H1 FY26, up 87% vs PCP
• 878 ordering clinician accounts, up 19% vs PCP
• H1 growth underpinned by increases in both ordering clinicians and orders per clinician
• Adoption advancing into early adopter segment with 12 enterprise clinic contracts signed since November 2025
Australia - MetaPanel™ steady clinical adoption
• 503 tests sold in H1 FY26, up 20% vs PCP
• Clinical adoption continuing to build in partnership with Sonic Healthcare (ASX: SHL)
• Focus on organic development of Gastroenterology specialists to drive broader clinician market adoption
United Kingdom - Microbiome Explorer strong market development
• 1,511 Microbiome Explorer tests sold in H1 FY26, first full half of UK market access
• UK adoption outperforming AU by 33% at equivalent time post launch
• All legacy UK testing products discontinued; Microbiome Explorer represents 100% of GI tests sold
• Supplements business remains robust with Invivo branded products achieving a record quarter
FY26 INTERIM REPORT 4
Directors
Key management
personnel
Company Secretary
Registered office and
principal place of business
Share register
Auditor
Solicitors
Stock exchange listing
Website
Corporate
Governance Statement
Corporate Directory
Pasquale Rombola
Ian Frazer
Gene Tyson
Jacqueline Fernley
Stéphane Chatonsky
Luke Reid (Chief Executive Officer)
James Heath (Chief Financial Officer)
James Heath
Microba Life Sciences Limited
Level 10
324 Queen Street
Brisbane QLD
Australia
Automic Pty Ltd
Level 35
477 Collins Street
Melbourne VIC
Australia
Pitcher Partners
Level 38
345 Queen Street
Brisbane QLD
Australia
Thomson Geer
Level 28
1 Eagle Street
Brisbane QLD
Australia
Microba Life Sciences Limited shares are listed on the Australian
Securities Exchange (ASX code: MAP)
www.microba.com
The Company’s corporate governance statement is located at the
Company’s website: https://ir.microba.com/corporate-governance
FY26 INTERIM REPORT 5
Review of
Operations
01
FY26 INTERIM REPORT 6
Review of Operations
The Directors of Microba Life Sciences Limited (ASX: MAP) (“Microba” or the “Company”) are
pleased to present their Review of Operations for the half-year ended 31 December 2025 (“H1
FY26”) in conjunction with the financial statements of Microba Life Sciences Limited and its
subsidiaries (together referred to as the “Group”), and the auditor’s report thereon. The financial
statements have been reviewed by the Company’s auditor and approved by the Directors.
Microba is creating a new diagnostic category in clinical microbiome testing, which the
Company estimates represents a market opportunity exceeding US$100 billion. Over recent
years, Microba has strategically invested to unlock the human gut microbiome, leveraging its
world-leading technology to pioneer the development of clinical microbiome diagnostics and
novel biotherapeutics. This investment is now yielding accelerating results, with the first half of
FY26 delivering the strongest period of core test growth in the Company’s history.
The Company’s core testing products - Microbiome Explorer (formerly MetaXplore) and
MetaPanel - achieved combined sales of 10,258 tests in H1 FY26, more than doubling the prior
corresponding period. The annualised run rate surpassed 21,300 tests, tracking towards the
Company’s FY26 guidance of 24,000+ core tests, aligned to regional break-even objectives for
both Australia and the United Kingdom.
H1 FY26 revenue was $7.32 million, down 9% on the prior corresponding period, reflecting the
planned roll-off of discontinued legacy product revenue. Core testing revenue grew 123% versus
PCP, with Growth product revenue reaching $4.0 million, up 135% versus PCP.
The statutory loss before income tax increased compared with the prior corresponding period,
primarily reflecting several material one-off and non-cash items associated with legacy product
discontinuation, portfolio transition activities and foreign exchange movements; excluding these
items, the net loss decreased when compared with H1 FY25.
As at 31 December 2025, Microba held $11.27 million in cash and cash equivalents.
H1 FY26 represented a transformational
period of strategic transition. The Company
completed the discontinuation of all
legacy testing products and services,
enabling 100% focus on its core Growth
testing products. Microbiome Explorer now
represents 55% of total revenue, up from
20% in the prior corresponding period.
From Q3 FY26, the Company’s revenue
will reflect a clean growth profile with no
further legacy product roll-off.
