Untitled

Interim Report BioPorto, first three months of 202

May 10, 2023

Announcement no. 8

BioPorto Announces Interim Results for the First Three Months of 2023

COPENHAGEN, Denmark and BOSTON, MA, USA, May 10, 2023, (GLOBE NEWSWIRE) -- BioPorto A/S (BioPorto)

(CPH:BIOPOR) today announced

interim financial results for the first three months of 2023 and business progress

for the first quarter of 2023.

Recent Highlights

• For the three months ended March 31, 2023:

o Total revenue of DKK 8.0 million / USD 1.2 million, a 24% increase over the prior year

o Adjusted EBITDA of DKK (15.2) million / USD (2.2) million

o Cash and cash equivalents of DKK 57.7 million / USD 8.4 million as of March 31, 2023 (DKK 27.0

million / USD 4.0 million as of March 31, 2022)

• Sponsored “AKI and Biomarkers: Interesting Cases from the Bedside,” at the 28

International

Conference on Advances in Critical Care Nephrology, presented by Dr. Stuart Goldstein, MD, FAAP,

FNKF, FASN on March 31, 2022

Tony Pare, BioPorto’s Chief Executive Officer, said: “During the first quarter of 2023, we focused on executing

our strategic priorities to grow revenues in European and other markets that accept CE Mark, prepare responses

to the US Food and Drug Administration’s (FDA) request for additional information, and expand the total

addressable market for NGAL tests. I am also very pleased with this quarter’s financial results.”

Mr. Pare continued, “We remain on track to respond to the recent request for Additional Information from the

FDA by the end of this quarter, which is in advance of the July 23, 2023 deadline. The team has made meaningful

progress in preparing the materials, which will be submitted together when complete.”

Guidance for 2023 Maintained

Based on the progress and results obtained in the first three months of 2023, BioPorto maintains its financial

guidance for 2023, as most recently described in its Annual Report 2022 of:

• Revenue of approximately DKK 30 to 33 million, and

• Adjusted EBITDA loss of approximately DKK (60) to (65) million.

Conference Call and Webcast

The Company’s management team will host an online investor presentation on May 10, 2023, at 14:00 Central

European Time / 8:00 Eastern Time, via HC Andersen Capital. Investors interested in attending the webcast may

A separate analyst call will be held on May 10, 2023, at 16:00 Central European Time / 10:00 Eastern Time,

with details as follows:

Denmark: +45 8025 0765

International: +1 412 317 5195

US: +1 844 826 3035

Conference ID: 10178628

Webcast: https://viavid.webcasts.com/starthere.jsp?ei=1613202&tp_key=6eeb78a398

Investor Relations Contacts

Tim Eriksen, EU Investor Relations, Zenith Advisory, +45 4529 0000, investor@bioporto.com

Ashley Robinson, US Investor Relations, LifeSci Advisors, +1 617 430 7577, arr@lifesciadvisors.com

About BioPorto

BioPorto is an in vitro diagnostics company focused on saving lives and improving the quality of life with

actionable biomarkers – tools designed to help clinicians make changes in patient management. The Company

uses its expertise in antibodies and assay development, as well as its platform for assay development, to create

a pipeline of novel and compelling products that focus on conditions where there is significant unmet medical

need, and where the Company’s tests can help improve clinical and economic outcomes for patients, providers,

and the healthcare ecosystem.

The Company’s flagship product, The NGAL Test

, has been designed to aid in the risk assessment of Acute

Kidney Injury (AKI), a common clinical syndrome that can have severe consequences, including significant

morbidity and mortality if not identified and treated early. With the aid of The NGAL Test, physicians can

identify patients potentially at risk of AKI more rapidly than is possible with current standard of care

measurements, enabling earlier intervention and more tailored patient management strategies. The NGAL Test

is CE marked and registered in a number of countries worldwide.

BioPorto has facilities in Copenhagen, Denmark and Boston, MA, USA. The shares of BioPorto A/S are listed on

the Nasdaq Copenhagen stock exchange. For more information visit www.bioporto.com

Forward-looking statement disclaimer

Certain statements in this news release are not historical facts and may be forward-looking statements.

Forward-looking statements include statements regarding the intent, belief or current expectations with respect

to the Company’s expectations, intentions and projections regarding its future performance including the

Company’s Guidance for 2023; currency exchange rate fluctuations; anticipated events or trends and other

matters that are not historical facts, including with respect to the potential FDA marketing authorization,

implementation of manufacturing and quality systems, commercialization of NGAL tests, and the development

of future products and new indications; concerns that may arise from additional data, analysis or results

obtained during clinical trials; and, the Company’s ability to successfully market both new and existing products.

These forward-looking statements, which may use words such as “aim”, “anticipate”, “believe”, “intend”,

“estimate”, “expect” and words of similar meaning, include all matters that are not historical facts. These

forward-looking statements involve risks, and uncertainties that could cause the actual results of operations,

financial condition, liquidity, dividend policy and the development of the industry in which the Company’s

business operates to differ materially from the impression created by the forward-looking statements. These

statements are not guarantees of future performance and are subject to known and unknown risks, uncertainties

and other factors that could cause actual results to differ materially from those expressed or implied by such

forward-looking statements. Given these risks and uncertainties, prospective investors are cautioned not to

place undue reliance on forward-looking statements. Forward-looking statements speak only as of the date of

such statements and, except as required by applicable law, the Company undertakes no obligation to update or

revise publicly any forward-looking statements, whether as a result of new information, future events or

otherwise. Factors that may impact BioPorto’s success are more fully disclosed in BioPorto’s periodic financial

filings, including its Annual Report for 2022, with the Danish Financial Supervisory Authority, particularly under

the heading “Risk Factors”.

