Axogen, Inc. Reports Third Quarter 2026 Financial Results
Axogen, Inc. (AXGN) filed an SEC Form 8-K — Results of Operations and Financial Condition. Exhibit 99.1 Axogen, Inc. Reports Third Quarter 2026 Financial Results Raises Full Year Revenue Guidance to at Least 29% Growth or $290 million ALACHUA and TAMPA, FL – October 28, 2026 – Axogen, Inc. (NASDAQ: AXGN), a global leader in developing and marketing innovative surgical
How this was made
The 30-second read
Why it matters
The raised guidance and cash position improve the company's growth narrative, likely attracting growth‑oriented investors while prompting short sellers to cover.
Market read
The announcement is a primary disclosure of earnings and guidance, offering a fresh catalyst for AXGN and its sector.
What to watch
Potential reimbursement delays or slower adoption of new products may temper upside.
Axogen, Inc. Reports Third Quarter 2026 Financial Results Raises Full Year Revenue Guidance to at Least 29% Growth or $290 million
Third-quarter revenue increased 26.2% to $75.8 million, adjusted EBITDA increased to $13.4 million, and adjusted net income increased to $13.1 million. Gross margin declined to 74.8% from 76.6%, while GAAP operating income declined to $1.0 million from $1.9 million. The company raised full-year revenue guidance to at least $290 million and continued to expect positive full-year free cash flow.
Key metrics
shortened, hover for the filing’s print| Metric | Value | q/q | y/y |
|---|---|---|---|
| Revenue, three months ended September 30, 2026GAAP | $75.8M | – | 26.2% |
| Cost of goods sold, three months ended September 30, 2026GAAP | $19.10M | – | – |
| Gross profit, three months ended September 30, 2026GAAP | $56.73M | – | – |
| Gross margin, three months ended September 30, 2026GAAP | 74.8% | – | – |
| Sales and marketing expense, three months ended September 30, 2026GAAP | $30.36M | – | – |
| Research and development expense, three months ended September 30, 2026GAAP | $8.95M | – | – |
| General and administrative expense, three months ended September 30, 2026GAAP | $16.46M | – | – |
| Total costs and expenses, three months ended September 30, 2026GAAP | $55.78M | – | – |
| Income from operations, three months ended September 30, 2026GAAP | $955K | – | – |
| Investment income, three months ended September 30, 2026GAAP | $1.43M | – | – |
| Interest expense, three months ended September 30, 2026GAAP | −$1K | – | – |
| Change in fair value of debt derivative liabilities, three months ended September 30, 2026GAAP | — | – | – |
| Other expense, net, three months ended September 30, 2026GAAP | −$51K | – | – |
| Total other income (expense), net, three months ended September 30, 2026GAAP | $1.38M | – | – |
| Net income, three months ended September 30, 2026GAAP | $2.3M | – | – |
| Net income per common share, basic, three months ended September 30, 2026GAAP | $0.04 | – | – |
| Net income per common share, diluted, three months ended September 30, 2026GAAP | $0.04 per share | – | – |
| EBITDA, three months ended September 30, 2026non-GAAP | $2.63M | – | – |
| EBITDA margin, three months ended September 30, 2026non-GAAP | 3.5% | – | – |
| Adjusted EBITDA, three months ended September 30, 2026non-GAAP | $13.4M | – | – |
| Adjusted EBITDA margin, three months ended September 30, 2026non-GAAP | 17.7% | – | – |
| Adjusted net income, three months ended September 30, 2026non-GAAP | $13.1M | – | – |
| Adjusted net income per common share, diluted, three months ended September 30, 2026non-GAAP | $0.21 per share | – | – |
| Revenue, nine months ended September 30, 2026GAAP | $207.0M | – | – |
| Gross profit, nine months ended September 30, 2026GAAP | $153.6M | – | – |
| Income (loss) from operations, nine months ended September 30, 2026GAAP | −$4.03M | – | – |
| Loss on extinguishment of debt, nine months ended September 30, 2026GAAP | −$16.85M | – | – |
| Net loss, nine months ended September 30, 2026GAAP | −$18.77M | – | – |
| Net loss per common share, diluted, nine months ended September 30, 2026GAAP | $(0.35) | – | – |
| Adjusted EBITDA, nine months ended September 30, 2026non-GAAP | $27.50M | – | – |
| Adjusted EBITDA margin, nine months ended September 30, 2026non-GAAP | 13.3% | – | – |
| Adjusted net income, nine months ended September 30, 2026non-GAAP | $24.45M | – | – |
| Adjusted net income per common share, diluted, nine months ended September 30, 2026non-GAAP | $0.41 | – | – |
| Net cash provided by operating activities, nine months ended September 30, 2026GAAP | $25.32M | – | – |
| Purchase of property and equipment, nine months ended September 30, 2026GAAP | −$5.07M | – | – |
| Cash payments for intangible assets, nine months ended September 30, 2026GAAP | −$1.31M | – | – |
| Free cash flow, nine months ended September 30, 2026non-GAAP | $18.94M | – | – |
Amounts quoted below without a unit are in thousands, as in the filing’s tables. Per-share figures are as printed.
