CSBR earnings analysis
What we found in CSBR's 10-K: the parts that mattered, the offsets in the same document, and what the company said about what comes next.
Our reading of the filing · Free to read, no account needed
Champions Oncology delivered FY2026 revenue growth to $59.425 million, led by a 17.6% increase in pharmacology services, but the earnings trajectory reversed as heavier R&D, commercial, G&A and outsourced-laboratory spending produced a $1.175 million net loss and $4.472 million operating cash outflow. Strategy centers on monetizing its TumorGraft PDX bank, data/AI capabilities and Lumin platform while advancing selected internally discovered targets; management is also evaluating licensing, spin-outs and capital raises for discovery assets. The near-term setup is balanced: in-house radiopharmacology is a potential FY2027 cost tailwind, but cash fell to $4.872 million, customer concentration rose to 24% of revenue, and there was no explicit annual financial guidance.
The parts that mattered.
Pulled out of the filing itself, with the figures the company reported.
- Pharmacology services drove growth
- FY2026 oncology revenue increased 4.4% to $59.425 million. Pharmacology services grew 17.6% to $57.133 million, more than offsetting declines in TOS data licensing and other TOS revenue.
- Integrated PDX, data and AI strategy
- The company positions its TumorGraft PDX bank, multi-omic Datacenter, Lumin software, analytics and AI as an integrated platform designed to speed oncology drug discovery and lower development costs. It has a pipeline of targets in discovery/validation, with select programs in early therapeutic development.
- In-house radiopharmacology cost lever
- Management says fiscal 2026 radiopharmacology outsourcing raised cost of oncology revenue, but capabilities were transitioned in-house during the year. This is intended to reduce outsourced laboratory costs in fiscal 2027.
- Q4 results exceeded supplied consensus
- The company reported a Q4 revenue beat of $13.835 million versus the supplied $12.860 million consensus estimate, while adjusted EPS of $0.01 exceeded the supplied estimate of negative $0.05.
- Repurchase capacity retained
- Capital investment remained modest at $564,000 of property-and-equipment purchases in FY2026. The company retains $4.3 million under its $5.0 million repurchase authorization, though it made no repurchases in FY2025 or FY2026.
- Single-segment reporting limits mix visibility
- The operating model remains a single reportable oncology-services segment; all four operating subsidiaries generated no revenue in FY2026 or FY2025. Geographic revenue mix is not disclosed.
And the other side of it.
The offsets in the same document — the things a summary that only listed the good news would have left out.
- Loss and operating-cash-flow reversal
- Profitability and cash flow deteriorated despite revenue growth: FY2026 operating income swung to a $1.140 million loss from $4.553 million income, net loss was $1.175 million versus $4.701 million income, and operating cash flow swung to a $4.472 million outflow from a $7.386 million inflow. The company ended with $4.872 million cash and negative working capital of $703,000.
- Higher customer concentration
- Revenue concentration increased: one customer represented 24% of FY2026 revenue, up from 13% in FY2025, and represented 25% of net accounts receivable at April 30, 2026. Customer studies can be cancelled or modified when drug-development plans change.
- Israel and regional-conflict exposure
- Management newly highlights potential disruption from ongoing wars with Iran and its proxies: its chairman resides in Israel and several customers operate there. The company states it has not yet experienced a material disruption, but cannot assure that future events will not harm operations or collections.
- Non-pharmacology revenue contracted
- TOS revenue contracted sharply as FY2025 included a significant single-customer data-license transaction that did not recur. Data-license revenue fell $3.912 million to $764,000, while other TOS revenue fell $2.155 million to $1.528 million after the strategic shift away from flow cytometry.
- Margin pressure from elevated investment
- Expense growth outpaced revenue: cost of oncology revenue rose 8.8%, R&D 33.1%, sales and marketing 23.5%, and G&A 19.4%, versus 4.4% revenue growth. Gross margin consequently declined to 48.0% from 50.1%.
- Long-term lab lease commitment
- The June 2026 Rockville lab lease amendment extends the facility through March 2037 and is expected to add approximately $16.9 million of future minimum lease payments and $6.3 million of lease assets/liabilities.
What they reported.
What the company itself reported, taken out of the document.
- Earnings per share
- $-0.08
- Gross margin
- 48.0%
- Operating margin
- -1.9%
- Segment
- Pharmacology services: $57.133 million, up 17.6% from $48.585 million
- Segment
- TOS data-license revenue: $0.764 million, down 83.7% from $4.676 million
- Segment
- Other TOS revenue (flow cytometry and Lumin SaaS): $1.528 million, down 58.5% from $3.683 million
What they said about what is next.
The 10-K provides no explicit revenue or EPS outlook. Management states that cash on hand plus expected operating cash flows are adequate to fund operations through at least August 2027; it expects bringing radiopharmacology capabilities in-house to reduce outsourced laboratory costs in fiscal 2027.
The filing reads about the same as the one before it.
What came before.
- 10-Q · March 12, 2026
- Champions Oncology, Inc. reported Q3 results for the period ending January 31, 2026, with revenue of $17 million, a slight decline of 2.8% year-over-year. The company posted a diluted EPS of -$0.02, falling short of the…
- 10-Q · December 15, 2025
- Champions Oncology reported revenue of $15.0 million for Q2 2025, marking a notable 11.5% increase compared to $13.5 million in Q2 2024, driven by improved bookings. However, the company experienced a decrease in…
- 10-Q · September 15, 2025
- Champions Oncology, Inc. reported a revenue of $13.995 million for Q1 2025, slightly decreasing 0.5% from $14.061 million in Q1 2024. Despite a modest increase in expenses, the company managed to achieve positive…
- 10-K · July 23, 2025
- Champions Oncology reported strong performance for fiscal year 2025, achieving oncology revenue of $56.9 million, reflecting a 13.5% year-over-year growth. Despite an accumulated deficit of $79.9 million, the company…
This is our reading of a public filing, not the filing. Read the original on SEC.gov · Educational only. Nothing here is investment advice.
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