BSEM

This article first appeared on GuruFocus. Revenue: $7.9 million in Q2 2026, up from $6.1 million in Q1 2026. Hospital Revenue: $6.7 million in Q2 2026, up from $5.4 million in Q1 2026. Physician Office Revenue: $1.1 million in Q2 2026, up from $772,000 in Q1 2026. Gross Profit: $4.8 million in Q2 2026, up from $3.8 million in Q1 2026. Gross Margin: 61% in Q2 2026, unchanged sequentially from Q1 2026. Operating Expenses: $13.2 million in Q2 2026, up from $12.6 million in Q1 2026. GAAP Net Loss: $9 million, or $0.52 per share, in Q2 2026, compared with net income of $10,000, or $0.00 per share, in Q2 2025. Adjusted EBITDA Loss: $4.6 million in Q2 2026, compared with adjusted EBITDA income of $2.5 million in Q2 2025. Cash and Cash Equivalents: $7 million as of June 30, 2026, down from $13.7 million as of March 31, 2026. Operating Cash Use: $5.5 million during Q2 2026. Full-Year 2026 Revenue Guidance: Raised to $26 million to $29 million, up from prior guidance of $25 million to $29 million. Warning! GuruFocus has detected 3 Warning Signs with BSEM. Is BSEM fairly valued? Test your thesis with our free DCF calculator. Release Date: August 12, 2026 For the complete transcript of the earnings call, please refer to the full earnings call transcript. BioStem Technologies Inc (NASDAQ:BSEM) successfully completed its uplisting to the Nasdaq Capital Market, enhancing visibility and access to capital markets. Hospital revenue increased sequentially to $6.7 million, reflecting strong execution of the hospital-focused strategy and expansion of the direct sales force. The company raised its full-year 2026 revenue guidance to $26-$29 million, up from the prior range of $25-$29 million, driven by continued growth in the hospital segment. BioStem Technologies Inc (NASDAQ:BSEM) received eight new US design patents for its fenestrated human placental allograft designs, strengthening product differentiation and intellectual property protection. The company is on track to launch its first 510(k) cleared product later this year, which could provide a competitive edge and support portfolio expansion. Management expects significant gross margin improvement (15-20 points) following the in-house manufacturing transfer of NEOX and CLARIX products, which is planned to begin in the first half of 2027. BioStem Technologies Inc (NASDAQ:BSEM) reported a GAAP net loss of $9 million in Q2 2026, a significant decline from net income of $10,000 in the same period last year. Cash and cash equivalents decreased sharply to $7 million as of June 30, 2026, from $13.7 million at the end of Q1, with operating cash use of $5.5 million during the quarter. The company faces a $10 million contingent consideration payment related to a milestone, which it is still working to finance, potentially leading to dilution or additional debt. Gross margin is expected to face modest pressure in the second half of 2026 due to the use of discounted pre-existing inventory, which could temporarily impact profitability. The physician office market remains weak, with management noting that one quarter of stronger results does not indicate a durable recovery, and they expect only gradual stabilization. Operating expenses increased to $13.2 million in Q2, driven by continued investment in the commercial organization, which may pressure near-term profitability. Q: Regarding the $10 million contingent consideration on the balance sheet, how should we think about this against your cash balance, and can it be paid in stock or deferred? A: Brandon Poe (CFO) confirmed the $10 million is directly related to the milestone payment for the 510(k) product. The company is actively working through payment options and has secured an extension with BioTissue. Jason Matuszewski (CEO) added that the 510(k) product is a highly value-accretive asset with significant opportunity for the commercial team. Q: You raised the lower end of the revenue guidance, but the implied second-half range of $12M-$15M seems conservative given the $14M printed in the first half. What are the push and pull factors? A: Brandon Poe (CFO) stated the company is pleased with the hospital business performance and expects sequential growth driven by sales productivity, GPO utilization, and seasonality. He noted the guidance is intentionally prudent as a newly uplisted company, but expressed excitement about the back-half outlook. Q: What are your assumptions for physician office contribution in the guidance, and what is the current breakdown of sales by procedure type? A: Brandon Poe (CFO) expects physician office to remain 10%-15% of the business, with hospital at 85%-90%. Barry Hassett (CCO) detailed that NEOX (wound care) and CLARIX (surgical) are well distributed, with foot and ankle, orthopedics, and urology as primary drivers, while colorectal and women's health are emerging growth areas for 2027. Q: How many gross margin points could you capture from the technology transfer, given the current 61% margin? A: Brandon Poe (CFO) indicated the company could add 15-20 points to gross margin, potentially reaching the 70s or higher, once manufacturing is brought in-house. He cited the company's efficient manufacturing setup and experience with its own products as key drivers of this expectation. Q: Are you still on track to reach 40 sales reps by year-end, and where are you in that process? A: Barry Hassett (CCO) confirmed the company is on plan, currently with 30 direct reps and 5 regional directors, and on target to hit the 40-rep goal by the end of the year. Q: Is the VLU study data still expected to be published in the second half of 2026? A: Barry Hassett (CCO) confirmed the company is on target to publish the top-line VLU data in the back end of 2026, expressing high confidence in the timeline. Q: Can you elaborate on the progress of the commercial integration and the launch of the new CRM system? A: Jason Matuszewski (CEO) detailed that the core commercial infrastructure is now in place, with the transition services agreement with BioTissue concluded. The new CRM platform, integrated with the ERP system, automates order processing, invoicing, and collections, providing better visibility into account activity and sales performance. Q: What is the status of the technology transfer for NEOX and CLARIX manufacturing, and what are the expected benefits? A: Jason Matuszewski (CEO) stated the company remains on track to initiate the transfer in the first half of 2027, with minimal capital expenditures required. The in-house manufacturing is expected to improve operating leverage and drive significant increases in gross margin and profitability, with product continuity maintained under the existing supply agreement during the transition. For the complete transcript of the earnings call, please refer to the full earnings call transcript.

