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Artivion Reports Second Quarter 2026 Financial Results
Artivion Reports Second Quarter 2026 Financial
About this update from Artivion, Inc.
Second Quarter & Recent Business Highlights: Achieved revenue of $125.8 million in the second quarter of 2026 versus $113.0 million in the second quarter of 2025, an increase of 11% on a GAAP basis and 9% on a non-GAAP constant currency basis Net loss for the second quarter of 2026 was $(13.5) million, or $(0.28) per fully diluted share, and non-GAAP net income was $6.3 million, or $0.13 per fully diluted share Adjusted EBITDA increased 7% to $26.4 million in the second quarter of 2026 compared to $24.8 million in the second quarter of 2025 Announced U.S. FDA PMA Approval of the AMDS Hybrid Prosthesis Completed acquisition of Endospan Ltd. ATLANTA , Aug. 6, 2026 /PRNewswire/ -- Artivion, Inc. (NYSE: AORT), a leading cardiac and vascular surgery company focused on aortic disease, today announced financial results for the second quarter ended June 30, 2026. "In the second quarter of 2026, we delivered 9% constant currency revenue growth and 7% adjusted EBITDA growth, reflecting continued execution of our strategy to drive long-term, profitable growth through an expanding and clinically differentiated product portfolio. Revenue growth was once again driven primarily by On-X and stent grafts, including AMDS, with On-X growing 18% and stent grafts growing 12% on a constant currency basis, both compared to the second quarter of 2025," said Pat Mackin, Chairman, President, and Chief Executive Officer. Mr. Mackin continued, "During the quarter, we achieved two milestones we have been focused on since the start of the year. First, we completed the acquisition of Endospan Ltd. and its NEXUS Aortic Arch Stent Graft System sooner than we had anticipated; and second, we received U.S. FDA approval of the PMA for our AMDS Hybrid Prosthesis. Together with ARCEVO LSA, AMDS and NEXUS complete our market-leading, three-pronged aortic arch portfolio, positioning us as the only company globally with a complete portfolio of aortic arch solutions. NEXUS is also a platform technology that is supporting three additional PMA programs in development, which we expect will further extend and solidify our leadership in the aortic arch market over time." Mr. Mackin concluded, "Overall, we are pleased with our second quarter performance, which included an acceleration in stent graft revenue and a return to growth across all international geographies. Combined with the AMDS PMA approval, we have even greater confidence in our ability to deliver our full year guidance. We continue to build our broader market expansion pipeline, with ARTIZEN enrolling as expected, and remain confident in our longer-term growth outlook." Second Quarter 2026 Financial Results Total revenues for the second quarter of 2026 were $125.8 million, an increase of 11% on a GAAP basis and 9% on a non-GAAP constant currency basis, both compared to the second quarter of 2025. Net loss for the second quarter of 2026 was $(13.5) million, or $(0.28) per fully diluted common share, compared to net income of $1.3 million, or $0.03 per fully diluted common share for the second quarter of 2025. Non-GAAP net income for the second quarter of 2026 was $6.3 million, or $0.13 per fully diluted common share, compared to non-GAAP net income of $10.7 million, or $0.24 per fully diluted common share, for the second quarter of 2025. Non-GAAP net income for the second quarter of 2026 includes pretax losses related to foreign currency revaluation of $0.7 million. 2026 Financial Outlook Artivion is reiterating its expectations for revenue for the full year 2026 to be in the range of $480 to $496 million, representing growth of 7% to 11% on an adjusted constant currency basis compared to 2025 adjusted revenue 1 . This guidance contemplates a continued expectation for currency to represent an approximate one percentage point tailwind for the full year. Artivion is reiterating its full year 2026 adjusted EBITDA to be in the range of $92 to $99 million. This guidance includes the previously articulated expectation to incur approximately $8 million of expense through the full year 2026 associated with the acquisition of Endospan, which closed in May 2026. The Company's financial performance for 2026 and future periods is subject to the risks identified below. 