Stonegate Capital Partners has updated its coverage on Burcon Nutrascience Corporation (TSX: BU), highlighting the company's shift from commissioning to early utilization. Burcon has completed commissioning and launched commercial production of Peazazz pea protein, Puratein C canola protein, and FavaPro fava protein during fiscal year 2026. The company's revenue increased sequentially to $0.83 million in the fourth quarter of fiscal 2026 from $0.74 million in the third quarter, with management indicating that current-quarter sales are tracking toward approximately 50% sequential growth based on April and May activity.
Burcon also set a new production record, with daily output roughly 60% above January through March levels. As volume builds, the margin opportunity is expected to come from better utilization, a steadier production cadence, and the removal of start-up costs from the run-rate cost structure, rather than from pricing alone. Customer traction is broadening, with over 30 purchasing customers and more than 200 active projects across pea, canola, and fava applications.
Funding supports the Galesburg scale-up, with $6.9 million completed, $3.0 million undrawn, and management targeting $10 million of calendar year 2026 sales. For more details, view the full announcement here.
