Table of Contents United States Securities and Exchange Commission Washington, D.C. 20549 FORM 10-Q Colorado 84-0872291 (State or other jurisdiction of (I.R.S. Employer incorporation or organization) Identification number) 12100 West Sixth Avenue Lakewood, Colorado 80228 (Address of principal executive offices) (Zip Code) ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended June 30, 2025 or ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15 ( ...

Exhibit 99.1 Mesa Labs Announces First Quarter Results Lakewood, Colorado, August 5, 2025 – Mesa Laboratories, Inc. (NASDAQ:MLAB), a global leader in the design and manufacture of life science tools and critical quality control solutions, today announced results for its first fiscal quarter ("1Q26") ended June 30, 2025 (amounts in thousands). Financial Results (unaudited, amounts in thousands, except per share data) Total revenues were $59,543, an increase of 2.4% compared to 1Q25. Operating income decrease ...

Company Overview - Mesa Laboratories, Inc. is a global leader in the design and manufacture of life science tools and critical quality control solutions for regulated applications in the pharmaceutical, healthcare, and medical device industries [2] - The company offers products and services aimed at ensuring product integrity, increasing patient and worker safety, and improving the quality of life globally [2] Financial Information - Mesa Laboratories, Inc. will release its financial results for the first quarter of fiscal year 2026 on August 5, 2025, at approximately 8:00 A.M. Eastern time [1]

Core Viewpoint - Mesa Labs reported quarterly earnings of $2.23 per share, missing the Zacks Consensus Estimate of $2.75 per share, and down from $2.77 per share a year ago [1][2] Financial Performance - The earnings surprise for the quarter was -18.91%, with the company previously expected to post earnings of $2.45 per share but actually reporting $2.67 per share in the prior quarter, resulting in a positive surprise of 8.98% [2] - Revenues for the quarter were $62.14 million, missing the Zacks Consensus Estimate by 1.53%, compared to $58.9 million in the same quarter last year [3] - Over the last four quarters, Mesa Labs has surpassed consensus revenue estimates two times [3] Stock Performance - Mesa Labs shares have declined approximately 14.2% since the beginning of the year, while the S&P 500 has gained 0.7% [4] - The current Zacks Rank for Mesa Labs is 3 (Hold), indicating expected performance in line with the market in the near future [7] Earnings Outlook - The current consensus EPS estimate for the upcoming quarter is $2.80 on revenues of $61.3 million, and for the current fiscal year, it is $11.35 on revenues of $255.3 million [8] - The trend of estimate revisions for Mesa Labs is mixed, which may change following the recent earnings report [7] Industry Context - The Medical - Instruments industry, to which Mesa Labs belongs, is currently in the top 35% of over 250 Zacks industries, suggesting a favorable outlook compared to the bottom 50% [9]

Employee and Workforce Management - As of March 31, 2025, the company had 730 employees, with a voluntary employee turnover decrease of approximately 2.0 percentage points compared to the previous fiscal year, indicating improved employee satisfaction [71] - The company has implemented various health and wellness programs to enhance the physical and mental well-being of employees globally [76] - The company maintains a commitment to an inclusive workforce, aiming to reflect the communities in which it operates [73] - The company has invested heavily in talent acquisition and development processes, including standardized assessment processes and mentoring systems [72] - The company’s compensation package includes market-competitive pay, cash bonuses, stock-based compensation, and comprehensive benefits aimed at attracting and retaining talent [75] Financial Performance - Total revenues for the year ended March 31, 2025, were $240,978 thousand, an increase of 11.5% compared to $216,187 thousand in 2024 [302] - Gross profit for the year ended March 31, 2025, was $150,870 thousand, representing a gross margin of 62.6% [302] - Operating income for the year ended March 31, 2025, was $16,336 thousand, a significant recovery from an operating loss of $272,075 thousand in 2024 [302] - Net loss for the year ended March 31, 2025, was $(1,974) thousand, compared to a net loss of $(254,246) thousand in 2024 [304] - The company reported a comprehensive income of $3,006 thousand for the year ended March 31, 2025, compared to a comprehensive loss of $(256,206) thousand in 2024 [304] Cash Flow and Liquidity - Cash and cash equivalents as of March 31, 2025, were $27,321 thousand, a decrease from $28,214 thousand in 2024 [300] - Cash provided by operating activities increased to $46,808 thousand in 2025, compared to $44,133 thousand in 2024, reflecting a positive trend in operational efficiency [310] - Net cash used in investing activities was $4,499 thousand in 2025, a decrease from $81,306 thousand in 2024, suggesting improved investment management [310] - Proceeds from credit facility borrowings amounted to $73,465 thousand in 2025, compared to $71,000 thousand in 2024, indicating increased financing activity [310] Assets and Liabilities - Total assets as of March 31, 2025, were $433,348 thousand, down from $446,796 thousand in 2024 [300] - Total liabilities as of March 31, 2025, were $273,518 thousand, a decrease from $301,403 thousand in 2024 [300] - Stockholders' equity increased to $159,830 thousand as of March 31, 2025, from $145,393 thousand in 2024 [300] Research and Development - Research and development expenses for the year ended March 31, 2025, were $19,518 thousand, slightly up from $19,300 thousand in 2024 [302] - Research and development expenses are primarily composed of labor and third-party consultant costs, with costs expensed as incurred [348] Acquisitions and Goodwill - The company did not acquire any businesses in fiscal year 2025, while it acquired businesses for total net purchase prices of $87,187 million in 2024 and $6,140 million in 2023 [367] - Goodwill related to the GKE acquisition amounted to $48,850 as of March 31, 2024 [404] - The estimated fair value of consideration held back from the GKE acquisition was approximately $9,300 as of March 31, 2025 [391] Taxation - The total income tax expense for the year ended March 31, 2025, was $7,935,000, compared to a benefit of $(21,402,000) for 2024 [437] - The effective income tax rate for 2025 was 133.12%, compared to 7.76% in 2024, indicating a substantial increase in tax expense [438] - Deferred tax assets, net, decreased from $15,718 million in 2024 to $12,739 million in 2025, primarily due to an increase in the valuation allowance [439] Inventory and Cost Management - Total inventories decreased from $32,675 in March 31, 2024 to $25,365 in March 31, 2025, a reduction of approximately 22% [407] - The company maintains an inventory reserve for excess or obsolete inventory, which may fluctuate based on new information or changes in business conditions [335] Segment Performance - The company operates in four reportable segments, focusing on life sciences tools and quality control solutions for regulated applications in the pharmaceutical and healthcare industries [311] - The Sterilization and Disinfection Control segment generated revenues of $93,418 million in 2025, up from $75,124 million in 2024, marking a 24.3% increase [449] - Clinical Genomics revenues increased to $47,081 million in 2025 from $52,588 million in 2024, indicating a decline of 10.6% [449] Debt Management - The company repurchased convertible senior notes totaling $71,560 thousand in 2025, reflecting a strategic move to manage debt [310] - The outstanding balance under the Revolver as of March 31, 2025 was $10,000, with $115,000 available for borrowing [415] - The weighted average interest rate on borrowings under the Credit Facility was 7.2% as of March 31, 2025 [410]

