-- Agreement for the Commercial Manufacture of Established, Approved Aesthetic Product -- -- Third Commercial Site Transfer Agreement Win in Five Months -- -- Program Expected to Generate Commercial Revenue in 24 Months, Contributing to 2029 Revenue CAGR -- CHASKA, Minn., March 23, 2026 (GLOBE NEWSWIRE) -- Lifecore Biomedical, Inc. (NASDAQ: LFCR) (“Lifecore”), a fully integrated injectables contract development and manufacturing organization (“CDMO”), today announced that it has signed a CDMO manufacturing ...

Josephs said he has spent 35 years in the pharmaceutical industry, including 32 years in the CDMO sector. He said he was drawn to Lifecore because significant capacity investments were already in place, the company had a strong quality track record, and the opportunity was to “fill” capacity and improve profitability.The second segment is sterile injectable contract manufacturing, where Lifecore produces sterile injectable products for other pharmaceutical companies across both development and commercial st ...

Lifecore Biomedical Conference Call Summary Company Overview - **Company**: Lifecore Biomedical (NasdaqGS: LFCR) - **Industry**: Life Sciences, specifically focusing on Contract Development and Manufacturing Organization (CDMO) services - **Recent Changes**: Lifecore has divested its food business, transforming into a pure-play life sciences company, with the last divestiture occurring in 2023 [2][3] Business Segments - **Hyaluronic Acid Fermentation**: Produces sterile injectable grade hyaluronic acid for ophthalmic, orthopedic, and dermal applications [3] - **Contract Manufacturing**: Provides sterile injectable products for other pharmaceutical companies, focusing on development and commercial manufacturing [3] Financial Performance and Projections - **Revenue Guidance**: Mid-term revenue projections have been increased to $212-$225 million, reflecting confidence in business growth [5] - **Capacity Utilization**: Current capacity utilization is at 20%, expected to rise to 60% by 2029, with a target of 80% for a fully booked site [7][8] - **EBITDA Margin Target**: Aiming for greater than 25% EBITDA margin by 2029, with current margins at 17% [9][10] Growth Strategy - **Customer Demand**: Anticipation that the largest customer will more than double fill-finish demand starting in the next few years [10] - **Late-Stage Pipeline**: Currently has 10 programs in late-stage development, with a modest conversion rate of 50% expected [10] - **Business Development Strategy**: Shift from a farming approach to a more aggressive hunting strategy for new business opportunities, including biologics [11] Market Trends and Opportunities - **Reshoring**: Notable trend towards reshoring manufacturing to the U.S., with Lifecore benefiting from this shift [19] - **Tech Transfer Agreements**: Recently signed two major tech transfer agreements, potentially becoming top five customers, with expected annualized revenue exceeding $10 million [15][16] - **International Opportunities**: Plans to leverage existing networks for partnerships rather than establishing a physical presence overseas [36] Operational Updates - **ERP System Implementation**: Successfully launched a new ERP system, expected to improve productivity and financial management [26] - **Sales Team**: Currently has a sales team of seven, operating at 60%-70% capacity, with plans to ramp up activities [33] Competitive Positioning - **Pricing Strategy**: Lifecore competes on value rather than price, focusing on technical expertise and quality [22][23] - **Regulatory Track Record**: Strong regulatory history with no warning letters, enhancing credibility in the market [46] Conclusion - Lifecore Biomedical is positioned for growth with a clear strategy focused on expanding its CDMO capabilities, improving operational efficiency, and capitalizing on market trends such as reshoring and increased demand for biologics. The company is optimistic about its future, driven by a strong commercial base and a promising late-stage pipeline [48]

On profitability, gross profit in the quarter was $12.8 million , compared with $11.1 million in the prior comparable quarter. Over the seven-month transition period, gross margin improved to 31% from 26% a year earlier, which Lake said was primarily driven by higher HA volume and better manufacturing absorption.Chief Financial Officer Ryan Lake attributed the quarterly revenue increase primarily to a $5.6 million increase in hyaluronic acid (HA) manufacturing , driven mainly by the timing of revenue tied t ...

