Aroa Biosurgery (ARX) H1 2026 earnings summary

Executive summary

• Revenue for H1 FY26 reached $44.9 million (up 13–15% YoY), with gross margin at 85% and normalized EBITDA turning positive at $1.8 million, reversing a prior loss.

• Product sales grew 14% YoY to $44.6 million, led by Myriad's 30–33% growth and an increase in direct sales mix to 57%.

• Cash from operations was $4 million, with a period-end cash balance of $23.4 million and no debt.

• The company expanded its product portfolio and clinical evidence, with 10 new studies published and 116 total peer-reviewed studies.

Financial highlights

• Operating expenses rose 3% to $39.6 million, mainly due to higher selling/admin costs, while R&D expenses dropped 52% YoY to $4.1 million.

• Gross profit increased 13% to $38.3 million, with product gross margin at 85% (down 2% YoY).

• Cash receipts from sales were $45 million, and cash payments decreased to $41 million.

• Investing activities outflow was $1.6 million, reflecting lower capex.

Outlook and guidance

• FY26 revenue guidance reaffirmed at $92–100 million (10–20% growth), with normalized EBITDA targeted at $5–8 million.

• Myriad product line expected to deliver over 25% YoY constant currency growth.

• Guidance assumes stable exchange rates, US tariffs at 15%, and no major disruptions in US medical procedures or manufacturing.

• Symphony RCT completion expected by end of November, with data publication to follow.