Highlights

  • Net sales rose 12% to US$5.98 million in the six months to 30 June 2026, from US$5.32 million.
  • First-half Net Income climbed 30% to US$1.55 million, helped by US$339,493 of settlement income received in product.
  • The board declared a US$0.30 per share Dividend in July 2026, 20% above the February 2026 payout.
  • Two pharmacy benefit managers added Renacidin to their formularies, effective 1 June and 1 July 2026.

United-Guardian, Inc. (NASDAQ:UG) enters the final months of 2026 with a higher dividend and broader insurance coverage for its key drug Renacidin, following a first half in which recovering cosmetic ingredient orders lifted both sales and earnings.

The Hauppauge, New York-based maker of specialty ingredients for cosmetics, personal care and sexual wellness products, and of healthcare products including pharmaceuticals and medical lubricants, reported its second-quarter results on 7 August 2026. Third-quarter results had not been released by 2 November 2026.

Cosmetic Ingredients Lead the First-Half Gains

For Q2 2026, net sales rose 10% to US$3.11 million and net income increased 16% to US$728,579, or US$0.16 per share. Over the six months to 30 June 2026, net income reached US$1.55 million, or US$0.34 per share, against US$0.26 a year earlier.

Cosmetic and sexual wellness ingredient sales jumped 44% in the quarter and 34% in the half, mainly because Ashland Specialty Ingredients, the largest distributor, resumed regular purchasing after working down excess inventory built in 2025. Pharmaceutical sales grew 11% in the half, led by a 10% rise in Renacidin gross sales, while medical lubricant sales fell 15% on reduced orders from the largest customer in India.

Margins, Settlement Income and Cash

Cost of sales rose to 50% of net sales in both periods, as units sold in 2026 carried higher overhead from lower 2025 production. First-half Earnings included US$339,493 of settlement income from Renacidin's contract manufacturer, paid in free product to compensate for a Facility shutdown in late 2023 and early 2024; that obligation has now been fulfilled.

Cash and cash equivalents stood at US$2.39 million on 30 June 2026, with marketable securities of US$7.20 million and Working Capital of US$10.98 million. Operating Cash Flow for the half was US$2.12 million, up from US$625,323.

Dividend Increase Extends a 31-Year Record

On 14 July 2026, the board declared a Cash Dividend of US$0.30 per share, paid on 4 August 2026 to holders of record on 28 July. The payout, totaling about US$1.38 million, was 20% higher than the February 2026 dividend and marked the 31st consecutive year of dividend payments. Customers outside the United States accounted for about 20% of first-half sales, down from about 23% a year earlier.

Growth Plans for Renacidin and Sexual Wellness

Management plans further payer outreach and a new program aimed at healthcare professionals to build on the Renacidin formulary additions. It expects sexual wellness ingredients to grow faster than its skin care and cosmetic lines, supported by a January 2026 agreement with Brenntag covering Natrajel in the United States, Canada and Mexico, and Lubrajel and Natrajel in France.

President Donna Vigilante has said the company intends to grow Revenue across its segments and hopes to pay larger dividends over time. The company expects a 21% effective tax rate for 2026. Shares closed at US$7.07 on 30 October 2026, up 6.16% on the day, giving a market Capitalization of about US$32.48 million.