Xeros Technology Group (LSE:XSG) — Interim Results 2025

0:01 Good afternoon, ladies and gentlemen, and welcome to the XEROS TECHNOLOGY GROUP PLC Investor Presentation. Questions are encouraged. They could be submitted at any time via the Q and A tab that's situated on the right hand corner of your screen. Please just simply type in your questions and press send. The company may not be in a position to answer every question it receives during the meeting itself. However, the company can review all questions submitted today and will publish your responses where it's appropriate to do so on the investor meet company platform. Before we begin, we will decide to submit

0:32 the following poll. I would now like to hand you over to the team from XEROS TECHNOLOGY GROUP PLC. Klas, good afternoon, sir. Thank you, Jake. And, indeed, welcome everyone to today's investor meet. I'll keep my introduction very short this time and let, as usual, Neil and Alex talk you through the bulk of the presentation. But today, I really want to start with congratulating the team at XEROS. This morning, we finally, I'd say, announced our sort of deal on the domestic laundry side of the business. This has been a long time in the making in the trading up at the entrance. We we reported this was imminent.

1:22 It is now across the line. It is real, sort of our our product launch agreement with one of the world's largest domestic washing machine OEMs. Great job, well done, and and great to get this over the line. At the same time, what I want to say is that we should not focus on individual deals. In the past, we have potentially

1:49 put too much emphasis as a business on individual deals and and drawn people's attention to those. But I think Cavendish in their note this morning nailed it on the head and said with this deal announced and three further ones in the pipeline of similar nature, the customer concentration risk at XEROS is really going down. And that's what I want to draw attention to, that we're not a one trick pony depending on one product and one customer. But in this category, we have a first major deal announced, and we're working on three others to follow. And in parallel to that, as I also mentioned last time we were together, we are now commercial in Finnish with Yulmak.

2:34 They're selling machines, and XSGILTI will be in market before the end of this year. So we are commercial with multiple product lines and within categories working with multiple parties. And and also interestingly, there is starting to be some crossover in conversations between XSilter and and our care offering with the global OEMs, which is all very encouraging. That, to me, is the big picture for today. The announcement is fabulous. It is a major milestone for the company, but the real message is this is not the only thing we're working on. We're not dependent on one deal. There is yeah. The the the risk relating to individual deals or or product lines is is is declining dramatically.

3:21 So with that, I'll hand it over to to Neil and Alex to take us through the detail, but I really wanted to get that message out upfront. Thank you, Klas. Great. Thanks, Klas. As as ever, you've stolen all of my best lines, but okay. That's your that's you that you get that one to seniority. Okay. Listen, guys. Has ever preface the presentation by saying that we're trying to provide an update for the business, which takes into consideration those for sure that are familiar with the story, equally those that may not be. So bear with us if we're going over some old ground in terms of introduction of the technology, but we feel we feel it is important. And there may be little bits that you've missed. And equally, we have a couple of bit more a bit bits of data that we can use as reference points to show just how kinda compelling some of the tech is as well. Okay. So without further ado, very simple sense. So what do we do here at XEROS? So couple of key points that I would take out from the text that you can see in front of you, we are a sustainable business.

4:19 But also, equally, we work within proprietary technology as well. So we have a very high level of IP coverage for the technology that we bring to market. It is about as far away as you can get from me too. It is innovative and it's specifically offering solutions to the laundry and the apparel industries. The link between those two, obviously, being big garments, the creation of garments and and then the cleaning of them. Specifically, what we offer is cost, energy, and water efficiencies to the processes that are already existing, whilst at the same time also reducing pollution. So that can be in terms of microfibers or equally can be in terms of the the use of pollutants such as chemicals. And as I said, that's in the manufacture and the laundering of clothing. So that's who we are. Why why do we exist? There are very specific industry problems within those two industries that I just talked about.

5:05 So the left hand side, we can we can see the environmental cost of fashion. This is us in our kind of long winded way talking about fast fashion. So we buy a significantly larger amount of clothes today than we ever did before because these are generally relatively cheaply produced clothes as well. Unfortunately, they end up in in in landfill. Everybody will know the fashion industry is under significant pressure from from, you know, regulators and and legislation, but equally from consumers as well. They need to be able to find solutions whereby they can produce clothes in a much more environmentally considerate way. The second piece is that actually, once those clothes are in the hands of people, actually, the the laundry industry, the providers of washing facilities, washing machines, haven't really been able to offer anything in the way of specific innovation. So those of you that know me know that I am a washing machine boy of old, so I've spent many years working working within that industry, and and I can tell you firsthand that there has been really precious little innovation, not not just in my short kind of ten years or so working with the business, but but generally.

6:10 There is, in particular, a very a very clear need which consumers are now talking about, which is obviously related to the point we made in the first the first comment about fast fashion, which is that people are getting a bit fed up with the fact that their clothes are deteriorating so quickly through the washing process. So they are presented with an option today, which is either you can have very clean clothes, which are deteriorating or being destroyed through the washing process, or on the other hand, you can have

6:39 clothes which are pretty well looked after but unfortunately cannot be cleaned very well. So a true lack of innovation to be able to solve that has been outstanding and actually, particularly as we'll talk about, the industry is now coming closer to realizing that they need to find a solution for that, which moves us on to what that solution looks like. So this is effectively the DNA of whom what XEROS are. We are all about XORs. XORs are the the little little beads that you can see in the image on the left hand side, and effectively, they offer significant efficiencies in any kind of a process which will use large rotating drums and effectively is either trying to create garment, whether through the processing of denim or indeed through the cleaning of that garment as well.

7:27 And you can see some of the the statistics that we can now pull out in terms of the savings that we can offer in water, energy, and chemistry, and as I said, ever more compellingly in terms of the the lifespan of that garment that is is achieved using XEROS technology. The other solution is our filtration technology. So I'll talk a little bit more about this, but, you know, RX filter is market leading. It's a microfiber capture device, which effectively offers people an ability to be able to capture wastewater that comes from the laundering process, which is laden with microfibers, microplastics, which unfortunately are are offering significant pollution into our waterways. Okay. So if I talk a little bit more about the specific industries and the applications that we've got,

8:14 So domestic laundry, this is a washing machine that is in your home, my home, everybody's home pretty much in the Western world. It's a pretty big industry in and of its own right. Key key kind of dynamic, which I would draw your attention to is the fact that although there are hundreds, thousands of consumer brands, in actuality, there's only really 10 groups that own all of those brands. So a relatively concentrated target effectively for XEROS to be able to hone in on to offer up partnerships for our for our technology. The second piece being commercial laundry, which is, again, the laundry and the cleaning of clothes. This is more in a there are larger format machines and being used in the likes of hospitality, leisure, and health care and so on. Again, a relatively concentrated market in terms of the manufacturers of those and absolutely one which is very much looking for water reduction in terms of its solutions.

