Operating Loss Reduced As Company Advances Toward Profitability
Reaffirms Outlook for Double-Digit Revenue Growth in 2026, including Significant Growth in CompuFlo® Sales
ROSELAND, N.J., May 14, 2026 (GLOBE NEWSWIRE) -- Milestone Scientific Inc. (NYSE: MLSS), a leading developer of computerized drug delivery instruments that provide painless and precise injections, today provided a business update and announced financial results for the three months ended March 31, 2026.
"Our first quarter results reflect continued progress as we execute on the foundation established in 2025," said Eric Hines, Chief Executive Officer of Milestone Scientific. "We delivered meaningful improvements in operating efficiency, reducing expenses by more than 30% and significantly narrowing our operating loss, while maintaining a relatively stable revenue base in a dynamic market environment, though revenue was impacted by challenges shipping certain booked orders to the Middle East due to the ongoing conflict in the region. Importantly, our medical business continued to gain traction, with revenue more than doubling year-over-year, reflecting early-stage adoption of our technology and growing interest from clinicians.
"Following the quarter, we strengthened our balance sheet through a $2.15 million financing, providing additional flexibility to invest in key growth initiatives, including sales expansion, inventory and digital marketing. We are encouraged by the early progress of our dental ambassador program and the launch of our CompuFlo® advisor program, which now includes more than ten physician partners supported by dedicated reimbursement infrastructure. While we expect these initiatives to scale over the coming quarters, with more meaningful revenue contribution later in the year, our focus remains on disciplined execution as we position the Company to achieve cash flow breakeven in early 2027 and deliver long-term shareholder value."
Financial Results for the Three Months Ended March 31, 2026
For the three months ended March 31, 2026, total revenue was relatively stable at $2.16 million, compared to $2.23 million for the three months ended March 31, 2025.
Gross profit for the three months ended March 31, 2026 was $1.56 million, compared to $1.65 million in the prior year period, representing a decrease of $83,000, or 5%. Gross margin was 72.3%, compared to 73.8% in the prior year period. The change in gross margin reflects a shift in product mix and lower sales volume, as well as cost pressures, including tariffs on certain imported components. These factors were partially offset by improved contributions from the Medical segment.
Operating loss for the three months ended March 31, 2026 was $828,000, an improvement of $1.2 million compared to an operating loss of $2.0 million in the prior year period. Net loss was $840,000, or $(0.01) per share, compared to a net loss of $2.0 million, or $(0.02) per share, in the prior year period. The improvement was driven by reduced operating expenses, partially offset by lower gross profit.
As of March 31, 2026, the Company had cash of $1.2 million, working capital of $2.5 million, and $800,000 in convertible debt outstanding.
Subsequent to quarter end on April 20, 2026, the Company completed a private placement of 7,962,963 units at a purchase price of $0.27 per unit, generating gross proceeds of approximately $2.15 million, consisting of $1.8 million in cash and a reduction of $351,000 in outstanding principal of the Company's outstanding convertible notes.
2026 Outlook
Management reaffirms its outlook for the year ending December 31, 2026, with expected revenue of $9.8 million to $10.2 million, representing double-digit growth driven by expanding commercial adoption across both dental and medical segments. Combined with the structural cost reductions implemented in 2025, this 2026 revenue growth is expected to yield improved operating leverage and a meaningful reduction in cash burn relative to the prior year.
Required Disclosure
Milestone also announces that Financial Statements included in its Annual Report on Form 10-K for the year ended December 31, 2025, contained an audit report from its Independent Registered Public Accounting Firm with an explanatory paragraph emphasizing that the Consolidated Financial Statements were prepared assuming that the Company will continue as a going concern. Release of this information is required by Section 610(b) of the NYSE American Company Guide and does not reflect any change or amendment to any of the Company's filings for the fiscal year ended December 31, 2025.