Revenue Growth - Quarterly revenues for 4Q25 were $62,135, representing a 5.5% increase compared to 4Q24, with core organic revenues growth of 6.3%[9] - Full fiscal year revenues for FY25 reached $240,978, an 11.5% increase from FY24, with core organic revenues growth of 5.0%[10] - The Sterilization and Disinfection Control division generated revenues of $24,749 in 4Q25, with core organic revenues growth of 10.3%[12] - The Biopharmaceutical Development division saw a 20.3% increase in core organic revenues for FY25, driven by increased spending on capital equipment in North America and Europe[15] - Clinical Genomics division revenues for 4Q25 were $11,511, with core organic revenues growth of 4.4%, but a decline of 10.1% for the full year due to regulatory challenges in the China market[16] - Organic revenues growth for the year ended March 31, 2025, was 4.6%, while total revenues growth was 11.5%[31] Financial Performance - Adjusted operating income (AOI) for FY25 increased 12.3% year over year to 23.5% as a percentage of revenues, despite a significant rise in performance-based compensation expenses[4] - Cash flows from operations for FY25 totaled $46,808, with free cash flow of $42,559 primarily used to pay down debt[3] - Gross profit for the year ended March 31, 2025, was $150,870,000, representing a 13.3% increase from $133,250,000 in 2024[26] - The company reported a net loss of $7,114,000 for the three months ended March 31, 2025, compared to a net loss of $254,583,000 in the same period of 2024[26] - Non-GAAP adjusted operating income (AOI) for the three months ended March 31, 2025, was $12,104,000, slightly down from $12,336,000 in 2024[29] Asset Management - The company reduced inventories by 22.4% compared to the prior year, enhancing its ability to manage debt[4] - The company’s total assets decreased to $433,348,000 as of March 31, 2025, from $446,796,000 in 2024[28] - Stockholders' equity increased to $159,830,000 as of March 31, 2025, compared to $145,393,000 in 2024[28] Strategic Initiatives - Mesa Labs fully integrated GKE into its corporate infrastructure within nine months and exceeded acquisition commitments for revenues and profitability[5] - The company implemented Salesforce CRM across all sales teams, contributing to accelerated bookings growth[5] Market Outlook - The company anticipates continued growth in revenues and operating performance, despite uncertainties in the market environment[24] Impairment - The company experienced a significant impairment of goodwill and long-lived assets amounting to $274,533,000 in the year ended March 31, 2024[26] Shareholder Information - The weighted average common shares outstanding for the three months ended March 31, 2025, was 5,439,000, compared to 5,394,000 in the same period of 2024[29]

