Dyadic International, Inc. IAccess Alpha Virtual Best Ideas Fall Investment Conference 2026

Thank you everyone for joining us today. Again, my name is Joe Hazelton. I am the President and Chief Operating Officer for Dyadic Applied BioSolutions. I spent about the last 30 years in biopharmaceutical commercialization and development before, 3 years ago, joining Dyadic to help with the commercialization of their platform technology across 3 core areas: life sciences, food nutrition, and bioindustrial. What I am really excited about is we are now at the commercial stage. We have transitioned from a true R&D organization into a commercial organization with multiple products, either on the market or in current commercialization using our gene expression technology. We are going to wait for the slide. Oh, there we go. I am going to be making, obviously, certain forward-looking statements. Please refer to our risk profiles and our SEC documents found on our website.

Let us talk about why Dyadic is exciting right now, and it is really because of the growth in the demand for proteins worldwide, specifically animal-free solutions. As we look, the global demand for proteins is growing across all 3 of our key segments, life sciences, food nutrition, and bioindustrial, for multiple different reasons. Not only from a food and nutrition standpoint, we have a growing population. In the life sciences, companies are looking for safer, more reliable alternatives to animal or plant-derived proteins. When you use recombinant or non-animal solutions, you can have broader applications for these proteins than you do with animal or plant-derived sources. That is where Dyadic really has the opportunity to be transformational in terms of what it can offer for real-world applications across our 3 core segments.

We currently have products, both ourselves and our partners, that are addressing specific protein needs in each of those sectors. As that demand continues to grow, we hope to be able to provide solutions to take advantage of it. Why Dyadic and why now? What makes us an attractive investment opportunity? Well, it is because we have actually moved to the commercialization and execution stage. When we sold our industrial business to DuPont in 2015, we embarked on transitioning or developing the host technology to create more valuable products. It takes time to do that. It takes time to essentially re-engineer the cell lines to move from bioindustrial to life sciences or food and nutrition. Now that we have done that, we have shifted our focus to products that do not require human clinical trials, they do not require FDA review.

Not that biopharmaceuticals is not going to be a key value driver for us in the future, but in the mid and short term, it really is about products that can be put on the market and sold without regulatory review and without FDA review or human clinical trials. These are products that we currently have available, like albumin, transferrin, and growth factors in our cell culture media portfolio. We have other products such as alpha-lactalbumin and chymosin that is just launched in the food and nutrition space. We also have products we will talk about later in the bioindustrial. We are at that commercial inflection point, both through ourselves, our partners, and our distributors, we are ensuring the global market access for the products that we are launching.

We have got multiple revenue models in place, both direct sales, we have licensing and milestone revenues, as well as partnerships and profit-sharing. We have strategic partners to help us pull this through and commercialize, and that is going to continue to expand. We are really at the inflection point where we actually have products on the market, and that is the biggest change from Dyadic even a year ago. Let alone, five years ago, we have actually completed the transition to commercial execution. We are doing that by using our proprietary gene expression technology, which we have nicknamed C1, and our assistant platform, which is Dapibus. We have two platforms which enables us to target multiple segments of each of our core verticals in life sciences, food, nutrition, and bioindustrial.

Even though we are going to talk about a lot of different products, a lot of different markets, what we do remains the same. We engineer our filamentous fungal platform to produce the proteins of interest for our markets and those of our customers. Then we obviously engineer and scale that platform into commercialization. The two platforms that we have, C1 and Dapibus. C1 is more our life sciences and biopharma platform. It has been specifically engineered to produce more complex proteins like human therapeutics, monoclonal antibodies, vaccine antigens, where our Dapibus platform has been specifically designed to be optimized for high yield, low cost production in food nutrition or bioindustrial applications. So we are taking the industrial heritage that we had, and now we are applying it to more high-value areas, and now we have got two platforms to help us capture value across our portfolios.

