Incanthera (AQUIS:INC) — Annual General Meeting

0:00 Good morning, ladies and gentlemen, and welcome to the INCANTHERA Annual General Meeting. I'd now like to hand over to Executive Chairman, Tim McCarthy. Good morning. Thank you. Good morning to everyone. We are we have a live audience here in the room with us of of shareholders. So welcome to all of you, and thank you for making the effort to to come along. We are also recording and presenting this on the Investor Meet company platform. So not sure how many of you are listening remotely, but you're very welcome also. So we've got two parts to the meeting today. We're going to run through the formal business of the AGM and take the resolutions, And then we're gonna move on to a a short presentation of which you can see on the screen or if you're in the room above me, which we'll just run through where we are with business and give you an opportunity to ask questions as well. So there'll be questions coming from the room, from people that are here, and we also have questions which have been put onto the the platform.

1:05 We can see some pre submitted questions already on one of the screens we've got here. And if anybody on the platform listening wants to ask questions during the the morning, then you can just type in, as I'm sure you're aware, and we'll address those as best we can. So let's go to the formal business of the AGM first. We have a quorum, so we can get started. So before we go to the resolutions, let me just ask the room. And and and also if anybody's on the platform and they wish to maybe get a question on the resolutions themselves, are there any questions on the resolutions, what they mean? Do you need anything explaining before we go to actually put resolutions to to the meeting?

1:52 To be honest, I've forgotten what they are. We'll go through them. You will mention them. We will. Yeah. So, actually, you've just reminded me of another piece here. It may or may not be that for the people on the platform, if somebody asks a question in the room or points something out, you may or may not be able to hear it. So what I'll do, I'll repeat it so that everyone on the platform can hear. We just had a gentleman in the audience to say that he he actually can't remember what the resolutions are, but I will read each resolution out, you know, as I as I put it out to to vote. But the the reason for asking that question just now was if there's anybody that wanted any of the resolutions explained. No? Okay.

2:37 Well, let's get straight on with it then. We have a total of five resolutions, four of which resolutions one to four are ordinary resolutions. They require a 50% majority in favor. And the fifth resolution is a special resolution, which requires 75% in favor. So as I just said, I'm going to read each resolution out. I'm gonna ask for a show of hands in the room, and then I shall read out the proxy votes as well. So resolution one is an ordinary resolution to receive the audited accounts of the company for the period ended 03/31/2025 and reports of the directors and auditors thereon. So can I ask anybody in the room who would like to raise their hands for the resolution?

3:29 Anybody against Abstentions? Probably a bit redundant. Superfluous. Absolutely redundant. I think that's a pretty unanimous vote of in favor in the on the hands in the room. On the proxy votes, we have received thirty five million four hundred and eleven three hundred ninety two votes in favor. We have an additional 221,440 given the chairman discretion to vote, which I shall vote in favor as well. The number of votes against were 13,065,834 with 138,602 withheld. So that's resolution one passed.

4:16 We've gone to resolution two. Resolution two is an ordinary resolution to reelect Caroline Diana Murray as a director of the company who having retired pursuant to article twenty three point four point two of the company's article association being eligible, officer self for reelection. Caroline, who's with us today, in fact, I really omitted to introduce everybody, which I'll I'll do when we finish the resolutions. But Caroline is a nonexecutive director, and it's her turn to be reelected this year. So if I can ask for votes in the room in favor of the resolution. Any against? K. That's pretty unanimous again. I'm not sure if it could be pretty unanimous or just unanimous. I'm not sure. So the proxy votes in favor of the resolution are 48,433,460 and an additional 221,440 with the chairman's discretion, which I will vote for also.

5:20 There are, against this resolution, one hundred and seventy seven thousand three hundred and seventy eight thousand and four thousand nine hundred and ninety thousand sorry. 4,990 withheld. So congratulations, Caroline. You've been reelected. Resolution three is an ordinary resolution to reappoint CRO UK LLP as the authors of the company and to authorize the directors to fix their remuneration. So, again, if I can ask for a show of hands for any against? That is unanimous. The proxy votes on this one, received in favor 48,592,236, and, again, including an additional 221,400 and 40 for chairman's discretion. So they're all four. The number of proxy votes against were nothing or zero. We didn't get any any against votes.

6:16 And two twenty twenty three thousand five hundred ninety two withheld. So that resolution has also been passed. Resolution four. Resolution four is an ordinary resolution to approve the granting of an authority pursuant to section five five one of the Companies Act 2006 to the directors to allot relevant securities up to a maximum nominal amount of £919,587 and an additional authority to allot equity of securities on a fully preemptive basis up to a maximum nominal amount of a further £919,587. The text of this part of the resolution is set out in the notice. So, again, if I can ask for everyone in favor in the room to raise their hands.

7:05 Any against? That's unanimous again. So the proxy votes in favor are 48,419,579, and, again, including the 221,440 at the chair's discretion, which I will vote for. And the number of proxy votes against are fifty seven thousand six hundred and forty seven and one hundred and thirty eight thousand six hundred and two withheld. So resolution four is passed. Resolution five, the final item on the agenda. This is the special resolution that I referred to earlier on. So to approve the granting of an authority pursuant to section five seventy of the Companies Act 2006 to the directors to allot equity securities.