1 Full year 2025 adjusted revenue excluded a $2.3 million reserve for estimated payback to the Italian government for fiscal years 2019 through 2025 as a result of legislation adopted in Italy that would require medical device manufacturers to repay previously paid amounts to the extent that such expenditures ostensibly exceed annual regional maximum ceilings. In the fourth quarter of 2025, the Company recorded a liability of $2.3 million as a reduction to revenue as an estimate of the amount that the Company may be required to repay for certain years after 2018. See "Non-GAAP Financial Measures" for important information about our use of non-GAAP measures. Non-GAAP Financial Measures This press release contains non-GAAP financial measures, including non-GAAP adjusted revenue, non-GAAP net income, EBITDA, adjusted EBITDA, non-GAAP general, administrative, and marketing expenses, and free cash flows. Investors should consider this non-GAAP information in addition to, and not as a substitute for, financial measures prepared in accordance with US GAAP. In addition, this non-GAAP financial information may not be the same as similar measures presented by other companies. The Company's non-GAAP adjusted constant currency growth rates compare current year revenues to prior period revenues adjusted for the impact of changes in currency exchange. The Company's non-GAAP net income, EBITDA, adjusted EBITDA, general, administrative, and marketing, and free cash flows results primarily exclude (as applicable) depreciation and amortization expense, interest income and expense, non-cash compensation expense, loss or gain on foreign currency revaluation, income tax expense or benefit, expense/(income) for business development, integration, and severance, losses on inducement/extinguishment of debt, non-cash interest expense, capital expenditures, and other non-recurring items. The Company generally uses non-GAAP financial measures to facilitate management's review of the operational performance of the Company and as a basis for strategic planning. Company management believes that these non-GAAP presentations provide useful information to investors regarding unusual non-operating transactions, the operating expense structure of the Company's existing and acquired operations, without regard to its on-going efforts to acquire additional complementary products and businesses, and the transaction and integration expenses incurred in connection with recently acquired and divested product lines, and the operating expense structure excluding fluctuations resulting from foreign currency revaluation and non-cash compensation expense. The Company believes it is useful to exclude this revenue impact and certain expenses from non-GAAP financial measures because such amounts in any specific period may not directly correlate to the underlying performance of its business operations or can vary significantly between periods as a result of factors such as impact of recent acquisitions, non-cash expense related to depreciation and amortization of previously acquired tangible and intangible assets, and any related adjustments to their carrying values. The Company has adjusted for the impact of changes in currency exchange from certain revenues to evaluate comparable product growth rates on a constant currency basis. The Company does, however, expect to incur similar types of expenses and currency exchange impacts in the future, and this non-GAAP financial information should not be viewed as a statement or indication that these types of expenses will not recur. Company management encourages investors to review the Company's consolidated financial statements and publicly filed reports in their entirety, including the reconciliation of GAAP to non-GAAP financial measures. The Company's adjusted EBITDA expectations for fiscal 2026 exclude potential charges or gains that may be recorded during the fiscal year, relating to, among other things, non-cash