Thank you. Good afternoon, everyone.

Let me start by pointing out that this conference call will include forward looking statements within the meaning of applicable securities laws. These may include statements regarding the future financial position, business strategy and strategic goals, commercial activities and timing, competitive conditions, research and development activities, projected costs and capital expenditures, research and clinical testing outcomes, the potential benefits of our products, including Perimeter S series OCT and ImgAssist AI, Perimeter's ability to broaden its user base and system utilization expectations regarding new products and the timing thereof, and expectations regarding opportunities for market expansion.

Forward looking statements are subject to numerous risks and uncertainties. Many of which are beyond our control.

Including risks and uncertainties described from time to time in our public filings and press releases, which are posted on SEDAR+.ca. Our results may differ materially from those projected on today's call.

No forward looking statement can be guaranteed. Program undertakes no obligation to publicly update or otherwise or revise any forward looking statement whether as a result of new information, future events realized.

other than as required by law. On the call representing the company are Adrian Mendes, Perimeter's chief executive officer and Sara Brien, the company's chief financial officer and Andrew Berkeley, Perimeter's chief innovation officer and cofounder.

With that said, I will now turn the call over to Sara.

Thanks, Steve. Good afternoon, everyone, and welcome to our second quarter 26 conference call.

On behalf of the management team and everyone at Perimeter, we would like to thank you for your ongoing interest in our company. For those of you who are our shareholders, we appreciate your continued interest and support.

Before turning the call over to Adrian to provide a commercial update, I would like to provide a brief update on our preliminary financial results. To streamline things, all the numbers I will refer to have been rounded.

So they are approximate. Also, as a reminder, we report in US dollars.

Finally, as you may have noticed, these numbers are preliminary and subject to change. The reason driving this is the accounting treatment and classification of the convertible debenture that was closed in Q2 unit based structure.

While that may impact some of the expense and net loss per share figures, the accounting finalization will not change revenues or cash position. For the 3 month period ending June 30, 2026, the company recorded revenue of $503 thousand $100 thousand.

With the full amount coming from recurring revenue, which consisted of the sale of S-Series consumables and system leases as well as from preventative maintenance service services, the sale of ESP warranty programs. This represents 31% sequential growth over Q1 2026.

Operating expenses for the 3 months ended June 30, 2026, were $3.1 million down 28% from $4.3 million in the same period in 2025. Second quarter 26 net loss was $2.6 million or $0.02 per common share.

A 33% improvement compared to $3.9 million or $0.04 per common share loss in the 3 months ended June 30, 2025. Cash used in operating activities in the 6 months ended June 30, 2026, was $5.1 million a 23% year over year decrease from Q2 25.

As of 06/30/2026, cash was $6.4 million. With that, I will now turn the call over to Adrian.

Thanks, Sara. And thanks again, everyone, for your time and attention today.

As we have talked about in the past, our goal in the quarter is leading up to FDA approval of our next generation AI-enabled B-Series device was to seed the market with our legacy S-Series OCT, in order to create a strong network of early adopters and technology champions. Though our commercial team has been and remains relatively lean, it achieved that goal.

And the positive momentum we built through 2025 and into 2026, translated into strong sequential growth of recurring revenues in the second quarter of 2026. Today, despite it only being about 4 months since the FDA PMA approval of our next-generation B-Series device, We have already made 2 B-Series placements, and the first hospital has commercially deployed the technology.

They may not seem like huge numbers at first blush, but it is important to note that we could not even talk to any potential B-Series customers before we received FDA approval for the technology in April. On top of that, we have built a strong sales funnel, which consists of a mix of current legacy S series users looking to upgrade to B-Series at a higher ASP per procedure, due to the AI, and brand New Users Who Are Looking To Use OCT In The Operating Room for the first time.

On the back of all that strong interest, we continue to have confidence that we will continue to see commercial traction with B-Series to grow as we progress through the rest of 2026 and for it to materially accelerate in 2027 and beyond. And so to summarize what you have just heard, we saw yet another period of positive commercial traction driven by our legacy S-Series product as demonstrated by our 31% sequential quarter over quarter revenue growth in the second quarter, At the same time, we continue to carefully manage our resources as we grow, as a result of our cost control efforts, we were able to reduce quarterly operating expenses by 28% and net losses by 33%, respectively, and operating cash burn in the first 6 months decreased by 23%.

