AVITA Medical (ASX:AVH) Reports Q4 and FY 2024 Financial Results
Financial Performance
AVITA Medical reported a 30% increase in fourth quarter commercial revenue, reaching $18.4 million. For the full year 2024, commercial revenue rose by 29% to $64.0 million. Gross profit margins were 87.6% for Q4 and 85.8% for the year. However, the company reported a net loss of $11.6 million for Q4 and $61.8 million for the full year.
Product Approvals
In December 2024, the FDA granted 510(k) clearance for Cohealyx™, a collagen-based dermal matrix, and approved RECELL GO® mini. These approvals enhance AVITA Medical’s position in therapeutic acute wound care.
Financial Guidance
AVITA Medical forecasts full-year 2025 commercial revenue between $100 million and $106 million, representing a 55% to 65% increase over 2024. The company expects to generate free cash flow in the second half of 2025 and achieve GAAP profitability by Q4 2025.
Executive Comments
CEO Jim Corbett stated, “With the December approvals of RECELL GO mini and Cohealyx, we have established our position in therapeutic acute wound care. Our expanded portfolio now offers clinicians a suite of advanced technologies optimised for wound healing, effectively accelerating the time to patient recovery. This transformation positions us for long-term growth.” CFO David O’Toole added, “In the fourth quarter, we reported a $4.1 million decline in operating expenses compared to the third quarter, reflecting our continued operational efficiencies. Moreover, our strategic focus on streamlining expenses contributed to a decrease in the use of cash for the fourth quarter compared to the third quarter. This downward trend is expected to continue over the next three quarters as we work toward generating free cash flow in the second half of the year and achieving GAAP profitability in the fourth quarter of 2025.”
Motley Fool contributor Matt Burgess has no position in any of the stocks mentioned. The Motley Fool Australia's parent company Motley Fool Holdings Inc. has positions in and has recommended Avita Medical. The Motley Fool Australia has recommended Avita Medical. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.
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