compensation; expense/(income) for business development, integration, and severance; losses on inducement/extinguishment of debt; and foreign currency revaluations. The Company does not attempt to provide reconciliations of forward-looking adjusted EBITDA to the comparable GAAP measure because the impact and timing of these potential charges or gains are inherently uncertain and difficult to predict and are unavailable without unreasonable efforts. In addition, the Company believes such reconciliations would imply a degree of precision and certainty that could be confusing to investors. Such items could have a material impact on GAAP measures of the Company's financial performance. Webcast and Conference Call Information The Company will hold a teleconference call and live webcast on August 6, 2026, at 4:30 p.m. ET to discuss the results, followed by a question-and-answer session. To participate in the conference call, dial 201-689-8261 a few minutes prior to 4:30 p.m. ET. The teleconference replay will be available approximately one hour following the completion of the event and can be accessed by calling (toll free) 877-660-6853 or 201-612-7415. The conference number for the replay is 13760537. The live webcast and replay can be accessed by going to the Investors section of the Artivion website at www.Artivion.com and selecting the heading Webcasts & Presentations. About Artivion, Inc. Headquartered in suburban Atlanta, Georgia, Artivion, Inc. is a medical device company focused on developing simple, elegant solutions that address cardiac and vascular surgeons' most difficult challenges in treating patients with aortic diseases. Artivion's four major groups of products include: aortic stent grafts, surgical sealants, On-X mechanical heart valves, and implantable cardiac and vascular human tissues. Artivion markets and sells products in more than 100 countries worldwide. For additional information about Artivion, visit our website, www.Artivion.com . Forward-Looking Statements Statements made in this press release that look forward in time or that express management's beliefs, expectations, or hopes are forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Such forward-looking statements reflect the views of management at the time such statements are made. These statements include, but are not limited to, our beliefs and expectations about our revenue, year-over-year growth, growth drivers and short and long term growth prospects, earnings, currency impacts, and other financial measures and related information; our beliefs about our competitive advantages and market opportunities; our expected product mix and business strategy; anticipated quarterly fluctuations in our business; our ability to scale our business and expand adjusted EBITDA margins; that our revenues for the full year 2026 will be in the range of $480 to $496 million, representing revenue growth of between 7% to 11 % compared to 2025 on an adjusted constant currency basis; that we expect non-GAAP adjusted EBITDA to be in the range of $92 to $99 million in 2026; the expected benefits to be achieved from our Endospan acquisition; and our expected expenses to be incurred after close of the acquisition. These forward-looking statements are subject to a number of risks, uncertainties, estimates and assumptions that may cause actual results to differ materially from current expectations, including, but not limited to, the unpredictability of the timing and outcome of regulatory decisions and other regulatory developments; risks relating to our international operations; the benefits anticipated from the Ascyrus Medical LLC and Endospan transactions, including the expected benefits of the NEXUS Aortic Arch Stent Graft System and other pipeline products; the benefits anticipated from our clinical trials may not be achieved or achieved on our anticipated timelines; and the benefits anticipated from our expansion into APAC and LATAM may not be achieved or achieved on our anticipated timelines. These risks and uncertainties include the risk factors detailed in our Securities and Exchange Commission filings, including our Form 10-Q for the quarter ended June 30, 2026. Artivion does not undertake to