AVITA Medical Reports Fourth Quarter and Full Year 2025 Financial Results
Rhea-AI Summary
AVITA Medical (NASDAQ: RCEL) reported Q4 2025 revenue of $17.6M and full-year revenue of $71.6M (+11% YoY). Q4 net loss was $11.6M (loss of $0.38/share); FY net loss was $48.6M (loss of $1.74/share). Gross margin was 82.1% for the year and cash plus marketable securities ended Q4 at $18.2M. The company closed a five-year credit facility providing up to $60M (initial $50M funded). 2026 revenue guidance: $80–85M.
Management highlighted improved cash efficiency, stabilization of reimbursement after MAC actions, ongoing clinical study enrollment, and execution-focused priorities for 2026.
Positive
- Revenue +11% to $71.6M for full year 2025
- 2026 revenue guidance of $80–85M (≈12%–19% growth)
- Gross margin of 82.1% for full year 2025
- Net loss narrowed from $61.8M to $48.6M year-over-year
- Improved cash use to ~$5.1M in Q4 2025
- Credit facility up to $60M with $50M initially funded
Negative
- Q4 revenue fell 4% to $17.6M versus Q4 2024
- Q4 gross margin declined to 81.2% from 87.6% prior-year quarter
- Cash and marketable securities declined to $18.2M from $35.9M at end of 2024
- Full-year operating expenses remained high at $101.4M
- FY net loss remained substantial at $48.6M
News Market Reaction
On the day this news was published, RCEL declined 3.13%, reflecting a moderate negative market reaction. Argus tracked a peak move of +25.0% during that session. Our momentum scanner triggered 23 alerts that day, indicating elevated trading interest and price volatility. This price movement removed approximately $4M from the company's valuation, bringing the market cap to $135M at that time.
Data tracked by StockTitan Argus on the day of publication.
Key Figures
Market Reality Check
Peers on Argus
RCEL is down 4% while key peers like PROF (+1.26%), ICAD (+3.48%), and RPID (+3.19%) are higher. Mixed peer moves and no momentum-scanner flags point to a stock-specific reaction to these results.
Previous Earnings Reports
| Date | Event | Sentiment | Move | Catalyst |
|---|---|---|---|---|
| Nov 06 | Q3 2025 earnings | Negative | -2.9% | Revenue declined and guidance was lowered despite lower operating expenses. |
| Aug 07 | Q2 2025 earnings | Negative | -21.0% | Guidance cut due to MAC payment delays overshadowed strong revenue growth. |
| May 08 | Q1 2025 earnings | Positive | -25.3% | Strong revenue and margin performance met with a sharp share price decline. |
| Feb 13 | Q4/FY 2024 earnings | Positive | +20.4% | Strong revenue growth and high margins with upbeat 2025 guidance. |
| Nov 07 | Q3 2024 earnings | Positive | -3.6% | Robust revenue and margins but a wider net loss pressured the stock. |
Earnings releases have often led to negative or volatile moves, even when revenue growth or margin metrics appeared strong.
Over the past five earnings releases (from Nov 2024 through Nov 2025), AVITA reported rapid revenue growth, high gross margins, and expanding product offerings, but also guidance resets and wider losses at times. Reactions skewed negative, with an average move of about -6.48% and several selloffs after otherwise solid reports. Today’s Q4/FY25 update, featuring 11% full-year revenue growth and narrowed losses, fits into this pattern of balancing growth with profitability and covenant constraints.
Historical Comparison
In the past five earnings releases, RCEL averaged a -6.48% move with frequent downside even on strong growth. Today’s roughly -4% pre-news move sits within that historically cautious pattern.
Earnings history shows a shift from aggressive 2025 growth and profitability targets in late 2024 to multiple guidance resets in 2025, followed by the current emphasis on cost control, covenant flexibility, and more measured 2026 revenue growth expectations.
Market Pulse Summary
This announcement details Q4 and full-year 2025 results showing $71.6M in revenue (+11% year over year), high gross margins, and a narrower net loss of $48.6M. Management emphasized cost reductions, improved cash use, and a new $60M credit facility with more flexible covenants. Investors may watch 2026 revenue delivery versus the $80–$85M target, reimbursement trends, and clinical milestones for Cohealyx and PermeaDerm.
Key Terms
medicare administrative contractors (MACs) regulatory
gross profit margin financial
credit facility financial
trailing twelve-month (TTM) revenue covenants financial
warrant liability financial
AI-generated analysis. Not financial advice.
