MESA LABORATORIES INC /CO/

Previous wording

(Dollars in thousands, except per share amounts)

Current wording

(Dollars in thousands, except per share amounts, unless otherwise indicated)

Previous wording

This Quarterly Report on Form 10-Q contains forward-looking statements which are made pursuant to the safe harbor provisions of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended (the “Exchange Act”). The forward-looking statements in this Quarterly Report on Form 10-Q do not constitute guarantees of future performance. Investors are cautioned that statements in this Quarterly Report on Form 10-Q that are not strictly historical statements, including, without limitation, express or implied statements or guidance regarding current or future financial performance and position*; management*’s strategy, plans and objectives for future operations or acquisitions, product development and sales; adequacy of capital resources and financing plans; and the effect of tariffs and other developments in the regulatory environment and our responses thereto**constitute forward-looking statements. These forward-looking statements are based on current expectations, estimates, forecasts and projections about the industry and markets in which the Company operates, and management’s beliefs and assumptions. In addition, other written and oral statements that constitute forward-looking statements may be made by the Company or on the Company’s behalf. Words such as “seek,” “believe,” “may,” “intend,” “could,” “target,” “expect,” “anticipate,” “plan,” “estimate,” “project,”or variations of such words and similar expressions are intended to identify forward-looking statements. Such forward-looking statements are subject to a number of risks and uncertainties that could cause actual results to differ materially from those anticipated, including risks associated with: our ability to successfully grow our business, including as a result of acquisitions; the effect that acquisitions have on our operations; our ability to consummate acquisitions at our historical rate and at appropriate prices, and our ability to effectively integrate acquired businesses and achieve desired results; the market acceptance of our products; technological or market viability of our products; potential reduced demand for our products, including as a result of competitive factors; conditions in the global economy and the particular markets we serve; significant developments or uncertainties stemming from governmental actions, including changes in trade policies such as tariffs and changes in tax, medical device and other regulations; the timely development and commercialization, and customer acceptance, of enhanced and new products and services; retirement of old products and customer migration to new products; the potential inaccuracy of projections of revenue, growth, operating results, profit margins, earnings, expenses, margins, tax rates, tax provisions, liquidity, cash flows, demand, and competition; the effects of actions taken to become more efficient or lower costs supply chain challenges; cost pressures; laws regulating…

Excerpt shortened here; the source contains the full paragraph.

Current wording

This Quarterly Report on Form 10-Q contains forward-looking statements which are made pursuant to the safe harbor provisions of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended (the “Exchange Act”). The forward-looking statements in this Quarterly Report on Form 10-Q do not constitute guarantees of future performance. Investors are cautioned that statements in this Quarterly Report on Form 10-Q that are not strictly historical statements, including, without limitation, express or implied statements or guidance regarding current or future financial performance and position; management’s strategy, plans and objectives for future operations or acquisitions, product development and sales;* the Restructuring Program, including the expected charges, cost savings and reinvestment and the timing thereof; potential impairment charges; the realizability of deferred tax assets and any release of our valuation allowance;** adequacy of capital resources and financing plans; and the effect of tariffs and other developments in the regulatory environment and our responses thereto constitute forward-looking statements. These forward-looking statements are based on current expectations, estimates, forecasts and projections about the industry and markets in which the Company operates, and management*’s beliefs and assumptions. In addition, other written and oral statements that constitute forward-looking statements may be made by the Company or on the Company’s behalf. Words such as “seek,” “believe,” “may,” “intend,” “could,” “target,” “expect,” “anticipate,” “plan,” “estimate,” “project,”or variations of such words and similar expressions are intended to identify forward-looking statements. Such forward-looking statements are subject to a number of risks and uncertainties that could cause actual results to differ materially from those anticipated, including risks associated with: our ability to successfully grow our business; the market acceptance of our products; technological or market viability of our products; potential reduced demand for our products, including as a result of competitive factors; conditions in the global economy and the particular markets we serve; significant developments or uncertainties stemming from governmental actions, including changes in trade policies such as tariffs and export controls**and changes in tax, medical device and other regulations; the timely development and commercialization, and customer acceptance, of enhanced and new products and services; retirement of old products and customer migration to new products; the potential inaccuracy of projections of revenues, growth, operating results, profit margins, earnings, expenses, margins, tax rates, tax provisions, liquidity, cash flows, demand, and competition; the effects of actions taken to become more efficient or lower costs*; our ability to implement the Restructuring Program and realize the anticip…

Excerpt shortened here; the source contains the full paragraph.