7:51 The grant of authority pursuant to section five seventy of the Companies Act 2006 shall be limited to the circumstances set out in resolution five in the notice. The text of this part of the resolution is set out in the notice. So, again, a show of hands in the room, please, for? Any against? That's unanimous again. And the proxy votes received in favor of this resolution are 48,319,579, again, including the two hundred and twenty one four hundred and forty at the chair's discretion, which I will vote for. And the number of proxy votes received against are 157,647, one and then a 138,602 withheld. So that resolution is passed.

8:40 So thank you very much for that. That is the formal business of the AGM completed. So what we have now is a a short presentation. Before I I do that, I I will correct my previous, error and not introduce everyone who's who's here with us today. So, I'm I'm the chair to McCarthy. If I go from, one end to the other. So Laura Brogdon, who is our CFO. Suzanne Brock, who's our head of communications, company secretary. On my left, your right. So Simon Ward, who's our CEO, and then next to him is Caroline, who I mentioned earlier on, who's obviously just been reelected. So Caroline Murray, who's the nonexecutive director.

9:26 And John House at the end, who's the senior independent nonexecutive director. So you've got the whole board here and the team. Now we're gonna run through it's a relatively short presentation, and we're gonna give you an update on where we are with the business. I'm gonna say right up front that we're not making a trading statement today, so we're not going to be talking about numbers in terms of sales of of SkinnerCell. We had a a a debate about this, and we decided it'd be more appropriate to put something out at a later stage. But what we'd like to do is just tell you how we're getting on with with the sound of SkinnyCell. And and I think more importantly, especially when we're at an AGM here, is just to give you a heads up on what we see going forward and what we see as quite an exciting future for the company.

10:19 I'm not sure what you can see on the platform, but we do have I don't know if you can probably see them, but we do have some of the product here with us. Obviously, everyone in the room can see them. Maybe if I put them up near the the camera. Yeah. So you will have seen these, I'm sure, if you've been onto our website, but we do have some of the products here. But it's difficult to to get the impression across, I guess, on the on the camera. But let's let's get through the presentation, and then we'll open up for q and a. And we'll obviously address the q and a that comes through the platform as well. So just a little reminder. I'm sure you probably don't need reminding, but, you know, we are a specialist company dedicated to innovative technologies in dermatology and oncology.

11:09 You may remember our Genesys. We were spun out at the University of of Bradford in 2010, listed on Aquis in 2020, literally the, I think, the week before we we locked down the country for COVID, which is a bit unfortunate. And although the the the origination of the company, Simon, actually, was was the founder, spinning out of out of the university, we were very much focused then as a company on cancer therapeutics, new treatments for for oncology. That is now developed. That's still there, and it's something which we don't want anybody to miss because we do intend to keep developing that side of the company, which has, you know, a lot of promise going forward. But as you will all know, in in the recent times, we have developed Skinnycell, this quite unique skincare range, and and we can talk a little bit more about that.

12:05 And that we announced on the August 11. We had launched it for the very first time through our own direct to consumer website, and we're gonna give you a little update on on how that's all going. But firstly, I'm gonna hand over to Simon because we've got a a page here of testimonials, and, it certainly speaks to the experience that we've had since we launched this product. We we had, tried the product out with a number of people, in all ages and demographics and skin types prior to launch. And we we knew before what what to expect because there was a overwhelmingly 100% positive response on anybody using the cream.

12:50 What we've got here is a is a mixture of of some of those testimonies, but also testimonials from people that have used bought the cream or creams, I should say, and have given us these testimonials back, which is is is, something which I'd I'd like Simon just to to run through. So there's a couple of observations you wanna make Yeah. No. So, again, we're we're what are we? Just just about two months in, and it's always nice getting feedback from people, you know, family and friends. But when you start getting it actually back from people who've spent their money and are using it in earnest, it's a lot more telling. And it seems a sort of a general comment that everybody seems to enjoy it. They enjoy the feel of the cream. They enjoy using it. It's obviously high quality and and and great for for that user experience.

13:38 But they're also coming back and saying, and, actually, it's working. And, you know, that's not something that, I guess, should be a surprise, but quite often, these things don't necessarily work in the way that you expect them to do. But so far today, pretty much 100% across the board, the feedback has been positive. I'm very excited that it's actually working. Now these are designed specifically to be cosmetics. These are not pharmaceuticals. They are cosmetics. And yet, if you look this is very small writing, so I do apologize. But if you look at some of the lower observations here, we're starting to see people come back and say, it's clearing up certain condition skin conditions that have been very tricky for me during my life. So we're getting that promise that it's it's actually working at a fundamental level of the skin. And it's not just beauty. It's helping to keep that skin healthy and and in good shape. And, of course, that links in very nicely with the scientific results and the datasets that we published earlier in the year from our friends at Newcastle who have actually shown that this at the cellular level we need some power. At the cellular level, it's actually increasing the energy availability to the cell, which is helping the natural processes of the cell, which is why you're getting a nicer feel and a nicer skin and and all of these observations.

14:51 And so real life and science are actually now coming together, which is very exciting. Can you come around, Simon? No. I'm You you you can still hear it. Just Yeah. Yeah. We've we've had one of the cameras knock off, so apologies. Okay. Okay. While while they're sorting that, I'll I'll just also talk about in in here, somebody's also mentioned it would be great to have an SPF face screen coming out. Of course, we've talked about this a little bit before, so we are developing that at this moment. And in fact, the the prototype and and the formulation has all been put together, and it works very nicely. It's going to be an aerosol format, which will be different. We're working very hard with our friends at for to to manufacture this. And we are at the point now we're waiting for the regulatory certification to come through for its SPF rating, and then we can start thinking about going to market with it. So it's all very exciting. Yeah. Thank you, Simon. Can we not just get this going? No. Sorry.

