Biomerica Reports Decline in Revenue and Gross Profit for Three and Six Months Ended November 30, 2025

Biomerica, Inc. reported a decline in financial performance for the three and six months ended November 30, 2025, with net sales of approximately $1.21 million and $2.59 million, respectively. This represents a decrease of 26% for the three-month period and 25% for the six-month period compared to the same periods in 2024, where sales were $1.64 million and $3.44 million. The decrease in revenue was primarily attributed to lower sales of Aware® products in the Middle East, reduced contract manufacturing billings, and decreased clinical laboratory sales, which were affected by the timing of customer orders. The company's gross profit for the three months was $51,000, a significant drop from $437,000 in the prior year, while the gross profit for the six months was $477,000 compared to $724,000 in 2024.

Operating expenses for the three months ended November 30, 2025, totaled approximately $1.42 million, slightly down from $1.43 million in the same period last year. Selling, general, and administrative expenses increased by 5% to $1.23 million, driven by higher salaries and wages, credit loss expenses, and outside sales-related services. Research and development expenses decreased by 25% to $193,000, reflecting fewer labor hours allocated to R&D. For the six-month period, total operating expenses were $2.97 million, down from $3.09 million in 2024, with similar trends observed in both selling expenses and R&D costs.

In terms of strategic developments, Biomerica has focused on the commercialization of its inFoods® IBS product, which aims to assist patients with irritable bowel syndrome by identifying food sensitivities through a blood test. The company has initiated partnerships with gastroenterology physician groups to gather feedback and optimize engagement. Additionally, Biomerica received FDA clearance for its hp+detect™ test, designed to detect Helicobacter pylori infections, which is expected to enhance its product offerings in the diagnostic market.

As of November 30, 2025, Biomerica reported total assets of approximately $6.03 million, an increase from $5.95 million at the end of the previous fiscal period. The company’s cash and cash equivalents rose to $2.54 million, up from $2.40 million, while working capital improved to $3.59 million from $3.14 million. However, the company continues to face challenges, including an accumulated deficit of $54.49 million and ongoing net losses, raising concerns about its ability to continue as a going concern. Management is actively pursuing strategies to increase sales, reduce expenses, and secure additional financing to support operations and growth initiatives in the coming year.