Axogen, Inc. Reports Fourth Quarter and Full-Year 2025 Financial Results

February 24, 2026 7:00am EST

ALACHUA, Fla. and TAMPA, Fla., Feb. 24, 2026 (GLOBE NEWSWIRE) -- Axogen, Inc. (NASDAQ: AXGN), a global leader in developing and marketing innovative surgical solutions for the restoration of peripheral nerve function, today reported financial results and business highlights for the fourth quarter and full-year ended December 31, 2025.

Fourth Quarter Financial Results

Fourth quarter 2025 revenue was $59.9 million, a 21.3% increase compared to the fourth quarter 2024 revenue, and a 0.3% decrease over the third quarter 2025 revenue.

Fourth quarter 2025 gross margin was 74.1%, down from 76.1% for the fourth quarter of 2024, and down from 76.6% in the third quarter of 2025.

Gross margin reflects one-time costs of approximately $1.9 million, or 3% for the fourth quarter of 2025, related to the U.S. Food and Drug Administration (“FDA”) Biologics License Application (“BLA”) approval of Avance ® , of which 67% are non-cash and relate to the vesting of certain stock compensation awards containing FDA BLA approval of Avance ® milestones.

Net loss for the fourth quarter of 2025 was $13.2 million, or $0.28 per share, compared to a Net income of $0.5 million, or $0.01 per share for the fourth quarter of 2024.

Adjusted net income for the fourth quarter of 2025 and 2024 were both $3.5 million, or $0.07 per share.

Adjusted EBITDA was $6.5 million for the fourth quarter 2025, compared to $6.7 million for the fourth quarter of 2024.

Cash and cash equivalents, restricted cash, and investments increased $5.7 million during the fourth quarter of 2025.

“2025 was a remarkable year of financial and operational achievement for Axogen, as we attained or progressed every objective expected of our strategic plan. With the FDA’s approval of our Biologics License Application for Avance ® as the only implantable biologic indicated for treatment of peripheral nerve discontinuities, and the continued demonstration of the effectiveness and predictability of our market development strategies, we are confident we have a foundation for future growth and advancement of our mission to make restoration of peripheral function a standard of care,” commented Michael Dale, President and CEO of Axogen, Inc. “Importantly for shareholders, we exited 2025 financially stronger and positioned to continue our important work profitably while generating positive cash flow.”

Full-Year Financial Results

Full-year 2025 revenue was $225.2 million, a 20.2% increase compared to 2024 revenue of $187.3 million.

Gross margin was 74.3% for the full-year 2025, compared to 75.8% in 2024.

Gross margin reflects one-time costs of approximately $1.9 million, or 1% for the full-year 2025, related to the FDA BLA approval of Avance ® , of which 67% are non-cash and relate to the vesting of certain stock compensation awards containing FDA BLA approval of Avance ® milestones.

Net loss for the full-year 2025 was $15.7 million, or $0.34 per share, compared to $10.0 million, or $0.23 per share for 2024.

Adjusted net income was $14.4 million for the full-year 2025, or $0.29 per share, compared to $5.9 million for the full-year, or $0.13 per share for 2024.

Adjusted EBITDA was $27.9 million for the full-year 2025, compared to $19.8 million for 2024.

As of December 31, 2025, cash and cash equivalents, restricted cash, and investments was $45.5 million, as compared to $39.5 million as of December 31, 2024, an increase of $6.0 million.

Summary of Business Highlights

Fourth quarter and full-year 2025 revenue growth was broad-based, including double-digit growth in all markets, which includes Extremities, Oral Maxillofacial & Head and Neck, and Breast.

Expanded coverage and reimbursement for peripheral nerve repair using synthetic conduits and allografts, increasing the total number of newly covered lives in 2025 to approximately 19.8 million and raising commercial payer coverage to more than 65%.

On December 3, 2025, the FDA approved the BLA for Avance® (acellular nerve allograft-arwx).