FY26 INTERIM REPORT 7
Review of Operations
Testing Business Advancement
Australia - Microbiome Explorer™ Gastrointestinal Disorder Test
The Microbiome Explorer test (formerly MetaXplore) provides the most comprehensive
gastrointestinal testing solution available to healthcare professionals, combining diagnostic
gastrointestinal health tests with metagenomic-driven gut microbiome analysis. The
Microbiome Explorer test range, developed by Microba together with leading healthcare
professionals, addresses a large market of patients suffering from functional gastrointestinal
disorders which impact more than 30% of the population.
Microba continued to see record growth in Microbiome Explorer test sales in Australia
throughout H1 FY26:
Growth in H1 FY26 was underpinned by increases in both the number of ordering clinicians and
the volume of orders per clinician. Strategic clinician education, targeted field sales execution,
ongoing product feature releases, and digital-led product-assisted growth systems delivered
consistent growth momentum across both quarters of the half, with Q2 FY26 achieving a new
record despite the traditional seasonal softness of the December holiday period.
Notably, adoption has now advanced beyond innovator clinicians into the early adopter
segment of the customer adoption curve. This shift is increasingly characterised by enterprise-
style contracts with small to medium healthcare groups. Since November 2025, Microba has
signed 12 clinic account contracts in Australia, representing meaningful recurring volume
potential. This progression supports accelerating revenue growth while improving sales
efficiency through higher average revenue per account.
Category creation requires disciplined execution aligned to the customer adoption curve.
Microba’s strategy is designed to de-risk this process through a structured, region-by-region
market development process. In Australia, clinical testing commenced in April 2023 with
innovator clinicians and has now successfully progressed through to early adopter uptake,
supported by continuous product advancement, clinical evidence generation, and expanding
key opinion leader advocacy.
H1 FY26 H1 FY25 (PCP) Change
Tests Sold 8,244 4,400 Up 87%
Ordering Clinicians
(at period end)
878 735 Up 19%
FY26 INTERIM REPORT 8
Review of Operations
Australia - MetaPanel™ Gastrointestinal Pathogen Test
In H1 FY26, the Company made steady progress in driving MetaPanel adoption with general
practitioners and gastroenterologists across Australia together with its partner Sonic
Healthcare (ASX: SHL).
MetaPanel is a world-first NATA accredited test for diagnosing gastrointestinal pathogens. It is
the most comprehensive gastrointestinal pathogen test available, detecting both common and
difficult-to-identify pathogens capable of causing infection.
The Company remains in an early market development phase for MetaPanel, with a focus on
organic development of Gastroenterology specialist adoption. KOL engagement, evidence
generation activities and utility publications are continuing to support clinician adoption in
collaboration with Sonic Healthcare. A gradual rate of adoption is expected over the next year,
with FY27 presenting the opportunity for larger volume growth as the consistent KOL and
evidence development work translates into broader adoption and routine referral behaviour.
United Kingdom - Microbiome Explorer
A fundamental investment thesis of the Invivo Healthcare acquisition was the ability to
accelerate Microba’s entry of its world-leading Microbiome Explorer test into the United
Kingdom through an established team and customer base.
H1 FY26 captured the first full half-year of market access for Microbiome Explorer in the UK,
following the completion of early access programs and full market launch in Q4 FY25.
* UK full market access commenced Q4 FY25; no comparable PCP for the full half.
UK adoption is outperforming Australia by 33% at the equivalent time post launch, reflecting
the strategic rationale of the Invivo Healthcare acquisition in leveraging an established
customer base for a running start. The quarterly trend between Q1 and Q2 mirrors the
seasonal pattern observed at the equivalent post-launch period in Australia, with both markets
H1 FY26 H1 FY25 (PCP) Change
Microbiome Explorer
Tests Sold
1,511 N/A* N/A
Ordering Clinicians
(Q2 end)
268 N/A* N/A
H1 FY26 H1 FY25 (PCP) Change
Tests Sold 503 420 Up 20%
FY26 INTERIM REPORT 9
Review of Operations
experiencing the same holiday period impact. This provides confidence in the underlying
adoption trajectory.
The strategic transition to Microbiome Explorer as the sole UK testing product is now complete,
with all legacy EcologiX products discontinued. MetaXplore (now Microbiome Explorer)
represents 100% of gastrointestinal tests sold in the United Kingdom. The UK adoption is
expected to continue to accelerate across 2026, leveraging the historical Invivo customer base,
product advancement and feature releases, and global marketing efficiency.