NOTE – DKK/USD exchange rates used within “Recent Highlights”, above:

• Balance sheet measures: March 31, 2022 = 6.7007 and March 31, 2023 = 6.8492

• Income statement measures for three months ended: March 31, 2022 = 6.636 and March 31, 2023 =

6.9498.

Interim Report BioPorto, first three months of 202

2023

2022

Jan 1 - Mar 31

Jan 1 – Mar 31

Jan 1 - Dec 31

DKK million (except where noted)

(Unaudited)

Revenue

8.0

6.5

29.0

Gross profit

5.3

3.9

19.0

Sales and marketing costs

5.9

4.0

21.2

Research and development costs

6.0

8.0

34.9

Administrative costs

10.3

10.1

41.8

Lease impairment

2.6

Loss before financial items (EBIT)

(17.0)

(18.2)

(81.5)

Financial items, net

(0.3)

(0.1)

(0.0)

Loss before tax

(17.2)

(18.3)

(81.5)

Net loss

(16.1)

(17.0)

(75.9)

Comprehensive loss

(16.1)

(17.1)

(76.0)

Adjusted EBITDA

(15.2)

(67.3)

Non-current assets

6.4

16.7

7.2

Cash and cash equivalents

57.7

27.0

81.8

Current assets

78.9

146.6

101.4

Total assets

85.3

163.3

108.6

Equity

55.2

123.9

70.2

Non-current liabilities

6.6

9.7

7.4

Current liabilities

23.5

29.6

31.0

Total equity and liabilities

85.3

163.3

108.6

Cash flows from operating activities

(26.3)

(16.6)

(52.5)

Cash flows from investing activities

(0.0)

(0.5)

Of which investment in property, plant, and

equipment

0.0

(0.4)

Cash flows from financing activities

2.3

(1.4)

88.7

Net cash flows

(24.1)

(18.5)

35.7

Revenue growth

24%

17%

19%

Gross profit percentage

66%

61%

66%

Equity ratio (solvency)

65%

76%

65%

Average number of employees

Number of shares at the end of the period (1,000)

334,693

Loss per share (EPS), DKK

(0.05)

(0.06)

(0.24)

Net asset value per share, period-end, DKK

0.16

0.37

0.21

Share price, period-end, DKK

1.76

1.91

2.32

Note: Loss per share (EPS) is calculated in accordance with IAS 33 “Earning per share”. Other financial ratios have been calculated in accordance with the

guidelines from the Danish Society of Financial Analysts and 2022 BioPorto Annual Report.

Reconciliation of Adjusted EBITDA

Loss before financial items (EBIT)

(17.0)

(18.2)

(81.5)

Depreciation and amortization

0.7

1.1

4.0

Share-based compensation expenses

1.1

1.9

7.6

Lease impairment

0.0

2.6

Adjusted EBITDA

(15.2)

(67.3)

Consolidated Financial Highlights

Non-IFRS Financial Measure

In the Interim Report, BioPorto discloses a financial measure of the Group’s financial performance that reflects adjustments to the most directly

comparable measures calculated and presented in accordance with IFRS. This non-IFRS financial measure may not be defined and calculated

by other companies in the same manner and may thus not be comparable.

The non-IFRS financial measure presented in the Interim Report is Adjusted earnings before interest, taxes, depreciation, and amortization

(Adjusted EBITDA).

Adjusted EBITDA is an alternative measure of performance utilized by management, investors, and investment analysts to evaluate and analyze

the Company’s results. Adjusted EBITDA excludes non-cash share-based compensation and non-recurring costs (e.g., restructuring charges,

merger and acquisition integration costs), if any.

We believe that earnings exclusive of non-cash and non-recurring costs is a key indication of

how a company is progressing from period to period and that the non-IFRS financial measure Adjusted EBITDA is useful to investors, lenders,

and other creditors because such information enables them to better understand earnings exclusive of non-cash and non-recurring costs from

period to period. However, we also believe that Adjusted EBITDA data has limitations, particularly as non-cash and non-recurring costs could

significantly impact our performance. We therefore limit our use of Adjusted EBITDA and do not evaluate our results and performance without

considering both non-IFRS Adjusted EBITDA on the one hand and net income or loss on the other. We caution the readers of this report to

follow a similar approach by considering data on Adjusted EBITDA only in addition to, and not as a substitute for or superior to, net income or

loss in accordance with IFRS.

Interim Report BioPorto, first three months of 202

Strong growth in sales of NGAL tests and Antibodies

drives total revenue increase

Revenue totaled DKK 8.0 million in the first quarter of 2023, a 24%

increase over the prior year period, reflecting sales growth of both

NGAL tests and Antibodies, which together represent 95% of total

revenues. In the first quarter of 2023, revenue from NGAL tests grew

29% and Antibodies grew 50%, respectively over the prior year. These

results were somewhat offset by a 56% reduction in sales of ELISA kits,

which represent 5% of total revenues.