We received PMA approval from the FDA for our next-generation AI-enabled B-Series device in April. Soon thereafter, we achieved the first 2 commercial placements and last week, we announced the technology's first commercial deployment by a hospital.

We plan on methodically and opportunistically expanding our commercial team to drive growth without getting too far out ahead of it. And finally, pulling all of this together, we believe that we are at a pivotal inflection point in our business and on the cusp of entering into a stage of anticipated rapid growth.

In a brand new market like ours, it is difficult to predict timing of growth precisely, but we believe that 2027 revenues will be materially higher than 2026. it is an exciting time for us, and we look forward to keeping you updated on our progress.

And with that, I would like to now open up the call for your questions. Operator?

Congratulations on the quarter. Congratulations on the on the new deployments.

Glad to see this leg of your revenue growth story, start. I would like to ask I would like to ask about the pipeline.

Last quarter, you gave a bit of a bit of a granularity on how many I guess I guess, leads or mature leads you have in your pipeline? Now what detail could you give us about that?

Yeah. I think in general, the pipeline continues to grow.

Michael. We are able to now you know, last quarter, we had just started doing it, but at this point in time, we have been able to continue to move things through that pipeline.

2 of them have come through the other end at this point. And I think over the next few months, you will start to see more of those-- we will start to see more of those come through, as we continue to put more into the front end of the pipe.

what is key for us right now is not just moving what is in that pipe with our small team as mentioned, but really, you know, building that pipe out larger. You know, putting more to the front end.

And that is where a lot of our focus has been right now. Both building out the sales team as well as increasing that, you know, increasing the movement through the pipe.

Gotcha. Gotcha.

Would you be willing to put some numbers to that? I think I think in the last quarter, you talked about 50 qualified leads.

Or is it is this a number that we have that is in flux?

it is influx all the time. You know?

I think it is just safe to say that leads that we have continue to increase and continue to move. So but it changes consistently, obviously.

I recognize that it is early. I wanted to talk about OpEx.

Yeah. There is a, you know, nice reduction in OpEx year over year.

Recognize that with the with the launch of a product, you know, we are going to want to invest in the sales team. Maybe, Sara, how should we how should we think about OpEx as the year proceeds?

Yeah. So you can, Michael.

I think OpEx really, from my perspective, is we are going to see sort of relatively modest growth in operating expenses throughout the rest of the year, really focusing our energies and cost growth in the sales and marketing area. So, you know, we are obviously conscious of burn and keeping our cash position healthy.

And so it is moving resources around between the operating areas.

Okay. Alright.

I would like to ask on how you are deploying the sales team currently. What do you what do you view as I guess, if you could just give us an overview of the initial sales strategy, in the, you know, in the in the first few months following B-Series's approval.

Yeah. I can give you some more color on that?

So you know, as you know, we have got a number of, several dozen customers on the older S-Series product. And then the pipeline, as we talked about, of new customers.

So there is 2 elements to our path forward. 1 is converting existing customers.

over to B-Series, and the other is bringing on board some of the new you know, customers from the pipeline. We are focused in the areas we have existing customers, even for the new ones.

So, you know, you know, Dallas, of course, is a big center for us, Utah, Colorado, Phoenix. there is a few other, areas that we have got customers.

So really focus, so part of it is to try to focus in on those geographies, those metropolitan areas. Number 1.

Number 2, working through various accounts, whether they are already on the S-Series or brand new through. As it turns out, even if it is at an existing customer, because B-Series has AI on it, it now needs to go through whereas we did not have to do this with S-Series.

With B-Series, we do have to go through all the AI review committees and IT reviews within the hospital. So it is not a quick flip.

It does take them time to go run through the review of our AI. So that adds time there.

And then, of course, if it is at an account that we do not have any customers, any devices at. Then it is a full sales cycle to include contracting and pricing and everything.

So, you know, the sales strategy is to focus in the hubs, the places we have customers have multiple tracks, both in converting existing customers as well as, again, bringing new customers on board. And then the converting of existing customers The major work that needs to be done there is go through the IT AI review boards that they have at the hospitals.

As well as move to the higher price for the ASP for the AI. Okay.

Thank you very much. I am going to pass the line.

Thanks, Michael.