Interested in BioStem Technologies, Inc.? Here are five stocks we like better. Second-quarter revenue rose to $7.9 million from $6.1 million in the first quarter, driven by hospital revenue growth to $6.7 million and increased physician-office sales. BioStem raised the low end of its 2026 revenue outlook to $26 million-$29 million. BioStem is shifting toward a hospital-focused model, expanding its sales force, GPO access and adoption of its Neox, Clarix and VENDAJE products. The company also completed its Nasdaq uplisting, which management expects to improve visibility and capital-market access. The company reported a $9 million GAAP net loss and ended the quarter with $7 million in cash after $5.5 million of operating cash use. Management plans to move Neox and Clarix manufacturing in-house in the first half of 2027, potentially adding 15-20 percentage points to gross margins, while evaluating financing options for a $10 million contingent payment. BioStem Technologies (OTCMKTS:BSEM) reported second-quarter revenue of $7.9 million as the company continued its transition to a predominantly hospital-focused commercial model. Revenue increased from $6.1 million in the first quarter, supported by higher hospital sales, expanded commercial coverage and a full quarter of contribution from its acquired business. Hospital revenue rose sequentially to $6.7 million from $5.4 million in the first quarter, while physician office revenue increased to $1.1 million from $772,000. Chief Executive Officer Jason Matuszewski said the second quarter was the company’s first full quarter operating primarily as a hospital-focused business. → AST SpaceMobile Earnings Just Reminded Investors How Risky Space Can Be “During the quarter, we increased hospital revenue sequentially to $6.7 million, completed the implementation of BioStem's own customer relationship management system, and continued building the commercial organization needed to support our growth strategy,” Matuszewski said. After the quarter ended, BioStem completed its uplisting to the Nasdaq Capital Market, with its common stock beginning trading on Nasdaq on Aug. 7. Matuszewski said the listing expands the company’s visibility and access to capital markets while supporting talent recruitment and retention. → Nebius’ Q2 Beat Shows the AI Bottleneck Is Capacity, Not Demand BioStem is concentrating its commercial resources on hospital adoption of its Neox, Clarix and VENDAJE product lines. Chief Commercial Officer Barry Hassett said the products serve surgical and wound-care applications including urology, orthopedics, spine, women’s health, foot and ankle, colorectal surgery, and acute and chronic wound care. The company estimates these applications represent a $26 billion addressable market. The company is seeking to add surgeons and hospital accounts while increasing utilization among existing users. Hassett said BioStem remains on track to have more than 40 W-2 sales representatives and more than 30 independent sales agents by year-end. At the time of the call, the company had 30 direct representatives and five regional directors. → Apple’s Next iPhone Could Test How Much Pricing Power Is Left BioStem has group purchasing organization agreements that provide access to member facilities representing more than 70% of U.S. hospital beds, according to Hassett. The company is working to add the VENDAJE line to applicable GPO contracts. The company also introduced its BioRetain dry products to the hospital sales organization during the quarter. It completed the first phase of a customer relationship management platform integrated with its enterprise resource planning system, bringing sales logistics, operational support, invoicing and collections in-house after operating under a transition services agreement with BioTissue. Hassett said the company received eight U.S. design patents during the quarter related to fenestrated human placental allograft designs. He also said BioStem expects to launch its first 510(k)-cleared product later in 2026. BioStem expects to publish additional results from its diabetic foot ulcer, or DFU, study in coming months. The company also expects top-line published data from its venous leg ulcer, or VLU, study in the second half of 2026. Hassett told an analyst that the company remains on target to publish the VLU data late in the year. The company is preparing to transfer manufacturing of the Neox and Clarix product lines to its own facilities during the first half of 2027. Matuszewski said the products can be made in BioStem’s existing facility with minimal capital expenditures. Management expects the manufacturing transfer to improve operating leverage, gross margin and profitability after it is completed. Product continuity is expected to be maintained through the company’s manufacturing and supply agreement with BioTissue during the transition. Chief Financial Officer Brandon Poe said current gross margin of 61% reflects the hospital business’s use of BioTissue as an outsourced supplier. In response to an analyst question, Poe said the company could potentially add 15 to 20 percentage points of margin after production moves in-house, though he said management’s expectations are higher over time. Gross profit was $4.8 million in the second quarter, compared with $3.8 million in the first quarter, while gross margin remained 61%. Poe said the company expects modest gross-margin pressure in the second half as it works through preexisting Neox and Clarix inventory acquired at pricing below the supply agreement rate. Operating expenses totaled $13.2 million, up from $12.6 million in the first quarter, primarily reflecting investments in the commercial organization and supporting infrastructure. BioStem reported a GAAP net loss of $9 million, or $0.52 per share, compared with net income of $10,000, or $0.00 per share, in the second quarter of 2025. Adjusted EBITDA loss was $4.6 million, compared with adjusted EBITDA income of $2.5 million a year earlier. Cash and cash equivalents were $7 million as of June 30, down from $13.7 million at March 31. Operating cash use was $5.5 million during the quarter, and the company completed a $2.5 million institutional financing. During the question-and-answer session, Poe said the company was working through options to meet a $10 million contingent consideration payment related to a milestone. He said BioStem had obtained an extension from BioTissue and was evaluating financing alternatives, including non-dilutive options, to support its growth plans. BioStem raised the lower end of its full-year 2026 revenue outlook, now forecasting revenue of $26 million to $29 million, compared with prior guidance of $25 million to $29 million. The company expects sequential hospital revenue growth through the year as sales representative productivity improves, GPO utilization expands and elective surgical procedures seasonally increase in the second half. Management expects physician office revenue to account for roughly 10% to 15% of the business going forward, with hospital sales representing approximately 85% to 90%. While physician office results were stronger than expected in the quarter, the company said it continues to anticipate only a gradual recovery in that market during the second half of 2026. BioStem Technologies, Inc, a life sciences corporation, focuses on discovering, developing, and producing pharmaceutical and regenerative medicine products and services. It develops various biologic stem cell based alternative products, as a treatment for ailments, such as joint pain, tendon and ligament injuries, neurodegenerative, and autoimmune diseases. The company is also engages in the repackaging and distribution of active pharmaceutical ingredients and other pharmaceutical compounding supplies; and develops and markets nutraceutical products under the Dr. This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to [email protected]. The article "BioStem Technologies Q2 Earnings Call Highlights" was originally published by MarketBeat. View MarketBeat's top stocks for August 2026.