Advancing the FDA’s review of The NGAL Test

BioPorto is engaged in correspondence with the FDA, including as

part of an Additional Information request in support of the FDA’s

ongoing review. The Company continues to expect to deliver its

response in advance of the July 23, 2023 deadline set by the FDA.

The NGAL Test was previously granted Breakthrough Device

designation by the FDA, and therefore the De Novo application has

received expedited review and prompt responses to company

inquiries.

Focusing on NGAL test sales in Europe

The NGAL test is already available for both pediatric and adult use in

Europe and elsewhere with a CE mark registration, and during the first

quarter the Company developed and began executing its plan to

strengthen its global sales channels by training its current distribution

partners and recruiting others.

Managing Capital

BioPorto has taken proactive measures to run lean by reducing staff

to those essential to our immediate 2023 objectives, conserve capital,

and plan expenditures carefully and critically. Investments are focused

on the strategic priorities described above, together with preparing

materials to expand to the total addressable market for NGAL tests.

As part of implementing its strategic priorities, BioPorto has

historically sought financing, most recently in a rights issue in March

2022. As described in the Prospectus published in connection with the

rights issue and in subsequent Interim and Annual Reports, BioPorto

considers it likely that it will seek additional funding around the date

falling twelve months after the date of the Prospectus. In preparation,

the Company is currently exploring opportunities for a capital raise of

up to DKK 75 million.

Management Review

This financial review is based on the Group’s consolidated financial

information as of and for the three months ended March 31, 2023, with

comparative results as of and for the three months ended March 31, 2022

in brackets.

Revenue

Revenue was DKK 8.0 million (DKK 6.5 million) in the first quarter of 2023.

NGAL test sales totaled DKK 4.8 million (DKK 3.7 million) in the first quarter

of 2023. Antibody sales totaled DKK 2.8 million (DKK 1.9 million) in the first

quarter of 2023.

Figure 1. Revenue by quarter (DKK

million)

Figure

2. NGAL test product revenue by quarter (DKK

million)

Gross Profit

Gross profit for the first quarter of 2023 was DKK 5.3 million (DKK 3.9

million), which was principally driven by the combined benefit of a DKK 1.4

million increase in revenue and a 530bps improvement in gross profit

percentage over the prior year period.

Sales and Marketing Costs

Sales and marketing costs totaled DKK 5.9 million (DKK 4.0 million) in the

first quarter of 2023, reflecting increased personnel costs, kidney-related

conferences, and travel expenses.

Research and Development Costs

Research and development costs in the first quarter of 2023 totaled DKK

6.0 million (DKK 8.0 million), with the decrease principally reflecting lower

clinical study costs.

Administrative Costs

Administrative costs in the first quarter of 2023 totaled DKK 10.3 million

(DKK 10.1 million), which were relatively flat compared to the prior period.

Financials Items, net

Financial income and expenses reflect interest income/expense and

currency transaction gains/losses. Financial items, net for the first quarter

of 2023 was an expense of DKK 0.3 million (DKK 0.1 million).

Tax Benefit

In the first quarter of 2023, a DKK 1.1 million tax benefit (income of DKK 1.3

million) was recognized. The tax benefit is primarily related to tax credits

held by its Danish entities associated with the Company’s investment in

research and development.

EBIT/Adjusted EBITDA

For the first quarter of 2023, Earnings before interest and taxes (EBIT) was

a loss of DKK 17.0 million (DKK 18.2 million), and adjusted EBITDA was a loss

of DKK 15.2 million (DKK 15.2 million), reflecting the mix of variances

described above.

Cash and Cash equivalents

As of March 31, 2023, BioPorto’s cash position was DKK 57.7 million (DKK

27.0 million) and is deposited at major, national Danish, Nordic, and US

banks. The Company continually evaluates its liquidity requirements,

capital needs and availability of capital resources based on its operating

needs and planned initiatives. The Company assessed its liquidity and

capital resources and concluded that they are adequate to fund operations

considering a twelve-month period from the balance sheet date,

independent of the revenue potential associated with the timing and

potential marketing authorization of NGAL tests by the FDA in the US. The

Company’s assessment as to the adequacy of liquidity relies inter alia on

assumptions and significant judgements (in addition to those matters

discussed cf. Note 2) applied in the Company's budgets and forecasts as

well as customary sensitivities, existing capital resources and assumptions

concerning the timing, costs and resources required to undertake the

Company’s strategic priorities and tactical decisions, including the timing

and potential marketing authorization of NGAL tests by the FDA in the US,

commercialization activities for NGAL tests under CE Mark and Antibodies

in Europe, supply chain management, and ongoing R&D, all of which under

current circumstances remain difficult to predict.

Although not required to fund operations for the twelve-month period

from the balance sheet date, the Company continues to monitor its liquidity

needs, manage its costs, and investigate its financing options, including

raising additional capital as previously announced.

5,6

6,6

5,3

6,8

6,5

8,5

5,3

8,7

8.0

Q1 Q2 Q3 Q4

2021 2022 2023

2,1

3,7

2,6

3,73,7

3,3

2,7

5,2

4.8

Q1 Q2 Q3 Q4

2021 2022 2023

Financial Review

Interim Report BioPorto, first three months of 202

Net working capital

Net working capital (i.e., current assets minus current liabilities) as of

March 31, 2023 totaled DKK 55.3 million (DKK 117.0 million).