Effective January 1, 2026, CMS created a new Level 3 Nerve Procedure Code, increasing Avance facility reimbursement 40% year-over-year to $8,965 for hospital outpatient and 35% to $6,157 for ASC-based procedures.

On January 23, 2026, Axogen closed an upsized public offering with the sale of 4.6 million shares of common stock, yielding net proceeds of $133.3 million. From these net proceeds, $69.7 million were used to fully repay and terminate our Oberland loan facility on January 28, 2026. Remaining funds will be available for working capital, capital expenditures, and other general corporate purposes.

2026 Financial Guidance

We expect 2026 revenue growth to be at least 18%, or $265.7 million, for the full-year and gross margin to be in the range of 74% to 76%. Additionally, we expect to be free cash flow positive for the full-year.

Conference Call

The Company will host a conference call and webcast for the investment community today at 8:00 a.m. ET. Investors interested in participating in the conference call by phone may do so by dialing toll free at (877) 407-0993 or use the direct dial-in number at (201) 689-8795. Those interested in listening to the conference call live via the internet may do so by visiting the Investors page of the Company’s website at www.axogeninc.com and clicking on the webcast link.

Following the conference call, a replay will be available in the Investors section of the Company’s website at www.axogeninc.com under Investors.

About Axogen

Axogen (AXGN) is the leading company focused specifically on the science, development and commercialization of technologies for peripheral nerve regeneration and repair. Axogen employees are passionate about providing the opportunity to restore nerve function and quality of life for patients with peripheral nerve injuries by providing innovative, clinically proven and economically effective repair solutions for surgeons and healthcare providers. Peripheral nerves provide the pathways for both motor and sensory signals throughout the body. Every day people suffer traumatic injuries or undergo surgical procedures that impact the function of their peripheral nerves. Physical damage to a peripheral nerve or the inability to properly reconnect peripheral nerves can result in the loss of muscle or organ function, the loss of sensory feeling, or the initiation of pain.

Axogen’s product portfolio includes Avance ® (acellular nerve allograft-arwx), Avance® Nerve Graft, Axoguard Nerve Connector ® , Axoguard Nerve Protector ® , Axoguard HA+ Nerve Protector™, Axoguard Nerve Cap ® , and Avive+ Soft Tissue Matrix™.​

For more information, visit www.axogeninc.com .

Cautionary Statements Concerning Forward-Looking Statements

This press release and accompanying earnings call contain “forward-looking” statements as defined in the Private Securities Litigation Reform Act of 1995. Forward-looking statements include, among other things, all statements under the heading “2026 Financial Guidance” and statements regarding our business model optimization plans; market development strategies and objectives; our expectations around the potential positive impact on our business of expanded coverage and reimbursement for peripheral nerve injuries using synthetic conduits or allografts; our ability to sustain growth, operate profitably and generate positive cash flows and fund our market development initiatives; the anticipated use of proceeds from our recent public offering; and our business purpose to restore health and improve quality of life by making restoration of peripheral nerve function an expected standard of care. These statements are based on management’s current expectations or predictions of future conditions, events, or results based on various assumptions and management’s estimates of trends and economic factors in the markets in which we are active, as well as our business plans. Words such as “expects,” “anticipates,” “priorities,” “objectives,” “targets,” “intends,” “plan(s),” “believes,” “seeks,” “estimates,” “projects,” “forecasts,” “continue,” “may,” “should,” “will,” “goals,” and variations of such words and similar expressions are intended to identify such forward-looking statements. Actual results or events could differ materially from those described in any forward-looking statements as a result of various factors, including, without limitation, potential disruptions from global supply chain issues, inflation, hospital staffing challenges, product development timelines, regulatory processes, financial performance, surgeon and product adoption rates, market awareness of our products, the projected TAM for targeted markets, as well as those risk factors described under Part I, Item 1A., “Risk Factors,” in our most recent Annual Report on Form 10-K and other risks and uncertainties that may be detailed from time to time in reports filed by the Company with the SEC. Forward-looking statements are not a guarantee of future performance, and actual results may differ materially from those projected. Forward-looking statements speak only as of the date made and, except as required by applicable law, we assume no responsibility to publicly update or revise any forward-looking statements.

