Rockwell Medical (RMTI) Q1 2026 earnings summary

Executive summary

• Net sales for Q1 2026 were $17.3 million, down 8% year-over-year, mainly due to reduced sales to DaVita, partially offset by price increases and new customer sales.

• Gross profit was $2.9 million, with gross margin improving to 17% from 16% in Q1 2025.

• Net loss for Q1 2026 was $1.6 million, slightly higher than $1.5 million in Q1 2025.

• The company is a leading supplier of liquid bicarbonate, serving over 1,400 facilities in the U.S. and distributing to 30+ countries.

• Operational changes are expected to generate over $3 million in additional annualized gross profit.

Financial highlights

• Q1 2026 net sales were $17.3 million, down from $18.9 million in Q1 2025, mainly due to lower volumes from DaVita.

• Gross margin for Q1 2026 was 17%, up from 16% in Q1 2025.

• Adjusted EBITDA for Q1 2026 was ($0.3) million, improved from ($0.4) million in Q1 2025.

• Cash and equivalents at March 31, 2026 were $23.9 million, down from $25.0 million at year-end, mainly due to seasonal expenses and a $500,000 acquisition payment.

• Working capital stood at $27.1 million at quarter-end.

Outlook and guidance

• 2026 annual net sales projected at $70–$75 million; gross margin expected between 18% and 22%.

• Adjusted EBITDA guidance for 2026 is $1–$2 million; positive operating cash flow anticipated.

• Targeting positive net income in the second half of 2026.

• Long-term goals include annual net sales above $100 million and gross margin approaching 30% by 2029, with annual profitability of $5–$10 million.

• Management believes current working capital is sufficient for at least the next twelve months.