Axogen, Inc. Reports First Quarter 2026 Financial Results

Contact:
Axogen, Inc.
[email protected]

Axogen, Inc.
Condensed Consolidated Balance Sheets
(unaudited)
(in thousands, except share and per share amounts)

​

March 31,
2026

December 31,
2025

Assets

​

Current assets:

Cash and cash equivalents

$

82,654

$

35,548

Restricted cash

2,000

4,000

Investments

18,947

5,980

Accounts receivable, net of allowance for doubtful accounts of $822 and $948, respectively

28,313

26,169

Inventory

46,074

42,373

Prepaid expenses and other assets

6,720

6,352

Total current assets

184,708

120,422

Property and equipment, net

83,038

81,783

Operating lease right-of-use assets

14,280

12,732

Intangible assets, net

7,270

6,750

Other assets

192

—

Total assets

$

289,488

$

221,687

​

Liabilities and shareholders’ equity

Current liabilities:

Accounts payable and accrued expenses

$

23,898

$

21,184

Current maturities of long-term lease obligations

2,115

2,372

Total current liabilities

26,013

23,556

​

Long-term debt, net of debt discount and financing fees

—

48,387

Long-term lease obligations

18,527

16,870

Debt derivative liabilities

—

3,886

Other long-term liabilities

140

141

Total liabilities

44,680

92,840

​

Shareholders’ equity:

Common stock, $0.01 par value per share; 100,000,000 shares authorized; 53,153,471 and 47,199,797 shares issued and outstanding, respectively

532

472

Additional paid-in capital

570,823

435,338

Accumulated deficit

(326,547

)

(306,963

)

Total shareholders’ equity

244,808

128,847

Total liabilities and shareholders’ equity

$

289,488

$

221,687

Axogen, Inc.
Condensed Consolidated Statements of Operations
(unaudited)
(in thousands, except share and per share amounts)

​

Three Months Ended

​

March 31, 2026

March 31, 2025

Revenues

$

61,457

$

48,560

Cost of goods sold

15,268

13,627

Gross profit

46,189

34,933

Costs and expenses:

Sales and marketing

28,633

21,045

Research and development

7,517

6,091

General and administrative

12,871

9,458

Total costs and expenses

49,021

36,594

Loss from operations

(2,832

)

(1,661

)

Other income (expense):

Investment income

768

272

Interest expense

(694

)

(2,250

)

Loss on extinguishment of debt

(16,849

)

—

Change in fair value of debt derivative liabilities

—

(158

)

Other income (expense), net

23

(37

)

Total other expense, net

(16,752

)

(2,173

)

Net loss

$

(19,584

)

$

(3,834

)

Weighted average common shares outstanding — basic

51,591,504

45,204,076

Weighted average common shares outstanding — diluted

51,591,504

45,204,076

Net loss per common share — basic

$

(0.38

)

$

(0.08

)

Net loss per common share — diluted

$

(0.38

)

$

(0.08

)

Axogen, Inc.
Condensed Consolidated Statements of Cash Flows
(unaudited)
(in thousands)​

​

Three Months Ended

​

March 31, 2026

March 31, 2025

Cash flows from operating activities:

​

Net loss

$

(19,584

)

$

(3,834

)

Adjustments to reconcile net loss to net cash provided by (used in) operating activities:

Depreciation

1,604

1,728

Amortization of right-of-use assets

420

87

Amortization of intangible assets

101

67

Amortization of debt discount and deferred financing fees

68

220

(Recovery of) provision for bad debts

(120

)

187

Change in fair value of debt derivative liabilities

—

158

Investment losses (gains), net

33

(45

)

Loss on extinguishment of debt

16,849

—

Stock-based compensation expense

6,843

2,909

Change in operating assets and liabilities:

Accounts receivable

(2,024

)

(2,377

)

Inventory

(3,701

)

(2,321

)

Prepaid expenses and other assets

(368

)

(489

)

Other assets

(192

)

—

Accounts payable and accrued expenses

2,198

(9,079

)

Operating lease obligations

(559

)

(452

)

Cash paid for interest portion of financing lease obligations

(2

)

(1

)

Other long-term liabilities

(1

)

63

Net cash provided by (used in) operating activities

1,565

(13,179

)

​

​

Cash flows from investing activities:

​

Purchase of property and equipment

(2,789

)

(256

)

Purchase of investments

(19,000

)

—

Proceeds from sale of investments

6,000

2,000

Cash payments for intangible assets

(175

)

(405

)

Net cash (used in) provided by investing activities

(15,964

)

1,339

​

​

Cash flows from financing activities:

​

Proceeds from issuance of common stock

134,044

—

Payment of stock issuance costs

(792

)

—

Repayment of long-term debt

(48,585

)

—

Fees paid to lender related to debt extinguishment

(20,498

)

—

Fees paid to third parties related to debt extinguishment

(107

)

—

Payments of employee tax withholding on vested stock awards

(8,776

)

—

Cash paid for debt portion of financing lease obligations

(7

)

(1

)

