Nanalysis Announces Fourth Quarter and Full Year 2025 Results

Apr 08 2026 21:15 BST

Reports Quarterly Revenue of $10.7 Million and Adjusted EBITDA of $1.2 Million

Full Year Revenue of $40.1 Million and Adjusted EBITDA of $903 Thousand

CALGARY, AB , April 8, 2026 /PRNewswire/ - Nanalysis Scientific Corp. ("the Company", TSXV: NSCI, FRA: 1N1), a leader in portable NMR spectrometers and MRI technology for industrial and research applications announces its financial results for the fourth quarter and full year ended December 31, 2025. Chief Executive Officer Sean Krakiwsky and Interim Chief Financial Officer Heather Kury will host a conference call at 10 A.M. Eastern Time tomorrow, April 9^th, to discuss the results. All interested parties are invited to join these calls. All dollar figures in this press release are in thousands of Canadian dollars, except per share amounts or unless otherwise stated.

The Company reported fourth quarter revenue of $10.7 million, representing a decrease of 13% compared to the same period in 2024, and full year revenue of $40.1 million a decrease of 12% year-over-year. Despite lower revenues, the Company delivered Adjusted EBITDA of $1.2 million in the fourth quarter, marking a return to positive quarterly Adjusted EBITDA.

"We made meaningful progress in 2025 despite a challenging operating environment," said Sean Krakiwsky, Founder and CEO of Nanalysis. "We took decisive actions to strengthen leadership, improve our service operations, and diversify our sales and supply chain strategies. While there is work ahead, these initiatives have improved our operational footing and positioned the business for more consistent execution. As we enter 2026, our focus remains on disciplined execution, improving margins in our service business, and driving growth in our scientific equipment segment. While revenue declined year-over-year, performance improved sequentially through 2025, with the Company returning to positive Adjusted EBITDA in the fourth quarter. This reflects the early impact of operational and strategic changes implemented throughout the year."

Financial highlights for the three months ended December 31, 2025:

	Three months ended December 31
($000's)	2025	2024	Change $	Change %
Product sales	4,133	5,536	(1,403)	-25 %
Security services revenue	5,563	5,602	(39)	-1 %
Flow-through inventory revenue	980	1,151	(171)	-15 %
Total sales and revenue	10,676	12,289	(1,613)	-13 %

Gross margin percentage - product sales	56 %	60 %	-4 %
Gross margin percentage - service revenue	11 %	16 %	-5 %

Adjusted EBITDA	1,187	1,835	(648)	-35 %
Normalized net loss (excludes impairment of assets)	(729)	(400)	(329)	-82 %
Net loss	(729)	(7,452)	6,723	90 %

For the three months ended December 31, 2025, the Company reported consolidated revenue of $10,676, a decrease of $1,613 or 13% from the comparative period in 2024.
Gross margin percentage for product sales for the three-month period ended December 31, 2025, was 56%, compared to 60% in the prior year period. The decrease was attributable to earlier-period supply chain challenges, which required the Company to utilize higher-cost labour to meet its sales commitments.
Security service gross margin percentage for the three-month period ended December 31, 2025, was 11%, compared to 16% in the prior year period, reflecting both revenue variability and cost structure dynamics associated with the Company's largest contract, as well as the Company's commitment to maintaining a high level of service. The Company is actively working with its customer to address these dynamics and remains confident in reaching a more sustainable and mutually beneficial operating arrangement going forward.
Adjusted EBITDA is used by the Company as an approximation for operating cash flows available for reinvestment in the Company and to service financing obligations. Adjusted EBITDA for the three months ended December 31, 2025, was $1,187, compared to $1,835 in the prior year period. The decrease reflects prolonged instability in the scientific instrumentation market, which resulted in customer purchasing delays and supply chain disruptions. In response, the Company has diversified its market reach and strengthened its supply chain to improve effectiveness and resilience going forward. The year also included a period of rebuilding within the services segment, with a focus on enhancing the customer experience and improving profitability.
Normalized net loss for the three months ended December 31 2025 was $729, compared to $400 in the prior year period. The increase was primarily driven by lower margins. The Company has implemented strategic initiatives to improve profitability across both its scientific equipment and services businesses going forward.

