- Avita Medical (AVH) increases its fourth-quarter revenue guidance thanks to the strength of its RECELL product
- Revenue for the period so far has already come to $8.6 million, beating a previous estimate of $8.2 million
- The total fourth-quarter figure is now expected to fall between $9.5 million and $9.2 million
- The updated forecast reflects a 55 to 60 per cent increase compared with last year
- Shares in Avita Medical finished trading yesterday at $5.01 each
With the prevailing strength of its RECELL System, Avita Medical (AVH) has elected to increase its fourth-quarter revenue guidance.
The regenerative medicine company's first American product, RECELL was approved by the US Food and Drug Administration (FDA) in September 2018 and is used for the treatment of acute thermal burns.
For the quarter ending June 31, 2021, Avita has so far generated $8.6 million in revenue, beating its previously revealed forecast of $8.2 million.
As a result, the total fourth-quarter figure is expected to fall between $9.5 million and $9.7 million. Of this, between $6 million and $6.2 million is expected to come from commercial sales of RECELL.
The remaining $3.5 million is anticipated to come from RECELL's association with BARDA — the US Department of Health and Human Services' Biomedical Advanced Research and Development Authority.
The updated forecast reflects a 55 to 60 per cent increase compared with last year and a 30 to 34 per cent jump from the this quarter of the year.
"As people begin to return to normal activities after the confines of the COVID-19 pandemic, we have seen an increase in burn accidents requiring treatment with the RECELL System in burn centres across the country," chief executive Dr Mike Perry said.
The company said it intended to release its fourth quarter financial and operating results on August 25.
Shares in Avita Medical finished trading yesterday at $5.01 each.