Mesa Laboratories Reports Revenue Growth of 17.5% for Quarter, Net Loss of $1.7 Million

Mesa Laboratories, Inc. reported a notable increase in financial performance for the three and nine months ended December 31, 2024, with revenues reaching $62.8 million and $178.8 million, respectively, marking increases of 17.5% and 13.7% compared to the same periods in the previous year. The company’s gross profit also improved, totaling $39.8 million for the quarter and $112.5 million for the nine-month period, reflecting growth rates of 19.0% and 16.3%. However, the company recorded a net loss of $1.7 million for the quarter, a significant decline from a net income of $2.1 million in the prior year, while net income for the nine months was $5.1 million, up from $337,000.

The financial results were influenced by the acquisition of GKE GmbH and SAL GmbH, which contributed $6.9 million in revenue during the quarter and $19 million for the nine months. This acquisition, finalized in October 2023, has expanded Mesa's capabilities in the sterilization and disinfection control market. Organic revenue growth was also observed, with a 4.3% increase driven by strong performance in the Biopharmaceutical Development and Calibration Solutions divisions, although the Clinical Genomics division faced a 14.2% decline in organic revenues.

Operationally, Mesa Laboratories reported a slight increase in total operating expenses, which were approximately flat year-over-year, totaling $34 million for the quarter and $97.6 million for the nine months. The company’s employee headcount has also increased, reflecting the integration of GKE and the expansion of its operational capabilities. As of December 31, 2024, Mesa had $30.9 million in cash and cash equivalents, up from $28.2 million at the end of the previous fiscal year.

Looking ahead, Mesa Laboratories anticipates continued growth driven by its strategic focus on expanding its customer base and enhancing product offerings. The company is actively working to obtain regulatory clearance for certain GKE products in the U.S., which could further bolster organic revenue growth. However, challenges remain, particularly in the Clinical Genomics division, where regulatory changes and market conditions have impacted performance. The company remains committed to improving operational efficiencies and leveraging its recent acquisitions to enhance market share and profitability.