Completes Repayment of Existing Credit Agreement, Extends Debt Maturity, and Enhances Financial FlexibilityBroadOak Partner Bill Snider to Join Board of Directors and Company to Form Advisory Board on Growth and Operating Opportunities HOLLISTON, Mass., Dec. 17, 2025 (GLOBE NEWSWIRE) -- Harvard Bioscience, Inc. (Nasdaq: HBIO) (the “Company” or “Harvard Bioscience”), today announced it entered into an agreement with BroadOak Capital Partners (collectively, “BroadOak”), a life-sciences-focused investment and ...

Core Points - Former Treasury Secretary Larry Summers announced he is stepping back from all public commitments due to the fallout from his emails with Jeffrey Epstein [1][3] - Summers expressed deep shame and took full responsibility for his decision to continue communication with Epstein [1] - He will continue to fulfill his teaching obligations while reducing public engagements as part of a broader effort [2] Company and Industry Summary - Summers is a member of the board of OpenAI and a columnist for Bloomberg News, indicating his influence in both the technology and media sectors [2] - The release of Summers' emails with Epstein was part of a larger document disclosure by the House Oversight and Government Reform Committee, which included over 20,000 documents obtained from Epstein's estate [3] - Epstein's criminal background and subsequent death in 2019 have intensified scrutiny on individuals associated with him, impacting reputations and public roles [3]

Group 1 - The article does not provide any specific information or insights regarding a company or industry [1]

Financial Performance - Revenues decreased by $1.4 million, or 6.3%, to $20.6 million for the three months ended September 30, 2025, compared to $22.0 million for the same period in 2024[86] - Gross profit decreased by $0.8 million, or 5.8%, to $12.0 million for the three months ended September 30, 2025, with a gross margin of 58.4%[87] - Revenues decreased by $6.8 million, or 9.7%, to $62.8 million for the nine months ended September 30, 2025, compared to $69.6 million for the same period in 2024[97] - Gross profit decreased by $5.1 million, or 12.3%, to $35.7 million for the nine months ended September 30, 2025, with a gross margin of 56.9%[98] Expenses - Sales and marketing expenses decreased by $0.9 million, or 16.4%, to $4.6 million for the three months ended September 30, 2025[88] - General and administrative expenses decreased by $0.8 million, or 17.2%, to $4.2 million for the three months ended September 30, 2025[89] - Research and development expenses decreased by $0.5 million, or 16.9%, to $2.1 million for the three months ended September 30, 2025[90] - Interest expense increased by $0.2 million, or 8.6%, to $2.6 million for the nine months ended September 30, 2025[105] Taxation - The effective tax rate for the three months ended September 30, 2025, was (8.6)%, compared to (6.9)% for the same period in 2024, primarily due to changes in income mix by jurisdiction[95] - The income tax benefit for the nine months ended September 30, 2025 was $(0.3) million, with an effective tax rate of 0.6%, compared to a benefit of $0.2 million and an effective tax rate of (1.4)% for the same period in 2024[107] Cash Flow and Liquidity - Cash and cash equivalents increased to $6.8 million as of September 30, 2025, up from $4.1 million as of December 31, 2024[108] - Net cash provided by operating activities was $6.8 million for the nine months ended September 30, 2025, compared to $(0.3) million for the same period in 2024, driven by a reduction in accounts receivable of $2.8 million and inventories of $1.6 million[115] - Net cash used in investing activities was $1.3 million for the nine months ended September 30, 2025, primarily for capital expenditures, compared to $0.9 million in 2024[116] - The company made $3.0 million in debt repayments on its term loan during the nine months ended September 30, 2025, resulting in net cash used in financing activities of $(3.7) million[117] - The company received ERTC refunds totaling $5.4 million as of September 30, 2025, contributing positively to cash flow[109] Compliance and Going Concern - The company was not in compliance with Refinancing Milestones and financial covenants as of June 30, 2025, leading to an amendment agreement with lenders to waive certain defaults[111] - The company continues to explore alternative sources of capital to refinance its outstanding indebtedness, but access to such capital remains uncertain[112] - There is substantial doubt about the company's ability to continue as a going concern unless it can access other sources of capital or extend repayment dates under the Credit Agreement[113] Other Financial Impacts - Goodwill impairment increased by $48.0 million for the nine months ended September 30, 2025, due to a sustained decrease in stock price and other factors[103] - The company recorded a loss on equity securities of $1.6 million from the sale of Harvard Apparatus Regenerative Technology Inc. stock, which was sold for $1.9 million during the nine months ended September 30, 2024[106]

