Record Consolidated Net Sales
Total consolidated net sales of $23.3M for Q1 FY2026, a 9.2% year-over-year increase and the strongest YoY growth rate since FY2024.
ZERUST Oil & Gas Strong Growth and Large Contract Win
ZERUST Oil & Gas net sales reached a Q1 record of $2.4M, up 58.1% YoY and marking the second consecutive quarter with >$2M in revenue. ZERUST Brazil (85% owned) secured a major FPSO contract with an estimated value of ~$13M over the next 3–4 years, expected to ramp through FY2026 and into 2028.
NTIC China Outperformance
Wholly owned NTIC China net sales rose 23.5% YoY to $4.9M, driven primarily by domestic Chinese demand and limited exposure to U.S. tariffs.
Natur-Tec Quarterly Record and Sequential Improvement
Natur-Tec bioplastics sales were a quarterly record of $6.0M, up 2.2% YoY and up 16.5% sequentially from Q4, driven by higher North American sales and progress on larger opportunities (including compostable food packaging initiatives).
Joint Venture Revenue Growth
Total joint venture net sales (not consolidated) increased 2.9% YoY to $24.5M, reflecting improved demand across multiple JV partners.
Strategic Focus on Profitability and Operating Leverage
Management emphasized investments in operations, a plan to flatten operating expenses, focus on higher-margin segments, and an expectation of sequential gross margin improvement and stronger profitability through FY2026.
Balance Sheet and Capital Actions
Working capital of $19.4M and cash & equivalents of $6.4M as of Nov 30, 2025; outstanding debt of $12.0M (down slightly from $12.2M on Aug 31, 2025). Board declared a quarterly cash dividend of $0.01 per share.