Cash Flow Statement

Cash used in operating activities during the first three months of 2023

totaled DKK 26.1 million (DKK 16.4 million), which reflected the payment of

clinical trial invoices that were received in late December 2022 and

calendar year 2022 incentive compensation.

Cash used in investing activities was less than DKK 0.1 million (DKK 0.5

million). Cash from financing activities was DKK 2.3 million (DKK 1.4 million),

reflecting DKK 3.2 million cash proceeds from the exercise of warrants

where the corresponding common shares were not yet issued pending the

grantee’s establishment of a suitable Danish investment account, offset

somewhat by DKK 0.9 million in routine lease payments.

The net cash flow during the first three months of 2023 was a use of DKK

24.1 million (use of DKK 18.5 million).

Subsequent event

As further described in Note 13, to reduce its costs, the Company

implemented a reduction in force after the end of the first quarter of 2023

to better align the Company’s resources with its strategic priorities. The

Company expects to record a restructuring charge of approximately

DKK 2.5 million during the second quarter of 2023.

Significant risks and uncertainties

BioPorto faces a number of risks and uncertainties, including those

common for the biotech/medical device industry. These relate to clinical

and regulatory, operations, research and development, manufacturing,

commercial, and financial activities. The Company is finalizing the analysis

of clinical trial data for NGAL in pediatrics. The quality or sufficiency of the

clinical or analytical data could be insufficient to support the study’s

endpoints and require the Company to obtain additional data; and, such

activities, if possible, would require additional cost and time.

A variety of factors and events, including the ongoing COVID-19 pandemic

and the war in Ukraine, have resulted in delays and other challenges in

global supply chains. To manufacture its products, the Company is

dependent on the supply of raw materials and key components from

suppliers, some of which are single source suppliers. Delays in the

manufacture, delivery, or quality of these components, or delays in the

Company’s execution of its commercialization strategy, including hiring

personnel and continuing to prepare manufacturing and quality systems,

could affect the Company’s ability to deliver products to its customers,

which could cause the Company’s results, prospects, and financial

performance to be negatively impacted.

In addition to the other information set forth in this report, you should

carefully consider the factors discussed in the sections captioned “Risk

management” in BioPorto’s 2022 Annual Report, which factors could

materially affect the Group’s business, financial condition, and/or future

results. The risks described in those sections and in this report are not the

only risks BioPorto faces. Additional risks and uncertainties not currently

known to management or the Group or that the Group currently deems to

be immaterial also may have a material adverse effect on the Group’s

business, future opportunities, financial condition, and/or operating

results.

Guidance for 2023 maintained

Based on the progress and results obtained in the first three months of

2023, BioPorto maintains its financial guidance for 2023, as most recently

described in its Annual Report 2022 of:

• Revenue of approximately DKK 30 to 33 million, and

• Adjusted EBITDA loss of approximately DKK (60) to (65) million.

Forward-looking safe harbor statements

This interim report contains forward-looking statements that involve risks,

uncertainties, and other factors, many of which are outside of BioPorto’s

control, that could cause actual results to differ materially from the results

or expectations discussed in the forward-looking statements. Forward-

looking statements include statements concerning the Group’s plans,

objectives, goals, future events, performance and/or other information

that is not historical information. All such forward-looking statements are

expressly qualified by these cautionary statements and any other

cautionary statements which may accompany the forward-looking

statements. The Company undertakes no obligation to publicly update or

revise forward-looking statements to reflect subsequent events or

circumstances after the date made.

For Further Information

Tim Eriksen, EU Investor Relations, Zenith Advisory, +45 4529 0000,

investor@bioporto.com

Ashley Robinson, US Investor Relations, LifeSci Advisors, +1 617 430 7577,

arr@lifesciadvisors.com

www.bioporto.com

The Board of Directors and Executive Management today reviewed and approved the Interim Report of the BioPorto Group for the period January 1 to

March 31, 2023.

The Interim Report, which is unaudited and has not been reviewed by the Company’s auditors, is presented in accordance with IAS 34 “Interim Financial

Reporting” as adopted by the EU and additional Danish disclosure requirements for interim reports of listed companies.

In our opinion, the interim report gives a true and fair view of the Group’s financial position as of March 31, 2023, and the results of the Group’s operations

and cash flows for the period January 1 to March 31, 2023.

In our opinion the management's report includes a fair review of the development and performance of the business, the results for the period and the

Group’s financial position in general and describes changes in principal risks and uncertainties that have occurred relative to what was disclosed in the

consolidated Annual Report for 2022.

Hellerup, May 10, 2023

Executive Management:

___________________________ ___________________________

Anthony Paul Pare Neil Allan Goldman

CEO EVP & CFO

Board of Directors:

___________________________ ___________________________ __________________________

John McDonough Don Hardison Michael Singer

Chair Vice Chair

___________________________ ___________________________ ___________________________

Jan Leth Christensen Ninfa Saunders Peter Mørch Eriksen

Statement by the Board of Directors and

Management

Interim Report BioPorto, first three months of 202

Condensed Consolidated Statements of Profit or Loss

2023

2022

Jan 1 - Mar 31

Jan 1 - Dec 31

DKK thousand

Note

(Unaudited)

Revenue 3 8,041 6,502 28,969

Production costs 4

2,733 2,556 9,927

Gross profit 5,308 3,946 19,042

Sales and marketing costs 4 5,910 4,044 21,219

Research and development costs 4

6,048 8,021 34,938

Administrative costs 4 10,300 10,099 41,829

Lease impairment - - 2,583

Loss before financial items (EBIT) (16,950) (18,218) (81,527)