Financial highlights for the twelve months ended December 31, 2025:

	Twelve months ended December 31
($000's)	2025	2024	Change $	Change %
Product sales	13,441	19,396	(5,955)	-31 %
Security services revenue	22,146	21,010	1,136	5 %
Flow-through inventory revenue	4,544	5,089	(545)	-11 %
Total sales and revenue	40,131	45,495	(5,364)	-12 %

Gross margin percentage - product sales	57 %	53 %	4 %
Gross margin percentage - service revenue	10 %	12 %	-2 %

Adjusted EBITDA	903	2,834	(1,931)	-68 %
Normalized net loss (excludes impairment of assets)	(5,658)	(6,287)	629	10 %
Net loss	(5,658)	(13,613)	7,955	58 %

The Company reported consolidated revenue of $40,131 for the year, a decrease of $5,364, or 12%, compared to the prior year. This includes $13,441 in product sales, $22,146 in security services revenue, and $4,544 in flow-through inventory revenue.
Gross margin percentage on product sales was 57% for the twelve months ended December 31, 2025, compared to 53% in the prior year. The improvement in Benchtop NMR margins was driven by reductions in manufacturing labour implemented in 2023 and 2024, as well as increased process efficiencies.
Gross margin percentage on service revenue was 10% for the twelve months ended December 31, 2025, compared to 12% in the prior year. The Company is implementing strategic measures to stabilize margins going forward, including enhancing customer experience and addressing profitability through improvements to the underlying contract structure.
Adjusted EBITDA for the twelve months ended December 31, 2025, was $903 versus an Adjusted EBITDA $2,834 for the same period last year.
Normalized net loss for the twelve months ended December 31 2025 was $5,658, compared to $6,287 in the prior year. The improvement was primarily driven by lower depreciation, as an acquired intangible asset was fully impaired in 2024, and the absence of losses from associates following the impairment of the Quad investment in 2024.

Quarterly Trend:

($000's)	Q4 2025	Q3 2025	Q2 2025	Q1 2025
Product sales	4,133	2,719	2,902	3,687
Security services revenue	5,563	5,943	5,617	5,023
Flow-through parts revenue	980	623	1,057	1,884
Total revenue	10,676	9,285	9,576	10,594

Adjusted EBITDA	1,187	(2)	(462)	180

Normalized net loss	(729)	(1,500)	(2,122)	(1,307)

The Company demonstrated growth in Security services revenue from Q1 2025. Under the current contract structure, revenue is expected to fluctuate modestly from quarter to quarter based on servicing requirements. As the Company enters 2026, it is focused on driving greater stability and revenue growth in this segment through continued delivery of high-quality customer experience and on optimizing contract structure and margins, with the goal of improving gross margins.
Normalized net losses continue to improve, in line with the Company's overall operations and reduced depreciation costs.

Recent strategic and operational highlights during and after the fourth quarter of 2025 include:

Supply chain strengthened through the establishment of relationships with several new vendors for long-lead critical components used in the Company's instruments. This has reduced supply risk and lowered component costs. In response to ongoing geopolitical uncertainty, the Company has also increased inventory levels of key components to support sales and growth targets
Geographic diversification in response to evolving global trade dynamics, including U.S. trade tensions, with an increased emphasis on European markets and international distribution channels
Non-dilutive funding of $1.0 million was awarded in March 2026 under a federal economic development initiative to support the Company's market diversification initiatives and further strengthen its supply chain
Non-brokered private placement of $3.4 million was closed in two tranches (December 2025 and January 2026), resulting in a reduction of the Company's term loan from $5.8 million to $3.7 million
CEIA distribution agreement signed in January 2026 for a five-year term, enabling the Company to act as a distributor of CEIA's metal detection equipment in the United States and Canada
Associate Quad Systems secured a significant contract in November 2025, winning a competitive bid to supply ETH University in Switzerland with a 400 MHz and 500 MHz high-field NMR spectrometer upgrade
Continuous improvement initiatives. The Company continued execution of its multi-year cost reduction and operational efficiency program, including headcount reductions and lower R&D and SG&A expenditures, resulting in a meaningful reduction in operating costs. While a continuous improvement culture has been established, the Company expects to maintain disciplined cost optimization through mid-2026

