PRESS RELEASE
AB SCIENCE REPORTS ITS FINANCIAL RESULTS FOR THE FIRST HALF OF 2026 AND KEY EVENTS OF THE PERIOD
-- Change in AB Science's governance and implementation of a new strategy
-- Appointment of Stéphane Ledermann as Chairman and Chief
Executive Officer
-- In-depth overhaul of the Company's organisation and strategy
-- Priority given to the development of a new quality assurance
system
-- Web conference to be held on Wednesday 14 October 2026 at 6:00 pm
to present the Company's new ambitions in detail
-- Financial and corporate situation
-- Operating loss of EUR10.4 million as of 30 June 2026, mainly due
to the recognition of a EUR6.5 million provision relating to the
Research Tax Credit (Crédit d'Impôt Recherche, CIR)
-- Cash position of EUR8.9 million as of 30 June 2026, in addition to
which EUR16.5 million was raised through private placements
completed in July and August 2026
-- Final agreement on the renegotiation of the repayment terms of its
loans with all financial creditors
-- Clinical development
-- Masitinib:
-- Update on the development plan following a sponsor
inspection on Good Clinical Practice
-- Clinical trial insurance obtained for the Phase 3 study in
Amyotrophic Lateral Sclerosis (Lou Gehrig's disease)
covering up to EUR39 million
-- Identification of a potential biomarker to assess the
activity of masitinib on the pathological involvement of
microglia in Amyotrophic Lateral Sclerosis
-- AB8939:
-- Update on the Phase 1 study of AB8939 and completion of
Stage 3 of Phase 1, evaluating the combination of AB8939
and Venetoclax in the treatment of relapsed or refractory
acute myeloid leukaemia
Paris, 9 October 2026, 6.15pm CET
AB Science SA (Euronext - FR0010557264 - AB) today announces its half-year financial results as of 30 June 2026 and provides an update on its activities.
IMPLEMENTATION OF A NEW GOVERNANCE AND A NEW STRATEGY
Change in AB Science's governance and appointment of Stéphane Ledermann as Chairman and Chief Executive Officer
On 8 July 2026, AB Science announced the decision of its Board of Directors to change the Company's governance in order to enter a new stage of its development, as well as the co-optation of Stéphane Ledermann as Chairman and Chief Executive Officer. The Board of Directors decided to entrust its new Chairman and Chief Executive Officer with conducting a strategic review of the Company's activities, assets and prospects. On this occasion, Mr Alain Moussy, co-founder of AB Science, stepped down from his position as Chairman and Chief Executive Officer and remains a director and shareholder. He no longer holds any other operational role.
Implementation of a new organisation and a new ambition
Stéphane Ledermann initiated a transformation plan for AB Science as early as 13 July 2026. The main lines of this "Relaunch AB Science" plan were announced to all employees on 2 September 2026
The ambition is now to create value from all of the Company's assets, whatever their stage of development, to relaunch research and development and to finance the necessary clinical studies, in particular the AB8939 programme in acute myeloid leukaemia and masitinib in amyotrophic lateral sclerosis (Lou Gehrig's disease). This new strategy is built around the following pillars:
-- Priority given to the development of a new quality assurance system: led
by the Quality department but involving every department, this initiative
will ensure compliance with Good Clinical Practice for future studies.
-- In-depth overhaul of the Company's organisation in order to secure its
activities and meet regulatory requirements: in August 2026, AB Science
put in place a new, evolving organisation chart based on the creation of
new key functions, aimed at improving the Company's productivity and
operational efficiency. Several internal committees have been set up.
-- Development and value creation:
-- Raising the Company's profile beyond its current 28,000
shareholders,
-- Developing veterinary sales and thereby validating a complete
process from pre-sales through to customer delivery,
-- Securing existing and undisclosed assets through patent filings.