Financial income 22 185 1,185

Financial expenses

273 249 1,205

Loss before tax (17,201) (18,282) (81,547)

Income tax benefit, net 5 1,141 1,252 5,624

Net loss

(16,060) (17,030) (75,923)

DKK

Loss per share (EPS & DEPS) 6 (0.05) (0.06) (0.24)

Condensed Consolidated Statements of Comprehensive Loss

2023

2022

Jan 1 - Mar 31

Jan 1 - Dec 31

DKK thousand

Note

(Unaudited)

Net loss (16,060) (17,030) (75,923)

Other comprehensive loss:

Amounts which will be reclassified to the income statement:

Exchange rate adjustments of investments in subsidiaries (13) (50) (115)

Other comprehensive loss

(13) (50) (115)

Comprehensive loss (16,073) (17,080) (76,038)

Interim Financial Statements

Condensed Consolidated Balance Sheets

Assets

2023

2022

Mar 31

Dec 31

DKK thousand

Note

(Unaudited)

Non-current assets

Property, plant and equipment and intangible assets

Rights and software

689 1,021 766

Property, plant and equipment

1,427 2,161 1,586

Right-of-use assets

2,509 11,718 2,927

Total property, plant and equipment and intangible assets

4,625 14,900 5,279

Financial assets

Deposits

1,811 1,759 1,933

Total financial assets

1,811 1,759 1,933

Total non-current assets

6,436 16,659 7,212

Current assets

Inventories, net

2,374 2,222 2,558

Trade receivables, net 7, 9

4,087 7,305 2,829

Tax receivable 5 7,395 7,540 6,444

Other receivables 7, 9 589 101,440 1,769

Prepayments 7 2,280 1,075 1,555

Cash and cash equivalents 9 57,732 27,016 81,792

Assets held-for-sale

4,402 - 4,481

Total current assets

78,859 146,598 101,428

Total assets

85,295 163,257 108,640

Interim Report BioPorto, first three months of 202

Equity and Liabilities

2023

2022

Mar 31

Dec 31

DKK thousand

Note

(Unaudited)

Equity

Share capital 8 334,693 334,693 334,693

Treasury shares 8

- - -

Exchange-rate adjustments (247) (169) (234)

Retained earnings 8 (279,233) (210,617) (264,238)

Total equity 55,213 123,907 70,221

Liabilities

Non-current liabilities

Lease liabilities

6,566 9,583 7,448

Other non-current liabilities 9

- 137 -

Total non-current liabilities 6,566 9,720 7,448

Current liabilities

Current portion of non-current liabilities 9 3,171 3,070 3,197

Trade payables 9

5,256 7,233 10,457

Taxes payable 78 86 80

Other accrued liabilities 10 15,011 19,241 17,237

Total current liabilities 23,516 29,630 30,971

Total liabilities 30,082 39,350 38,419

Total equity and liabilities 85,295 163,257 108,640

Condensed Consolidated Statement of Changes in Equity (Unaudited)

Amounts in DKK thousand

Shares in thousand

Common Stock

Treasury Stock

Amount

Accumulated Deficit

AOCI

Total

Balance at December 31, 2022

334,693

(264,238)

(234)

70,221

Comprehensive loss

(13)

Transactions with owners:

Share-based compensation

1,065

Net loss

(16,060)

Balance at March 31, 2023

334,693

(279,233)

(247)

55,213

Amounts in DKK thousand

Shares in thousand

Common Stock

Treasury Stock

Amount

Accumulated Deficit

AOCI

Total

Balance at December 31, 2021

267,754

(221,671)

(119)

45,964

Comprehensive loss

(50)

Transactions with owners:

Issuance of stock, net

66,939

26,175

93,114

Share based compensation

1,909

Net loss

(17,030)

Balance at March 31, 2022

334,693

(210,617)

(169)

123,907

Interim Report BioPorto, first three months of 202

Condensed Consolidated Statements of Cash Flows

2023

2022

Mar 31

Dec 31

DKK thousand

Note

(Unaudited)

Loss before financial items

(16,950) (18,218) (81,527)

Adjustments:

Depreciation and amortization

687 1,062 3,966

Share based compensation expenses

1,065 1,909 7,556

Lease impairment

- - 2,583

Other non-cash items

39 - (945)

Changes in assets and liabilities:

Inventories

184 496 434

Trade receivables

(1,029) 272 5,019

Trade payables

(5,201) 1,737 6,197

Other operating assets and liabilities, net

(4,872) (3,685) (1,051)

Cash flows from operations

(26,077) (16,427) (57,768)

Financial income, received

22 103 1,401

Financial expenses, paid

(273) (301) (1,618)

Tax refund, net

- - 5,500

Cash flows from operating activities

(26,328) (16,625) (52,485)

Purchase of property, plant and equipment

- (407) (407)

Purchase of rights and software

- (65) (64)

Purchase of financial assets

(31) - (32)

Cash flows from investing activities

(31) (472) (503)

Proceeds from warrant programs exercised

3,180 - -

Proceeds from rights issue

- - 100,408

Cost related to issue of new shares

- (603) (7,671)

Repayments of non-current liabilities

- (161) (301)

Repayments of lease obligation

(923) (669) (3,737)

