| Metric | Value ($ M) | Q1 FY25 |
|---|---|---|
| Revenue | 58.99 | 33.1% |
| Total Income | 58.99 | 33.1% |
| Expenditure | 75.04 | 6.1% |
| PBT | -15.33 | 278.1% |
| Net Profit | -10.86 | 254.7% |
| OPM | -27.21% | 36.56pp |
| NPM | -18.41% | 26.37pp |
| EPS | -0.07 | 240.0% |
MiMedx Announces Q1 2026 Results; Net Sales of $59 Million
03 May 2026 · 3 May, 5:32 pm
Summary
MiMedx Group, Inc. announced its first quarter 2026 financial results, reporting net sales of $59 million, a decrease of 33% compared to the prior year period. The Surgical business showed positive growth with a 13% increase, while the Wound business experienced a significant decline of 60% due to changes in Medicare reimbursement policies. The company's gross profit was $42 million, with a gross margin of 71%. Due to the disruption in the wound care market, MiMedx has lowered its full-year 2026 net sales expectations to a range of $260 to $290 million and anticipates adjusted EBITDA to be approximately breakeven.
Key Highlights
- 1
MiMedx reported net sales of $59 million for the first quarter of 2026.
- 2
Surgical product sales increased by 13% compared to the prior year period.
- 3
Wound sales decreased by 60% year-over-year due to Medicare reimbursement changes.
- 4
Gross profit for the first quarter of 2026 was $42 million, with a gross margin of 71%.
- 5
The company had $160 million in cash and cash equivalents as of March 31, 2026.
- 6
MiMedx now expects 2026 net sales to be in the range of $260 to $290 million.
- 7
2026 Adjusted EBITDA is expected to be approximately breakeven on a full year basis.
Management Comments
Joseph H. Capper
"The first quarter of 2026 was adversely impacted as new Medicare reimbursement policies in the advanced wound care space went into effect at the start of the year and led to significant confusion across the industry in nearly every care setting. Additionally, inconsistent implementation by the Medicare Administrative Contractors ("MACs") created even greater challenges for providers and their patients." "We generated $59 million in net sales in the first quarter of 2026. Our Surgical business continued to perform well, increasing 13% year over year and our Wound business declined 60% . As a result of disruption in the wound care market, we are lowering full-year 2026 net sales expectations to a range of $260 to $290 million. Furthermore, as announced a few weeks ago, we have taken steps to adjust the Company's cost structure in response to current market conditions. The $40 million in annualized savings we expect to generate from those actions will position us for a return to profitability over the balance of the year. After the market normalizes, we would anticipate generating double-digit top-line growth in 2027." “While some disruption was expected, the challenges we are now seeing in the market, coupled with irrational behavior by some industry participants, has added complexity that could not have been anticipated. To compound matters, the wound care market is adjusting to the new reimbursement rules at an extremely slow pace. We are working closely with our customers to help them adapt to the changes. Importantly, as we exited the quarter, we saw promising signs of volume recovery in Wound Care Centers and Hospitals. On the other side of this transition, we will be competing in a far more attractive space and believe MIMEDX is uniquely positioned to lead the market. Our Surgical franchise continues to post double-digit top-line growth, with 50% growth over the past three years," concluded Mr. Capper.
Informational and educational content only. Not investment advice.