Half Yearly Report

The information contained within this announcement is deemed to constitute inside information as stipulated under the retained EU law version of the Market Abuse Regulation (EU) No. 596/2014 (the "UK MAR") which is part of UK law by virtue of the European Union (Withdrawal) Act 2018. The information is disclosed in accordance with the Company's obligations under Article 17 of the UK MAR. Upon the publication of this announcement, this inside information is now considered to be in the public domain.

17 September 2025

Eden Research plc

("Eden" or "the Company")

Half Yearly Report

Eden Research plc (AIM: EDEN), a leader in sustainable biopesticide and biocontrol technology, announces its interim results for the six months ended 30 June 2025.

Financial highlights

· Revenue for the period of £1.2m (H1 2024: £1.9m)

· Product sales of £1.1m (H1 2024: £1.7m)

· Operating loss for the period of £1.7m (H1 2024: £1.3m)

· Cash and cash equivalents of £1.8m (H1 2024: £4.9m). Current cash position is £1.9m.

· The cash reduction reflects both the sales weighting and the fact that several payments from major customers fell into H2. The Company does not currently expect to need to raise additional funds for its existing working capital requirements for the foreseeable future.

· To align with the reporting practices in agriculture and to modify seasonality as well as avoiding logistic and commercial difficulties of production and sales during the December period, the Company will seek to move its accounting reference date to 31 March. The impact on reporting calendar and further detail on the rationale is set out in the Chief Executive Officer's Statement below.

· The Board anticipates that with the extended reporting period, a proportion of December revenues will now be recognised in the historically quiet Q1 2026, and that the Company will therefore meet its 2025 expectations over the 15-month period. This is also based on the previously indicated assumptions of receiving a timely emergency use authorisation for Ecovelex in Italy again this year and commensurate sales, as well as a typical level of post-season sales of Mevalone and Cedroz.

Operational and corporate highlights

· Approval of flagship fungicide product, Mevalone®, for the control of powdery mildew on grapes in California.

· Appointment of Andermatt Kenya as the Company's exclusive distribution partner for Mevalone in Kenya.

· Agreement with Veto-pharma, a French pharmaceutical laboratory, to supply thymol for bee health applications in the United States.

· Award of a Knowledge Transfer Partnership grant by Innovate UK and formation of a strategic partnership with Royal Holloway to expand the development of Eden's flagship seed treatment product to include new cereal and vegetable seeds, leveraging non-dilutive funding and world-class seeds expertise.

Lykele van der Broek, Chairman of Eden Research, commented:

"Whilst the 2025 first half results reflect the seasonality of our industry more markedly than in 2024, given the unusually warm spring and summer, the Company has continued to make good progress on several fronts and, importantly, expects 2025 to be a good year, overall. With the adjustment of the year end date providing the capacity to move some December revenue into Q1, we now expect to achieve our full-year revenue guidance of £5m albeit over the 15-month period. This is on the basis of a timely emergency use authorisation for Ecovelex in Italy and commensurate sales, as well as a typical level of post-season sales of Mevalone and Cedroz.

The label extension of Mevalone in California, granted at the beginning of the year, will help expand the market opportunity in the US while we continue to await the removal of certain restrictions in the US that will ultimately expand the market meaningfully.

The appointment of Andermatt as the Company's exclusive distribution partner for Mevalone in Kenya should result in material product sales revenue being generated in short order, with approval already in place and the first orders being processed and delivered before year-end, subject to import clearance.

In the background, the development team has made significant advances with the Company's new fungicide product, which is used to tackle late blight in potatoes and other high value fruit and vegetables. The potential for this product is vast, driven by the removal of certain key conventional chemistries from the market that have been the primary solutions for farmers for many years.

In addition, a second insecticidal product is being tested, which has shown promising results against lepidoptera (moths), another interesting and potentially lucrative market opportunity.

Meanwhile, the commercial team continues to negotiate with several interested parties over the Company's first insecticide, with a conclusion expected in the coming months.

In summary, there's a lot happening at Eden and, as such, I remain very confident in the future success of Eden and would like to thank our shareholders for their continued support and belief in us."

