NexGel(US:NXGL)2025-05-13 20:18Financial Performance - First quarter 2025 revenue totaled $2.81 million, an increase of 121% compared to $1.27 million in Q1 2024[2] - Gross profit for Q1 2025 was $1.19 million, with a gross profit margin of 42.4%, up from 12.6% in Q1 2024[7] - EBITDA loss narrowed to ($0.54) million in Q1 2025, compared to ($0.84) million in Q1 2024[9] - The net loss for Q1 2025 was $0.71 million, an improvement from a net loss of $0.85 million in Q1 2024[10] - Adjusted EBITDA for the three months ended March 31, 2025, was $(468,000), compared to $(731,000) in the same period of 2024, indicating a reduction in losses[24] Revenue Expectations - The company expects to achieve at least $13 million in revenue for 2025 and positive EBITDA during the year[4] - The increase in revenue was primarily driven by sales growth in both contract manufacturing and branded products[5] Expenses and Cash Flow - Selling, general and administrative expenses increased to $1.96 million in Q1 2025 from $1.03 million in Q1 2024[8] - Cash used in operating activities decreased to $400,000 in Q1 2025 from $1,092,000 in Q1 2024, reflecting improved cash flow management[23] - Cash at the end of the period was $1,192,000, down from $2,419,000 at the end of Q1 2024, showing a decrease in liquidity[23] - Depreciation and amortization expenses increased to $114,000 in Q1 2025 from $62,000 in Q1 2024, indicating higher asset utilization[23] - Interest expense, net for Q1 2025 was $21,000, up from $15,000 in Q1 2024, suggesting increased borrowing costs[24] Investment and Financing - The company reported a gain on investment in marketable securities of $0 in Q1 2025, compared to a loss of $34,000 in Q1 2024, reflecting improved investment performance[23] - The company had no capital expenditures in Q1 2025, compared to $152,000 in Q1 2024, indicating a pause in investment activities[23] - The net cash provided by financing activities was $(215,000) in Q1 2025, a decrease from $929,000 in Q1 2024, reflecting changes in financing strategy[23] Future Plans - The company has multiple opportunities in contract manufacturing with existing customers like Cintas and new potential customers[4] - NEXGEL plans to launch several new consumer branded products throughout the remainder of 2025 and into 2026[4] Accounts Payable - The company experienced a significant increase in accounts payable, which rose to $219,000 in Q1 2025 from a decrease of $75,000 in Q1 2024, indicating potential changes in supplier payment terms[23]