Full-year 2026 outlook
- Revenueat least $290 million, representing growth of at least 29%, including at least $7 million revenue from the BioCircuit acquisition
- Gross marginat least 73%
- NoteOrganic revenue excluding BioCircuit: at least $283 million, representing growth of at least 26%
- NotePositive free cash flow for the full-year
What drove it
- Year-to-date revenue growth through the third quarter of 2026 was broad-based across Extremities, Oral Maxillofacial & Head and Neck, and Breast.
- Management attributed year-to-date revenue growth to 20% plus year-over-year account productivity, expanding sales force coverage, and improving commercial insurance coverage and payment.
- Axogen received positive coverage decisions from Elevance and Aetna; commercial payer coverage for Avance is now approximately 96% of covered lives in the United States.
- The company completed the acquisition of BioCircuit Technologies, Inc. on October 1, 2026.
- Management decided to initiate Prostate market development beginning in 2027 based on positive clinical study outcomes.
Concerns
- Third-quarter gross margin was 74.8%, compared to 76.6% in the third quarter of 2025.
- Third-quarter income from operations was $955 (in thousands), compared to $1,912 (in thousands) in the third quarter of 2025.
- The nine-month period reported a GAAP net loss of $(18,766) (in thousands), including a $(16,849) (in thousands) loss on extinguishment of debt.
- Third-quarter general and administrative expense was $16,465 (in thousands), compared to $10,836 (in thousands), and included $1,969 (in thousands) of BioCircuit transaction and integration costs in the adjusted net income reconciliation.
- The company identified risks associated with integrating BioCircuit and realizing anticipated benefits of the acquisition.
What to watch
- Execution against full-year revenue guidance of at least $290 million, including at least $7 million of revenue from BioCircuit.
- Delivery of full-year gross margin of at least 73% and positive free cash flow.
- Integration of BioCircuit and commercialization of NerveTape.
- Progress in commercial insurance coverage and payment for peripheral nerve repair.
- The planned initiation of Prostate market development in 2027.
Balance sheet and cash flow
- Cash and cash equivalents as of September 30, 2026: $328,888 (in thousands), compared to $35,548 (in thousands) as of December 31, 2025.
- Restricted cash as of September 30, 2026: $2,000 (in thousands), compared to $4,000 (in thousands) as of December 31, 2025.
- Investments as of September 30, 2026: $19,180 (in thousands), compared to $5,980 (in thousands) as of December 31, 2025.
- Cash and cash equivalents, restricted cash, and investments as of September 30, 2026: $350.1 million, compared to $113.4 million as of June 30, 2026, an increase of $236.7 million.
- Long-term debt, net of debt discount and financing fees, as of September 30, 2026: —, compared to $48,387 (in thousands) as of December 31, 2025.
- Net cash provided by financing activities for the nine months ended September 30, 2026: $292,415 (in thousands), compared to $5,933 (in thousands).
- Proceeds from issuance of common stock for the nine months ended September 30, 2026: $359,622 (in thousands).
- Repayment of long-term debt for the nine months ended September 30, 2026: $(48,585) (in thousands).
- Fees paid to lender related to debt extinguishment for the nine months ended September 30, 2026: $(20,498) (in thousands).
Analysis
Axogen reported third-quarter revenue of $75.8 million, an increase of 26.2% compared to $60.1 million in the third quarter of 2025. Management described year-to-date growth as broad-based across Extremities, Oral Maxillofacial & Head and Neck, and Breast, driven by 20% plus year-over-year account productivity, expanding sales force coverage, and improving commercial insurance coverage and payment. The company also reported positive coverage decisions from Elevance and Aetna, with Avance commercial payer coverage at approximately 96% of covered lives in the United States.
