AxoGen (AXGN) Q2 2026 earnings summary

Executive summary

• Q2 2026 revenue reached $69.7 million, up 23.1% year-over-year, with broad-based growth led by strong Breast segment performance and significant acceleration in the market.

• Adjusted net income for Q2 2026 was $7.3 million ($0.12 per share), up from $5.7 million in Q2 2025; adjusted EBITDA was $8.4 million with a 12.1% margin.

• Net loss for Q2 2026 was $1.5 million, primarily due to a one-time $16.8 million debt extinguishment loss and increased operating expenses.

• Cash and investments totaled $113.4 million as of June 30, 2026, with no debt obligations and liquidity strengthened by a $133.3 million equity offering.

• Strategic investment in Trace Biosciences to support nerve-specific imaging technology and continued focus on innovation, evidence generation, and market expansion.

Financial highlights

• Q2 2026 revenue: $69.7 million (+23.1% YoY); YTD revenue: $131.2 million (+24.7% YoY).

• Gross margin for Q2 2026 was 72.7%, down from 74.2% in Q2 2025, impacted by product mix and strong Breast segment growth.

• Adjusted net income for Q2 2026 was $7.3 million; adjusted EBITDA was $8.4 million; net loss was $1.5 million due to debt extinguishment.

• Operating expenses rose to $52.8 million, mainly from compensation and stock-based expenses tied to revenue growth.

• Cash and investments at June 30, 2026: $113.4 million, up $9.8 million sequentially.

Outlook and guidance

• Full-year 2026 revenue guidance raised to at least $279 million, reflecting at least 24% growth.

• Gross margin expected to be at least 73% for 2026, with improvement anticipated as product mix broadens.

• Positive free cash flow projected for the full year.

• Guidance does not assume material benefit from future payer coverage decisions beyond those already known.

• Existing cash, investments, and product sales expected to fund operations for at least the next twelve months.