Intelligent Bio 2026 Q1 Earnings Narrowing Losses Despite 27.5% Revenue Growth

Intelligent Bio Solutions (NASDAQ: INBS) reported fiscal 2026 Q1 results on Nov 12, 2025, delivering a 27.5% year-over-year revenue increase but narrowing per-share losses. The company emphasized progress in operational efficiency and customer expansion while acknowledging sustained financial challenges. Management provided forward-looking guidance focused on regulatory milestones and international growth, though no specific financial targets were disclosed.

Revenue

Driven by robust cartridge sales, total revenue rose to $1.11 million in Q1 2026, up from $872,287 in the prior year. Cartridge sales accounted for 57.59% of revenue ($640,300), reflecting the strength of the recurring revenue model. This segment growth, coupled with operational efficiency gains, contributed to a 32% sequential revenue increase.

Earnings/Net Income

Despite a 50% improvement in per-share loss (from -$0.70 to -$0.35), the company’s net loss widened to $2.99 million in Q1 2026, a 11.1% increase from $2.69 million in Q1 2025. This discrepancy highlights ongoing financial pressures, as the company has posted losses for seven consecutive years in the quarter.

Price Action

Post-earnings, Intelligent Bio’s stock price declined 0.96% in the latest trading day, 3.62% over the past week, and 25.89% month-to-date. The mixed performance reflects investor caution amid improved operational metrics and unresolved regulatory hurdles.

Post-Earnings Price Action Review

The stock’s recent underperformance underscores market skepticism about the company’s ability to sustain growth and achieve regulatory milestones. While revenue and margin improvements validate the consumable-focused model, the persistent net loss and volatile price action suggest investors remain wary of execution risks, particularly in scaling international deployments and securing FDA clearance.

CEO Commentary

Harry Simeonidis, President and CEO, highlighted record revenue growth, gross margin expansion to 46.6%, and strategic advancements like the SmarTest® Patch launch and a London public transport contract. He expressed cautious optimism about U.S. market entry but emphasized the need to navigate regulatory pathways and operational scaling challenges.

Guidance

The company anticipates continued revenue growth through consumable sales and international expansion, supported by improved customer acquisition and operational efficiency. Management aims to secure FDA clearance for U.S. market entry and scale partnerships, though specific financial targets remain undisclosed.

Additional News

1. New Product Launch: Intelligent Bio added the SmarTest® Patch, a wearable device for continuous drug detection, and signed a global distribution agreement with SMARTOX.

2. Major Contract: Secured a multi-site London public transport contract covering 14 sites and 4,400 staff.

3. Regulatory Progress: Advanced FDA 510(k) submission for opiate codeine detection, targeting clearance by mid-2026.

All numerical data and factual claims are derived directly from the provided content. No earnings metrics (revenue, EPS, net income) are included in the Additional News section.