Lifeloc Reports 2025 Full Year Results (Form 8-K)

Lifeloc Reports 2025 Full Year Results

WHEAT RIDGE, Colo., March 27, 2026 -- Lifeloc Technologies, Inc. (OTC: LCTC), a global leader in the development and manufacturing of breath alcohol testing devices, has announced financial results for the 2025 fiscal year ended December 31, 2025.

2025 Financial Highlights

Lifeloc Technologies reported revenue growth of 6% to $9.027 million for 2025, compared to net revenue of $8.538 million for 2024. We realized a net loss of ($2.470) million, or ($0.90) per diluted share for the year ending December 31, 2025 compared to a net loss of ($1.053) million, or ($0.41) per diluted share for 2024. This increased loss was primarily the result of the one-time (non-cash) charge for the increased valuation allowance for deferred taxes. Under applicable accounting rules, the Company was required to establish a reserve against its accumulated deferred tax assets - the tax benefit of its net operating losses - based on its recent loss history. The deferred tax valuation allowance was increased to $1.738 million in 2025 versus $187 thousand in 2024. This charge is non-cash and does not affect the Company's liquidity or operations. Without these changes to the valuation allowance for deferred taxes, the loss before taxes declined by $94 thousand to $1.311 million in 2025 versus $1.405 million 2024.

Total gross margin in 2025 remained about the same at 40.3% for 2025 versus 40.4% for 2024, with price increases and higher volume largely offsetting tariffs and general inflation.

We believe our core alcohol detection product line-up is strong. The L-series LX9 and LT7 units have features and performance that are driving market penetration by meeting previously unaddressable market needs, such as smart phone pairing, wider temperature use ranges and fast customization that incorporates local languages. We expect that sales of our newer L-series devices will be incremental to FC-series devices rather than displacing FC sales. The L-series devices have been certified to meet the requirements of most modern registration standards, such as SAI's (Standards Australia International) latest AS 3547:2019 standards for Breath Alcohol Detectors. Our FC-series devices remain popular with many law enforcement and international organizations. Our Easycal® automated calibration station, the only automated calibration available for portable breath alcohol testers, builds valuable protection around our brand and has contributed to market share gains across the board, especially for our workplace Phoenix® 6.0 BT and EV 30 devices.

We believe our most significant long-term opportunity lies at the intersection of the global need for rapid, quantitative drug detection and our proven expertise in portable testing instrumentation. Our SpinDetect™ Centrifugal Drug Analyzer - sometimes referred to as "Lab on a Disk" - is designed to address this need, enabling rapid, on-site, quantitative drug testing for use at roadside, in emergency rooms, forensic labs, and workplace testing sites. We have demonstrated the platform's ability to effectively detect delta-9-THC, cocaine, fentanyl, amphetamine/methamphetamine, morphine, MDMA, and benzodiazepines from oral fluid. We have validated our test results against liquid chromatography-mass spectrometry (LCMS) - the definitive laboratory standard - using real-world human saliva samples, confirming a limit of detection of approximately 10 ng/ml. Disk design represented the primary technical challenge throughout the project, requiring specialized outside expertise and multiple design iterations. We have now sufficiently tested the critical microfluidic and assay elements of the current disk design and are focused on fabrication of the production mold in the first quarter of 2026, with first article moldings expected in April. Completing the production tooling is the last enabling step before beta testing can commence. We have developed reader hardware, firmware, drug assays, and reagent handling in parallel, and these are substantially complete.

Remaining tasks on the path to commercialization include collection device completion, full validation, manufacturing setup, and related ancillary tasks, and we do not anticipate that further technical breakthroughs will be required. Our initial product is planned to enable detection of delta-9-THC from oral fluid, followed by a multi-drug panel disk. We expect subsequent releases to expand to additional drug panels and to samples collected from blood and breath, as well as other applications of the platform. We have managed R&D spending to align with cash generated by our core business, and we will continue to seek financing on terms that do not overburden operations or excessively dilute shareholders.

"Lifeloc has made significant progress towards the SpinDetect™ analyzer launch. The commitment to the production mold for the disk marks a key milestone in the development of the SpinDetect™ analyzer," commented Dr. Wayne Willkomm, President and CEO. "While the whole project has taken more time and resources than we planned, the impact of putting an effective drug detection device into the hands of law enforcement and commercial safety officers is going to be worth all the effort and investment."

About Lifeloc Technologies

Lifeloc Technologies, Inc. (OTC: LCTC) is a trusted U.S. manufacturer of evidential breath alcohol testers and related training and supplies for Workplace, Law Enforcement, Corrections and International customers. Lifeloc stock trades over-the-counter under the symbol LCTC. We are a fully reporting Company with our SEC filings available on our web site, www.lifeloc.com.