Core Insights - Mesa Laboratories, Inc. reported solid momentum in FY25 with core organic revenue growth across all four divisions and bookings growth in 4Q25 [2][3] - The company generated total revenues of $240,978, marking an 11.5% increase compared to FY24, with core organic revenue growth of 5.0% [10][34] - Profitability, as measured by adjusted operating income (AOI), increased 12.3% year-over-year to 23.5% as a percentage of revenues, despite challenges from performance-based compensation expenses [3][10] Financial Performance - In 4Q25, total revenues were $62,135, a 5.5% increase from 4Q24, with operating income rising 100.5% to $1,469 [9][10] - For the full fiscal year, operating income increased 106.0% to $16,336, while net loss improved to $(1,974) from $(254,246) in FY24 [10][27] - Cash flows from operations for the year were $46,808, with free cash flow of $42,559 primarily used to pay down debt [2][21] Division Performance - The Sterilization and Disinfection Control (SDC) division generated revenues of $24,749 in 4Q25, with core organic revenue growth of 10.3% [13] - Calibration Solutions (CS) revenues were $13,257 in 4Q25, achieving core organic revenue growth of 3.4% [15] - Biopharmaceutical Development (BPD) revenues reached $12,618 in 4Q25, with a significant annual growth of 20.3% driven by increased spending on capital equipment [16] - Clinical Genomics (CG) revenues were $11,511 in 4Q25, with a quarterly growth of 4.4% but an annual decline of 10.1% due to regulatory challenges in the China market [17] Strategic Milestones - The company successfully integrated GKE into its corporate structure within nine months and exceeded acquisition commitments for revenues and profitability [4] - Implementation of Salesforce CRM across all divisions and progress in Commercial Excellence initiatives contributed to accelerated bookings growth [4] - The Mesa Way initiative led to 45 discrete process improvement events, setting a new record for the company [5] Market Dynamics - Approximately 75% of revenues are derived from a recurring service and consumables mix, which has helped mitigate short-term impacts from increased tariffs [8] - The company is focused on driving profitable market share growth despite uncertainties in global trade and economic conditions [8]

Core Viewpoint - Mesa Labs (MLAB) has been upgraded to a Zacks Rank 1 (Strong Buy), indicating a positive outlook on its earnings estimates, which is a significant factor influencing stock prices [1][3]. Earnings Estimates and Stock Performance - The Zacks rating system is based on changes in earnings estimates, which are closely correlated with stock price movements [4][6]. - Mesa Labs is projected to earn $10.44 per share for the fiscal year ending March 2025, reflecting an 11.3% year-over-year increase [8]. - Over the past three months, the Zacks Consensus Estimate for Mesa Labs has risen by 8.3% [8]. Zacks Rating System - The Zacks Rank stock-rating system categorizes stocks into five groups based on earnings estimates, with Zacks Rank 1 stocks historically generating an average annual return of +25% since 1988 [7]. - Only the top 5% of Zacks-covered stocks receive a 'Strong Buy' rating, indicating superior earnings estimate revisions [9][10].

Core Viewpoint - Mesa Labs (MLAB) is positioned as a strong investment opportunity due to its improving earnings outlook and analysts' increasing earnings estimates [1][2] Earnings Estimate Revisions - Current-quarter earnings estimate is $2.75 per share, reflecting a -0.72% change from the previous year, with a 16.76% increase in the Zacks Consensus Estimate over the last 30 days [4] - Full-year earnings estimate stands at $10.44 per share, showing an 11.3% increase from the prior year, with an 8.25% rise in the consensus estimate due to positive revisions [5] Analyst Sentiment - Analysts are optimistic about Mesa Labs' earnings prospects, leading to higher estimates which are expected to positively influence the stock price [2][3] - The Zacks Rank system indicates a strong buy rating for Mesa Labs, with a Zacks Rank 1, suggesting significant potential for outperformance compared to the S&P 500 [6] Stock Performance - Mesa Labs shares have increased by 18.1% over the past four weeks, indicating strong investor confidence in the company's earnings growth potential [7]

Core Insights - Mesa Labs reported quarterly earnings of $2.67 per share, exceeding the Zacks Consensus Estimate of $2.45 per share, and up from $2.02 per share a year ago [1] - The company achieved revenues of $62.84 million for the quarter, surpassing the Zacks Consensus Estimate by 4.91%, compared to $53.47 million in the same quarter last year [3] Earnings Performance - The earnings surprise for the quarter was 8.98%, with the company having surpassed consensus EPS estimates two times over the last four quarters [2] - In the previous quarter, Mesa Labs had a negative surprise of -1.21% [2] Revenue Performance - Mesa Labs has also topped consensus revenue estimates two times in the last four quarters [3] - The current consensus EPS estimate for the upcoming quarter is $2.54, with expected revenues of $61.4 million, and for the current fiscal year, the estimate is $10.01 on revenues of $237.3 million [8] Market Position - Mesa Labs shares have increased by approximately 1.6% since the beginning of the year, while the S&P 500 has gained 1.9% [4] - The Zacks Industry Rank for Medical - Instruments places it in the top 36% of over 250 Zacks industries, indicating a favorable market position [9] Future Outlook - The estimate revisions trend for Mesa Labs is currently mixed, resulting in a Zacks Rank 3 (Hold), suggesting the stock is expected to perform in line with the market in the near future [7] - The performance of Mesa Labs may be influenced by the overall outlook for the industry [9]