Previous wording

We are a global leader in the design and manufacture of life sciences tools and critical quality control solutions for regulated applications in the pharmaceutical, healthcare and medical device industries. We offer products and services to help our customers ensure product integrity, increase patient and worker safety, and improve the quality of life throughout the world. We have manufacturing operations in the United States and Europe, and our products are marketed by our sales personnel in North America, Europe and the Asia Pacific region, and by independent distributors throughout the world.

Current wording

We are a global leader in the design and manufacture of critical quality control solutions and life sciences tools for regulated applications in the pharmaceutical, healthcare and medical device industries. With manufacturing operations in the United States and Europe, and commercial reach across North America, Europe, the Asia Pacific region, and throughout the world, we serve customers whose applications demand accuracy, reliability and regulatory compliance.

Previous wording

We strive to create stakeholder value and further our purpose of Protecting the Vulnerable® by growing our business both organically and through acquisitions, by improving our operating efficiency, and by continuing to hire, develop and retain top talent. We commit to our purpose every day by taking a customer-focused approach to developing, building and delivering our products and services. We serve a broad set of industries, particularly the pharmaceutical, healthcare and medical device sectors, in which the safety, quality and efficacy of products is critical. By delivering the highest quality products possible, we are committed to protecting the communities we serve.

Current wording

We strive to create stakeholder value and further our purpose of Protecting the Vulnerable® by growing our business both organically and through complementary acquisitions, by improving our operating efficiency, and by continuing to hire, develop and retain top talent. We commit to our purpose every day by taking a customer-focused approach to developing, building and delivering our products and services. We serve a broad set of industries, particularly the pharmaceutical, healthcare and medical device sectors, in which the safety, quality and efficacy of products are critical. By delivering the highest quality products possible, we are committed to protecting the communities we serve.

Previous wording

Our continued growth will depend on our ability to (i) expand business with new and existing customers through ongoing commercial efforts, including in new geographic areas, (ii) manage our costs and allocate resources to ensure continued profitability, (iii) identify, consummate and integrate acquisitions successfully, and (iv) develop or acquire differentiated products and services. We strive to maintain our profitability by improving the effectiveness of our sales force, by continuing to pursue cost reduction initiatives, and by taking a long-term strategic approach to investments in our business that we believe will support future commercial success.

Current wording

Our continued growth will depend on our ability to (i) expand business with new and existing customers through ongoing commercial efforts, including in new geographic areas, (ii) manage our costs and allocate resources to ensure continued profitability, (iii) develop or acquire differentiated products and services, and (iv) identify, consummate and integrate acquisitions successfully. We strive to maintain our profitability by improving the effectiveness of our sales force, by continuing to pursue cost reduction initiatives, and by taking a long-term strategic approach to investments in our business that we believe will support future commercial success.

Previous wording

Organic revenue growth is driven by expansion of our customer base, increases in sales volumes, new product offerings and price increases, and may be affected positively or negatively by the impact of changes in foreign currency exchange rates on our reported revenue. Our ability to increase organic revenue is affected by general domestic and global economic conditions, customer capital spending trends, currency exchange rates, competition, and the introduction of new products. Our policy is to price our products and services competitively and, where possible, we pass along cost increases to our customers in order to maintain our margins. We typically evaluate costs and pricing annually, with price increases effective January 1. We evaluate the need to increase prices at other times in response to significant facts and circumstances that may arise, such as increases in the price of inputs to our products, or in response to changes in government or regulatory policies, for example, due to the imposition of tariffs. We are actively pursuing opportunities to expand our customer base both domestically and internationally by fostering strong relationships with existing and new customers and distributors.