For further information, contact:

Chief Executive Officer's Statement

To date, 2025 has broken a number of records for being one of the hottest years in documented history. Not only have temperatures across Europe been well above seasonal norms, but we have also endured longer and more frequent heatwaves. Precipitation across southern Europe (today Eden's largest market) has also been far lower than normal. Together, this has put an incredible amount of strain on the farming industry in our key markets that depend on predictable weather patterns and consistent rainfall. For the crop protection industry, long, dry summers reduce the prevalence of certain crop diseases on farms and impact demand for insecticides. Although this doesn't necessarily negatively impact all biocontrol products, it has had some impact on H1 sales of our main product, Mevalone, which is primarily used to tackle outbreaks of Botrytis cinerea, which is not as prevalent in hot, dry conditions.

Generally, Eden's revenues are split one-third in the first half of the calendar year and two-thirds in the second half. Notably, 2024 was an unusual year with the first half making up around 44% of the full year's revenue. Consequently, 2025 has presented the opposite dynamic with around 24% of forecast full year revenue falling in the first six months of the year.

We continue to expect 2025 to be a year of good growth in many areas of the business, such as in Spain where label extensions are driving growth even with challenging growing conditions. In addition, behind the scenes, we are very excited with the progress the team at Eden has made in the development of its new products, such as the first and second-generation insecticides and our second-generation fungicide, for which interest from third parties is already abundant.

Financial performance

Revenue for the period decreased by 37% to £1.2m from £1.9m in H1 2024, of which product sales made up £1.1m (H1 2024: £1.7m).

The operating loss for the period was £1.7m, an increase of 23% on H1 2024 when it was £1.3m. This was a reflection of the reduced sales versus H1 2024, as well as an increase in staff costs as the Company increased its headcount slightly in line with our business plan.

At 30 June 2025, cash and cash equivalents stood at £1.8m, down from £4.9m at 30 June 2024. The cash reduction reflects both the sales weighting and the fact that a number of payments from major customers fell into H2. The current cash position is £1.9m.

In the six months to 30 June 2025, Eden has invested £0.7m (H1 2024: £1.1m) in intangible assets, including development and regulatory costs.

Regulatory costs are expected to be lower on a pro-rata basis in the 15 Months to 31 March 2026, compared to FY2024, due to a reduction in costs associated with the renewal of Eden's three active ingredients in the EU, as well as those related to the full registration of Ecovelex.

However, Eden has continued to invest meaningfully in the development of its product portfolio, both through advancing regulatory submissions (new formulations and label extensions of existing products) and through laboratory and field work to assist in the commercialisation of those products.

The revenue guidance of £5.0m is underpinned by an expectation of sales of Ecovelex being made under an emergency use approval in Italy, as was the case in 2023 and 2024, as well as a typical level of post-season sales of Mevalone and Cedroz.

Overheads in the 15 Months to 31 March 2026 are expected to remain broadly unchanged when compared on a pro-rata basis to FY2024 with investments in regulatory and product development expected to decrease slightly. In particular, the high level of investment made in FY2024 for the renewal of Eden's three active ingredients in the EU is not expected to be at the same level in the 15 Months to 31 March 2026 on a pro-rata basis, though further studies could still be requested by the authorities as a part of the renewal process, as is often the case with any regulatory approval process. The potential for regulators to require additional studies through any product or active substance review process can be difficult to anticipate, and so the Company is managing the regulatory process with its typical high level of diligence and vigour.

The Company does not currently expect to need to raise additional funds for its existing working capital requirements for the foreseeable future, though additional funding may be pursued to support the acceleration of commercialisation activities, should the opportunity arise.

Operational review

New approval in California represents new sales growth opportunities

In the US, we saw Mevalone obtain state regulatory approval in California for its use to control powdery mildew on grapes. We had been anticipating this approval since Mevalone had first been authorised for its use against Botrytis cinerea, and we're pleased that this was eventually granted.

California is an important territory for Eden as it is not only one of the largest agricultural markets for high-value horticultural crops, but is also home to the US's largest, by far, and most prestigious wine-growing territories. Although at a relatively early stage, we are working intensively with our distribution partner to maximise the potential available to us with a view to reaching peak sales sooner rather than later.

