• Total Revenue (2024): Approximately $8.5 million, up from $5.6 million in 2023.
• Q4 Revenue (2024): Approximately $1.6 million, up from $0.6 million in Q4 2023.
• R&D Expenses (2024): Approximately $16.6 million, down from $20.8 million in 2023.
• Q4 R&D Expenses (2024): Approximately $3.4 million, down from $5.5 million in Q4 2023.
• G&A Expenses (2024): Approximately $7.4 million, up from $6.1 million in 2023.
• Operating Loss (2024): Approximately $22.2 million, down from $26.5 million in 2023.
• Q4 Operating Loss (2024): Approximately $4.6 million, down from $7.6 million in Q4 2023.
• Net Loss (2024): Approximately $18.1 million, down from $26 million in 2023.
• Q4 Net Loss (2024): Approximately $5,000, down from $7.3 million in Q4 2023.
• Cash and Equivalents (Dec 31, 2024): Approximately $15.3 million.
• Cash Usage (Q4 2024): Approximately $4.6 million.
• Financing Income Net (2024): Approximately $4.2 million, up from $0.5 million in 2023.

• Warning! GuruFocus has detected 4 Warning Signs with EVGN.

Release Date: March 06, 2025

For the complete transcript of the earnings call, please refer to the full earnings call transcript.

Positive Points

• Evogene Ltd (NASDAQ:EVGN) reported a significant increase in total revenues for 2024, reaching approximately $8.5 million compared to $5.6 million in 2023.
• The company successfully addressed a bottleneck in seed production, with Castera delivering 250 tons of Castor seeds in February 2025, surpassing the total delivery for the entire year of 2024.
• Evogene Ltd (NASDAQ:EVGN) has established a collaboration with Google Cloud to develop a generative AI foundation model for novel small molecule design, enhancing its capabilities in drug discovery.
• The company has implemented an expense reduction plan, resulting in a 30% reduction in headcount, which is expected to reflect positively on financials starting Q1 2025.
• Evogene Ltd (NASDAQ:EVGN) achieved a significant milestone in its operational expansion by completing the first shipment of over 100 tons of Castor seeds grown and processed in Kenya.

Negative Points

• The change in the delivery schedule of Castera seeds from 2024 to 2025 led to lower-than-expected revenues in Q4 2024.
• Total R&D expenses for 2024 were approximately $16.6 million, although decreased from 2023, they still represent a significant portion of the company's expenditures.
• General and administrative expenses increased to approximately $7.4 million in 2024, partly due to one-time expenses related to fundraising and a provision for doubtful debt.
• The company reported an operating loss of approximately $22.2 million for 2024, despite increased revenues and decreased R&D expenses.
• Evogene Ltd (NASDAQ:EVGN) did not provide specific cash burn guidance for 2025, creating uncertainty about future financial stability.

Q & A Highlights

Q: What is your expected cash burn for 2025, and why was it not disclosed earlier? A: Our expected cash burn for 2025 from operations is anticipated to be between $6 million to $7 million. This does not include any cash inflow from potential sales of one or more of our subsidiaries. - Yaron Eldad, CFO

Q: How advanced are the exit efforts for your subsidiaries, and how many are under consideration? A: While I can't disclose specific details, both our new Chairman, Nir Nimrodi, and I are focusing heavily on these efforts. There is significant interest in our subsidiaries, and we are optimistic about potential strategic opportunities. - Ofer Haviv, CEO

Q: Regarding Castera's expected initial sales in Brazil in 2025, will these be from seed or oil sales, and what type of business is the potential customer in? A: We plan to focus on seed sales and conduct proof of concept field trials to demonstrate the quality of our variety. There is a strong demand for Castor grain in Brazil and Kenya, and we are in discussions with crushing factories for potential grain sales. - Ofer Haviv, CEO

Q: What is the sales goal for Yallos in spring wheat and soybeans? A: While we haven't disclosed specific sales goals, we see growing interest, particularly in soybeans, due to higher margins compared to wheat. We are optimistic about better sales than the previous year. - Ofer Haviv, CEO

Q: How should we think about the magnitude of Castor sales in 2025, and what is the shelf life of Castor seeds? A: Castor seeds have a shelf life of a few years, allowing us to maintain inventory comfortably. We expect a strong first quarter with 250 tons already delivered, but anticipate more sales throughout the year. - Ofer Haviv, CEO

For the complete transcript of the earnings call, please refer to the full earnings call transcript.