This article first appeared on GuruFocus .
Release Date: May 14, 2026
For the complete transcript of the earnings call, please refer to the full earnings call transcript .
Positive Points
-
Cibus Inc ( NASDAQ:CBUS ) raised approximately $37 million in gross proceeds through two public offerings, strengthening its financial position.
-
The company is making significant progress in its commercialization efforts, particularly with gene-edited rice with herbicide-tolerant traits.
-
Cibus Inc ( NASDAQ:CBUS ) has established seven active Rice Seed Company customer relationships across LATAM and the United States, with plans for expansion into new markets.
-
The regulatory environment is favorable, with positive developments in the EU and Latin America supporting the company's launch timelines.
-
The company's RTDS platform is showing strong performance across multiple crops, enhancing its capability to meet complex agricultural challenges.
Negative Points
-
The US launch of the rice herbicide tolerance product has been delayed from 2028 to 2029 due to the herbicide registration process.
-
Despite progress, the company still faces financial challenges, with a net loss of $21.2 million for the quarter.
-
There is a reliance on regulatory approvals and chemical registrations, which can be unpredictable and impact launch timelines.
-
The company is still in the early stages of commercialization, with significant revenue generation expected only in the coming years.
-
Cibus Inc ( NASDAQ:CBUS ) needs to manage its cash burn rate effectively to ensure sufficient runway until commercialization milestones are achieved.
Q & A Highlights
Q: Can you provide more details on the amendment to your contract with your sustainable ingredients partner? Is it related to the biofragrance program or sustainable ingredients in soy, and what might the increased revenues look like? A: The amendment is related to the soybean loric oils. We've been expanding our activities in this area, which has led to the contract amendment and an increase in R&D revenue. (Peter Beethem, Interim CEO)
Q: Regarding your current burn rate, do you expect it to level off or decrease further in the back half of this year? Also, can you provide more details on the delay in the U.S. rice launch? A: We aim for a net annualized burn of $30 million or less. The burn rate will decrease from Q1 to Q2, with better alignment in Q3 and Q4. The U.S. rice launch delay is due to the herbicide registration process, which is a gating item but does not affect our other initiatives. (Carlo Bruce, Interim CFO)
Q: Can you give us an idea of the end products and customers for your biofragrances? Are these multiple fragrances or a specific type? A: We are working on scaling up production and finalizing product formulations. We haven't announced specific formulations yet, but we are leveraging our yeast platform to build additional fragrances. (Peter Beethem, Interim CEO)
Q: What is the potential market size for the sustainable ingredients you're pursuing, and what kind of compounds are you working on? A: We focus on sustainable ingredients like loric oils, which replace ingredients with limited volume upside. Our technology is well-suited for complex editing to develop new crop characteristics. (Peter Beethem, Interim CEO)
Q: Now that Interoc has received an import permit and you've transferred gene-edited traits in their rice seeds, what are the remaining steps before full commercialization in Latin America? A: The next steps involve getting materials into production, leading to registered and certified seeds for a 2027 launch. Chemical registration is progressing concurrently, with a clear path to commercialization. (Peter Beethem, Interim CEO)
For the complete transcript of the earnings call, please refer to the full earnings call transcript .