Outlook

"We are looking forward to a stronger 2026," said Mr. Krakiwsky. "We believe the actions taken over the past year to adapt to changing market conditions and strengthen our operational foundation will begin to translate into improved financial performance. Our continued investment in customer and vendor relationships, combined with our differentiated technology and service offerings, positions the Company to deliver long-term value for shareholders and stakeholders alike.

As we move through 2026, we will be further improving the performance of our services segment. We are actively working with our largest customer toward a renewed and more sustainable contract structure, which we believe has the potential to materially enhance profitability and operating results over time." concluded Mr. Krakiwsky.

Conference Call:

Investors interested in participating in the live call can join through Zoom. Details provided below.

https://us02web.zoom.us/j/88676886114?pwd=1Jl9AY8R4Cj6SdFA6DRxoIapgLGoir.1

Meeting ID: 886 7688 6114

Passcode: 439209

One tap mobile

+15074734847,,88676886114#,,,,*439209# US

The webcast will be archived on the Company's investor relations webpage for at least 90 days.

Non-IFRS and Supplementary Financial Measures

The Company prepares and reports its consolidated financial statements in accordance with International Financial Reporting Standards as issued by the International Accounting Standards Board, ‎as adopted ‎by the Canadian Accounting Standards Board ("IFRS"). However, this press release may make reference to certain non-IFRS measures including key ‎performance indicators used by management. These measures are not recognized measures under IFRS ‎and do not have a standardized meaning prescribed by IFRS and are therefore unlikely to be comparable ‎to similar measures presented by other companies. Rather, these measures are provided as additional ‎information to complement those IFRS measures by providing further understanding of the Company's results of ‎operations from management's perspective. Accordingly, these measures should not be considered in ‎isolation nor as a substitute for analysis of the Company's financial information reported under IFRS.

The ‎Company uses Adjusted Earnings Before Interest, Tax, Depreciation and Amortization ("Adjusted EBITDA"), and Normalized net loss as non-IFRS measures, which may be calculated ‎differently by other companies. These non-IFRS measure are used to provide investors supplemental measures of the Company's operating performance and liquidity and thus highlight trends in the Company's ‎business that may not otherwise be apparent when relying solely on IFRS measures. The Company also ‎believes that securities analysts, investors and other interested parties frequently use non-IFRS measures ‎in the evaluation of companies in similar industries.

Security services and flow through parts revenue

	Three months ended December 31
($000's)	2025	2024	($) Change	Change
Services revenue	5,563	5,602	(39)	-1 %
Services costs	4,970	4,731	239	5 %
Gross margin	593	871	(278)	N/A

Gross margin percentage	11 %	16 %

	Three months ended December 31
($000's)	2025	2024	($) Change	Change
Flow-through inventory revenue	980	1,151	(171)	-15 %
Flow-through inventory costs	980	1,151	(171)	-15 %
Gross margin	-	-	-

	Twelve months ended December 31
($000's)	2025	2024	($) Change	Change
Services revenue	22,146	21,010	1,136	5 %
Services costs	19,880	18,472	1,408	8 %
Gross margin	2,266	2,538	(272)	N/A

Gross margin percentage	10 %	12 %

	Twelve months ended December 31
($000's)	2025	2024	($) Change	Change
Flow-through inventory revenue	4,544	5,089	(545)	-11 %
Flow-through inventory costs	4,544	5,089	(545)	-11 %
Gross margin	-	-	-