Patent protection opens a secure door to partnerships,
-- Entering into partnerships with public institutions renowned for
the rigour of their teams and their research,
-- Searching for possible "hits" among the Company's assets,
including an analysis of the 10,000 molecules created by AB
Science, using AI where appropriate,
-- Reconsidering the scientific choices imposed by the lack of
resources. Prioritising the best scientific option, with cost
being a consequence rather than the starting constraint,
-- The position of Vice President Corporate Development was created
as early as July with this objective of creating value from these
assets.
-- Strengthening financial visibility: breaking with repeated capital
increases that add no value, restoring market confidence through a
precise and credible roadmap, following on from the EUR14.2 million
capital increase completed in August 2026, and opening up the capital to
institutional investors.
-- Respect for all shareholders: in September 2026, AB Science carried out
an identifiable bearer share survey (TPI, Titre au Porteur Identifiable),
which showed that the Company is owned by more than 28,000 bearer
shareholders. The exercise of their rights will be facilitated by the
introduction of electronic voting at General Meetings. In addition, a new
website went live on 9 October, with a new logo, a new visual identity
and simplified scientific language that improves understanding of the
medical value created over many years.
A web conference in French will be held on Wednesday 14 October 2026 at 6:00 pm to present the Company's new roadmap in detail. Connection details will be communicated at a later date.
CONSOLIDATED FINANCIAL INFORMATION FOR THE FIRST HALF OF 2026
The operating result as of 30 June 2026 corresponds to a loss of EUR10.4 million, compared with a loss of EUR2.7 million as of 30 June 2025.
-- Operating income consists exclusively of revenue from the sale of the
drug Masivet in veterinary medicine. Revenue amounted to EUR498 thousand
as of 30 June 2026, compared with EUR515 thousand as of 30 June 2025.
-- The EUR7.6 million increase in costs between 2025 and 2026 is mainly
explained by the recognition of a EUR6.5 million provision relating to
the Research Tax Credit $(CIR)$, in the dispute between AB Science and the
French tax authorities (Direction Générale des Finances
Publiques, DGFiP). This provision reflects the risk relating to the
recovery of the EUR8.2 million CIR receivable, estimated following the
unfavourable decision handed down by the Paris Administrative Court on 22
September 2026. Excluding this exceptional item, R&D costs remained
essentially stable over the period, rising from EUR1.8 million to EUR2.0
million, reflecting the continuity of R&D work over the period.
-- Administrative costs increased by EUR1 million -- the main factor being a
EUR497 thousand provision for labour court (Prud'hommes) risk, the
remainder being reversals of exceptional provisions in 2025. Recurring
administrative costs are essentially unchanged year on year.
-- Cost of goods sold benefited from a positive impact related to
year-on-year movements in veterinary inventories. Masivet's commercial
activity remains stable, with however a slight increase in marketing
costs, which rose from EUR150 thousand to EUR170 thousand.
-- Other operating expenses relate to the discontinuation of patents deemed
non-essential and to the expensing of patent maintenance fees.
-- The financial result corresponds to a gain of EUR1.4 million for the
first half of 2026, compared with a loss of EUR2.5 million for the first
half of 2025. It includes in particular the change in conditional
advances of EUR2.0 million relating to an advance repayable in the event
of success (ROMANE -- ROle du MAstocyte en NEurologie), reflecting the
updating of assumptions on the basis of the new financing agreement
finalised in April 2026, which defers the repayment dates to the period
2027 to 2030 subject to commercial success. If the programme fails, the
conditional advances are not repaid.
-- As of 30 June 2026, income from financial assets consisted of investment
income of EUR111 thousand.
-- Interest on borrowings and financial debt of EUR674 thousand relates to
loans from the EIB, Bpifrance, Société Générale and
Banque Populaire. As a reminder, a conciliation agreement resulted in a
repayment holiday of 18 to 24 months on these repayments. For the most
part, the interest recorded here is payable under amortisation schedules
running from 2027 to 2030 and has no immediate impact on AB Science's
cash position.
