AVITA Medical Secures NTAP Reimbursement for RECELL System

AVITA Medical (RCEL) has secured a New Technology Add-on Payment (NTAP) from CMS, enhancing reimbursement for its RECELL system. The NTAP designation underscores the innovative nature of RECELL, recognized as a Breakthrough Device by the FDA. AVITA Medical operates in the healthcare sector, focusing on advanced skin regeneration technologies. The NTAP will last until September 30, 2026, offering hospitals an additional reimbursement of up to $4,875 per case.

AVITA Medical (RCEL) has received a significant boost from the Centers for Medicare & Medicaid Services (CMS) with the New Technology Add-on Payment (NTAP) designation for its RECELL system. This reimbursement enhancement, effective from October 1, 2025, to September 30, 2026, will provide hospitals with an additional $4,875 per case when using RECELL to treat non-burn, full-thickness acute wounds resulting from trauma or surgery. The NTAP designation underscores the innovative and transformative nature of RECELL, which has been recognized as a Breakthrough Device by the FDA CMS New Technology Add-On Payment Expands Access to RECELL® for Patients with Non-Burn Acute Wounds^[1].

The RECELL system, developed by AVITA Medical, is designed to optimize wound healing by preparing a suspension of Spray-On Skin™ cells from a small sample of the patient’s own healthy skin. This technology offers an innovative solution for improved clinical outcomes, reducing the need for donor skin and easing recovery challenges associated with traditional skin grafting. A multicenter, randomized-controlled trial published in the Journal of Trauma and Acute Care Surgery (2024) demonstrated that RECELL, when used with a widely meshed autograft, achieved wound closure as effectively as standard skin grafting while requiring 27% less donor skin CMS New Technology Add-On Payment Expands Access to RECELL® for Patients with Non-Burn Acute Wounds^[1].

The NTAP designation from CMS not only highlights the clinical value of RECELL but also aims to lower financial barriers for hospitals, enabling broader use of the technology. This move is expected to enhance patient access to RECELL, which has shown promising results in reducing donor site complications without compromising healing and safety outcomes CMS New Technology Add-On Payment Expands Access to RECELL® for Patients with Non-Burn Acute Wounds^[1].

AVITA Medical, a leading therapeutic acute wound care company, continues to innovate in the healthcare sector, focusing on advanced skin regeneration technologies. The company’s technologies, including the RECELL System and PermeaDerm® biosynthetic wound matrix, are designed to accelerate patient recovery and improve clinical outcomes. The NTAP designation is a testament to the company’s commitment to delivering transformative solutions in wound care CMS New Technology Add-On Payment Expands Access to RECELL® for Patients with Non-Burn Acute Wounds^[1].

Investors should closely monitor AVITA Medical’s progress, as the NTAP designation could significantly impact the company’s financial performance and market position. The additional reimbursement for hospitals using RECELL may drive increased adoption of the technology, potentially leading to higher revenue and market growth for AVITA Medical.