Logistics revenue and gross profit grew 32.4% and 29.9% year-over-year, respectively, in Q1 2026, which represents Strata's organic growth
Clinical revenue and gross profit sequential growth of 12.7% and 29.2%, respectively in Q1 2026 versus Q4 2025
Q1 2026 net income from continuing operations of $2.4 million
Adjusted EBITDA(1) of $6.4 million in Q1 2026
Completed bolt-on acquisition of Ohio Valley Perfusion Associates
Reiterating full year 2026 guidance
NEW YORK, May 06, 2026 (GLOBE NEWSWIRE) -- Strata Critical Medical, Inc. (NASDAQ:SRTA, ", Strata", or the ", Company", )), today announced financial results for the first quarter ended March 31, 2026. Financial results in this release, including all comparisons to prior year periods, reflect continuing operations only. The results of the divested Passenger business have been reclassified as discontinued operations in all periods.
GAAP FINANCIAL RESULTS(in thousands except percentages, unaudited)
Three Months Ended March 31,
2026
2025
% Change
Revenue:
Logistics
$
47,599
$
35,948
32.4
%
Transplant Clinical
9,839
—
NM
(2)
Other Clinical
9,946
—
NM
(2)
Total Clinical
19,785
—
NM
(2)
Total revenue
$
67,384
$
35,948
87.4
%
Gross profit:
Logistics
$
9,165
$
7,053
29.9
%
Clinical
4,952
—
NM
(2)
Total gross profit
$
14,117
$
7,053
100.2
%
Gross margin
21.0
%
19.6
%
140
bps
Selling, general and administrative
$
15,605
$
12,330
26.6
%
Amortization of intangible assets
1,486
408
264.2
%
Total operating expenses
$
17,091
$
12,738
34.2
%
Operating loss from continuing operations
$
(2,974
)
$
(5,685
)
(47.7
)%
Net income (loss) from continuing operations
$
2,402
$
(1,612
)
NM
(2)
(1) See "Use of Non-GAAP Financial Information" and "Key Metrics and Non-GAAP Financial Information" sections attached to this release for an explanation of Non-GAAP measures used and reconciliations to the most directly comparable GAAP financial measure.(2) Not meaningful.
NON-GAAP(1) FINANCIAL RESULTS(in thousands except percentages, unaudited)
Three Months Ended March 31,
2026
2025
% Change
Revenue:
Logistics
$
47,599
$
35,948
32.4
%
Transplant Clinical
9,839
—
NM
(2)
Other Clinical
9,946
—
NM
(2)
Total Clinical
19,785
—
NM
(2)
Total revenue
$
67,384
$
35,948
87.4
%
Gross profit:
Logistics(3)
$
9,165
$
7,053
29.9
%
Clinical(4)
4,952
—
NM
(2)
Total gross profit
$
14,117
$
7,053
100.2
%
Gross margin:
Logistics
19.3
%
19.6
%
(30
bps)
Clinical
25.0
%
—
NM
(2)
Total gross margin
21.0
%
19.6
%
140
bps
Adjusted SG&A
$
9,214
$
7,392
24.6
%
Adjusted SG&A as a percentage of revenue
13.7
%
20.6
%
(690
bps)
Adjusted EBITDA
$
6,410
$
416
1440.9
%
Adjusted EBITDA as a percentage of revenue
9.5
%
1.2
%
830
bps
(1) See "Use of Non-GAAP Financial Information" and "Key Metrics and Non-GAAP Financial Information" sections attached to this release for an explanation of Non-GAAP measures used and reconciliations to the most directly comparable GAAP financial measure.(2) Not meaningful.(3) Net of depreciation expense of $1,147 and $755 for the three months ended March 31, 2026 and 2025, respectively.(4) Net of depreciation expense of $360 for the three months ended March 31, 2026.