About Non-GAAP Financial Measures

To supplement our condensed consolidated financial statements, we use the non-GAAP financial measures of EBITDA, which measures earnings before interest, income taxes, depreciation and amortization, EBITDA margin, and Adjusted EBITDA, which further exclude noncash stock compensation expense, and Adjusted EBITDA margin. We also use the non-GAAP financial measures of Adjusted Net Income and Adjusted Net Income Per Common Share - diluted which excludes noncash stock compensation expense from Net (Loss) Income and Net (Loss) Income Per Common Share - diluted. These non-GAAP measures are not based on any comprehensive set of accounting rules or principles and should not be considered a substitute for, or superior to, financial measures calculated in accordance with GAAP and may be different from non-GAAP measures used by other companies. In addition, these non-GAAP measures should be read in conjunction with our financial statements prepared in accordance with GAAP. The reconciliations of the non-GAAP measures to the most directly comparable financial measures calculated and presented in accordance with GAAP should be carefully evaluated.

We use these non-GAAP financial measures for financial and operational decision-making and as a means to evaluate period-to-period comparisons. We believe that these non-GAAP financial measures provide meaningful supplemental information regarding our performance and that both management and investors benefit from referring to these non-GAAP financial measures in assessing our performance and when planning, forecasting, and analyzing future periods. We believe these non-GAAP financial measures are useful to investors because (i) they allow for greater transparency with respect to key metrics used by management in its financial and operational decision-making and (ii) they are used by our institutional investors and the analyst community to help them analyze the performance of our business.

Contact: Axogen, Inc. InvestorRelations@axogeninc.com

Axogen, Inc. Condensed Consolidated Balance Sheets (unaudited) (in thousands, except share and per share amounts) ​ December 31, 2025 December 31, 2024 Assets ​ Current assets: Cash and cash equivalents $ 35,548 $ 27,554 Restricted cash 4,000 6,000 Investments 5,980 5,928 Accounts receivable, net of allowance for doubtful accounts of $948 and $788, respectively 26,169 24,105 Inventory 42,373 33,183 Prepaid expenses and other assets 6,352 2,447 Total current assets 120,422 99,217 Property and equipment, net 81,783 84,667 Operating lease right-of-use assets 12,732 14,265 Intangible assets, net 6,750 5,579 Total assets $ 221,687 $ 203,728 ​ Liabilities and shareholders’ equity Current liabilities: Accounts payable and accrued expenses $ 21,184 $ 28,641 Current maturities of long-term lease obligations 2,372 1,969 Total current liabilities 23,556 30,610 ​ Long-term debt, net of debt discount and financing fees 48,387 47,496 Long-term lease obligations 16,870 19,221 Debt derivative liabilities 3,886 2,400 Other long-term liabilities 141 94 Total liabilities 92,840 99,821 ​ Shareholders’ equity: Common stock, $0.01 par value per share; 100,000,000 shares authorized; 47,199,797 and 44,148,836 shares issued and outstanding, respectively 472 441 Additional paid-in capital 435,338 394,726 Accumulated deficit (306,963 ) (291,260 ) Total shareholders’ equity 128,847 103,907 Total liabilities and shareholders’ equity $ 221,687 $ 203,728 ​

