Niagen Bioscience Inc. (NAGE:NASDAQ) released its financial results for the first quarter of 2026, reporting a 3% increase in total net sales to US$31.5 million, with US$22.4 million attributed to its Tru Niagen® product, according to a May 6 release.
When excluding the recently divested Analytical Reference Standards and Services segment, net sales saw a 5% rise to US$31.1 million, the company said. The gross margin stood strong at 63.5%, reflecting the ongoing robustness of the business mix. Net income for the quarter was US$6.3 million, which included a significant US$4.8 million gain from the sale of the Analytical Reference Standards and Services segment.
Earnings per share were reported at US$0.08 for basic and US$0.07 for diluted shares, the release stated. The company also noted an Adjusted EBITDA of US$3.8 million. Over the quarter, working capital increased by US$5.4 million, although US$1.2 million was used in operating cash flow, primarily due to higher inventory levels and the timing of receivables. The quarter ended with US$66.5 million in cash and cash equivalents. Additionally, Niagen Bioscience repurchased US$2.4 million of its common stock during this period.
“We delivered US$31.5 million of net sales and US$6.3 million of net income for the first quarter,” Niagen Bioscience Chief Executive Officer Rob Fried said. “Our results reflect continued execution across the business, including growth in our e-commerce channel and progress across key strategic initiatives. We are advancing our scientific leadership and expanding our commercial reach while remaining focused on disciplined investment and long-term value creation from our NAD+ platform.”
Co. Expanding Product, Service Offerings
Looking ahead to the full year of 2026, the company said it anticipates an increase in sales and marketing investments, with a revised outlook for general and administrative expenses expected to rise by US$3 million to US$4 million, improved from the previously forecasted US$4 million to US$5 million.
In recent operational developments, Niagen Bioscience has been actively expanding its product and service offerings. In May 2026, the company said it launched a clinician-directed telehealth platform called Niagen Plus, which allows eligible U.S. patients to access Niagen® at-home injection kits, broadening the reach of its clinic channel to include direct-to-patient access. April 2026 saw the establishment of the first United States Pharmacopeia (USP) monograph for nicotinamide riboside chloride (NRCL), a move that underscores the company’s commitment to high standards in NAD+ science.
Additionally, the company has diversified its 503B network by adding a new compounding partner, expanding the Niagen Plus offerings. March 2026 was particularly eventful, with the launch of Niagen IV in over 80 Medi-Spa clinics on luxury cruise ships, the approval of a US$20 million increase in the company’s share repurchase program, and the entry into the skincare market with the launch of Niagen’s Nanocloud™. This skincare product, developed by the Niagen Skincare Innovation Lab, aims to assess market opportunities and gather consumer insights for future developments.
Furthermore, in February 2026, Niagen Bioscience completed the sale of its Analytical Reference Standards and Services segment to LGC Standards in an all-cash deal, streamlining its operations and reinforcing its focus on core scientific and commercial growth, the company said.
Niagen said it anticipates net sales to increase by 10-15% year-over-year in 2026, excluding sales from the divested Analytical Reference Standards and Services segment. This growth is expected to be driven mainly by the e-commerce business and new strategic partnerships. The company also projects a slight improvement in gross margin due to better inventory cost and product mix. Sales and marketing expenses are expected to rise both in absolute terms and as a percentage of sales, driven by increased investments to enhance customer acquisition and support new vertical launches. Research and development expenses are set to increase, focusing on pharmaceutical development and ongoing research into topical and injection applications.
Analyst: Results Exceed Estimates
Niagen’s financial performance in the first quarter of 2026 surpassed cautious estimates across all major metrics, buoyed by robust e-commerce sales which compensated for diminished retail customer sales, reported an updated research note by Roth Capital Partners Analyst Sean McGowan on May 7.
The company also made notable strides in developing new revenue streams. It is anticipated that Niagen will escalate its spending in anticipation of revenue growth, with significant sales increases expected in the latter half of the year. Consequently, sales and EBITDA projections have been adjusted downward, and the price target has been reduced from US$13 to US$12. The rating was a Buy.
During the first quarter, NAGE encountered sales challenges due to the divestiture of a business segment and the decision by two major retail customers to halt orders amid their inventory adjustments, the analyst noted. Despite these challenges, sales, excluding the divested segment, grew by 5%. These challenges are expected to persist into the second quarter but should diminish as the year progresses. E-commerce sales of TruNiagen continued to show strong growth, particularly from NAGE’s own website, which outpaced other sales channels.
Amidst these developments, the company enhanced its operational capabilities by adding a second compounding pharmacy to meet the robust demand for Niagen IV. Additionally, NAGE recently commenced the distribution of Nano Cloud, a promising niagen-based skin treatment product. Reflecting these operational adjustments and the lower sales to retail customers, the sales forecast for 2026 has been modestly reduced from US$148.3 million to US$142.1 million. Sales and marketing expenses have also been revised upward to support these initiatives.
