- LSL Pharma Group Reports Record Q1-2026 Revenues while positioning for improved profitability following Steri-Med Pharma production resumption.
- Launch of new eye-drop portfolio planned for the second quarter of 2026.
- Secured US-FDA certification of Steri-Med to manufacture ophthalmic ointment for the US market.
BOUCHERVILLE, QC, May 25, 2026 /CNW/ – LSL PHARMA GROUP INC. (TSXV:LSL) (the “Corporation” or “LSL Pharma “), a Canadian integrated pharmaceutical company, today reported its financial results for the first quarter ended March 31, 2026 (“Q1-26”). All amounts are presented in millions (“M”) of Canadian dollars.
Q1-26 Corporate and Financial Highlights
- Record quarterly consolidated revenues, including full quarter contribution from Laboratoire Du-Var (“Du-Var”) and Juno OTC acquired on January 1st, 2026 and to be presented as 3rd business segment;
- Strong Eye-Care revenues show significant market share gains in Canada;
- Q1-26 profitability temporarily impacted by the three-month Steri-Med Pharma (Steri-Med) production pause, with full production activities having resumed in April 2026;
- Secured US-FDA certification of Steri-Med to manufacture ophthalmic ointment for the US market;
- Commissioning of new state-of-the-art sterile ointment manufacturing line on track for commercial production by Q1-27;
- Development of three (3) new ointment products initiated for regulatory filings during FY-27.
- Binding term sheet signed with Instapill Private Limited (“Instapill”) for the Canadian rights to private label Loratadine 10 mg Orally Disintegrating Tablets (ODT), a bioequivalent product to Claritin® Rapid DissolveTM;
- Revolving credit facility increased from $7.5M to $11M;
“During the first quarter of 2026, we saw the positive impact of the recent acquisitions of Juno OTC and Du-Var on our operating results and the diversification of our business platform. While profitability during the quarter was temporarily impacted by the Steri-Med production pause and acquisition-related integration costs, we expect the contribution of both Juno OTC and Du-Var to accelerate over the coming quarters as we leverage operational synergies and expand our respective business opportunities,” said François Roberge, President and CEO of LSL Pharma Group. “At Steri-Med, full production activities resumed in April 2026 following the acceptance of our remediation plan by Health Canada. Management expects improved operating performance and margin recovery over the coming quarters following the production resumption and integration synergies from recent acquisitions. In addition, having received our first shipments of eye-drops, we remain on track for the commercial launch of our eye-care portfolio starting in Q2-26, which we believe positions the Corporation for significant improved operational and financial performance going forward,” added Mr. Roberge.
Q1-26 vs Q1-25 Results
- Record quarterly revenues at $12.3M up 86% compared to $6.6M;
- CMO revenues of $6.2M compared to $5.7M, a 7% increase;
- Eye-care segment revenues were $1.5M up 71% from $0.9M;
- Private Label revenues of $4.6M compared to Nil;
- Adjusted Gross Profit of $2.9M compared to $2.4M;
- Adjusted EBITDA of $0.5M compared to $0.8M;
- Net loss of $2.8M compared to $0.2M.
While Q1-26 profitability was impacted by temporary production interruption costs at Steri-Med, integration expenses related to the Juno OTC and Du-Var acquisitions, and the financing costs associated with the Corporation’s growth strategy, management believes these factors are largely transitional in nature and expects profitability to improve as production normalizes and operating synergies are realized.
Subsequent to Q1-26
- First Eye-drops shipments received, for market launch during Q2-26 as planned.
“The Juno OTC and Du-Var acquisitions have diversified our revenue base and added another growth segment to our platform. With production at the Steri-Med plant having resumed in April, we are happy about our first quarter 2026 performance despite the slower activity at the Steri-Med plant resulting from the regulatory driven production halt. Record domestic revenues for our Eye-care division, driven by strong market share gains, have offset the financial impact of the slower Steri-Med production activity”, said Luc Mainville, Executive Vice-president and CFO of LSL Pharma Group. The addition of Du-Var and Juno OTC give the …