TELA Bio Reports Second Quarter 2026 Financial Results
Rhea-AI Summary
TELA Bio (NASDAQ: TELA) reported second quarter 2026 revenue of $19.3 million, down 4% from $20.2 million a year earlier, mainly due to lower OviTex PRS volumes and price/mix headwinds. International revenue grew 26%, OviTex unit volume rose 12%, and LiquiFix revenue increased 39% year over year.
Gross profit was $13.9 million with a 72% margin versus 70% in 2025, helped by a tariff refund and lower inventory charges. Operating expenses were stable at $23.2 million. Net loss widened to $11.3 million from $9.9 million, while cash and cash equivalents were $30.4 million at June 30, 2026. Stockholders’ equity moved to a $15.9 million deficit from $6.3 million at year-end 2025. Heather Getz was appointed CEO and Director effective August 4, 2026, and the company withdrew its full-year 2026 revenue guidance.
Positive
- International revenue up 26% year over year in Q2 2026
- OviTex unit volume grew 12% over prior-year quarter
- LiquiFix revenue increased 39% year over year
- Gross margin improved to 72% from 70% in Q2 2025
- Operating expenses flat at $23.2 million year over year
Negative
- Total revenue declined 4% year over year to $19.3 million
- Net loss widened to $11.3 million from $9.9 million
- Interest expense rose to $2.1 million from $1.2 million in Q2 2025
- Stockholders’ equity shifted to a $15.9 million deficit from $6.3 million
- Cash and cash equivalents fell to $30.4 million from $50.8 million at year-end 2025
- 2026 full-year revenue guidance withdrawn with timing of update unspecified
News Explained
TELA Bio’s second-quarter report shows that, at
Key Figures
Previous Earnings Reports
| Date | Event | Sentiment | 24h Move | Catalyst |
|---|---|---|---|---|
| May 12 | Q1 earnings report | Positive | -5.9% | Revenue growth, unit expansion, and reiterated full-year guidance |
| Mar 24 | Q4 earnings report | Positive | -9.3% | Revenue growth, improved margin, and 2026 growth outlook |
| Nov 13 | Q3 earnings report | Positive | -10.0% | Revenue growth, narrowed losses, and revised annual guidance |
| Aug 11 | Q2 earnings report | Positive | -14.0% | Revenue growth, product demand, and reiterated annual guidance |
| May 08 | Q1 earnings report | Positive | +9.0% | Revenue growth, margin improvement, and reiterated annual guidance |
24h Move is the share-price change in the day after each event; other market factors may also have contributed.
Across tag-matched earnings events, 4 of 5 had negative 24-hour reactions despite positive reported operating updates, showing frequent divergence.
Key Terms
asp financial
cash runway financial
AI-generated analysis. How Rhea-AI works. Not financial advice.
MALVERN, Pa., Aug. 10, 2026 (GLOBE NEWSWIRE) -- TELA Bio, Inc. (“TELA Bio”), a commercial-stage medical technology company focused on providing innovative soft-tissue reconstruction solutions, today reported financial results for the second quarter ended June 30, 2026.
Recent Highlights
- Announced appointment of Heather Getz as Chief Executive Officer and Director, effective August 4, 2026;
- Delivered international revenue growth of
26% over the prior year period, with continued momentum in several European markets; - Achieved additional market share gain with OviTex unit volume growth of
12% over the prior year period; - Grew LiquiFix revenue by
39% over the prior-year period; and - Delivered
$19.3 million revenue in the second quarter of 2026, representing a decline of4% from the prior year period, primarily the result of a decline in OviTex PRS unit volumes.
"I am honored to join TELA Bio at such an exciting time in the Company's evolution. One reason I joined TELA is the superiority of our differentiated product portfolio. OviTex long-term data has continuously shown recurrence rates in the low single-digits, whereas other hernia repair materials have recurrence rates consistently 10 times higher than that.
"Unfortunately, the financial performance of the business does not reflect the superiority of the portfolio. Our second quarter revenue was negatively impacted by a decline in OviTex PRS volumes and continued price and mix headwinds in hernia procedures. In response, we have returned to a sales structure designed to reinforce cross-selling among our field teams, and with a clear focus on returning to growth in the second half the year,” said Heather Getz, newly appointed Chief Executive Officer of TELA Bio.