9:05 And the final one being the garment manufacturers. So we're talking just about the final stage wash, which is relevant and present in every single garment that is produced. And as we've talked about briefly, the fashion industry is under significant ESG reporting pressure. And whilst they've done some good work on fabric creation and textile creation, actually, creation of the garments, that final stage, there's precious little innovation or solutions being offered within that space. Okay. So some of the key headlines. As classes just pointed to on our care technology, which we'll we'll come on to talk a little bit more about, we have made a significant step forward. As of this morning, we have announced that we have a product launch agreement.

9:53 That product launch agreement is with one of those top 10 washing machine companies that I just talked about before, predominantly focused in on North And Latin America. They are a significant player within this space. The specifics of the agreement are that we have set out to deliver a washing machine to consumers jointly, ourselves and the and the licensee within a twelve to eighteen month period. The lead up to that period will be about taking a prototype, which is what we have at this moment in time, and turning in that and turning that into a full manufacturable product for consumers to be able to purchase. The XEROS time, the XEROS engineering resource that will be used for that is paid for, so there's very clear intent from that licensee.

10:40 The program is time bound and has milestones related to it as well. So a fully professional contract, which is in place and process, which is in place to enable us to bring the technology with that partner to market, which could be as as as quick as 2026. Just to pick up on one of the other points that Glass made, this is not the end of the journey. So we have very specifically been working extremely hard even just within the domestic care technology to ensure that we do not become reliant upon just one. And that's why the team has been cultivating opportunities for probably eighteen to twenty four months now in some cases with a number of that those top 10. We are in a process, as we would call it, with Ford, so so pretty much half of those top 10.

11:30 We've just mentioned the first one who has now moved to that full product launch agreement, but actually we have three more that are in the pipeline. And as I've been sharing with some of the institutional holders in the last couple of days, we are really quite confident that we will be able to start converting the next ones within a matter of months. And actually, as I said to a number of people over over the last kind of year or so, the nature of this industry is such that they are a bit like sheep, I'm afraid to say. So as soon as one goes, one of the big 10 goes, which has now been the case with this agreement we mentioned, the rest of them follow very quickly. So we are very upbeat, very confident, and very optimistic about the fact that XEROS is now very much in the process to be able to finally bring this technology to a mass market to be able to to offer consumers all of the benefits that the technology offers.

12:28 Alex, do want to give us a bit of an update on the filtration development? Yeah. Absolutely, Candu. So we talked earlier on in the year about the first, the first brand partnership on our on our external filtration device, and that was with Russell Hobbs. So that that is a that's a a great, first agreement for us to bring that to the market in The UK, and we and we absolutely expect that to be this year, which is which is really positive. But building on that, we have also, agreed some launch intentions with, two of the kind of the the the best partners that we could look to in this in this area, which is a major European washing machine retailer and a and a, and and one of the biggest global washing machine brands out there. So those guys have have shared with us the target markets, how they want to launch, all that kind of stuff, and we're working through the final bits of testing with them to get that out into market, which is which is gonna be really positive for us there. The excellent blue chip partners with a you can see there with a combined washing machine sales of over 27,000,000 units a year. So that gives us huge markets to go at. The the the the kind of launch pads for them are gonna be across Europe, it was really pleasing as we've been we've been able to find the right partners with the right territories to allow us to get great penetrations to that European market, but without without that cannibalization that you might see if we launch it with a number of partners. So that's that's a that's a really positive, really positive steps on our external filtration.

13:47 And then, we know the long term goal for filtration is to get it built in washing machines, and we we absolutely see that that is where the legislative landscape will will push us. And we we know that from our involvement in the in the IEC commission that's looking at the standards of washing machine filtration, and we know that that's what the industry thinks, thinks will happen. So to that end, to kind of complement the the European manufacturer that we European owner manufacturers we already have on our kind of as part of the stable. We have a we've agreed a agreed to develop a microfiber filtration capacity for internal use in machines with a really fast growing, really innovative Chinese manufacturer. That's further fruit from our, kind of strategic alignment with the with the Xinbao Group, which was, which is the the owner of the Donlin, small domestic appliance manufacturers that that make our XF three. So it's really a really positive development. It allows us to get into that innovative fast growing Chinese market and and and the global supply chains that that feeds into.

14:43 Very good. And, yeah, as I said, we'll we'll we'll cover that off in a little bit more detail when we get down to that section within the presentation. And then the final bit, which is equally very exciting for us as well, which Alex likes to give you a little bit more indication on when we get to that section, is that on the finished side of the business, so this is primarily for denim processing. That's the first iteration for XEROS TECHNOLOGY. We have spoken in the past about our our confidence in the ability of of Yale MacMakena as our principal licensee, machinery manufacturing licensee for the technology, their ability to be able to penetrate the market. The great news is that they have now started in earnest to to do that. We talked about the fact that they are commercially live. They are purchasing XOPS from XEROS.

15:29 And actually, terms of securing those all important manufacturing or denim manufacturing partnerships, that is now underway. So we're able to confirm that the first partnership has been established with a company called Ambition Apparel in Pakistan, a pretty significant player in their own right. And it gives us the ability to be able to start to create that installed base of XEROS enabled machines, which will really enable us to take off. But in a similar vein to what we've talked about on the care technology, and and I guess, indeed, to to a degree on the filtration technology, we are not about trying to find just

16:05 one partnership within this space. Ambition and Parallel has been the first. As you can see with the text on point six there as well. We are in a very strong position as well, equally with one of the largest in the Turkey Egypt manufacturing space. And indeed, we've verbally as well heard from Yomak in recent times, in recent days that actually there is fur further confirmation of partnerships happening in Southeast Asia as well. So Pakistan, Bangladesh area. This thing is really starting to gather some momentum. And as I said, Alex, we'll give you a bit more of a flavor about what that means when we get to the the denim denim section. Okay. So alright. So again, those of you that know the story well, please bear with me. Just to give you the ABCs of what we mean when we talk about the care technology. So firstly, covering off domestic laundry. So when we integrate XEROS technology, to to be clear, what we're effectively doing is taking a preexisting washing machine platform and we are adding to it. So we're making it as easy as possible for manufacturers to be able to implement the XEROS capability within the machine. You don't need to rebuild machine. You don't need to rebuild the drum. We can work within the existing architecture and effectively add in three elements. One is obviously the XORBs, which is the the the the magic ingredient. The second is the XDROM, which is effectively the harvesting apparatus, which goes within the drum. And the third is obviously the cycle development. So effectively, the the the code, the software, so that we can effectively deposit the XORs at the right time, have

17:35 them do all of the wonderful good that they do and then remove them at the same time. Just to give you a sense of opportunity, the domestic laundry market is is anywhere around about a 100,000,000 units of new sales per annum. There are about a billion washing machines currently out in people's homes globally. And as I said, these are very much concentrated into just two 10 key kind of global OEMs. Okay. So to give you a bit more of a sense of where we are with that. So as we talked in the headlines, we now have that product launch agreement with with one of the the biggest to give you a bit more of an idea what that means. So from a quantum perspective, they will sell around about 7,000,000 units of of domestic washing machines per annum, primarily across North And Latin America and to a degree within Southeast Asia as well.