Lifecore Biomedical Earnings Call Summary Company Overview - **Company**: Lifecore Biomedical (NasdaqGS:LFCR) - **Fiscal Year-End Change**: The company has changed its fiscal year-end to align with the calendar year, affecting the comparison of financial results Key Financial Results - **Fourth Quarter 2025 Revenues**: $35.7 million, a 10% increase compared to $32.6 million in the prior year quarter [6][21] - **Transition Period Revenues**: $75.5 million for the seven-month period, a 20% increase from $63 million in the prior year [6][22] - **Gross Profit**: $12.8 million for Q4 2025, up from $11.1 million in Q4 2024 [23] - **Adjusted EBITDA**: $8.6 million for Q4 2025, an increase from $6.5 million in Q4 2024 [28] - **Net Loss**: $5.1 million for Q4 2025, improved from a net loss of $6.6 million in Q4 2024 [26] - **Liquidity**: Approximately $39 million, including $17.5 million in cash and cash equivalents [30] Growth Strategy and Achievements - **Revenue Growth Target**: Aiming for a 12% revenue CAGR and EBITDA margins above 25% in the midterm [5] - **Commercial Business Expansion**: Successful qualification of a five-head isolator filler for European and Asian markets, expected to double aseptic fill finish demand from a major customer by 2027 [7][8] - **Late-Stage Pipeline**: 10 late-stage programs with potential for significant revenue growth, adjusted launch timelines to 2027-2030 due to external factors [10][11] - **Business Development Strategy**: Revamped strategy leading to five new programs added in 2025, including two commercial site transfers [14][15] Operational Efficiency - **Cost Reduction Initiatives**: Operating expenses decreased by $11.1 million during the transition period, with cumulative reductions of over $7 million in 18 months [29] - **Capacity Utilization**: Current capacity of 45 million units, with expectations to reach 60% utilization by 2029 [18] 2026 Guidance - **Revenue Guidance**: Expected total revenue between $120 million and $125 million [32] - **Net Loss Guidance**: Anticipated net loss between $28.9 million and $33.4 million [32] - **Adjusted EBITDA Guidance**: Expected between $20.5 million and $25 million [32] - **Factors Impacting Guidance**: Loss of a customer, excess inventory build-up, and delays in commercial launches due to funding challenges [32] Market Trends and Customer Strategy - **Regionalization of Manufacturing**: Increased inquiries from Asian markets, with a focus on inbound interest rather than proactive outreach [41] - **Fill Finish Capacity**: Adequate capacity for traditional vials, but a shortage for prefilled syringes and cartridges, positioning Lifecore favorably [54] Conclusion - **Overall Performance**: Lifecore Biomedical reported a strong year in 2025 with effective execution across growth strategies, improved financial metrics, and a solid foundation for future growth [19][38]

Fourth Quarter and Seven-Month Transition Period Ending December 31, 2025 Results March 16, 2026 Fiscal Year Change On August 1, 2025, our Board of Directors approved a change in the Company's fiscal year that ended on the last Sunday of May to a fiscal year that corresponds with the calendar year, ending on December 31st, effective for the fiscal period beginning May 26, 2025, and ending December 31, 2025 (the "Fiscal Year Change"). The Fiscal Year Change is applied on a prospective basis and does not adju ...

Exhibit 99.1 Lifecore Biomedical Reports Financial Results for the Fourth Quarter and Transition Period Ended December 31, 2025, and Provides Corporate Update -- Recorded Fourth Quarter Revenues of $35.7 Million and Transition Period Revenues of $75.5 Million -- -- Multiple New Programs Signed in Fourth Quarter 2025 Including Two Commercial Site Transfer Programs, for Total of Five New Programs in 2025 Transition Period -- -- Organizational Initiatives Drive Further Improvement in Margins -- Conference Call ...

Core Insights - Lifecore Biomedical, Inc. reported strong financial results for the fourth quarter and transition period ended December 31, 2025, with revenues of $35.7 million for the fourth quarter, representing a 10% increase year-over-year, and $75.5 million for the transition period, a 20% increase compared to the prior year [4][5][9]. Financial Performance - The company achieved a gross profit margin of 31% during the transition period, up from 26% in the prior year [5][7]. - Operating expenses decreased by 31% to $24.4 million compared to $35.6 million in the previous year [5][8]. - The net loss for the transition period was $18.0 million, an improvement from a net loss of $30.6 million in the prior year [5][9]. - Adjusted EBITDA for the transition period was $13.1 million, significantly higher than $2.6 million in the previous year [5][9]. Strategic Initiatives - Lifecore signed five new programs during the transition period, including three in the fourth quarter, which are expected to drive future growth [4][5][10]. - The company implemented key initiatives aimed at improving EBITDA margins, targeting a mid-term goal of over 25% [10][14]. Future Outlook - For the calendar year 2026, Lifecore expects total revenue to be between $120 million and $125 million, with a projected net loss of $32.9 million to $28.9 million [9][12]. - The company anticipates continued operational progress and disciplined execution, aiming for a 12% revenue CAGR from 2025 to 2029 [14][15]. - Lifecore's strategies include expanding existing customer programs and diversifying its customer base to reduce dependency on any single customer [13][15].

Company Participation - Lifecore Biomedical, Inc. will participate in the KeyBanc Capital Markets Healthcare Virtual Forum on March 17-18, 2026 [1] - Mr. Josephs will be a featured speaker in a fireside chat scheduled for March 17, 2026, from 9:00am to 9:35am Eastern Time [1] - A webcast of the fireside chat will be available on Lifecore's investor website, with a replay accessible after the conference [1] Company Overview - Lifecore Biomedical is a fully integrated contract development and manufacturing organization (CDMO) specializing in sterile injectable pharmaceutical products [2] - The company has over 40 years of expertise in manufacturing premium, injectable-grade hyaluronic acid and supports global and emerging biopharmaceutical and biotechnology companies [2] - Lifecore offers differentiated capabilities in the development, fill, and finish of complex formulations in syringes, vials, and cartridges [2]

Core Insights - Lifecore Biomedical, Inc. will report its financial results for the fourth quarter and transition period ended December 31, 2025, on March 16, 2026, before market opening [1] - A webcast hosted by Lifecore's senior management team will take place at 8:30 a.m. Eastern Time on the same day to discuss the results [1] Company Overview - Lifecore Biomedical, Inc. is a fully integrated injectables contract development and manufacturing organization (CDMO) specializing in the development, fill, and finish of sterile injectable pharmaceutical products [3] - The company has over 40 years of expertise in manufacturing premium, injectable-grade hyaluronic acid and serves global and emerging biopharmaceutical and biotechnology companies across various therapeutic categories [3]