15:47 So a quick overview of the DTC campaign to date. We we've been very pleased actually the way that it's come together. I mean, there's the operational side, and there's obviously, you know, people ordering on the website. So but I think it's worth just reminding everyone that that we are starting from scratch here. We are establishing brand from day one. And, you know, we we're not expecting, you know, everyone to be on the website and buying on day one. And and but it's it's very pleasing that we have we have got sales. We've got sales across the whole range. We've got five products, remember. So people are buying all of them. Some people are buying one you know, the whole set. Some people are buying individual items.

16:32 We've had repeat purchases, which is is very encouraging. But our horizon here is to be building the brand, to build skin and sell. At the moment, we have five products. Simon's just explained that we're in in actively developing new ranges as as we speak. FPF being an oldest one, but I know Simon and his team have got lots of of other ideas as well. So there's lots more to come. So this this is a this is a marathon, not a sprint, you know, in terms of of building this this brand. And the the immediate feedback we've had is very is is very pleasing, and Simon's just explained, because that's important. Because you can you we're in a we're in a crowded market in in beauty and skincare, and we do have something different. And I think the testimonials do do support that. And that, at the end of the day, is what's going to drive this. It's gonna be a combination of emotion and people buying into the the the concept of skin cell. But if when they get it, it doesn't work, then that is gonna cause us a massive problem. We know it does work, and that's why we're starting to get repeat cells as well.

17:46 So what we we learned on the DTC, I think we've said before that one of the big advantages of having our own website and going direct to ourselves is that we get a lot of data. We get a lot of information. We can see the demographics of the people that are are buying it and using it. We can see what geographical region they're they're ordering from. And all of this helps to inform us of how we can better target those particular groups, which we believe will benefit in from SkinnySell and and, at the end of the day, buy it. So we're continuing to analyze that. In fact, we are in in the process of putting together a specialist group, advisory group, which includes Caroline, in fact, who has a background in in this area in terms of branding.

18:36 And so she's gonna be sat on the the group. In fact, we might even ask her to chair it if she's if she's if she's minded to. We've also got some really good people that have been introduced to us. We've got a background in skincare, in direct to consumer campaigns. And all the data that we're collecting or we have been collecting the last couple of months since launch will be very useful in informing that group as to how we can be a little bit more targeted and maximize what we do through the DTC. Yeah. However, looking forward and, again, we we we said this a couple of times in the past, certainly when we we were talking around the the final results announcement not long ago.

19:28 There is more than one way to market here, and we're not restricting ourselves to the direct to consumer campaign. It's a very important part of our armory. But as we put up on this slide just to try and give you some idea, there are lots of things going on in the background in terms of one, you know, what can we do within DTC? Now we we're calling it retail wholesale. There are very active discussions going on approaching a number of different retail and and wholesale outfits on a global basis. And more of more information about that and and news updates will will come over the next period. But we're very encouraged in what we we've seen so far and the interest in in the range.

20:14 We're also looking at licensing in in various ways. So we've we've called this territorial licensing. So when I talk about retail wholesale, this will more than likely, in the first instance, be a contract to supply, you know, a a certain amount of of product, and then that will be sold out through various outlets. Territorial license is slightly different where we could go one step further, and we could we could enter into a license with a group where they want to have maybe exclusivity in a certain period a certain geographic region. So that's, again, something which we've got some discussions ongoing. And something which has come up fairly recently, and we thought it was worth just giving you a heads up. You'll you'll be aware that a lot of high profile celebrities now do their own skincare ranges. They do their own fashion ranges.

21:04 They do lots of things which they put their brand on. And we've been proactively approached. It's not something which we went out looking for, but we've been proactive approached to see whether we can consider aligning with a celebrity or maybe a couple of celebrities to to develop with them their own skincare range. So, again, this is, you know, it's it's a work in progress. Nothing to actually announce as as we are today, but it it it's useful just to tell you and bring you up to date with our thinking. And when I said earlier on, let's not we're not just gonna rely on the DTC. We've got a massive opportunity here to get the most out of this. Firstly, there's five in the range and then all the the new ranges which are coming up, which Simon referred to. So this is this is the start.

21:54 We've got a long way to go, and we've got the opportunity to build a very, very big company here. I'm not sure if there's an awful lot I want to say. I think the yeah. The rest of it talks to itself, really. We've spoken about. So as I said, it's a very short presentation. It it's more designed to give you an up to date where we are, what our feelings are about where we are since we launched the DTC. But I'd like to emphasize more than anything else, I want everybody to look forward to everything that we've just described. There's a lot of exciting things going on in the background, and we are hoping, obviously, that that's gonna result in news flow, and we'll be updating the market as and when we can going forward. So I'm gonna stop there, and I'm going to open up for questions.

22:46 We seem to have a slight technical issue with our computer, so I think we might need to We could go into click onto. I'm not sure we're gonna be able to do questions online because it's the last one. Can we chat? Okay. Let me open up to Okay. Go ahead. Go ahead. We fixed the we fixed the technical problem. That's good. Thank you. Let me put questions out to the room first. And and whilst we're dealing with those, we'll keep an eye on the questions coming from from the platform. So let me open up to the room first. Yep. Go ahead. So I'm a huge shareholder. Yes, sir. Probably very minor hearing those huge numbers, you know, quoting out no idea how many votes I've got.