18:26 Whilst, clearly, we don't expect all 7,000,000 units of those to be converted into XEROS enabled machines overnight, It's very clear that there will be a logical path in the conversations that we've had with them, which give us a sense that in the early launch stages, we'll be offered up clearly as all new technology is as a as kind of a a premium offering. But that even in in and of itself is gonna be quite a significant quantity of machines. But they definitely see the capacity for this to flow down throughout the range. And the reason why is because this is not a nice to have technology which is gonna cost more. This is a technology which will deliver actually lower running costs, which is a key thing. People forget that, obviously, the purchase of a washing machine in and of itself is a considered significant cost, that actually the running costs of it, including things like detergent, are way more expensive over the lifetime of the machine. So the fact that we can offer up a way for that machine to operate in a more efficient way means that actually we'll be able to offer a cheaper overall cost for people to clean their clothes, and that does not even take into consideration the benefits that they're gonna get in terms of the garment life extension.

19:37 Again, those of you that know the story very well will be very familiar with the

19:41 image that we've got on the right hand side, but again, just to clarify, this is not a photoshopped image. I mean, I guess, technically, it is because it's joining together two two separate images. And on the left hand side, it's actually what genuinely happens to woolen jumpers whenever you clean them. That was just one wash. You can see the significant level of shrinkage, the pilling, fiber loss and damage isn't quite so clear in this, but a bit even in terms of coloration loss as well. On the right hand side is what happens whenever you implement the XEROS technology. You add exorbs within this wash. It makes a significant difference. And for those of you that will would ever get the chance, our doors are always open here at XEROS HQ in Sheffield to really understand the benefits that that that people get by using the technology.

20:28 But as we've said, this is not the end story by any means. This is just the beginning. The further three global OEMs that we are talking to as well and and proposing a similar product launch and and development program with them. When and I'm confident that it's a when rather than if. When we can see them coming into play, that opens up another 20,000,000 units per annum and crucially, actually gives us a really good geographical coverage. So as we said, the one that we've announced today, primarily in The Americas, I think very, very strong there. Of the other three that we're talking to, it gives us extremely good coverage within Europe and indeed within Southeast Asia. So we are very strategically thinking about partnerships in in the longer term. Okay.

21:15 Just a little bit in terms of commercial laundry as well. So again, for those that you don't know, these are effectively washing machines, but on a much, much bigger scale. In this instance, actually, as I kind of alluded to at the beginning of the presentation, whilst people obviously want to to to get benefits when it comes to fabric care, water is a really significant issue for these guys. It's the consistent that we get back from all of our stakeholders that we talk to within the space. And you can see that with the XEROS technology, we can significantly reduce that. In terms of opportunity, the per unit the unit market is is obviously smaller, but actually, the revenue opportunity for for XEROS is is significant within that as well. So So just to give you a sense of where we are on that today, and so we've had direct feedback from our case study.

22:05 Again, most of most of those familiar with the story will know, which is the laundry company, extremely successful, fast growing laundry company in France called XEROS TECHNOLOGY, very effectively to be able to deliver quite significant savings. So you can see some of those are over 10,000 pounds, and 2,000,000 liters of water per annum is being saved by using XEROS technology on one machine. So just pause for a second. Mean, that's one machine that they're able to make those savings. And by the end of this year, George's will have an installed base around about 30 machines across all of their sites in in France. So they are seeing the benefit of it. As we pointed out in the previous slide as well, it's not just them that's seeing the benefit of it. They laundry uniforms for high profile companies like Air France, CDF, SNCF, and Renault.

22:56 And actually SNCF have been able to report back significant benefits in terms of the lifetime of some of their uniforms. So not nice to have, but actually significant in terms of cost saving for them as a beneficiary of XEROS technology. Within within India as well, which is where our principal licensee and commercial laundry, IFB, operate, we've also seen some really good significant progressions. So along the bottom line, you can see some of those hotel groups, the ITCs in Regis, Fairfield, Taj, and Deep Marriott, is actually here in The UK, have now taken machines and using them on-site. There is a significant opportunity within this as it relates to the institutional holders over the last week or so.

23:43 This is a big opportunity for us. And actually, 2026, we see as a really good opportunity for us to be able to put a bit of focus and energies into this to be able to take maximum opportunity. Okay. Alex, do you wanna give a sense on garment finishing? Yeah. No problem at all. Thanks, Neil. So if you think about what Neil was just running through in terms of domestic and commercial laundry, if we move up a size once again, we get to the garment finishing machines. So these are these are at a huge scale, and they're used in garment manufacturing plants across the world. So all jeans start as raw denim, and they are washed in in in huge, great washing machines with chemistry, with with water, but often with pumice to make stonewashed jeans, to get the desired finish that the brands are looking to sell. That is an archaic and dirty business that that that has been working the same for a number of years. The industry is desperate to move away from pumice because it's it's expensive, it's dirty, and it's, in fact, getting worse.

24:36 The quality of pumice that the that the industry gets because of overmining is getting worse and worse on a on a a yearly basis. So what they're looking for is an opportunity to move away from that and do something more sustainably, and that's where the XEROS technology comes in. We can get the finishes that that the brands are looking for with with no promise, with with just XORBs, and with a more efficient application of chemistry, in some cases, up to to a 100% less water. Think the key stat that we can we can show on this is the 20% cost savings, and these aren't coming from lab trials. We've known for ages that this this this works at a small scale here in Sheffield. These are coming from yield map machines being put in live production facilities in Turkey, in Egypt, and and soon to be across the world. So they are, you know, they are being proven out at scale in the environments that they need to work. And that 20% cost saving, it's it's huge for these guys. So that's that's that's really important. The other thing is that alongside that cost saving, we get a we get at least a 30% c o two e saving. So that allows, the garment manufacturers to to save that money, but to also pass that saving onto the to their customers and to allow them to to use the 30% c o two e saving in their in their marketing and in their kind of green credentials. We know that there are limited ways that the the the industry can do that at the manufacturing point of view. They they focus heavily on, kind of textile production and on end of life.

25:58 The the way they make the clothes has not changed in a long time, and and and there are not the solutions out there to do it. We offer that, and that's why we're seeing the kind of excitement with the industry that we are. Yep. So, yeah, as as Neil mentioned earlier on, YOOMAK are live and are selling. They've bought XORPs from us, and they are selling their machines out to, out to their customers around the world. Ambition apparel are a kind of a forward thinking, denim manufacturer based in Pakistan. They make up to 9,000,000 pairs of pairs of jeans every year, and they will have, XEROS technology within their within their facilities. And they have, you know, big expansion plans, and we hope to be we hope to be a part of that. That's not where it stops, of course. There are ongoing trials, ongoing conversations with a lot of other, with a lot of other providers across the across the denim finishing world, and we expect that that this will be, be significant uptake over the next couple of years. The good thing about the denim, machines, as as we talked about before, is that we, the the the XORBs, because it's such a dirty business, you can you can see kind of the the, the picture on on the right hand side. What I would say is those are not XORBs on the floor of that one. That's pumice and and the residue that's already there.

