Good day, and welcome to the Q-linea Q2 2022 earnings call. All participants will be in listen-only mode. Should you need assistance, please signal a conference specialist by pressing the star key followed by zero. After today's presentation, there will be an opportunity to ask questions. To ask a question, you may press star then one on your touch-tone phone. To withdraw from the question queue, please press star then two. Please note this event is being recorded. I would now like to turn the conference over to Jonas Jarvius, CEO. Please go ahead.
Thank you very much for that introduction, and welcome everyone to our Q2 earnings call. I think we'll start jumping directly into the presentation, and we move to slide number two, where you can also, of course, read our disclaimer slide. That is in case me or Anders will make any forward-looking statements. Having read through that, I'll suggest we move to slide number three, where we have a high-level summary of the second quarter. It's truly been an amazing quarter for Q-linea. I mean, as you know, we are working hard to develop disruptive solutions for faster infectious disease diagnostics. Our first product is targeting sepsis, and I will briefly give an overview of ASTar over the next coming slides.
The team working at Q-linea have 175 employees and consultants are slightly lower compared to the last quarter, and I will also comment on that at the end of the call. Looking into the activities during the second quarter, we have been exhibiting ASTar. Of course, our partner, Thermo Fisher Scientific, has done that as well, both ECCMID and ASM, and they have been very successful. We also achieved the breakthrough device designation for ASTar by the FDA. That is, of course, a great testament to what we are doing, what we're developing, and the impact that could have for patients with severe infections. We also followed that up with submitting the 510(k), the application for getting market access in the U.S. market to the FDA in the beginning of June.
As you know, Europe is also moving into a more stricter regulatory environment with the IVDR coming up, replacing the IVDD that we have had in the last number of years, and we received that certification for that for instance, in May. Also, looking at other products, Podler, which is tremendously successful in gaining interest at both ECCMID and ASM, received a letter of intent regarding that as well. That's, of course, also very positive. We do see there are long sales cycles for these type of equipment. The interest is huge, but we need to pass a number of gates. Looking at where we are right now, we are still standing by our earlier sort of estimates for this year. If we then move into slide number four, just briefly look at sepsis.
I mean, it's the most common cause of death in our hospitals. It's more common than the primary causes of cancer, as we see, even if you take lung, prostate, and breast cancer combined. It accounts around 30% of all death in our hospitals. Also, a septic patient moving from sepsis to septic shock will be treated in intensive care bed, and that's an expensive treatment, of course. It's actually the most expensive condition to treat in the United States. Of course, the key here on why we are working at Q-linea to try to improve the diagnostics is that time to correct treatment is critical. Sepsis is caused by an infection somewhere in the body leaking out to the bloodstream, causing an acute overreaction of our immune system. Of course, you have to treat the underlying infection.
You do that with providing the right antibiotic for that particular bacteria. However, if you're on the wrong treatment and you're moving into septic shock, the overall survival rate decreases with over 7% every hour on the wrong treatment. Of course, time to actionable result is what really matters for these patient groups. If we have a look at slide number five, this is just a high-level overview of how we can save time compared to the current traditional diagnostic workflow for sepsis. We don't have time to go through it at this call, but on the top part of the graph, you can see a number of steps, I mean, every gray circle, extending over several days, and that's different when you start treatment and the green circle when you can actually have an actionable effective treatment.
That currently takes too long. ASTar can cut that time off dramatically. We do a fully automated AST within six hours, and it only takes two minutes to load the sample, meaning that anyone in the lab can do it at any given time point. Also, as you can see in the top part, what we have seen now, when you can save time in AST, the next really big bottleneck is transportation time for the blood culture bottles. Typically, they are taken at the site of the bed, where you have sampled the patients, but they now need to be transported to the central microbiology laboratory, and that can take 10, 12, 14 hours. Of course, during that time, nothing happens with the sample.
Podler instead uses all that time in the diagnostic workflow and can then dramatically help saving times also in this step. Today, we'll focus on ASTar. If we look at slide number six, these are three independent health economic studies that have looked into what if you can save 24 hours in providing the correct antibiotic for a septic patient. The effects are quite astonishing. I mean, reduced mortality, also less pressure for resistance and superinfections. This is, of course, if you can move away from a broad-spectrum treatment that really drives resistance development in the patient and of course also in the hospital and society. If you can move that to tailored narrow-spectrum treatment, you reduce that pressure. Then also cost savings. I mean, this patient group are most commonly DRG or lump sum reimbursed.