Net income came to -EUR9.0 million as of 30 June 2026, compared with --EUR5.2 million as of 30 June 2025, for the reasons set out above.
The following table summarises the half-year consolidated financial statements for the first half of 2026, prepared in accordance with IFRS, and the comparative information for the first half of 2025:
In thousands of euros, except per share data 30/06/2026 30/06/2025 -------------------------------------------------- ---------- ---------- Net revenue 498 515 -------------------------------------------------- ---------- ---------- Cost of goods sold 50 (364) Marketing expenses (170) (150) Administrative expenses (1,897) (893) Research and development expenses (8,600) (1,837) Other operating expenses (294) 0 Operating result (10,411) (2,729) -------------------------------------------------- ---------- ---------- Financial income 2,109 212 Financial expenses (726) (2,661) Financial result 1,382 (2,448) -------------------------------------------------- ---------- ---------- Net income (9,029) (5,177) -------------------------------------------------- ---------- ---------- Other comprehensive income for the period, net of tax (6) 22 Total comprehensive income for the period (9,035) (5,155) -------------------------------------------------- ---------- ---------- Net income per share - in euros (0.13) (0.09) -------------------------------------------------- ---------- ---------- Diluted net income per share - in euros (0.13) (0.09) -------------------------------------------------- ---------- ---------- In thousands of euros 30/06/2026 31/12/2025 -------------------------- ---------- ---------- Cash and cash equivalents 8,980 10,179 Total assets 18,901 24,525 -------------------------- ---------- ---------- Shareholders' equity (22,454) (17,198) -------------------------- ---------- ---------- Non-current liabilities (25,223) (26,908) Trade payables (9,155) (9,300) Current liabilities (15,323) (14,815) -------------------------- ---------- ----------
KEY CLINICAL DEVELOPMENT EVENTS DURING THE FIRST HALF OF 2026 AND SINCE 30 JUNE 2026
Update on the development plan following a sponsor inspection on Good Clinical Practice
Following a Good Clinical Practice inspection conducted from 21 to 25 September 2026 by three European health authorities, AB Science is revising its operational plan. The final inspection report is expected before the end of the year. The preliminary findings support management in its priority of establishing a new quality management system. The finalisation of this system and its external audit are planned by the end of 2026, before clinical trials resume. AB Science anticipates resuming the Phase 1 study in acute myeloid leukaemia (AB8939) in the first quarter of 2027. The resumption of the Phase 3 study in amyotrophic lateral sclerosis (masitinib) is planned for the fourth quarter of 2027. This timeframe will make it possible to optimise the design and methodology of these two studies. The masitinib programme in sickle cell disease, sponsored by AP-HP, would not be affected and is expected to start in early 2027.
In addition, as announced in July 2026, the Company announced that three clinical studies considered non-priority at this stage, and whose recruitment had been suspended, are being discontinued, namely:
-- Phase 2 study (AB20006) of masitinib in mast cell activation syndrome
-- Phase 3 study (AB15003) of masitinib in mastocytosis
-- Phase 3 study (AB20009) of masitinib in progressive forms of multiple
sclerosis
The Company specified that the discontinuation of these studies was not related to any safety concern regarding masitinib.
Clinical trial insurance of EUR25 to EUR39 million obtained for the Phase 3 study in Amyotrophic Lateral Sclerosis
AB Science announced that it had received a firm offer to underwrite a clinical trial financing insurance policy from Medical & Commercial International Ltd. $(MCI)$, Lloyd's Syndicate 1902, for its pivotal Phase III trial AB23005 evaluating masitinib (AB1010) in combination with standard of care in amyotrophic lateral sclerosis (ALS -- Lou Gehrig's disease). The placement was arranged by Acrisure Re UK, in collaboration with its subsidiary Acrisure Re Netherlands. The policy provides coverage with no deductible, with a liability limit of EUR25 million that can be increased to EUR39 million, intended to cover all financial costs associated with a clinical failure. It takes effect on the date of enrolment of the first patient, subject to AB Science securing the financing required for the study and to payment of the premium of approximately EUR8 million (an amount including the insurance premium, taxes and brokerage fees, for a liability limit of EUR25 million; this premium may amount to approximately EUR13 million for a liability limit of EUR39 million).