Financial Data and Key Metrics Changes - Revenue for Q3 2025 was $20.6 million, at the high end of guidance and slightly up from Q2 2025, but down from $22 million in Q3 2024 [4][11] - Gross margin improved to 58.4%, up from 58.1% in Q3 2024 and exceeded guidance of 56-58% [4][11] - Adjusted EBITDA increased to $2 million from $1.3 million in Q3 2024, driven by reduced operating expenses [11][15] - Operating cash flow was positive at $1.1 million for Q3 2025, contributing to a year-to-date cash flow of $6.8 million compared to negative $0.3 million in the same period last year [16][17] Business Line Data and Key Metrics Changes - Preclinical sales increased sequentially and year-over-year due to growth in telemetry and respiratory product lines [12][13] - The Soho telemetry rollout expanded into additional key accounts, with increased recurring consumable demand [5] - The Biochrome amino acid analyzer for bioproduction performed well, with expectations to exceed last year's consumable revenue [5] Market Data and Key Metrics Changes - Revenue in the Americas increased sequentially by 3.6% but was down 4.4% year-over-year [12] - European revenue increased 0.3% sequentially, reflecting stronger preclinical academic shipments, but was flat year-over-year [13] - In China, revenue was down 6.3% sequentially and 19.6% year-over-year, although there is optimism regarding tariff disruptions [9][13] Company Strategy and Development Direction - The company outlined three priorities for 2025: maintain financial discipline, accelerate product adoption, and strengthen capital structure through debt refinancing [4] - The launch of the Incubate MultiWell system aims to enhance the electrophysiology portfolio and expand into high-throughput applications [6][7] - The company is actively discussing options for refinancing its credit agreement, with expectations to complete this in Q4 2025 [8][17] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism about increased demand and backlog heading into Q4 2025, with expectations for continued momentum [9][18] - The ongoing government shutdown may impact NIH funding distribution, which is being monitored closely [8][9] - The company is fundamentally stronger than at the beginning of the year, with a leaner structure and better alignment with long-term growth opportunities [9] Other Important Information - The company expanded its distribution agreement with Fisher Scientific, enhancing access to its products across North America [7] - The adoption of the MeshMEA organoid platform is gaining momentum, supported by regulatory initiatives [8] Q&A Session Summary Question: What drove the uptick in preclinical systems during the quarter? - The uptick was driven by broad demand for telemetry products across various regions and customer groups [20] Question: Is the backlog similar to the existing product mix? - The backlog showed a uniform increase across geographies and products, not driven by any specific product [21][22] Question: What improvements are seen in the academic and government market? - Improvement is reflected in Q3 results and strong backlog, but the potential impact of NIH funding and government shutdown is considered in guidance [23] Question: How does the guidance account for NIH funding and government shutdown? - The lower range of guidance considers the potential for a prolonged government shutdown affecting funding [27] Question: Will NIH funds flow through sales in the first quarter of next year if not released in Q4? - Funds are not lost but will be delayed, potentially impacting orders in Q1 or Q2 of 2026 [28] Question: What is the status of the ERP project? - The ERP project was completed in Q4, contributing to reduced expenses and operational efficiencies [30]

Financial Performance - Revenue for Q3 2025 was $20.6 million, at the high end of the $19-$21 million guidance range[7, 8] - Gross margin for Q3 2025 was 58.4%, exceeding the guidance range of 56%-58%[7, 8] - Adjusted EBITDA for Q3 2025 was $2.0 million, compared to $1.3 million in Q3 2024[7, 8] - Cash provided by operations was $6.8 million, up from ($0.3 million) in the same period last year[7] Regional Performance - APAC revenue decreased by 19.6% year-over-year, impacted by China tariffs[9] - EMEA revenue was relatively flat, down 0.6% year-over-year, influenced by macroeconomic instability[9] - Americas revenue decreased by 4.4% year-over-year, with a recovery in Pre-Clinical driven by NIH/ACA funding[9] Outlook and Strategy - The company is focused on refinancing or repaying the existing credit agreement in Q4 2025[7] - Q4 revenue is projected to range from $22.5 million to $24.5 million[17] - Q4 gross margin is expected to range from 58% to 60%[17]