If you can save time in these expensive intensive care beds, you can save a lot of money for the hospital. This study showed that on average two days could be saved in intensive care beds. I think when we look at the positive outcomes for applying rapid AST is of course, for the patient with reduced mortality, for antimicrobial resistance, you have less pressure for that. Of course, for the hospital you have cost savings. Of course, we are now moving into coming closer to start our health economic study, and we of course would like to demonstrate this value with ASTar in clinical settings. We'll have to come back to you on that.
If we also have a look at slide number seven, this is just the four pillars around what we designed ASTar to be actually, and we did that with our customer. It needs to be easy to use. I mean, the only way to implement rapid diagnostic in my opinion, is that anyone should be able to run the sample, should be integrated in the workflow, and it should have very hands-on time. ASTar also supports a random access workflow, so you can start the sample anytime you have free capacity in the system. Of course, the AST itself needs to be fast, around six hours at a high throughput. You can run 12 patient samples in parallel.
For those who have followed us more carefully, you can see that we also have the ability to be much faster than this, that we have demonstrated in papers. We'll see if we bring that capability to ASTar. To me, when we look at the right, I think one of the most important part here is to be comprehensive, because as you know, sepsis can be caused by hundreds of bacteria, and they have different type of resistant mechanisms. You need to address them with very different type of antibiotics. With a broad panel coverage, the likelihood of finding a successful treatment for each individual patient of course increases. Apart from that, ASTar also covers both fastidious and non-fastidious bacteria. That really brings a broad coverage also on bacteria side. Accuracy, you need to trust the results.
ASTar delivers two MIC values, and MIC is the concentration that kill or inhibit bacteria growth. We can do that over a very wide range at a high reproducibility. If we then move into slide number eight, this is just a testament from Uppsala University Hospital. They have been using the system, and they really feel that they can save time in their staff. It's easy to work with and to integrate in the workflow. I think that's also very positive. On the next slide number nine, we can see results from our CE-IVD study, the European study, where you can see that we exceeded all criteria needed to have the product certified in Europe. On the lower right, you can also see that the coverage when we compare it to the other two fully automated systems on the market is very broad.
This of course is actually the broadest panel when looking at combination of microbials and dilutions in the world today. We move to slide number 10 instead. This is just looking at throughput. We have really designed ASTar to be suitable for medium size and up hospitals where you have higher sample throughput or high need for sample throughput. We can run up to 12 patient samples in parallel. We've also designed ASTar, as you can see to the left, to be either running fully automatic mode as for sepsis, but you can also run it in semi-automatic mode just loading the disk, of course, at different price points. If we move to slide number 11, I mean, we at Q-linea are not just focusing on ASTar.
We are actually looking at the entire workflow for septic patients or patients with severe infections. From left to right, we now have Podler in development. That could really be a disruptive step of using transportation time instead of wasting it, that we think can be a big shift in the way we look at blood culturing into the future. In the middle we have the identification part. Those of you who have followed Q-linea for a long time, you also know that we have proprietary, highly multiplexed ID capabilities that can actually perform the identification directly from venous blood. That was demonstrated on patients a number of years ago, but we are still looking for what's the right appropriate time and to put ASTrID into development.
That was a system that I would say was too early for its time, but maybe time is catching up slowly but steadily. To the right on the susceptibility testing, we have ASTar of course, focused now working with the U.S. market, hoping to gain market access there. Broadening the test menu on ASTar. We also have the ASTar system, which is a development platform where we can do ultra-rapid point-of-care testing for urinary tract samples. The technology we have at Q-linea is covered by 24 patent families, and we truly believe that looking in the five, seven-year scenario, we have very many interesting things to bring to the markets.
When we talk about the market, if we move to slide number 12, I mean, you know that we have a very good reference for standardized susceptibility testing. That's the Thermo Fisher Scientific Sensititre platform, which everyone needs to compare to, and that's a great system. When we look at the world and see the change moving to rapid AST, of course, we'll also need a rapid AST reference. Our goal is to bring ASTar to that position. What you see when you compare ASTar on the top graph here with the orange dots for three different bug -drug combinations, you can see 10 independent samples and you can see a reproducibility. Ideally, they should all be on a single line, then you have sort of perfect reproducibility.
