Core Insights - Biomerica, Inc. reported financial results for the second quarter of fiscal 2026, highlighting a strategic shift towards higher-margin diagnostic-guided therapy products and the commercialization of its inFoods IBS test [1][6]. Financial Performance - Net sales for the second quarter of fiscal 2026 were $1.21 million, down from $1.64 million in the prior year, primarily due to the absence of large initial distributor orders in the MENA region [9]. - For the six months ended November 30, 2025, net sales were $2.59 million, compared to $3.44 million in the prior year period [10]. - Gross margin for the six-month period was 18%, down from 21% in the prior year, reflecting the transition to higher-margin products [10]. - Operating expenses for the second quarter were $1.42 million, slightly down from $1.43 million in the same period last year [11]. - The net loss for the second quarter was $1.32 million, compared to $0.95 million in the prior year quarter, while the net loss for the six months improved to $1.31 million from $2.27 million in the prior year [12]. Strategic Developments - Biomerica entered a marketing services agreement with Henry Schein to support the commercialization of the inFoods IBS test in the U.S., enhancing awareness among healthcare providers [2]. - The company launched the AI-backed inFoods IBS Trigger Food Navigator, designed to improve dietary compliance for IBS patients by providing personalized meal suggestions [3]. - The Centers for Medicare & Medicaid Services established a national Medicare payment rate of $300 for the inFoods IBS test, effective January 1, 2026, which is expected to enhance patient access [4]. - The Egyptian Drug Authority authorized Biomerica's complete screening test portfolio, facilitating international expansion of its diagnostic products [5]. Management Commentary - The CEO emphasized a strategic pivot from lower-margin products to higher-value diagnostic-guided therapy products, indicating that current revenue softness is a result of this transition rather than a decline in business fundamentals [6]. - The CFO noted a 27% reduction in research and development expenses while continuing to invest in high-value diagnostic programs, indicating a focus on operational efficiency [8].

Core Viewpoint - Biomerica Inc. has appointed Scott Madel as Chief Commercial Officer to enhance commercialization and revenue growth for its inFoods IBS product, which aims to improve the quality of life for patients with chronic gastrointestinal conditions [1][5][6]. Company Overview - Biomerica Inc. is a global biomedical technology company focused on developing, patenting, manufacturing, and marketing advanced diagnostic and therapeutic products, particularly for gastrointestinal and inflammatory diseases [12]. Leadership Appointment - Scott Madel brings over 20 years of experience in healthcare and diagnostics, having previously served as President of Boston Heart Diagnostics, where he led a successful turnaround and revenue growth [2][3]. - His past roles include CEO positions at BioHealth Diagnostics and Genova Diagnostics Europe, where he contributed to significant revenue growth and strategic partnerships [3][4]. Product Focus: inFoods IBS - inFoods IBS is a diagnostic-guided therapy that identifies food triggers causing symptoms in patients with IBS, using a simple finger-stick blood sample [7]. - The product offers a non-pharmaceutical, precision-based approach to symptom relief, targeting dietary changes based on individual immune responses [7]. Clinical Study Results - A multicenter clinical study published in Gastroenterology showed that 59.6% of patients in the treatment group achieved significant abdominal pain reduction compared to 42.2% in the control group [9]. - Among IBS-C patients, 67.1% in the treatment group achieved the endpoint versus 35.8% in the control group, indicating strong efficacy [9]. - The study highlighted inFoods IBS as the only targeted therapy demonstrating efficacy specifically in IBS-M patients, a historically underserved subgroup [10]. Strategic Goals - In his new role, Scott Madel will focus on expanding strategic partnerships, developing a robust payer strategy, and enhancing brand recognition for inFoods IBS [5][6]. - The company aims to achieve third-party payer reimbursement and scale provider engagement both domestically and internationally [5].