MiMedx Group (MDXG) Q2 2026 & M&A announcement earnings summary

Executive summary

• Announced definitive agreement to acquire Sanara MedTech in a cash and stock deal valued at $35 per share, total enterprise value ~$350 million, creating a leading regenerative medicine company with expanded surgical portfolio and commercial scale.

• Transaction represents a 46% premium to Sanara's 30-day VWAP and is expected to close by year-end 2026, pending shareholder and regulatory approvals.

• Q2 2026 net sales were $64 million, down 35% year-over-year, with 15% growth in Surgical sales offset by a 61% decline in Wound sales due to Medicare reimbursement changes.

• Cost reduction initiatives and share repurchases of $13 million were completed in Q2 2026.

Financial highlights

• Q2 2026 net sales: $64.4 million, down 34.7% year-over-year; Surgical sales: $39.3 million (+15%), Wound sales: $25.1 million (-61%).

• Gross margin for Q2 2026: 69% (down from 81% prior year); adjusted gross margin: 73.7%.

• Adjusted EBITDA for Q2 2026: $(8.1) million; GAAP net loss: $14.8 million ($0.10/share); adjusted net loss: $(6.7) million ($0.05/share).

• Cash and cash equivalents as of June 30, 2026: $136 million; net cash position $119 million.

• Sanara reported $103 million net revenue in 2025, 19% year-over-year growth, and 93% gross margin.

Outlook and guidance

• Full-year 2026 standalone guidance reiterated: net sales $260–$290 million, adjusted EBITDA approaching breakeven.

• Combined company (post-Sanara) expects 2027 revenue to exceed $400 million, with adjusted EBITDA margin above 20% and over $20 million in annualized cost synergies.

• Combined leverage ratio expected to be below 3.0x by year-end 2027.