Avita Medical Stock Earnings Reports

Key points for investors: AVITA reported Q1 2026 revenue of $19.3M, up 4% year-over-year and ~10% sequentially (highest quarterly revenue in the past year). Management reaffirmed full-year 2026 revenue guidance of $80M–$85M. Operating expenses declined ~11% YoY to $24.5M reflecting prior cost optimization; net loss improved to $10.6M ($0.35/share). Gross margin was 81.7% (down from 84.7% YoY) driven by product mix and inventory reserves; RECELL gross margin remained strong (~85%). Cash and marketable securities ended the quarter at ~$14.3M; Q1 cash use was ~$9.9M due to seasonality and timing of collections, with management expecting significantly lower cash burn in Q2. The new credit facility with Perceptive Advisors provides more flexible covenants and headroom. Clinical/commercial updates: RECELL reimbursement uncertainty has largely cleared (all 7 MACs published rates) and utilization is normalizing; RECELL GO mini and smaller-burn adoption are emerging. Cohealyx showed encouraging interim clinical results (notably reduced time to graft readiness, median grafting ~11 days) with early commercial traction and expanding ordering accounts; full Cohealyx data expected later this year. PermeaDerm commercialization is early; data expected later this year. AVITA also signed a long-term BARDA agreement that provides modest recurring preparedness revenue and reinforces RECELL’s role in mass-casualty readiness. Management’s near-term focus is on continuing sequential growth, improving utilization consistency across core burn and Tier 1 trauma accounts, and demonstrating repeatable progress into Q2.