United Kingdom - Nutritional Supplements
The UK supplements business commenced it’s strategic transition towards higher-margin
Invivo branded and owned products, moving away from third-party distributed Designs For
Health (DFH) branded products.
Invivo branded supplements delivered a record quarter in Q2 FY26, supported by breakout
results from the PHGG prebiotic fibre supplement (volume up 110% vs PCP). Execution on
Amazon advanced sales ranking from 99th to 12th position in the fibre category in the UK
since September. A subscription offering was launched in October and has grown to over
300 subscribers. Growth has been driven by targeted digital campaigns, distributor account
management, and the commencement of influencer and affiliate marketing campaigns.
H1 FY26 H1 FY25 (PCP) Change
Invivo Supplements
Revenue
$1.38m $1.23m Up 12%
Distributed
Supplements (DFH)
$0.70m $1.37m Down 49%
The Invivo Healthcare nutritional
supplement business was placed under
the leadership of a dedicated CEO with a
high-performance team in Q2 FY26. The
team are focused on the USD 7 billion fibre
supplement subcategory of the gut health
supplement market. There is a profound
and global gap between dietary fibre
recommendations and actual consumption.
Over 90% of adults fail to meet the
recommended intake - this gap represents
both a major public health challenge and a
significant commercial opportunity.
FY26 INTERIM REPORT 10
Review of Operations
Brand Consolidation and Operational Efficiency
The entire marketing engine and customer-facing surfaces were rebuilt under the new brand,
enabling streamlined global lifecycle marketing. An early and significant result has been the
delivery of a new practitioner onboarding welcome sequence that reduced clinician signup-
to-first-referral time from 12.4 days in November to 1.7 days in January - a transformative
improvement in activation speed.
As part of the brand update, product names were refreshed for simplicity and clarity.
MetaXplore is now known as Microbiome Explorer™, available in three variants: Comprehensive
(available in Australia and the UK), Essentials (available in Australia, coming to the UK in Q3), and
Extended (available in Australia, coming to the UK in Q3).
AI Implementation
AI implementation across all business functions is delivering measurable efficiencies, improved
customer experiences, and operational advancements that position the Company for long-
term success.
Key AI achievements in H1 FY26 include: deployment of an AI-powered customer support
agent that has successfully resolved 71.4% of inquiries autonomously with a 94.7% customer
satisfaction score; AI-assisted software engineering increasing developer productivity by 1.5x
and expected to reach 3x during the year; and AI-driven scientific literature review and grading
reducing required human hours by 30%, with a target to surpass 50%.
These are examples within a comprehensive AI rollout spanning all aspects of the business,
including advanced analytics for data-driven decision making, intelligent operational
automation, and innovative applications in product development and marketing.
Product Feature Releases
Multiple product features were released during H1 FY26, aligned to the needs of target healthcare
professionals and clinics as the Company progresses through the customer adoption curve:
In November 2025, Microba completed
a major brand update that consolidated
its global testing brands - Microba, Co-
Biome, Invivo, MetaXplore and MetaPanel
- under a single Microba brand. This was
not a cosmetic refresh; it was a strategic
initiative to drive operational efficiency and
increased marketing effectiveness at scale.
FY26 INTERIM REPORT 11
These features have directly driven conversion of high-volume target healthcare professionals
and clinics, supporting the Company’s advancement along the adoption curve from innovators
to early adopters.
Global Laboratory Consolidation
During Q2 FY26, the Company completed the consolidation of its global laboratory footprint.
This initiative is expected to deliver more than $1.0 million in cost savings over the next 24
months, while also improving cost of goods sold through greater testing volume concentration
and economies of scale.
Therapeutic Business Advancement
All further investment in research and development has been ceased at this time. Microba
maintains its competitive advantage in human data-driven discovery from the human
microbiome and holds field-leading live biotherapeutic IP assets with deep preclinical and early
clinical validation, including MAP315 which is near Phase 2 ready.
