Harvard Bioscience Reports 16.1% Revenue Decline and $12.4 Million Net Loss for Fiscal Year 2024

Harvard Bioscience, Inc. reported a significant decline in its financial performance for the fiscal year ended December 31, 2024, with revenues decreasing by 16.1% to $94.1 million, down from $112.3 million in 2023. The company's gross profit also fell by 17.1% to $54.8 million, resulting in a gross margin of 58.2%, slightly lower than the previous year's 58.9%. The decline in revenue was attributed primarily to a softening demand from distributors, contract research organizations (CROs), and academic medical research institutions. The company recorded a net loss of $12.4 million, compared to a loss of $3.4 million in the prior year.

In terms of operational changes, Harvard Bioscience undertook restructuring efforts that included headcount reductions in Europe and North America, incurring $0.8 million in related expenses during 2024. The company also consolidated its enterprise resource planning (ERP) system in the U.S. to improve operational efficiency. As of December 31, 2024, the company employed 355 individuals, a reduction from previous years, reflecting its efforts to streamline operations and reduce costs.

The company’s product offerings are divided into two main families: Cellular and Molecular Technologies (CMT) and Preclinical products. CMT products accounted for approximately 49% of total revenues, while Preclinical products made up 51%. The company has focused on expanding its product offerings in bioproduction and organoid research, with the introduction of new products such as the MeshMEA™ system aimed at enhancing research capabilities in cardiac and neurological testing.

Looking ahead, Harvard Bioscience faces challenges related to its financial obligations, particularly a $37.4 million debt under its Credit Agreement, which it was not in compliance with as of December 31, 2024. The company entered into a March 2025 Amendment to its Credit Agreement to address this non-compliance, which includes specific refinancing milestones that must be met by June 30, 2025. The company is exploring alternative sources of capital to refinance its debt, but there is substantial doubt about its ability to continue as a going concern if these efforts are unsuccessful. The management's outlook emphasizes the need for strategic actions to stabilize the company's financial position and improve operational performance in the coming year.