Cash flows from financing activities

2,257 (1,433) 88,699

Net cash flows for the period

(24,102) (18,530) 35,711

Cash and cash equivalents at beginning of period

81,792 45,523 45,523

Effect of exchange rate changes on cash

42 23 558

Cash and cash equivalents end of period

57,732 27,016 81,792

1. Basis of reporting

Basis of preparation

This Interim Report and the accompanying unaudited interim condensed consolidated financial statements include the accounts of BioPorto A/S and its

subsidiaries (“BioPorto” or “the Group”). All significant intercompany accounts and transactions have been eliminated in consolidation. The accompanying

unaudited interim condensed consolidated financial statements have been prepared in accordance with IAS 34 “Interim Financial Reporting” as issued by

the International Accounting Standards Board (IASB) and adopted by the EU, and the additional Danish regulations for the presentation of quarterly interim

reports by listed companies. Certain information and footnote disclosures normally included in the consolidated financial statements have been prepared

in accordance with International Financial Reporting Standards (“IFRS”) as adopted by the EU have been condensed or omitted pursuant to such rules and

regulations. The accompanying unaudited interim condensed consolidated financial statements should be read in conjunction with the audited

consolidated financial statements and notes thereto contained in BioPorto’s Annual Report for the fiscal year ended December 31, 2022.

The Company assessed its liquidity and capital resources and concluded that they are adequate to fund operations considering a twelve-month period

from the balance sheet date, independent of the revenue potential associated with the timing and potential marketing authorization of NGAL tests by the

FDA in the US. The Company’s assessment as to the adequacy of liquidity relies inter alia on assumptions and significant judgements (in addition to those

matters discussed cf. Note 2) applied in the Company's budgets and forecasts as well as customary sensitivities, existing capital resources and assumptions

concerning the timing, costs and resources required to undertake the Company’s strategic priorities and tactical decisions, including the timing and

potential marketing authorization of NGAL tests by the FDA in the US, commercialization activities for NGAL tests under CE Mark and Antibodies in Europe,

supply chain management, and ongoing R&D, all of which under current circumstances remain difficult to predict.

Although not required to fund operations for the twelve-month period from the balance sheet date, the Company continues to monitor its liquidity needs,

manage its costs, and investigate its financing options, including raising additional capital as previously announced.

In the event that the Company’s strategic priorities and tactical decisions, including the timing and potential marketing authorization of NGAL tests by the

FDA in the US, commercialization activities for NGAL tests under CE Mark and Antibodies in Europe, and ongoing R&D are more positive than expected,

the Company may choose to accelerate projects and/or increase spending, in which case the Company may be required or may choose to raise additional

capital prior to the twelve month period after the date of this Interim Report.

The unaudited interim condensed consolidated financial statements are presented in Danish Kroner (DKK), which is considered the primary currency of

the Group’s activities and the functional currency of the parent company.

Accounting policies

The accounting policies used in the unaudited interim condensed consolidated financial statements are consistent with those used in the consolidated

financial statements for 2022 and in accordance with the recognition and measurement policies of IFRS. Certain comparative figures have been reclassified

to conform to the current period’s presentation.

As of March 31, 2023, the Group has implemented all new or amended accounting standards and interpretations as adopted by the EU and applicable for

the 2023 financial year. None of the new or amended standards or interpretations are assessed to have a material impact on the unaudited condensed

consolidated financial statements. The Group has not implemented any new or modified standards and interpretations that are not yet effective. The new

or modified standards and interpretations will be implemented when they become mandatory. They are not presently expected to have a material impact

on the Group’s consolidated financial statements.

2. Critical accounting estimates and judgments

The calculation of the carrying amounts of certain assets and liabilities requires an estimate of how future events will affect the value of such assets and

liabilities at the balance sheet date. Estimates material to the financial reporting are made in the calculation of, inter alia, development costs, incentive

schemes, inventories, accounts receivable, and deferred taxes.

The estimates made are based on assumptions that Management finds reasonable given the circumstances, but which are inherently uncertain and

unpredictable. The assumptions may be incomplete or imprecise and unexpected events or circumstances may arise. In addition, the Company is subject

to risks and uncertainties that may cause actual results to deviate from the estimates. Such estimates comprise judgments made on the basis of the most

recent information available at the reporting date. It may be necessary to change previous estimates as a result of changes to the assumptions on which

the estimates were based or due to supplementary information, additional experience or subsequent events.

Notes to Interim Condensed

Consolidated Financial Statements

(Unaudited)

Interim Report BioPorto, first three months of 202

Similarly, the value of assets and liabilities often depends on future events that are somewhat uncertain. In that connection, it is necessary to set out e.g.,

a course of events that reflects Management’s assessment of the most probable course of events. Special risks to BioPorto are described in the Financial

Review and C.f. the Annual Report as of and for the year ended December 31, 2022. The significant judgements made by Management in applying the

Group’s accounting policies and the key sources of estimation uncertainty were not materially different from those that applied to the consolidated

financial statements, C.f. the Annual Report as of and for the year ended December 31, 2022.

