Zomedica (ZOM) Q2 2026 earnings summary

Executive summary

• Achieved record Q2 revenue of $9.5 million, up 37% year-over-year, marking the 22nd consecutive quarter of revenue growth, driven by contract manufacturing, engineering, and core product sales.

• Net loss reduced by 49% to $3.8 million for Q2, reflecting lower operating expenses and the absence of prior-year impairment charges.

• Growth driven by strong performance in Pulse Vet and Assisi therapeutic devices, increased adoption of diagnostics, and new Development Services segment.

• International revenue rose 17% in Q2, with U.S. revenue for six months at $15.2 million and international at $3.1 million.

• Gross profit margin declined to 64% from 67% year-over-year due to product mix and higher engineering salaries.

Financial highlights

• Q2 revenue: $9.5 million (up from $7.0 million in Q2 2025); six-month revenue: $18.3 million (up from $13.5 million).

• Net loss: $3.8 million for Q2 2026 (improved from $7.4 million loss in Q2 2025); $8.3 million for six months (improved from $71.1 million loss, which included $55.8 million impairment in 2025).

• Gross margin: 64% for Q2 2026, 63% year-to-date.

• Operating expenses decreased 20% to $10.1 million in Q2.

• Cash and cash equivalents: $7.2 million as of June 30, 2026; total liquidity including available-for-sale securities: $44.1 million.

Outlook and guidance

• Management expects revenue and gross margins to continue increasing as sales, marketing, and commercialization efforts expand and seasonal dynamics normalize.

• Anticipates continued growth in recurring consumables revenue as more devices are installed.

• Short- and long-term cash resources are considered sufficient to fund operational requirements.

• Focus remains on executing growth strategy, improving efficiency, and creating long-term shareholder value.