27:06 So what they, what what they, they will need to do is buy XORBs as they they kind of get contaminated throughout the process. That's not new for the industry. They're used to buying consumables. They're just shifting that consumer spend over to something more sustainable in in in in XORB. So, we're really excited about about the denim opportunity. I know Yilmak are doing a great job pushing it out into the market, and and, you know, we're we're we're confident that this will this will be a success story over the next couple of years. K. Good. Very good. Okay. So to give you a sense of where we are in the microfiber filtration, so to give you top level again, most people know about microplastics. Most people know of their existence. There is a a general sense that this does not come from plastic bottles, disposable plastic bottles that end up in in the ocean.

27:52 And, yes, it does to a certain degree as as they degrade and break down, but, actually, the vast majority of it is coming from different sources, and and one of the largest 35% is actually from the laundering of clothes. So it's about 500,000 tons of microplastics that suddenly flow into the world's oceans every single year. And it's not just saying in the oceans is the key point. There has been a significant amount of research in various different levels that is getting into everything. So it's being found, obviously, in the in the in the ocean basin, but equally it's been found at the top of Mount Everest. It's been found in pretty much every food type that you could you could think of, and and and it's been found in us as well. So there is ever increasing research that the microplastics are not benign within our systems as well. Not to be alarmist, but there are starting to be compelling belief that it it could be related to to quite some some significant health issues as well. So it's a problem, and we need to find a solution towards it.

28:48 This Lyro solution is effectively a filtration device as we talked about, so that is but we capture all of the water which is laden with the the microfibers after it finishes the laundering process, and we capture that. We capture that in a very effective and an efficient way. So we have an up to 99 capture rate, and just to explain what that means, so of the 100% of microfibers that are are effectively created during that laundering process, we're able to capture nearly all of them, so up to 99%.

29:25 And we do that in two ways. We have an external device, which we call XF three, which can be retrofitted to a washing machine, so you're not obviously compelled to to buy a new washing machine. Enables us to access that installed base, which I said before is about a billion washing machines globally, which is quite significant. But we also, in the longer term, have an integrated solution as well. So as Alex kind of alluded to when we're talking in the summary at the front, we are pretty certain that the longer term feature of this will be as an integrated filtration device within washing machines, which you can get a bit of a sense of from the image in the top right hand corner. We know that's what consumers would prefer to have. They don't ideally want to have an additional piece of kit within their laundry environment.

30:14 And for sure, we know that it's something the washing machine companies would prefer as well. Some are starting to make quite interesting and significant noises towards the likes of us about how that could work. And actually, this is all in anticipation of legislation. So legislation is alive and a very real thing in terms of conversations. So there are around about six states within The US that have initiatives on the legislature, legislative book. Is a EU issue as well, so Alex talked about the IEC working body. This has been directly charged by the European Union to effectively come up with a standard

30:56 so that once this standard has been set, then it's clear about what the legislation should dictate. So North America, European Union, there are there is a bill actually passed in France, which is waiting for that standard to be to be confirmed. There is private members bills in The United Kingdom, and equally, there's moves down in the likes of Australasia as well. So as we always say, this is not a case of, well, will legislation happen? It will. It absolutely will happen, and and and we believe that it will happen in a relatively short order. So we move on to the next slide, Alex. What we've effectively done so that we can position XEROS to be able to to offer our solutions up in the most effective way within that space is is firstly, as we we talked about in the summary, we have brought an external filtration device to market, and we have been in the process of securing the best possible partnerships so that the the the technology has the best possible opportunity so they can get in people's hands. So we talked before about the partnership within The UK with the Russell Hobbs brand.

32:02 What we've been able to confirm as part of our interims update is the fact that we have now confirmed two other key partnerships as well to just reconfirm what Alex said. So one of them, the world one of the world's largest washing machine brands, another one of them, one of Europe's in fact, Europe's largest washing machine retailer. We we have very specifically made the decision to try and find different slightly different types of partnership, as Alex says, so that we don't have any cannibalization in terms of the distribution, but also because their routes to market and their go to market with the technology will be slightly different. So I think with Russell Hobbs, we've got a very good brand which is active in small domestic appliances with the washing machine company. Clearly, have somebody that that that's in the business of manufacturing and distributing washing machines. But equally in terms of the retailer as well, they have a a different approach to how to best maximize offering up this technology, whether that is through an accessory sale within a retail environment, whether that is as a bundle sale on on on an online platform, or indeed whether that's

33:01 as an as an after sale or as an install attachment using their installation network as well. So we really feel like this gives us an incredibly good opportunity to be able to offer this up to all of the all of the people that we are very confident from our consumer insights will absolutely be interested in taking this product. Just to give you a little bit of sense and build upon what Alex said about the agreement with Weili. So Weili Foshan are one of China's leading contract contract manufacturers' washing machine. They are growing significantly. They're starting to become a really quite significant player within the Chinese market, and they are owned by XSG. XSG is a company that XEROS has a strategic agreement with going back to 2024.

33:50 The other element of that strategic agreement, obviously, is Dunlin Dunlin being the world's largest manufacturer of consumer electronics, number one, from a manufacturing perspective and pretty much all of the small domestic appliance categories, kettles, toasters, mixers, and so on.

34:09 So, really, it's an indication of the fact that we are getting closer. We have a very good working relationship with Ximba. But, really, with the Whaley partnership, we are safe safeguarding ourselves for that future moment when clearly people are gonna want to have an integrated solution. So the fruit of that development agreement is effectively that we will have machines, so fully manufactured machines, which will have this filtration technology built into it that people can be able to purchase. But the second piece is that they will

34:41 also create a module effectively. So if you are a washing machine manufacturer and you just wanna buy in and assemble it yourself, then that's another option that you'll be able to take from from Weili. So yeah. I I mean, in terms of the here and now, which is being able to get our technology out there, getting closer to some of the biggest washing machine retailers and and and brands, we're in a very good position, but also longer term, making sure that we are well placed to be able to offer something up for legislation, we've made some significant steps forward on that as well. Okay. And just pause for a second. This is what we're calling our commercial road map. TECHNOLOGY TECHNOLOGY PLC. I'm I'm not gonna go through every single line within it. But what we're trying to do with this is to give you a little bit of a sense of, well, with all of these partnerships and everything that we've talked about today, which is what you can see in the dark blue of the today, where where where event where ultimately could that take us to?

35:42 So if I take it quickly by section by section, by signing up this first domestic laundry brand to a product launch agreement, we've immediately given ourselves access to, you know, up to about 8% global market now in totality. We include current licensees as well. With the second and third of those of those other other three, so primarily, if I'm being honest, a European and a Southeast Asian company, that would then take us to 31% global market access. And as I say, same distribution in Europe, Americas, and Southeast Asia. We're also now in a situation that should that fourth come to drop within that period as well, that would dramatically increase our global coverage as well up to 62%.

