Axogen Reports Strong 2024 Results, Looks to 2025 with Optimism

Axogen, Inc. (NASDAQ: AXGN), a global leader in developing and marketing innovative surgical solutions for peripheral nerve injuries, reported its 2024 fourth quarter and full-year financial results on February 25, 2025. The company's strong performance reflects its continued focus on high-potential accounts, new products, and strategic growth initiatives.



Fourth Quarter and Full-Year Highlights
Axogen's revenue for the fourth quarter of 2024 was $49.4 million, representing a 15.1% increase compared to the fourth quarter of 2023. The company's full-year 2024 revenue was $187.3 million, up 17.8% from the full-year 2023 revenue. This broad-based revenue growth was driven by improved commercial execution of the company's growth strategy, focusing on high-potential accounts and new products.

Gross margin for the fourth quarter of 2024 was 76.1%, compared to 74.6% in the fourth quarter of 2023. The full-year 2024 gross margin was 75.8%, compared to 76.6% in 2023. This improvement in gross margin reflects Axogen's efficient operations and continued focus on driving revenue growth.

Net income for the fourth quarter of 2024 was $0.4 million, or $0.01 per share, compared to a net loss of $3.9 million, or $0.09 per share, in the fourth quarter of 2023. Adjusted net income for the quarter was $3.5 million, or $0.07 per share, compared to an adjusted net loss of $2.6 million, or $0.06 per share, in the fourth quarter of 2023. The company's full-year 2024 adjusted net income was $5.9 million, or $0.13 per share, compared to an adjusted net loss of $7.3 million, or $0.17 per share, in 2023.



FDA Accepts Avance Nerve Graft BLA
On November 1, 2024, the U.S. Food and Drug Administration (FDA) accepted the filing of Axogen's Biologics License Application (BLA) for Avance® Nerve Graft. The FDA assigned a Prescription Drug User Fee Act (PDUFA) goal date of September 5, 2025. Axogen continues to work through the process with the FDA and anticipates approval in September 2025.

Investor Day on March 4, 2025
Axogen will be holding an Investor Day on March 4, 2025, to present and discuss its 2025-2028 strategic plan objectives and supporting strategies. At this event, management will share in detail their market insights and assumptions, market development plans, and future research and development objectives they believe will be required for standard of care status and sustainable leadership.

2025 Financial Guidance
Axogen expects revenue growth to be in the range of 15% to 17% in 2025. The company anticipates gross margin to be in the range of 73% to 75%, including one-time costs mainly related to the anticipated BLA approval, which will impact gross margin by approximately 1%. Additionally, Axogen expects to be net cash flow positive for the full year.

Axogen's strong 2024 results and positive outlook for 2025 reflect the company's continued focus on high-potential accounts, new products, and strategic growth initiatives. The company's expectation of net cash flow positivity in 2025 aligns with its strategic objectives and market outlook, as it continues to grow its revenue, improve its gross margin, invest in future growth, and capitalize on its positive market outlook. Investors should closely monitor Axogen's progress as it works towards making peripheral nerve care a standard-of-care for all patients.