BioStem Technologies Reports Third Quarter 2025 Financial Results
Prism Media Wire·2025-11-13 21:02

Core Insights - BioStem Technologies reported a significant decrease in net revenue for Q3 2025, totaling $10.5 million, which is a 43% decline compared to Q3 2024, primarily due to lower volume in the wound care portfolio amid reimbursement uncertainties and increased competition [7][9] - The company remains focused on strategic initiatives, including advancing clinical programs, expanding payer access, and evaluating potential acquisitions to diversify its product offerings [5][9] Financial Highlights - Net revenue for Q3 2025 was $10.5 million, down from $18.4 million in Q3 2024, reflecting a 43% decrease [7] - Gross profit was $9.3 million, representing 88.5% of net revenue, compared to $14.2 million or 77.0% of net revenue in Q3 2024, indicating a shift towards products without licensing fees [7] - Operating expenses increased to $7.8 million from $4.9 million in Q3 2024, driven by higher clinical trial activities and infrastructure investments [8] - GAAP net income was $0.8 million or $0.05 per share, down from $6.8 million or $0.42 per share in Q3 2024 [8] - Adjusted EBITDA for the quarter was $2.7 million, a decline from $10.4 million in Q3 2024, reflecting lower revenue and higher operating expenses [8] Business Developments - BioStem achieved a 40% growth in product volume quarter-over-quarter [9] - The company published positive results from the BioREtain® trial in the International Journal of Tissue Repair and completed FDA reinspection with no observations [9] - BioStem secured land for a new headquarters in Boca Raton and established a partnership with a Service-Disabled Veteran-Owned Small Business to enter the VA market [9] - The company reported restated financials in accordance with US GAAP, reflecting adjustments to the accounting treatment for bona fide services fees paid to its commercial partner [9][10] Cash Position - As of September 30, 2025, cash and cash equivalents totaled $27.2 million, providing a solid financial foundation for future operations [10]