36:30 So do we need all of the top 10 ultimately to take our technology? Well, you can see that in the longer term, that's absolutely what we think will happen because this is a technology which offers consumers benefits that nothing else can even come close to. But even in that midterm, if we think about it, not not not, you know, five years, but within the next two to three years, this is absolutely achievable for us as a business. The same thing is true when it comes to microfiber filtration. So we have the partnership with the consumer electronics retailer, the global brand partnership. And based upon that, we will immediately be able to move into European distribution. So we're talking about that midterm, but really, we could squeeze that into the to the kind of the the back end of today. And using those as case studies and then proofs of concept, we are already having conversations about distribution within The Americas and within APAC.

37:21 If we cover off Europe, that's 27% of the total global market. We include The Americas, that takes us up to 46%. We include APAC, the 94. So we'll have pretty much full global coverage of all washing machine purchases and uses within the world. Longer term, we absolutely believe that as we've just discussed, this will become a a part and parcel, a bill of material element in every single washing machine that will be taken. And it's our goal as XEROS to be able to demonstrate that we are we are the provider that should be adopted for that for that scenario. And then finally, when we talk about garment finishing, to be honest, with the licenses that we have in place with Yarmak and and also Ramsons as as as our preexisting, we've already started to get major machine installations.

38:09 What we'll do now is see more installations in the back of that beyond the initial installs, and what will help, which will effectively create the push of the technology into the market and what will create the pull is that we already have conversations ongoing with a number of apparel brands or apparel retailers. And they are very, very keen on the technology for obvious reasons. It's cheaper to manufacture the denim, which is always of interest to these guys, but it's greener as well. And we've talked through the presentation about the amount of pressure that they're under to be able to deliver initiatives that will support with that. We again see absolutely no reason why every single garment which is processed should not feature the XEROS TECHNOLOGY the longer term. And that gives you a sense of the revenue opportunities on the bottom line. Seems a bit crazy in the longer term, but that's the reality of what this business could and and should be worth when we reach those goals.

39:06 Okay. Alex, you wanna give us a headline on financials? Yeah. Obviously, we we already started some results earlier in September. What what I would say, revenue was a little bit down on last year. The the kind of caveat I put to that is we're now given we're live and we're we're selling XSubs to our partners, we are a little bit beholden to when those things happen. We we had an unfortunately timed, sale very early July, which would have, kind of more than doubled our revenue for the first half, but but that's that's kind of the the distribution case that we're working at the moment. The the, kind of pleasing things from our perspective, Neil and I have always been focused on looking after our cash and making sure that we are getting the most out of the resources that we have. Our administrative expense expense and consequently, our net cash outflow from operations were down significantly against 2024, so down over 30% in both cases.

39:54 We have worked very hard to to manage the cash that we have, and we are at a cost base that we believe is appropriate and stable. You know, we have, major opportunities in front of us in terms of, the the global manufacturer, particularly on on domestic, but but the other kind of core technologies. The team that we have in place at the moment is,

40:14 is focused and capable on delivering those those, opportunities, and we do don't see the need for, you know, for for for the the good work that we've done kinda getting our cost base under control to to reverse it in any significant way over the next couple of years. So that's sort what kind of the highlights I wanted to wanted to to bring out on on the finances. I don't mostly go through this in in huge amounts of detail. I'm always happy to answer questions if if there are some, but we can kinda move move on to the summary piece if that's appropriate. Yeah. I I mean, again, hopefully, that that that those of you in attendance today know the story pretty well. I I I think it sometimes is worth just reconfirming, reminding ourselves we are market ready. We have commercial agreements in place. I was saying launching in 2025. We are offering up technology, which is of extreme interest to our our our industries that we're trying to buy, you know, is is is a global market growth, which is driven by that.

41:09 We genuinely have market leading technologies we've been able to talk you through, and our model is such as that even as we start to grow, as you can see, we're starting to do so. We're not manufacturing. We're not distributing any of the product ourselves. So actually, our model is is is lean is very lean and and and has the capacity to be extremely, extremely profitable. And perhaps most important in all of this is what we have very significant protection and coverage as well. So 38 patient families of IP. Okay. Super. I think if we pause for a second and and maybe move on to questions. Shall I just crack on with that myself, Jake? Absolutely, guys. If I may just jump back in there momentarily before we move to the q and a. But thank you very much indeed for your presentation this afternoon.

41:58 Ladies and gentlemen, please do continue to submit your questions just by using the Q and A tab that's situated on the right hand corner of your screen. But just while the team take a few moments to review those questions that have been submitted already, I'd just like to remind you that a recording of this presentation along with a copy of the slides and the published q and a can all be accessed via your investor dashboards.

42:17 Guys, as you can see there, we have received a number of questions throughout your presentation this afternoon. So if I may just hand back to you to read out those questions and give your responses where it's appropriate to do so. And if I pick up from you at the end, that would be great. Thank you. Great. Okay. Super. Thank you for that, Jake. Yeah. As you said, quite a number of questions, which is which is great that we've got that level of level of interest in terms of what we're doing. We'll do our best to be able to answer them as openly and honestly as we can, also to manage expectations. Some specific questions, there's definitely a theme coming through, which we probably won't be able to answer, which I think you can understand why, but I'll I'll go through them each each in each in turn. So I I guess the the first question which has come through, which is pre submitted from yesterday,

42:57 is effectively about our cash burn. I mean, Alex, if you wanna give everybody a sense of the control we've got on Yeah. So so as as we mentioned on the when I was running through the financials, we've got our our cash burners come comes down significantly from, from where it has been in the past. I think we're at at around $2.50 a month, but at the moment, that that's kind of on the bigger month side of things. We have some months, below that. And when we

43:22 have kind of the bigger kind of, quarterly bills, that kind of thing, we can get up to the $2.50 side. So we are we are down from from where we have been, and we expect to, you know, expect to continue that that that downward trend for the full year this year when we when we report our results at the end of the year. I would just add to that, which is just to say that whilst we've obviously tried to be prudent in terms of our management, of course, that as I hope everybody can see in terms of the updates we've shared has not been at all to the detriment of the commercial progression of the business quite contrary. The reality is that the reduction in cost is through prudence. It's not because we've got rid of people that we would have liked to have had. We have changed the makeup. We have changed the focus of the business, which is very much upon execution of what is technology ready to be able to to to go to market now today. So we have right sized it, and we've right resourced it. And and and actually, yeah, we continue to to keep a very close eye upon that.

44:18 I move on to there there is a bit of commonality, as I said, in terms of some of these questions, so apologies if I don't specifically read out your question. But if I can move on, there is awareness of the fact that Matter have been selected as a finalist for the Earthshot Prize. So for those of you who don't know, Matter Technologies is a another another UK based business down in Bristol entirely exclusively focused on microfiber filtration. So how do how do we feel about that? I think there are in in all all honesty, I'm delighted. I'm really, really pleased about the fact that they have achieved that level of recognition for what is a significant problem. And as we've already pointed out through our presentation, there is not enough awareness of the fact that the laundering of clothes creates a a scarily large amount of microfiber microfiber pollution.

