Analyst Group Comment on Genetic Analysis Q2-report 2026

The following are some key points that we have chosen to highlight in connection with the report:

• Softer top line against a tougher comparable quarter, with reagent kit sales growing 4.5% in constant currency
• Continued shift in the geographic mix towards Europe, reducing US dependence
• Gross margin amounted to 91%, positively affected by an accrued refund of US customs duties
• Cost base increased by 20% on one-off patent and consultancy costs
• Working capital continued to weigh on cash flow, with a current cash position of NOK 14.5m

In summary, Genetic Analysis delivered a softer Q2-26 against a demanding comparable quarter, where reported sales declined 10.2% but grew 4.5% in constant currency within the core business of recurring reagent kit sales, while the weaker total was attributable to currency effects and the absence of pharma-related testing services during the quarter. The geographic mix continued to shift towards Europe, which Analyst Group views as a broadening of the revenue base, while the reported gross margin was inflated by an accrued refund of US customs duties, with the underlying margin broadly in line with last year. The cost increase is assessed to be partly of a one-off character, whereas the cash flow development, driven by the reversal of the customer prepayment, is assessed to warrant closer attention going forward. Even though we are likely to reduce our sales estimates somewhat for 2026, we still expect an accelerated growth during H2-26, where the planned launch of GA-map® IBD Precision Dx, the expanding installed base illustrated by the Australian placement, and the documented global applicability of the platform are expected to constitute the primary drivers.

Read Analyst Group’s comment here

About Analyst Group: One of Sweden's leading equity research boutiques with focus on small and medium-sized listed companies.
Read more about Analyst Group
 
This is a press release from Analyst Group regarding the publication of a comment on Genetic Analysis. Readers may assume that Analyst Group has received compensation for making the comment. The Company has not been given an opportunity to influence the parts where Analyst Group has had opinions about the Company, future valuation or anything else that could be considered a subjective assessment.