Current wording

Organic revenues growth is driven by expansion of our customer base, increases in sales volumes, new product offerings and price increases, and may be affected positively or negatively by the impact of changes in foreign currency exchange rates on our reported revenues. Our ability to increase organic revenues is affected by general domestic and global economic conditions, customer capital spending trends, currency exchange rates, competition, and the introduction of new products. Our policy is to price our products and services competitively and, where possible, we pass along cost increases to our customers in order to maintain our margins. We typically evaluate costs and pricing annually, with price increases effective January 1. We evaluate the need to increase prices at other times in response to significant facts and circumstances that may arise, such as increases in the price of inputs to our products, or in response to changes in government or regulatory policies, such as the imposition of tariffs. We are actively pursuing opportunities to expand our customer base both domestically and internationally by fostering strong relationships with existing and new customers and distributors.

Previous wording

Over the past decade, we have consummated a number of acquisitions of businesses, technologies, and intangible assets such as customer lists as part of our growth strategy. Our acquisitions have allowed us to expand our product offerings and the industries we serve, globalize our company, and increase the scale at which we operate. In turn, this growth affords us the ability to improve our operating efficiency, extend our customer base, and further the pursuit of our purpose: Protecting the Vulnerable®.

Current wording

Over the past decade, we have consummated a number of acquisitions of businesses, technologies, and intangible assets such as customer lists as part of our growth strategy. Our acquisitions have allowed us to expand our product offerings and the industries we serve, globalize our company, and increase the scale at which we operate. In turn, this growth affords us the ability to improve our operating efficiency, extend our customer base, and further the pursuit of our purpose: Protecting the Vulnerable®. While we continue to evaluate acquisition opportunities that complement our existing businesses, our near-term priorities are improving our earnings and strengthening our balance sheet. As we make progress on those priorities, we expect to focus on smaller tuck-in acquisitions, such as distributor buyouts, that could improve customer engagement, profitability, or add complementary products and technologies to our existing offerings.

Previous wording

Our ongoing goal is to maximize value in our businesses by implementing efficiencies in our manufacturing, commercial, engineering and administrative operations. We achieve efficiencies using a growth mindset. We continue to promote a culture that values learning, continuous improvement and accountability. We believe this culture strengthens our execution so that we can enhance customer outcomes and create long-term stakeholder value.

Current wording

Our ongoing goal is to maximize value in our businesses by implementing efficiencies in our manufacturing, commercial, engineering and administrative operations. We achieve efficiencies using a growth mindset and a culture that values learning, continuous improvement and accountability. We believe this culture strengthens execution, enhances customer outcomes and creates long-term stakeholder value. We also strive to align our cost structure with our strategic priorities, including through planned cost-savings and other restructuring initiatives that enable us to allocate resources to our most promising opportunities.

Previous wording

Our gross profit is affected by many factors, including the mix of products and services sold and the geographical regions in which we sell them, labor and product costs (including costs of transporting, importing and exporting goods, as well as associated tariffs), manufacturing efficiencies, foreign currency rates and price competition. Gross profit percentages differ among product lines, and ultimately our mix of revenue will impact our overall gross profit.

Current wording

Our gross profit is affected by many factors, including the mix of products and services sold and the geographical regions in which we sell them, labor and product costs (including costs of transporting, importing and exporting goods), manufacturing efficiencies, foreign currency rates and price competition. Gross profit percentages differ among product lines, and ultimately our mix of revenues will impact our overall gross profit.

Previous wording

Our results of operations and period-over-period changes are discussed in the following section. The tables and discussion below should be read in conjunction with the accompanying unaudited Condensed Consolidated Financial Statements and the notes thereto appearing in Item 1.Financial Statements.