With the implementation of cost reduction initiatives, anticipated revenue growth, improved operating leverage, and a reduction in cash burn relative to 2025, together with the $2.15 million capital raise completed in April 2026, the Company believes it has improved its liquidity position and strengthened its operational outlook. While substantial doubt regarding the Company's ability to continue as a going concern remains, management believes these actions meaningfully mitigate prior conditions and support the Company's strategic and operational objectives. The Company continues to target achieving cash flow breakeven in early 2027.
Conference Call
Milestone Scientific's executive management team will host a conference call at 8:30 am ET on Thursday, May 14, 2026 to discuss the Company's financial results for the three months ended March 31, 2026, as well as the Company's corporate progress and other developments.
The conference call will be available via telephone by dialing toll free 888-506-0062 for U.S. callers or +1 973-528-0011 for international callers and by entering the access code: 950491. A live webcast and replay are available here: https://www.webcaster5.com/Webcast/Page/2306/53997.
An audio replay of the call will be available through May 28, 2026, and can be accessed by dialing 877-481-4010 for U.S. callers or +1 919-882-2331 for international callers and by entering the access code: 53997.
About Milestone Scientific Inc.
Milestone Scientific Inc. (MLSS) is a technology-focused medical research and development company that patents, designs, and develops innovative injection technologies and instruments for medical and dental applications. Milestone Scientific's computer-controlled systems are designed to make injections precise, efficient and increase the overall patient comfort and safety. Their proprietary DPS Dynamic Pressure Sensing Technology® instruments is the platform to advance the development of next-generation devices, regulating flow rate and monitoring pressure from the tip of the needle, through platform extensions of subcutaneous drug delivery, including local anesthetic. To learn more, view the MLSS brand video or visit milestonescientific.com.
Safe Harbor Statement
This press release contains forward-looking statements regarding the timing and financial impact of Milestone's ability to implement its business plan, expected revenues, timing of regulatory approvals and future success. These statements involve a number of risks and uncertainties and are based on assumptions involving judgments with respect to future economic, competitive and market conditions, future business decisions and regulatory developments, all of which are difficult or impossible to predict accurately and many of which are beyond Milestone's control. Some of the important factors that could cause actual results to differ materially from those indicated by the forward-looking statements are general economic conditions, failure to achieve expected revenue growth, changes in our operating expenses, adverse patent rulings, FDA or legal developments, competitive pressures, changes in customer and market requirements and standards, and the risk factors detailed from time to time in Milestone's periodic filings with the Securities and Exchange Commission, including without limitation, Milestone's Annual Report for the year ended December 31, 2025. The forward-looking statements in this press release are based upon management's reasonable belief as of the date hereof. Milestone undertakes no obligation to revise or update publicly any forward-looking statements for any reason. Coding and payment decisions are determined solely by providers and payers based on applicable laws and policies. Any potential Category I designation is determined solely by the American Medical Association and is not guaranteed. Providers remain responsible for compliance with all applicable billing, coding, and regulatory requirements. Forward-looking case submission expectations, reimbursement targets, and revenue estimates referenced herein are based on current program enrollment, advisor commitments, and historical payer activity, and are subject to change based on clinical scheduling, payer processing timelines, regulatory developments, and other factors. There can be no assurance that Category I designation, targeted reimbursement levels, or projected revenue levels will be achieved.