VALENCIA, Calif., Feb. 12, 2026 (GLOBE NEWSWIRE) -- AVITA Medical®, Inc. (NASDAQ: RCEL, ASX: AVH), a leading therapeutic acute wound care company delivering transformative solutions (“AVITA Medical,” or the “Company”), today reported financial results for the fourth quarter and full year ended December 31, 2025.
Fourth Quarter 2025 Financial Highlights and Recent Business Updates
- Total revenue of
$17.6 million , compared to$18.4 million in the fourth quarter of 2024, reflecting the lingering impact of reimbursement headwinds throughout 2025. - Gross profit margin of
81.2% , reflecting product mix and inventory-related adjustments. - Net use of cash improved for the second consecutive quarter to approximately
$5.1 million , compared to$6.2 million in the third quarter, underscoring continued progress in cash efficiency. - Operating expenses decreased
5% to$24.7 million , compared with$26.1 million in the corresponding period last year, reflecting a lower cost base. - Net loss of
$11.6 million , or a loss of$0.38 per basic and diluted share, compared to$11.6 million , or a loss of$0.44 per share, in the fourth quarter of 2024. - In January, the Company announced the refinancing of its existing debt under a new credit facility with Perceptive Advisors LLC, securing up to
$60 million of committed capital to strengthen the Company’s capital structure and support long-term growth. - As of January 2026, six of the seven Medicare Administrative Contractors (MACs) have published payment rates for RECELL, further removing a key constraint on utilization experienced in 2025.
- Cohealyx I study fully enrolled, and PermeaDerm I study surpassed
75% enrollment, in December 2025; data from both clinical studies expected in 2026. - Data presented at the 2026 Boswick Burn & Wound Symposium in January included the first surgeon-reported integrated use of RECELL®, PermeaDerm®, and Cohealyx™ within a staged wound care pathway, highlighting the practical application of the Company’s product portfolio.
Full-Year 2025 Financial Highlights
- Total revenues of approximately
$71.6 million for full year 2025, compared to$64.3 million for full year 2024, representing an increase of approximately11% , within the Company’s revised revenue guidance for the year. - Gross profit margin was
82.1% . - Net loss of
$48.6 million , or a loss of$1.74 per basic and diluted share, compared to a net loss of$61.8 million , or a loss of$2.39 per basic and diluted share, in the prior year.
Cary Vance, Interim Chief Executive Officer of AVITA Medical, commented:
“The fourth quarter marked the close of a year of stabilization, and the beginning of a more execution-focused phase, for the Company. While reimbursement disruption and operational transition weighed on revenue performance in 2025, those issues are now largely behind us, and we are seeing early signs of normalization in clinician use of RECELL. We enter 2026 with a clearer commercial focus and a validated portfolio that supports growth through deeper utilization within our core burn and trauma centers, with our priority centered on delivering consistent, execution-led growth quarter by quarter.”
David O’Toole, Chief Financial Officer, commented:
“Throughout 2025, we took deliberate actions to reduce our operating cost base and improve cash efficiency, resulting in sequential improvement in cash use during the second half of the year and a more disciplined and sustainably lower cost structure. In January, we refinanced our existing debt under a new credit facility with Perceptive Advisors on terms better aligned with our operating trajectory. With less restrictive covenants, this new credit facility will allow the organization to focus on execution and operating discipline as we enter 2026.”
Financial Guidance
- Full year 2026 revenue expected in the range of
$80 t o$85 million , representing growth of approximately12% to19% compared to 2025 revenue.
Fourth Quarter Financial Results
Total revenue was
Gross profit margin was
Total operating expenses were
Other (expense) income, net was other income of
AVITA Medical demonstrated continued financial discipline in the quarter, with net cash use improving for the third consecutive quarter to approximately
Net loss was
Full Year 2025 Financial Results
Total revenues increased by
Gross profit margin was
Total operating expenses were
Net loss was
Credit facility with Perceptive Advisors LLC
On January 13, 2026, AVITA Medical announced the closing of a five-year credit facility providing up to
As part of the new credit facility, the Company established trailing twelve-month (TTM) revenue covenants aligned with its current operating trajectory. As set forth in the credit facility, the initial TTM revenue covenant is
AVITA Medical remains focused on disciplined cash management, sharpening execution, and accelerating commercial momentum across its core U.S. burn and trauma center opportunity.
Webcast and Conference Call Information
AVITA Medical will host a conference call on Thursday, February 12, 2026, at 1:30 p.m. Pacific Standard Time (Friday, February 13, 2026, at 8:30 a.m. Australian Eastern Daylight Time) to discuss its fourth quarter 2025 financial results and recent business highlights. The live webcast will be available under the Events & Presentations section of the AVITA Medical website at: https://ir.avitamedical.com/. To participate by telephone, please register in advance to receive dial-in details and a personal PIN at: https://edge.media-server.com/mmc/p/f35jjqsg. A replay of the webcast will be available shortly after the live event.
