TELA Bio Q2 revenue falls on lower OviTex PRS volumes, withdraws outlook
TELA•Q2 revenue misses on lower OviTex PRS volumes
TELA Bio said second-quarter revenue fell 4% year over year, missing analyst expectations, as lower OviTex PRS unit volumes weighed on results.
The medical technology company reported Q2 revenue of $19.29 million, compared with the consensus estimate of $20.008 million from five analysts.
Gross margin improved, but costs remained elevated
Gross margin improved to 72% due to a tariff refund and lower inventory charges.
TELA Bio reported Q2 net loss of $11.26 million, income from operations of -$9.28 million, loss per basic share of $0.20, and operating expenses of $23.23 million.
Company withdraws 2026 outlook amid business review
TELA Bio withdrew its full-year 2026 revenue guidance and said it will provide an update later.
The company said it will focus on improving PRS performance and accelerating hernia market share gains, and plans to take action to extend cash runway and align costs with revenue.
Management cites pricing pressure and competitive bundling
The company said revenue was also hurt by ongoing price and mix pressures in hernia procedures, along with competitive bundling by larger rivals.