Profitability was mixed on a GAAP basis. Gross margin was 74.8%, compared to 76.6% in the prior-year quarter, while income from operations was $955 (in thousands), compared to $1,912 (in thousands). Net income rose to $2.3 million from $0.7 million, supported by $1,431 (in thousands) of investment income and a reduction in interest expense to $(1) (in thousands) from $(1,757) (in thousands). Adjusted EBITDA increased to $13.4 million from $9.2 million, and adjusted EBITDA margin increased to 17.7% from 15.4%.
For the first nine months, revenue was $207,022 (in thousands), compared to $165,304 (in thousands). The period produced $25,322 (in thousands) of operating cash flow and $18,942 (in thousands) of free cash flow, compared to operating cash use of $(2,226) (in thousands) and free cash flow of $(5,862) (in thousands) in the prior-year period. GAAP net loss was $(18,766) (in thousands), including a $(16,849) (in thousands) loss on extinguishment of debt, while adjusted net income was $24,455 (in thousands).
The balance sheet changed materially following equity financing and debt extinguishment. The company reported $350.1 million of cash and cash equivalents, restricted cash, and investments as of September 30, 2026, compared to $113.4 million as of June 30, 2026. It closed an upsized public offering of 5,646,500 shares for $225 million of net proceeds, of which $200 million funded the BioCircuit acquisition and $1.9 million funded transaction-related expenses. Long-term debt was — at September 30, 2026, compared to $48,387 (in thousands) at December 31, 2025.
Management raised full-year revenue guidance to at least $290 million, representing growth of at least 29%, including at least $7 million from BioCircuit. Excluding BioCircuit, organic revenue is expected to be at least $283 million, representing growth of at least 26%. The company maintained expectations for gross margin of at least 73% and positive free cash flow for the full year. Execution on BioCircuit integration, the guided contribution from that acquisition, margin delivery, and the planned 2027 Prostate market development are the central reported milestones ahead.
Management, verbatim
We are delighted with our third-quarter and year-to-date revenue performance and the progress we continue to make across each of Axogen’s strategic plan priorities.
Michael Dale, President and CEO of Axogen, Inc.
Our strong growth across all markets, continues to validate our market development strategies and the strength of our commercial execution.
Michael Dale, President and CEO of Axogen, Inc.
We remain well positioned to achieve our 2026 revenue guidance and longer-term strategic objectives.
Michael Dale, President and CEO of Axogen, Inc.
Not in the filing
stated, not guessed- Previous-release outlook was not provided, so comparison of actual results with prior guidance is unavailable.
- Revenue by reportable operating segment or market was not disclosed.
- Quarterly operating cash flow and quarterly free cash flow were not disclosed.
- Share repurchases and dividends were not disclosed.
- Full-year 2026 operating-expense guidance was not disclosed.
- Full-year 2026 tax-rate guidance was not disclosed.
AlphAI analysis generated from the company’s SEC earnings filing (Form 8-K Item 2.02, or Form 6-K for a foreign private issuer). Every figure was cross-checked against the filing text; consensus estimates, price targets and share-price reactions are not shown because they are not in the filing. AI-generated research, not investment advice.
Background
Axogen is a Nasdaq‑listed developer of peripheral‑nerve regeneration products. The 8‑K filing includes Q3 financials and a new revenue target after a recent public offering and acquisition.
Ticker impact
Axogen reported Q3 2026 results and raised full-year revenue guidance to at least $290 million.
upward pressure as investors price in higher revenue outlook
The company posted 26% revenue growth YoY and announced a $225 M capital raise, then raised guidance, which typically drives the share price higher.
Market effects
Positive outlook for peripheral‑nerve medical devices may lift peers in the surgical‑technology space.
U.S. biotech and medical‑device markets could see modest gains.
Limited to niche medical‑device sector; no broad macro impact.
Counterpoint
If integration risks of the BioCircuit acquisition materialize, the guidance raise could be overstated.
Key entities
- companyAxogen, Inc.
Medical‑device firm focused on peripheral nerve repair.
- companyBioCircuit Technologies, Inc.
Acquired developer of NerveTape technology.
