Intelligent Bio Solutions Reports Revenue Decline and Increased Net Loss for Q1 2025

Intelligent Bio Solutions Inc. reported a decrease in revenue for the three months ending March 31, 2025, totaling $728,867, down from $823,800 in the same period last year. For the nine-month period, revenue also declined to $2,208,648 from $2,383,957. The company attributed this decline primarily to instability in the construction sector, which impacted sales of its fingerprint readers. Despite the drop in revenue, the company achieved a gross profit of $341,368 for the quarter, significantly higher than the $178,489 recorded in the previous year, driven by a shift towards higher-margin cartridge sales.

The company's operating expenses for the quarter decreased slightly to $3,067,887 from $3,216,066 year-over-year, with selling, general, and administrative expenses remaining relatively stable. However, development and regulatory approval expenses saw a notable decrease, reflecting the timing of engagements with research partners. The net loss attributable to Intelligent Bio Solutions Inc. was $2,543,526 for the quarter, an improvement from the $2,977,667 loss reported in the same quarter of 2024. For the nine-month period, the net loss increased to $7,478,629 from $7,372,512, primarily due to increased investments in research and development.

Operationally, the company expanded its customer base, securing 35 new accounts during the quarter, bringing the total to over 450 active accounts across 24 countries. The company also made strategic advancements, including the integration of Arabic into its Intelligent Fingerprinting Drug Screening System and a partnership with Detecto to enhance its market presence in Spain and Andorra. Additionally, the company was granted a patent for its drug screening cartridge, marking a significant milestone in its product development.

As of March 31, 2025, Intelligent Bio Solutions reported total assets of $9,584,527, a decrease from $13,778,863 as of June 30, 2024. The company’s cash and cash equivalents stood at $2,807,112, down from $6,304,098, raising concerns about its liquidity and ability to fund operations in the near term. The company has indicated that it may need to raise additional capital to support its ongoing operations and development plans, which could impact its future financial stability.

Looking ahead, Intelligent Bio Solutions anticipates continued operating losses as it works towards regulatory approvals and market expansion. The company has expressed uncertainty regarding its ability to generate positive cash flows in the foreseeable future, emphasizing the need for additional funding to sustain its operations and achieve its strategic objectives.