23:38 I think most of my questions, you've already said you're not going to answer. Okay. So I'll try one that I didn't want to. I don't want the idea of this licensing process. Mhmm. And I think I'm going back to my very youth sixty years ago when I was, no, seventy years ago when my father worked for ICI which is, I think, one of the biggest companies in the world then. And I remember when they got into this business of licensing their processes to India, probably not China because they weren't in relation India. Because they India in places like that.

24:24 And where's ICI now? Completely gone. Maybe their analogy is not valid, but I'm just a bit worried If you're trying to build a brand, if I don't know. I can't think of a woman. Joanna Lundy is advertising it. I'd rather it said Joanna Lundy's skin himself than not. K. Yeah. Rather than. Okay. But I'm not an expert in any of this. Alright. Just for the benefit of people on the platform, if you didn't hear. So we've got a gentleman in the room who has given his opinion that he he's he's questioning the the benefit or even the potential threat is, I think, what you're saying, Simon. That if we license the technology fast, we don't have to do Mhmm. Yeah. That could be a mistake. Mhmm.

25:19 Okay. Mhmm. The it's it's more an observation rather than question, Simon Yeah. I think, isn't it? That your your observation is that there are examples in the past where companies have have gone down the licensing route, and it hasn't worked. And you'd prefer that the company sort of sticks to the knitting, if I can use that expression, rather than license out. Understand the point. All I would say is that, you know, this is about controlling that licensing activity and sit alongside the other routes to market that we've described. You know, we have some extremely well experienced advisers around us. In fact, there's corporate lawyers sat right right behind you. So he keeps us on the straight and narrow in all these sorts of things. If we're if we're about to if we're about to license out, then, clearly, we're gonna get some good advice is the best way to to to do it and make sure it's you know, we're not stepping into anything that we don't understand.

26:20 The the the point is, though, that we need to give the opportunity to commercialize SkinnerCell in the widest range of options that we can, and licensing does offer an opportunity for us. So point well made. Take it on board, but but please understand that we we will do these things with the right advice in the right way. If I can jump in as well, maybe. Licensing is there's two parts to a licensing. We can license territories for product, or we can license the actual technology itself for a completely different application. So we can we can split the licensing approach in those two different directions. And one may be safer than the other or maybe more applicable than the other. So it's it's not not a straightforward umbrella licensing, I don't think. I hope I didn't suggest it was straightforward. Okay.

27:16 Yes. Go. I guess we would all in this room like to know the number of units sold and the amount. But I understand fully because the I suppose the sales haven't been going for three months yet. No. No. That's right. Really an early stage. But in a company that's developing as you are, would it be possible to research in the future a quarterly trading statement, updating shareholders on sales and marketing progress and the milestones ahead so that we have a good feel for how the company is progressing. Yes. Let me just repeat the question. So the gentleman in the audience has made the observation that everybody would like to know what the sales numbers are, the volumes, etcetera.

28:06 But understand you you equally understand that we're fairly new in the process. It's it's been less than three months since we launched, which I think is a very, very good observation to make. But your suggestion is, can we do a regular trading update in the future giving, obviously, trading numbers and an overall view of where we where we look going forward? Thank you for the question. It's it's exactly what we are intending to do. So, obviously, we're gonna work with advisers as to the timing of that or those, sorry, going forward. But, certainly, yes, we want to update market when appropriate. I mean, it's it's it's it's your business at the end of the day, and and we need to be sharing that sort of data with you. And we will be. It's just we took the decision today on advice that we'd we'd we'd just stick to where we are and give you an overall presentation.

28:56 The message is things are going well. And, you know, we said the the reaction from everybody buying the creams is is what we expected, but it's also very pleasing to to hear that and see that, you know, in in in real in the real world. And I I know the whole board is, but let me just speak for myself. I'm really excited about some of the other opportunities that we that we just talked about today as well if you expand outside the DTC. I I don't think any company can rely on just one route to market. You just can't. You you've got to expand that, and that's what we're doing. So it's very pleasing that we're getting some positive feedback from that. And we will be putting updates specifically on those initiatives as they as they occur. Yeah.

29:45 I'll try a slightly different track. Yes. Go ahead. I listened to your presentation to the investor for. And you said slightly to my surprise, probably paraphrase, that this is the only product that has any real medical benefits. All the rest are fake. K. You didn't send a second, but that that was the message I got. Alright. Now that yeah. I take it you haven't been sued yet by anybody. If not, I mean, that was a really powerful position to hold, isn't it? Okay. I'm not sure that you're making enough of it Alright. On this current website. Okay. The the the the observations or a question from the gentleman was that at a recent investor forum when I gave a presentation, I made a statement along the lines that ours is the only product with medical benefits, did you say?

30:43 Said something. Yeah. I'd I'd I I don't want to sort of correct you per se, but I'm I'm very careful. We're all very careful when we're talking about this because we can't say it's got medical benefits. I don't think I'll I'll use that. By med. No. No. And sorry. I'm I'm sorry to pick you up on it, but it's really important. The message I've got to talk about Yep. As I said. Yes. The message that you were taken away, hopefully, was that SkinnerCell does have particular qualities, which other skincare ranges don't. And that is obviously what Simon's talked about and some of the testimonials we're getting back. But I emphasize once again, this is a cosmetic product. It's not a medicinal product because, you know, there are different regulatory environments for the two, and we can't claim. We're not claiming this has got medical benefits.

