MindWalk Holdings reported 21.3% year-over-year revenue growth for its fiscal first quarter of 2027 as the Bio-Native AI company launched ReefIQ and began shifting toward recurring, platform-based revenue.
Revenue increased to C$3.8 million, while gross profit rose 47.1% to C$2.2 million. Gross margin expanded sharply to 58.6% from 48.3%. Operating cash usage declined slightly to C$4.0 million despite increased sales and marketing investment behind ReefIQ’s commercial rollout.
MindWalk commercially launched ReefIQ in June and said it is now in active discussions with multiple large pharmaceutical companies regarding enterprise deployments. Approximately 80% of its commercial funnel by value consists of partnership-structured opportunities rather than individual projects.
ReefIQ is built on MindWalk’s HYFT technology, a biological representation incorporating approximately 660 million patterns and 25 billion relationships. The company positions ReefIQ as a biological data substrate for life-sciences AI, while LensAI provides reasoning and applications for target discovery, candidate diligence, portfolio decisions and agentic AI workflows.
MindWalk has also validated a production deployment using AMD Instinct GPUs with AMD and Vultr, providing additional computing capacity for enterprise customers.
After quarter-end, the company received a binding commitment for a senior unsecured revolving credit facility of up to US$30 million at a fixed 7% rate. The facility carries no financial maintenance covenants, warrants, conversion feature or asset pledge, providing capital to support the ReefIQ rollout without issuing equity.
The company remains in an investment phase. Net loss from continuing operations widened to C$6.1 million from C$4.1 million, while adjusted EBITDA loss was approximately C$5.1 million.
MindWalk said its existing discovery business works with 19 of the world’s 20 largest pharmaceutical companies and provides the foundation for expanding ReefIQ into larger enterprise relationships.
KEY QUOTES:
“We delivered a strong quarter, with revenue up 21% and gross margin expanding to 59%, while launching ReefIQ into a market moving toward exactly what we built. Our discovery business, which pairs wet-lab biologics with in silico capabilities for 19 of the top 20 pharmaceutical companies, is the foundation. On top of it, ReefIQ opens the door to enterprise partnerships of a scale well beyond our historical recurring agreements.”
“The US$30 million facility we announced today gives us the flexibility to fund that rollout as needed, without issuing a single share. No warrants or conversion feature, and no pledge of our assets.”
Jennifer Bath, PhD, President and CEO of MindWalk
