aibioBiofrontera reports second-quarter 2026 net product revenue of $12.0 million
Tickers BFRI
Net product revenue rose 32.9% from a year earlier, and gross margin reached 80%. The net loss was $0.6 million, compared with $5.3 million in the prior-year quarter.
Key facts
- Company
- Biofrontera Inc. (NASDAQ: BFRI)
- News type
- Company Updates
- Primary source
- Biofrontera Inc. Form 8-K
Biofrontera Inc. (NASDAQ: BFRI) reported financial results for the quarter ended June 30, 2026 in a press release dated August 13, 2026, which the company furnished in a Form 8-K filed the same day. Net product revenue was $12.0 million, an increase of $3.0 million, or 32.9%, from $9.0 million in the second quarter of 2025. The company said the increase was partly due to a price increase, and that unit volume also grew, partly because some customers moved orders forward ahead of potential supply restrictions.
The supply restrictions relate to an exclusion order from the U.S. International Trade Commission for the company's RhodoLED XL lamp, which took effect on July 7, 2026. The company says the order shifted the timing of some orders rather than total demand, which means part of the quarter's growth was orders pulled forward. It is pursuing a remediation plan to sell a modified version of the XL lamp, and it expects that the substantial majority of its installed lamp base is unaffected. It does not expect the shift to affect its full-year 2026 revenue goals.
Margins, costs and loss
Cost of revenues was $2.4 million, compared with $2.6 million a year earlier, producing gross profit of $9.6 million and a gross margin of 80%, compared with gross profit of $6.4 million and a gross margin of 71%. The company said the improvement was driven principally by the move from the prior transfer pricing arrangement to a cost structure of Ameluz direct cost plus a 12% earnout on net revenue.
Selling, general and administrative expenses were $9.7 million, compared with $10.6 million, a decrease of $0.9 million. The company attributed the decrease mainly to a $2.1 million reduction in litigation-related legal fees, partly offset by planned investment in the commercial organization and costs of the manufacturing and regulatory functions established after the strategic transaction. Research and development expenses were $0.4 million, compared with $0.9 million, reflecting the substantial completion of clinical trials.
The net loss for the second quarter was $0.6 million, or $(0.05) per share, compared with a net loss of $5.3 million, or $(0.57) per share, a year earlier. Adjusted EBITDA, a non-GAAP measure, was $(0.2) million, compared with $(5.1) million.
First half and balance sheet
Net product revenue for the six months ended June 30, 2026 was $22.1 million, an increase of 25.4% from $17.6 million. The net loss for the first half was $5.4 million, or $(0.44) per share, compared with $9.5 million, or $(1.05) per share. Cash used in operating activities was $1.7 million, compared with $7.2 million, and that figure includes a $3.7 million paydown of related party payables connected to the strategic transaction. Chief Financial Officer Fred Leffler said: "We continue to make progress towards cash flow breakeven in 2026."
Cash and cash equivalents were $4.7 million at June 30, 2026, compared with $6.4 million at December 31, 2025. Total liabilities were $18.1 million at June 30, 2026, essentially unchanged from December 31, 2025. The company's outstanding indebtedness consisted of $4.6 million of convertible notes, net, maturing in November 2027. It has no bank or other term debt. Total stockholders' equity was $6.0 million, compared with $10.5 million at December 31, 2025.
What the quarter does not settle
The ITC order is a real constraint on the XL lamp, and the remediation plan to sell a modified version is not yet in place. The company's view that the full-year goals are safe is its own. The quarter was still a loss, and the gross margin gain came from a lower Ameluz cost structure that adds a 12% earnout on net revenue. Cash fell to $4.7 million and equity to $6.0 million, while the convertible notes mature in November 2027. The company expects to launch the superficial basal cell carcinoma indication in the first quarter of 2027, after a PDUFA date in late September 2026, and the chief executive also cites positive Phase 3 actinic keratosis results and encouraging Phase 2b acne data, without giving numbers in this release.