0001193125-26-221559
SEC filingCost discipline narrowed operating and net losses despite revenue growth offset by gross profit contraction, with private placement proceeds extending cash runway into Q4 2026 amid planned R&D spending increases and need for additional capital.
Revenue rose 4.5% to $398K from $381K in Q1 2025, driven by overall demand resilience despite a decline in contract manufacturing revenues from reduced third-party client demand. This mix shift led to a 4.0% drop in gross profit to $264K, though gross margin held steady at 66.3%, reflecting pricing stability amid pre-commercial operations with no inventory carried for investigational products.
Net loss improved 5.5% to -$4.7M from -$5.0M, with diluted EPS advancing 44.1% to -$0.19 from -$0.34, benefiting from share count dynamics post-financing. Net cash used in operating activities moderated to -$4.4M from -$4.7M, equivalent to free cash flow with zero capital expenditures versus $27K prior year, signaling capital allocation focus on core R&D over facilities.