Scientific Industries, Inc. engages in the design, manufacture, and marketing of standard benchtop laboratory equipment (‘Benchtop Laboratory Equipment’), and through its wholly-owned subsidiary, Scientific Bioprocessing Holdings, Inc. (‘SBHI’), the design, manufacture, and marketing of bioprocessing systems and products (‘Bioprocessing Systems’).
SBHI has two wholly-owned subsidiaries – Scientific Bioprocessing, Inc. (‘SBI’), and aquila biolabs GmbH (‘Aquila’). The company’s products are used...
Scientific Industries, Inc. engages in the design, manufacture, and marketing of standard benchtop laboratory equipment (‘Benchtop Laboratory Equipment’), and through its wholly-owned subsidiary, Scientific Bioprocessing Holdings, Inc. (‘SBHI’), the design, manufacture, and marketing of bioprocessing systems and products (‘Bioprocessing Systems’).
SBHI has two wholly-owned subsidiaries – Scientific Bioprocessing, Inc. (‘SBI’), and aquila biolabs GmbH (‘Aquila’). The company’s products are used primarily for research purposes by universities, pharmaceutical companies, pharmacies, national laboratories, medical device manufacturers, and other industries performing laboratory-scale research. Until November 30, 2020, the company was also engaged in the design, manufacture, and marketing of customized catalyst research instruments through its wholly-owned subsidiary, Altamira Instruments, Inc (‘Altamira’).
Segments
The company operates through two segments: Benchtop Laboratory Equipment and Bioprocessing Systems.
The company engages in the manufacture and marketing of standard Benchtop Laboratory Equipment, which includes various types of equipment used for research and sample preparation in university, pharmacy, and industrial laboratories sold primarily through laboratory equipment distributors and online, and weight and measurement products, including pill counters and digital scales; and design, development, manufacture, and marketing of bioprocessing products, principally products incorporating smart sensors and state of the art software analytics, sold primarily on a direct basis through the company’s internal sales force.
Products
Benchtop Laboratory Equipment
The company’s Benchtop Laboratory Equipment products consist of mixers and shakers, rotators/rockers, refrigerated and shaking incubators, and magnetic stirrers sold through the ‘Genie’ division, and pharmacy and laboratory balances and scales, force gauges, automated pill counters, and moisture analyzers sold through the ‘Torbal’ division.
The company’s vortex mixer is used to mix the contents of test tubes, beakers, and other various containers by placing such containers on a rotating cup or other attachments which cause the contents to be mixed at varying speeds. The company’s additional mixers and shakers include a high-speed touch mixer, a mixer with an integral timer, a cell disruptor, a bead beater, microplate mixers, programmable vortex mixers, two large capacity multi-vessel vortex mixers, and a line of various orbital shakers.
The company also offers various benchtop multi-purpose rotators and rockers, designed to rotate and rock a wide variety of containers, and a refrigerated incubator and incubated shakers, which are multi-functional benchtop environmental chambers designed to perform various shaking and stirring functions under controlled environmental conditions.
The company’s line of magnetic stirrers includes a high/low programmable magnetic stirrer, a four-place high/low programmable magnetic stirrer, a large volume magnetic stirrer, and a four-place general purpose stirrer.
The company’s Torbal division line of products includes pharmacy, laboratory, and industrial digital scales, moisture analyzers, mechanical and VIVID automated pill counters, force gauges, and test stands.
Bioprocessing Systems
SBHI, through its two wholly-owned subsidiaries, SBI and Aquila, engages in the design, development, manufacture, and marketing of bioprocessing products, principally products incorporating smart sensors and state of the art software analytics. Products include the Cell Growth Quantifier (‘CGQ’) for biomass monitoring in shake flasks, the Liquid Injection System (‘LIS’) for automated feeding in shake flasks, and a line of coaster systems and flow-through cells for pH and DO monitoring and analytical software, and the Multi-Parameter Sensor (‘MPS’), and Dissolved Oxygen sensor pills, which are marketed and will be sold under the Bioprocessing Systems DOTS brand platform.
