Overview

* Vericel ( VCEL ) Q2 revenue grows 20% to $63.2 mln, missing analyst expectations

* Adjusted EBITDA rises 112% to $13.4 mln, reflecting improved profitability

* Company receives FDA IND clearance for Phase 3 MACI Ankle study

Outlook

* Vericel ( VCEL ) reaffirms MACI full-year revenue growth in low 20% range

* Company updates Burn Care revenue guidance to $10 mln per qtr for H2 2025

* Vericel ( VCEL ) maintains full-year gross margin guidance of 74%

* Company expects adjusted EBITDA margin of 26% for full year

Result Drivers

* MACI REVENUE GROWTH - MACI revenue increased by 21% to $53.5 mln, driven by higher implant volumes and sales force expansion

* GROSS MARGIN IMPROVEMENT - Gross margin rose more than 400 basis points to 74%, contributing to improved profitability

* BURN CARE REVENUE - NexoBrid revenue grew 52% year-over-year, with the highest number of hospital unit orders in June

Key Details

Metric Beat/Mis Actual Consensu

s s

Estimate

Q2 Miss $63.24 $64.50

Revenue mln mln (8

Analysts

)

Q2 EPS -$0.01

Q2 Net -$553,00

Income 0

Q2 $13.36

Adjusted mln

EBITDA

Q2 Gross 74.0%

Margin

Q2 21.0%

Adjusted

EBITDA

Margin

Q2 Gross $46.61

Profit mln

Analyst Coverage

* The current average analyst rating on the shares is "strong buy" and the breakdown of recommendations is 8 "strong buy" or "buy", no "hold" and no "sell" or "strong sell"

* The average consensus recommendation for the pharmaceuticals peer group is "buy."

* Wall Street's median 12-month price target for Vericel Corp ( VCEL ) is $58.50, about 30.5% above its July 30 closing price of $40.66

* The stock recently traded at 81 times the next 12-month earnings vs. a P/E of 103 three months ago

Press Release:

(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)