#Sweden #Stockholm #Nevisense #SciBase #Castle Biosciences

SciBase Reports Growth Amid Losses in Q3 2025

In its recent interim report for the period spanning January 1 to September 30, 2025, SciBase has reported net sales of TSEK 10,339 for the third quarter, reflecting a significant increase of 23% compared to the same quarter last year. When adjusted for currency fluctuations, the growth is even more impressive at 29%. Despite these positive sales figures, the report highlights ongoing financial challenges faced by the company.

Financial Highlights

The financial specifics show that the loss after tax stood at TSEK 18,832, which is a slight increase from TSEK 17,753 in Q3 of 2024. As a result, the loss per share was reported at SEK 0.05, improved from SEK 0.08 a year earlier. One notable downside is the cash flow from current operations, which remained negative at TSEK 17,287, slightly higher than the negative cash flow of TSEK 16,745 during the same period in the previous year.

The gross margin took a hit, falling to 60.0%, down from 75.7% in Q3 2024. This decline can be attributed to several factors: adverse currency developments, a higher number of devices sold at no cost in Germany, increased gold prices, and temporarily reduced production yields due to the incorporation of new employees.

Growth in Electrode Sales

In a positive development, SciBase's electrode sales volume surged by 24%, totaling 21,278 units compared to 17,210 units last year. Additionally, repeat sales from existing customers displayed a remarkable increase of 33%. This growth trajectory is vital as it indicates solid demand and customer retention for SciBase's products.

Looking at the first nine months of 2025, net sales reached TSEK 27,987, a year-on-year increase of 33%, translating to a 38% rise when feeling the effects of currency fluctuations. However, the loss after tax during this period ballooned to TSEK 72,932 from TSEK 43,663 the previous year, illustrating the financial strain despite soaring sales.

Key Developments

The report also highlighted significant developments in Q3. Notably, sales in the German skin cancer segment saw a 17% increase, and the U.S. market for skin cancer solutions experienced a staggering 97% increase when outlined in local currency terms. However, sales within the skin barrier segment suffered a drastic 65% decline due to a substantial order from the NIH in Q3 2024 that skewed comparisons.

In terms of strategic advancements, SciBase received its first order for clinical studies to be conducted in collaboration with Castle Biosciences, valued at approximately $0.8 million or around MSEK 8, with deliveries set to begin in Q4 2025. Additionally, a new clinical publication in Karger Dermatology affirmed the effectiveness of Nevisense in fundamental skin barrier research on atopic dermatitis, further solidifying the company's position in dermatological innovation.

Newly added clients such as the Palm Beach Dermatology Group placed an order for six Nevisense units, while the company also initiated a pilot project at a leading university in Southeast Florida, showcasing its expanding footprint in the U.S. market.

Strategic Direction and Future Outlook

The report revealed plans for continued expansion post-reporting period, including an increased collaboration with Castle Biosciences, leading to a new licensing and loan agreement. Additionally, the SciBase Board is poised to propose a rights issue of approximately SEK 83 million while managing ongoing financial commitments.

Despite the losses, SciBase remains committed to enhancing skin health management through its innovative Nevisense platform, built on over two decades of research from the Karolinska Institute in Stockholm. As the company continues to navigate its financial landscape, its ability to innovate and capture market demand will be crucial to its future success.

Through strategic partnerships and new product rollouts, SciBase looks to stabilize its financial standing while bolstering its market presence in the growing dermatological field.