• Improved operating performance, with reduced cash outflows
• BLC Cosmetics restructured and now trading profitably
• Strong performance of Bouf Haircare brand by York Street Brands

Anagenics Limited (ASX: AN1) has provided an update on its activities during the quarter ended 31 March 2026 (3Q26). The company's operational performance is in line with the budget set after the restructuring. During 3Q26, the company experienced Operating Cash Outflows of $0.3 million, totaling $1.0 million for the nine months ending in March 2026. This is an improvement compared to the same period in the previous year, where cash outflow was $0.4 million, and for the nine months ending in March 2025, it was $1.7 million. The negative cash flow in 3Q26 was primarily driven by the resolution of outstanding creditor payments, but the company anticipates improvements in cash flow from operations in the second half of fiscal year 2026. BLC Cosmetics has successfully restructured and is now trading profitably, and the business is also exploring additional products to expand its portfolio. Following a successful launch in May 2025, Bouf Haircare by York Street Brands (YSB) has continued to perform strongly. The brand was developed using Anagenics' proprietary technology, and during 3Q26, royalty revenue from the YSB product line amounted to $347,000, which is received in April 2026 (4Q26). The company has invoiced $738,000 for the nine months ending in March 2026.