31:34 And I'm sorry to be so particular, but it's really important that that we say that. However, the point still stands that we do have a very differentiated product. And, I mean, Sam, I don't know if you wanna put a little bit of science behind that just to emphasize it. But the the point is really well made, and that is the feedback we're getting. And that's how we're differentiating the product. Yeah. That that's that's a safe place to be. But yeah. Absolutely. Yeah. Yeah. That's what I can't do. Yeah. But it's It's a uniqueness, isn't it? Yeah. Doesn't And, I mean, if you can from the company. And if you can truly say none of these other crews, cheaper, more expensive, any of them do this, which I think you can if you can choose your words. I feel that's a very powerful strapline or something.

32:27 Yeah. What what what you're doing in a sense is what we're constantly doing. We're asking ourselves, you know, what are the best messages to get out there in one way or the other? So all this feedback is really useful to us because at the end of the day, you're not only a shareholder, you're a potential consumer. Yeah. And it's the messaging that you respond to, which might make you go on to the website and buy some some product. Yeah. So, yeah, we take it to do now. I know there's no discount for shareholders. Alright. So I I I let me just let me just translate over in case nobody heard. The the gentleman said he might go and buy some from the website now because he he knows there's no discount for shareholders who's gotta pay full price. So so I'd encourage you to do that. Go ahead. But, no, thank you for the observation. There's a gentleman at the back. Yeah. I'd just like to ask a few points about the marketing side, actually. I can talk some more about this in your presentation, which I attended a month ago.

33:30 And I I just like to follow on a bit from the point we've been discussing with Simon because One of my questions, to what extent are you able in marketing to promote the uniqueness of this product? The fact it works on cells and skin under the skin where they are. Mhmm. But, obviously, not taking any risks that you can't pack up. And I think there's a difference, I guess, between saying what you can say about your product and not trying to say what other people's products don't do because, obviously, you don't want to get, you know, lore or something. Yeah. That's right. But, I mean, it is and we like it there. We're not sure if you buy a packet of this stuff, and if there's any sort of leaflet inside the box which describes the characteristics of the product. I'm not trying to say it's better than anybody else's or whatever. Mhmm. But building on the uniqueness that you can genuinely say it has.

34:29 K. So that was, you know, one question. Second question Can I just can we just do the one at a time? Because to the next one. No. It's just I I do need to make sure everybody on the platform can can follow it as well. So the gentleman has just made the observation following on from the previous question, about how do we differentiate the product, how do we get the message out there about the the distinguishing characteristics of our products as opposed to anybody else's, and making the point, I think, very well made that we don't wanna get into a situation where we're trying to compare other people's products and putting them down, if I can use that expression. So I I I don't think that's a very good idea in commercial terms at all. So I think we would all agree with you. It's it wouldn't be our intention. It's not our intention to be taking other products and saying that they don't work as good as ours because I think that's just not a very good way to to approach it.

35:27 And you made the point. We also don't wanna get into any potential legal issues either. So all those things are well made. That points are well made. So you had a second question. Yeah? No. But the extent to which people promote the characteristics of. Skin. Oh, sorry. Yeah. How how can we how can we do more to promote the characteristics? Yeah. Mean, Simon, do wanna Yeah. No. I I mean, it's it's a good it is a good great idea, and it's something that we're we're trying to evolve as we get our messaging right. It's very difficult. You you it's a fine line between suddenly becoming a pharmaceutical, which clearly we're not, and we have to maintain a steady track on the other side of that fence. But, also, you know, standard biological processes are are there for health and disease, and it's the same process that we're actually trying to invigorate and protect. So it is going to protect against disease, and it is going to maybe even turn around certain lesions and those sorts of things as the cell becomes naturally healthy and cures itself.

36:20 So it's not a direct pharmacological activity of our our product, but it is a secondary benefit, which, of course, is quite a big benefit. So it's it's getting that language right that's easy and condensed and not, you know, five minutes of me waffling, but people can understand it very quickly and and and get their head around it. It's actually not that easy to do, but we are absolutely working on it because we need to find out that language. I'm a bit damaged, obviously. I mean, something if I have a product that tells me it actually works actively on the cells in skin Yeah. To stop. I'm not I don't think anybody else is writing that to No. No. Creams or. Mhmm. I mean Yeah. Something that you know you can always support, and this isn't meant to Yeah. You know, cause illegal issues Yeah.

37:07 Competitors or anything else. Yeah. Because to me, that's the key selling point Mhmm. Products. So so, I mean, that that that was one thought. Yeah. Yeah. The second was a really Yeah. Sorry. Just just before you go on to your next phase. So so the gentleman was just emphasizing what Simon was just saying that if we can get those specific messages out, then it's a clear advantage for us. And, clearly, that's something we're constantly looking at. So thank you for that. You had a second question. Yeah. I'll get maybe two more pictures. The second is I wondered if you'd like to comment on how easy it is to really establish a brand through this DTC marketing approach, which is obviously not a think I'm not an expert. This is something my day. It was not a traditional way of establishing a brand.

37:54 If, you know, disability helps to establish brands, Mass advertising, which is obviously something the company is not in a position to do, is the way of establishing brands, etcetera. So I just wondered on you you said any words about how you think the brand name itself really gets out there. Okay. So so thank you. The the the question is about the brand and how do we or how are we approaching exemplifying the brand and using different methodologies. So I'm gonna put Caroline on the spot a bit here, actually. I hope she doesn't mind, but she does come with with a background in exactly in exactly this area. And and and, Caroline, I mean, you probably can't be too specific, obviously, about initiatives we that we haven't announced yet. But can you perhaps give your overall sort of view on on branding and how you build a brand? Yeah.

