Key Highlights

  • Net revenues rose 14% to USD 30.9 million.
  • Diagnostics Revenue rose 16% to USD 16.8 million.
  • Gross profit margin was 45.2%, compared with 43.5%.
  • Operating loss was USD 13.0 million, compared with USD 16.1 million.

OraSure Technologies, Inc. (NASDAQ:OSUR) reported consolidated net revenues of USD 30.9 million for the three months ended September 30, 2026, an increase of 14% from USD 27.1 million in the prior year period. Reported EPS was negative USD 0.19 and revenue was USD 30.91 million, compared with estimates of EPS of negative USD 0.21 and revenue of USD 31.00 million.

Revenue by Line

Diagnostics product sales increased 16% to USD 16.8 million from USD 14.5 million. Sample Management Solutions revenues increased 21% to USD 12.5 million from USD 10.3 million. Non-product and services revenues decreased 53% to USD 0.8 million from USD 1.7 million, primarily due to the completion of various funded Research and Development contracts.

Margins and Operating Expenses

Consolidated Gross Profit Margin increased to 45.2% from 43.5%. The company attributed the increase to better absorption of fixed overhead costs from operational efficiencies, partially offset by higher scrap and lower non-product revenues, which contribute 100% to gross margin.

Research and development expenses decreased 25% to USD 7.6 million from USD 10.1 million, primarily due to lower costs associated with development of the CT/NG application on its molecular self-test device. Sales and Marketing expenses increased 4% to USD 6.6 million from USD 6.3 million. General and administrative expenses increased 8% to USD 12.0 million from USD 11.1 million, largely due to higher legal fees.

The operating loss was USD 13.0 million, compared with USD 16.1 million. It included non-cash charges of USD 2.3 million for stock based compensation and USD 2.2 million for Depreciation and amortization. The prior year operating loss included non-cash charges of USD 2.8 million for stock based compensation, USD 2.5 million for depreciation and amortization and USD 0.4 million for the change in the Fair Value of Acquisition related contingent consideration. Other income was USD 1.2 million, compared with USD 2.8 million.

Nine Month Results and Cash

Consolidated net revenues increased 1% to USD 89.5 million for the nine months, from USD 88.3 million. Diagnostics product sales increased 3% to USD 53.0 million from USD 51.4 million, and Sample Management Solutions revenues increased 7% to USD 31.4 million. The net loss for the nine months was USD 29.2 million, compared with USD 49.4 million. Nine month gross profit margin was 43.7%, compared with 42.2%, and the operating loss was USD 30.8 million, compared with USD 51.9 million. Research and development expenses were USD 30.7 million, which the company tied to lower spending on Clinical Trials for the CT/NG and Colli-Pee devices as those trials were completed in the second quarter of 2026. General and administrative expenses increased 8% to USD 41.0 million on higher professional, consulting and legal fees associated with litigation and stockholder activism costs. COVID-19 diagnostics revenues decreased 93% to USD 41.0 thousand, and non-product and services revenues decreased 20% to USD 3.3 million.

Cash and cash equivalents were USD 148.2 million at September 30, 2026, compared with USD 199.3 million at the prior year end. The filing also describes a share repurchase program, noting that the amount and timing of repurchases are at management's discretion and carried out through methods that comply with state and federal securities laws.

Product Lines and Cost Changes

OraSure's net revenues of USD 30.9 million include diagnostics revenue of USD 16.8 million. The filing ties the gross margin of 45.2% to specific drivers and notes lower research and development costs after the CT/NG application and higher legal fees in general and administrative expense.