About AVITA Medical, Inc.
AVITA Medical® is a leading therapeutic acute wound care company delivering transformative solutions. Our technologies are designed to optimize wound healing, effectively accelerating the time to patient recovery. At the forefront of our platform is the RECELL®, approved by the FDA for the treatment of thermal burn and trauma wounds. RECELL harnesses the healing properties of a patient’s own skin to create Spray-On Skin™, offering an innovative solution for improved clinical outcomes at the point-of-care. In the U.S., AVITA Medical also holds the exclusive rights to manufacture, market, sell, and distribute PermeaDerm®, a biosynthetic wound matrix, and the exclusive rights to market, sell, and distribute Cohealyx™, an AVITA Medical-branded collagen-based dermal matrix.
In international markets, RECELL is approved to promote skin healing in a wide range of applications including thermal burn and trauma wounds. RECELL and RECELL GO® have received the CE mark in Europe; and RECELL is TGA-registered in Australia, and has PMDA approval in Japan.
To learn more, visit www.avitamedical.com.
CAUTIONARY NOTE REGARDING FORWARD-LOOKING STATEMENTS
This press release may contain forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Such forward-looking statements are subject to significant risks and uncertainties that could cause actual results to differ materially from those expressed or implied by such statements. Forward-looking statements generally may be identified by the use of words such as “anticipate,” “approximately,” “continue,” “could,” “estimate,” “expect,” “future,” “goal,” “guidance,” “intend,” “may,” “outlook,” “project,” “target,” “will,” “would,” and similar words or expressions, and the use of future dates. Forward-looking statements include, but are not limited to, statements relating to the timing and realization of regulatory approvals of our products; anticipated market share growth and revenue generation; physician acceptance, endorsement, and use of our products (including the impact of government reimbursement payment rates on such use); failure to achieve the anticipated benefits from approval of our products; the effect of regulatory actions; product liability claims; risks associated with international operations and expansion; and other business effects, including the effects of industry, as well as other economic or political conditions outside of the Company’s control. These statements are made as of the date of this release, and the Company undertakes no obligation to publicly update or revise any of these statements, except as required by law. For additional information and other important factors that may cause actual results to differ materially from forward-looking statements, please see the “Risk Factors” section of the Company’s latest Annual Report on Form 10-K and other publicly available filings for a discussion of these and other risks and uncertainties.
Investor & Media Contact:
Ben Atkins
Phone +1-805 341 1571
investor@avitamedical.com
media@avitamedical.com
Authorized for release by the Chief Financial Officer of AVITA Medical, Inc.
©2026 AVITA Medical. AVITA Medical®, Cohealyx®, RECELL®, RECELL GO®, and Spray-On SkinTM are trademarks of AVITA Medical. PermeaDerm® is a registered trademark owned by Stedical Scientific, Inc. All other trademarks are the properties of their respective owners.
| AVITA MEDICAL, INC. Consolidated Balance Sheets (In thousands, except share and per share data) | ||||||||
| As of | ||||||||
| December 31, 2025 | December 31, 2024 | |||||||
| ASSETS | ||||||||
| Cash and cash equivalents | $ | 10,243 | $ | 14,050 | ||||
| Marketable securities | 7,942 | 21,835 | ||||||
| Accounts receivable, net | 9,086 | 11,786 | ||||||
| Prepaids and other current assets | 1,293 | 2,060 | ||||||
| Inventory | 6,926 | 7,269 | ||||||
| Total current assets | 35,490 | 57,000 | ||||||
| Plant and equipment, net | 8,630 | 10,018 | ||||||
| Operating lease right-of-use assets | 2,899 | 3,571 | ||||||