38:52 I mean, obviously, to start with in the early days, DTC is a very profitable way to go to go forward as we all know. So it's part of our ecommerce strategy around pricing and branding and positioning. And as we said, it's very, very early days at this stage, but you'd want to make sure that, you know, DTC is the space to be in at this stage given the way consumers purchase these days. We've got plenty of evidence and market research that says, you know, ecommerce strategy is is definitely the way the way forward. If you look at how social social media works and the influencers and that whole, you know, ability to get to a much broader audience in terms of targeting, it's the right the right space to be in in in early days.

39:38 And, obviously, we've alluded to only being around for a couple of months. We've got to do a lot of work around analyzing our data, having a look at where we've gone so far, helping us ratify what we're what we're currently doing. And I think Tim alluded to that, you know, advisory group or strategic advisory group to help help us understand around all the points you've mentioned, you know, going forward in terms of getting the right branding, getting the right positioning, and and making sure we're we're on on the sweet spot at at this stage. So, yeah, there's still lots to do in terms of building this brand, but we're in the right space at this point in time. Thanks, Kevin. And that was the last part of the marketing.

40:25 Yes. Let's have one further question. I'm gonna take a few from that's come through on the platform. In fact, you see potentially you get quicker maybe to larger markets. But my my more general question is kind of small company like INCANTHERA really trying to be operating through certain marketing channels at once. You know, there's a big danger that you is there a danger you dilute your real focus by getting too broad in marketing channels you're seeking? And this is just a conceptual question, if you like. Okay. Slightly long. Yeah. Just Well, really, really good question. So let me repeat it.

41:19 The gentleman was just making the observation that we've been describing various routes to market in addition to direct to consumer. And being a small company, that is obviously gonna take time and effort in terms of developing those other routes. And do we consider that we've got enough resources, essentially, people resource, I think you're talking about, more than anything, in order to not take our eye off the ball of the the underlying business. Actually, it's a really, really good question. The the way I would answer it is we are what I would call a virtual company. We've always been a virtual company. In fact, you know, this is the company that you can see in front of you on this top table. And we leverage outside resources.

42:04 So in the same way that in this room today, we've got a couple of our advisers, and we we talk to them and their advisers, and we we take input from them in various ways. You know, we're not legal experts. We're not regulatory experts, for example, just to give two examples. So that's why we we contract those services in, if I can put it that way. And in the same way, when we're looking to to do things other than the DTC, which is what you're referring to, then we get the right resources alongside us. And we motivate those resources in terms of, you know, the way that we put those contracts together. And I think when we launched the DTC, we we we did quite a good description of the agency that we appointed to help us to build the website and do the the the social media campaign, etcetera. And they're motivated because they they get a a commission on sales. Yeah.

42:59 So they can bring all their people resources in. It doesn't cost us anything in in sort of financial terms unless until they're successful and, you know, they're they're selling the product, which we are obviously through the DTC website. And in similar ways, we can work with outside resources and do similar contracts like that such that we leverage outside resources. But it doesn't mean to say that as a company, you know, we're spending lots of money on retainers and and money which, you know, we we can put to use elsewhere, frankly. Yeah. So and it's a model which I think works in the sense that everyone then has a share of the upside, and everyone's motivated to make it work. So and that's why I said it's a really good question because it's yeah. This this is us. What you see here up on this table is the company.

43:52 And it's it's it's it's difficult sometimes to get your head around, well, how are these guys gonna do all this stuff that they're they're promising to do? Well, because we leverage off some very, very clever and well connected people outside of our business. Yeah. It's as simple as that. I'm gonna take some questions from the from the platform if I can pick one up. There's one here actually. How much of an issue is a 39% US tariff on Swiss exports to The US? Interesting one. We'll see how president Trump gets on with the Supreme Court and his his tariffs in the next period. But we it sort of prompts the the answer that it prompts is that if if you've been onto the website to just have a look or if you've been on the website to to buy any product, you'll notice that we took the decision fairly early on to pay for any tariffs if there's, you know, goods going to The US.

44:52 So it it is the fact that we are exporting from Switzerland because that's where the stock is that is liable to that 39% tax, which is is pretty pretty high tax, really, unfortunately. But we've we've we've decided pretty early on that we would take that that tariff and we would absorb it. And also anywhere else in the world, it's it's post free as well. And those are two two decisions we took fairly early on such that people didn't need to worry about it, frankly. And and the way that the Trump administration are with tariffs, you really don't know what they're gonna do next or not. So just making the the statement to say that we would absorb the tariff and and the postage is well within the margins of of the products and what we're selling it for. So that isn't an issue for anybody buying from The United States.

45:42 Let's see what else we can see here. In fact, we're we're covering a lot of the questions, if not all of them that are on here in in the room already, actually, or we've already sort of some of them are presubmitted questions, which we've addressed already. Right. Yes. And this is sort of this is an interesting one. It reflects some gentlemen in the room as well. So let me read this out. It's from Martin h. Observation rather than a question. My wife says that the hand cream's the best she has ever used. She's demanding that I buy some more. Any shareholder discounts? That's nice to have that. Thank you, Martin.