"We are pleased to report Q1 results that came in ahead of our expectations, reflecting both strong execution on our growth plan and improving industry dynamics," said Melissa Tomkiel, Co-CEO and General Counsel. "Operationally, we're making great progress optimizing how we deliver our end-to-end transplant service offering."
Tomkiel continued, "This quarter we opened a new combined Logistics and Clinical hub in Chicago, enabling us to both better serve new Chicago-based transplant center customers we are onboarding this year as well as creating more cost-effective options to serve all of our customers when they are recovering from donors in the Midwest region more broadly."
"The underlying strength of our transformed economic model is finally shining through as we began generating operating cash flow this quarter. Our quality of earnings and cash conversion will only improve in the coming quarters as we clear the last remaining Passenger divestiture transaction-related outflows," said Will Heyburn, Co-CEO and CFO. "Our Clinical division showed especially strong sequential growth, with Gross Profit up nearly 30% versus Q4 2025, driven by a combination of new customer wins, a rebound in overall industry organ donors and continued industry mix shift towards third-party surgical recovery and NRP, where Strata is a market leader."
Heyburn continued, "We're delighted to announce the bolt-on acquisition of Ohio Valley Perfusion Associates, a regional provider of perfusion services to cardiac surgery programs in Ohio and Pennsylvania. While small in size, this deal is perfectly aligned with, and illustrates the potential of, our M&A strategy. Our capital deployment towards M&A is just getting started and our pipeline remains very active. We expect to reach the finish line on certain of these opportunities over the coming months."
First Quarter Ended March 31, 2026 Financial Highlights: Q1 2026 vs. Q1 2025
Total revenue increased 87.4% to $67.4 million in Q1 2026 versus $35.9 million in the prior year period driven by organic growth in Logistics and the addition of our Clinical business through the Keystone acquisition in Q3 2025.
Logistics revenue, which represents the Company's organic revenue growth, increased 32.4% to $47.6 million in Q1 2026 versus $35.9 million in the prior year period driven primarily by higher Air revenue where both new and existing customers contributed to the strong performance in the period. This was partially offset by customer mix, that drove shorter trip distances, and winter storms that resulted in the closure of key airports for several days during the quarter.
Gross profit increased 100.2% to $14.1 million in Q1 2026 versus $7.1 million in the prior year period driven by growth in Logistics and the addition of our Clinical business.
Gross margin increased approximately 140 basis points to 21.0% in Q1 2026 versus 19.6% in the prior year period driven primarily by the positive mix impact from the addition of our Clinical business, partially offset by a modest decline in Logistics gross margin.
Logistics gross profit, which represents the Company's organic growth, increased 29.9% to $9.2 million in Q1 2026 versus $7.1 million in the prior year period. Logistics gross margin of 19.3% in Q1 2026 decreased 30 basis points versus 19.6% the prior year period driven primarily by customer mix."
Given that the acquisition of our Clinical business as well as the sale of our Passenger business occurred in Q3 2025, year-over-year comparisons of Clinical metrics, Net Income, Adjusted SG&A, Adjusted EBITDA and cash flow are not meaningful. Please see below for sequential comparisons for these metrics.
First Quarter Ended March 31, 2026 Financial Highlights: Q1 2026 vs. Q4 2025
Total revenue increased 0.9% to $67.4 million in Q1 2026 versus $66.8 million in Q4 2025.
Logistics revenue decreased (3.3)% to $47.6 million in Q1 2026 versus $49.2 million in Q4 2025 driven primarily by customer mix that drove shorter trip distances and winter storms that resulted in the closure of key airports for several days during the quarter.
Clinical revenue rose 12.7% to $19.8 million in Q1 2026 versus $17.6 million in Q4 2025 driven primarily by Transplant Clinical revenue, which rose 26.7% in Q1 2026 versus Q4 2025 driven by both Normothermic Regional Perfusion (NRP) and Surgical Recovery services.