Adjusted EBITDA

	Three months ended December 31
($000's)	2025	2024	($) Change
Net loss	(729)	(7,452)	6,723
Depreciation and amortization expense	569	1,086	(517)
Finance expense	433	293	140
Stock-based compensation	90	199	(109)
Other (income) expenses	624	124	500
Amortization of deferred wages	216	215	1
Loss from associate	-	345	(345)
Impairment of assets	-	7,052	(7,052)
Current income tax expense (recovery)	(12)	33	(45)
Deferred income tax (recovery) expense	(4)	(60)	56
Adjusted EBITDA	1,187	1,835	(648)

	Twelve months ended December 31
($000's)	2025	2024	($) Change
Net loss	(5,658)	(13,613)	7,955
Depreciation and amortization expense	3,427	4,356	(929)
Finance expense	1,367	1,345	22
Stock-based compensation	403	1,028	(625)
Other (income) expenses	506	434	72
Amortization of deferred wages	839	895	(56)
Loss from associate	-	1,085	(1,085)
Impairment of assets	-	7,326	(7,326)
Current income tax expense	54	45	9
Deferred income tax recovery	(35)	(67)	32
Adjusted EBITDA	903	2,834	(1,931)

Normalized net loss

	Three months ended December 31
($000's)	2025	2024	($) Change
Net loss	(729)	(7,452)	6,723
Impairment of assets	-	7,052	(7,052)
Normalized net loss	(729)	(400)	(329)


	Twelve months ended December 31
($000's)	2025	2024	($) Change
Net loss	(5,658)	(13,613)	7,955
Impairment of assets	-	7,326	(7,326)
Normalized net loss	(5,658)	(6,287)	629

Supplementary Financial Measures

The Company may also use supplementary financial measures which are intended to be disclosed on a periodic basis to depict the historical or expected future financial performance, cash position, or cash flow of the Company, are not a non-IFRS measure, and are not presented in the financial statements. The measures as discussed in this press release include:

Gross margin, which is defined as either product sales less cost of product sold, or, security services revenue less security services cost; and,
Gross margin percentage, which is defined as either (product sales less cost of product sold) divided by product sales or (security services revenue less Security services costs) divided by security services revenue

About Nanalysis Scientific Corp. (TSXV: NSCI, OTCQX: NSCIF, FRA:1N1)

Nanalysis Scientific Corp. develops and manufactures portable Nuclear Magnetic Resonance (NMR) spectrometers used worldwide in pharma, biotech, energy, food, materials, and security industries, as well as in academic and government labs. The Company also operates a growing services division that maintains both its own products and third-party imaging equipment, anchored by a $160 million long-term contract with the Canadian Air Transport Security Authority (CATSA) to maintain security scanners at more than 80 Canadian airports.

Notice regarding Forward Looking Statements and Legal Disclaimer

This news release contains certain "forward-looking statements" within the meaning of such statements under applicable securities law. Forward-looking statements are frequently characterized by words such as "anticipates", "plan", "continue", "expect", "project", "intend", "believe", "anticipate", "estimate", "may", "will", "potential", "proposed", "positioned" and other similar words, or statements that certain events or conditions "may" or "will" occur. These statements are only predictions. Various assumptions were used in drawing the conclusions or making the projections contained in the forward-looking statements throughout this news release. Forward-looking statements are based on the opinions and estimates of management at the date the statements are made and are subject to a variety of risks and uncertainties and other factors that could cause actual events or results to differ materially from those projected in the forward-looking statements. The Company is under no obligation, and expressly disclaims any intention or obligation, to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise, except as expressly required by applicable law.

Neither TSX Venture Exchange nor its Regulation Services Provider accepts responsibility for the adequacy or accuracy of this release.

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SOURCE Nanalysis Scientific Corp.