AVITA Medical (Nasdaq: RCEL, ASX: AVH), a leader in regenerative medicine with its proprietary RECELL technology, reported a substantial increase in revenue for the third quarter ended September 30, 2024. The company reported commercial revenue of 19, $5 million, equal to 44 Percent increase compared to $13.6 million in the third quarter of 2023. This is slightly higher than the average market expectation. This growth was driven by the adoption and performance of RECELL GO, AVITA’s next-generation device designed to treat skin defects.
RECELL technology uses the patient’s own skin cells to create an autologous suspension, which can be sprayed onto wound sites to promote healing and repigmentation. An autologous suspension means that the cells used come from the patient’s own body, reducing the risk of rejection and improving compatibility. This approach minimizes the need for extensive skin grafts and speeds recovery, making it particularly effective for treating severe burns and full-thickness skin defects.
In addition to the revenue increase, AVITA faced a wider net loss of $16.2 million, or $0.62 per share, compared to a net loss of $8.7 million in the same quarter last year . This is lower than market expectations. The company’s operating expenses increased to $30.2 million from $21.1 million in the third quarter of 2023, driven by increased investments in sales, marketing and administrative activities to support the expansion of the commercial team and the diffusion of the products.
The company reaffirmed its full-year 2024 revenue guidance, forecasting between $68 million and $70 million.