update its forward-looking statements, whether as a result of new information, future events, or otherwise. Artivion, Inc. and Subsidiaries Condensed Consolidated Statements of Operations and Comprehensive (Loss) Income In Thousands, Except Per Share Data (Unaudited) Three Months Ended June 30, Six Months Ended June 30, 2026 2025 2026 2025 Revenues: Products $ 99,905 $ 87,444 $ 191,347 $ 166,242 Preservation services 25,852 25,528 50,747 45,708 Total revenues 125,757 112,972 242,094 211,950 Cost of products and preservation services: Products 33,991 28,315 63,688 53,578 Preservation services 11,249 11,545 22,441 21,683 Total cost of products and preservation services 45,240 39,860 86,129 75,261 Gross margin 80,517 73,112 155,965 136,689 Operating expenses: General, administrative, and marketing 79,826 57,665 140,646 112,369 Research and development 9,055 7,063 17,896 13,791 Total operating expenses 88,881 64,728 158,542 126,160 Operating (loss) income (8,364) 8,384 (2,577) 10,529 Interest expense 7,253 7,270 12,620 14,933 Interest income (367) (68) (572) (212) Losses on inducement/extinguishment of debt — 2,664 — 2,664 Other income (3,551) (4,964) (3,265) (8,043) (Loss) income before income taxes (11,699) 3,482 (11,360) 1,187 Income tax expense 1,811 2,137 733 347 Net (loss) income $ (13,510) $ 1,345 $ (12,093) $ 840 (Loss) income per share Basic $ (0.28) $ 0.03 $ (0.25) $ 0.02 Diluted $ (0.28) $ 0.03 $ (0.25) $ 0.02 Weighted-average common shares outstanding: Basic 48,541 44,296 48,309 43,270 Diluted 48,541 45,378 48,309 44,503 Net (loss) income $ (13,510) $ 1,345 $ (12,093) $ 840 Other comprehensive (loss) income: Foreign currency translation adjustments, net of tax (911) 15,768 (9,757) 22,099 Comprehensive (loss) income $ (14,421) $ 17,113 $ (21,850) $ 22,939 Artivion, Inc. and Subsidiaries Condensed Consolidated Balance Sheets In Thousands June 30, 2026 December 31, 2025 (Unaudited) ASSETS Current assets: Cash and cash equivalents $ 77,316 $ 64,908 Trade receivables, net 97,928 89,758 Other receivables 12,835 13,921 Inventories 103,364 92,427 Deferred preservation costs 53,365 54,531 Prepaid expenses and other 26,572 42,537 Total current assets 371,380 358,082 Goodwill 349,862 254,091 Acquired technology, net 149,274 123,664 Operating lease right-of-use assets, net 36,580 34,701 Property and equipment, net 73,699 64,988 Other intangibles, net 74,696 32,831 Deferred tax assets, net 1,216 1,201 Other long-term assets 15,227 15,238 Total assets $ 1,071,934 $ 884,796 LIABILITIES AND STOCKHOLDERS' EQUITY Current liabilities: Accounts payable $ 20,870 $ 16,042 Accrued compensation 17,843 22,484 Accrued expenses 16,252 16,447 Accrued interest 6,526 4,815 Taxes payable 5,580 7,489 Accrued procurement fees 1,541 3,436 Current portion of contingent consideration 25,000 20,690 Current maturities of operating leases 5,058 4,649 Current portion of finance lease obligations 860 726 Other current liabilities 7,401 4,778 Total current liabilities 106,931 101,556 Long-term debt, net 363,423 215,114 Non-current contingent consideration 71,517 39,890 Non-current maturities of operating leases 35,824 34,427 Deferred tax liabilities, net 25,884 24,308 Deferred compensation liability 10,739 9,464 Non-current finance lease obligations 2,802 2,698 Other long-term liabilities 9,229 9,107 Total liabilities $ 626,349 $ 436,564 Commitments and contingencies Stockholders' equity: Preferred stock $0.01 par value per share, 5,000 shares authorized, no shares issued — — Common stock $0.01 par value per share, 75,000 shares authorized, 50,179 and 49,330 shares issued as of June 30, 2026 and December 31, 2025, respectively 502 493 Additional paid-in capital 535,798 516,604 Retained deficit (63,591) (51,498) Accumulated other comprehensive loss (12,476) (2,719) Treasury stock, at cost, 1,487 shares as of June 30, 2026 and December 31, 2025 (14,648) (14,648) Total stockholders' equity 445,585 448,232 Total liabilities and stockholders' equity $ 1,071,934 $ 884,796 Artivion, Inc. and Subsidiaries Condensed Consolidated Statement of Cash Flows In Thousands (Unaudited) Six Months Ended June 30, 2026 2025 Net cash flows from operating activities: Net (loss) income $ (12,093) $ 