Current wording

Our unaudited results of operations and period-over-period changes are discussed in the following section. The tables and discussion below should be read in conjunction with the accompanying unaudited Condensed Consolidated Financial Statements and the notes thereto appearing in Item 1.Financial Statements.

Previous wording

Revenue increased 1.0% during the three months ended June 30, 2026 compared to the prior year period, driven by growth in the Calibration Solutions and Biopharmaceutical Development divisions, partially offset by lower revenue in the Sterilization and Disinfection Control division. Revenue in the Clinical Genomics division were essentially flat, as growth outside China offset continued weakness in that market. While revenue in China continued to decrease, the year-over-year reduction was significantly smaller than in the prior-year period following substantial revenue declines in recent fiscal years.

Current wording

Revenues increased 1.8% during the six months ended September 30, 2026 compared with the prior year period, driven by growth in the Sterilization and Disinfection Control and Calibration Solutions divisions, partially offset by lower revenues in the Clinical Genomics and Biopharmaceutical Development divisions.

Previous wording

Gross profit as a percentage of revenue increased 2.9 percentage points compared with the prior year period. The improvement over the comparable prior year period was primarily driven by lower spend on third-party contracted labor and consultants, supply chain efficiency improvements, and favorable product mix, particularly in the Biopharmaceutical Development and Clinical Genomics divisions.

Current wording

Gross profit as a percentage of revenues increased 2.7 percentage points in the six months ended September 30, 2026 compared with the prior year period. The improvement was primarily driven by lower spend on third-party production process improvement consultants and contracted labor, the impact of lower tariffs, and favorable product mix as sales of high-margin Sterilization and Disinfection Control products comprised a higher portion of total revenues.

Previous wording

Gross profit as a percentage of revenue for the Biopharmaceutical Development division increased 8.0 percentage points for the three months ended June 30, 2026 versus the comparable prior year period. The increase was primarily due to favorable product mix, as higher-margin immunoassays revenue represented a greater proportion of the division's total revenue and lower margin instruments represented a smaller portion of total peptides systems revenue. Efficiencies in our supply chain management and higher revenue on a partially fixed cost base also contributed to the increase.

Current wording

Gross profit as a percentage of revenues for the Biopharmaceutical Development division increased 6.7 and 7.2 percentage points for the three and six months ended September 30, 2026, respectively, compared with the prior year periods. The increases were primarily due to favorable product mix, as higher-margin immunoassays revenues and consumables represented a greater proportion of the division's total revenues, as well as lower margins in the comparable prior year periods resulting from the impact of tariffs and foreign currency.

Previous wording

Revenue for the Calibration Solutions division increased 7.6% for the three months ended June 30, 2026 versus the comparable prior year period, primarily due to increased sales volumes across several product lines and the impact of price increases.

Current wording

Revenues for the Calibration Solutions division increased 3.5% and 5.5%, respectively, for the three and six months ended September 30, 2026 versus the comparable prior year periods, primarily due to increased sales volumes across several product lines, resulting from strong commercial execution and the impact of price increases.

Previous wording

Gross profit as a percentage of revenue increased 3.5 percentage points for the three months ended June 30, 2026 versus the comparable prior year period, primarily due to higher revenue on a partially fixed cost base partially offset by unfavorable product mix.

Current wording

Calibration Solutions' gross profit as a percentage of revenues decreased 1.1 percentage points for the three months ended September 30, 2026 versus the comparable prior year period, primarily due to unfavorable product mix and higher transportation costs. Gross profit as a percentage of revenues increased 1.1 percentage points for the six months ended September 30, 2026 compared with the prior year period, primarily due to higher revenues on a partially fixed cost base.

Previous wording

Selling expense decreased 9.7% for the three months ended June 30, 2026 versus the prior year period, primarily due to lower personnel costs, and to a lesser extent, lower professional services as we continue to realize the benefits of previously announced cost-reduction initiatives.

Current wording

Selling expense was relatively flat for the three months ended September 30, 2026 versus the prior year period. Selling expense decreased 5.0% for the six months ended September 30, 2026 versus the prior year period, primarily due to lower personnel costs as we continue to realize the benefits of prior year cost-reduction initiatives and, to a lesser extent, lower professional services costs.