46:33 Okay. The the actually, there's not that there's not too many questions on the on the on the board at the moment. So if if if anybody's listening and wanna put some up, please do. Let me put it back to the room. Do we have any other questions from the room? I've got some. Yep. Go ahead. I have tricky one. Okay. So we got we got a tricky question coming in. I've always called this stuff skin plus cell. Uh-huh. Because tonight, I practice because I'm an engineer. That's what it says. Uh-huh. I just tested to make sure it hadn't changed. I've just googled skin plus cell. Nothing. Lots of stuff about skin and cells. And I've got suspicion Google is treating it as a logical operator and all that. Exactly.

47:23 I then put in skin and cell, and about third or fourth Yeah. Not top, was your website. So at least it worked. Mhmm. And, of course, a third thing it could be is skin ampersand cell. Now I've I seriously wonder whether this is the right brand to conquer the world with. Whether it's too late to change it. I like it in print Mhmm. Because the plus gives you this sort of medical thing that I'm not allowed to say. Mhmm. But which is clever. It's deliberate. But I don't know what you think about that. Thank you. So the observation sorry. Question was about the brand and the name, skin plus cell.

48:17 You say it plus. You all say skin and sell, aren't it? Yeah. We we do, actually. That's that's a good that's that's a good point. We do say skin and sell, but the brand is skin plus sell. And you went on to say that it's it's not coming up in the Google searches and everything else as as easy as as it could be. Recognized. Yeah. Represent. Yeah. Exactly right. Yeah. It's it's it's it's a really good observation because it's something which we are aware of, and we're we're looking we're working with the agency actually to to to get that, you know, the the Google search engines going and different ways. I'm not a technical IT guy myself. So if I'm talking rubbish, Simon, please say so. But we are we are working with them to to to address that such that when you go onto a search, you know, we come up up higher on the list. And so it's it's something we've already observed.

49:13 But your your question was, can we change the brand? Can we change the name? Yeah. Before it's too late. Right. Well, I think we're already committed to it, if I'm honest. And and it's been taken generally, I mean, apart from that technical point you've just made, it's been taken very well as a brand, actually. So I don't think we we want to be changing it as such. We just need to get at the technical bits such that when people search for it, then it comes up, you know, higher up the list. We've got to put in. So Yeah. Simon, do you you're better at this than I am actually. You're right. Absolutely what you said. And you're right. When you put a plus sign in, Google treats it as as a as a as a formula, essentially, as a logical statement, and it looks for both words. Anything with you. Skin and the two different words in. Yeah. And and we do you're right. We have to we have to retrain Google to do that for that particular thing, which takes time. Brilliant idea.

50:05 It was skin to sell. That's still what it does. And the tea could look a bit like a plus. Okay. We got we've we've we've got some we've got some live an engineer. An artist. We got a gentleman in the audience who's who's who's who's professed to be or confessed to be an engineer, and he's coming up with some ideas about how we can rebrand and call it skin to sell. And the t in the middle could look a little bit like a plus. Yeah? Okay. Alright. We'll take that off board and see what we can do with it. Okay. We're gonna gonna question at the back. Yeah. Just a question about some products. Are you considering doing a bundle deal of your products that you brought to Christmas or any other events?

50:55 Or might that be a way of sort of broadening your reach. Is that coming from you or your wife? Sorry. So so the the the question the question is, we looking especially with Christmas coming up and different events coming up, are we looking to do deals in terms of bundles and discounts and other things. The short answer to that is yes. We are. We're looking at at all of those sort of promotional type things. And whilst I'm not gonna say right here and now what we're gonna do for obvious reasons, I think keep your eye on the website, especially if you're buying for your wife coming up to Christmas. But we we are we do have in mind some promotional activities. Yeah. We definitely do.

51:44 At the back. Yeah. Can you say anything about what sales in Asia and how that will develop? And could you say if there was a need for further funding, is it just short term cash flow or is it to expand the product line? What what sort of things you'd be looking to spend and how how you would go about that? So two questions, Ed. Completely different, I think. What is what are you know, how how are the sales going in Asia, and how are we looking to to move into that area? That's one question. The second question was about cash flow and funding. So let me just take them two apart. So two completely different questions. We are we have launched the DTC globally, and the the campaign the social media campaign, all of that is is rolling out and it's building, you know, its presence.

52:31 So, you know, that does obviously, if it's global, it's out there. Anybody can can access it. And what we're finding and I say we're not gonna give details today. What we're finding is that it's you know, the campaign is working very well in certain geographic areas, and there are others that we need to do a little bit more. But, certainly, Asia is very much a target market for us because this type of luxury premium skincare is exactly, you know, what that geographical area do do concentrate on. They've got the disposable income to pay the surprises, which, you know, we're we're charging. So it's absolutely in our sights. So I'm sure you'll see a lot more developments on that geographic area, you know, in the future. The the second question, I'm not quite sure if they were connected or not and why we were suddenly talking about funding, but let me say, absolutely, we not intend to be going out to raising any more new funds in if that's what you're talking about in terms of equity funding.

53:31 And, clearly, the cash flow is gonna be coming from the revenues coming in. And, you know, we're looking forward to becoming a revenue generating profitable company and generator in cash flow. Now if I may take your question and and and sort of develop it myself in in a way, there is the opportunity as we expand, and we obviously have to fund new campaigns and manufacturing campaigns to utilize nonequity types of funding. So this could be trade finance, for example. It could be similar things. And that is something we've talked about previously, and it's certainly something that, you know, we will utilize in the future. It's it's a way again, it's a slightly different way of explaining our virtual model, but where we we can leverage people resources, if I can put it that way, by asking people to do this for us.