Generates 29% sequential revenue growth, increasing to $7.9 million;Raises full-year 2026 revenue guidanceUplists to Nasdaq Capital Market POMPANO BEACH, Fla., Aug. 12, 2026 (GLOBE NEWSWIRE) -- BioStem Technologies, Inc. (Nasdaq: BSEM), a leading regenerative medicine company focused on the development, manufacturing, and commercialization of perinatal tissue allograft products, today reported financial results for the second quarter ended June 30, 2026. Recent Corporate Highlights Completed the uplisting of the Company’s common stock to the Nasdaq Capital Market on August 7, 2026 Completed a $2.5 million private placement with the Company’s first institutional investor Recent Business Highlights Generated net revenue of $7.9 million for the second quarter of 2026, representing sequential growth of 29% from $6.1 million in the first quarter of 2026 Continued to scale the commercial organization, expanding the direct sales force, integrating the CRM and ERP systems, and transitioning all major group purchasing organization (GPO) agreements to broaden access across hospital systems nationwide Issued eight new U.S. design patents covering fenestrated human placental allograft technology, further expanding the Company’s intellectual property portfolio “The recent completion of our uplisting to Nasdaq was a monumental capital markets milestone for BioStem. This achievement enhances our visibility, broadens our access to institutional capital, and reflects the significant work our team has done to strengthen the foundation of the Company," said Jason Matuszewski, Chair and CEO of BioStem. "The second quarter marked a period of meaningful execution as we advanced the integration of new assets into our business, expanded our commercial organization, and strengthened the platform needed to support long-term growth. This progress, alongside our capital markets achievements, positions us well to sustained long-term growth.” Second Quarter 2026 Financial Results Net revenue was $7.9 million, compared to $6.1 million in the first quarter of 2026 and $11.0 million in the second quarter of 2025. Revenue for the second quarter was primarily driven by Neox® and Clarix® product sales. Hospital revenue was $6.7 million compared to $5.7 million in the first quarter of 2026, and physician office revenue was $1.1 million in the second quarter compared to $0.8 million in the first quarter of 2026. Gross profit was $4.8 million, representing a gross margin of 61%, compared to $3.8 million and 61% in the first quarter of 2026, and $10.3 million and 94% in the second quarter of 2025. The sequential increase in gross profit was driven by higher revenue, while gross margin remained flat sequentially. Operating expenses totaled $13.2 million, compared to $12.6 million in the first quarter of 2026 and $10.2 million in the second quarter of 2025. The sequential increase was driven primarily by our expanding commercial team and infrastructure, partly offset by lower clinical trial and administrative spend. GAAP net loss was ($9.0) million, or ($0.52) per share, compared to $10,613, or $0.00 per share, in the second quarter of 2025. Adjusted EBITDA loss was ($4.6) million, compared to $ 2.5 million in the second quarter of 2025. As of June 30, 2026, cash and cash equivalents totaled $7.0 million, compared to $13.7 million as of the end of the first quarter of 2026. Cash used in operations in the second quarter was $5.5 million. During the quarter, the company closed a $2.5 million private financing and resolved $5.3 million in outstanding debt through a $3.5 million cash payment and the issuance of a $1.0 million promissory note. 2026 Financial Outlook BioStem expects its revenue for full year 2026 to be in the range of $26 million to $29 million, an increase from our prior guidance of $25 million to $29 million. Conference Call & Webcast Information: Conference ID: 9695874 North America Toll-Free: (800) 715-9871 International Toll: +1 (646) 307-1963 Webcast Link: https://events.q4inc.com/attendee/199151484 About BioStem Technologies, Inc. (Nasdaq: BSEM): BioStem Technologies, Inc. is a publicly traded, biomedical innovator, focused on developing, manufacturing and commercializing advanced allograft solutions derived from perinatal tissue. The company leverages its industry-leading proprietary BioRetain®, CryoTek® and SteriTek® processing technologies, designed to optimize the preservation of the natural properties of these tissues, supporting their use in clinical settings. Its allografts are used by clinicians across a wide range of specialties. With a growing portfolio of products, expanding clinical research initiatives, and a national commercial footprint, BioStem is committed to advancing innovation in regenerative medicine. BioStem Technologies’ quality management system and standard operating procedures have been reviewed and accredited by the Association for Advancing Tissue and Biologics (“AATB”). These systems and procedures are established in compliance with current Good Tissue Practices (“cGTP”) and current Good Manufacturing Practices (“cGMP”). BioStem’s portfolio of quality brands includes its Neox®, Clarix®, VENDAJE® and American Amnion™ product lines. Join BioStem’s Distribution List & Social Media:To follow the latest developments at BioStem, sign up for the Company’s email distribution list HERE, and follow us on X and LinkedIn. Forward-Looking Statements:Certain statements in this press release may be considered “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995. Forward-looking statements generally relate to expectations or forecasts of future events including with respect to the operations of the Company, strategies, prospects, and other aspects of the business of the Company. Forward-looking statements may be identified using words such as “forecast,” “intend,” “seek,” “target,” “anticipate,” “believe,” “expect,” “estimate”, “plan,” “outlook,” and “project” and other similar expressions that predict or indicate future events or trends or that are not statements of historical fact. Forward-looking statements in this release include, among other things, statements regarding: the Company’s expectations regarding its financial and operational strength and diversity; the Company’s expectations regarding the benefits and integration of the acquired BioTissue assets; the Company’s expectations regarding its ability to navigate the evolving reimbursement landscape; the Company’s expectations regarding its ability to execute on its strategic plans, including expanding its salesforce; the Company’s expectations regarding its ability to uplist to Nasdaq; the Company’s expectations regarding second half and full year 2026 financial results; and the Company’s expectations regarding its ability to grow and the market penetration of the Company’s products. Forward-looking statements with respect to the operations of the Company, strategies, prospects and other aspects of the business of the Company are based on current expectations that are subject to known and unknown risks and uncertainties, which