“We also continue to battle against the competitive dynamics of bundling from our largest competitors and to combat this, we have upgraded talent within our Market Access and Contracting team. We are encouraged by several indicators of progress across the business. Hernia unit volumes grew
Ms. Getz continued, “Given the confluence of these dynamics, we are withdrawing our full year 2026 revenue guidance as I fully assess the business and strategic direction. What is clear to me is that as we move through the second half of the year, we must improve PRS performance, accelerate our market share gains in hernia, and translate the increasing productivity of our commercial organization into sustainable top-line growth. At the same time, we will take decisive action to extend our cash runway and better align our cost structure with our top line. We are focused on disciplined execution and creating long-term value for all our stakeholders.”
Second Quarter 2026 Financial Results
Revenue was
Gross profit was
Loss from operations was
Net loss was
Cash and cash equivalents on June 30, 2026 were
2026 Financial Guidance
The Company has withdrawn full-year guidance and will provide an update in the future.
Conference Call
TELA Bio will host a conference call at 4:30 p.m. Eastern Time on Monday, August 10, 2026 to discuss its second quarter financial results. Investors interested in listening to the conference call should register online. Participants are required to register a day in advance or at minimum 15 minutes before the start of the call. A replay of the webcast can be accessed via the Events & Presentations page of the investor section of TELA Bio's website.
About TELA Bio, Inc.
TELA Bio, Inc. (NASDAQ: TELA) is a commercial-stage medical technology company focused on providing innovative technologies that optimize clinical outcomes by prioritizing the preservation and restoration of the patient's own anatomy. The Company is committed to providing surgeons with advanced, economically effective soft-tissue reconstruction solutions that leverage the patient's natural healing response while minimizing long-term exposure to permanent synthetic materials. For more information, visit www.telabio.com.
Caution Regarding Forward-Looking Statements
This press release contains forward-looking statements within the meaning of The Private Securities Litigation Reform Act of 1995. Words such as “may,” “might,” “will,” “should,” “believe,” “expect,” “anticipate,” “estimate,” “continue,” “predict,” “forecast,” “project,” “plan,” “intend” or similar expressions, or statements regarding intent, belief, or current expectations are forward-looking statements and reflect the current beliefs of TELA Bio's management. Such forward-looking statements include statements relating to our expected revenue and revenue growth for the full year 2026 and reduction in operating expenses throughout the full year 2026 compared to prior periods and our expectations regarding new product launch and expectations on market penetration and profitability. These statements are not guarantees of future performance and are subject to certain risks, uncertainties and other factors that could cause actual results and events to differ materially and adversely from those indicated by such forward-looking statements including, among others: the impact to our business from macroeconomic conditions, including recessionary concerns, banking instability, increasing market interest rates, monetary policy changes, changes in trade policies, including tariffs and trade protection measures, and inflationary pressures, potentially impacting our ability to market our products, including the launch of new products; demand for our products related to changes in volumes or frequency of surgical procedures, including due to outbreak of illness or disease, cybersecurity events impacting hospital operations, potential hospital closures, labor and hospital staffing shortages, supply chain disruptions to critical surgical and hospital supplies, pricing pressures or any other applicable adverse healthcare economic factors; our ability to achieve or sustain profitability; our ability to gain market acceptance for our products and to accurately forecast and meet customer demand; our ability to compete successfully; that data from earlier studies related to our products and interim data from ongoing studies may not be replicated in later studies or indicative of future data; that data obtained from clinical studies using our product may not be indicative of outcomes in other surgical settings; our ability to enhance our product offerings, including successful launch of new products; our ability to maintain expanded market access; product development and manufacturing problems; capacity constraints or delays in production of our products; maintenance of coverage and adequate reimbursement for procedures using our products; and product defects or failures. These risks and uncertainties are described more fully in the “Risk Factors” section and elsewhere in our filings with the Securities and Exchange Commission and available at www.sec.gov, including in our Annual Report on Form 10-K and Quarterly Reports on Form 10-Q. Any forward-looking statements that we make in this announcement speak only as of the date of this press release, and TELA Bio assumes no obligation to update forward-looking statements whether as a result of new information, future events or otherwise after the date of this press release, except as required under applicable law.
