AVITA Medical (RCEL) Q2 2026 earnings summary

Executive summary

• Q2 2026 revenue reached a record $21.7 million, up 18% year-over-year and 13% sequentially, driven by strong adoption of RECELL, RECELL GO mini, Cohealyx, and PermeaDerm, with expanding U.S. and international presence.

• Gross profit margin improved to 81.9%, with RECELL-only gross margin at 86.0%; operating expenses decreased 6% year-over-year, supporting commercial growth.

• Net loss narrowed to $7.7 million, a 22–23% improvement year-over-year, with improved cash use and quarter-end cash and equivalents of $11.1 million.

• Full-year 2026 revenue guidance raised to $86–$89 million, representing 20–26% growth over 2025.

• Expectation to achieve cash flow breakeven and begin generating cash in Q4 2026.

Financial highlights

• Q2 2026 revenue: $21.7 million, up 18% year-over-year and 13% sequentially; gross margin: 81.9%; RECELL-only gross margin: 86.0%.

• Operating expenses: $24.6 million, down 6% year-over-year; operating loss: $6.9 million; net loss: $7.7 million.

• Net cash use improved to $3.2 million; cash, cash equivalents, and marketable securities at quarter end: $11.1 million.

• Six-month revenues: $41.0 million (up 11% YoY); six-month gross profit: $33.5 million (margin 81.8%).

• Q2 2026 net loss per share: $0.25; six-month net loss: $18.3 million ($0.60/share).

Outlook and guidance

• Full-year 2026 revenue guidance raised to $86–$89 million (from $80–$85 million), representing 20–26% growth over 2025.

• Cash flow breakeven expected in Q4 2026.

• Management expects RECELL gross margins to remain in the 85–86% range; product mix will impact overall gross margin.

• Additional $10 million credit facility tranche available upon achieving $85 million trailing twelve-month net revenue.

• Substantial doubt exists about ability to continue as a going concern due to recurring losses and debt obligations; additional liquidity may be required.