Radnostix Q1 revenue drops 27% on recalls and operational halts

Radnostix Inc. (OTCQB: INIS) reported first-quarter revenue fell 27 percent year-over-year, hit by voluntary product recalls, supply chain disruptions, and a planned operational shutdown that battered its key business segments.

"The decrease in sales was the result of lost sales in our Theranostics Products segment due to voluntary recalls... decreased sales in our Cobalt Products segment due to operational shutdown... and decreased sales in our Calibration & Reference Products," the company stated in its quarterly filing.

Revenue for the quarter ended March 31 was $2.38 million, down from $3.24 million in the same period of 2025, according to a regulatory filing. The company’s net loss widened significantly to $1.35 million from a loss of $112,694 a year prior. The company did not provide consensus estimates.

Shares of Radnostix were untraded in the pre-market. The results underscore the operational and supply chain risks facing the manufacturer of radioisotope-focused products, with multiple issues converging in a single quarter to drag down performance.

Segment Breakdown Shows Widespread Weakness

The top-line decline was broad-based, with the company’s main divisions all posting significant drops in sales.

Theranostics Products: Revenue fell 22 percent to $1.4 million. The company disclosed two voluntary recalls, one for its Generic Sodium Iodide I-131 and another for its Dibasic Sodium Phosphate Capsules. Radnostix estimated it is currently losing approximately $65,000 per week in sales from customers requiring the recalled capsules.
Calibration & Reference Products: Sales decreased 33 percent to $882,790. This was attributed to a continuing global shortage of the Gadolinium-153 radioisotope that began in January 2025.
Cobalt Products: Revenue plunged 87 percent to just $9,739. The company shut down manufacturing operations during the quarter to repair and rehabilitate its process hot cells, which it said was a "significant and necessary rebuild."

Sales in its nascent Medical Device Products segment rose 69 percent to $89,113, though it remains the smallest contributor to revenue.

The combination of lower sales and a 2 percent increase in the cost of products caused gross profit to fall 43 percent to $1.15 million. Total operating expenses also climbed 17 percent to $2.46 million, driven by higher administrative and R&D costs.

The challenging quarter impacted the company’s liquidity, with cash and cash equivalents falling to $1.35 million from $1.7 million at the end of 2025. Management stated it expects current cash balances and cash from operations to be sufficient to fund operations for the next twelve months.

The results highlight the company's dependence on a complex supply chain and stringent regulatory environment. The simultaneous impact of product-specific recalls, broader isotope shortages, and internal operational maintenance reveals multiple points of failure that materialized in the first quarter. Investors will be watching for a resolution to the recalls and a stabilization of the isotope supply chain in the coming quarters.

This article is for informational purposes only and does not constitute investment advice.