3. Business area reporting

GEOGRAPHIC DISTRIBUTION

2023

2022

Jan 1 - Mar 31

Jan 1 - Dec 31

DKK Thousand

(Unaudited)

Europe 2,264 1,170 10,090

North America

4,013 4,260 14,953

Asia 1,764 1,072 3,919

Other regions - - 7

Revenue 8,041 6,502 28,969

PRODUCT GROUPS

2023

2022

Jan 1 - Mar 31

Jan 1 - Dec 31

DKK Thousand

(Unaudited)

NGAL tests 4,822 3,729 14,857

Antibodies

2,795 1,868 12,033

ELISA kits 393 896 1,836

Royalty and other revenue 31 9 243

Revenue 8,041 6,502 28,969

4. Share-based payment

For the purpose of motivating and retaining Management and key staff and aligning their interests with those of its shareholders, BioPorto A/S uses

warrants as an incentive scheme. The arrangements, which are exercised by the issuance of new shares (equity-settled share-based payment transaction),

entitle the recipient to subscribe for new shares in the parent company at a price defined on the date of grant.

In the first three months of 2023 and 2022, share-based compensation expense totaled DKK 1.1 million and income of DKK 1.9 million, respectively. The

warrant terms are included in the Company’s Articles of Association, which can be found at www.bioporto.com

. U

pon vesting, each warrant entitles the

recipient to subscribe for one share in BioPorto A/S.

5. Taxes

The Group has a deferred tax asset. However, Management has found that it is not sufficiently probable that the tax asset can be utilized in the foreseeable

future. Management has therefore decided not to recognize tax assets on the balance sheet, cf. Note 2. The tax asset is of indefinite duration. As of the

most recent year-end, December 31, 2022, the gross value of the tax asset prior to the valuation allowance was DKK 88.8 million.

Taxes receivable represent refunds that are anticipated within the next twelve months for payments in excess of previous US federal tax liabilities and tax

credits held by its Danish entities associated with the Company’s investment in research and development.

6. Loss per share

2023

2022

Jan 1 - Mar 31

Jan 1 - Dec 31

DKK thousand (except where noted)

(Unaudited)

Loss for the period (16,060) (17,030) (75,923)

BioPorto Group's share of loss

(16,060) (17,030) (75,923)

Weighted average number of shares (in thousand) 334,693 268,918 318,554

Weighted average number of treasury shares (in thousand)

(13) (13) (13)

Weighted average number of shares in circulation – basic and diluted (in thousand) 334,680 268,905 318,541

Loss per share (EPS), DKK (0.05) (0.06) (0.24)

Warrants outstanding were excluded from the calculation of loss per share because the effect would have been anti-dilutive.

7. Receivables

2023

2022

Mar 31

Dec 31

DKK thousand

(Unaudited)

Trade receivables 4,355 8,192 3,058

Other receivables

589 101,440 1,769

Prepayments 2,280 1,075 1,555

Provisions for bad debt (268) (887) (229)

Financial assets at amortized costs 6,956 109,820 6,153

For receivables that mature within one year after the end of the financial year, the nominal value is considered to correspond to the fair value. A provision

for bad debts is recognized to reduce the carrying amount of trade receivables by the value which is impaired due to risk of loss. An overview of trade

receivables is included in Note 9.

8. Share capital

As of March 31, 2023, the share capital consists of 334,693,005 shares of DKK 1.00 each. The share capital has been paid up in full. The shares have not

been divided into classes and carry no special rights. As of March 31, 2023 and 2022, and December 31, 2022, the Company held 13,000 treasury shares

representing less than 0.01% of outstanding shares as of each date with nominal value of DKK 13,000. As of March 31, 2023, BioPorto A/S is not authorized

to acquire treasury shares. BioPorto A/S did not acquire treasury shares during the three months ended March 31, 2023 or the year ended December 31,

2022. During the three months ended March 31, 2023, the Company received DKK 3.2 million cash proceeds from the exercise of warrants where the

corresponding common shares were not yet issued, Cf. Note 10.

Interim Report BioPorto, first three months of 202

9. Financial risks and financial instruments

Financial instrument categories

2023

2022

Mar 31

Dec 31

DKK thousand

(Unaudited)

Trade receivables, net 4,087 7,305 2,829

Other receivables

589 101,440 1,769

Cash and cash equivalents 57,732 27,016 81,792

Financial assets at amortized costs 62,408 135,761 86,390

Other receivables as of March 31, 2022 represented the gross proceeds of a rights offering as they were legally bound for the benefit of the Group as of

that date.

2023

2022

Mar 31

Dec 31

DKK thousand

(Unaudited)

Lease liabilities 9,737 12,512 10,645

Other non-current liabilities

- 278 -

Trade payables 5,256 7,233 10,457

Financial liabilities at amortized costs 14,993 20,023 21,102

Financial liabilities

Trade payables generally fall due within one year after the end of the financial year. Their carrying amount is assumed to equal the fair value.

Currency risk

The Group’s presentation currency is DKK, but part of its activities are denominated in currencies other than DKK, primarily USD and EUR.

The Group is exposed to currency risks through sales, production, R&D contracts, and payroll denominated in currencies other than Danish kroner.

Based on its transaction volume, the Group has determined not to hedge its USD exposure. As the Danish kroner is pegged to the EUR, hedging of the

Company’s transactions in EUR is not necessary.

Interest rate risk

The Group's exposure to interest rate risk is considered to be limited. Substantially all of the Group’s assets consisted of bank deposits.

Credit risk

The Group’s credit risk is primarily associated with trade receivables. Cash and cash equivalents are deposited with major Danish, Nordic, and US banks.