Previous wording

Labor costs, amortization of intangible assets, and non-cash stock-based compensation drive the substantial majority of our general and administrative expense.

Current wording

Labor costs, amortization of intangible assets, and non-cash stock-based compensation drive the majority of our general and administrative expense.

Previous wording

General and administrative expense decreased 3.2% for the three months ended June 30, 2026 compared with the prior year period, primarily as a result of lower stock-based compensation expense, as the prior year period included expense related to certain multi-year equity awards granted to our former CEO. The decrease was partially offset by higher personnel costs attributable to inflation and costs incurred to settle a litigation matter.

Current wording

General and administrative expense decreased 6.5% and 4.8% for the three and six months ended September 30, 2026, respectively, compared with the prior year periods. The decreases were primarily due to lower stock-based compensation, as the prior year periods included costs associated with multi-year equity awards granted to our former Chief Executive Officer; lower expense related to estimated uncollectible accounts receivable; and lower amortization as certain intangible assets became fully amortized. For the six months ended September 30, 2026, these decreases were partially offset by higher personnel costs and costs related to the final settlement of a litigation matter.

Previous wording

Research and development expense is predominantly comprised of labor costs and costs of third-party consultants.

Current wording

Research and development expense consists predominantly of labor costs and costs of third-party consultants.

Previous wording

Research and development expense decreased 5.2% for the three months ended June 30, 2026 compared to the prior year period, primarily due to lower personnel costs resulting from cost-saving initiatives implemented during the second quarter of the prior fiscal year.

Current wording

Research and development expense was essentially flat for the three months ended September 30, 2026 compared with the prior year period. Research and development expense decreased 2.6% for the six months ended September 30, 2026, primarily due to lower personnel costs resulting from cost-saving initiatives implemented during the second quarter of fiscal year 2026.

Previous wording

Interest expense increased for the three months ended June 30, 2026 compared to the prior year period, primarily reflecting the replacement of the Notes with borrowings under our Credit Facility, which carries a higher interest rate. The increase was partially offset by lower weighted‑average levels of outstanding interest‑bearing debt. We repaid the Notes using $97.0 million of borrowings under the Credit Facility’s Revolver in the second quarter of fiscal year 2026.

Current wording

Interest expense decreased for the three and six months ended September 30, 2026 compared with the prior year periods, primarily reflecting lower weighted‑average levels of outstanding interest‑bearing debt. Lower interest rates on our variable rate debt were offset by the replacement of the 1.375% Notes with borrowings under our Credit Facility, which carries a higher rate than the Notes. We repaid the Notes using $97.0 million of borrowings under the Revolver and $0.5 million of cash on hand in the second quarter of fiscal year 2026.

Previous wording

Other expense (income), net primarily consists of gains and losses on foreign currency transactions. During the prior year period, the U.S. dollar weakened significantly against the euro, resulting in unrealized foreign currency gains of approximately $6.1 million from an intercompany U.S. dollar-denominated loan issued in fiscal year 2024 to one of our wholly owned, euro-denominated subsidiaries.

Current wording

Other expenses (income), net primarily consists of gains and losses on foreign currency transactions. During the prior year period, the U.S. dollar weakened significantly against the euro, resulting in unrealized foreign currency gains of approximately $6.1 million in the six months ended September 30, 2025 from an intercompany U.S. dollar-denominated loan issued in fiscal year 2024 to one of our wholly owned, euro-denominated subsidiaries.

Previous wording

Our effective income tax rate was 35.0% and 32.4%, respectively, for the three months ended June 30, 2026 and 2025. The effective tax rate for the three months ended June 30, 2026 and 2025 differed from the statutory federal rate of 21% primarily due to the impact of the valuation allowance on U.S. deferred taxes.