45:21 So it's great that they are getting some really good coverage on the back of that. We have a friendly rivalry, I think you could probably say, because we we absolutely, to be honest, feel there is more than enough room and there's more enough space for XEROS and MATTER to be able to coexist and actually both both bring solutions to the market. I I think the other piece, also, if we're honest about this, which is that if there were only one company which was able to offer up viable solutions to this problem, I think it becomes a bit uncomfortable and becomes a bit difficult for people to legislate towards. It's not just ourselves in matter. I think there are others as well that have been active within this space, but I think it's a it's a really good thing. I mean, to the ultimate question of do we feel as though there is an opportunity for XEROS? I think the fact that we have secured the partnerships that we've just talked about gives you very clear evidence of the fact that we do.

46:19 I think equally in terms of our ability to be able to perform and the quality of our of our execution, we are very confident in it indeed. And it's not just that we are very confident in it. We in our conversations with whether they are manufacturers, the the OEMs, or indeed retailers, we get very, very good feedback on the quality of our of our solutions. So we actually see it as as a really good thing to raise awareness, and actually, I think it helps us helps us not even just in the long term, but in the short term as well. A few more questions in terms of working capital. I think maybe more broadly that there is a recognition of the fact that whilst it's great, obviously, that we have this we have this partnership on the the the fabric care technology as well, guess people are trying to understand, well, what what does that mean? So I will just to remind you that as I stated in the presentation, we we have a development process, a kind of a an off the shelf development process, which they have bought into, which they're working with. That clearly requires XEROS engineers.

47:30 That requires our know how. Some consumables write it to that. We we do pay we do charge for that. So it isn't that the next twelve to eighteen months period whereby we're we're working towards having that product ready for market will be without any kind of opportunity for XEROS to cover its costs. It's it absolutely won't won't be the case. I mean, the bigger picture within this is that the XEROS model is that we will effectively recoup our work and get the benefit of the the years, if you like, of development and the IP coverage that we've got in terms of effectively a license to use that technology, and that license is represented in what we call a certification mark. That certification mark is effectively a hologram with the XEROS branding on it and a and a QR card to take QR code to be able to take you through to a technology explainer.

48:26 That QR code is is effectively our validation of the fact the technology is is is is right and is and is relevant. But equally, it's our way to be able to ensure that we get our royalty back on that, which is the first base. And the second bit, which we've always said, is that we control the supply of the XORs, not not least because we need to do that to be diligent in terms of making sure that they are appropriate and meet a certain standard in terms of their initial supply, but equally in terms of if in certain industries such as denim and commercial laundry, those need to come back to us for reprocessing as well. So so clearly, that's another revenue stream for for XEROS as well. If we can work towards a rule of thumb, which is twelve to eighteen months is development program, clearly, that's for product to come off a production line. The supply of XSORPs clearly needs to to come before that as well. So I see from our perspective, opportunity for XEROS to be able to generate cash from that agreement in in the in the short term is is there. And actually, even in the medium term, it's absolutely there as well. The second thing is I would just remind you, as Klaus pointed out, and I and I mentioned also in the the section relating to Fabric Care, it's not just the agreement that we've talked about this morning.

49:40 There are another three in the pipeline. So whilst we're talking about Quantum $78,000,000 in terms of access to that market, there is about another 20 which we're lining up, which we're, you know, we're we're pretty confident we'll start to land those in the forthcoming months, and then you can see that increase from one to two to three to four. And then actually, the the financials related to it start to become pretty compelling even in the short term. Okay. I mean, to give you a sense of this, there's a question here related to will XEROS technology be in all of the machines? I I think we've covered that off to a certain degree. We absolutely believe that the technology has the capability to be a a default a default within that in in due course for the reasons that we've mentioned, which is it is cheaper longer term for the use of the of the machine and the cleaning of clothes.

50:35 But certainly in in the immediate term, I mean, it's clearly not going from 0 to 7,000,000 overnight, but we feel as though there is a very good opportunity to be able to grab a quite significant market share. The other thing within this as well, which is quite exciting is that whilst we wouldn't propose people getting rid of a perfectly good washing machine, when there is historically new technology which is put into the marketplace, this is quite often the rationale or the reason for people to change their machines. So in a way, we can create our own specific market related to that as well. You think about it as somebody that's had a machine for five or six years, they're thinking about, should I change it? And they've got something new in the market like, well, that's game changing. Now I want to purchase my machine. So we're we're quietly confident that actually the the volumes on this really could be quite significant within the short term as well.

51:26 Question relating to IP and our IP insurance. I don't know if you wanna take that one, Alex. Yeah. So we are, we're confident in our in our IP portfolio. We we we have invested significantly over the years in in making sure that we've got the right IP in the right areas that cover the cover both the kind of processes that that that we work under and that we, and the kind of physical things that we do. The the other thing will be about the partnerships that that that we have. I know, I mean, there tends to be a nervousness around, particularly, the the, kind of Asia when it comes to to IP and and the and the robustness of any protections you have there. We we have, some of the the most significant kind of manufacturers in in China on our side here. You know, the one of the reasons that we have we partnered with Dunlimp, specifically is that they are, you they know, are the world's biggest small domestic appliance manufacturer.

52:17 They're they are, incredibly significant in that market, and I guess that that provides us a level of comfort that they they, see the value in our in our technology, see the value of working with us on a kind of partnership basis, which is which is the the way in which that relationship has been conducted so far, and that that gives us a little bit more confidence in terms of the the kind of protection that we have in in that part of the world. So now we we we are confident in our IP. We're also confident in the know how of what we do and the engineers that we have. It's, you know, it's it's taken us a while to get as good at at the things that we do as as we are. It is not as straightforward as chucking, you know, a few kilos of XSG in a washing machine and hoping for the best. There is there is an art and a science to it, which which the guys here are very, good at, and and it's and it's that access that people need as well. So, we're we're kinda confident on that on that basis as well.

53:08 Okay. So some some questions related to the filtration piece. So one specifically about do we expect efficiency gains from the two agreements that we've got, you know, to to to to supplement and complement what we have with Russell Hobbs. I think the answer is yes, clear clear clearly. I mean, the goal was never just to have the Russell Hobbs piece. I think as we mentioned at the time, they were very keen to secure the partnership, which is why they wanted to give us that commitment earlier than probably we we we were asking for it. But, I mean, the efficiencies will be multiple. So firstly, clearly, the more routes to market, more points of distribution we have, the more units we will be able to sell. That always gives us an opportunity to be able to get better cost of goods, not just for ourselves, but equally for our partners within that as well. But actually, the probably more important piece within this is that I've been really keen that we can start to get some data and and and the more points of distribution that we've got so we can understand actually what are the purchase habits and indeed the use user habits, not just to people within The UK, but in the other key markets, which will now cover Germany, Iberia, France, Italy, and indeed, nor Nordics and and The Benelux and Switzerland. Don't forget. So it's I think we'll be actually a very interesting market.

54:24 We'll really be able to get some very rich data back from what those experiences look like. So what do people really like about the product? How much are they willing to pay for it? That will really help us to be able to fine tune our propositions, probably speaking candidly in the longer term when we're thinking about the integrated solution as well. So, yeah, absolutely, we're expecting we're expecting to get some significant kind of synergies related to that. There's also a question related to how the filters are cleaned. It's a really interesting one, and and actually, the the the individual has put their finger quite on it on it, which is it obviously wouldn't be good to capture all the bad stuff only to have them wash it out. And you're a 100% right. Unfortunately, there is a natural habit. It's a learned habit, I think, that we probably all have, which is that when you've got something with some residue within it, people are very tempted to put it under the under the the tap in the sink.