Investor Contact
Louisa Smith
ir@telabio.com
| TELA Bio, Inc. Consolidated Balance Sheets (In thousands, except share and per share amounts) (Unaudited) | |||||||
| June 30, | December 31, | ||||||
| 2026 | 2025 | ||||||
| Assets | |||||||
| Current assets: | |||||||
| Cash and cash equivalents | $ | 30,424 | $ | 50,845 | |||
| Accounts receivable, net of allowances of | 9,637 | 10,347 | |||||
| Inventory | 11,059 | 11,016 | |||||
| Prepaid expenses and other current assets | 3,371 | 3,373 | |||||
| Total current assets | 54,491 | 75,581 | |||||
| Property and equipment, net | 2,048 | 2,226 | |||||
| Intangible assets, net | 1,169 | 1,359 | |||||
| Right-of-use assets | 1,379 | 1,502 | |||||
| Other long-term assets | 451 | 500 | |||||
| Restricted cash | 200 | 250 | |||||
| Total assets | $ | 59,738 | $ | 81,418 | |||
| Liabilities and stockholders’ (deficit) equity | |||||||
| Current liabilities: | |||||||
| Accounts payable | $ | 2,883 | $ | 2,309 | |||
| Accrued expenses and other current liabilities | 15,335 | 15,666 | |||||
| Total current liabilities | 18,218 | 17,975 | |||||
| Long‑term debt | 56,081 | 55,653 | |||||
| Other long‑term liabilities | 1,305 | 1,477 | |||||
| Total liabilities | 75,604 | 75,105 | |||||
| Stockholders’ (deficit) equity: | |||||||
| Preferred stock; | — | — | |||||
| Common stock; | 45 | 44 | |||||
| Additional paid-in capital | 405,101 | 403,739 | |||||
| Accumulated other comprehensive income | 84 | 91 | |||||
| Accumulated deficit | (421,096 | ) | (397,561 | ) | |||
| Total stockholders’ (deficit) equity | (15,866 | ) | 6,313 | ||||
| Total liabilities and stockholders’ (deficit) equity | $ | 59,738 | $ | 81,418 | |||
| TELA Bio, Inc. Consolidated Statements of Operations and Comprehensive Loss (In thousands, except share and per share amounts) (Unaudited) | |||||||||||||||
| Three months ended June 30, | Six months ended June 30, | ||||||||||||||
| 2026 | 2025 | 2026 | 2025 | ||||||||||||
| Revenue | $ | 19,291 | $ | 20,197 | $ | 38,350 | $ | 38,717 | |||||||
| Cost of revenue (excluding amortization of intangible assets) | 5,253 | 5,997 | 11,697 | 11,910 | |||||||||||
| Amortization of intangible assets | 95 | 95 | 190 | 190 | |||||||||||
| Gross profit | 13,943 | 14,105 | 26,463 | 26,617 | |||||||||||
| Operating expenses: | |||||||||||||||
| Sales and marketing | 16,442 | 16,857 | 32,979 | 33,465 | |||||||||||
| General and administrative | 4,061 | 4,126 | 8,227 | 7,962 | |||||||||||
| Research and development | 2,723 | 2,203 | 5,066 | 4,743 | |||||||||||
| Total operating expenses | 23,226 | 23,186 | 46,272 | 46,170 | |||||||||||
| Loss from operations | (9,283 | ) | (9,081 | ) | (19,809 | ) | (19,553 | ) | |||||||
| Other (expense) income: | |||||||||||||||
| Interest expense | (2,076 | ) | (1,188 | ) | (4,129 | ) | (2,407 | ) | |||||||
| Other income | 157 | 379 | 523 | 858 | |||||||||||
| Total other expense, net | (1,919 | ) | (809 | ) | (3,606 | ) | (1,549 | ) | |||||||
| Loss before income tax expense | (11,202 | ) | (9,890 | ) | (23,415 | ) | (21,102 | ) | |||||||
| Income tax expense | (60 | ) | (33 | ) | (120 | ) | (85 | ) | |||||||
| Net loss | $ | (11,262 | ) | $ | (9,923 | ) | $ | (23,535 | ) | $ | (21,187 | ) | |||
| Net loss per common share, basic and diluted | $ | (0.20 | ) | $ | (0.22 | ) | $ | (0.41 | ) | $ | (0.47 | ) | |||
| Weighted average common shares outstanding, basic and diluted | 57,414,360 | 45,365,325 | 57,335,875 | 45,316,444 | |||||||||||
| Comprehensive loss: | |||||||||||||||
| Net loss | $ | (11,262 | ) | $ | (9,923 | ) | $ | (23,535 | ) | $ | (21,187 | ) | |||
| Foreign currency translation adjustment | (1 | ) | 2 | (7 | ) | 3 | |||||||||
| Comprehensive loss | $ | (11,263 | ) | $ | (9,921 | ) | $ | (23,542 | ) | $ | (21,184 | ) | |||
