Nexgel Inc has announced its financial results, revealing record second-quarter revenue.
“Record second-quarter revenue of $1.17 million, an increase of 108% year-over-year, exceeded our projections,” CEO Adam Levy said in a statement. “Our contract manufacturing line of business increased 174% year-over-year, predominately due to the full quarter contribution of our joint venture with CG Laboratories as well as increased demand from our existing contract customers.”
That revenue figure compares to $561,000 in the same period of 2022. The surge in contract manufacturing helped, as did 44% higher sales of new and existing direct-to-consumer branded products.
Gross profit for the period was $175,000, up from $101,000 a year earlier.
“During the second quarter, we strategically invested in inventory and capital expenditure to improve equipment and increase capacity in anticipation of demand we expect during the second half of this year and beyond,” Levy added.
“Thus far the branded products sequential growth trend we saw in the first half of the year has continued into the current third quarter. Taking into account the investments we made during the quarter, we continue to have a sufficient runway of cash to operate and invest in accelerating our growth going forward.”
Nexgel’s net loss for the quarter was $0.13 per share, narrower than $0.19 per share in the year-ago period.
Nexgel is a leading provider of ultra-gentle, high-water-content hydrogels for healthcare and consumer applications.
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