Dyadic International (DYAI) Q1 2026 earnings summary

Executive summary

• Transitioned to a commercially focused biotechnology business, achieving 182% year-over-year revenue growth to $1.11 million in Q1 2026, driven by new product launches, milestone payments, and expanded partnerships in life sciences and food/nutrition sectors.

• Strategic shift included rebranding as Dyadic Applied BioSolutions and emphasis on non-animal protein platforms Dapibus™ and C1.

• Expanded commercial partnerships and OEM agreements, launching products such as AlbuFree DX and DNase I, and broadening market reach in Asia and Europe.

• Biopharmaceutical programs, supported by Gates Foundation and CEPI, validate technology and provide non-dilutive funding.

• Operational progress and commercial launches have strengthened the business foundation and broadened future revenue opportunities.

Financial highlights

• Q1 2026 revenue was $1.11 million, up 182% year-over-year from $393,572, mainly from research, grant, and milestone revenues.

• Gross margin for Q1 2026 was approximately 29%, with cost of revenue at $791,840.

• Net loss for Q1 2026 was $1.95 million ($0.05/share), improved from $2.03 million ($0.07/share) a year ago.

• Cash, cash equivalents, restricted cash, and investment-grade securities totaled $6.6 million as of March 31, 2026.

• Operating cash outflow was $2.0 million for the quarter, primarily due to net loss and working capital changes.

Outlook and guidance

• Expects continued growth in recurring product revenues across life sciences and food/nutrition segments, supported by recent launches and expanding customer engagement.

• Focused on building recurring revenue, maintaining disciplined cash management, and expanding business development in Europe and Asia.

• Cash runway projected into Q2 2027; evaluating strategic partnerships and capital markets for further balance sheet strength.

• Management anticipates continued losses and negative cash flows as commercialization efforts expand.