55:20 So I I think in a very basic sense, how how does how do we clean ours? And and it's actually a real point of difference that nobody nobody else has. So the the first point is that, actually, the filtride as we call it, which is the the the the the micro cap microfibers which are captured within our filter is dry. And that, I think, is a really important part of it. We managed to dry it because we have the rotating filter. So even after the water has passed through and it's been captured, we continue to spin that so that it dries out the the the filtrate and that makes a much more maybe enjoyable is not the right way to use, but it makes it a much more acceptable experience for a consumer. So effectively, you can withdraw the filter cage from the device. And and then we've also again got a a patent which covers what we call kind of a salt and pepper grinder mechanism. There's an internal kind of baffle, which when it comes into contact with the the filter effectively sees all of the filter, I drop out in a very neat and neat fashion. And as I said, because it's been dried off, it comes out it comes out very easily.

56:26 We very clearly highlight and we have how to videos and an instruction manual. So please please do not please do not watch this under the sink because otherwise, you're absolutely right. It kind of defeats the purpose of that. So I I think there will obviously be a bit of a user education, but actually, we've been through some of that. We have we've obviously been quite diligent in getting kind of some of those consumer insights before we've launched the market, and actually, we've been able to manage that piece pretty well. So, yeah, good question, but we've we've covered that off. We've spent an awful lot of time not just thinking about the efficiency of the filter, but about the consumers experience when they use it as well. There is a question related to competitors.

57:12 I mean, I think we've covered it off a little bit when it comes to the microfiber filtration piece. If I talk maybe about some of the others, so if I talk about denim, and we've spoken at length over the last few years about the fact that this is effectively an alternative. It is the competition to a pre exist preexisting process in denim process, which is the use of pumice stone. So that's not something that the industry wants to have to do anymore. It's something that retailers and brands are saying they don't want them to anymore. Unfortunately, they're also saying, but we still we do still want this specific look and feel that we're getting on the denim as well. There have been over the years a number of different attempts to be able to replicate that same look and feel.

57:58 None of them has been none of them has stuck. I think the best way to describe it within the industry, none of them has been able to offer this up at the at a parity, let alone a reduced cost in the way that XEROS technology has. So we're very confident, I see, that that when it comes to the denim processing, we're in a really strong position. And then I think to cover off the fabric care technology as well, when it comes to water energy efficiency, the washing machine companies have tried for a number of years to try and improve the efficiencies within that. In reality, it's been more about marketing of efficiencies. So, yes, they might have got to a certain level of water usage or indeed a certain level of of energy usage, but it's only ever been on one cycle. So the energy benefits that you get from the XEROS energy and water saving benefits you get from XEROS technology, which you get across the board, they cannot do. But more importantly, the key issue which we highlighted further up in the presentation is that nobody has come anywhere close to being able to find a way to clean clothes, which is ultimately what we all want without damaging them. There is a very distinct reason that we are getting the level of interest that we are right now. Admittedly, is because as part of our changes within the business in the last two years, we have changed the messaging related to what our technology does.

59:20 And do you know what? Funny enough, when you start talking to washing machine companies about how they can offer a solution to consumers and ultimately sell more machines, it's it's of interest to them. So, yeah, we're very we're very comfortable we're very comfortable when it comes to our level of competitive edge, if you put it that way. There are a number of probably about three quarters of the questions are related to either guidance for 2026 and beyond. It's not something that we can get into during this session, but what I can say to to leave people a a level of confidence is that that is something that working with our brokers, we will be able to put into the market in in in quite short order.

1:00:08 The second point is that there are a number of questions related to cash flow in terms of the current cash we've got, a number of questions related to to whether we will need to raise more capital capital or whether there's debt open to that. I mean, I think, Alex, the the the the reality is Yeah. So it covers a bit of background as we talked about that cash flow coming down, and and that's as a as a result of the the decisions that we've taken to to manage our cash in the most appropriate way. So that's the kind of cash out the door. The cash in the door is starting to come in in a way that it's not done before. So we have seen revenue from from the side of XSG this year from from IBM from Yulmak. We are seeing Euromac starting to sell machines. We know that there will be excess revenue coming through in short order, so there's cash coming in the door in that way.

1:00:57 We keep our cash requirements under review the whole time as you'd expect, and we have, we are, as a board, considering the, the things that we need to do, to to make sure we can execute execute properly on the on the opportunities in front of us, and make sure that we make the most of the the really good positions we're in across our all of our technologies. So we are we keep that under review, and we we're considering all the options open to us. Okay. Very good. Couple more questions that have come through. So one one in particular, which is what what effect effectively do we anticipate to the washing machine industry on the back of the announcement that we've made today? It's a very astute question. So do we think the second and third would be more compelled to follow more quickly? The the short answer is yes. Now we have announced it today, but as I kind of tried to explain the this industry, even though it's massive, it's global, it's, you know, it's hundreds of millions of units, it's really only 10 companies, and there's an awful lot of movement of people within those companies.

1:01:58 So if you talk and you start working with one or two, it pretty soon becomes fairly common knowledge throughout the industry. So we have not clearly told others if we are doing something or not, but it's becoming known. And in fact, we're starting to see it play back to us. So do we expect that it will give a little bit of a hurry up to the to the second and third? It it will certainly it will certainly support what we want to try and achieve with that. We have often used the phrase about the fear of being first, which a very conservative industry always has, like washing machines, very quickly leads to the fear of missing out. And we we've stolen that from Dutch Timber, the the recent addition to our advisory board, but it's absolutely relevant. Once one of these guys goes, everybody else will start to panic and realize that they need to have it as well.

1:02:49 We have seen it within this industry. I used the example of direct drive motors. For many years, the washing washing machine industry used belt driven motors. That was the most efficient way they could do it. As soon as one of them created a more efficient way to directly interface the the motor to to to the drum, which was cheaper, much more efficient, last a lot longer than, I guess, what everybody else followed, sir. So, yes, we absolutely see that not just actually with the second and third and fourth that we've got currently in in processes with, but actually with the industry at large. And and we've even started to see that, which is we always keep a line of communication open pretty much with everybody. And one of those, in particular, the back phone has been ringing, and they've asked to start doing something to start a consideration of what what what that could look like as well. So, yes, it's absolutely it's a very positive signal, not just in terms of our fortunes as a business, but to the industry at large.

1:03:49 Just scanning through yes. So there's a question about what our definitions are in terms of midterm and long term from the strategy slide. So I think mid mid midterm is is is pretty much within the next two two, three years. We absolutely feel that that's achievable, and actually longer term, it is thereafter. So, I mean, in some cases, we're talking about strategically where do we wanna get the business to. I don't think I'm in a position, I don't think anybody would expect me to to say we believe that within ten years, every single washing machine will have this technology within it, but that is not that is not an unreasonable expectation to take. And if you're thinking about what is the full opportunity for the business, this is I suppose the point we're trying to make is this is by no means a niche technology.