could cause actual results or outcomes to differ materially from expectations expressed or implied by such forward-looking statements. These factors include, but are not limited to: the impact of any changes to the reimbursement levels for the Company’s products; significant and continuing competition, which could adversely affect the Company’s business, results of operations and financial condition; rapid technological change, which could cause the Company’s products to become outdated or obsolete, harming the Company’s ability to effectively compete; the Company’s ability to convince physicians that its products are safe and effective alternatives to existing treatments and that its products should be used in their procedures; the risk that the Company may be unable to successfully market its products to the end users of such products; the impact of any changes to the accounting treatment of the Company’s revenue and expenses; the Company’s ability to obtain financing on terms acceptable to it, or at all; the Company has incurred significant losses since inception and may incur losses in the future; the impact of any changes in applicable laws or regulations; the Company's accounts receivable collection risk and concentration; the Company’s ability to maintain production of its products in sufficient quantities to meet demand; and the possibility that the Company may be adversely affected by other general economic, business, and/or competitive factors. There may be additional risks about which the Company is presently unaware of or that the Company currently believes are immaterial that could also cause actual results to differ from those contained in the forward-looking statements. You are cautioned not to place undue reliance upon any forward-looking statements, which speak only as of the date made. The Company undertakes no duty to update or revise the forward-looking statements, whether as a result of new information, future events or otherwise, except as required by law. Contact BioStem:Website: www.biostemtechnologies.comE-Mail: [email protected]: @BSEM_TechFacebook: BioStemTechnologiesPhone: 954-380-8342 Investor Relations:Philip Trip Taylor, Gilmartin [email protected] Public Relations:Jennifer Horton, [email protected] Non-GAAP Financial Measures: Our management uses financial measures that are not in accordance with generally accepted accounting principles in the United States, or GAAP, in addition to financial measures in accordance with GAAP to evaluate our operating results. These non-GAAP financial measures should be considered supplemental to, and not a substitute for, our reported financial results prepared in accordance with GAAP. Our management uses Adjusted EBITDA, which we calculate as net income less interest, taxes, depreciation and amortization, share-based compensation expense, and transaction related costs, to evaluate our operating performance and trends and make planning decisions. Our management believes Adjusted EBITDA helps identify underlying trends in our business that could otherwise be masked by the effect of the items that we exclude. Accordingly, we believe that Adjusted EBITDA provides useful information to investors and others in understanding and evaluating our operating results, enhancing the overall understanding of our past performance and future prospects, and allowing for greater transparency with respect to key financial metrics used by our management in its financial and operational decision-making. The following is a reconciliation of GAAP net (loss) income to non-GAAP EBITDA and non-GAAP Adjusted EBITDA for each of the periods presented:

Conference call and webcast to be held at 4:30 PM ET POMPANO BEACH, Fla., July 29, 2026 (GLOBE NEWSWIRE) -- BioStem Technologies Inc. (OTC: BSEM) (“BioStem” or the “Company”), a leading regenerative medicine company focused on the development, manufacturing, and commercialization of perinatal tissue allograft products, today announces it will release its second quarter 2026 financial results on Wednesday, August 12, 2026, and will host a conference call and webcast at 4:30 PM ET. The webcast will feature an overview of the quarter from BioStem Technologies management. To register for the event, please click HERE. Conference Call & Webcast Information: Conference ID: 9695874 North America Toll-Free: (800) 715-9871 International Toll: +1 (646) 307-1963 Webcast Link: https://events.q4inc.com/attendee/199151484 About BioStem Technologies, Inc. (OTC: BSEM): BioStem Technologies, Inc. is a publicly traded, biomedical innovator, focused on developing, manufacturing and commercializing advanced allograft solutions derived from perinatal tissue. The company leverages its industry-leading proprietary BioRetain®, CryoTek® and SteriTek® processing technologies, designed to optimize the preservation of the natural properties of these tissues, supporting their use in clinical settings. Its allografts are used by clinicians across a wide range of specialties. With a growing portfolio of products, expanding clinical research initiatives, and a national commercial footprint, BioStem is committed to advancing innovation in regenerative medicine. BioStem Technologies’ quality management system and standard operating procedures have been reviewed and accredited by the American Association of Tissue Banks (“AATB”). These systems and procedures are established in compliance with current Good Tissue Practices (“cGTP”) and current Good Manufacturing Practices (“cGMP”). BioStem’s portfolio of quality brands includes its Neox®, Clarix®, VENDAJE® and American Amnion™ product lines. Join BioStem’s Distribution List & Social Media:To follow the latest developments at BioStem, sign up for the Company’s email distribution list HERE, and follow us on X and LinkedIn. Contact BioStem:Website: www.biostemtechnologies.comE-Mail: [email protected]: @BSEM_TechFacebook: BioStemTechnologiesPhone: 954-380-8342 Investor Relations:Philip Trip Taylor, Gilmartin [email protected] Public Relations:Jennifer Horton, [email protected]