Again, we are doing the same thing for each project. We are engineering our technology to produce the protein. So even though we talk about a lot of different markets, we are really a solutions provider. We are using our technology to provide solutions across multiple end markets. On a daily basis, what we do is the same. So it is not like we are focused on 1,000 different things. We are doing the same thing, just in multiple different markets. What has also shifted is our ability to generate revenue. We currently have a partnership with Integrated Biotherapeutics, where we are selling our products directly into the market. Now, these are research-grade products in cell culture, molecular biology reagents, things like growth factors, transferrin, alpha-lactalbumin. These are things that are currently being sold through our partnership with IBT, and we are also selling them directly to large end third parties.

Those sales are just starting. We have just launched these products into the market, and now we are starting to see some initial sales coming in. We also have licensing and milestone revenues coming in from our partner, Inzymes, and other partners, where we have already received about $1.4 million in upfront and milestones from the launch of their bovine chymosin, which is now currently on the market and generating commercial sales. Then we have partnership revenues, like with Proliant Health and Biologicals. They are our partner for recombinant human albumin. They launched in March of this year, and they are currently also developing two additional recombinant human albumin products that they announced about 2 months ago. They will be launching not just in the research space, but also in the cell and gene therapy market, as well as in the cell culture market.

They will have three different versions of recombinant human albumin in the market, and we receive a share of the profits. We have partners like Fermbox Bio, who we also have a profit share for products that they are launching in the bioindustrial space. Then we have royalties from Inzymes and BRIG BIO as they commercialize alpha-lactalbumin. We have multiple ways now that we have been able to diversify our revenue streams so that we can shorten the time to our ability to generate revenues. We can sell products directly. We still retain the ability to license and have profit-sharing with other partners as well. It is a capital-light strategy because we are selling products that are relatively easy to bring to the market in the research-grade space.

For those that require more development or more resources to launch, we are using a partner-driven approach, like we have done with Inzymes and Proliant. The markets that we are targeting are life sciences, food, nutrition, and bioindustrial. Within each of those, we have drilled down into sub-markets where we feel that our technology has a specific advantage. Most of that being that we can produce complex proteins, but with the horsepower of the industrial heritage that we have. When you look at the life sciences segment, when you look at human therapeutics, reagents, buffers, input proteins, this is an $80 billion-$100 billion segment. We are focusing in on cell culture media and molecular biology reagents, and it gives us an addressable market of about $10 billion. These are products that are used in the production of therapeutics. They are used in research and development, as well as discovery.

They are used for cell and gene therapy. They are used for input proteins to make monoclonal antibodies with mammalian cell lines. These are proteins that are used every day in research development, diagnostics, and manufacturing of products. It is a key market where the regulatory environment is such that they are looking for more sustainable, higher quality, higher purity, and repeatability in their proteins. That is what recombinant expression does. We are able to do these in larger amounts, lower cost than some of the competing platforms out there. In the food and nutrition space, again, when you look at different markets across alternative proteins, you are looking at the non-animal dairy market is a significant opportunity as we move forward. You just take a trip to the grocery store and you are seeing all these different types of milk, whether it is soy milk, oat milk.

Now there is going to be animal-free milk, which again, is using proteins that are expressed in these gene expression technologies, where we are able to produce whey proteins like alpha-lactalbumin. Those are markets where, again, our technology has a competitive advantage because you are competing with animal-derived sources, or you are competing with plant-derived sources, which are relatively inexpensive, versus recombinant production, which is why you need a host that has been designed to produce proteins in large amounts and at low cost. That is exactly where Dyadic started its industrial businesses. Again, that is what we are using. We are using those industrially proven techniques and platform capabilities to apply to these segments that are competing in more margin-sensitive areas. Then we look back in the bioindustrial segment.

We obviously were very successful in that in the past, and now we are re-entering it, but in markets that we know very well, or we are exploring niche or specialty opportunities where we believe that our ability to express complex proteins or enzymes like hyaluronidase could be beneficial in key areas like cosmetics. We are also in biofuels. We launched EN3ZYME, which is a biomass processing cellulosic enzyme, with Fermbox Bio earlier this year, and we are already starting to see some initial sales there. Again, as we start to expand into this market, we are not trying to boil the ocean of bioindustrial, which is a $150 billion segment. We are focusing in on the areas where we know we have competitive advantages or experience or areas where we believe there is a specialty opportunity.