Vericel (VCEL) - 2025 Q1 - Quarterly Report

Revenue Performance - Total revenue for Q1 2025 was $52.6 million, a 2.6$51.3 million in Q1 2024, driven primarily by MACI volume and price growth [102]. - MACI revenue increased by 15.2% to $46.3 million in Q1 2025, compared to$40.2 million in Q1 2024 [103]. - NexoBrid revenue surged by 206.7% to $1.3 million in Q1 2025, up from$436,000 in Q1 2024 [103]. - Epicel revenue decreased by 53.5% to $4.96 million in Q1 2025, down from$10.7 million in Q1 2024 [103]. Profit and Loss - Gross profit for Q1 2025 was $36.3 million, reflecting a 2.6$35.4 million in Q1 2024 [102]. - The net loss for Q1 2025 was $11.2 million, a 191.2$3.9 million in Q1 2024 [102]. - Gross profit for Q1 2025 increased due to MACI revenue growth and fixed manufacturing costs [105]. Expenses - Research and development expenses rose by 13.1% to $7.3 million in Q1 2025, compared to$6.4 million in Q1 2024 [102]. - Selling, general and administrative expenses increased by 21.5% to $41.8 million in Q1 2025, up from$34.4 million in Q1 2024 [102]. - Total research and development expenses rose to $7.261 million in Q1 2025, a 13.1$6.418 million in Q1 2024 [106]. - Selling, general and administrative expenses increased to $41.8 million in Q1 2025, up from$34.4 million in Q1 2024 [107]. Cash Flow and Financial Position - Net cash provided by operating activities was $6.6 million in Q1 2025, down from$7.2 million in Q1 2024 [110]. - Net cash used in investing activities was $15.142 million in Q1 2025, compared to$25.452 million in Q1 2024 [110]. - Net cash provided by financing activities increased to $3.198 million in Q1 2025 from$2.126 million in Q1 2024 [110]. - As of March 31, 2025, cash, cash equivalents, and restricted cash totaled $79.7 million [111]. - The company has a$150 million revolving credit agreement with no immediate plans to borrow [120]. - The company expects current cash resources to support operations for at least 12 months from the report date [118]. Product Development and Market Expansion - The MACI Arthro product became commercially available in Q3 2024, expanding the target surgeon base from 5,000 to 7,000 [96]. - The company plans to initiate a MACI Ankle clinical trial in 2025 to explore the potential for treating cartilage damage in the ankle [96]. - MACI sales volumes historically show seasonality, with Q4 averaging 34% of total annual volumes [104].