First quarter: 1 January–31 March 2025

• Five customer contracts were signed during the quarter, three of which were in the US.
• Total of 9 ASTar units installed or contracted at end of Q1 2025 out of 30 – 40 planned by end of 2025
• The Group’s net sales amounted to SEK 3.7 (1.5) million, an increase of 249 percent.
• The Group’s EBIT amounted to SEK -44.6 (-56.0) million, an improvement of SEK 11.4 million.
• Profit after tax for the period amounted to SEK -45.2 (-56.0) million.
• Earnings per share before and after dilution amounted to SEK -0.02 (-0.5).
• Cash flow from operating activities amounted to SEK -50.1 (-48.0) million.

Significant events

In the first quarter of 2025

• The company publishes a company and market update with the main message that 30 – 40 instruments are expected to be contracted by the end of 2025 and that another 60 – 90 instruments are placed in 2026.
• The company signs its first two agreements with customers in the United States.
• Q-linea signs a framework agreement with a large national American reference laboratory.
• The company wins the first tender in Belgium and wins another tender in Italy.
• Q-linea announces the outcome of the rights issue, subscribed to 90.5 percent, corresponding to approximately SEK 204 million before transaction costs. In total, the Group received cash of approximately SEK 93 million after transaction costs, set-off of loans and repayment of bridge loans.

After the end of the period

• The company announces that the first clinical evaluation in the Gulf Cooperation Council region of ASTar has been initiated at Sheikh Khalifa Medical City, Abu Dhabi (UAE).
• Q-linea publishes a communiqué from the Extraordinary General Meeting on April 3 where a decision was made to reduce the Company’s share capital with the primary purpose of enabling a discount in the future exercise of warrants of series TO1.

CEO comment

Strong start to the year
The year has gotten off to a fast start with Q1 revenues exceeding sales for all of 2024. We met our objective for five commercial contracts in Q1 2025 and expect to maintain steady quarter-over-quarter ASTar volume growth. Q1 contracts lift installed or contracted ASTar base to nine units for routine clinical use from four at year-end 2024.

Pipeline and momentum show potential for 10x growth during 2025
We aim to have contracts for 30 – 40 ASTars globally by the end of 2025, with a fleet average of 1,000 clinical patient tests per year per instrument. Growth during the year will be balanced across the US and EMEA regions. Pace during 2025 will continue to increase as projects in the pipeline mature. We anticipate maintaining a high, competitive win rate based on the superior technical and clinical characteristics of ASTar.
During the year we will also see the first in-network expansions, with US IDNs adding ASTars to cover their hub-and-spoke systems.
Given industry cycle times of 12 – 15 months to routine clinical use, most of the placements for 2026 are already visible in the pipeline. We expect to see the US market overtake Europe next year and comprise a larger share of the 60 – 90 ASTar placements in plan for 2026.

First contracts for clinical use in US market
Our first contract with a major US integrated delivery network (IDN) was signed early January and was followed during the quarter with two further contracts in the US.
In March 2025, Q-linea signed a Master Service Agreement (MSA) with one of the top national reference lab networks in the US. We are now building a plan with their clinical and operations teams to deploy ASTar into labs across the network. We expect to install the first instrument by early May. The network has potential to adopt 12+ instruments annually with high-testing volumes at each site, and we anticipate installations in at least a half-dozen sites during 2025.
Evaluations continue at multiple sites in the US. ASTar is maintaining a high evaluation-conversion rate, as anticipated. In addition, the US pipeline continues to expand quickly with over 100 ASTar-potential sites identified and working through the sales cycle.

Further wins in EMEA region
Q1 saw continued progress in Europe with new contracts in Italy and Belgium. Installations during 2024 are now in routine clinical use, saving lives and improving hospital budgets. We estimate that ASTar saved over 100 lives during 2024.
ASTar was also approved for use in several Gulf-region countries, and we have already shipped the first unit to Abu Dhabi for clinical evaluation after which we expect it to move into routine use. Further shipments are expected during Q2 with regulatory approval in Saudi Arabia and continued pipeline expansion with our partner, AMICO.

Maintaining scientific leadership
Q-linea continues our out-sized role in leading industry research into the benefits of rapid AST. We closed the LIFETIMES study in Q1 2025 and are now analysing the data with our four investigator sites in Italy to present further evidence on the health economic benefits of ASTar use. The Early Access Programs in the US are also completing the research phase and will be publishing results throughout 2025, complementing data already released during 2024.
We have a busy calendar of planned podium presentations and posters at global and regional conferences with further journal publications expected across 2025. The scientific evidence will increasingly be supported by real-world testimony on the merits of ASTar and patient and hospital benefits from rapid AST in general.

Improving financial position
The ASTar installed base is starting to generate recurring sales which will grow as contracted units are installed and go live. Growing production volumes will also contribute to lower per-unit cost-of-goods, along with production efficiency activities already underway. The cost-reduction program in 2024 has resulted in a 20% year-on-year reduction in OPEX, net of reinvestments in key capabilities, especially in strengthening the commercial organisation.

We were pleased to see subscription to the rights issue was above 90 percent and hope to maintain strong participation for the warrant program during May. We continue to seek alternate non-dilutive financing in e.g., grants through 2025.

Overall, we are on-track commercially and operationally to meet our planned breakeven during 2027. The macro-economic environment has been turbulent during Q1 2025, but we have not yet seen any impact on the commercial pipeline. We have made initial mitigations, and have planned further activities, should US tariff policy changes negatively affect our gross margin outlook.

Uppsala, 13 April 2025, Stuart Gander, CEO

The report has been prepared in a Swedish original and an English translation. In the event of any discrepancies between the two, the Swedish version is to apply. This report has not been reviewed by the auditor of the Company.

Presentation
Q-linea invites investors, analysts and the media to an audiocast and teleconference (in English) today, 14 April 2025, at 1:00 to 2:00 p.m. (CEST). CEO Stuart Gander and CFO Christer Samuelsson will present Q-linea, comment on the interim report for the January to March 2025 period and respond to questions.
To participate via webcast, please visit the following link: https://q-linea.events.inderes.com/q1-report-2025

There will be an opportunity to ask questions in writing at the webcast.

If you would like to ask questions verbally via conference call, please register at the following link:
https://events.inderes.com/q-linea/q1-report-2025/dial-in

You will receive a telephone number and a meeting ID to log into the conference call after registering. There will be an opportunity to ask questions verbally during the conference call.