Hi. Thank you.

Couple of questions. Adrian, acknowledging your earlier comment about your precision around uptake, Are you still comfortable with 2 to 3 times revenue growth in 2026 We will see how the revenue ends up.

there is a lot of opportunities that are sort of towards this later stage of the sort of the sales pipeline funnel or whatever. And it will be a matter of when they whether they cross over this year or they flip over, you know, cross over the, the boundary into next year.

Still very bullish on our growth trajectory and our ability to get customers onto the B-Series. So I think we are still in line on that front.

And we will we will kinda see how things time out. I think the what we are working through now from a timing standpoint is actually getting through those AI committees at the hospitals.

Which are turning out to be-- you know, there is a lot of education that has to go into that, which is something we have not had to do in the past. But our AI from a risk standpoint from the hospital is it really is not that risky.

Not connected to the Internet. it is not a continuous learning system.

it is a fixed AI algorithm, so it does not hit any of the real concerns that these committees have. But we still have to go through those.

So how that translates into actually getting B-Series is, you know, earning revenue, we will see. Got a couple, like I said, you know, already across the threshold, and we will see how the rest of them fall out over the next, you know, 4 months this year and then over the next 6 to 12 months you know, into next year.

Are in the AI reviews and, again, I acknowledge it is only a couple of places, and it is all new. But yeah, how sophisticated are these review boards on the technology given everything they have that is coming at them and this pace of change.

They are what is interesting is that their processes, from what we have observed, the process within various hospitals are evolving in real time also. So what was the process 3 months ago has now changed and is now there is a new process.

With different, you know, different people and different milestones and things like that. They are getting better.

Fundamentally, what they are most concerned about, I think, is really twofold. 1 is your device going out of the system to do its inference or is it locally contained within the hospital?

Right? And for us, that is easy.

it is all locally contained inside the device itself. there is nothing going out to the cloud or to the Internet.

So they are concerned about that. Right?

They wanna make sure that is the case. And then the other thing they are concerned about is the model that is validated and then gets moved into the hospital, is it a fixed, or does it continuously change in real time?

And ours is fixed and does not change in real time. Right?

So then that, like, reduces risk from their standpoint. And I guess the third thing, which does take a bit more sophistication, but I think people generally understand this, is the model a generative model or not?

Right? And generative being more risky because you know, it is generating content as opposed to not.

Like, ours is not generative. It is really an image detection.

An image recognition type of model. So that also falls in the lower risk bucket.

But the ability to communicate that to the right people and go through the process in the right way is what the navigation that we need to do with all our customers now. Is, which is something we have not had to do in the past.

And, frankly, the hospitals have not really had to do with much until, obviously, the past couple years. So their processes are evolving as well.

Alright? Okay.

And 1 last question is you had planned to file with CMS for HCPCS codes in June. Were you able to do that as expected?

Yes. Yeah.

We were able to. To get that filing in place.

So that is being reviewed by CMS at this time.

Great. Thank you.

Thanks, Kent.

Hi, Adrian and Sara. Thanks for taking questions.

I guess just to confirm, how many sites are in total are currently using either the S-Series or B-Series? I think it was kind of 22 or 23 and expect that is probably the same given that the 2 were B-Series systems were kinda conversions, but just wanting to confirm that.

Yeah. That assumption is correct.

Yeah. The 2 that we, the 2 B-Series systems were conversions from the S-Series over to B-Series.

Got it. So is it is it 22 total then?

Oh, sorry. it is 22.

Yes.

And then maybe I was a bit confused with the remarks. So there was the 2 that were installed, and that was the announcement.

With the Q1 update, which is great. And then last week, the commercial adoption, I think you phrased it as 1 commercial site, but I from what I recall in the press release, it was mentioned 2 hospitals.

So are both systems now commercially doing procedures, or is it that both installed and only 1's doing procedures? Just clarify that for me there.

No. No.

They are both installed, and they are both doing procedures. Got it.

Great. And how many did you have a sense of you know?

Are you kind of happy with the initial pace of the number of procedures that those sites are doing?

Yeah. I mean, they have flipped over from all the procedures that used to be on the S-Series are now on B-Series.

So, I am happy with that. And now it is a matter of getting more and more B-Series out there.

Yeah.

Yeah. Absolutely.