ASTar performs very, very well. If we then compare that with a current Sensititre platform on the lower part of the graph, also performed by the European reference lab, you can see that the spread is much higher. This is probably caused because it's a more manual process where you have more steps involved. We really would like to see what ASTar can become into the future for rapid AST. Also for those of you who know that you run rapid disk diffusion, for instance, you know that pip/tazo is an inherently difficult combination to run. All very often have areas of technical uncertainty on pip/tazo, which is a common bug -drug, while ASTar performs very, very good on that. Saying that, we're moving on to slide number 13, and we'll focus much more on the actual quarter.
I would say the highlights for me was, of course, incredibly successful trade shows. We presented ASTar both in Europe and in the U.S., and of course, our partner, Thermo Fisher Scientific, did the same. We had the booth very close to each other, so we can actually have good traffic coming from our booth to Thermo Fisher's and vice versa. We had a high number of leads, performed demonstrations basically all day. There was a large interest from potential customers, also larger institutions, but also strategic companies were quite frequent in our booth. We do see here that, as we said, the sales cycles are long, but the generated interest at these conferences will, if we are successful, be turned into good commercial opportunities during next year, beginning of next year.
We also, of course, in our booth, not only presented ASTar, but also the entire ecosystem of Podler and also our tentative new product to run isolates separately, at a lower cost. Podler basically went viral. We had a lot of traffic, recurring traffic that has seen Podler and just never could believe what they, the simplistic use of it and what it could transform for blood culturing. Extremely positive. As we've said before in the opening of our call, we still stick to our sales estimate. It's more of a back-loaded year, but, we are doing a lot of successful evaluations, and I think that looks really promising for the future.
If we then move to slide number 14, of course, as you know, our main system, ASTar, we have the Breakthrough Device classified during the first quarter, moving into the market application June 9th. Of course, now we are waiting, working with the FDA, and of course, are looking forward to market approval of that system. We move to slide number 15. We can also see, looking more into the ASTar system, we achieved the IVDR status in May, and we have been working for many years towards this. This is a big feat to meet, actually. It's a big milestone for us. The next phase is then, of course, to cover the entirety of the company, which is planned now during the autumn. Also, we sent a press release receiving a letter of intent for Podler.
First step is, of course, to validate technology. We cannot and will not comment on from where we received it, but I think it's also positive to see that the Podler is moving slowly but steadily, not just in development, but also in the potential commercial path. On slide number 16, I think we have seen sort of a pivotal point now in the company development. I mean, we have been growing for 14 years. I've been part of that journey since we started. Historically, of course, we have been using consultants in the company to handle either peak load or reach specific milestones. We met two of these very big milestones here during this quarter with the IVDR submission, the 510(k) application. We now actually are starting to see a reduced use of consultants in the company.
We're also seeing a lot of that knowledge that they bring to the company has now been transferred to in-house staff. We're actually changing trajectory, looking at costs for consultants primarily going forward. Also, looking at this year, as you know, we secured a large amount of components for ASTar at the end of last year, and that was, of course, due to the difficult supply situation in the world. We have been very successful in that, been able to keep our deliveries, but we've also been able to handle that peak, and we don't see the same cost coming up to build stock as last year. Also very positive in that development.
If we then move to the last part of my presentation is, of course, a little bit of comments about the corona pandemic. I mean, as we know, we are gonna live with this virus now for a long period of time, maybe forever. We currently don't see any real effects on operations. As you know, the new variants are coming up, the 2.5 and so on. We are working on the new normal situation, but we're following it extremely carefully. Future possible effects, one of course, might be driven by customer effects on that, access to hospitals, but so far we see it's a manageable situation.
Of course, the shortage of components are still at risk, although I think we have managed that situation rather successfully in the company, and we don't see that as a major risk drivers. Of course, expense levels and financing strategy might be linked to that as well. With that, I will more or less move from my part of the presentation. On slide number 18, I will hand over to Anders, the CFO of the company, to go through the income statement. Welcome, Anders.
Thank you, Jonas. I have a couple of slides with the highlights of the financial data that was submitted this morning in the Q2 report. I start on slide 18. The net sales for the second quarter were SEK 4.1 million, and we have expensed goods to an amount of SEK 10.4 million. Operating results was SEK -73 million and compared to same quarter last year was SEK -68 million, so difference of SEK 5 million approximately. We have a loss after tax of SEK -74 million. Earnings per share were SEK -2.53 this quarter. If I move to slide 19, and then we compare. That's the balance sheet. We have basically three assets on cash equivalents.
