NEXGEL Reports Second Quarter 2026 Financial Results
Rhea-AI Summary
NEXGEL (NASDAQ:NXGL) reported second quarter 2026 revenue of $3.69 million and a net loss of $2.87 million for the period ended June 30, 2026. The quarter reflected integration of the April Celularity transaction, formation of the BioNX Surgical division, and preparation for broader commercial rollout.
According to the company, ongoing supply chain constraints at Celularity’s New Jersey facility contributed to a BioNX Surgical order backlog of approximately $795,000, despite deployment of Sequence Life Science specialists to support technology transfer to San Antonio. The loss included $756,554 of BioNX intangible amortization, $273,710 of one-time transaction expenses, and $144,495 tied to a strategic recall of SilverSeal inventory from Amazon ahead of an August hospital-market launch. NEXGEL also introduced the BioNX Regenerative Eye Health & Aesthetics platform, saw the release of about $710,000 in previously restricted cash post‑quarter, and plans to re‑solicit shareholder approval for an authorized share increase and reverse split, targeting completion in late September and an investor update call around September 15, 2026.
Positive
- Q2 2026 revenue of $3.69 million
- BioNX Surgical backlog of approximately $795,000, indicating deferred demand
- Non-recurring and non-cash items total about $1.17 million in Q2 loss impact
- Release of previously restricted cash of approximately $710,000 after quarter end
- Strategic recall to launch SilverSeal into higher-margin hospital channel with existing reimbursement A-codes
- Launch of BioNX Regenerative Eye Health & Aesthetics platform with products licensed from Sequence
Negative
- Net loss of $2.87 million in Q2 2026
- Supply chain challenges causing product availability issues and a $795,000 BioNX Surgical backlog
- Integration and revenue ramp from acquired businesses progressing more slowly than originally anticipated
- Proxy proposals for increased authorized shares and reverse split initially failed due to insufficient shareholder support
- One-time transaction-related expenses of $273,710 in the quarter
- Strategic SilverSeal recall incurred costs of $144,495
News Explained
At
Sources and calculations
- NEXGEL Reports Second Quarter 2026 Financial Results (2026-08-17)
- NEXGEL second-quarter 2026 fundamentals (2026Q2)
- Cash and equivalents vs quarterly operating cash outflow, in days of cash use $1,706,000 / ($2,197,000 / 90) = [object Object]
Market reaction after 2Q26 earnings report: NXGL -43.86%
Following this news, NXGL has declined 43.86%, reflecting a significant negative market reaction. Our momentum scanner has triggered 46 alerts so far, indicating elevated trading interest and price volatility. The stock is currently trading at $0.32. Trading volume is exceptionally heavy at 242.4x the average, suggesting significant selling pressure.
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Key Figures
Previous Earnings Reports
| Date | Event | Sentiment | 24h Move | Catalyst |
|---|---|---|---|---|
| Nov 11 | 3Q25 earnings report | Positive | -11.4% | Revenue was stable, margins improved, and the net loss narrowed sequentially. |
| Aug 12 | 2Q25 earnings report | Positive | -11.4% | Revenue doubled year over year and gross margins expanded despite a continuing net loss. |
| May 13 | 1Q25 earnings report | Positive | -9.2% | Revenue growth and margin expansion accompanied a reduced net loss and narrower EBITDA loss. |
| Mar 24 | 4Q24 earnings report | Positive | -1.9% | Quarterly and full-year revenue growth exceeded 100% year over year. |
| Nov 13 | 3Q24 earnings report | Positive | -3.3% | Record revenue growth and improved gross margin were followed by a negative reaction. |
24h Move is the share-price change in the day after each event; other market factors may also have contributed.
Across five tag-matched earnings events, NEXGEL's reported positive operating developments were followed by negative 24-hour reactions, with an average move of -7.45%.
Key Terms
hydrogel medical
intangible asset amortization financial
broker non-votes regulatory
reverse stock split financial
AI-generated analysis. How Rhea-AI works. Not financial advice.
LANGHORNE, Pa., Aug. 17, 2026 (GLOBE NEWSWIRE) -- NEXGEL, Inc. (“NEXGEL” or the “Company”) (NASDAQ: “NXGL”), a leading provider of healthcare, beauty, and over-the-counter (OTC) products including ultra-gentle, high-water-content hydrogel products for healthcare and consumer applications, today announced its second quarter 2026 financial results for the period ending June 30, 2026.
The second quarter of 2026 was a period of significant transformation and preparation for NexGel. Following the completion of our transaction with Celularity, Inc. in mid-April, the Company focused on transitioning employees, integrating sales representatives and customer relationships, and aligning our marketing, operations, and branding efforts around the newly formed BioNX Surgical division. These initiatives were designed to support commercial growth, strengthen customer engagement, and advance our strategic partnership with Sequence Life Science, Inc. While progress has been made, our rollout initiatives and expansion into the surgical channel have occurred at a slower pace than originally anticipated.