And do you see the number or the percentage of the procedures that they are using or they plan to use B-Series kind of higher than what maybe they were using the S-Series for, like, there were some procedures that they were not using S-Series that now that they have B-Series that they are planning to start using it more?

No. I do not think there will be a difference from that respect.

There are folks that with the S-Series were using it for certain types of breast cancer. and then other types of things as well.

With B-Series, the trial we ran through was really focused on those types of cancer. Right?

So DCIS and IDC. Fundamentally, right, which is pretty much what the S-Series customers are using it for also.

So although it can be you know, the surgeons can use it off label for other things, the AI was really trained and validated on DCIS and IDC. So I do not really see the release of B-Series being a catalyst to expansion to different types of use cases other than those.

That being said, you know, we are very surprised. Often that we talk to surgeons like, oh, we start to use it in this way or that way.

You know, that was not really part of our original intention, but they find uses you know, it is interesting. They find uses for the technology that you know, we had not anticipated.

Absolutely.

And on the personnel side, I know that, you know, hiring the salesforce and the team was a big part of kind of the capital raise and helping to, you know, accelerate the rollout. Are you still happy with the people you are seeing?

Have you hired anybody in kind of new regions that you are looking to expand in? Kind of any updates on that process would be great.

No. We are happy with the candidates that we are seeing.

And so I think we will start to see them coming on board over the next few months. And then, of course, there is a training time and things like that.

So where I expect the new sales team to start really delivering from a revenue standpoint, which is ultimately the goal here, is towards the end of the year and then early into next year. So we will start to see that acceleration revenue due to the increase in our sales team.

that is great. And, I guess, with the current balance sheet and kind of where do you see the runway?

Kind of giving you to hit some of those kinda acceleration? Sara, do you want to take that?

Yeah. I mean, I think, you know, our intention of the last capital raise to was to get 12 months of cash on the balance sheet, and we are still projecting, that same runway at the time of this capital raise.

that is great. Maybe just 1 or 2 more.

Any kind of major other events or conferences that are coming up in the next few months where you will really be able to get out there and kind of pound the table on B-Series and broaden the, you know, reach with a relatively concentrated audience.

From a on the clinical side, the big conference for us is ASBRS. The annual conference, which happens in the April, May time frame, so that you know, the ASBrS timed out pretty well.

It came just a month or so we got FDA approval. So we made a big splash there.

But in the breast cancer world, that breast surgery world, that is kind of the big 1. And then from an investor conference standpoint, you know, there is a few more that we are looking at, you know, from now to the end of the year in the fall.

And we will we will make announcements of those as we are as we get closer to the time. that is great.

And maybe lastly, you know, I know I think 1 of the things talked about in the past was potential, you know, NASDAQ dual listing or kind of leveraging more of the capital markets south of the border. Any progress on that in terms of getting ready for that type of an event?

Yeah. We are in the planning stages on that.

So, you know, there is work to do on the accounting side. there is work to do on the legal side.

But we have we have started the, you know, the process of planning that out and preparing for that. that is great.

I appreciate you taking the questions. Thanks.

Well, Scott.

Great. Do you have any sense of the appetite for customers to do a lease versus a capital sale?

We have there certainly is place in our customer base for capital sales leases or leases. We have not got to the point where that has been the sort of sticking criteria.

Frankly. For capital sales versus lease.

But there but definitely, it is very standard of the industry. So that is you know, we are prepared to have those discussions as it comes up with customers.

We are, you know, that is fully 1 of the options we have got in our you know, in front of us in terms of how we can help get the devices deployed.

Okay. Great.

And for purposes of any guidance you have given in the past, did you have an implied estimate of the mix of lease versus sale?

We have not given any guidance to that. On that front.

Thank you, operator. Okay.

So the second quarter of 26 marked a critical milestone for Perimeter. Very critical, just this commercialization.

So this is highlighted by the first placements of our B-Series device. Out in the field.

This represents a major validation of our clinical, regulatory, and technology development efforts, and it does position us to advance to the next phase of our commercialization strategy, which is really now focused primarily on scaling adoption. Moving forward, we believe that we are approaching a period of rapid revenue growth as B-Series adoption really starts to ramp across the country.

And particularly in this coming next year. So it is very exciting times here at Perimeter, and we thank you for your time today.