| Corporate-owned life insurance (“COLI”) asset | 3,116 | 3,006 | ||||||
| Intangible assets, net | 5,645 | 5,570 | ||||||
| Other long-term assets | 612 | 546 | ||||||
| Total assets | $ | 56,392 | $ | 79,711 | ||||
| LIABILITIES, NON-QUALIFIED DEFERRED COMPENSATION PLAN SHARE AWARDS AND STOCKHOLDERS’ EQUITY (DEFICIT) | ||||||||
| Accounts payable and accrued liabilities | $ | 8,959 | $ | 6,294 | ||||
| Accrued wages and fringe benefits | 7,813 | 10,451 | ||||||
| Loan facility | 42,984 | - | ||||||
| Current non-qualified deferred compensation (“NQDC”) liability | 276 | 2,094 | ||||||
| Other current liabilities | 2,645 | 1,319 | ||||||
| Total current liabilities | 62,677 | 20,158 | ||||||
| Loan facility - long-term | - | 42,245 | ||||||
| Non-qualified deferred compensation liability | 3,697 | 2,969 | ||||||
| Contract liabilities | 290 | 324 | ||||||
| Operating lease liabilities, long-term | 2,135 | 2,840 | ||||||
| Contingent liability, long-term | 3,000 | 3,000 | ||||||
| Warrant liabilities | 1,243 | 3,432 | ||||||
| Total liabilities | 73,042 | 74,968 | ||||||
| Non-qualified deferred compensation plan share awards | - | 244 | ||||||
| Commitments and contingencies | ||||||||
| Stockholders' equity (deficit): | ||||||||
| Common stock | 3 | 3 | ||||||
| Preferred stock | - | - | ||||||
| Company common stock held by the non-qualified deferred compensation plan | (1,293 | ) | (1,319 | ) | ||||
| Additional paid-in capital | 394,408 | 367,568 | ||||||
| Accumulated other comprehensive loss | (1,367 | ) | (1,939 | ) | ||||
| Accumulated deficit | (408,401 | ) | (359,814 | ) | ||||
| Total stockholders’ equity (deficit) | (16,650 | ) | 4,499 | |||||
| Total liabilities, non-qualified deferred compensation plan share awards and stockholders’ equity (deficit) | $ | 56,392 | $ | 79,711 | ||||
| AVITA MEDICAL, INC. Consolidated Statements of Operations (In thousands, except share and per share data) (Unaudited) | ||||||||||||||||
| Three-Months Ended | Year Ended | |||||||||||||||
| December 31, 2025 | December 31, 2024 | December 31, 2025 | December 31, 2024 | |||||||||||||
| Sales revenue | $ | 17,431 | $ | 18,212 | $ | 70,879 | $ | 63,893 | ||||||||
| Lease revenue | 185 | 194 | 731 | 358 | ||||||||||||
| Total revenues | 17,616 | 18,406 | 71,610 | 64,251 | ||||||||||||
| Cost of sales | (3,304 | ) | (2,280 | ) | (12,794 | ) | (9,094 | ) | ||||||||
| Gross profit | 14,312 | 16,126 | 58,816 | 55,157 | ||||||||||||
| Operating expenses: | ||||||||||||||||
| Sales and marketing | (11,938 | ) | (14,109 | ) | (53,138 | ) | (58,195 | ) | ||||||||
| General and administrative | (7,090 | ) | (7,124 | ) | (27,373 | ) | (33,195 | ) | ||||||||
| Research and development | (5,691 | ) | (4,850 | ) | (20,839 | ) | (20,360 | ) | ||||||||
| Total operating expenses | (24,719 | ) | (26,083 | ) | (101,350 | ) | (111,750 | ) | ||||||||
| Operating loss | (10,407 | ) | (9,957 | ) | (42,534 | ) | (56,593 | ) | ||||||||
| Interest expense | (1,251 | ) | (1,298 | ) | (5,004 | ) | (5,361 | ) | ||||||||
| Other (expense) income, net | 20 | (316 | ) | (1,038 | ) | 163 | ||||||||||
| Loss before income taxes | (11,638 | ) | (11,571 | ) | (48,576 | ) | (61,791 | ) | ||||||||
| Income tax expense | 17 | (19 | ) | (11 | ) | (54 | ) | |||||||||
| Net loss | $ | (11,621 | ) | $ | (11,590 | ) | $ | (48,587 | ) | $ | (61,845 | ) | ||||
| Net loss per common share: | ||||||||||||||||
| Basic and diluted | $ | (0.38 | ) | $ | (0.44 | ) | $ | (1.74 | ) | $ | (2.39 | ) | ||||
| Weighted-average common shares: | ||||||||||||||||
| Basic and diluted | 30,384,208 | 26,146,234 | 27,860,784 | 25,883,056 | ||||||||||||
FAQ
What were AVITA Medical's Q4 2025 revenue and net loss (RCEL)?
What is AVITA Medical's full-year 2025 performance and margin (RCEL)?
What 2026 revenue guidance did AVITA Medical (RCEL) provide?
What are the terms of AVITA Medical's new credit facility with Perceptive (RCEL)?
How did cash and cash use change for AVITA Medical in Q4 2025 (RCEL)?
What clinical study milestones did AVITA Medical report and when are readouts expected (RCEL)?
