"While we experienced better revenue, our operational expenses grew significantly due to expanded marketing outreach and R&D initiatives. However, we believe these investments will pay off as we broaden our market presence."
— Zomedica CEO
03Detailed Report
ZOM
Zomedica Corp
Period
Q4 2025
CurrencyUSD
Report TypeQuarterly Earnings
GeneratedJun 28, 2026
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Executive Summary
In Q4 2025, Zomedica Corp reported revenues of $7.895 million, a 12.83% increase quarter-over-quarter (QoQ) and a 7.61% rise year-over-year (YoY). Despite the revenue growth, the company faced persistent challenges with profitability, registering a net loss of $7.194 million. Management highlighted efforts to streamline operations and improve gross margins, which stood at 70.27%. Strategic investments in research and development remain pivotal as Zomedica seeks to expand its product offerings aimed at veterinarians, particularly in diagnostics and treatments for companion animals.
The quarter reflects a period of both challenges and opportunities as Zomedica aims to increase market share within the veterinary health sector. The management's commentary emphasized a forward-looking strategy focused on innovation and understanding the driving needs of veterinarians. As Zomedica continues to adjust its operational efficiencies, the company is positioned to capture a larger share of the growing market for pet health diagnostics and treatment solutions.
Key Performance Indicators
Revenue
Increasing
7.90M
QoQ: 12.83% | YoY: 7.61%
Gross Profit
Increasing
5.55M
70.27% margin
QoQ: 9.64% | YoY: 73.21%
Operating Income
Increasing
-8.16M
QoQ: -9.68% | YoY: 28.35%
Net Income
Increasing
-7.19M
QoQ: -7.42% | YoY: 67.89%
EPS
Increasing
-0.01
QoQ: -2.94% | YoY: 69.43%
Revenue Trend
Margin Analysis
Financial Highlights
Financial Overview
- Revenue: $7.895 million - up 12.83% QoQ and 7.61% YoY
- Gross Profit: $5.548 million with a gross margin of 70.27%, reflecting an increase of 73.21% YoY despite a QoQ raise of 9.64%.
- Operating Income: Loss of $8.160 million, showing a decrease of 28.35% YoY due to increased operational expenses.
- Net Income: A net loss of $7.194 million, improving by 67.89% YoY but decreasing by 7.42% QoQ.
- EPS: Diluted EPS at -$0.007, a 69.43% improvement YoY but a 2.94% decline QoQ.
Balance Sheet and Cash Flow
- Cash at End of Period: $7.021 million, down from $9.747 million at the beginning of the quarter.
- Free Cash Flow: -$6.602 million, signaling ongoing investments without immediate returns.
- Current Ratio: 8.76, indicating strong liquidity, far exceeding industry averages.
- Total Assets: $207.36 million with total liabilities of $11.696 million leads to a healthy equity position.
Income Statement
Metric
Value
YoY Change
QoQ Change
Revenue
7.90M
7.61%
12.83%
Gross Profit
5.55M
73.21%
9.64%
Operating Income
-8.16M
28.35%
-9.68%
Net Income
-7.19M
67.89%
-7.42%
EPS
-0.01
69.43%
-2.94%
Key Financial Ratios
Gross Profit Margin
Excellent
70.30%
Gross profit margin is exceptional, indicating strong pricing power and operational efficiency
Operating Profit Margin
Weak
-1.03%
Operating margin is below industry norms, profitability concerns
Net Profit Margin
Weak
-0.91%
Net profit margin is below industry norms, profitability concerns
Return on Assets
Weak
-0.03%
Return on assets suggests inefficient capital allocation
Return on Equity
Weak
-0.04%
Return on equity suggests inefficient capital allocation
Current Ratio
Strong
8.76
Current ratio indicates excellent liquidity and financial flexibility
Debt to Equity
Conservative
0.01
Debt-to-equity shows conservative leverage and low financial risk
P/E Ratio
Negative
-4.09x
Negative earnings make P/E ratio not meaningful
Price to Book
Undervalued
0.60x
Trading below book value, potential value opportunity or distressed
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