TELA Bio Q3 revenue misses analyst estimates on lower OviTex PRS volumes
TELA•TELA Bio's third-quarter revenue fell 8% year over year to $18.96 million, below the $20 million analyst estimate, while adjusted loss per share of $0.13 beat the $0.16 estimate. The company said a cost reduction plan is expected to extend its cash runway into 2028.
1. Revenue and earnings
Third-quarter revenue was $18.96 million, down 8% year over year and below the $20 million analyst estimate. Adjusted loss per share was $0.13, beating the $0.16 estimate; net loss was $9.30 million.
2. Drivers and cost cuts
TELA Bio said lower OviTex PRS volumes drove the revenue decline, partly offset by international sales growth. Higher charges for excess and obsolete inventory reduced gross margin. The company said cost cuts reduced operating loss and adjusted EBITDA loss sequentially, and expects the initiative to extend its cash runway into 2028.
