BioHarvest Sciences (NASDAQ:BHST) reported fourth-quarter revenue of $9.1 million, up 25% year-over-year and within management’s guidance range, as the company highlighted continued expansion of its VINIA direct-to-consumer franchise and growing momentum in its contract development and manufacturing organization (CDMO) unit.
On the call, Chief Executive Officer Ilan Sobel said the company is managing operations through a “two-lens” framework that separates its direct-to-consumer (D2C) products business—led by VINIA—from its B2B CDMO services division. Sobel said the structure has been in place since late fourth quarter 2025 and is intended to optimize capital allocation and execution across the two business models. Beginning in 2026, BioHarvest’s manufacturing center of excellence will be incorporated into the CDMO organization, which Sobel said will align manufacturing under a single platform serving both internal VINIA needs and external partners.
Quarterly and full-year results
Operating expenses in the fourth quarter were $6.3 million, compared with $5.8 million in the year-ago period, which Dichter attributed primarily to increased marketing spend and higher expenses from the CDMO services division. Net loss narrowed to $2.2 million, or $0.10 per basic and diluted share, from a net loss of $3.0 million, or $0.17 per share, a year earlier. Adjusted EBITDA was positive $0.5 million, compared with an adjusted EBITDA loss of $1.8 million in the prior-year quarter, Dichter said.
BioHarvest ended 2025 with $23 million in cash and cash equivalents, up from $2.4 million at the end of 2024, according to Dichter.
VINIA growth, customer base, and marketing shift
Sobel said VINIA continues to be driven primarily by the company’s own website, vinia.com, which delivers about 80% of revenue, with more than 90% of that coming from subscription revenue. Amazon accounts for roughly 20% of sales revenue, he said. Dichter added that the VINIA franchise exceeded 85,000 active users as of March 2026.
Sobel also said the company’s U.S. DTC business generated $30.6 million of full-year revenue and that BioHarvest has achieved the “number one resveratrol polyphenol brand” position in the United States based on the company’s estimated market sizing using NielsenIQ 2025 market projections and Amazon sales data for resveratrol supplements.
Looking to broaden its customer demographics beyond what Sobel described as a base skewed toward “super senior” consumers (65+), BioHarvest is shifting marketing toward digital channels. Sobel said the company has adjusted its marketing mix away from traditional TV and toward Facebook, Instagram, YouTube, and a newly opened TikTok shop to recruit younger “super seeker” (35–65) and “super active” (20–35) consumers. He said the shift is also expected to help improve customer acquisition costs versus prior heavy reliance on TV.
In response to a question about timing, Sobel said the company began the shift significantly in March and expects continued optimization in April, with an expectation that by the end of the second quarter the marketing mix will be better optimized.
Blood Flow Hydration launch and early performance metrics
A key 2026 focus for the D2C business is VINIA Blood Flow Hydration, which Sobel said officially launched in the U.S. on December 3. He positioned the product around the concept of delivering electrolytes “through better blood flow delivery,” arguing that “without blood flow, the water and electrolytes have nowhere to go.”
Sobel cited early indicators from the first 16 weeks of the launch, including:
- VINIA Blood Flow Hydration becoming the number two contributor to incremental new customer sales, representing 15% of new customer revenue year-to-date on vinia.com (behind capsules)
- A verified rating of 4.8 out of 5 on vinia.com after more than 90 reviews
- A 4.9 out of 5 rating on Amazon after approximately 50 reviews across flavors and variety packs
Sobel said the company has been able to command an approximately 50% premium versus key market leaders and plans to accelerate direct marketing spending behind the product to pursue what he described as a $17 billion North American category opportunity.
Another area Sobel emphasized was the company’s “Health Pros” channel, which he described as health professionals and opinion leaders with large social media followings who advocate and sell VINIA. He said BioHarvest has partnered with 250 Health Pros and plans to add about 25 to 50 per month. In March, Sobel said the channel delivered more than 10% of incremental new customer revenue. He also noted a consumer challenge launched March 17 tied to Blood Flow Hydration, saying more than 1,300 consumers had signed up for a 30-day challenge.
