AxoGen (AXGN) Bank of America Global Healthcare Conference 2026 summary

Strategic vision and business fundamentals

• Focus is on addressing a credible, underserved health condition with a distinctive, advantaged solution in peripheral nerve repair.

• Strategic planning involved all employees and stakeholders, resulting in a single, unified plan shared across the organization and with investors.

• The business aims to deliver value to all stakeholders for years to come, leveraging the importance of peripheral nerve function.

Reimbursement and coverage updates

• Recent significant reimbursement wins are expected to positively impact revenue, but quantification and timing remain uncertain as providers and payers adapt.

• Awaiting a decision from Aetna, the last major commercial payer, with a potential update by the end of June.

• Avance's gap length restriction policy is under review, with ongoing engagement to address potential issues, though no impact has been observed yet.

• CMS outpatient reimbursement reclassification led to a 40% rate increase starting January 2026, but adoption will take time as hospitals and payers adjust.

Financial performance and outlook

• Q1 revenue grew 27%, with full-year guidance of at least 20% growth; Q1 is typically an easier comparable, and growth is expected to moderate as the year progresses.

• The business is positioned for continuous double-digit growth over a three-to-five-year horizon, emphasizing prudence and sustainable expansion.

• Gross margin is expected to be at the low end of the 74%-76% range in Q2 due to higher costs from BLA transition, with improvements anticipated from operational initiatives and economies of scale.