We have SEK 19 million in the bank account compared to SEK 15.1 million, and that comparison is with the end of last year. End of December 2021 is the comparison. We have short-term investments in interest funds of about approximately SEK 100 million, whereof short-term non-current bonds are the majority of that 3/4 of that amount. We have bonds which are non-current of SEK 94 million, and we have an inventory of mainly ASTar and consumables and raw materials of SEK 18.7 million. We have decreased inventory by SEK 10 million since end of last year. We have a write-off of SEK -4.9 million which is on par with what we had by the end of last year, was SEK -4.7 million. Moving to slide 20, that is the cash flow for the second quarter.
We had cash flow from operating activities was SEK -69 million compared to SEK -45 million same quarter last year. The difference is we have less favorable changes in the working capital compared to the same quarter last year. We have a SEK 5 million lower operating result, as I mentioned in the income statement slide. Investing activity, we have SEK 73.3 million, and that is we are divesting short-term interest fund in the quarter to finance our operations. We have done some investments in production equipment of SEK 7.3 million in the quarter. You see the comparison of last year, we have SEK -203 million. That is due to the fact that we had rights issue in the second quarter last year, and we invested the liquidity from that rights issue.
We invested that in bonds and short-term interest funds. That is why the comparison number is SEK -203 million. Last but not least, we have financing activities of SEK -40 million, and that is repayment of loans. Now those loans are fully repaid. As I mentioned before, the same quarter last year included the rights issue. With that said, we have available funds, working capital of SEK 213.8 million compared to SEK 347 million by the end of last year. That balance, together with our current business plan that have been approved, we, the board, they estimate that this is sufficient to cover the needs for at least the next 12 months. By that, I would like to hand over to Jonas.
Thank you very much, Anders. On the last slide, that's just slide number 21. I'll just say thank you for the call, and we'll bring it back to the operator to open up for any questions. Thank you, everyone.
Thank you. We will now begin the question-and-answer session. To ask a question, you may press star then one on your touch -tone phone. If you are using a speakerphone, please pick up your handset before pressing the keys. To withdraw from the question queue, please press star then two. At this time, we will pause momentarily to assemble our roster. Our first question comes from Jakob Lembke with ABG. Please go ahead.
Thank you, operator, and good afternoon, Jonas and Anders. My first question is on the letter of intent for evaluation and commercialization of Podler. Just wondering if you can go into any more details about what sort of company it is and what sort of deal structure you're looking at.
Thank you very much, Jakob. At this moment, I can't really go into any details. Sorry about that. What I can say is that it's a very big company, so well-renowned in the field, so to speak. Of course, I mean, typically, as you know, the first stage of any type of moving into a tentative commercial development is try to do evaluation and pressure test the technology. The same that happened with ASTar many years before we signed the contract with Thermo Fisher Scientific. We are, it's an early stage, but I do also see quite a big interest regarding Podler.
I'm thinking that this might be conducted at a different pace compared to ASTar's. Sorry that I can't give you more detail, but of course, we'll provide more updates if we are successfully moving along, which I of course do hope.
Okay. I totally understand that. Just on the company, I mean, on the way you phrase it in the press release, is it fair to assume that it is a company of sort of similar nature that you have partnered with for ASTar?
Well, it's not probably wrong to assume that. I'm not saying that it's not the same company as we're partnered with ASTar either. That could be the case. It's definitely a large and reputable player in the field.
Okay. I understand. Next, you mentioned that you see sort of no funding need in the coming 12 months with your new business plan, which includes a potential deal for Podler. I mean, just asking, to what extent do you expect this letter of intent to convert into a deal?
I think first and foremost, I mean, what we're looking at, the board's assessment on running cash is of course, the current burn rates obviously, also same. ASTar is one thing that's added to that. Then of course any other type of funds that could be gained in the company. When we went with ASTar, we did not want to have money coupled to that license because we wanted, yeah, for obvious reasons at that point to be truly independent. For Podler, I think there are many other types of strategies and possibilities that could be here. I think when you look at the statement, it's an overall statement from all types of income we have or possible income in the company without saying anything about the exact timing.
For sure for 12 months at least, we would be able to run the business as we would like and of course grow the business.
Understand. Just, I mean, the way you phrase it sounds like, I mean, you're quite confident that you're gonna be able to strike some kind of deal for Podler in not too a long time.
Well, the phrasing might be that, but, let's just say that I'm confident that we'll move forward with that technology. We see a huge interest and, I think that will be interesting development over the next six months or so.
