0001493152-26-022508
SEC filingRevenue and profitability declined meaningfully in Q1 FY2026 versus prior year, driven by the loss of CMS reimbursement for PancraGEN® effective April 2025 — a structural headwind that reduced volume without offsetting margin expansion sufficient to stabilize operating income.
Operating income declined 38.6% to $1.1 million, a reduction more pronounced than the revenue decline. Management explicitly attributes this outcome to the decrease in revenue and gross profit discussed above — with no additional cost drivers quantified or disclosed in the authoritative packet. Net income fell 56.2% to $721,000, or $0.03 per diluted share, compared to $1.6 million, or $0.06 per diluted share, in Q1 FY2025. The income tax expense for the period was primarily attributable to current-period net income and deferred tax adjustments, per management’s disclosure.