840 Adjustments to reconcile net (loss) income to net cash from operating activities: Depreciation and amortization 13,088 10,984 Non-cash compensation 16,578 14,167 Non-cash lease expense 2,612 2,510 Write-down of inventories and deferred preservation costs 2,368 2,379 Deferred income taxes (1,421) (231) Change in fair value of contingent consideration 9,710 (210) Losses on inducement/extinguishment of debt — 2,664 Other (2,590) (7,423) Changes in operating assets and liabilities, net of acquisition: Receivables (7,971) (9,660) Inventories and deferred preservation costs (10,752) (5,521) Prepaid expenses and other assets (5,271) (6,215) Accounts payable, accrued expenses, and other liabilities (4,370) (6,226) Net cash flows used in operating activities (112) (1,942) Net cash flows from investing activities: Capital expenditures (18,751) (6,925) Acquisition of Endospan, net of cash acquired (116,661) — Payments related to sale of non-financial assets (1,500) — Other (3,000) — Net cash flows used in investing activities (139,912) (6,925) Net cash flows from financing activities: Proceeds from issuance of long-term debt, net 148,875 — Repayment of debt — (134) Proceeds from exercise of stock options and issuance of common stock 2,625 4,459 Proceeds from financing insurance premiums 3,217 3,117 Principal payments on short-term notes payable (1,440) (554) Other (426) (353) Net cash flows provided by financing activities 152,851 6,535 Effect of exchange rate changes on cash and cash equivalents (419) 2,345 Increase in cash and cash equivalents 12,408 13 Cash and cash equivalents beginning of period 64,908 53,463 Cash and cash equivalents end of period $ 77,316 $ 53,476 Artivion, Inc. and Subsidiaries Financial Highlights In Thousands (Unaudited) Three Months Ended June 30, Six Months Ended June 30, 2026 2025 2026 2025 Products: Aortic stent grafts $ 46,414 $ 39,841 $ 90,811 $ 76,443 On-X 30,506 25,572 56,457 47,146 Surgical sealants 19,287 19,288 38,092 37,394 Other 3,698 2,743 5,987 5,259 Total products 99,905 87,444 191,347 166,242 Preservation services 25,852 25,528 50,747 45,708 Total revenues $ 125,757 $ 112,972 $ 242,094 $ 211,950 North America $ 62,333 $ 57,569 $ 121,028 $ 105,362 Europe, the Middle East, and Africa 44,548 38,713 88,534 75,758 Asia Pacific 12,169 11,131 20,859 19,345 Latin America 6,707 5,559 11,673 11,485 Total revenues $ 125,757 $ 112,972 $ 242,094 $ 211,950 Artivion, Inc. and Subsidiaries Reconciliation of GAAP to Non-GAAP Revenues $ In Thousands (Unaudited) Revenues for the Three Months Ended June 30, Percent Change From Prior Year 2026 2025 US GAAP US GAAP Exchange Rate Effect Constant Currency Constant Currency Products: Aortic stent grafts $ 46,414 $ 39,841 $ 1,632 $ 41,473 12 % On-X 30,506 25,572 311 25,883 18 % Surgical sealants 19,287 19,288 361 19,649 -2 % Other 3,698 2,743 7 2,750 34 % Total products 99,905 87,444 2,311 89,755 11 % Preservation services 25,852 25,528 20 25,548 1 % Total $ 125,757 $ 112,972 $ 2,331 $ 115,303 9 % North America 62,333 57,569 50 57,619 8 % Europe, the Middle East, and Africa 44,548 38,713 1,781 40,494 10 % Asia Pacific 12,169 11,131 — 11,131 9 % Latin America 6,707 5,559 500 6,059 11 % Total $ 125,757 $ 112,972 $ 2,331 $ 115,303 9 % Revenues for the Six Months Ended June 30, Percent Change From Prior Year 2026 2025 US GAAP US GAAP Exchange Rate Effect Constant Currency Constant Currency Products: Aortic stent grafts $ 90,811 $ 76,443 $ 5,509 $ 81,952 11 % On-X 56,457 47,146 945 48,091 17 % Surgical sealants 38,092 37,394 1,110 38,504 -1 % Other 5,987 5,259 32 5,291 13 % Total products 191,347 166,242 7,596 173,838 10 % Preservation services 50,747 45,708 41 45,749 11 % Total $ 242,094 $ 211,950 $ 7,637 $ 219,587 10 % North America 121,028 105,362 136 105,498 15 % Europe, the Middle East, and Africa 88,534 75,758 6,462 82,220 8 % Asia Pacific 20,859 19,345 — 19,345 8 % Latin America 11,673 11,485 1,039 12,524 -7 % Total $ 242,094 $ 211,950 $ 7,637 $ 219,587 10 % Artivion, Inc. and Subsidiaries Reconciliation of GAAP to Non-GAAP General, Administrative, and Marketing Expense, EBITDA, Adjusted EBITDA, and Free Cash Flows In Thousands (Unaudited) Three Months Ended June 30, Six Months