There are a few remaining use restrictions that have been applied to Mevalone regarding personal protective equipment and the number of acres that can be treated in a day. These restrictions on Mevalone and other similar biopesticides were introduced between the time of our dossier submission and the ultimate grant of our approval. While these restrictions do not apply to Mevalone in all other states or countries, it is not uncommon for a regulator to act in such a way in the interests of farmer safety. Our regulatory team is working very closely with the Californian authorities to provide them with the required information to enable them to disapply these restrictions. We are confident that these restrictions will be removed, as they currently represent an inconvenience to grape growers and artificially restrict the appeal of the product in use. The restriction removal will increase the marketability of the product and expand its market share moving forward.

Enhancing our distribution network in frontier markets

Earlier in the year, we announced the appointment of Andermatt Kenya Limited ("Andermatt") as our exclusive distribution partner for Mevalone in Kenya. This strategic appointment had been made to support our growth in a key frontier market for the business. Beyond the emergence of Kenya as a rising economy on the world stage, it already serves as a key exporter of produce, including fruits, vegetables, and cut flowers. We already have regulatory approval to control and treat Botrytis cinerea and powdery mildew on a variety of crops, and we very much intend to continue broadening the label in a bid to increase our addressable market. Thus far, Andermatt has proven an enthusiastic and aggressive commercial partner, and we look forward to working with them to achieve the potential for Mevalone in this important country.

Building partnerships to support development growth

As a business focussed on the ongoing commercialisation of our technology and portfolio of biocontrol products, we are always assessing ways to fund these programmes effectively and efficiently with the capital available to us. One way we can do this is through government grant funding, as is exemplified in the partnership that we formed with Royal Holloway, University of London ("Royal Holloway") in June 2025, under Innovate UK's Knowledge Transfer Partnership ("KTP") programme. The KTP, which has been set up to accelerate the development of Ecovelex to include new cereals and vegetable seeds, is funded 67% by Innovate UK, with the remaining 33% by Eden, meaning that the cost of this programme is a third of what it would be without grant support. What's more, Eden stands to benefit from the specialist academic expertise and facilities access that Royal Holloway provides, as well as a KTP associate, whose role is subsidised by Innovate UK. The early stages of the project are currently underway.

Building on this recent success, the management team is actively assessing other similar opportunities to efficiently fund the development of new and existing projects.

Diversifying our revenue streams

First and foremost, we are focused on biocontrol for sustainable agriculture, and the heart of the business remains focussed upon this mission. However, where it makes sense for the business, we can also apply our innovative technology, intellectual property and expertise to other sectors and industries. For example, in April 2025, we announced that we had entered a supply agreement with Véto-pharma, a French pharmaceutical laboratory specialising in animal health, to supply thymol for use in bee care products. As a naturally occurring bioactive molecule found in the essential oils of several plants, including thyme, oregano and sage, it acts as a highly effective compound to treat varroa mite in bees, a major problem plaguing these critical pollinators. We will continue to look for these opportunities to leverage our active ingredient registrations, where they make sense and provide a strong return on our investment.

Progressing the commercialisation of our insecticide

Over the course of H1 2025, we have worked in depth with a number of parties who have expressed interest in our insecticide to narrow our shortlist of potential partners to advance the product's commercialisation. We are now in advanced stages of these discussions with a small handful of parties. Given the significant potential and addressable market of this product for Eden, these conversations are being conducted with careful consideration to ensure that we can secure favourable terms for the company and ultimately achieve the best possible value for shareholders. We currently anticipate that these commercial discussions will continue for the foreseeable future, as Eden aims to secure commercial arrangements that maximise the overall size of the opportunity whilst securing the margins we believe value the product itself on a fair and reasonable basis, and final agreements will be announced as and when they are reached in due course.

Product update

Mevalone®

Sales of Mevalone are expected to increase in 15 months to 31 March 2026 with good growth seen in Spain and Greece, as well as first sales in Germany. We are also pleased to report that meaningful sales in Kenya are anticipated before FY2026 (March), subject to final administrative procedures related to import permits and product registration assignments.

As previously communicated, in the next year or so, Eden expects one of Mevalone's primary competitive products, Syngenta's "Switch", to be withdrawn from the market in the EU. The removal of this market-leading fungicide creates a real opportunity for significant growth in Eden's market share and overall product positioning and reflects the general trend of the ongoing replacement of conventional chemical pesticides with more sustainable alternatives, such as Eden's products.

