OraSure Technologies (OSUR) Q1 2026 earnings summary

Executive summary

• Q1 2026 revenue reached $27.9 million, exceeding the midpoint of guidance but down 7% year-over-year, with sequential growth of 4%.

• Operating loss widened to $23.3 million GAAP and $19 million non-GAAP, reflecting higher R&D and G&A expenses.

• Net loss for the quarter was $22.4 million, compared to $16.0 million in the prior year period.

• Advanced strategic transformation with manufacturing efficiencies, cost structure improvements, and product portfolio expansion, including the integration of BioMedomics.

• Cash and cash equivalents stood at $177 million at quarter-end, down from $199.3 million at year-end 2025.

Financial highlights

• Diagnostics product revenue was $16.9 million, down 5% year-over-year but up 12% sequentially, with U.S. and international sales evenly split.

• Sample management solutions revenue was $9.1 million, flat sequentially and down 0.6% year-over-year.

• COVID-19 diagnostics revenue dropped 96% to $18,000.

• Gross margin improved to 42.3% GAAP and 43.4% non-GAAP, up from 41.1% and 41.7% respectively in Q1 2025.

• Research and development expenses increased 42% to $13.7 million.

Outlook and guidance

• Q2 2026 revenue expected between $27 million and $30 million, with negligible COVID-19 testing revenue.

• Gross margin in Q2 anticipated to be similar to Q1; operating expenses projected in the high $20 million range, declining further in Q3.

• Operating cash flow expected to return to break even by 2027, supported by new product launches and cost savings.

• Management expects existing cash and cash equivalents to be sufficient for operating and capital needs over the next twelve months, but requirements may vary due to acquisitions, R&D, litigation, and market factors.