The financial situation and ability of customers to pay trade receivables are regularly evaluated, with payment upon placement of an order required if

ability-to-pay is evaluated to be low. Expected credit losses are estimated by analyzing trade receivables by customer type and days past due. An estimated

loss percentage is calculated based on historical credit losses and specific customer circumstances. Trade receivables are written off when there is no

reasonable expectation of recovery.

AS OF MARCH 31, 2023 (UNAUDITED)

DKK thousand

Expected

credit loss

rate

Trade

receivables

Expected loss

Total

Not due 0.3% 3,585 11 3,574

1 - 30 days overdue 0.3% 372 1 371

31 - 60 days overdue 1.0% 96 1 95

61 - 90 days overdue 0.0% - - -

More than 90 days overdue 84.4% 302 255 47

March 31, 2023 4,355 268 4,087

AS OF MARCH 31, 2022 (UNAUDITED)

DKK thousand

Expected

credit loss

rate

Trade

receivables

Expected loss

Total

Not due 0.9% 2,660 24 2,636

1 - 30 days overdue 0.6% 2,158 14 2,144

31 - 60 days overdue 0.8% 782 6 776

61 - 90 days overdue 1.7% 695 12 683

More than 90 days overdue 43.8% 1,897 831 1,066

March 31, 2022 8,192 887 7,305

Liquidity risk

In connection with BioPorto’s ongoing financing of operations, efforts are made to ensure sufficient financial resources are available. BioPorto’s cash and

cash equivalents totaled DKK 57.7 million and DKK 81.8 million as of March 31, 2023 and December 31, 2022, respectively.

Free funds are placed in deposits to maintain flexibility.

Capital structure

Management regularly assesses whether the Group’s capital structure properly serves the interests of the Group and its shareholders.

Interim Report BioPorto, first three months of 202

10. Other accrued liabilities

2023

2022

Mar 31

Dec 31

DKK thousand

(Unaudited)

Share-based liability 3,180 - -

Accrued incentive compensation

2,483 3,720 8,574

Accrued board fee 2,070 567 2,179

Accrued vacation 1,928 1,221 1,906

Accrued professional and consulting fees 950 7,664 648

Accrued clinical trial costs 1,055 4,304 1,059

Accrued expenses - Other 3,345 1,765 2,871

Other accrued liabilities 15,011 19,241 17,237

The Share-based payment liability of DKK 3.2 million (DKK 0 million) corresponds to cash proceeds from the exercise of warrants where the corresponding

common shares were not yet issued pending the grantee’s establishment of a suitable Danish investment account.

11. Commitments and contingencies

All of the Company’s existing and proposed diagnostic products are regulated by the FDA and similar regulatory bodies in other countries and/or regions.

Most aspects of development, production, and marketing, including product testing, authorizations to market, labeling, promotion, manufacturing, and

record keeping, are subject to regulatory review.

After marketing approval has been granted, the Company must continue to comply with governmental regulations. Failure to comply with applicable

requirements can lead to sanctions, including withdrawal of products from the market, recalls, refusal to authorize government contracts, product seizures,

civil money penalties, injunctions, and criminal prosecution.

From time to time the Company may become involved in legal proceedings or may be subject to claims arising in the ordinary course of its business.

Although the results of litigation and claims cannot be predicted with certainty, the Company currently believes that the final outcome of these ordinary

course matters will not have a material adverse effect on its business, operating results, financial condition or cash flows. Regardless of the outcome,

litigation can have an adverse impact on the Company because of defense and settlement costs, diversion of management resources, and other factors.

12. Related parties

Related parties with significant interests

Other related parties of BioPorto with significant interests include the Board of Directors, the Executive Management, and their close family members.

Related parties also include companies in which these persons have control or significant interests.

Transactions with related parties

Other than ordinary management remuneration, there were no transactions with related parties during the three months ended March 31, 2023.

13. Subsequent event

To reduce its costs, after the end of the first quarter of 2023, the Company implemented a reduction in force that affected 28% of its global employees to

better align the Company’s resources with its strategic priorities to grow revenues in European and other markets that accept CE Mark, prepare responses

to the FDA’s request for additional information, and expand the total addressable market for NGAL tests. The Company expects to record a restructuring

charge of approximately DKK 2.5 million during the second quarter of 2023.

BioPorto is an in vitro diagnostics company focused on saving lives and improving

the quality of life with actionable biomarkers – tools designed to help clinicians

make changes in patient management. The Company uses its expertise in

antibodies and assay development, as well as its platform for assay

development, to create a pipeline of novel and compelling products that focus

on conditions where there is significant unmet medical need, and where the

Company’s tests can help improve clinical and economic outcomes for patients,

providers, and the healthcare ecosystem.

The Company’s flagship product, The NGAL Test

, is designed to aid in the risk

assessment of Acute Kidney Injury (AKI), a common clinical syndrome that can

have severe consequences, including significant morbidity and mortality if not

identified and treated early. With the aid of The NGAL Test, physicians can

identify patients potentially at risk of AKI more rapidly than is possible with

current standard of care measurements, enabling earlier intervention and more

tailored patient management strategies.

www.bioporto.com

BioPorto A/S BioPorto, Inc.

Tuborg Havnevej 15, ground floor 117 Fourth Avenue, Suite 202

DK-2900 Hellerup Needham, MA 02494

Denmark USA

CVR DK-17500317