Milestone Scientific Inc.

What they do

Milestone Scientific designs, develops, and markets computer-controlled local anesthetic delivery systems, primarily for the dental market, and also targets medical applications. Its flagship product is the CompuDent system for dental injections, and it also offers the CompuMed system for pain management procedures. The company generates revenue from sales of these systems and related disposable handpieces and other consumables, as well as from royalties and licensing arrangements.

Revenue drivers

• Dental systems (CompuDent) — Core revenue stream from sales of computer-controlled dental injection systems and related disposables.
• Medical systems (CompuMed) — Sells into pain management and other medical specialties; a secondary growth segment.
• Disposables and consumables — Recurring revenue from single-use items used with the systems; likely a key margin driver.

Recent performance

For fiscal 2025, revenue was $9.0M versus $8.6M in 2024, with net income of $5.7M versus $4.7M, though diluted EPS remained negative at -$0.07 due to share count. The company has been cash-flow negative each year from 2021 through 2025, with operating cash flow of -$2.9M in 2025. In the latest reported quarter (Q2 2026, ended June 30, 2026), revenue was $2.8M, the highest quarterly figure in the provided series. As of June 30, 2026, total assets were $8.3M, total liabilities $4.9M, and shareholder equity $3.5M; cash and equivalents were $1.2M as of March 31, 2026.

Strategy

Management's stated direction focuses on expanding its computer-controlled injection technology into new medical specialties and international markets. The company has been actively raising capital, evidenced by multiple unregistered sales of equity and material agreements in mid-2026. Recent 8-K filings note changes in auditors and board members, suggesting governance and financial restructuring efforts. The company aims to grow revenue through its CompuMed platform and increase penetration of the dental market.

Risks

• Liquidity risk — Cash of $1.2M (March 2026) against ongoing negative operating cash flow of -$2.9M (2025) raises going-concern concerns.
• Dilution risk — Shares outstanding grew from 80.5M (March 2026) to 88.7M (August 2026), reflecting equity sales that dilute existing holders.
• History of losses — The company reported negative net income in 2021 and 2022, and negative diluted EPS every year from 2021 to 2025.
• Dependence on small revenue base — Annual revenue has hovered around $8-10M for five years, limiting scale and pricing power.

Outlook

Management has not provided explicit forward guidance in the provided excerpts. They continue to invest in product development and market expansion, with recent capital raises supporting operations. The company remains focused on growing its medical segment and international sales as key priorities.