Axogen, Inc. Condensed Consolidated Statements of Operations (unaudited) (in thousands, except share and per share amounts) ​ Three Months Ended Years Ended ​ December 31, 2025 December 31, 2024 December 31, 2025 December 31, 2024 Revenues $ 59,904 $ 49,405 $ 225,208 $ 187,338 Cost of goods sold 15,495 11,830 57,855 45,361 Gross profit 44,409 37,575 167,353 141,977 Costs and expenses: Sales and marketing 27,211 20,051 97,740 78,461 Research and development 12,376 6,731 32,885 27,767 General and administrative 14,594 8,866 44,577 39,036 Total costs and expenses 54,181 35,648 175,202 145,264 (Loss) income from operations (9,772 ) 1,927 (7,849 ) (3,287 ) Other income (expense): Investment income 352 325 1,168 1,141 Interest expense (1,718 ) (1,801 ) (7,702 ) (8,206 ) Change in fair value of debt derivative liabilities (2,018 ) 45 (1,487 ) 587 Other (expense) income, net — (46 ) 167 (199 ) Total other expense, net (3,384 ) (1,477 ) (7,854 ) (6,677 ) Net (loss) income $ (13,156 ) $ 450 $ (15,703 ) $ (9,964 ) Weighted average common shares outstanding — basic 46,929,309 44,876,659 46,050,266 44,257,754 Weighted average common shares outstanding — diluted 46,929,309 48,064,916 46,050,266 44,257,754 Net (loss) income per common share — basic $ (0.28 ) $ 0.01 $ (0.34 ) $ (0.23 ) Net (loss) income per common share — diluted $ (0.28 ) $ 0.01 $ (0.34 ) $ (0.23 ) Axogen, Inc. Reconciliation of GAAP Financial Measures to Non-GAAP Financial Measures (unaudited) (in thousands, except share and per share amounts) Three Months Ended Years Ended December 31, 2025 December 31, 2024 December 31, 2025 December 31, 2024 Net (loss) income $ (13,156 ) $ 450 $ (15,703 ) $ (9,964 ) Depreciation and amortization expense 1,727 1,700 6,975 6,734 Investment income (352 ) (325 ) (1,168 ) (1,141 ) Income tax expense — 21 4 97 Interest expense 1,718 1,801 7,702 8,206 EBITDA – non-GAAP $ (10,063 ) $ 3,647 $ (2,190 ) $ 3,932 EBITDA margin – non-GAAP (16.8 )% 7.4 % (1.0 )% 2.1 % Noncash stock-based compensation expense 16,611 3,076 30,112 15,906 Adjusted EBITDA – non-GAAP $ 6,548 $ 6,723 $ 27,922 $ 19,838 Adjusted EBITDA margin – non-GAAP 10.9 % 13.6 % 12.4 % 10.6 % Net (loss) income $ (13,156 ) $ 450 $ (15,703 ) $ (9,964 ) Noncash stock-based compensation expense 16,611 3,076 30,112 15,906 Adjusted net income – non-GAAP $ 3,455 $ 3,526 $ 14,409 $ 5,942 Weighted average common shares outstanding – diluted GAAP 46,929,309 48,064,916 46,050,266 44,257,754 Weighted average common shares outstanding – diluted non-GAAP (1) 52,230,508 48,064,916 49,812,186 46,197,934 Net (loss) income per common share – diluted – GAAP $ (0.28 ) $ 0.01 $ (0.34 ) $ (0.23 ) Noncash stock-based compensation expense 0.35 0.06 0.65 0.36 Adjusted net income per common share – diluted – non-GAAP (1) $ 0.07 $ 0.07 $ 0.29 $ 0.13 __________ (1) Due to a GAAP net loss, antidilutive securities are excluded from GAAP diluted weighted average common shares outstanding for the three months ended December 31, 2025 and the years ended December 31, 2025 and 2024. However, considering the adjusted net income position for the three months ended December 31, 2025 and the years ended December 31, 2025 and 2024, adjusted diluted weighted average common shares outstanding incorporates securities that would have been dilutive for GAAP. ​

