Microbix Biosystems (MBX) Q1 2026 earnings summary

Executive summary

• Q1 2026 revenue reached CAD 4.2 million (USD 4.2 million), up 13% sequentially but down 30% year-over-year due to setbacks with two major clients in 2025.

• Net loss for the quarter was CAD 1.2 million (USD 1.17 million), managed using cash reserves.

• Revenue diversification increased, reducing customer concentration risk.

• New client programs were announced in molecular pathology and point-of-care genetics, expanding addressable markets.

Financial highlights

• Q1 revenue was CAD 4.2 million, up 13% sequentially but down 30% year-over-year due to a CAD 2 million drop in China distributor sales.

• Gross margin for Q1 was 41%, down from 62% in Q1 2025 due to lower sales volume and fixed cost absorption.

• QAPs business revenue reached CAD 1.9 million, a 15% year-over-year increase.

• Operating expenses were at or below expected levels; SG&A expenses were $2.13 million, flat year-over-year.

• Cash balance at end of January was CAD 10.6 million, up CAD 1.5 million from December, reflecting receivables collection.

Outlook and guidance

• Annual revenue target is CAD 18.5–19 million, about 30% above the 2025 low point.

• Break-even revenue is CAD 5.5–6 million per quarter; Q4 is expected to be near break-even, with profitability possible if new business materializes.

• Management anticipates full-year 2026 results in line with guidance, focusing on new client programs and product expansion.

• No significant seasonality expected in revenue or OpEx trends.