Encision Reports Second Quarter Fiscal Year 2026 Results

BOULDER, CO / ACCESS Newswire / November 14, 2025 / Encision Inc. (PK:ECIA), a medical device company owning patented Active Electrode Monitoring (AEM) Technology that prevents dangerous radiant energy burns in minimally invasive surgery, today announced financial results for its fiscal 2026 second quarter that ended September 30, 2025.

The Company posted quarterly product net revenue of $1.48 million and service net revenue of $46 thousand, or total net revenue of $1.52 million, resulting in a quarterly net loss of $268 thousand, or $(0.02) per diluted share. These results compare to product net revenue of $1.65 million and service net revenue of $102 thousand, or total net revenue of $1.76 million, resulting in a quarterly net loss of $170 thousand, or $(0.01) per diluted share, in the year-ago quarter. Gross margin on product net revenue was 46% in the fiscal 2026 second quarter and 47% in the fiscal 2025 second quarter.

"Encision continues to fight the attrition of laparoscopic surgical procedure migration to robotics and is focusing our time and resources innovating in segments where robotics are not a factor," says Gregory Trudel the President and CEO of Encision. Our development efforts are culminating in the completion of a new device for the Ear Nose and Throat space that will deliver new levels of patient safety, surgical performance and efficiency, and significant cost savings to hospitals and surgery centers. We expect the product launch in our Q4 and are assembling sales channels and other necessary resources."

Encision Inc. designs and markets a portfolio of high-performance surgical instruments that deliver advances in patient safety, surgical performance, and value to hospitals across a broad range of minimally invasive surgical procedures. Based in Boulder, Colorado, the company pioneered the development and deployment of Active Electrode Monitoring (AEM) technology to eliminate dangerous stray energy burns during minimally invasive procedures. For additional information about all our products, please visit www.encision.com.

In accordance with the safe harbor provisions of the Private Securities Litigation Reform Act of 1995, the Company notes that statements in this press release and elsewhere that look forward in time, which include everything other than historical information, involve risks and uncertainties that may cause actual results to differ materially from those indicated by the forward-looking statements. Factors that could cause the Company's actual results to differ materially include, among others, its ability to develop new or enhanced products and have such products accepted in the market, its ability to increase net sales through the Company's distribution channels, its ability to compete successfully against other manufacturers of surgical instruments, insufficient quantity of new account conversions, insufficient cash to fund operations, delay in developing new products and receiving FDA approval for such new products and other factors discussed in the Company's filings with the Securities and Exchange Commission. Readers are encouraged to review the risk factors and other disclosures appearing in the Company's Annual Report on Form 10-K for the year ended March 31, 2025, and subsequent filings with the Securities and Exchange Commission. We do not undertake any obligation to update publicly any forward-looking statements, whether as a result of the receipt of new information, future events, or otherwise.

CONTACT: Brandon Shepard, Encision Inc., 303-444-2600, [e-mail]

 

Encision Inc.
Condensed Balance Sheets

		September 30, 2025 Unaudited				March 31, 2025 Audited
ASSETS
Current assets:
Cash		$	71,731			$	257,433
Accounts receivable			761,947				786,471
Inventories			1,468,863				1,483,182
Prepaid expenses			144,331				85,679
Total current assets			2,446,872				2,612,765
Equipment:
Furniture, fixtures and equipment, at cost			2,628,661				2,585,446
Accumulated depreciation			(2,378,645	)			(2,340,689	)
Equipment, net			250,016				244,757
Right of use asset			1,116,454				568,395
Patents, net			161,427				171,890
Other assets			81,990				72,892
TOTAL ASSETS		$	4,056,759			$	3,670,699
LIABILITIES AND SHAREHOLDERS' EQUITY
Current liabilities:
Accounts payable		$	314,815			$	346,900
Line of credit			31,706				395,964
Secured notes			35,202				44,128
Accrued compensation			199,657				180,850
Deferred Revenue			-				17,401
Other accrued liabilities			147,019				160,274
Accrued lease liability			343,172				430,398
Total current liabilities			1,071,571				1,575,915
Long-term liabilities:
Secured notes			162,249				177,470
Accrued lease liability			958,152				266,212
Total liabilities			2,191,972				2,019,597
Commitments and contingencies (Note 4)
Shareholders' equity:
Preferred stock, no par value: 10,000,000 shares authorized; none issued and outstanding			-				-
Common stock and additional paid-in capital, no par value: 100,000,000 shares authorized; 16,879,645 and 11,879,645 issued and outstanding at September 30, 2025, and March 31, 2025, respectively			24,938,998				24,416,347
Accumulated (deficit)			(23,074,211	)			(22,765,245	)
Total shareholders' equity			1,864,787				1,651,102
TOTAL LIABILITIES AND SHAREHOLDERS' EQUITY		$	4,056,759			$	3,670,699