Sunday Collection and Simplified Instructions - Expanding the sampling window,
reducing friction, improving patient convenience, and reducing component costs by
approximately 18%
Review of Operations
Practitioner Pays - A new payment workflow enabling clinicians to order and pay
for tests directly on behalf of patients, streamlining the ordering process and
increasing conversion
Admin Accounts - Allows designated support staff to manage patient records,
referrals and reports on behalf of practitioners, reducing administrative burden in
busy multi-practitioner clinics
Oral Species Biomarker - A new biomarker detecting the presence of over
410 oral-origin species in the gut, identifying hidden contributors to intestinal
inflammation and impacts of PPI use
Pay on Invoice - Supporting enterprise sales workflows with 30-day payment terms
for high-volume clinics and practitioners
FY26 INTERIM REPORT 12
Review of Operations
The Company has transitioned from an R&D investment phase to an active partnering phase,
with the team focused on securing partnerships and transactions that realise the value of these
assets. Deal precedents in the live biotherapeutic sector range from $1.5 billion to $11 billion.
Sector Clinical Trial Readouts Validating the Modality
The live biotherapeutic modality has been maturing in its development, with many prospective
partners awaiting definitive Phase 1b/2a efficacy data in chronic disease indications to validate
this new therapeutic class. Aligned to this, the Company has guided on clinical trial readouts
from peer companies that would provide that validation. Multiple positive readouts have now
been delivered:
These positive sector readouts have begun to change the temperature of partnering
discussions. The Company is very active in its partnering work leveraging this validating sector
momentum. A transaction on therapeutic assets, particularly MAP-315, would be expected to
have a material impact on the valuation of Microba and set the foundation for realising the true
value of its therapeutic platform.
Siolta Therapeutics - Phase 1b in paediatric allergic disease: Positive (November
2025). A significant result for the sector, demonstrating efficacy of live
biotherapeutics in allergic disease
Microbiotica - Phase 1b in mild-to-moderate Ulcerative Colitis: Positive (11 February
2026). Met primary endpoints, providing further validation of the live biotherapeutic
modality in a major chronic disease setting
MaaT Pharma - Phase 3 in gastrointestinal acute Graft-versus-Host Disease: Positive
final pivotal results (December 2025). Now under regulatory review by the European
Medicines Agency for Market Approval, with a decision expected mid-2026. This
stands to be the first market approval for a microbiome therapeutic in a chronic, non-
infection setting
Enterobiotix - Phase 2a in Irritable Bowel Syndrome: Positive (January 2026). Met
primary endpoints, further validating the modality
FY26 INTERIM REPORT 13
Review of Operations
Financial Overview
H1 FY26 revenue totalled $7.32 million, a decrease of 9% versus the prior corresponding period.
The revenue reduction predominantly reflects the planned roll-off of discontinued legacy
product revenue which were completed during Q2 FY26. Excluding these exited revenue streams,
underlying performance was driven by strong growth in core testing products, with core testing
revenue increasing 123% versus PCP. Growth product revenue for the half reached $4.0 million, up
135% versus PCP, while legacy product revenue declined to $0.7 million as the final discontinued
products and services wound down.
The statutory accounting loss for H1 FY26 was $10.56 million, compared to $5.74 million in the
prior corresponding period, an increase of 83.9%. The year on year movement includes several
material, non-recurring and non-cash line items, these predominantly relate to the completion
of strategic discontinuation of all legacy products during the half, including $1.7m variance in
foreign exchange and fair value movements largely relating to intercompany loan revaluation
at period end, a $0.75m non-cash write-off associated with discontinued legacy testing
technology, $0.66m relating in restructuring expense, and the absence of $2.45m of other
income recognised in H1 FY25 relating to unwinding of the Invivo contingent consideration.
After adjusting for non-cash and non-recurring items in both periods, including the prior
year $2.45 million contingent consideration credit, foreign exchange revaluation movements,
impairment of discontinued legacy technology, restructuring costs and tax adjustments, the
underlying loss for H1 FY26 was $8.73 million compared to $9.27 million in H1 FY25, representing a
5.8% improvement on underlying loss on a like-for-like basis. Operating cash outflows for the half
were $5.7 million, further highlighting the distinction between the statutory accounting loss and
underlying cash performance.
During the period, the Company completed the transfer and wind-down of non-core revenue
streams and implemented structural cost reductions, lowering the ongoing operating cost base
entering the second half of FY26. In Q2 alone, more than $1.6 million of discontinued legacy
product revenue was replaced by growth product revenue. From Q3 FY26, reported revenue
performance will no lon
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