On marketing spending levels, Sobel said BioHarvest has been running total sales and marketing at about 46% to 47% of sales in the D2C business and expects similar levels, with some efficiency improvements over time driven by channel mix, including Health Pros. He said the company expects to reinvest “the majority” of efficiencies into marketing to support growth, consistent with its two-lens approach.
CDMO momentum, fragrance milestone, and revenue outlook
Sobel said the CDMO unit, created in the second quarter of 2024, has shifted from more transactional services toward strategic partnerships that can include royalties and, in some cases, ownership in developed compositions. He said BioHarvest has also added capabilities such as AI-driven molecule discovery.
From a financial perspective, Sobel said the CDMO generated approximately $2 million in third-party revenue in 2025. He added that including internal manufacturing of VINIA powder supplied to the products business, total CDMO-related activity would have been about $9 million in revenue.
The company outlined four active third-party development programs across nutraceuticals, nutrition, and fragrance:
- A nutraceutical program with Saffron Tech focused on a saffron-derived botanical compound
- Two nutrition programs, including a previously announced collaboration with Tate & Lyle
- A fragrance and scent program with a prominent UAE investment group
Sobel said BioHarvest’s CDMO division has completed stage one of the fragrance program, describing it as what the company believes to be the “first-ever successful creation of a stable cell culture” for a rare, endangered scent-producing plant. He said the stage one cell culture identified molecules responsible for the scent—“including sesquiterpenes and chromones”—with molecular profiles closely matching those found in the original plant. Under the agreement terms, Sobel said BioHarvest retains 20% ownership of the compositions developed through the program, supporting what he described as a long-term, royalty-driven model.
Sobel said the program is ready to move into stage two, with biomass expected for pre-commercial testing in 6–9 months and full development and industrial-scale manufacturing anticipated in 12–18 months. During Q&A, Sobel said second-half 2027 is “realistic” to begin manufacturing and scale revenue contributions for the fragrance initiative and saffron program.
Chairman Dr. Zaki Rakib provided additional detail on the CDMO project portfolio and development model, stating that programs generally run $2 million to $3 million in non-recurring engineering (NRE) revenue over 18 to 27 months and progress through three stages. Rakib said stage one—creation and storage of a stable cell bank—represents the highest risk in the process, and he said the company has seen “100% success” across molecules it has worked on so far.
Rakib said the pharmaceutical program that started in 2024, for which stage one was completed in 2025, has completed the first step within stage two, with further research underway to meet the customer’s FDA-driven requirements. He said revenue has been recognized for elements of stage two, while noting longer cycle times typical for pharmaceutical development.
In response to investor questions about the CDMO pipeline, Rakib said BioHarvest plans to continue building infrastructure to both advance existing programs faster and support additional projects. He cited 2026 external customer revenue guidance of $4 million to $6 million for the CDMO business, describing that as a mix of existing projects moving into stage two and new projects entering stage one.
Sobel said the company is “leaning in” with investment in CDMO capabilities—such as AI, process engineering, computer vision, and elicitation methods—arguing that near-term EBITDA losses reflect a deliberate decision to build long-term competitive advantage.
On broader operations, Sobel said BioHarvest’s research and manufacturing operations have continued without interruption despite ongoing conflict in the Middle East, noting that while airspace closures affected commercial traffic, cargo flights have gradually resumed and the company is meeting supply chain obligations.
About BioHarvest Sciences (NASDAQ:BHST)
BioHarvest Sciences Inc is a biotechnology company that specializes in the development and commercialization of plant-based active ingredients through proprietary cell-culture technology. By growing undifferentiated plant cells in controlled bioreactor environments, the company aims to produce full-spectrum phytonutrients and botanical compounds that are difficult to obtain through traditional farming methods. This approach is designed to deliver consistent, high-purity extracts with reduced environmental impact and supply-chain variability.
The company’s product portfolio focuses on applications across the cosmeceutical, nutraceutical and health-and-wellness markets.
