Hydromer Reports Modest Q1 Decline, Focuses on Strategic Growth and Innovation

Hydromer, Inc., a specialized medical device coating technology company, reported preliminary unaudited financial results for the first quarter of 2025, revealing modest challenges in revenue and profitability while maintaining a strategic focus on future growth.

The company's first-quarter revenue totaled $1.0 million, representing a 9% decrease from the $1.1 million recorded in the same period of 2024. According to CEO Michael Torti, this decline stems primarily from legacy customer attrition and typical delays in onboarding new medical coating programs.

Net income for the quarter was $112,000, a 64% reduction compared to the previous year. The decreased profitability reflects both lower revenue and increased operating expenses associated with ongoing investments in product development and commercial infrastructure.

Despite the financial challenges, Hydromer remains committed to its long-term strategic objectives. The company is prioritizing operational efficiency, customer partnerships, and next-generation technology development. Torti emphasized that the current investments are crucial for positioning the company for future growth and expanding into higher-value markets.

The company has also made strategic decisions regarding its financial reporting, opting to postpone a comprehensive U.S. GAAP audit. Management determined that, given current cash resources, proceeding with a formal audit would not be a prudent use of capital. Instead, they will maintain accurate internal financial records and reassess the audit requirements as the company's financial position evolves.

Hydromer continues to leverage its four-decade expertise in surface modification and coating solutions, serving businesses across the United States, Europe, and Asia-Pacific. The company maintains compliance with FDA, GMP, ISO 13485, and ISO 9001 standards, positioning itself as a global provider of specialized coating technologies.

While the first quarter of 2025 presented financial challenges, Hydromer's leadership remains optimistic about the company's trajectory. By focusing on innovation, strategic investments, and operational efficiency, the company aims to overcome short-term revenue fluctuations and deliver meaningful results in upcoming quarters.