 

Encision Inc.
Condensed Statements of Operations
(Unaudited)

		Three Months Ended								Six Months Ended
		September 30, 2025				September 30, 2024				September 30, 2025				September 30, 2024
NET REVENUE:
Product		$	1,481,802			$	1,653,820			$	2,974,634			$	3,245,779
Service			46,248				101,568				156,144				140,539
Total revenue			1,528,050				1,755,388				3,130,778				3,386,318
COST OF REVENUE:
Product			805,734				882,886				1,472,545				1,550,520
Service			24,983				44,020				82,441				64,653
Total cost of revenue			830,717				926,906				1,554,986				1,615,173
GROSS PROFIT			697,333				828,482				1,575,792				1,771,145
OPERATING EXPENSES:
Sales and marketing			395,793				458,480				800,394				881,716
General and administrative			358,639				373,405				686,838				725,310
Research and development			201,392				155,515				366,832				294,695
Total operating expenses			955,824				987,400				1,854,064				1,901,721
OPERATING (LOSS)			(258,491	)			(158,918	)			(278,272	)			(130,576	)
Interest expense, net			(11,384	)			(10,598	)			(29,393	)			(16,967	)
Other (expense) income, net			2,042				(746	)			(1,301	)			(679	)
Interest expense and other income (expense), net			(9,342	)			(11,344	)			(30,694	)			(17,646	)
(LOSS) BEFORE PROVISION FOR INCOME TAXES			(267,833	)			(170,262	)			(308,966	)			(148,222	)
Provision for income taxes			-				-				-				-
NET (LOSS)		$	(267,833	)		$	(170,262	)		$	(308,966	)		$	(148,222	)
Net (loss) per share-basic and diluted		$	(0.02	)		$	(0.01	)		$	(0.02	)		$	(0.01	)
Weighted average shares-basic and diluted			14,187,337				11,875,145				13,033,491				11,875,145

 

Encision Inc.
Condensed Statements of Cash Flows
(Unaudited)

Six Months Ended		September 30, 2025				September 30, 2024
Cash flows (used in) operating activities:
Net (loss)		$	(308,966	)		$	(148,222	)
Adjustments to reconcile net (loss) income to net cash (used in) provided by operating activities:
Depreciation and amortization			48,570				42,525
Stock-based compensation expense related to stock options			22,651				25,011
Provision for potential inventory obsolescence			2,569				83,152
Change in operating assets and liabilities:
Right of use asset, net			56,656				(6,909	)
Accounts receivable			24,524				74,127
Inventories			11,750				154,520
Prepaid expenses and other assets			(55,968	)			15,935
Accounts payable			(49,487	)			(26,678	)
Accrued compensation and other accrued liabilities			5,552				(20,762	)
Net cash (used in) provided by operating activities			(242,149	)			192,699
Cash flows (used in) investing activities:
Acquisition of property and equipment			(43,215	)			(42,559	)
Patent and Trademark costs			(11,933	)			(17,359	)
Net cash (used in) investing activities			(55,148	)			(59,918	)
Cash flows from financing activities:
(Repayments) Borrowing from line of credit			(364,258	)			(77,834	)
(Payments) from options exercised			-				(1,449	)
Proceeds from issuance of common stock			500,000				-
(Paydown) Draw on Secured notes			(24,147	)			134,007
Net cash provided by financing activities			111,595				54,724
Net (decrease) increase in cash			(185,702	)			187,505
Cash, beginning of fiscal year			257,433				42,509
Cash, end of six months		$	71,731			$	230,014
Supplemental disclosures of cash flow information:
Cash paid during the year for interest		$	29,393			$	16,967

SOURCE: Encision, Inc.

View the original press release on ACCESS Newswire


The Encision Stock at the time of publication of the news with a fall of -19,19 % to 0,160USD on Nasdaq OTC stock exchange (13. November 2025, 02:10 Uhr).

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