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 December 31, 2025 Balance at September 30, 2025 46,117,283 $ 461 $ 414,151 $ (293,807 ) $ 120,805 Net loss — — — (13,156 ) (13,156 ) Stock-based compensation — — 16,611 — 16,611 Issuance of restricted and performance stock units 606,645 6 (6 ) — — Exercise of stock options and employee stock purchases under the ESPP 475,869 5 4,582 — 4,587 Balance at December 31, 2025 47,199,797 $ 472 $ 435,338 $ (306,963 ) $ 128,847 ​ ​ ​ ​ ​ ​ Year Ended December 31, 2025 ​ ​ ​ ​ ​ Balance at December 31, 2024 44,148,836 $ 441 $ 394,726 $ (291,260 ) $ 103,907 Net loss — — — (15,703 ) (15,703 ) Stock-based compensation — — 30,112 — 30,112 Issuance of restricted and performance stock units 1,907,707 19 (19 ) — — Exercise of stock options and employee stock purchases under the ESPP 1,143,254 12 10,519 — 10,531 Balance at December 31, 2025 47,199,797 $ 472 $ 435,338 $ (306,963 ) $ 128,847 Three Months Ended December 31, 2024 Balance at September 30, 2024 44,002,323 $ 440 $ 390,677 $ (291,710 ) $ 99,407 Net income — — — 450 450 Stock-based compensation — — 3,076 — 3,076 Issuance of restricted and performance stock units 17,170 — — — — Exercise of stock options and employee stock purchases under the ESPP 129,343 1 973 — 974 Balance at December 31, 2024 44,148,836 $ 441 $ 394,726 $ (291,260 ) $ 103,907 Year Ended December 31, 2024 December 31, 2023 43,124,496 $ 431 $ 376,530 $ (281,296 ) $ 95,665 Net loss — — — (9,964 ) (9,964 ) Stock-based compensation — — 15,906 — 15,906 Issuance of restricted and performance stock units 712,741 7 (7 ) — — Exercise of stock options and employee stock purchases under the ESPP 311,599 3 2,297 — 2,300 Balance at December 31, 2024 44,148,836 $ 441 $ 394,726 $ (291,260 ) $ 103,907 Axogen, Inc. Condensed Consolidated Statements of Cash Flows (unaudited) (in thousands) ​ Years Ended ​ December 31, 2025 December 31, 2024 Cash flows from operating activities: ​ Net loss $ (15,703 ) $ (9,964 ) Adjustments to reconcile net loss to net cash provided by operating activities: Depreciation 6,660 6,467 Amortization of right-of-use assets 1,533 1,103 Amortization of intangible assets 315 267 Amortization of debt discount and deferred financing fees 891 893 Provision for bad debts 400 650 Change in fair value of debt derivative liabilities 1,487 (587 ) Investment gains, net (329 ) (155 ) Impairment of long-lived assets 64 — Stock-based compensation expense 30,112 15,906 Change in operating assets and liabilities: Accounts receivable (2,464 ) 392 Inventory (9,190 ) (10,163 ) Prepaid expenses and other assets (3,905 ) 784 Accounts payable and accrued expenses (7,158 ) 125 Operating lease obligations (1,937 ) (1,603 ) Cash paid for interest portion of financing lease obligations (11 ) (4 ) Other long-term liabilities 47 424 Net cash provided by operating activities 812 4,535 ​ ​ Cash flows from investing activities: ​ Purchase of property and equipment (3,745 ) (3,101 ) Purchase of investments (13,723 ) (5,773 ) Proceeds from sale of investments 14,000 — Cash payments for intangible assets (1,849 ) (1,423 ) Net cash used in investing activities (5,317 ) (10,297 ) ​ ​ Cash flows from financing activities: ​ Cash paid for debt portion of financing lease obligations (32 ) (10 ) Proceeds from exercise of stock options and ESPP stock purchases 10,531 2,300 Net cash provided by financing activities 10,499 2,290 Net increase (decrease) in cash and cash equivalents, and restricted cash 5,994 (3,472 ) Cash and cash equivalents, and restricted cash, beginning of period 33,554 37,026 Cash and cash equivalents, and restricted cash, end of period $ 39,548 $ 33,554

Source: Axogen, Inc. Released February 24, 2026