Avita Medical (NASDAQ:RCEL) Announces Quarterly Earnings Results

Avita Medical (NASDAQ:RCEL) announced its quarterly earnings data on Thursday. The company reported ($0.25) earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of ($0.29) by $0.04, Zacks reports. The business had revenue of $21.70 million during the quarter, compared to the consensus estimate of $20.25 million.

Here are the key takeaways from Avita Medical’s conference call:

• Second-quarter revenue rose 18% year over year to $21.7 million, marking the first quarter above $20 million; management raised 2026 revenue guidance to $86–$89 million, or 20%–24% growth.
• U.S. RECELL revenue increased 13% sequentially to $18.5 million, while total RECELL volume exceeded 2,600 units; adoption of RECELL GO mini is expanding into smaller wounds, with 77% of year-to-date procedures involving wounds of 500 square centimeters or less.
• Cohealyx revenue grew 16% sequentially to $1.7 million, supported by approximately 55 active hospital value-analysis reviews, while PermeaDerm generated $600,000 and is being positioned as a lower-cost wound temporizer alternative to allograft.
• Management expects to reach cash-flow breakeven and begin generating cash in the fourth quarter of 2026, helped by revenue growth, gross margins above 81%, disciplined operating expenses, and improved cash collections; quarterly net cash use fell to approximately $3.2 million.
• Beginning in January 2027, new nationally published CPT codes are expected to replace the current eight-code RECELL reimbursement structure with four standardized codes; AVITA is educating providers, while final CMS payment rules remain pending.

Avita Medical Price Performance

Shares of RCEL traded up $3.02 during mid-day trading on Friday, hitting $7.77. The stock had a trading volume of 7,253,013 shares, compared to its average volume of 236,270. Avita Medical has a 52 week low of $3.22 and a 52 week high of $8.07. The business has a fifty day moving average price of $4.47 and a 200-day moving average price of $4.42. The firm has a market cap of $239.16 million, a P/E ratio of -5.40 and a beta of 1.86.

Wall Street Analyst Weigh In

RCEL has been the topic of a number of recent analyst reports. Lake Street Capital upgraded Avita Medical from a “hold” rating to a “buy” rating and lifted their target price for the stock from $3.50 to $6.00 in a research note on Friday, May 15th. Wall Street Zen upgraded shares of Avita Medical from a “sell” rating to a “hold” rating in a report on Sunday, August 2nd. TD Cowen restated a “buy” rating on shares of Avita Medical in a report on Tuesday, June 30th. Weiss Ratings reaffirmed a “sell (e+)” rating on shares of Avita Medical in a research report on Wednesday, June 24th. Finally, BTIG Research upgraded shares of Avita Medical from a “neutral” rating to a “buy” rating and set a $7.00 target price on the stock in a research note on Friday. Five research analysts have rated the stock with a Buy rating, one has issued a Hold rating and one has given a Sell rating to the stock. Based on data from MarketBeat.com, Avita Medical has an average rating of “Moderate Buy” and an average price target of $8.25.

Insider Buying and Selling at Avita Medical

In other news, Director Joseph Fralin Woody purchased 10,000 shares of the business’s stock in a transaction dated Tuesday, June 9th. The stock was bought at an average price of $4.19 per share, for a total transaction of $41,900.00. Following the purchase, the director owned 102,761 shares of the company’s stock, valued at $430,568.59. The trade was a 10.78% increase in their ownership of the stock. The acquisition was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through the SEC website. In the last ninety days, insiders acquired 37,200 shares of company stock worth $155,080. 2.24% of the stock is currently owned by corporate insiders.

Institutional Investors Weigh In On Avita Medical

Several institutional investors have recently added to or reduced their stakes in RCEL. Jain Global LLC purchased a new stake in shares of Avita Medical during the 4th quarter valued at approximately $83,000. Russell Investments Group Ltd. lifted its position in shares of Avita Medical by 122.2% during the fourth quarter. Russell Investments Group Ltd. now owns 8,047 shares of the company’s stock worth $28,000 after acquiring an additional 4,425 shares in the last quarter. Wells Fargo & Company MN lifted its position in shares of Avita Medical by 98.5% during the fourth quarter. Wells Fargo & Company MN now owns 18,832 shares of the company’s stock worth $65,000 after acquiring an additional 9,345 shares in the last quarter. Aristides Capital LLC bought a new position in shares of Avita Medical in the fourth quarter worth $48,000. Finally, Deutsche Bank AG boosted its holdings in shares of Avita Medical by 1,351.5% in the fourth quarter. Deutsche Bank AG now owns 7,896 shares of the company’s stock worth $27,000 after acquiring an additional 7,352 shares during the period. 27.66% of the stock is owned by hedge funds and other institutional investors.

About Avita Medical

Avita Medical, Inc (NASDAQ: RCEL) is a regenerative medicine company focused on the development and commercialization of cell‐based therapies for acute and chronic wounds. Its flagship technology, the ReCell® Autologous Cell Harvesting Device, enables clinicians to create a suspension of a patient’s own skin cells at the point of care. The system is designed to accelerate wound healing, minimize donor‐site requirements and reduce scarring for patients suffering from burns, traumatic wounds and a variety of surgical and reconstructive procedures.

Founded in 2009 and headquartered in Carlsbad, California, Avita Medical has secured regulatory clearances in key markets, including CE mark approval in the European Union and 510(k) clearance from the U.S.