Cosmos Health Inc. Q2 FY26 Results

Q2 2026 was a record second quarter, with revenue of $18.99 million, up 29% year-over-year, capping a record first half of $36.91 million. On an adjusted basis, this represents an annualized revenue run-rate in excess of $75 million — a new milestone for Cosmos, and one achieved before any impact from potential acquisitions or from second-half seasonality, which was materially stronger last year and which we expect again this year. Every core division contributed: CosmoFarm added over 75 pharmacies, Cana built its contract manufacturing orderbook to over 25 million units, and Decahedron nearly doubled its revenue in the United Kingdom. Our proprietary brands continued to gain ground. Sky Premium Life extended its reach across Europe and the UAE through new distribution agreements. C-Scrub and C-Sept continued to build momentum, with C-Sept PRO gaining traction across leading Greek hospital groups, and C-Scrub cleared EN 12791 for surgical hand disinfection — opening the hospital and surgical channels as well as an entirely new vertical for us in animal health. During the quarter we also took our U.S. expansion from concept to execution with the 18 Series, a portfolio we are building toward 18 clinically validated products spanning liver health, joint and inflammation support, cardiovascular health, men's wellness and healthy aging, among other areas. Supported by local manufacturing, we expect the United States to become one of our principal growth engines. Equally important is how we achieved this growth. Adjusted gross profit rose 58% in the quarter with adjusted gross margin expanding 165 basis points, operating expenses grew at little more than half the rate of revenue, and we reduced both receivables and inventory while revenue grew nearly 30%. That is the operating leverage we have been building toward, and we are investing to extend it — a new capsule production line at Cana, robotic automation and AI systems at CosmoFarm, and AI integration across order management, warehousing and supply chain, where we see scope to reduce certain operating expenses further. We also cut total liabilities by $6.3 million since year-end, lifting stockholders' equity 12% to $20.7 million and improving our liabilities-to-assets ratio by 550 basis points. Separately, we began buying back our own stock because we believe our shares trade well below the underlying value of our diversified asset base and growth prospects. Moving forward, we are starting to see the benefits of economies of scale and vertical integration, and we expect increased efficiencies to play an important role as we progress toward sustained profitability. That momentum carries into Q3 2026 across every core segment, with our U.S. platform beginning to contribute.