Landec(US:LFCR)2025-11-06 21:26Financial Performance - Lifecore Biomedical recorded $31.1 million in revenue for the three months ended September 30, 2025, representing a 26% increase from $24.7 million in the comparable prior period[11] - The company achieved a gross profit of $7.8 million, up from $5.4 million in the prior year, driven by a $4.3 million increase in HA manufacturing gross profit[13] - Total revenues for the three months ended September 30, 2025, were $31,109,000, a 25.9% increase from $24,705,000 for the same period in 2024[35] - Gross profit for the same period was $7,791,000, compared to $5,387,000 in the prior year, reflecting a 44.6% increase[35] - Adjusted EBITDA for the three months ended September 30, 2025, was $3,050,000, a significant improvement from a loss of $1,793,000 in the same period of 2024[38] - Lifecore's Adjusted EBITDA for the period was $3.1 million, an increase of $4.9 million compared to a negative $1.8 million in the prior year[16] - The net loss for the three months ended September 30, 2025, was $9,991,000, an improvement from a net loss of $16,230,000 in the same period of 2024[35] - Estimated net loss for the seven-month transition period from May 26, 2025, to December 31, 2025, is projected to be between $18,400,000 and $16,400,000[40] Cost Management - Selling, general and administrative expenses decreased by $5.9 million to $8.9 million compared to $14.8 million in the prior period, reflecting cost management efforts[14] - The company plans to launch a new ERP system in Q1 2026 to enhance inventory control and financial management, contributing to cost reduction[12] Operational Efficiency - Lifecore has improved workforce productivity in manufacturing by over 20% over the past year, reflecting its commitment to operational efficiency[12] - The company is focused on maximizing existing customer business and advancing late-stage development programs towards commercialization[3] Future Outlook - The company expects revenue for the transition period from May 26 to December 31, 2025, to be approximately $74 to $76 million, with a net loss projected between $18.4 million and $16.4 million[19] - Lifecore aims for a revenue CAGR of 12%+ and adjusted EBITDA margins exceeding 25% over the mid-term[3] - The company aims to achieve a revenue CAGR of over 12% and increase Adjusted EBITDA margins to more than 25% in the mid-term[30] Balance Sheet - The current assets as of September 30, 2025, totaled $83,928,000, slightly down from $85,677,000 as of May 25, 2025[33] - The total liabilities as of September 30, 2025, were $198,418,000, compared to $191,909,000 as of May 25, 2025[33] - The company reported a weighted average of 37,402,912 shares outstanding for the three months ended September 30, 2025[35] Corporate Changes - The company plans to transition its fiscal year end to align with the calendar year, effective for the December 31, 2025, period[39] - Lifecore signed two new programs during the quarter, including one late-stage and one early-stage program, expanding its service capabilities beyond ophthalmic therapeutics[6]