Cedroz™

Cedroz has been increasingly adopted as a nematicide by growers as the number of viable alternative products is rapidly diminishing due to regulatory action.

As with Mevalone, one of the leading competitor products to Cedroz has recently been withdrawn from the market in the EU, providing an opportunity to take additional market share in the coming years.

We expect that sales of Cedroz will continue the trend of strong sales growth for the foreseeable future as we gain market share and expand the addressable market through label extensions and the refinement of the commercial strategy for various key countries.

Ecovelex™

Ecovelex, a bird repellent seed treatment for maize, received a temporary approval in Italy in November 2024, and at the end of 2023.

While the Company currently does not have certainty as to whether another temporary approval will be granted in Italy in 2025, Italian farmers have widely supported Ecovelex as an alternative to conventional seed treatments which are no longer allowed due to regulatory action.

It should also be noted that even if approval is granted, there may be restrictions in terms of the hectarage allowed under the temporary approval which may impact the requirement for further sales of Ecovelex to our commercial partner, Corteva.

Full authorisation of Ecovelex is anticipated within the next year, but the timing of this is difficult to predict, as is increasingly the case with crop protection product authorisations in the EU.

Insecticide

The recent, well-documented bans on conventional insecticides have created a strong demand for viable alternatives. Several potential commercial partners for Eden's insecticide product have conducted between them over three hundred field trials over the past three years, yielding robust results and generating substantial interest in the product.

Eden is engaged in ongoing commercial discussions with these partners to define the ideal distribution strategy and partners for the insecticide product. The Company anticipates sharing updates on the progress of these discussions in due course, but subject to commercial sensitivities. 

Product development update

Fungicide 2

The development team has made significant advances with the Company's new fungicide product which is used to tackle late blight in potatoes and other high value fruit and vegetables. The potential for this product is vast, driven by the removal of certain key conventional chemistries from the market that have been the primary solutions for farmers for many years.

A number of third parties have shown interest in this product and are in the process of undertaking their own laboratory and field trials.

Insecticide 2

In addition, a second insecticidal product is being tested, which has shown promising results against lepidoptera (moths), another interesting and potentially lucrative market opportunity.

Change of year-end

The Board has decided to extend the Company's Annual Reporting Date ("ARD") from 31 December to 31 March going forward.

There are a number of reasons for this change, the key ones of which are:

1. Common practice in agriculture

· Many agricultural businesses, including those in crop protection, opt for a year-end of 31 March which falls after their peak sales or activity.

· In agriculture, in the Northern Hemisphere, which is the vast majority of Eden's business, crop protection sales occur in advance of the growing season to distributors in calendar Q4 and Q1. Therefore, a cut between these two quarters can lead to arbitrary and potentially over or understated revenue numbers. The same applies to inventory, which is lowest in the distribution chain during the growing season. Sales in calendar Q3 are usually only to replenish stock that was unexpectedly exhausted.

2. Logistical and commercial considerations

· Close-down of manufacturing plants from around mid-December means that late in the year production runs are often at risk of not happening as scheduled.

· Shipping raw materials and/or finished goods in December is difficult (and expensive) due to the lower availability of transportation providers and logistics agencies around the Christmas holidays.

· Numerous commercial partners close over the Christmas period, often beginning mid-month, which makes it difficult to conclude commercial agreements due to staff members being out of the office.

· Performing a stocktake on the day of the year-end is often not possible due to the closure of manufacturing facilities.

Going forward, interim and annual accounts will be prepared and published for the six months ending 30 September and the twelve months ending 31 March, respectively.

As a result of this change, the Company's future reporting calendar is expected to be as follows:

· To bridge the extended period to the reporting of the period ended 31 March 2026, the Board commits to including a trading update shortly after the period end.

· Publication of audited accounts for the 15-month period ending 31 March 2026 by the end of August 2026.

· Publication of unaudited interim accounts for the six-month period ending 30 September 2026 by the end of December 2026; and

· Publication of audited accounts for the 12-month period ending 31 March 2027 by the end of August 2027.

Outlook

The fundamentals of our business are as strong as they have ever been, driven by the ever-growing industry transition from conventional chemistry to natural, sustainable chemistry. The latest data indicates that the biopesticide market is projected to reach $15.66bn by 2029 from $7.72bn in 2024, at a CAGR of 15.2% during the forecast period in terms of value.

