Cosmos Health reported record second-quarter revenue in 2026, but its GAAP net loss more than doubled as financing-related fair-value adjustments outweighed improving adjusted operating performance. Revenue increased 28.8% to a record $18.99 million from $14.75 million.
For the first half, revenue increased 29.7% to $36.91 million from $28.46 million, also representing a company record.
Growth was broad-based across the company’s operations.
Decahedron nearly doubled revenue in the United Kingdom, Cana Laboratories increased its contract manufacturing orderbook to more than 25 million units, and CosmoFarm added more than 75 pharmacies to its distribution network.
Despite that growth, quarterly net loss widened to $6.09 million from $2.83 million.
The company said the result included approximately $2.65 million of non-cash charges, principally related to fair-value adjustments associated with financing arrangements.
EBITDA was negative $5.18 million compared with negative $2.19 million.
The adjusted picture improved.
Adjusted EBITDA was negative $1.13 million compared with negative $1.31 million a year earlier, an improvement of approximately 13.8%.
Adjusted gross profit increased 58.4% to $1.84 million, while adjusted gross margin expanded 165 basis points to 9.54%.
Operating expenses increased 16.5%, substantially slower than the 28.8% increase in revenue. Salaries and wages actually declined 0.7% despite the higher sales.
Cosmos also reduced inventory and liabilities while growing.
Inventory declined to $4.52 million at June 30 from $5.78 million at the end of 2025, while total liabilities decreased 13.3% to $40.79 million.
Stockholders’ equity increased 12.2% to $20.67 million.
The company has also begun repurchasing stock under a $5 million authorization. Cosmos repurchased approximately 2.65 million shares for $513,000 during Q2, with purchases continuing after quarter-end.
Management is investing in automation and AI across order management, warehousing and supply-chain operations and believes the initiatives could reduce certain operating expenses by as much as 30%.
KEY QUOTE:
“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%.”
Greg Siokas, CEO of Cosmos Health