54:26 You can do that in a financing sense as well. And and what we need to find is the right source of financing, which is at the right cost, but something that is not dilutive to shareholders for obvious reasons. Yeah? And the advantage that we have is we have very good margins in our products. So, you know, the cost of manufacture is is relatively small versus, you know, what we're selling these out at. So we've got lots of margin in which we can afford to pay financing costs because if we drive this forward with greater volumes, it's the volumes clear that's going to drive the revenues and the profits. So taking a little bit of that to get some external funding in is is sensible. Yeah. I hope that answers your two questions. Yeah.

55:12 Okay. I'm just having a look on the board if there's any more, but if there's any more questions in the room let me have a look. Actually, no. No. No. I I think we've addressed questions on the board unless anybody else gonna post in the next few minutes. Any more questions in the room? Observations? Study, but we're on the front. I'm a chat now. Yeah. We can Okay. We can chat. No worries. We'll be here afterwards. Have a cup of tea, and you can actually try the the product. We've got some samples here, which you can take away as well. So that might encourage you to go onto the site and and buy some more. I'm already encouraged. Not you.

55:57 You go by. Yeah. Yes, Joe. Not you. Okay. One one last shout. Any more questions before we bring it to a close? So I suppose just one observation Yep. On your Internet question about this mice. Yes. I have been dermatologist recommended I should put cream to treat a condition like that. Okay. I've tried various creams over the last twelve months, and none have produced any benefits at all. Mhmm. So I decided to try the face cream from Skin and Cell. K. And it has produced a healing effect on it's the only cream that's produced any benefits and healing effect on the conditioner. Okay. So I just follow-up endorsement from Thank you very much. No. It's great. Yeah. And, you know, I always feel that shareholders should try the products. Yep. Okay.

56:52 Yep. Sorry. You're very encouraged. I'd like to build on that because I'm actually now started to use the. Yes. I've Which is. Never used any of these sort of things myself ever in my life until now. But, again, it's clear that marketing can match. Cannot be forgotten about the guesses that one. Absolutely. No. No. No. This cream the design of the cream is for everybody. It is it's encouraged, Trevor. With your direct to market campaign, do you expect to reorder from your Swiss or Italian manufacturer before the end of the financial year? Okay. Alright. Let's just do this one at a time.

57:40 I'm I'm I'm not gonna fall into that trap, but I'll I'll I'll I'll come back to it in a moment. So, again, for the benefit of people on the on the platform. So we've had a couple of gentlemen in the room, very kindly actually giving us some really positive feedback. So the first gentleman was telling us that he under the advice of a dermatologist, he's been using various creams for a condition that he has without much success. But he's used the face cream recently for the same condition and found a benefit and Healing effect. A healing effect. I'm I'm I'm quoting his own words now. A healing effect for his condition. And so that's really, really I mean, on a personal level, I'm I'm really pleased for you.

58:25 But it's it's a really good, you know, immediate feedback. So thank you. And then another gentleman in the audience, correct me if I'm wrong, I think you've you've been using it for actinic keratosis, did you say? Or have a keratosis which was treated separately or something. Mhmm. Right. Starting to use this. Right. It's too early to say. I was making the point. It's also men who use it. Yes. Yes. Okay. Yeah. Yeah. Okay. So the gentleman's point was that he'd been treated with keratosis, and then he he gone on to use our cream. And the the you're finding benefit from that.

59:13 Well, bit early, might say, but it's certainly you certainly you're certainly using it and and liking it. But the other point you're making, which is a good point to make, is that this is not a product which is just be seen just for women only. And the two these two gentlemen in the room have just given us this feedback. And we like to emphasize that. We we like to emphasize that there is no there is no distinguishing of from anybody, from ethnic groups, from skin types, from skin colors, from gender. This is a product for everybody, and you've just exemplified that point. Just before I go to Jen from the back, there was a follow-up from your question. Just I I I would like you to answer it. Oh, sorry. Ask the question again so I can respond. But the the question, the the little bear trap you were trying to you're intending to place a further order with your manufacturer before the end of the financial year. Right.

1:00:11 Okay. I can see where this is coming from. So the question is, are we intending to place another order with our manufacturer in Switzerland before the end of the financial year? Yeah. That was the question. I'm clearly not gonna answer that, but I can see I can see why you've asked it. And I think I'm gonna go back to what I said much earlier on in the meeting that we will be giving relevant trading updates and and as we go forward. So but forgive me if I can't answer the question. But I thought it was important that everybody could hear your question and my response, if you don't mind. So we've a question at the back, I think. It's an observation only, really. Would the company company consider engaging these two gentlemen as influence? So follow us. The observation was, can we get these two gentlemen in the audience to be promoting our products as influencers? So we'll have a word with you over a cup of tea afterwards, Joey.

1:01:11 I think we're coming to a natural conclusion. There aren't any more questions on the bulletin board side. Not bulletin board, the the the platform. There's no more questions. I think we've exhausted all questions in the room. So it just remains for me to say a very big thank you, all of you here today, for taking the effort, get on the trains and buses and whatever it is to to get here. We really do appreciate it, and we're here to chat to you after we close the meeting down. But, also, a very big thank you to everybody who's logged in to the platform. I hope you've got something out of today, and please put more questions on the board. I think that facility is there to to follow-up with questions if if there are any, and we'll address them, you know, in in the next period. So with that, thank you all once again.

1:01:58 I'm gonna hand back to the platform. Are you