1:04:39 It has the potential, not just the potential. I almost feel like it has the right to get to that point where it's it's being used in all machines, for sure, because it offers cost reductions, but actually because it's it's it's it's better for the it's better for the planet, and it's better for every every other stakeholder within the industry as well. Just having a quick look. Class, I don't know if there's any in particular that you've seen that you you you feel you want to opine upon. No. Nothing specific, but maybe a little bit of perspective from from my side on the the forward looking questions. Last we seem to have lost your audio, class, I'm afraid. Can you not hear me? Just whilst class is kind of sorting out his his audio, none other than of questions, which is, are you considering a partnership with the manufacturer, I e providing some equity versus strategic partnerships?

1:05:37 I mean, I I think this is a question more broadly about the nature of the relationship that XEROS will have with any potential manufacturing partnership. I think we are quite straight in the way that we operate with people today. We are still in a growing stage. We are by no means a mature, present partner within within the space. We've talked through what the model looks like today, and that is absolutely the right model for XEROS. But perhaps just as importantly, it's the right model for the partnerships that we want to be able to work with. If there is a piece related to, well, could we envisage a scenario at some future date where there is maybe joint ventures or there could be even equity places? I don't think any of that can be taken off the off the table, but I think ultimately that's what that's what we believe is is is achievable.

1:06:29 Okay. I don't know. Hear me now? Class is is coming through. I'm here. It's just us. So sorry, class. If you go ahead again. Yeah. No. Exactly. I wanted to make a more general comment rather than answering specific questions. But given the number of questions that are sort of about forward looking, we we're launching a number of new categories into new markets with partners, and that creates uncertain creates uncertainty about timing. It creates uncertainty about sort of what the ramp is going to look like, how quickly are these products going to be adopted by markets, how quickly are our partners going to push them into markets.

1:07:15 So near term, there is a lot of variability in in terms of our outlook. But I think as we get through the next couple of years and the number of partners increases, the with better understanding of what product launches look like and and what the go to market of our partners is, I think we'll be able to provide better guidance. But at this point in time, there is, on the one hand, a lack of control because it's our partners that are driving that process. And it is new product, new markets, so there's uncertainty from that perspective as well, which makes it very difficult to give concrete guidance on a go forward basis. But expect sort of one to two years out that we'll be able to be a lot more specific be because we will have the data that to guide us. At this point, we don't.

1:08:04 But having said all of that, and I think, Neil, you you've hammered or or or sort of spoke about it a number of times today, is there is that that sort of near term uncertainty, and there is the big opportunity in the the mid to to longer term. And the path to getting there is still somewhat cloudy, but I think the conviction that we'll get there is is increasing every day. And I think that is what what people need to keep in mind. K. Very good. Maybe just one final one which has come through just in the last few minutes, which I think might be of interest to people is, you know, a a question specifically related to if you if you look within, we're getting kind of a little bit of an indication of what the the the potential revenue opportunities are for for XEROS in terms of some of the the tech, and we we talk about that in the domestic laundry. The question is, well, actually, does is that too much of a significant uplift in terms of the cost of goods of a washing machine?

1:09:08 You know, we've done some very good analysis. I mean, I think I've probably said it enough now, but, obviously, I'm I'm an old washing machine boy, but it's not just me. My my right hand man and all things kind of marketing and commercials, Steven, has has spent entirely too much time in the world of washing machines as a former colleague from my Whirlpool days. We've done some really good analysis about what we think is an appropriate go to market kind of cost for this product. We've done benchmarking versus similar kind of uplifts, and we absolutely believe that this percentage in terms of the cost and and and and obviously the the own cost at retail is is appropriate is appropriate. And, again, I would point towards the reality, which is that, yes, there might be an additional cost to take the technology in the first instance, but the reality is the savings that you will get through XSGIS will actually pay back in a very short period of time, and that's actually a piece of data that we're in the process of of of creating as well. So no. I I think that with everything, with new technology, you always play around with it to get to the right price points.

1:10:17 I think as we move to scale, which hopefully you get the sense we are absolutely going to do with a number of different partners, we can then in turn find a way to get our own cost of goods down, specifically when it comes to the XORPs as well. And then, clearly, we'll be able to to share some of those benefits. But no. No. We're we're we're comfortable that it works. You know? We we are not just a technology company. We're also pretty good on the sales and marketing side of things now as well. So we we we've done our processes appropriately in that regard. Okay. I think I think I'll have one last scan through, but I think by and large, we've covered off most of the kind of sentiment even if if we haven't necessarily covered the specifics. So, hopefully, everybody's got a good sense of where we are.

1:11:05 So maybe, Jake, if I could just hand back to you. Yeah. Absolutely, guys. And thank you very much indeed for being so generous of your time and addressing all of those questions that came in from investors this afternoon. And of course, if there are any further questions that do come through, we'll make these available to you afterwards. But Neil, perhaps before really now just looking to redirect those on the call to provide you with their feedback, which I know is particularly important to yourself and the company. If I could please just ask you for a few closing comments just to wrap up with, that'd be great. Yeah. Great. Thanks for that. I mean, I I I risk it maybe repeating what class says, but I mean, this class now is talk you know, certain classes know McKinsey, but sometimes you need to it very clear at the beginning of the conversation and then repeat it at the end as well to make sure that everybody is clear. The the announcement, not just in fact, not just the announcement we made today, but actually some of the other commercial developments that we've been able to share in the interims the last week are significant for this business. You know, these are not small potatoes.

1:12:01 We have made a very conscious decision to be able to focus in on all of the technologies and give them the level of support that I think is necessary because this technology has been market ready for for for a number of years. It's really all been about the go to market plan and finding those right partnerships. I am very, very confident indeed, whether it's Yealmak on our denim processing side of it, whether it is the three partnerships that we now have in terms of filtration for our go to market in the short term, and in particular, the four, the first of which has dropped today, partnerships that we have on care. We have the highest quality of partnership, which is in the offing. And just to remind you, these people are, if not the market leaders amongst the market leaders within this space, they would not they would not be wasting their time if they did not feel as though there was a very big and significant opportunity for them to be able to to to take this technology to market. So we are finally getting to the point that I hoped we would do in terms of some of these agreements when when I joined the business some three years ago. So I am I'm very pleased. I'm very confident that this is just the beginning. So we are now in that scale up process that I think everybody's been waiting for. So thank you very much for your time today, and thank you for your important support. Thank you all.

1:13:17 Perfect. No. That's great. And thank you all once again for updating investors this afternoon. Could I please ask investors not to close this session as you'll now be automatically redirected for the opportunity to provide your feedback in order the management team can really better understand your views and expectations. This will only take a few moments to complete, but I'm sure it'll be greatly valued by the company. On behalf of management team of XEROS TECHNOLOGY GROUP PLC, we would like to thank you for attending today's presentation. That now concludes today's session. So good afternoon to you all. Thank you. Thank you.