Biofrontera AG reported Q2 2025 revenue of USD 9.03 million, marking a 15.2% year-over-year increase and a 5.2% sequential improvement. The top line expansion coincided with a robust gross margin of 73.6% (USD 6.65 million gross profit on USD 9.03 million revenue). Despite the stronger gross profitability, the quarter remained unprofitable on an operating basis, with operating loss of USD 5.08 million and negative EBITDA of USD 5.08 million, reflecting substantial selling, general, and administrative (SG&A) spend (USD 10.53 million) and modest R&D investment (USD 0.87 million).
The net result deteriorated to a net loss of USD 5.32 million, translating to an earnings per share of USD -0.57. Free cash flow was negative at USD -3.046 million, driven by operating cash burn of USD -3.045 million despite a USD 8.50 million financing inflow which supported liquidity. Cash and cash equivalents stood at USD 7.44 million at quarter-end, while total liabilities slightly exceeded assets, yielding a negative stockholders’ equity of USD -4.67 million. The company maintains a net cash position (net debt of USD -2.24 million) thanks to the financing activity, underscoring reliance on external funding to support ongoing losses.
Overall, the quarter demonstrates meaningful revenue progress and a solid gross margin, but profitability remains contingent on scale-up of product adoption (Ameluz and BF-RhodoLED line) and tighter cost controls. The balance sheet shows liquidity protection through financing yet highlights a fragile equity base that investors should monitor as the company advances its dermatology PDT portfolio.