Proceeds from exercise of stock options

4,226

2,383

Net cash provided by financing activities

59,505

2,382

Net increase (decrease) in cash and cash equivalents, and restricted cash

45,106

(9,458

)

Cash and cash equivalents, and restricted cash, beginning of period

39,548

33,554

Cash and cash equivalents, and restricted cash, end of period

$

84,654

$

24,096

Axogen, Inc.
Condensed Consolidated Statements of Changes in Shareholders’ Equity
(unaudited)
(in thousands, except share amounts)

​

Common Stock

Additional Paid-in
Capital

Accumulated
Deficit

Total Shareholders'
Equity

​

Shares

Amount

Three Months Ended March 31, 2026

​

​

​

​

​

Balance at December 31, 2025

47,199,797

$

472

$

435,338

$

(306,963

)

$

128,847

Net loss

—

—

—

(19,584

)

(19,584

)

Issuance of common shares

4,600,000

46

133,206

—

133,252

Stock-based compensation

—

—

6,843

—

6,843

Issuance of restricted and performance stock units, net of shares withheld for withholding taxes

985,796

10

(8,786

)

—

(8,776

)

Exercise of stock options

367,878

4

4,222

—

4,226

Balance at March 31, 2026

53,153,471

$

532

$

570,823

$

(326,547

)

$

244,808

Three Months Ended March 31, 2025

Balance at December 31, 2024

44,148,836

$

441

$

394,726

$

(291,260

)

$

103,907

Net loss

—

—

—

(3,834

)

(3,834

)

Stock-based compensation

—

—

2,909

—

2,909

Issuance of restricted and performance stock units

1,105,214

11

(11

)

—

—

Exercise of stock options

258,573

3

2,380

—

2,383

Balance at March 31, 2025

45,512,623

$

455

$

400,004

$

(295,094

)

$

105,365

Axogen, Inc.
Reconciliation of GAAP Financial Measures to Non-GAAP Financial Measures
(unaudited)
(in thousands, except share and per share amounts)​

EBITDA & Adjusted EBITDA

Three Months Ended

March 31, 2026

March 31, 2025

Net loss

$

(19,584

)

$

(3,834

)

Depreciation and amortization expense

1,706

1,795

Investment income

(768

)

(272

)

Income tax (benefit) expense

(33

)

29

Interest expense

694

2,250

EBITDA – non-GAAP

$

(17,985

)

$

(32

)

EBITDA margin – non-GAAP

(29.3

)%

(0.1

)%

Non-cash stock-based compensation expense

6,843

2,909

Loss on extinguishment of debt

16,849

—

Adjusted EBITDA – non-GAAP

$

5,707

$

2,877

Adjusted EBITDA margin – non-GAAP

9.3

%

5.9

%

Axogen, Inc.
Reconciliation of GAAP Financial Measures to Non-GAAP Financial Measures
(unaudited)
(in thousands, except share and per share amounts)​

Adjusted Net Income

Three Months Ended March 31, 2026

GAAP Results

Non-cash Stock-based Compensation Expense

Loss on Extinguishment of Debt

Dilutive Shares Impact⁽¹⁾

Adjusted Results

Revenues

$

61,457

$

—

$

—

$

61,457

Cost of goods sold

15,268

(919

)

—

14,349

Gross profit

46,189

919

—

47,108

Costs and expenses:

Sales and marketing

28,633

(1,558

)

—

27,075

Research and development

7,517

(1,419

)

—

6,098

General and administrative

12,871

(2,947

)

—

9,924

Total costs and expenses

49,021

(5,924

)

—

43,097

(Loss) income from operations

(2,832

)

6,843

—

4,011

Other income (expense):

Investment income

768

—

—

768

Interest expense

(694

)

—

—

(694

)

Loss on extinguishment of debt

(16,849

)

—

16,849

—

Other income, net

23

—

—

23

Total other (expense) income, net

(16,752

)

—

16,849

97

Net (loss) income

$

(19,584

)

$

6,843

$

16,849

$

4,108

Weighted average common shares outstanding – diluted

51,591,504

51,591,504

51,591,504

5,183,717

56,775,221

Net (loss) income per common share – diluted

$

(0.38

)

$

0.13

$

0.33

$

(0.01

)

$

0.07

__________
^{(1) Due to a GAAP net loss, antidilutive securities are excluded from GAAP diluted weighted average common shares outstanding. However, considering the adjusted net income position, adjusted diluted weighted average common shares outstanding incorporates securities that would have been dilutive for GAAP.}

Axogen, Inc.
Reconciliation of GAAP Financial Measures to Non-GAAP Financial Measures
(unaudited)
(in thousands, except share and per share amounts)​

Adjusted Net Income

Three Months Ended March 31, 2025

Three Months Ended June 30, 2025

Three Months Ended September 30, 2025

Three Months Ended December 31, 2025

GAAP Results

Non-cash Stock-based Compensation Expense

Adjusted Results

GAAP Results

Non-cash Stock-based Compensation Expense

Adjusted Results

GAAP Results

Non-cash Stock-based Compensation Expense

Adjusted Results

GAAP Results

Non-cash Stock-based Compensation Expense

Adjusted Results⁽¹⁾

Revenues

$

48,560

$

—

$

48,560

$

56,662

$

—

$

56,662

$

60,082

$

—

$

60,082

$

59,904

$

—

$

59,904

Cost of goods sold

13,627

10

13,637

14,644

(709

)

