Biomerica Reports 17% Q4 Sales Increase and Launches Medicare Billing for inFoods® IBS
Biomerica, Inc., a global biomedical technology company, reported its financial results for the fiscal year ended May 31, 2026, showing significant progress in its key initiatives and financial performance. The company saw a 17% increase in fourth-quarter net sales compared to the same period in the previous fiscal year, driven by higher contract manufacturing and inFoods revenues.
For the full fiscal year 2026, net sales amounted to approximately $4.5 million, down from $5.3 million in the previous fiscal year. The decrease in sales was primarily due to lower clinical laboratory sales, reduced over-the-counter sales from international distributors, and the completion of a prior research and development project. However, the launch of inFoods® IBS saw increased demand, despite being in the early stages of commercialization.
The company improved its net loss by 24%, reducing it to approximately $3.8 million from $5 million in the previous year. This improvement was attributed to a 23% decrease in research and development expenses, reflecting the transition of key programs such as inFoods® IBS and hp+detect™ from development to commercialization. Biomerica also noted a 27% reduction in fourth-quarter net loss, down to $1.1 million from $1.5 million the previous year.
In a significant development, Biomerica and its laboratory partner have successfully processed 100% of all initial valid Medicare claims for inFoods® IBS at the full CMS payment rate of $300. The company plans to expand Medicare billing availability to more than 200 physicians who currently use or have previously tried inFoods® IBS on a cash-pay basis.
Additionally, Biomerica secured a $1.75 million contract development and manufacturing organization (CDMO) agreement with a life sciences company. This engagement is expected to provide incremental revenue and improve utilization of the company’s existing manufacturing infrastructure, with all development work to be performed at the company’s FDA-licensed, ISO 13485-certified facility in Irvine, California.
The company also received its first commercial order for the hp+detect™ test from one of the largest clinical laboratory chains operating across Europe. Biomerica launched the inFoods® IBS Trigger Food Navigator, a comprehensive AI-backed digital companion tool designed to improve patient dietary compliance and treatment success for individuals with Irritable Bowel Syndrome (IBS).
Biomerica completed a $2.23 million financing in August 2026, raising funds from B. Riley Principal Capital, LLC, and all members of the Board of Directors. The company has also engaged B. Riley Securities, Inc. as its exclusive financial advisor to evaluate and pursue strategic opportunities, including potential acquisitions, mergers, joint ventures, and partnerships.
Notably, inFoods® IBS achieved promising results in a real-world clinical effectiveness study presented at Digestive Disease Week (DDW) 2026. Nearly 60% of IBS patients achieved clinically meaningful pain reduction, and 68% achieved bloating reduction with the inFoods® IBS Therapy. The American Medical Association and CMS established a dedicated CPT® code and a national Medicare payment rate for inFoods® IBS, opening a scalable commercialization pathway.
As of May 31, 2026, Biomerica had approximately $1.3 million in cash and cash equivalents, down from $2.4 million as of the same date in the previous year. The company remains focused on key commercial opportunities while maintaining disciplined expense management.
These developments underscore Biomerica’s strategic focus on expanding its product offerings and improving its financial performance, positioning the company for continued growth and success in the future.