Biomerica’s Fiscal 2025 Results: Resilient Performance Amid Challenges

Biomerica Reports Fiscal 2025 Year-End Results
$1.3 Million in Operating Expense Reductions Achieved – Operating Loss Improves 19% Year-Over-Year
Resilient Portfolio Performance with International Sales Despite Global Economic Uncertainties
Cash Used in Operating Activities Reduced to $3.8 Million vs. $5.3 Million in the Prior Year, Reflecting Stronger Operating Discipline
Biomerica, Inc. (NASDAQ: BMRA) recently disclosed its financial performance for the fiscal year ending May 31, 2025. The company has demonstrated resilient performance despite the challenges faced due to global economic uncertainties.
Over this fiscal period, Biomerica reported net sales totaling $5.3 million, a slight decrease from the previous year's $5.4 million. This minor decline was largely influenced by factors such as global tariff issues, which prompted some international clients to postpone their orders, coupled with a shift in product sales mix where over-the-counter retail sales were lower in the fourth quarter. Nonetheless, this dip was balanced by rising sales from inFoods® IBS, reflecting the company's ability to adapt to market dynamics.
The gross profit for the year stood at $498,000 compared to $611,000 the previous year, indicating the effects of macroeconomic conditions on overall sales and product distribution.
A significantly encouraging aspect was the reduction in cash used for operating activities, which decreased to $3.8 million, compared to $5.3 million in the previous year—a clear indication of improved operational efficiencies and stringent cost management strategies.
Biomerica has rigorously managed its expenses, cutting down selling, general, and administrative expenses to $4.6 million from $5.5 million year-over-year. The company also curtailed its research and development expenditures to $1.0 million from $1.5 million. Altogether, the operating expenses shrank by more than $1.3 million, achieving the cost reduction targets set forth at the start of the fiscal year.
As a direct result of these efforts, Biomerica's operating loss was reduced to $5.1 million, showing a noteworthy 19% improvement from last year's loss of $6.4 million, despite facing revenue challenges.
Financial Overview and Future Plans
Selected Financial Results:
Revenue Insights
For the fiscal year that ended May 31, the company recorded:
- Revenue: $5.3 Million (2025) vs. $5.4 Million(2024)
Gross Margin Performance
The gross margin was reported at:
- 9% in 2025 compared to 11% in 2024.
Operating Expenses Reduction
The financial discipline of Biomerica is reflected in the operating expenses:
- $5.6 Million in 2025 vs. $7.0 Million in 2024.
Strategic Growth Areas
Looking ahead, Biomerica is focusing its efforts on three major strategic growth avenues:
- Opportunities with inFoods® IBS - Insurance reimbursement potential as the AMA has issued a Proprietary Laboratory Analyses (PLA) code for its IBS test, paving the path for broader access and reimbursement.
- Expansion of EZ Detect™ and At-Home Tests in the MENA region, enhancing regulatory clearances and distribution partnerships.
- Sales growth for H. pylori Antigen products in both the U.S. and Europe.
Milestones Achieved in Fiscal Year 2025
Several significant achievements were recorded during the fiscal year. The PLA code application for the inFoods® diagnostic test is particularly noteworthy, supporting wider Medicare and Medicaid reimbursements.
Peer-reviewed validation results for inFoods® IBS were published, showing impressive improvements in patient outcomes—highlighting the effectiveness of this innovative solution.
Biomerica recently obtained EU IVDR certification for its diagnostic tests aimed at treating gastrointestinal conditions, marking a critical step for future commercialization in European markets.
Furthermore, the company has expanded its market presence in the MENA region through the approval of the Fortel® PSA rapid screening test by the UAE Ministry of Health.
With the launch of direct-to-consumer sales for inFoods® IBS, Biomerica is making significant strides to reach more patients via telehealth and online distribution channels.
Commitment to Innovative Growth
Biomerica remains steadfast in its commitment to improving its financial standing while fostering long-term growth through pioneering medical products and strategic collaborations. The successful introduction of innovations such as the patient self-collection system for inFoods® IBS ensures that Biomerica's offerings are more accessible, benefitting even more individuals battling IBS.
About Biomerica
Biomerica, Inc. develops diagnostic and therapeutic products designed to improve health and reduce healthcare costs. The company's focus lies in gastrointestinal and inflammatory diseases, with numerous products in development aimed at enhancing patient outcomes.
Frequently Asked Questions
What is the revenue reported by Biomerica for fiscal 2025?
Biomerica reported net sales of $5.3 million for the fiscal year 2025.
What were the main drivers for Biomerica's financial performance?
Key drivers included operational cost reductions and increased sales from inFoods® IBS despite broader economic challenges.
What are Biomerica's strategic plans moving forward?
The company is focusing on reimbursement opportunities for inFoods®, expanding its test offerings in the MENA region, and increasing H. pylori antigen sales.
What significant achievements did Biomerica make in fiscal year 2025?
Highlights include attaining EU certification, launching new patient self-collection systems, and submitting PLA codes for wider product access.
How does Biomerica aim to improve patient access to its products?
Through direct-to-consumer launches and insurance reimbursements, Biomerica is working to make its innovative products more accessible to patients.
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