Aroa Biosurgery (ARX) H2 2025 earnings summary

Executive summary

• Achieved total revenue of AUD/NZ$84.7 million for FY25, up 23% year-over-year and above guidance.

• Recorded first positive normalized EBITDA of AUD/NZ$4.2 million, reversing last year's loss and exceeding guidance.

• Ended the year debt-free with a cash balance of AUD/NZ$22 million and positive operating cash flow in H2.

• Myriad product drove growth, with 38% sales increase and strong clinical outcomes.

• Focused on expanding market penetration, especially in large complex wounds and lower limb salvage.

Financial highlights

• Product revenue reached AUD/NZ$84 million, up 24% year-over-year, with gross margin improving to 86% driven by Myriad sales.

• Operating expenses increased 9%, reflecting disciplined cost management.

• Achieved positive operating cash flow and break-even net operating cash flow in H2.

• Net cash outflow for the year was reduced by 50% compared to the prior year.

• Net loss after tax reduced to NZ$3.8 million from NZ$10.6 million in FY24.

Outlook and guidance

• FY26 revenue guidance set at AUD/NZ$92–100 million, representing 10–20% growth, led by Myriad expected to grow over 25%.

• Normalized EBITDA guidance of AUD/NZ$5–8 million.

• Focus remains on profitable growth, deeper account penetration, and expanding within hospital systems.

• Guidance assumes stable FX rates, US tariffs, and no major disruptions to US medical procedures or supply chain.

• Key milestones include Symphony reimbursement in physician offices and new clinical studies.