Microbix Biosystems (MBX) Q1 2026 earnings summary

Executive summary

• Q1 2026 revenue was CAD 4.2 million, up 13% sequentially but down 30% year-over-year, reflecting recovery after setbacks with two major clients in 2025.

• Net loss for the quarter was CAD 1.2 million, managed using cash reserves, compared to net income of CAD 857,000 in Q1 2025.

• Strategic focus remains on expanding sales to test makers, PT/EQA providers, and clinical labs, with a growing, more diversified client base.

• New client relationships and product launches, including recombinant SARS-CoV-2 antigen, are supporting growth.

• The Kinlytic urokinase drug program is advancing, with milestone payments received and further FDA filings planned.

Financial highlights

• Q1 2026 revenue: CAD 4,218,909, a 13% increase from the previous quarter but down 30% year-over-year due to a sharp drop in China distributor sales.

• Gross margin was 41%, below expectations and down from 62% in Q1 2025, impacted by lower sales volume and fixed overhead absorption.

• Operating and net loss: CAD 1,167,177 (vs. operating and net income of CAD 856,962 in Q1 2025).

• Cash balance at end of January was CAD 10.6 million, up CAD 1.5 million from December, with strong liquidity and C$9.1 million at quarter-end.

• Accounts receivable increased to CAD 3,984,395 from CAD 1,610,509 at prior year-end, attributed to timing of shipments; most have since been collected.

Outlook and guidance

• Annual revenue is targeted at CAD 18.5–19 million, about 30% above the 2025 low point, with double-digit annual sales growth targeted beyond 2026.

• Profitability is expected to be reached or closely approached in Q4 2026, contingent on order timing and new business wins, but further net losses are anticipated in the next two quarters.

• No significant seasonality expected in revenue or OpEx trends.