Financial Performance - Revenues for Q3 2025 were $20.6 million, a decrease from $22.0 million in Q3 2024, while gross margin improved to 58.4% from 58.1%[3] - Net loss for Q3 2025 was ($1.2) million, significantly improved from a net loss of ($4.8) million in Q3 2024, which included a non-cash charge of $1.2 million[4] - Adjusted EBITDA for Q3 2025 was $2.0 million, up from $1.3 million in Q3 2024, with cash provided by operations at $1.1 million compared to ($0.8) million in the same period last year[4] - For the nine months ended September 30, 2025, revenues totaled $62.8 million, down from $69.6 million in the same period of 2024, with a gross margin of 56.9% compared to 58.6%[7] - The net loss for the nine months ended September 30, 2025, was ($53.8) million, compared to a net loss of ($12.4) million in the prior year, primarily due to a goodwill impairment of $48.0 million[8] - GAAP operating income for Q3 2025 was $197 thousand, a significant improvement from a loss of $1,874 thousand in Q3 2024[25] - Adjusted operating income increased to $1,517 thousand in Q3 2025, compared to $829 thousand in Q3 2024, reflecting a growth of 83%[25] - Adjusted EBITDA for the nine months ended September 30, 2025, reached $4,298 thousand, up from $4,205 thousand in the same period of 2024[25] - The operating margin improved to 1.0% in Q3 2025, compared to a negative margin of 8.5% in Q3 2024[25] - The company reported a GAAP net loss of $1,231 thousand for Q3 2025, an improvement from a net loss of $4,802 thousand in Q3 2024[25] - Adjusted net loss for Q3 2025 was $(161) thousand, an improvement from $(1,070) thousand in Q3 2024[25] - The diluted loss per share (GAAP) improved to $(0.03) in Q3 2025 from $(0.11) in Q3 2024[25] Cash and Liabilities - Cash and cash equivalents increased to $6.8 million as of September 30, 2025, from $4.1 million at the end of 2024[21] - Total liabilities decreased to $54.4 million as of September 30, 2025, compared to $54.9 million at the end of 2024[21] - Cash and cash equivalents decreased to $(6,817) thousand as of September 30, 2025, compared to $(4,569) thousand in 2024[25] - Net debt reduced to $27,533 thousand in Q3 2025 from $33,781 thousand in Q3 2024, indicating a decrease of approximately 18.5%[25] Future Outlook - The company expects Q4 2025 revenues to be between $22.5 million and $24.5 million, with a gross margin in the range of 58% to 60%[9] - The company is actively negotiating options for refinancing or repaying its existing credit agreement in Q4 2025[5] Customer Engagement - Customer engagement has led to the highest backlog level in nearly two years and the fourth consecutive month of order growth, indicating improved demand[2] Restructuring Charges - The company incurred $48 thousand in restructuring-related charges in Q3 2025, down from $179 thousand in Q3 2024[25]

Core Insights - Harvard Bioscience, Inc. reported third-quarter 2025 revenues of $20.6 million, a decrease from $22.0 million in the same quarter of 2024, but with a gross margin improvement to 58.4% from 58.1% year-over-year [3][4] - The company experienced a net loss of $1.2 million in Q3 2025, significantly reduced from a net loss of $4.8 million in Q3 2024, which included a non-cash charge related to a pension settlement [4] - Adjusted EBITDA for Q3 2025 was $2.0 million, up from $1.3 million in Q3 2024, indicating improved operational performance [4][10] - The company anticipates fourth-quarter 2025 revenues between $22.5 million and $24.5 million, reflecting increased demand and a growing backlog [8][10] Financial Performance - For the nine months ended September 30, 2025, revenues totaled $62.8 million, down from $69.6 million in the same period of 2024, with a gross margin of 56.9%, down from 58.6% [6] - The net loss for the nine months was $53.8 million, compared to a net loss of $12.4 million in the prior year, primarily due to a goodwill impairment of $48.0 million in Q1 2025 [7] - Cash provided by operations for the nine months was $6.8 million, a significant improvement from a cash outflow of $0.3 million in the same period of 2024 [7] Operational Updates - The company is actively negotiating with lenders regarding its credit agreement, aiming for refinancing or repayment in Q4 2025 [5] - Customer engagement has led to the highest backlog level in nearly two years and four consecutive months of order growth, indicating a positive trend in demand [2][10] Guidance - The company expects Q4 2025 revenues to be in the range of $22.5 million to $24.5 million, with gross margins projected between 58% and 60% [8][10]

Core Insights - Harvard Bioscience, Inc. will announce its financial results for Q3 2025 on November 6, 2025, before market opening [1] - A conference call to discuss the results will take place at 8:00 a.m. Eastern Time on the same day [1] - Participants can register to join the call and ask questions, receiving dial-in numbers and a unique PIN upon registration [1] Financial Information - Financial information, including the earnings release and a related slide presentation, will be available on the Investor Relations section of Harvard Bioscience's website [2] Company Overview - Harvard Bioscience is a leading developer, manufacturer, and seller of technologies and products for life science applications, including research and pharmaceutical development [3] - The company serves a diverse customer base, including academic institutions, government laboratories, and major pharmaceutical and biotechnology firms [3] - Operations are conducted in the United States, Europe, and China, utilizing both direct and distribution channels for global sales [3]

Core Insights - Harvard Bioscience has expanded its distribution agreement with Fisher Scientific to include the U.S. market, enhancing customer reach and access to its products [1][2][3] - The collaboration aims to improve customer experience through streamlined ordering, faster delivery, and localized support [3] - This strategic move aligns with Harvard Bioscience's mission to provide high-performance instruments that facilitate scientific discovery [2] Company Overview - Harvard Bioscience is a leading developer and manufacturer of technologies and products for life science applications, serving a diverse customer base including academic institutions and pharmaceutical companies [4] - The company operates in the U.S., Europe, and China, utilizing both direct and distribution channels for global sales [4]