Regulatory changes are also providing the driving force behind farmers' adoption of sustainable pesticides on their farmland, optimally positioning products like Eden's, which act as a like-for-like replacement for conventional products and as critical partners in integrated pest management ('IPM') programmes. There are a number of incumbent conventional products across the EU whose authorisations are due to expire in the next couple of years and will not be renewed based on safety and environmental grounds. However, the immediate impact on demand is unpredictable, considering existing inventory levels of these products and the permitted extended use for a period of time before the regulatory restrictions are enforced. Our regulatory and commercial teams are keeping a close watch on these developments to ensure that our products are well-marketed and primed to quickly replace certain conventional pesticides when they come off the market.

Narrowing in on the nearer term, we are focused on at least meeting our £5m revenue target although this is now likely to be over the 15-month period to 31 March 2026 following the change of year end. This is based on sales of Ecovelex being made under an emergency use approval in Italy and being commensurate with previous years, as well as a typical level of post-season sales of Mevalone and Cedroz.

As guided in the last year-end report, there are also three circumstances which could add upside to our revenue forecast for the year:

· Full EU authorisation for Ecovelex well in advance of the year-end, expanding its use beyond Italy on a long-term basis;

· Approval of Mevalone for the treatment of downy mildew in France, marketed locally as Esseva; and

· Signing of a commercial agreement for exclusive distribution rights for Eden's insecticide

While each of these opportunities remain, the precise timing is extremely difficult to anticipate, and as such, we cannot be certain whether their contributions will be realised before 31 March 2026 (FY26) or the following year. We will continue to update the market as these up-side opportunities develop.

In our bid for topline growth, we are also conscious of our responsibility for managing the company's operating expenditure and conserving cash. The management team previously demonstrated its ability to postpone non-core costs in times of unforeseen circumstances, and we continuously renew our efforts to balance effective cash management with the pursuit of valuable opportunities.

I would like to take this opportunity to thank all our stakeholders for their contributions and continued commitment to the Company.

Sean Smith

Chief Executive Officer

16 September 2025

Eden Research plc - Consolidated Statement of Financial Position as at 30 June 2025

Eden Research plc - Consolidated Statement of Changes in Equity as at 30 June 2025

Eden Research plc - Consolidated Statement of cash flows for the six months ended 30 June 2025

Cash and cash equivalents comprise bank account balances.

Notes to the Interim Results

1. Reporting Entity

Eden Research plc is a public limited company incorporated in the United Kingdom under the Companies Act 2006. The Company is domiciled in the United Kingdom and is quoted on the Alternative Investment Market (AIM).

These condensed consolidated interim financial statements ('Interims') as at and for the six months ended 30 June 2025 comprise the Company and its Subsidiaries (together referred to as 'the Group'). The principal activities of the Group are the development and commercialisation of encapsulation, terpenes and environmentally friendly technologies to provide naturally occurring solutions for the global agrochemicals, animal health, and consumer product industries.

2. Basis of Preparation

These Interims have been prepared in accordance with IAS 34 'Interim Financial Reporting' and should be read in conjunction with the Group's last annual consolidated financial statements as at and for the year ended 31 December 2024 which were approved by the Board of Directors on 2 May 2025 and have been delivered to the Registrar of Companies. The report of the auditors on those financial statements was unqualified, did not contain an emphasis of matter paragraph and did not contain any statement under section 498 of the Companies Act 2006.

The Interims do not include all of the information required for a complete set of financial statements prepared under UK-adopted International Accounting Standards and do not constitute statutory accounts within the meaning of section 434 of the Companies Act 2006. However, selected explanatory notes are included to explain events and transactions that are significant to an understanding of the changes in the Group's financial position and performance since the last annual financial statements.

Comparative information in the Interims as at and for the year ended 31 December 2024 has been taken from the published audited financial statements as at and for the year ended 31 December 2024. All other periods presented are unaudited.

The Board of Directors and the Audit Committee approved the interims on 16 September 2025.

