Aroa Biosurgery (ARX) H2 2026 earnings summary

Executive summary

• Achieved a breakout year with strong revenue growth, profitability, and self-funding status, marking five consecutive years of revenue growth led by the Myriad product line.

• Total revenue reached NZD 104 million, up 23% year-over-year, exceeding guidance.

• Myriad product line drove 54% growth, now the highest margin and fastest-growing segment.

• Completed pivotal Symphony randomized controlled trial, meeting endpoints and opening new market opportunities.

• Ended the year with NZD 27 million in cash, debt-free, and generated NZD 5 million in net cash flow.

Financial highlights

• Revenue of NZD 104 million (actual), up 23% from prior year, and NZD 101 million on constant currency basis, up 21%.

• EBITDA of NZD 13 million (actual), up 174% on guidance midpoint; normalized EBITDA NZD 11–13 million, up 201% year-over-year.

• Gross margin remained high at 85.5%, with Myriad margins exceeding 90%.

• Operating cash flow of NZD 10.5 million, reversing prior year losses; net cash flow positive by NZD 5 million.

• Operating expenses increased 11% to NZD 82.5 million, showing operating leverage as revenue grew faster.

Outlook and guidance

• FY 2027 revenue guidance set at NZD 115 million–NZD 125 million, representing 13%–23% growth.

• Direct revenue expected to grow 24%–40%; TELA Bio/OviTex sales assumed flat.

• Normalized EBITDA guidance of NZD 8 million–NZD 11 million, with NZD 9 million investment in scaling growth (commercial leadership, sales headcount, Symphony launch).

• Symphony revenue guidance of NZD 1 million–NZD 5 million, with potential upside.

• Priorities include accelerating Myriad sales, Symphony launch, and deeper account penetration.