Customers
Sales to three customers, principally of the Vortex-Genie 2 Mixer, represented 16% of total net revenues for the years ended December 31, 2023. The three customers also represented 18% of Benchtop Laboratory Equipment product sales, for the year ended December 31, 2023.
Marketing
Benchtop Laboratory Equipment
The company’s Benchtop Laboratory Equipment products sold under the ‘Genie’ brand are generally distributed and marketed through an established network of domestic and overseas laboratory equipment distributors who sell the company’s products through websites, printed catalogs, and sales force. In general, due to the reliance on sales through distribution, it takes two to three years for a new Genie brand Benchtop Laboratory Equipment product to begin generating meaningful sales.
The company’s ‘Torbal’ brand weighing products are primarily marketed and sold online, and primarily on a direct basis, with only a few distributors. The company’s VIVID brand, automated pill counter is sold through two exclusive distributors in North America. The company markets its products through online and trade publication advertising, brochures and catalogs, the company’s websites, one sales manager in the U.S., a consultant in Europe and, when practicable, attendance at industry trade shows.
Bioprocessing Systems
The company’s Bioprocessing Systems products are marketed under a newly created marketing category ‘Digitally Simplified Bioprocessing’ through a direct sales force consisting of four sales professionals and four application scientists in the US and Germany, plus a network of 11 distributors that are managed by a distribution manager. Sales are supported via marketing through websites, content creation, application notes, mailings, trade shows, online marketing campaigns, and membership in various public/private research partnerships.
Patents, Trademarks, and Licenses
The company holds several patents relating to its benchtop laboratory products, which include a United States patent that relates to its Vortex-Genie Pulse which expires in January 2036, and a patent relating to Torbal’s VIVID automated pill counter which expires in March 2039.
The company’s Bioprocessing Systems operations’ Aquila subsidiary holds two US patents relating to bioprocessing, which expires in January 2035 and February 2038, respectively. In addition, Aquila holds several European and German patents and Patent Cooperation Treaty (the ‘PCT’) patents, and has several other patent applications pending in the United States, Europe, and under the PCT.
The company has various proprietary trademarks, including aquila biolabs (in Germany), Bead Genie, Disruptor Beads, Disruptor Genie, DOTS, Enviro-Genie, Genie, Genie Temp-Shaker, Incubator Genie, MagStir Genie, MegaMag Genie, MicroPlate Genie, MultiMagStir Genie, Multi-MicroPlate Genie, Orbital Genie, QuadMag Genie, Rotator Genie, Roto-Shake Genie, Torbal, TurboMix, VIVID, and Vortex-Genie, each of which it considers important to the success of the related product.
Competition
Most of the company’s principal competitors are substantially larger and have greater financial, production, and marketing resources than the company. Competition is generally based upon technical specifications, price, and product recognition and acceptance. The company’s main competition for its Benchtop Laboratory Equipment products derives from private label brand mixers offered by laboratory equipment distributors in the United States and Europe and products exported from China.
The company’s major competitors for its Genie brand Benchtop Laboratory Equipment are Henry Troemner, Inc. (a private label supplier to the two largest laboratory equipment distributors in the U.S. and Europe), IKA-Werke GmbH & Co. KG, a German company, Benchmark Scientific, Inc. (a United States importer of China-produced products), and Heidolph Instruments GmbH, a German company and various other smaller importers (primarily from China). The company’s main competitors for its Torbal brand products are Ohaus Corporation, an American company, A&D Company Ltd., a Japanese company, Adam Equipment Co., Ltd., a British company, Avery Weigh-Tronix, an American company, and Capsa Healthcare, an American company for its VIVID brand automated pill counters.
Direct competitors for the company’s Bioprocessing Systems products are ABER Instruments (United Kingdom) and PreSens GmbH (Germany).
Research and Development
The company incurred research and development expenses, the majority of which related to its Bioprocessing Systems operations, of $3,566,200 for the year ended December 31, 2023.
History
Scientific Industries, Inc. was founded in 1954. The company was incorporated in 1954.
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