Contact:
HAYDEN IR:
James Carbonara
(646)-755-7412
james@haydenir.com
Brett Maas
(646) 536-7331
brett@haydenir.com
-- Tables Follow -
| MILESTONE SCIENTIFIC AND SUBSIDIARIES CONDENSED CONSOLIDATED BALANCE SHEETS | ||||||||
| March 31, 2026 | December 31, 2025 | |||||||
| ASSETS | ||||||||
| Current assets: | ||||||||
| Cash and cash equivalents | 1,194,424 | - | 1,112,642 | |||||
| Accounts receivable, net of allowance for credit losses of $10,000, respectively | 555,766 | 680,620 | ||||||
| Accounts receivable, related party | 22,337 | 25,548 | ||||||
| Prepaid expenses and other current assets | 676,820 | 468,792 | ||||||
| Inventories | 3,491,513 | 3,781,837 | ||||||
| Advances on contracts | 1,411,785 | 1,408,395 | ||||||
| Total current assets | 7,352,645 | 7,477,834 | ||||||
| Furniture, fixtures and equipment, net | 18,474 | 19,193 | ||||||
| Intangibles, net | 61,960 | 79,063 | ||||||
| Right of use assets finance lease | 51,255 | 55,811 | ||||||
| Right of use assets operating lease | 121,799 | 150,378 | ||||||
| Deferred financing costs | 332,671 | - | ||||||
| Other assets | 24,150 | 24,150 | ||||||
| Total assets | - | 7,962,954 | - | 7,806,429 | ||||
| LIABILITIES AND STOCKHOLDERS' EQUITY | ||||||||
| Current liabilities: | ||||||||
| Accounts payable | 2,269,296 | 1,430,250 | ||||||
| Accounts payable, related party | 992,874 | 1,359,698 | ||||||
| Accrued expenses and other payables | 1,053,535 | 995,206 | ||||||
| Accrued expenses, related party | 376,969 | 188,406 | ||||||
| Current portion of finance lease liabilities | 30,753 | 27,347 | ||||||
| Current portion of operating lease liabilities | 134,093 | 130,355 | ||||||
| Total current liabilities | 4,857,520 | 4,131,262 | ||||||
| Non-current portion of finance lease liabilities | 20,502 | 27,336 | ||||||
| Non-current portion of operating lease liabilities | - | 35,208 | ||||||
| Convertible notes payable, related parties | 800,000 | 800,000 | ||||||
| Total liabilities | - | 5,678,022 | - | 4,993,806 | ||||
| Commitments and contingencies | ||||||||
| Stockholders' equity | ||||||||
| Common stock, par value $0.001; authorized 125,000,000 shares; 80,486,449 shares issued and 80,453,116 shares outstanding as of March 31, 2026; 80,486,449 shares issued and 80,453,116 shares outstanding as of December 31, 2025; | 80,487 | 80,487 | ||||||
| Additional paid in capital | 137,731,136 | 137,418,974 | ||||||
| Accumulated deficit | (134,615,175 | - | (133,775,322 | - | ||||
| Treasury stock, at cost, 33,333 shares | (911,516 | - | (911,516 | - | ||||
| Total Milestone Scientific Inc. stockholders' equity | - | 2,284,932 | - | 2,812,623 | ||||
| Total liabilities and stockholders' equity | - | 7,962,954 | - | 7,806,429 | ||||
| MILESTONE SCIENTIFIC AND SUBSIDIARIES CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS | ||||||||
| March 31, 2026 | March 31, 2025 | |||||||
| Product sales, net | - | 2,162,033 | - | 2,232,420 | ||||
| Cost of products sold | 598,009 | 584,985 | ||||||
| Gross profit | 1,564,024 | 1,647,435 | ||||||
| Selling, general and administrative expenses | 2,372,653 | 3,256,728 | ||||||
| Research and development expenses | - | 369,120 | ||||||
| Depreciation and amortization expense | 19,454 | 19,440 | ||||||
| Total operating expenses | 2,392,107 | 3,645,288 | ||||||
| Loss from operations | (828,083 | - | (1,997,853 | - | ||||
| Interest (expense) income, net | (11,770 | - | 3,267 | |||||
| Loss before provision for income taxes | (839,853 | - | (1,994,586 | - | ||||
| Provision for income taxes | - | - | ||||||
| Net loss | - | (839,853 | - | - | (1,994,586 | - | ||
| Net loss per share applicable to common stockholders- | ||||||||
| Basic and Diluted | (0.01 | - | (0.02 | - | ||||
| Weighted average shares outstanding and to be issued- | ||||||||
| Basic and diluted | 85,041,913 | 81,854,512 | ||||||