Ended June 30, 2026 2025 2026 2025 Reconciliation of G&A expenses, GAAP to adjusted G&A, non-GAAP: General, administrative, and marketing expense, GAAP $ 79,826 $ 57,665 $ 140,646 $ 112,369 Business development, integration, and severance 19,834 3,050 22,848 266 Cybersecurity incident — 1,243 (1,478) 5,693 Adjusted G&A, non-GAAP $ 59,992 $ 53,372 $ 119,276 $ 106,410 Three Months Ended June 30, Six Months Ended June 30, 2026 2025 2026 2025 Reconciliation of net (loss) income, GAAP and EBITDA, non-GAAP to adjusted EBITDA, non-GAAP: Net (loss) income, GAAP $ (13,510) $ 1,345 $ (12,093) $ 840 Adjustments: Interest expense 7,253 7,270 12,620 14,933 Interest income (367) (68) (572) (212) Income tax expense 1,811 2,137 733 347 Depreciation and amortization expense 6,748 5,538 13,088 10,984 EBITDA, non-GAAP 1,935 16,222 13,776 26,892 Non-cash compensation 8,164 6,122 16,578 14,167 Business development, integration, and severance 15,538 2,568 18,022 (489) Cybersecurity incident — 1,683 (1,478) 6,429 Losses on inducement/extinguishment of debt — 2,664 — 2,664 Loss (gain) on foreign currency revaluation 746 (4,495) 1,568 (7,351) Adjusted EBITDA, non-GAAP $ 26,383 $ 24,764 $ 48,466 $ 42,312 Three Months Ended June 30, Six Months Ended June 30, 2026 2025 2026 2025 Reconciliation of cash flows from operating activities, GAAP to free cash flows, non-GAAP: Net cash flows (used in) provided by operating activities $ (1,266) $ 15,011 $ (112) $ (1,942) Capital expenditures (10,748) (3,287) (18,751) (6,925) Free cash flows, non-GAAP $ (12,014) $ 11,724 $ (18,863) $ (8,867) Artivion, Inc. and Subsidiaries Reconciliation of GAAP to Non-GAAP Net Income and Diluted Income Per Common Share In Thousands, Except Per Share Data (Unaudited) Three Months Ended June 30, Six Months Ended June 30, 2026 2025 2026 2025 GAAP: (Loss) income before income taxes $ (11,699) $ 3,482 $ (11,360) $ 1,187 Income tax expense 1,811 2,137 733 347 Net (loss) income $ (13,510) $ 1,345 $ (12,093) $ 840 Diluted (loss) income per common share $ (0.28) $ 0.03 $ (0.25) $ 0.02 Diluted weighted-average common shares outstanding 48,541 45,378 48,309 44,503 Reconciliation of (loss) income before income taxes, GAAP to adjusted income, non-GAAP: (Loss) income before income taxes, GAAP: $ (11,699) $ 3,482 $ (11,360) $ 1,187 Adjustments: Amortization expense 4,226 3,427 8,137 6,815 Business development, integration, and severance 15,538 2,568 18,022 (489) Non-cash interest expense 396 485 711 1,028 Cybersecurity incident — 1,683 (1,478) 6,429 Losses on inducement/extinguishment of debt — 2,664 — 2,664 Adjusted income before income taxes, non-GAAP 8,461 14,309 14,032 17,634 Income tax expense calculated at a tax rate of 25% 2,115 3,577 3,508 4,408 Adjusted net income, non-GAAP $ 6,346 $ 10,732 $ 10,524 $ 13,226 Reconciliation of diluted (loss) income per common share, GAAP to adjusted diluted income per common share, non-GAAP: Diluted (loss) income per common share, GAAP: $ (0.28) $ 0.03 $ (0.25) $ 0.02 Adjustments: Amortization expense 0.09 0.07 0.17 0.15 Business development, integration, and severance 0.31 0.06 0.36 (0.01) Non-cash interest expense 0.01 0.01 0.02 0.02 Cybersecurity incident — 0.03 (0.03) 0.14 Losses on inducement/extinguishment of debt — 0.06 — 0.06 Tax effect of non-GAAP adjustments (0.10) (0.06) (0.13) (0.09) Effect of 25% tax rate 0.10 0.04 0.07 0.01 Adjusted diluted income per common share, non-GAAP $ 0.13 $ 0.24 $ 0.21 $ 0.30 Reconciliation of diluted weighted-average common shares outstanding GAAP to diluted weighted-average common shares outstanding, non-GAAP: Diluted weighted-average common shares outstanding, GAAP: 48,541 45,378 48,309 44,503 Adjustments: Effect of dilutive stock options and awards 1,077 — 1,360 — Diluted weighted-average common shares outstanding, non- GAAP 49,618 45,378 49,669 44,503 Contacts: Artivion Gilmartin Group LLC Lance A. Berry Brian Johnston Executive Vice President, Phone: 332-895-3222 Chief Operating Officer & [email protected] Chief Financial Officer Phone: 770-419-3355 View original content to download multimedia: https://www.prnewswire.com/news-releases/artivion-reports-second-quarter-2026-financial-results-302845368.html SOURCE Artivion, Inc.