Yeah. I totally understand it. Just, maybe you can update us on the way forward for Podler, in terms of clinical evaluation and regulatory pathway. I guess it should be at least a couple of years out before you could actually start to use it or sell it.
Yeah. Right. I mean, what we did, of course, we have selected a contract manufacturer now that's working with the manufacturing, the transfer part for the Podler. That's an important step to be able to generate enough units. Of course, we have been doing extensive testing. We published also material on that at the ECCMID and ASM regarding the performance of Podler. So it looks very strong. Then of course, we're moving into thinking about clinical evaluations, how to do that. I think the exact path for that might actually be also coupled together a little bit with how we partner up around that product and how we take it forward. Of course, also trying to understand the path for that product.
We currently assess it to be sort of a 510(k) equivalent, so not a De Novo, meaning we don't have to do a huge study for it. For some markets, we might not even have to do a complete size of that study. It's still under evaluation. I think also it will be under heavy discussion together with whomever we will bring it to market with because it might be a little bit different path depending on what we select there.
Okay. I have a couple of questions that also not relating to Podler. If you start on the sales in the quarter and your reiteration of the forecast, and you said that it looks like the year is gonna be more back-end loaded. I mean, it sounds like you have delivered, I guess, less than half of the target, and that should probably mean that you have seen a bit of consumable sales already this year.
Yeah, that's right. I think also the backloading is this. A lot of activities that has been done and are implemented will drive it to be sort of backloaded, both on instrument placement, but also of course on consumable utilization. Because typically when you start using the system, you have to validate it in your own hospital. That will take some time. Then typically you can see an increase over time in adoption of the system. But we have seen a mix of both during the quarter for sure. Yes.
Okay, great. My final question is, just on, I mean if you can say anything about how many ASTar systems are in clinical use today and how the reception has been from the ones using it?
What we have said and sort of agreed with our partner Thermo Fisher Scientific is not to announce numbers just yet. What I do of course see that as we move along in this whole sales funnel and when we become sort of firmer on our commitments moving into next year, we'll of course start sharing those details. Also what I would like to see is utilization of the system on the various settings, because I think that's gonna be an important factor also for the future uptake sort of consumer pull-through, for instance.
Okay. Thanks for answering all of my questions. I'll go back to my-
Thank you very much, Jakob. Do have a nice summer if you are going on vacation soon.
Thanks.
Again, if you'd like to ask a question, please press star then one. Our next question comes from Ulrik Trattner with Carnegie. Please go ahead.
Thank you very much, and good afternoon, both Jonas and Anders. First of all, if we can get some clarification on Podler and what's expected here in the near term in terms of clinical evaluation. You have previously stated that you were hoping to get Podler into clinical settings before year-end. Has this timeline somewhat changed since you now have received this letter of intent, or is there anything else that should have affected that assumption? That would be my first question, please.
Okay. Thank you very much, Ulrik, and nice to have you on the call. Internally, we have not changed that assumption within our own plan, so that's still our thinking. But as you know, when you are in discussion, of course, we have to filter in what's the view from a tentative partner, does that affect our thinking or not? Internally, we have not changed our thinking, but it could change. Let's say it like that.
Great. Quite intriguing. I've been listening and we've been talking for years, and this is the first time you're actually talking a little bit more about ASTrID. I think you stated earlier in the call that it might be time to move that product forward. Could you just please clarify what you mean by that? I know sort of it's been stated that the MALDI-TOF has been dominating the field and ASTar is a perfect fit with the MALDI-TOF. Or is this something that have changed or is this something that have come up during the discussions during ASM or ECCMID that have changed your interpretation on the timing of ASTrID?
Okay. That's a good question. No, I think overall, I think you're absolutely right. I mean, ASTar is what we are really pushing for. That's our lead product, and we're planning to follow on with Podler. That's absolutely the trajectory forward for the company. I do think that the mass spec is the dominant one on analyzing positive blood cultures as of today. What we have seen is a little bit change, I would say, overall in the market sense that I think that when we started developing ASTar, it was basically too disruptive. It was too early. As you know, it's direct from venous blood, not requiring a culture.
Only thing I'm saying here is that I think that over the next five, maybe seven years, that platform could really add to the value as the market becomes more mature. It's not a statement saying that we're gonna press the development of ASTar now. We're really focusing on ASTar and Podler. I think that what has changed is that the world is becoming more mature for a product such as ASTrID that they simply weren't a number of years ago. It's interesting to see that the technology we have in our company and that are covered by a large number of patent families. I think that we can really see a long-term positive development of our company moving into the various fields in infectious diseases. Just to be clear, ASTar is main focus, followed by Podler.