Gross profit decreased (2.0)% to $14.1 million in Q1 2026 versus $14.4 million in Q4 2025 driven by a decrease in Logistics gross profit partially offset by an increase in Clinical gross profit.
Gross margin decreased approximately 60 basis points to 21.0% in Q1 2026 versus 21.6% in Q4 2025 driven primarily by a decline in the Logistics gross margin, partially offset by an improvement in the Clinical gross margin.
Logistics gross profit decreased (13.4)% to $9.2 million in Q1 2026 versus $10.6 million in Q4 2025. Logistics gross margin of 19.3% in Q1 2026 decreased 220 basis points versus 21.5% in Q4 2025 driven primarily by customer mix.
Clinical gross profit increased 29.2% to $5.0 million in Q1 2026 versus $3.8 million in Q4 2025. Clinical gross margin increased to 25.0% in Q1 2026 versus 21.8% in Q4 2025 primarily due to margin improvement in, and a mix shift towards, Transplant Clinical revenue.
Total Selling, general and administrative expenses decreased $3.7 million to $15.6 million in Q1 2026 versus $19.3 million in Q4 2025. Adjusted SG&A(1) increased $0.3 million to $9.2 million in Q1 2026 versus $8.9 million in Q4 2025 driven primarily by investments in resources and infrastructure to support growth in the business.
(1) See "Use of Non-GAAP Financial Information" and "Key Metrics and Non-GAAP Financial Information" sections attached to this release for an explanation of Non-GAAP measures used and reconciliations to the most directly comparable GAAP financial measure.
Net income from continuing operations increased by $7.8 million to $2.4 million in Q1 2026 versus $(5.4) million in Q4 2025.
Adjusted EBITDA(1) was $6.4 million in Q1 2026 versus $7.0 million in Q4 2025. Adjusted EBITDA margin fell to 9.5% in Q1 2026 versus 10.4% in Q4 2025. The 90 basis points decline in Adjusted EBITDA margin versus Q4 2025 was driven by a 60 basis points decline in gross margin and a 30 basis points increase in Adjusted SG&A as a percentage of revenue.
Cash flow from operating activities was $3.9 million in Q1 2026. In Q1 2026, the $2.5 million difference between Adjusted EBITDA and operating cash flow was driven by approximately $1.0 million of income statement adjustments and a $1.5 million increase in working capital.
Capital expenditures of $5.5 million in Q1 2026 were driven primarily by $3.7 million of aircraft acquisitions, along with aircraft capitalized maintenance.
Free Cash Flow, before aircraft and engine acquisitions(1) was $2.1 million in Q1 2026.
Ended Q1 2026 with $58.8 million in cash and short term investments.
Business Highlights and Recent Updates
Completed the acquisition of Ohio Valley Perfusion Associates, a regional provider of perfusion services to cardiac surgery programs in Ohio and Pennsylvania for approximately $1 million.
Ended Q1 2026 with a fleet of approximately 35 aircraft, including 10 owned aircraft following the acquisition of 1 aircraft during the quarter. The fleet was stationed across approximately 20 air bases at the end of Q1 2026; opened new base in Chicago.
Opened 2 organ recovery hubs and ended Q1 2026 with 13 hubs.
Key transplant indicators improved in Q1 2026 including a mid-single digit sequential increase in deceased donors and the continued increase in NRP penetration of Donation after Circulatory Death (DCD) donors.
Financial Outlook
Today, we are reiterating our 2026 guidance:
Revenue of $260-275 million
Adjusted EBITDA(2) of $29-33 million
Free cash flow, before aircraft and engine acquisitions(2) of $15-22 million
Conference Call
The Company will conduct a conference call starting at 8:00 a.m. ET on May 6, 2026 to discuss the results for the first quarter ended March 31, 2026.
A live audio-only webcast of the call may be accessed from the Investor Relations section of the Company's website at https://ir.stratacritical.com/. An archived replay of the call will be available on the Investor Relations section of the Company's website for one year.