Current wording

Our effective income tax rate was 28.1% and 31.0%, respectively, for the three and six months ended September 30, 2026 compared to (23.9%) and 19.9%, respectively, for the comparable prior year periods. The effective tax rates for the three and six months ended September 30, 2026 and 2025 differed from the statutory federal rate of 21% primarily due to the impact of the valuation allowance on U.S. deferred taxes.

Previous wording

Our future effective income tax rate depends on various factors, such as changes in the realizability of deferred tax assets, tax laws, regulations, accounting principles, or interpretations thereof, and the geographic composition of our pre-tax income. We carefully monitor these factors and adjust our effective income tax rate accordingly. We currently expect a reasonable possibility of a favorable impact on our effective tax rate within the next 12 months from a potential partial release of the U.S. valuation allowance, although the timing and amount remain subject to our ongoing assessment and other factors affecting the tax rate.

Current wording

Our future effective income tax rate depends on various factors, such as changes in the realizability of deferred tax assets, tax laws, regulations, accounting principles, or interpretations thereof, and the geographic composition of our pre-tax income. We carefully monitor these factors and their potential impact on our effective income tax rate. We currently expect a reasonable possibility of a favorable impact on our effective tax rate within the next 12 months from a potential partial release of the U.S. valuation allowance, although the timing and amount remain subject to our ongoing assessment and other factors affecting the tax rate.

Previous wording

Net income varies with changes in revenue, gross profit, operating expense, and currency exchange rate fluctuations. Net income included $4.4 million, $2.4 million and $1.3 million of non-cash amortization of intangible assets, stock-based compensation expense, and depreciation expense, respectively, for the three months ended June 30, 2026.

Current wording

Net income varies with changes in revenues, gross profit, operating expenses, and currency exchange rate fluctuations. Net income included $8.7 million, $5.7 million and $2.5 million of non-cash amortization of intangible assets, stock-based compensation expense, and depreciation expense, respectively, for the six months ended September 30, 2026.

Previous wording

Our sources of liquidity include cash generated from operations, cash on hand, and cash available from borrowings under our Credit Facility. We believe these sources of cash are sufficient to meet our ongoing operating needs, scheduled debt service obligations, dividend payments and anticipated capital expenditures. As of June 30, 2026 and March 31, 2026, we held $30.7 million and $26.9 million of cash, respectively.

Current wording

Our sources of liquidity include cash generated from operations, cash on hand, and cash available from borrowings under our Credit Facility. We believe these sources of cash are sufficient to meet our ongoing operating needs, scheduled debt service obligations, restructuring obligations related to the Restructuring Program described above and in Note 12.Subsequent Events, dividend payments and anticipated capital expenditures for at least the next twelve months. As of September 30, 2026 and March 31, 2026, we held $22.3 million and $26.9 million of cash, respectively. We generated $18.8 million in cash from operations in the six months ended September 30, 2026.

Previous wording

Working capital, defined as the amount by which current assets exceed current liabilities, was $45.5 million as of June 30, 2026, compared to working capital of $44.4 million as of March 31, 2026.

Current wording

Working capital, defined as the amount by which current assets exceed current liabilities, was $46.7 million as of September 30, 2026, compared with working capital of $44.4 million as of March 31, 2026.

Previous wording

The Revolver provides borrowing capacity of up to $125.0 million, of which $77.3 million was outstanding as of June 30, 2026. Subsequent to June 30, 2026, we repaid an additional $4.0 million of outstanding Revolver borrowings. Based on debt outstanding and interest rates in effect as of June 30, 2026, we expect to incur approximately $7.9 million of cash interest expense over the next twelve months. Required principal debt payments due on our Term Loan within the next twelve months total $5.6 million.

Current wording

The Revolver provides borrowing capacity of up to $125.0 million, of which $67.3 million was outstanding as of September 30, 2026 leaving $57.8 million available, subject to compliance with our covenants. Subsequent to September 30, 2026, we repaid an additional $5.0 million of outstanding Revolver borrowings. Based on debt balances outstanding and interest rates in effect as of September 30, 2026, we expect to incur approximately $7.3 million of cash interest expense over the next twelve months. Required principal debt payments due on our Term Loan within the next twelve months total $5.6 million. As of September 30, 2026, we were in compliance with all covenants under the Credit Facility.

