Solésence reported a 25% revenue decline for the second quarter 2026, generating $15.3 million as results normalized following a significant product launch in the prior-year period. Management addressed a legacy accounting issue regarding historical inventory costing methodologies, requiring a restatement of indirect manufacturing costs that did not impact cash flow. Despite a quarterly net loss of $158,000, the company projected its strongest second-half performance in history based on growing order volume.
Key Highlights
- Net revenue decreased to $15.3 million from $20.4 million, lapping a one-time boost from a major 2025 inventory pipeline fill.
- Shipped and on-hand orders for 2026 reached $64.9 million as of mid-August, up from $60.0 million in the same period last year.
- Gross margin remained relatively stable at 31% compared to 32% in the prior year, supported by labor efficiency gains under the company's operational strategy.