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Additional Financing: Successfully raised $1.5 million to support bioprocessing business growth.
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Bioprocessing Revenue Decline: $180,000 year-over-year decrease due to funding delays and restrained capital spending.
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Net Loss Improvement: Slightly improved year-over-year net loss in the Bioprocessing segment due to lower operating expenses.
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Cash Demand Reduction: Achieved a 17% reduction in quarterly cash demand.
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Lead Volume Increase: 65% year-over-year increase in lead volume with over 300 new contacts added to the pipeline.
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Sales Performance: April marked the strongest sales month in 2025, indicating a recovery in purchasing activities.
Release Date: May 14, 2025
For the complete transcript of the earnings call, please refer to the full earnings call transcript.
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Scientific Industries Inc (SCND) successfully raised $1.5 million, enabling continued development of the SBI DOTS multiparameter sensor platform.
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The Genie brand products performed well, with a notable shift towards US-based customers.
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The company began shipping its first VIVID WORKSTATION, marking progress in AI-enabled pill counting technology.
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Scientific Industries Inc (SCND) reported a 17% reduction in quarterly cash demand, demonstrating effective cost control.
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Lead volume increased by 65% year over year, with over 300 new contracts added to the pipeline, indicating strong customer interest.
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The bioprocessing business segment experienced low revenues due to disruptions in financing and challenges in the academic markets.
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There was a $180,000 year-over-year revenue decline in the bioprocessing segment, primarily due to frozen academic grants and delayed start-up financing.
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The sales cycle for the mammalian cell culture market is longer, impacting revenue recognition.
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The first quarter was notably soft in terms of revenue generation, reflecting a broader slowdown in the bioprocessing tools and laboratory instrumentation sector.
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The company faces challenges in converting customer interest into closed orders due to prolonged budget cycles and conservative capital investment.
Q: Can you elaborate on the financial performance and challenges faced by the bioprocessing segment in Q1 2025? A: Daniel Donadille, CEO of Bioprocessing Operations, explained that the bioprocessing segment experienced a $180,000 year-over-year revenue decline due to frozen academic grants, delayed start-up financing, and restrained capital spending. Despite these challenges, there is strong customer engagement and demand for integrated solutions, indicating deferred interest rather than disinterest.
Q: What strategic initiatives are being undertaken to address the current market challenges? A: Helena Santos, CEO, highlighted that the company secured $1.5 million in financing to focus on the growth of their bioprocessing business and the development of the SBI DOTS multiparameter sensor platform. They are also preparing for the launch of an AI-enabled pill counter in January 2026.
Q: How is Scientific Industries positioning itself for future growth in the bioprocessing sector? A: Daniel Donadille stated that the company is focusing on developing a fully integrated bioprocessing platform designed for modern bioproduction needs. This includes advancements in R&D projects, such as new DO sensor variants and a next-generation liquid injection system, to meet the demand for higher throughput analytics and scalable performance.
Q: What are the expectations for the remainder of 2025 and into 2026? A: Daniel Donadille expressed optimism for the second half of 2025, citing April as the strongest sales month so far. The company anticipates a rebound in market activity and conversion rates, driven by a strong pipeline and increased customer interest in their technology.
Q: How is the company leveraging AI and machine learning in its product offerings? A: John Moore, Chairman, mentioned that the company is developing the world’s first automated pill counting system based on machine learning, targeting retail pharmacies. They are also investing in digital biology and synthetic biology to enhance their product line, aiming to accelerate drug development and market entry.
For the complete transcript of the earnings call, please refer to the full earnings call transcript.
This article first appeared on GuruFocus.
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