(1) See "Use of Non-GAAP Financial Information" and "Key Metrics and Non-GAAP Financial Information" sections attached to this release for an explanation of Non-GAAP measures used and reconciliations to the most directly comparable GAAP financial measure.(2) We have not reconciled the forward-looking Adjusted EBITDA and free cash flow, before aircraft and engine acquisitions guidance included above to the most directly comparable GAAP measures because this cannot be done without unreasonable effort due to the variability and low visibility with respect to certain costs, the most significant of which are, with respect to Adjusted EBITDA, incentive compensation (including stock-based compensation), transaction-related expenses, and certain fair value measurements, which are potential adjustments to future earnings, and with respect to free cash flow, before aircraft and engine acquisitions, changes in operating assets and liabilities. We expect the variability of these items to have a potentially unpredictable, and a potentially significant, impact on our future GAAP financial results.
Use of Non-GAAP Financial Information
Strata believes that the non-GAAP measures discussed below, viewed in addition to and not in lieu of our reported U.S. generally accepted accounting principles ("GAAP") results, provide useful information to investors by providing a more focused measure of operating results, enhance the overall understanding of past financial performance and future prospects, and allow for greater transparency with respect to key metrics used by management in its financial and operational decision making. The non-GAAP measures presented herein may not be comparable to similarly titled measures presented by other companies. Adjusted EBITDA, Adjusted SG&A, Free Cash Flow, and Free Cash Flow before aircraft and engines acquisitions, all of which have been reconciled to the nearest GAAP measure in the tables within this press release.
Adjusted EBITDA, Strata reports Adjusted EBITDA, which is a non-GAAP financial measure. Strata defines Adjusted EBITDA as net income (loss) from continuing operations adjusted to exclude: (1) depreciation and amortization; (2) stock-based compensation; (3) change in fair value of warrant liabilities and other assets and liabilities; (4) interest income and expense; (5) income tax; (6) impairment of intangible assets or property and equipment; and (7) certain other non-recurring items that management does not believe are indicative of the Company's ongoing operating performance and would impact the comparability of results between periods.
Adjusted SG&A, Strata defines Adjusted selling, general and administrative ("SG&A") expenses as SG&A adjusted to exclude: (1) depreciation; (2) stock-based compensation; (3) impairment of property and equipment; and (4) other non-cash items and certain other non-recurring items that management does not believe are indicative of the Company's ongoing operating performance that would impact the comparability of results between periods.
Free Cash Flow, and Free Cash Flow before aircraft and engines acquisitions, Strata defines Free Cash Flow as net cash provided by / (used in) operating activities less capital expenditures and capitalized software development costs (net of proceeds from disposals). Free Cash Flow before aircraft and engines acquisitions is defined as Free Cash Flow excluding cash outflows related to aircraft and engines acquisitions. Strata believes these measures provide valuable insights into the Company's cash-generating capacity. In particular, Free Cash Flow before aircraft and engines acquisitions highlights the cash generated by Strata's continuing operations prior to the impact of aircraft and engines acquisitions, which are discretionary and strategic in nature.
Financial Results
STRATA CRITICAL MEDICAL, INC.Condensed Consolidated Balance Sheets(in thousands, except share data, unaudited)
March 31,2026
December 31,2025
Assets
Current assets:
Cash and cash equivalents
$
58,723
$
30,968
Restricted cash
264
264
Accounts receivable, net of allowance of $1,007 and $1,066 at March 31, 2026 and December 31, 2025, respectively
39,602
39,958
Short-term investments
66
30,263
Prepaid expenses and other current assets
25,490
24,739
Total current assets
124,145
126,192
Non-current assets:
Property and equipment, net
40,087
36,444
Intangible assets, net
46,312
47,502
Goodwill
88,589
88,210
Operating right-of-use asset
4,195
3,107
Other non-current assets
24,290