Interested in BioStem Technologies, Inc.? Here are five stocks we like better. BioStem’s Q1 2026 marked a major strategic shift after a late-January acquisition pushed the company’s focus from physician offices toward the hospital market, adding new products, hospital customers and GPO contracts. Quarterly revenue was $6.1 million, above prior guidance but down sequentially from Q4; hospital sales drove most of the results, while cash fell to $13.7 million mainly due to the acquisition payment. The company initiated full-year 2026 revenue guidance of $25 million to $29 million and said growth should come from an expanded hospital sales force, deeper GPO penetration, and a planned in-house manufacturing transfer that could improve margins in 2027. BioStem Technologies (OTCMKTS:BSEM) said its first quarter of 2026 marked a major shift in its business model following a late-January acquisition that moved the company’s focus from physician offices toward the hospital market. Chairman and Chief Executive Officer Jason Matuszewski called the quarter “a transformational period,” saying the acquisition added a portfolio of perinatal tissue allografts, an experienced sales organization, hospital customers and major group purchasing organization contracts. He said the transaction expanded BioStem’s addressable market and increased its exposure to commercially insured patient populations. → Micron Investors Face a High-Stakes Moment After the Latest Rally “Our strategic focus is now centered on the hospital channel, where we believe we can drive broader adoption and long-term growth,” Matuszewski said. Chief Financial Officer Brandon Poe said first-quarter revenue totaled $6.1 million, down from $10.1 million in the prior quarter but above the company’s prior guidance range of $5 million to $6 million. Revenue was primarily driven by sales of Neox and Clarix products in the hospital market. → How Bad Could Tesla’s Cybertruck Recall Be for Shares? Hospital revenue was $5.4 million during the quarter, while physician office revenue was $772,000. Poe said the hospital revenue matched the performance of the acquired assets during the comparable 70-day period in the first quarter of 2025, adjusted for the Jan. 21 acquisition close date. Gross profit was $3.8 million, representing a gross margin of 61%, compared with $9.8 million and a 97% margin in the prior period. Poe said the sequential margin decline reflected the shift toward Neox and Clarix products covered under a manufacturing supply agreement. → How Berkshire’s New York Times Bet Looks Today Operating expenses were $12.6 million, down from $17.3 million in the prior quarter. Poe said the decline was mainly due to bad debt expense recorded in the fourth quarter of 2025, partly offset by the acquired workforce and one-time expenses related to the acquisition and uplisting process. BioStem ended the quarter with $13.7 million in cash and cash equivalents, compared with $29.5 million at the end of 2025. Poe said the decline primarily reflected the $15 million upfront purchase price paid for the acquisition. Chief Commercial Officer Barry Hassett said BioStem has expanded its direct sales team to 35 people from 18 at the time of the acquisition, while also adding a network of more than 30 independent sales agents. The company expects to reach at least 40 direct representatives by year-end. Hassett said the team will target hospital call points across surgical and wound care applications, including orthopedics, women’s health, spine, urology, colorectal procedures and chronic wound care. The company said all major GPO agreements from the acquired business have been reassigned to BioStem without disruption. Hassett said those agreements give the company access to hospital systems and other care settings, while also allowing BioStem to add its VENDAJE brand across existing contracts. In the second quarter, BioStem plans to equip its hospital sales team with the expanded VENDAJE product portfolio, which management said could create incremental revenue opportunities within existing accounts. BioStem initiated full-year 2026 revenue guidance of $25 million to $29 million. Poe said the forecast reflects the integration of the acquired hospital assets, ongoing disruption in the physician office market and the transformative nature of the acquisition. Management expects the second quarter to represent the company’s first full quarter with the combined business and said it anticipates sequential growth during the year. Poe said revenue growth in the hospital business is expected to come from sales representative additions, productivity ramping, deeper use of GPO contracts and the introduction of BioRetain dry products to the hospital sales team. Poe said the first quarter has historically been the softest quarter for the hospital business because many patients begin the year with fresh deductibles, leading to deferrals of elective procedures into later quarters. He said that second-half weighting may be more pronounced in 2026 as new sales hires ramp. On the physician office side, Poe said CMS reimbursement changes continue to cause disruption. In response to an analyst question, management said clinicians remain cautious because of payment changes, audits and potential clawbacks, but the company still sees potential stabilization later in the year. BioStem said its manufacturing and supply agreement with BioTissue extends for up to 36 months after the acquisition close, providing product continuity during the transition. Matuszewski said the company’s objective is to complete a technology transfer and bring manufacturing of Neox and Clarix products in-house, targeting approximately 12 months after closing and remaining on track for the first half of 2027. Management said bringing manufacturing in-house would eliminate a cost-plus markup under the current agreement, creating an estimated gross margin benefit of roughly 7.5 percentage points. Poe said that benefit would be partially offset by a 7% royalty on internally manufactured Neox and Clarix products, up to $15 million, but said internal efficiencies could provide additional upside over time. During the question-and-answer session, Poe said margins could be “well above 60%” after the transfer, while noting that BioStem has achieved gross margins of about 85% with its existing VENDAJE business. Matuszewski said BioStem has confidentially submitted its Form 10 to the SEC after completing its 2024 and 2025 audits, calling it an important step toward the company’s goal of uplisting to Nasdaq. In response to a shareholder question, Poe said the filing was made in mid-April and that the company expected initial SEC comments “any day.” BioStem also said it expects clearance of its first 510(k) product “in the near future,” followed by a planned launch in the second half of the year. Management said it is evaluating regulatory pathways, including 510(k) and biologics license application routes, as part of a longer-term strategy to move products beyond the current 361 HCT/P framework. Matuszewski said BioStem expects 2026 to be “a year of execution and sequential improvement,” with the company focused on hospital utilization, sales force productivity, GPO penetration, product development and the planned manufacturing transfer. BioStem Technologies, Inc, a life sciences corporation, focuses on discovering, developing, and producing pharmaceutical and regenerative medicine products and services. It develops various biologic stem cell based alternative products, as a treatment for ailments, such as joint pain, tendon and ligament injuries, neurodegenerative, and autoimmune diseases. The company is also engages in the repackaging and distribution of active pharmaceutical ingredients and other pharmaceutical compounding supplies; and develops and markets nutraceutical products under the Dr. This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to [email protected]. The article "BioStem Technologies Q1 Earnings Call Highlights" was originally published by MarketBeat. View MarketBeat's top stocks for May 2026.

