Mesa Labs Announces Fourth Quarter and Full Fiscal Year 2025 Results

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]