Axogen Reports 18.3% Revenue Growth to $56.7 Million in Q2 2025

Axogen, Inc. reported significant financial performance improvements in its latest quarterly filing, with revenues reaching $56.7 million for the three months ended June 30, 2025, marking an 18.3% increase from $47.9 million in the same period last year. For the first half of 2025, the company generated $105.2 million in revenue, up 17.8% from $89.3 million in the first half of 2024. The gross profit for the second quarter was $42.0 million, reflecting an 18.9% increase compared to $35.3 million in the prior year, while the gross margin improved slightly to 74.2% from 73.8%.

The company also reported a net income of $579,000 for the second quarter, a notable turnaround from a net loss of $1.9 million in the same quarter of 2024. For the first half of 2025, Axogen's net loss narrowed to $3.3 million from $8.6 million in the previous year. This improvement in profitability was attributed to increased sales volume and favorable pricing adjustments, despite rising costs associated with product manufacturing.

Operationally, Axogen has expanded its market presence, with an estimated 10 million new covered lives for nerve repair procedures in 2025, bringing the total to approximately 17 million. The company is focused on deepening its engagement with high-potential accounts, particularly Level 1 trauma centers and academic hospitals. Additionally, Axogen is preparing for the anticipated FDA approval of its Avance® Nerve Graft, with a goal date set for September 2025, following the successful completion of key regulatory milestones.

As of June 30, 2025, Axogen reported total assets of $205.5 million, a slight increase from $203.7 million at the end of 2024. The company’s cash and cash equivalents decreased to $20.0 million from $27.6 million, primarily due to operational expenditures. The total liabilities decreased to $93.2 million from $99.8 million, reflecting a reduction in current liabilities. The company’s employee headcount has also increased, supporting its growth strategy and operational needs.

Looking ahead, Axogen remains optimistic about its growth trajectory, driven by its innovative product portfolio and strategic focus on expanding its market share in the nerve repair sector. The company believes that its existing cash reserves and anticipated revenue from product sales will sustain its operations for at least the next twelve months. However, management acknowledges potential risks from macroeconomic factors that could impact future performance.