Natural Alternatives International Reports $2.6M Q2 Loss, 2% Sales Growth
Natural Alternatives International reported Q2 net loss of $2.6 million ($0.42/sh) on revenue of $34.8 million, up 2% year-over-year, with CarnoSyn® sales rising 13% to $2.0 million. Underutilized factory capacity prompted a forecasted net loss for H2 and full fiscal 2026 despite new TriBsyn™ launch.
1. Q2 Financial Results
Natural Alternatives International posted a net loss of $2.6 million, or $0.42 per share, for its fiscal second quarter compared to a $2.2 million, or $0.37 per share, loss in the year-ago period. Revenue rose 2% to $34.8 million from $34.1 million.
2. Sales and Product Revenue
Private-label contract manufacturing sales increased 2% to $32.8 million driven by higher orders from existing clients and new customer shipments. CarnoSyn® beta-alanine royalty, licensing and raw material revenues climbed 13% to $2.0 million.
3. Operational Capacity and Guidance
Underutilization of factory capacity generated a loss from operations and led management to forecast a net loss for both the second half and full fiscal 2026. Cash on hand declined to $3.8 million with working capital of $28.7 million as of December 31.
4. TriBsyn™ Innovation and Market Potential
The company is advancing its patent-pending TriBsyn™ molecule, which delivers four times the effectiveness of instant-release beta-alanine with lower dosing. Management views TriBsyn™ as a key opportunity for GLP-1 weight loss support and prevention of age-related muscle wasting.