This article first appeared on GuruFocus. Release Date: May 14, 2026 For the complete transcript of the earnings call, please refer to the full earnings call transcript. BioStem Technologies Inc (BSEM) completed a significant acquisition in January 2026, transitioning from a physician office-focused business to a hospital-focused business, which is expected to drive long-term growth. The acquisition added a new portfolio of perinatal tissue allografts and expanded the company's addressable market, increasing exposure to commercially insured patient populations. BioStem Technologies Inc (BSEM) has confidentially submitted its Form 10 to the SEC, aiming for an uplisting to NASDAQ, which could enhance visibility, attract top talent, and improve trading liquidity. The company has successfully retained the acquired sales team with limited turnover and nearly doubled the size of its direct sales team, positioning it for increased utilization and new customer acquisition. BioStem Technologies Inc (BSEM) has established major GPO contracts, providing favorable access to hospital systems and expanding its product portfolio within those accounts. The company experienced a sequential decrease in gross margin from 97% to 61% due to the product shift to Neox and Clarix products under the manufacturing supply agreement. Operating expenses for the first quarter were $12.6 million, driven by the addition of the acquired workforce and one-time expenses related to the acquisition and uplisting process. The physician office market continues to face disruptions due to CMS reimbursement changes and aggressive auditing, causing clinicians to hesitate in treating patients in that setting. BioStem Technologies Inc (BSEM) anticipates a decline in gross margins during the year as it works through pre-existing inventory purchased at a discount. The company faces challenges in integrating and scaling its commercial organization, with new hires taking time to ramp up to full productivity. Warning! GuruFocus has detected 3 Warning Signs with BSEM. Is BSEM fairly valued? Test your thesis with our free DCF calculator. Q: Can you elaborate on the focus shift from the physician office to the hospital market and how you plan to address disruptions in the physician office sector? A: Unidentified_4 (Chief Commercial Officer): The disruptions in the physician office sector are due to CMS payment changes and aggressive auditing, causing clinicians to hesitate in treating patients in that setting. We expect some patient treatment to shift back to the hospital outpatient setting, where reimbursement has improved. Our GPO agreements position us well to capitalize on this shift. Q: Regarding your guidance of $25 to $29 million for 2026, what are the key drivers for achieving this target? A: Unidentified_5 (Chief Financial Officer): The hospital business is seasonal, with sequential growth expected throughout the year. The integration of the hospital business into BioStem, minimal disruption, and the ramp-up of new hires will provide momentum. We expect sequential growth in Q2 and beyond, driven by our investments in the business and comprehensive medical education programs. Q: What are the milestones for the technology transfer, and what gross margin improvements do you anticipate once it's completed? A: Unidentified_3 (CEO): The major milestone is utilizing BioTissue's CDMO services for the first 12 months post-acquisition. We aim to transition manufacturing in-house by the first half of 2027. Unidentified_5 (CFO): We expect margins to be well above 60% post-transfer, with potential to reach 85% as we optimize efficiencies. Q: Can you provide more details on the direct sales force hiring and expected productivity? A: Unidentified_4 (CCO): We are hiring reps with hospital and OR experience, some with skin substitute experience. Productivity is expected to ramp up in six to twelve months, as reps generate clinical interest and navigate VAC approval processes. Our GPO agreements facilitate initial access to hospitals. Q: What is the status of the Form 10 filing, and how does it relate to the uplisting process? A: Unidentified_5 (CFO): We filed the Form 10 in mid-April and expect comments from the SEC soon. The Form 10 is a significant step in registering shares, which is necessary for the uplisting process. We are progressing with our planned uplist. For the complete transcript of the earnings call, please refer to the full earnings call transcript.

POMPANO BEACH, Fla., May 14, 2026 (GLOBE NEWSWIRE) -- BioStem Technologies, Inc. (OTC: BSEM), a leading regenerative medicine company focused on the development, manufacturing, and commercialization of perinatal tissue allograft products, today reported financial results for the first quarter ended March 31, 2026. Recent Financial and Business Highlights Generated net revenue of $6.1 million for the first quarter 2026 Progressed integration initiatives following the BioTissue assets acquisition including reassignment of all GPO contracts Expanded direct sales force to 35 representatives, up from 18 at the close of the BioTissue assets acquisition Strengthened leadership team with appointment of Katherine Gorrell as Chief Legal and Compliance Officer Retired outstanding debt with GMA to resolve two existing promissory notes, with an aggregate principal amount of $3 million and accrued interest of $2.3M Advanced capital markets strategy with the completion of audited financial statements for 2024 and 2025; progressing toward planned Nasdaq uplisting "The first quarter of 2026 marked the beginning of a strategic transformation for BioStem, as we completed our acquisition of the surgical and wound care assets from BioTissue and repositioned the company as a fully integrated, hospital-focused commercial organization. To best leverage these new resources in alignment with what we see as our most attractive market opportunity, the majority of our focus is now being prioritized on the hospital market. During the quarter, we expanded our presence across hospital-based settings, increased exposure to commercially insured patients, and made strong progress on key priorities including commercial integration," said Jason Matuszewski, Chairman and CEO of BioStem. "In addition, we continue to advance our capital markets strategy as we progress toward our Nasdaq uplisting. We believe that our achievements in the first quarter have built a foundational platform from which we can deliver durable growth over the long-term." Nasdaq Uplisting Update The Company issued its audited financial statements for both 2024 and 2025 during the first quarter of 2026. The Company plans to continue moving forward with the next steps required for Nasdaq uplisting and expects to provide updates as additional milestones are reached. First Quarter 2026 Financial Results Net revenue was $6.1 million, compared to $10.1 million in the fourth quarter of 2025 and $16.0 million in the first quarter of 2025. Revenue for the first quarter was primarily driven by Neox® and Clarix® product sales. Hospital revenue represented approximately 87% of total revenue, or $5.4 million, and physician office revenue contributed $0.8 million. Gross profit was $3.8 million, representing a gross margin of 61%, compared to $9.8 million and 97% in the fourth quarter of 2025, and $15.1 million and 95% in the first quarter of 2025. The sequential decrease in gross margin reflects the mix shift to the Neox® and Clarix® products which are subject to the cost-plus markup under the current manufacturing supply agreement. The company expects gross margin to improve significantly upon the completion of the planned manufacturing technology transfer in 2027. Operating expenses totaled $12.6 million, compared to $17.3 million in the fourth quarter of 2025 and $9.9 million in the first quarter of 2025. The sequential decline is primarily driven by the bad debt expense recorded in the fourth quarter of 2025 partly offset by the addition of the acquired workforce and expenses related to the BioTissue assets transaction and the uplist process. GAAP net loss was ($8.8 million) or ($0.52) per share, compared to net income of $3.9 million or $0.23 per share in the first quarter of 2025. Adjusted EBITDA was ($5.7 million), compared to $7.8 million in the first quarter of 2025. As of March 31, 2026, cash and cash equivalents totaled $13.7 million, compared to $29.5 million at the end of the fourth quarter of 2025. 