On August 4, Sequence deployed several tissue processing specialists to Celularity's New Jersey facility as part of our previously announced plan to transfer manufacturing technology and future production capabilities to Sequence's facility in San Antonio, Texas. This initiative was established at the outset of the acquisition to address known long-term supply chain constraints and improve manufacturing scalability. While meaningful progress has been made, these supply chain challenges have continued to impact product availability and have contributed to a current BioNX Surgical backlog of approximately
Q2 revenue totaled
The SilverSeal inventory recall was undertaken to support the product's launch into the hospital market beginning in August. SilverSeal already has established reimbursement A-codes, providing coverage opportunities for both surgical and wound care applications in physician offices, ambulatory surgery centers (ASCs), and hospital settings.
Management believes the hospital channel represents a significant growth opportunity, with the potential to drive increased sales volume while generating higher gross margins than current distribution channels.
In addition, the Company recently launched BioNX Regenerative Eye Health & Aesthetics, a new commercial initiative focused on ocular and aesthetic applications. The platform includes exclusively licensed products from Sequence and is designed to expand BioNX's presence in high-growth regenerative medicine markets. The initiative is being led by Shaun Mullen, an industry veteran with more than 20 years of experience successfully launching and scaling ophthalmic companies and technologies.
The Company's recently completed proxy solicitation did not receive sufficient shareholder support for the proposed increase in authorized shares and reverse stock split authority. Management believes the primary reason was an unusually high level of broker non-votes. Because these otherwise routine corporate governance proposals were linked to a proposal to redomicile the Company, brokers were unable to vote uninstructed shares in accordance with management's recommendations.
The Company intends to resolicit shareholder approval for the increase in authorized shares and reverse split authority as standalone proposals, without the redomicile component, and has engaged Alliance Advisors as proxy solicitor to assist in the process. Based on shareholder feedback and the expected reduction in broker non-votes, management believes both proposals are well-positioned for approval. The current timeline anticipates completion in late September, well within the timeframe necessary to support the Company's strategic and capital markets objectives.
As of June 30, 2026, the Company held approximately
While the integration of the acquired businesses and associated revenue ramp have progressed more slowly than originally anticipated, management remains encouraged by opportunities entering the second half of the year.
The Company expects to host an investor update call on or around September 15, 2026, to provide shareholders with a detailed update on operational progress, commercialization initiatives, and expectations for the remainder of 2026.
About NEXGEL, INC.
NEXGEL is a leading provider of healthcare, beauty, and over the counter (OTC) products including ultra-gentle, high-water-content hydrogel products for healthcare and consumer applications. Based in Langhorne, Pa., the Company has developed and manufactured electron-beam, cross-linked hydrogels for over two decades. NEXGEL brands include Silverseal®, Hexagels®, Turfguard®, Kenkoderm® and Silly George®. Additionally, NEXGEL has strategic contract manufacturing relationships with leading consumer healthcare companies.
Non-GAAP Financial Measures
Certain non-GAAP financial measures are included in this press release. In the calculation of these measures, the Company excludes certain items, such as amortization of intangible assets, stock-based compensation, tax impact of adjustments, other unusual items and discrete items impacting income tax expense. The Company believes that excluding such items provides investors and management with a representation of the Company's core operating performance and with information useful in assessing its prospects for the future and underlying trends in the Company's operating expenditure and continuing operations. Management uses such non-GAAP measures to evaluate financial results and manage operations. The release and the attachments to this release provide a reconciliation of each of the non-GAAP measures referred to in this release to the most directly comparable GAAP measure. The non-GAAP financial measures are not meant to be considered a substitute for the corresponding GAAP financial statements and investors should evaluate them carefully. These non-GAAP financial measures may differ materially from the Non-GAAP financial measures used by other companies.
Forward-Looking Statement
This press release contains “forward-looking statements” within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended (the “Exchange Act”) (which Sections were adopted as part of the Private Securities Litigation Reform Act of 1995). Statements preceded by, followed by or that otherwise include the words “believe,” “anticipate,” “estimate,” “expect,” “intend,” “plan,” “project,” “prospects,” “outlook,” and similar words or expressions, or future or conditional verbs, such as “will,” “should,” “would,” “may,” and “could,” are generally forward-looking in nature and not historical facts, including, without limitation, our belief the hospital channel represents a significant growth opportunity, with the potential to drive increased sales volume while generating higher gross margins than current distribution channels and our belief that both the increase in authorized shares and reverse stock split proposals are well-positioned for stockholder approval.. These forward-looking statements involve known and unknown risks, uncertainties and other factors which may cause the Company's actual results, performance, or achievements to be materially different from any anticipated results, performance, or achievements for many reasons. The Company disclaims any intention to, and undertakes no obligation to, revise any forward-looking statements, whether as a result of new information, a future event, or otherwise. For additional risks and uncertainties that could impact the Company's forward-looking statements, please see the Company's Annual Report on Form 10-K for the year ended December 31, 2025, including but not limited to the discussion under “Risk Factors” therein, which the Company filed with the SEC and which may be viewed at http://www.sec.gov/.
Investor Contact:
Valter Pinto, Managing Director
KCSA Strategic Communications
212.896.1254
Nexgel@kcsa.com