We'll see. Of course, the sample prep technology developing ASTrID is what we use in ASTar and the same AST engine. It's really the IV part that needs to come to development there.
That, that's perfectly clear. When you say that the market has become more mature, have this sort of been highlighted in terms of external interest for ASTrID? Is ASTrID actually an instrument that you showcase at conferences? Or is this?
No
Something that potential external partners are looking at your old clinical data? I think you have quite some clinical data on AStrID already. As you mentioned, you're still using the same AST engine. Have sort of the external interest for ASTrID increased over the last, or six months?
No. I probably would say we were not showcasing ASTrID. Definitely, it's a product that's too much into the future to do so. I would say that when I estimate the market changes that we see, we are now looking at some hospitals that are moving to faster linking up of LIS data to make decisions. You are also becoming more mature in how you can segment and triage patients for sepsis are still early days, but we see traction there. I would say that when we talk about ASTrID, it's still, I would say, fairly few people or companies with insight in our technology that look at it, not necessarily the overview of the market. It's more that I think people see that this field will transform over the next 10 years.
Of course, during that transformation, I think different capabilities will be needed in different time stages. What I think is so interesting with Q-linea is that we actually have such a broad capability within our company to address those needs when the time is right.
Perfectly clear. Two more questions on my end. First is you expressed in the PR wording that you had more than 100 expressions of interest at ASM regarding ASTar. Could you help us figure out what that actually means?
Yes, of course, Ulrik. Typically at the trade show, of course, you have people coming into the booth, but if you are actually performing a demonstration and those people don't sign up that they are interested in receiving more information about ASTar or any other product, that then becomes sort of a lead that we can then, of course, together with our partner then work to, of course, have bring on as a customer. What it means is a person that actually performed or looked at demonstration and expressed an interest in that product. I would say that looking at the size of the number of tentative future customers at ECCMID and ASM, we are super delighted with that.
I think it's also, to be fair, maybe the first trade show, at least for sure in real life, where we can actually demonstrate ASTar for real. We can demonstrate the panel. People can then compare and contrast with other systems available on the market and then make their own decision on what do you think brings more value to my hospital. Of course, I want it to be ASTar. It doesn't have to be that in any case. I think it's very positive to now see that there are a number of companies with slightly different solutions, and customer can actually visit all of us and then make their assessment if they would like to proceed with one or several opportunities for that system. I'm extremely satisfied with the interest we received from both ASTar and also Podler.
Would it be fair to call them leads at least?
Yeah, probably like that. Of course, you know, having them to be qualified, that's another thing.
Yeah.
They need to move through a sales funnel and there are several stages in that funnel, of course.
Great. Thank you. Last question on my end. It is on the cost base. It sounds like a lot of costs will come down in the coming quarters. A lot of external costs related to consultants, some inventory that has been built up. Could you talk a little bit about how we should approach sort of the total cost base in the coming quarter as well as we're looking into 2023 as well? Or should we interpret it as the cost is coming down, it's going to be flat or should we see it continue growing?
No, I think that my interpretation or my view is that we're more leveling out. We will see growth in some parts of the company, I mean, work in production and those areas. We see going down in other aspects of the company. I'm thinking more that the way I look at the company as of now, I think we have built a solid base, and we expect that to sort of level out now and not as we have done in the past, growing 30% every year. That's not what I do expect for the future. There will be, of course, a little bit rearrangement because of, I mean, higher production volumes as we hope for, and that we have a very mature team now in regulatory and other areas.
I would say that the interpretation is more of a level out situation.
Great. Thank you very much. Hopefully we will have a 510(k) clearance before you report your Q3 report.
Thank you very much, Ulrik. Yeah.
Yeah. Have a good summer.
Hopefully. You too as well. Have a great summer.
Thank you.
Fingers crossed. Thank you, Ulrik.
This concludes our question-and-answer session. I would like to turn the conference back over to you, Mr. Jarvius, for any closing remarks.
Thank you very much for that. Thanks for all the questions. I do want to wish everyone listening in to have a great summer, hopefully some vacation. Also to stress from my side as well that the pandemic is not over, so everyone should remember to wash their hands and stay safe to the best ability. With that, I would like to conclude the call from me and Anders. Thank you very much, everyone.
The conference is now concluded. Thank you for attending today's presentation. You may now disconnect.