3. Going Concern

The Directors have, at the time of approving the Interims, a reasonable expectation that the Group has adequate resources to continue in operational existence for at least 12 months from the approval of the financial statements. Thus, the Interim financial statements have been prepared on a going concern basis which contemplates the realisation of assets and the settlement of liabilities in the ordinary course of business.

The Group has reported a loss for the first half of the year after taxation of £1,344,018 (H1 2024: £912,881). Net current assets at that date amounted to £2,816,766 (H1 2024: £6,440,728). Cash at that date amounted to £1,845,853 (H1 2024: 4,947,303). The Group is reliant on its current cash balance to fund its working capital.

The Directors have prepared budgets and projected cash flow forecasts, based on forecast sales provided by Eden's distributors where available, for a period of at least 12 months from the date of approval of the Interims and they consider that the Company and Group will be able to operate with the cash resources that are available to it for this period. 

The forecasts adopted include only revenue derived from existing contracts. They do not include potential upside from on-going discussions and negotiations with other parties not yet contracted, as well as other 'blue sky' opportunities.

In addition, the Group has relatively low fixed running costs and, while mitigating actions are not forecast to be required to support the going concern basis, the Directors have previously demonstrated their ability to postpone certain other costs, such as Research and Development expenditure, in the event of unforeseen cash constraints and are willing and able to delay costs in the forecast period should the need arise.

Consequently, the Directors are confident that the Company will have sufficient funds to continue to meet its liabilities as they fall due for at least 12 months from the date of approval of the half year report and therefore have prepared the half year report on a going concern basis.

4. Adoption of new and revised standards and changes in accounting policies

These condensed consolidated Interims have been prepared in accordance with the accounting policies adopted in the last annual financial statements for the year to 31 December 2024.

The accounting policies have been applied consistently for the purposes of preparation of these condensed Interims.

5. Principal risks and uncertainties

The Company's prime risk is the on-going commercialisation of its intellectual property, which involves testing of the Company's products, obtaining regulatory approvals and reaching a commercially beneficial arrangement for each product to be taken to market. This is measured by comparing actual results with forecasts that have been agreed by the Company's Board of Directors.

The Company's credit risk is primarily attributable to its trade receivables. Credit risk is managed by running credit checks on customers and by monitoring payments against contractual agreements.

The Company monitors cash flow as part of its day-to-day control procedures. The Board considers cash flow projections at its meetings and ensures that the Company has sufficient cash resources to meet its on-going cash flow requirements.

Due to the nature of the business, there is inherent risk of infringement of Eden's intellectual property rights by third parties. The risk of infringement is managed by taking (and acting on) the relevant legal advice as and when required.

There is also inherent uncertainty surrounding the regulatory approval of products in terms of both timing and outcome. This risk is managed by retaining appropriately experienced staff and contracting with expert consultants as needed.

Full details of the principal risks and uncertainties can be found in the Strategic Report in the Company's 2024 Annual Report.

6. Ukraine

Eden does not currently have any business activities in Russia or Ukraine and, as such, has not experienced, nor does it expect, any direct impact on its business.

The knock-on effect of the conflict on other countries is still being understood, though we do not envisage significant disruption to the current business in the short term.

7. Earnings per share

Loss per share - basic has been calculated on the net basis on the loss after tax of £1,344,018 (30 June 2024: £912,881, 31 December 2024: £1,906,591) using the weighted average number of ordinary shares in issue of 533,352,523 (30 June 2024: 533,352,523, 31 December 2024: 533,352,523).

Diluted earnings per share has not been presented as the Group is currently loss making and as a result, any additional equity instruments have the effect of being anti-dilutive.

8. Reconciliation of loss before income tax to cash used by operations

9. Intangible assets

Impairment review

Full details of the impairment review in 2024 can be found in the Company's 2024 Annual Report and Accounts.

Given that the Company has recently completed an impairment review as part of its 2024 audit and since there have been no indicators of impairment subsequent to that, as well as positive events, such as the expansion of authorisation of Mevalone in California, the Board is satisfied that an impairment review is not required at this point.

The Board will continue to assess the carrying value of its intangible assets on a regular basis to check for any indications of impairment.

10. Investment in associate

11. Subsidiaries

Non-controlling interests

The following table summarises the information relating to the Group's subsidiary with material non-controlling interest, before intra-group eliminations:

12. Property, plant and equipment

13. Right of use assets