2026 Financial Outlook BioStem expects its revenue for full year 2026 to be in the range of $25 million to $29 million. In the second half of the year, with continuing integration of the acquired BioTissue assets, expansion of its salesforce and execution of its strategic plan, the Company expects to drive sequential growth in the hospital business. As the physician office market begins to stabilize, the Company expects sequential revenue growth in that business in the second half of 2026. Conference Call & Webcast Information: Conference ID: 9695874 North America Toll-Free: (800) 715-9871 International Toll: +1 (646) 307-1963 Webcast Link: https://events.q4inc.com/attendee/844730655 About BioStem Technologies, Inc. (OTC: BSEM): BioStem Technologies is a publicly traded biomedical innovator, focused on developing, manufacturing and commercializing advanced allograft solutions derived from perinatal tissue. The company leverages its industry-leading proprietary BioRetain®, CryoTek® and SteriTek® processing technologies, designed to optimize the preservation of the natural properties of these tissues, supporting their use in clinical settings. Its allografts are used by clinicians across a wide range of specialties. With a growing portfolio of products, expanding clinical research initiatives, and a national commercial footprint, BioStem is committed to advancing innovation in regenerative medicine. BioStem Technologies’ quality management system and standard operating procedures have been reviewed and accredited by the American Association of Tissue Banks (“AATB”). These systems and procedures are established in compliance with current Good Tissue Practices (“cGTP”) and current Good Manufacturing Processes (“cGMP”). BioStem’s portfolio of quality brands includes its Neox®, Clarix®, VENDAJE® and American Amnion™ product lines. Join BioStem’s Distribution List & Social Media: To follow the latest developments at BioStem, sign up for the Company’s email distribution list HERE, and follow us on X and LinkedIn. Forward-Looking Statements: Certain statements in this press release may be considered “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995. Forward-looking statements generally relate to expectations or forecasts of future events including with respect to the operations of the Company, strategies, prospects, and other aspects of the business of the Company. Forward-looking statements may be identified using words such as “forecast,” “intend,” “seek,” “target,” “anticipate,” “believe,” “expect,” “estimate”, “plan,” “outlook,” and “project” and other similar expressions that predict or indicate future events or trends or that are not statements of historical fact. Forward-looking statements in this release include, among other things, statements regarding: the Company’s expectations regarding its financial and operational strength and diversity; the Company’s expectations regarding the benefits and integration of the acquired BioTissue assets; the Company’s expectations regarding its ability to navigate the evolving reimbursement landscape; the Company’s expectations regarding its ability to execute on its strategic plans, including expanding its salesforce; the Company’s expectations regarding its ability to uplist to Nasdaq; the Company’s expectations regarding second half and full year 2026 financial results; and the Company’s expectations regarding its ability to grow and the market penetration of the Company’s products. Forward-looking statements with respect to the operations of the Company, strategies, prospects and other aspects of the business of the Company are based on current expectations that are subject to known and unknown risks and uncertainties, which could cause actual results or outcomes to differ materially from expectations expressed or implied by such forward-looking statements. These factors include, but are not limited to: the impact of any changes to the reimbursement levels for the Company’s products; significant and continuing competition, which could adversely affect the Company’s business, results of operations and financial condition; rapid technological change, which could cause the Company’s products to become outdated or obsolete, harming the Company’s ability to effectively compete; the Company’s ability to convince physicians that its products are safe and effective alternatives to existing treatments and that its products should be used in their procedures; the risk that the Company may be unable to successfully market its products to the end users of such products; the impact of any changes to the accounting treatment of the Company’s revenue and expenses; the Company’s ability to obtain financing on terms acceptable to it, or at all; the Company has incurred significant losses since inception and may incur losses in the future; the impact of any changes in applicable laws or regulations; the Company's accounts receivable collection risk and concentration; the Company’s ability to maintain production of its products in sufficient quantities to meet demand; and the possibility that the Company may be adversely affected by other general economic, business, and/or competitive factors. There may be additional risks about which the Company is presently unaware of or that the Company currently believes are immaterial that could also cause actual results to differ from those contained in the forward-looking statements. You are cautioned not to place undue reliance upon any forward-looking statements, which speak only as of the date made. The Company undertakes no duty to update or revise the forward-looking statements, whether as a result of new information, future events or otherwise, except as required by law. Contact BioStem: Website: www.biostemtechnologies.com E-Mail: [email protected] X: @BSEM_Tech Facebook: BioStemTechnologies Phone: 954-380-8342 Investor Relations: Philip Trip Taylor, Gilmartin E-Mail: [email protected] Public Relations: Jennifer Horton, Relevance [email protected] Non-GAAP Financial Measures: Our management uses financial measures that are not in accordance with generally accepted accounting principles in the United States, or GAAP, in addition to financial measures in accordance with GAAP to evaluate our operating results. These non-GAAP financial measures should be considered supplemental to, and not a substitute for, our reported financial results prepared in accordance with GAAP. Our management uses Adjusted EBITDA, which we calculate as net income less interest, taxes, depreciation and amortization, share-based compensation expense, and transaction related costs, to evaluate our operating performance and trends and make planning decisions. Our management believes Adjusted EBITDA helps identify underlying trends in our business that could otherwise be masked by the effect of the items that we exclude. Accordingly, we believe that Adjusted EBITDA provides useful information to investors and others in understanding and evaluating our operating results, enhancing the overall understanding of our past performance and future prospects, and allowing for greater transparency with respect to key financial metrics used by our management in its financial and operational decision-making. The following is a reconciliation of GAAP net (loss) income to non-GAAP EBITDA and non-GAAP Adjusted EBITDA for each of the periods presented:

Conference call and webcast to be held at 4:30 PM ET POMPANO BEACH, Fla., April 30, 2026 (GLOBE NEWSWIRE) -- BioStem Technologies, Inc. (OTC: BSEM), a leading regenerative medicine company focused on the development, manufacturing, and commercialization of perinatal tissue allograft products, today announces it will release its first quarter 2026 financial results on Thursday, May 14, 2026, and will host a conference call and webcast at 4:30 PM ET. The webcast will feature an overview of the quarter from BioStem Technologies management. To register for the event, please click HERE. Conference Call & Webcast Information: Conference ID: 9695874 North America Toll-Free: (800) 715-9871 International Toll: +1 (646) 307-1963 Webcast Link: https://events.q4inc.com/attendee/844730655 About BioStem Technologies, Inc. (OTC: BSEM): BioStem Technologies is a publicly traded, biomedical innovator, focused on developing, manufacturing and commercializing advanced allograft solutions derived from perinatal tissue. The company leverages its industry-leading proprietary BioRetain®, CryoTek® and SteriTek® processing technologies, designed to optimize the preservation of the natural properties of these tissues, supporting their use in clinical settings. Its allografts are used by clinicians across a wide range of specialties. With a growing portfolio of products, expanding clinical research initiatives, and a national commercial footprint, BioStem is committed to advancing innovation in regenerative medicine. BioStem Technologies’ quality management system and standard operating procedures have been reviewed and accredited by the American Association of Tissue Banks (“AATB”). These systems and procedures are established in compliance with current Good Tissue Practices (“cGTP”) and current Good Manufacturing Processes (“cGMP”). BioStem’s portfolio of quality brands includes its Neox®, Clarix®, VENDAJE® and American Amnion™ product lines. Join BioStem’s Distribution List & Social Media: To follow the latest developments at BioStem, sign up for the Company’s email distribution list HERE, and follow us on X and LinkedIn. Contact BioStem: Website: www.biostemtechnologies.com E-Mail: [email protected] X: @BSEM_Tech Facebook: BioStemTechnologies Phone: 954-380-8342 Investor Relations: Philip Trip Taylor, Gilmartin Group E-Mail: [email protected] Public Relations: Jennifer Horton, Relevance [email protected]

The Company continues its progression towards a Nasdaq uplisting POMPANO BEACH, Fla., March 30, 2026 (GLOBE NEWSWIRE) -- BioStem Technologies, Inc. (OTC: BSEM), a leading regenerative medicine company focused on the development, manufacturing, and commercialization of perinatal tissue allograft products, today announced that it has filed its audited consolidated financial statements as of and for the fiscal years ended December 31, 2024 and 2025. The financial statements are available for review in their entirety on the OTC Markets website here. With the publication of the audited consolidated financial statements, BioStem has taken another significant step toward a Nasdaq uplisting. “We are pleased to have published our audited financial statements for 2024 and 2025, which marks an important milestone for the Company. Along with the appointment of a new CFO, auditor and audit committee chair, this achievement highlights the significant effort we have made to establish robust financial reporting processes and positions the Company to advance our corporate initiatives, including an uplist to Nasdaq,” said Jason Matuszewski, Chairman and CEO of BioStem. “Listing on Nasdaq remains a top priority that would increase visibility, improve stock liquidity, provide a more precise market valuation, and enhance our ability to attract top talent to BioStem.” About BioStem Technologies, Inc. (OTC: BSEM): BioStem Technologies is a publicly traded, biomedical innovator, focused on developing, manufacturing and commercializing advanced allograft solutions derived from perinatal tissue. The company leverages its industry-leading proprietary BioRetain®, CryoTek® and SteriTek® processing technologies, designed to optimize the preservation of the natural properties of these tissues, supporting their use in clinical settings. Its allografts are used by clinicians across a wide range of specialties. With a growing portfolio of products, expanding clinical research initiatives, and a national commercial footprint, BioStem is committed to advancing innovation in regenerative medicine. BioStem Technologies’ quality management system and standard operating procedures have been reviewed and accredited by the American Association of Tissue Banks (“AATB”). These systems and procedures are established in compliance with current Good Tissue Practices (“cGTP”) and current Good Manufacturing Processes (“cGMP”). BioStem’s portfolio of quality brands includes its Neox®, Clarix®, VENDAJE® and American Amnion™ product lines. For more information, visit biostemtechnologies.com and follow us on X and LinkedIn. Join BioStem’s Distribution List & Social Media: To follow the latest developments at BioStem, sign up for the Company’s email distribution list HERE, and follow us on X and LinkedIn. Forward-Looking Statements: Certain statements in this press release may be considered “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995. Forward-looking statements generally relate to expectations or forecasts of future events including with respect to the operations of the Company, strategies, prospects, and other aspects of the business of the Company. Forward-looking statements may be identified using words such as “forecast,” “intend,” “seek,” “target,” “anticipate,” “believe,” “expect,” “estimate”, “plan,” “outlook,” and “project” and other similar expressions that predict or indicate future events or trends or that are not statements of historical fact. Forward-looking statements in this release include, among other things, statements regarding: the Company’s expectations regarding its financial and operational strength and diversity; the Company’s expectations regarding the benefits and integration of the acquired BioTissue assets; the Company’s expectations regarding its ability to navigate the evolving reimbursement landscape; the Company’s expectations regarding its ability to execute on its operational strategies; the Company’s expectations regarding its ability to uplist to Nasdaq; the Company’s expectations regarding first quarter 2026 financial results; and the Company’s expectations regarding growth and the market penetration of the Company’s products. Forward-looking statements with respect to the operations of the Company, strategies, prospects and other aspects of the business of the Company are based on current expectations that are subject to known and unknown risks and uncertainties, which could cause actual results or outcomes to differ materially from expectations expressed or implied by such forward-looking statements. These factors include, but are not limited to: the impact of any changes to the reimbursement levels for the Company’s products; significant and continuing competition, which could adversely affect the Company’s business, results of operations and financial condition; rapid technological change, which could cause the Company’s products to become outdated or obsolete, harming the Company’s ability to effectively compete; the Company’s ability to convince physicians that its products are safe and effective alternatives to existing treatments and that its products should be used in their procedures; the risk that the Company may be unable to successfully market its products to the end users of such products; the impact of any changes to the accounting treatment of the Company’s revenue and expenses; the Company’s ability to obtain financing on terms acceptable to it, or at all; the Company has incurred significant losses since inception and may incur losses in the future; the impact of any changes in applicable laws or regulations; the Company’s ability to maintain production of its products in sufficient quantities to meet demand; and the possibility that the Company may be adversely affected by other general economic, business, and/or competitive factors. There may be additional risks about which the Company is presently unaware of or that the Company currently believes are immaterial that could also cause actual results to differ from those contained in the forward-looking statements. You are cautioned not to place undue reliance upon any forward-looking statements, which speak only as of the date made. The Company undertakes no duty to update or revise the forward-looking statements, whether as a result of new information, future events or otherwise, except as required by law. Contact BioStem: Website: www.biostemtechnologies.com E-Mail: [email protected] X: @BSEM_Tech Facebook: BioStemTechnologies Phone: 954-380-8342 Investor Relations: Philip Trip Taylor, Gilmartin E-Mail: [email protected]