Burcon Announces Fiscal 2026 First Quarter Results

Executive Summary

• Burcon NutraScience reported fiscal Q1 2026 results (ended June 30, 2025), marking a transition to a revenue-generating phase with $342,000 in revenue, a 44% year-over-year increase.
• The company achieved significant operational milestones, including the commissioning of its Galesburg facility, initial commercial production of Peazazz® C pea protein and FavaPro™ fava protein, and the signing of a $6.8 million multi-year production agreement.
• Financially, the company reported a net loss of $3.5 million ($0.27 per share) driven by startup costs at the new facility, while holding $4.2 million in cash.

Key Details

• Revenue: $342,193 CAD for the three months ended June 30, 2025, compared to $236,617 CAD in the prior year comparable quarter (a 44% increase).
• Net Loss: $3,475,101 CAD ($0.27 basic and diluted loss per share), compared to a net loss of $1,869,271 CAD ($0.26 per share) in the prior year.
• Cash Position: $4,231,516 CAD in cash as of June 30, 2025.
• Operating Cash Flow: Net cash used in operating activities was $2.7 million, compared to $1.8 million in the prior year.
• Cost of Sales: Increased to $1,776,684 CAD from $212,294 CAD in the prior year, driven by initial startup and commissioning costs at the Galesburg facility.
• R&D Expenses: Decreased by 50% to $334,793 CAD from $683,667 CAD in the prior year.
• G&A Expenses: Decreased by 36% to $706,125 CAD from $1,103,708 CAD in the prior year.
• Production Agreement: Entered into a $6.8 million multi-year production agreement.
• Operational Milestones:
  • Achieved initial commercial sales and first commercial production of Peazazz® C pea protein.
  • Integrated proprietary protein technologies at the Galesburg facility.
  • Completed a 20-to-1 consolidation of common shares.
  • Showcased protein portfolio at the 2025 IFT FIRST Annual Event & Expo.
  • Achieved first commercial production of FavaPro™ fava protein subsequent to quarter-end.
• Balance Sheet Highlights (as of June 30, 2025):
  • Total Assets: $26,956,968 CAD.
  • Total Liabilities: $23,359,638 CAD.
  • Total Shareholders' Equity: $3,597,330 CAD.
  • Property and Equipment: $1,089,019 CAD.
  • Right-of-Use Assets: $13,546,718 CAD.
• Future Outlook: Management targets calendar 2025 revenue of $1-3 million and expects to ramp production volumes and convert customer pipeline into long-term supply agreements.

Notable Quotes

• "Burcon is entering a defining phase-evolving from technology pioneer to revenue-generating, innovation leader in plant protein," said Kip Underwood, Burcon's chief executive officer. "Following IFT FIRST, customer engagement has surged, and with the Galesburg facility scaling production across our plant protein portfolio, we are poised to meet growing market demand and drive sustainable long-term growth."
• "Our fiscal 2026 first quarter marks a strong start to Burcon's revenue-generating growth phase, driven by solid execution against our strategic priorities. Within 90 days of commissioning the Galesburg facility, we achieved first commercial production of our next-generation proteins and secured a $6.8 million multi-year production agreement, supporting our calendar 2025 revenue target of $1-3 million."