In terms of product performance, TruNiagen grew by 4%, while ingredient sales increased by 5%, with Niagen ingredients specifically up by 2% year-over-year, McGowan noted. The introduction of the second compounding pharmacy is expected to enhance the availability of Niagen IV, potentially reducing retail costs and expanding the market reach. The company has also initiated a telehealth operation to facilitate access to at-home injectable products.
“Gross Margin rose to 63.5% up from 63.4% and compared to our estimate of 63.3%,” the analyst said. “The upside was driven by shifts in the revenue mix. We expect gross margins in the for the year to approximately 64.4%, slightly above our prior estimate of 64.3%, which was also the full year level for 2025. 4Q to decline, as cost of sales in the Consumer segment will normalize. Our gross margin estimates for ’27 and ’28 are unchanged.”
Lawsuit Against the FDA
Niagen Bioscience has recently initiated legal action against the FDA, its commissioner Martin Makary, the Department of Health and Human Services, and Health Secretary Robert F. Kennedy, challenging the FDA’s decision to permit the sale of nicotinamide mononucleotide (NMN) products in the U.S., according to a research note by H.C. Wainwright & Co. Analyst Raghuram Selvaraju on March 5.
This lawsuit is grounded in the contention that the FDA’s decision contravenes the 1938 Food, Drug and Cosmetic Act (FDCA), which originally banned the sale of such products because they were under investigation as a drug. The lawsuit argues that the FDA’s decision, which appears to favor companies marketing NMN-based products illegally, was arbitrary and violated the Administrative Procedure Act.
While NMN-based products are not seen as a significant competitive threat to Niagen Bioscience’s Tru Niagen, the potential regulatory removal of these products from the U.S. market, possibly by 2027, could facilitate a quicker sales acceleration for Niagen Bioscience, the note said. It is noteworthy that most NMN products available in the U.S. are manufactured in China, raising concerns about potential contamination risks.
The lawsuit is expected to be resolved through summary judgment, requiring a decision by a judge, which could potentially be delivered before the end of this year. Additionally, this legal battle is not anticipated to significantly impact the company’s general and administrative (G&A) spending.
“We apply a 7.15x revenue multiple to our 12-month top-line estimate of US$144 million (discounted back at a 10% rate, which translates to ~US$119 million), which yields a price objective of US$12 per share,” the analyst wrote. “Risks include, but are not limited to: (1) slower than projected U.S. sales growth; (2) unfavorable clinical data; (3) adverse legal decisions; (4) inability to achieve traction in ex-U.S. markets; and (5) disruptions due to geopolitical risk factors, including international tariffs (we note that supplements and nutraceuticals are currently tariff-exempt).”
Selvaraju rated the stock a Buy.
The Catalyst: Tech Advances Driving Explosive Growth
The global biotechnology market is experiencing rapid growth, with its valuation estimated at US$1.55 trillion in 2023 and projected to reach US$3.88 trillion by 2030, according to Grand View Research. This represents a robust compound annual growth rate (CAGR) of 13.96% from 2024 to 2030.
The expansion is significantly driven by the advancements in big data, artificial intelligence (AI), and machine learning (ML) technologies, which are increasing the demand for scalable and high-performance cloud infrastructure, the report said.
“The growing foothold of personalized medicine and an increasing number of orphan drug formulations are opening new avenues for biotechnology applications and are driving the influx of emerging and innovative biotechnology companies, further boosting the market revenue,” Grand View said.
According to another report by Grand View, “The global anti-aging products market size was estimated at US$55.66 billion in 2025 and is projected to reach US$107.61 billion by 2033, growing at a CAGR of 8.9% from 2026 to 2033. The growth is increasingly anchored in a preventive approach to skincare rather than reactive treatment.”
“Consumers across age groups are shifting focus toward early intervention, prioritizing daily routines that slow visible signs of aging before they become pronounced,” that report noted. “This mindset has expanded demand across the industry, particularly for products positioned around long-term skin health, barrier repair, and collagen preservation.”
According to a report by Abhay Rajput for Futurism on May 5, the increasing research and development in personalized medicine, numerous advancements in genetic engineering, and escalating demand for sustainable agriculture are some of the major factors propelling the market.
Another major development is using AI to discover novel drugs, he wrote.
“AI and machine learning platforms are revolutionizing early-stage drug discovery by analyzing vast genomic and proteomic datasets to identify viable biological targets in a fraction of the time traditional methods require,” he noted.
Ownership and Share Structure1
About 2% of the company is owned by insiders and management, including the CEO Fried with 2.09%. About 27% is owned by strategic corporate entities, and about 45% by institutions. The rest is retail.
Other top shareholders include Brilliant Dynasty Ltd. with 14.32%, Pioneer Step Holdings Ltd. with 8.69%, BlackRock Institutional Trust Co. with 4.43%, and SteelPeak Wealth LLC with 4.24%.
Its market cap is US$333.71 million with 79.64 million shares outstanding. It trades in a 52-week range of US$4.04 and US$14.69.
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1. Ownership and Share Structure Information
The information listed above was updated on the date this article was published and was compiled from information from the company and various other data providers.