13,935

14,089

(706

)

13,383

15,495

(2,274

)

13,221

Gross profit

34,933

(10

)

34,923

42,018

709

42,727

45,993

706

46,699

44,409

2,274

46,683

Costs and expenses:

Sales and marketing

21,045

(584

)

20,461

23,804

(1,314

)

22,490

25,680

(1,524

)

24,156

27,211

(2,939

)

24,272

Research and development

6,091

(720

)

5,371

6,853

(1,030

)

5,823

7,565

(1,047

)

6,518

12,376

(6,052

)

6,324

General and administrative

9,458

(1,615

)

7,843

9,689

(2,115

)

7,574

10,836

(2,147

)

8,689

14,594

(5,346

)

9,248

Total costs and expenses

36,594

(2,919

)

33,675

40,346

(4,459

)

35,887

44,081

(4,718

)

39,363

54,181

(14,337

)

39,844

(Loss) income from operations

(1,661

)

2,909

1,248

1,672

5,168

6,840

1,912

5,424

7,336

(9,772

)

16,611

6,839

Other income (expense):

Investment income

272

—

272

225

—

225

319

—

319

352

—

352

Interest expense

(2,250

)

—

(2,250

)

(1,977

)

—

(1,977

)

(1,757

)

—

(1,757

)

(1,718

)

—

(1,718

)

Change in fair value of debt derivative liabilities

(158

)

—

(158

)

480

—

480

209

—

209

(2,018

)

—

(2,018

)

Other (expense) income, net

(37

)

—

(37

)

179

—

179

25

—

25

—

—

—

Total other expense, net

(2,173

)

—

(2,173

)

(1,093

)

—

(1,093

)

(1,204

)

—

(1,204

)

(3,384

)

—

(3,384

)

Net (loss) income

$

(3,834

)

$

2,909

$

(925

)

$

579

$

5,168

$

5,747

$

708

$

5,424

$

6,132

$

(13,156

)

$

16,611

$

3,455

Weighted average common shares outstanding – diluted

45,204,076

45,204,076

45,204,076

47,980,830

47,980,830

47,980,830

49,088,436

49,088,436

49,088,436

46,929,309

46,929,309

52,230,508

Net (loss) income per common share – diluted

$

(0.08

)

$

0.06

$

(0.02

)

$

0.01

$

0.11

$

0.12

$

0.01

$

0.11

$

0.12

$

(0.28

)

$

0.35

$

0.07

__________
^{(1) Due to a GAAP net loss during the three months ended December 31, 2025, 5,301,199 antidilutive securities are excluded from GAAP diluted weighted average common shares outstanding. However, considering the adjusted net income position, adjusted diluted weighted average common shares outstanding incorporates securities that would have been dilutive for GAAP. The inclusion of these shares decreased adjusted Net income per common share by less than $0.01.}

Axogen, Inc.
Reconciliation of GAAP Financial Measures to Non-GAAP Financial Measures
(unaudited)
(in thousands, except share and per share amounts)​

Adjusted Net Income

Twelve Months Ended December 31, 2025

GAAP Results

Non-cash Stock-based Compensation Expense

Dilutive Shares Impact⁽¹⁾

Adjusted Results

Revenues

$

225,208

$

—

$

225,208

Cost of goods sold

57,855

(3,680

)

54,175

Gross profit

167,353

3,680

171,033

Costs and expenses:

Sales and marketing

97,740

(6,361

)

91,379

Research and development

32,885

(8,848

)

24,037

General and administrative

44,577

(11,223

)

33,354

Total costs and expenses

175,202

(26,432

)

148,770

(Loss) income from operations

(7,849

)

30,112

22,263

Other income (expense):

Investment income

1,168

—

1,168

Interest expense

(7,702

)

—

(7,702

)

Change in fair value of debt derivative liabilities

(1,487

)

—

(1,487

)

Other income, net

167

—

167

Total other expense, net

(7,854

)

—

(7,854

)

Net (loss) income

$

(15,703

)

$

30,112

$

14,409

Weighted average common shares outstanding – diluted

46,050,266

46,050,266

3,761,920

49,812,186

Net (loss) income per common share – diluted

$

(0.34

)

$

0.65

$

(0.02

)

$

0.29

__________
^{(1) Due to a GAAP net loss, antidilutive securities are excluded from GAAP diluted weighted average common shares outstanding. However, considering the adjusted net income position, adjusted diluted weighted average common shares outstanding incorporates securities that would have been dilutive for GAAP.}

Free Cash Flow

Three Months Ended

March 31, 2026

March 31, 2025

Net cash provided by (used in) operating activities

$

1,565

$

(13,179

)

Purchase of property and equipment

(2,789

)

(256

)

Cash payments for intangible assets

(175

)

(405

)

Free cash flow

$

(1,399

)

$

(13,840

)