10-Q · April 29, 2026
MiMedx reported Q1 2026 results with net sales of $59 million, a significant 33% decline compared to the prior year, driven by a 60% drop in wound care sales, though surgical sales grew by 13%. The company posted a net…
Earnings analysis · 10-Q
MDXG earnings analysis
Filed July 29, 2026 · Our reading of the company's report
The latest report
Q2 revenue was $64.4 million, down 34.7% year over year but up from $59 million in Q1 2026, as 15.1% Surgical growth was overwhelmed by a 61.1% Wound decline following Medicare reimbursement changes. Gross margin…
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Q2 revenue was $64.4 million, down 34.7% year over year but up from $59 million in Q1 2026, as 15.1% Surgical growth was overwhelmed by a 61.1% Wound decline following Medicare reimbursement changes. Gross margin declined to 69.0% from 81.1%, and MIMEDX reported a $14.8 million net loss, or $0.10 per diluted share, versus $9.6 million of net income a year earlier. Cost reductions lowered SG&A, but cash used in operations was $8.1 million in the first half; liquidity remains supported by $135.8 million of cash and $75.0 million of undrawn revolver capacity.
Gross and operating margin
How much of each revenue dollar the business keeps.
One point per quarterly or annual filing. Both margins are shares of that report's revenue.
From revenue to operating profit
Where each $100 of revenue went in this report.
Cost of sales, operating expenses, and what remained. Figures are rounded to whole dollars.
Where revenue came from
The business segments reported by the company.
Shares of the segments disclosed in this filing, largest first.
How we read each report
Our analysis across the last few reports.
Our model's reading of each filing, not the share price or the market's reaction. Annual and quarterly reports each occupy one position.
Reported figures
- Earnings per share
- $-0.1
What stood out
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Surgical franchise grew 15.1%
Surgical sales reached $39.3 million, increasing $5.2 million, or 15.1%, year over year, driven by AMNIOFIX and AMNIOEFFECT sheet-product growth. This marks the business's sixth consecutive quarter of double-digit year-over-year growth.
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Cost actions lowered SG&A
The company completed cost actions that reduced quarterly SG&A by $4.4 million, or 6.8%, to $59.8 million; G&A declined $2.9 million, or 17.9%.
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Cash and revolver support liquidity
Liquidity remained substantial at $135.8 million of cash and cash equivalents, $17.3 million of term debt, and $75.0 million of unused revolving-credit availability at June 30, 2026.
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Material share repurchase activity
MIMEDX repurchased 3.5 million shares for $12.7 million in Q2, leaving $87.3 million under its $100.0 million repurchase authorization.
What to watch
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Medicare changes severely pressure Wound
Revenue declined $34.2 million, or 34.7%, to $64.4 million as Wound sales fell $39.4 million, or 61.1%, to $25.1 million. Management attributes the decline to Medicare reimbursement changes effective January 1, 2026 that reduced both pricing and volumes.
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Margin compression drove operating loss
Gross margin fell 12.1 percentage points to 69.0% from 81.1%, reflecting lower Wound pricing and higher manufacturing costs. The resulting operating loss was $18.5 million, or a 28.7% operating margin.
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Operating cash flow turned negative
Cash used in operations was $8.1 million for the first six months of 2026, versus $19.7 million provided a year earlier. Lower collections, incentive payments, and severance payments were key drivers.
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Receivables and credit-loss exposure
The company reserved $14.8 million against gross accounts receivable of $56.1 million at June 30, 2026; bad-debt expense increased $5.0 million year over year in Q2 due to deteriorating credit quality among legacy customers.
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No formal risk-factor update
Item 1A reports no material changes to the risk factors disclosed in the 2025 Form 10-K; however, the company notes numerous legal claims and lawsuits, some involving substantial amounts.
Management's outlook
The 10-Q provides no quantitative revenue or EPS guidance. Management states that cash, operating cash flow, and the $75.0 million available revolving facility are expected to meet operational liquidity needs for the 12 months following the filing date.
Earlier filings 4
10-K · February 25, 2026
MiMedx reports continued top-line recovery and margin durability in 2025 driven by wound-care and surgical product demand, product-line expansion into xenografts and new distribution agreements, and strong free cash…
10-Q · October 29, 2025
MiMedx reported strong Q3 2025 results with net sales of $113,725,000, up 35.3% year-over-year, driven by Wound (+40.0% to $77,098,000) and Surgical (+26.3% to $36,627,000). Gross margin expanded to 83.5% and operating…
10-Q · July 30, 2025
MiMedx reported Q2 2025 net sales of $98.6 million, up 13.1% year-over-year, driven by Wound (+12.0% to $64.5M) and Surgical (+15.1% to $34.1M) product growth. Gross margin remained high at 81.1% while GAAP net income…
This is our reading of a public filing, not the filing itself. Analysis can contain errors; check the source document for full context.