Previous wording

We have paid regular quarterly dividends since 2003. We paid dividends of $0.16 per share during the three months ended June 30, 2026 and 2025.

Current wording

We have paid regular quarterly dividends since 2003. We paid quarterly dividends of $0.16 per share in each quarter of fiscal year 2026 and in each quarter to date of fiscal year 2027.

Previous wording

Cash flows from operating activities provided $14.7 million for the three months ended June 30, 2026, an increase of $12.8 million versus the prior year period. The increase was primarily driven by a $6.3 million increase in collections from customers across several of our businesses as well as improved operating performance, including a $4.0 million increase in operating income.

Current wording

Cash flows from operating activities provided $18.8 million for the six months ended September 30, 2026, an increase of $8.7 million versus the comparable prior year period. The increase was primarily driven by improved operating performance, including a $7.6 million increase in operating income. Strong accounts receivable collections in the first quarter of fiscal year 2027, partially offset by increased receivables associated with sales made late in the second quarter of fiscal year 2027, further contributed to the increase.

Previous wording

Cash used in investing activities decreased for the three months ended June 30, 2026 versus the prior year period as we invested in property, plant and equipment for our new leased facility in Sweden in the prior year. Cash used in financing activities resulted in a $10.5 million use of cash for the three months ended June 30, 2026, including:

Current wording

Cash used in investing activities decreased for the six months ended September 30, 2026 versus the comparable prior year period as the prior period included investments in property, plant and equipment for a new leased facility in Sweden. Financing activities used $22.8 million of cash for the six months ended September 30, 2026, primarily consisting of:

Previous wording

We perform qualitative analyses at least quarterly to identify potential indicators of impairment and to assess whether it is more likely than not that any of our five goodwill reporting units (Sterilization and Disinfection Control, Immunoassays (BPD), Peptides (BPD), Calibration Solutions, and Clinical Genomics) is impaired. As of June 30, 2026, we concluded that there were no indicators of impairment for any of our reporting units.

Current wording

We perform qualitative analyses at least quarterly to identify potential indicators of impairment and to assess whether it is more likely than not that any of our five goodwill reporting units (Sterilization and Disinfection Control, Immunoassays (BPD), Peptides (BPD), Calibration Solutions, and Clinical Genomics) is impaired. As of September 30, 2026, we concluded that there were no indicators of impairment for any of our reporting units. Although Clinical Genomics’ financial performance for the six months ended September 30, 2026 was below the projections used in our most recent quantitative impairment test, performed as of January 1, 2026, we concluded that this shortfall did not indicate that it was more likely than not that the reporting unit's fair value was less than its carrying amount, given the approximately 63% excess of fair value over carrying value at our last testing date.

Previous wording

We are party to contractual obligations that involve commitments to remit payments to third parties in the ordinary course of business. On a consolidated basis, as of June 30, 2026, we had contractual obligations for open purchase orders of approximately $12.5 million for routine purchases of supplies and inventory, of which the substantial majority are payable in less than one year.

Current wording

We are party to contractual obligations that involve commitments to remit payments to third parties in the ordinary course of business. On a consolidated basis, as of September 30, 2026, we had contractual obligations for open purchase orders of approximately $14.1 million for routine purchases of supplies and inventory, of which the substantial majority are payable in less than one year.

Previous wording

See "Liquidity and Capital Resources" for information related to future required debt and other payments. For a description of our contractual obligations and other commercial commitments as of March 31, 2026, see our Annual Report on Form 10-K for the fiscal year ended March 31, 2026.

Current wording

See "Liquidity and Capital Resources" for information related to future required restructuring, debt and other payments. For a description of our contractual obligations and other commercial commitments as of March 31, 2026, see our Annual Report on Form 10-K for the fiscal year ended March 31, 2026.