Biorem Reports Second Quarter Results

Executive Summary

• Biorem Inc. reported strong second-quarter 2025 financial results, with revenues increasing 29% year-over-year to $9.4 million and net earnings rising to $745,000.
• The company secured $7.4 million in new orders during the quarter, bringing the total year-to-date bookings to $24.1 million and expanding the order backlog to $61 million as of June 30, 2025.
• Management cited successful resolution of logistical challenges and robust bidding activity as key drivers for growth, with expectations for continued strong performance in the second half of the year.

Key Details

• Revenue: $9.4 million for the three months ended June 30, 2025 (up 29% from $7.3 million in Q2 2024); $14.2 million for the six months ended June 30, 2025 (up 7% from $13.2 million in H1 2024).
• Gross Profit: $2.5 million for Q2 2025 (27% margin) compared to $1.7 million (22.7% margin) in Q2 2024.
• EBITDA: $1.2 million for Q2 2025 compared to $555,000 in Q2 2024; $1.4 million for the six-month period compared to $1.2 million in the prior year.
• Net Earnings: $745,000 for Q2 2025 (up from $340,000 in Q2 2024); $782,000 year-to-date (up from $681,000 in H1 2024).
• Earnings Per Share (EPS): Basic EPS of $0.046 for Q2 2025; Fully diluted EPS of $0.040 for Q2 2025.
• Order Bookings: $7.4 million in new orders booked in Q2 2025; Year-to-date bookings total $24.1 million.
• Backlog: Order backlog stood at $61 million on June 30, 2025, compared to $57 million on June 30, 2024.
• Operating Expenses: $1.5 million for Q2 2025, an increase from $1.1 million in Q2 2024, primarily due to a $400,000 credit loss provision for a specific project.
• Cash Position: Cash on hand decreased to $7.7 million at June 30, 2025.
• Cash Flow: Operating activities generated $1.2 million in cash during the quarter; net increases in non-cash working capital items used $2.5 million of cash reserves.
• Working Capital: Stood at $10 million at June 30, 2025.

Notable Quotes

• "We were able to successfully overcome the logistical challenges we experienced earlier in the year, allowing us to accelerate shipments to our international customers during the second quarter... We expect to continue this pace in the second half of the year as we continue to export to China, the Middle East and South East Asia." — Derek S. Webb, President and CEO
• "Bidding activity continues to be robust and management is pleased at the size of the outstanding opportunities in the domestic and international market segments. We expect our focus on offering both technologies and integrated service solutions to continue to produce tangible results and drive growth over the next several quarters." — Derek S. Webb, President and CEO