Our analysts just identified a stock with the potential to be the next Nvidia. Tell us how you invest and we'll show you why it's our #1 pick. Revenue growth of 27.3% was primarily driven by a structural shift in customer demand toward AI-driven drug discovery (AIDD) and high-throughput protein expression.
Management attributes the record adjusted net profit growth of over 200% to improved business quality and operating leverage from long-term investments in automation and digital capacity. The Life Science Group (LSG) achieved a 29.5% adjusted operating margin, marking a transition from an investment phase to a scale-and-profitability phase. AI-driven demand is transforming the business model from one-off transactional projects to recurring, high-volume data generation partnerships with tech companies and AI-native biotechs.
Operational efficiency was enhanced by equipping approximately 60% of labs with AI-driven automated workstations, enabling industry-leading 4-day turnaround times for gene-to-protein validation. The company is positioning itself as a critical infrastructure provider for the 'AI for Science' era, focusing on closing the loop between digital design and biological execution. Full-year revenue growth guidance for the Life Science segment was raised to 25%-30%, reflecting strong visibility into AIDD-related order momentum.
AIDD orders are projected to double in the second half of 2026, with management expecting this hyper-growth trajectory to compound over the next several years. The company expects to achieve positive EBITDA for the ProBio CDMO segment by 2027, supported by a 54% year-over-year increase in new orders. CapEx for 2026 is projected at approximately USD 130 million, focused on doubling throughput capacity every quarter to meet surging AI-driven validation demand.
Management assumes that the premium margins for AIDD services (roughly 20 points higher than traditional protein orders) will remain sustainable due to the high value of model-ready data. Prior period figures were adjusted to exclude the financial impact of the Renova license transaction to provide a more objective view of underlying performance. Management identified the primary industry bottleneck as the validation of AI-generated designs, which traditional experimental workflows are not equipped to handle at scale.
The company maintains a robust cash position of approximately USD 830 million, stating there is no immediate need for incremental financing despite aggressive capacity expansion. Tariff refunds in the U.S. impacted gross margins, with adjusted figures provided to show the underlying operational improvement excluding these one-time effects. Nvidia-level potential. 30M+ investors trust Moby to find it first.
Extract — continue reading at the source.
