Mesa Laboratories, Inc. recently released its 10-K report. The company develops, manufactures, sells and services life sciences tools and quality control products for regulated uses in pharmaceuticals, healthcare and medical devices across North America, Europe, the Asia Pacific and other international markets. Its four reporting segments are Sterilization and Disinfection Control, Biopharmaceutical Development, Calibration Solutions and Clinical Genomics, with operations centered in Lakewood, Colorado and manufacturing in the United States and Europe.
In Item 7, Mesa said fiscal 2026 revenue rose 3.4% to $249.1 million from $241.0 million in fiscal 2025. Net income improved to $6.7 million from a loss of $2.0 million a year earlier, while operating income increased to $18.5 million from $16.3 million. Gross profit climbed 4.9% to $158.3 million, and gross margin improved to 63.5% from 62.6%.
The strongest top-line growth came from Sterilization and Disinfection Control, where revenue increased 8.7% to $101.6 million from $93.4 million. Mesa said the increase was driven mainly by a weaker U.S. dollar and price increases, with higher sales volumes contributing as well; excluding currency translation, growth would have been about 4.7%. Segment gross profit rose to $71.7 million from $64.7 million, and margin improved to 70.6% from 69.2%.
Calibration Solutions revenue increased 3.5% to $53.6 million from $51.7 million. Mesa said the segment benefited from foreign currency effects and higher sales, with gross profit rising to $32.0 million from $30.6 million and margin edging up to 59.7% from 59.2%.
Biopharmaceutical Development was nearly flat at $48.6 million, down from $48.7 million. Mesa said declines in immunoassay product lines were partly offset by growth in peptide product lines, while shipping delays tied to export controls also affected sales in the second half of the year. Gross profit fell to $28.6 million from $29.9 million, and margin declined to 58.7% from 61.4%.
Clinical Genomics posted the weakest performance, with revenue falling to $45.4 million from $47.1 million. Mesa attributed the decline to unfavorable macroeconomic conditions in China and ongoing trade tensions, though it said the financial impact should be smaller in fiscal 2027 than in fiscal 2026. Gross profit in the segment increased to $26.0 million from $25.7 million, and margin rose to 57.3% from 54.5%.
Mesa said about 53% of fiscal 2026 revenue came from outside the United States. It also noted that operating expense increased 3.9% to $139.8 million, largely because of costs tied to the departure of its former chief executive officer, while foreign exchange effects lifted reported selling, general and administrative, and research and development expenses. The company also said it expects Dr. Siddhartha Kadia to become chief executive officer in fiscal 2027. As a result of these announcements, the company's shares have moved -2.77% on the market, and are now trading at a price of $103.70. For the full picture, make sure to review ME's 10-K report.