The covered events include an efficacy failure according to FDA/EMA criteria, a safety failure, a recruitment failure, a regulatory suspension, a breach of GCP or of data integrity, early termination recommended by the independent committee, as well as manufacturing (CMC) issues.
This structure represents a significant reduction in the risk profile of the ALS programme and of the Company, with three benefits for shareholders: (i) protection of the capital invested up to EUR25 million in the event of failure; (ii) external validation of the trial design and regulatory pathway through the independent due diligence conducted by the insurer; (iii) improved capital efficiency and better conditions of access to debt and equity financing.
Identification of a potential biomarker to assess the activity of masitinib on the pathological involvement of microglia in amyotrophic lateral sclerosis
In February 2026, AB Science announced the identification of a potential biomarker to assess the activity of masitinib on the pathological involvement of microglia in amyotrophic lateral sclerosis.
The main characteristics of this newly identified biomarker are as follows:
-- It is a blood (plasma) biomarker, which has the advantage of being easy
to collect and of being accurately measured by ELISA (enzyme-linked
immunosorbent assay).
-- It is produced by pro-inflammatory microglia.
-- It activates microglia and astrocytes and is therefore an activator
contributing to a harmful feedback loop of neuroinflammation.
-- It is also released by mast cells, thereby establishing a link between
mast cells and microglia, which are the two main cellular targets of
masitinib.
-- It predicts survival in ALS, which could explain why masitinib may
prolong survival in certain specific patients.
-- Internal experiments showed that this biomarker was reduced by masitinib
when mast cells and microglia were activated in vitro, highlighting the
specific and potent activity of masitinib on mast cells and microglia.
Update on the Phase 1 study of AB8939 and completion of Stage 3 of Phase 1, evaluating the combination of AB8939 and Venetoclax in the treatment of relapsed or refractory acute myeloid leukaemia
In January 2026, AB Science reviewed the status of the Phase 1 study of AB8939 and the fourth consecutive response with the combination of AB8939 and Venetoclax in patients with acute myeloid leukaemia (AML) associated with a very unfavourable genetic profile.
-- The combination treatment was well tolerated, with no haematological
toxicity or dose-limiting toxicity
-- The fourth patient had a complex karyotype including monosomy of
chromosome 5 and a TP53 mutation, and was in third-line treatment. The
patient achieved a near-complete response after 14 days of treatment with
AB8939 at 21 mg/m2 combined with Venetoclax
-- This is the fourth patient showing signs of response to the combination
out of a total of 4 patients treated
-- The rate of partial response signals is 100% (4/4), including one patient
in complete remission, one in near-complete response and two in partial
response according to the clinical approach
-- The results were obtained after the first treatment cycle (14 days) in
patients receiving third- or fourth-line treatment, two of whom had
previously progressed on Venetoclax in combination with other
chemotherapies
-- These four patients all have cytogenetic profiles that are very difficult
to treat, including complex karyotype, TP53 mutation, NRAS mutation,
monosomy 5 and MECOM rearrangement, which are generally associated with a
poor prognosis due to the aggressive course of the disease and resistance
to treatment
-- This diversity of responding patients appears to corroborate the
mechanism of action of AB8939, which is able to destabilise microtubules
while bypassing multidrug resistance and also by targeting cancer stem
cells without eliminating non-tumour stem cells
-- These results support the positioning of AB8939 in patients with
unfavourable genetics, complex karyotypes, TP53, NRAS and KRAS mutations,
monosomy 5 and 7, and MECOM rearrangement, who represent the greatest
unmet medical needs