CLGN

• The field of regenerative medicine saw a milestone with the FDA approval of the first lab-grown blood vessels. - The photocurable dermal filler is in the preclinical phase, targeting a $6.3 billion market with a 10% compound annual growth rate, and received positive feedback from aesthetic medicine leaders. - Collaboration with AbbVie: AbbVie is collecting data on dermal and soft tissue filler clinical trials initiated in 2023, and CollPlant received a $2 million payment in February 2025. - The regenerative breast implant is advancing preclinical testing of 250cc commercial-sized implants, showing promising outcomes at 6 months post-implantation with no complications. - VerGenix STR product is expanding its distribution in Europe and Asia for treating tendinopathy, with a market potential in sports medicine tendon injuries.

• Plan to potentially launch a clinical trial for the photocurable dermal and soft tissue filler within two years. - Continue to optimize the characteristics of the regenerative breast implant and its clinical protocol to be ready for a clinical trial. - Extend the distribution network of the VerGenix STR product in Europe and Asia. - Broaden the product offerings of bioinks to support various bioprinting technologies. - Expand the sales of RH collagen to selected customers. - Continue to advance the dermal filler program with AbbVie and pursue potential partnership discussions.

For the fourth quarter ended December 31, 2024, revenue from RH collagen product was $164,000, contrasting with $299,000 in the same period of 2023. GAAP revenue for the full year 2024 stood at $515,000, down from $11 million in 2023. In February 2025, CollPlant received a $2 million payment from AbbVie related to the dermal and soft tissue filler program. The company is expanding the distribution of VerGenix STR in Europe and parts of Asia for the treatment of tendinopathy, with the market for tendon injuries having a potential range of 1%-3% of the population.

• Uncertainty exists regarding AbbVie's progress in clinical trials and potential milestone payments. - Delays in regulatory approvals for VerGenix STR in European and Asian markets. - Competition in the regenerative medicine and aesthetic markets could impact product adoption.

Q: When would we potentially get an update from AbbVie on the studies that they are doing and in 2025, should we expect any milestone payments?

A: AbbVie is collecting data and reviewing interim results from the first cohort of patients in the dermal and soft tissue filler clinical trials. Next steps for the program will be determined by AbbVie upon complete assessment, and we can't estimate when another milestone will occur.

Q: Very recently, you expanded your distribution channels for the VerGenix product in Europe and some parts of Asia. What's the market there for this product? And how should we think about revenue flow from this relationship?

A: The market for VerGenix STR is in sports medicine, targeting tendon injuries such as tennis elbow. The market potential is 1%-3% of the population. It's in the initial distribution stage with regulatory processes, and we expect sales in the next year as it offers a better treatment option than steroid injections