Artivion, Inc.

Q2 2026 total revenue was $125.8 million, up 9% year over year on a constant-currency basis. Adjusted EBITDA increased to $26.4 million from $24.8 million, and adjusted EBITDA margin was 21%, down about 90 basis points year over year. Gross margin was 64.0% versus 64.7% in Q2 2025. By product, stent graft revenue increased 12%, On-X grew 18%, tissue processing revenue was approximately $26 million and up 1%, and BioGlue declined 2%. Free cash flow was negative $12 million, and the company ended the quarter with about $77.3 million of cash and $363 million of debt. For 2026, management reiterated adjusted constant-currency revenue growth of 7% to 11%, reported revenue of $480 million to $496 million, and adjusted EBITDA of $92 million to $99 million. Management said NEXUS contributes inconsequential revenue in 2026, with first meaningful revenue expected in January 2027, and expects 2027 to be EBITDA neutral as NEXUS ramps.

Pat Mackin framed the quarter as a major strategic step forward, emphasizing the AMDS PMA approval, the NEXUS acquisition, and continued progress in the ARTISAN trial. He said the PMA should let Artivion be more aggressive in marketing AMDS, remove IRB-related friction, and accelerate back-half adoption, while NEXUS broadens the company into what he called a complete aortic arch portfolio. His tone was constructive and confident, repeatedly pointing to a stronger second half and a long runway of clinically differentiated products.

Lance Berry focused on the numbers and the bridge to guidance. He cited $125.8 million of revenue, $26.4 million of adjusted EBITDA, 21% adjusted EBITDA margin, and 64.0% gross margin, noting margin pressure from R&D investment, unfavorable geographic mix, and higher Austin facility costs tied to ramping production. He also highlighted negative free cash flow of $12 million, driven by Endospan diligence/integration costs and a $10.2 million transaction-bonus payment, plus year-end cash of about $77.3 million and debt of $363 million, with net leverage at 3.1. On outlook, he reiterated the full-year revenue and EBITDA ranges and said 2027 should be meaningfully free-cash-flow positive as CapEx normalizes and some Endospan-related expenses do not repeat.

Analysts pressed management on why guidance was not raised despite a revenue beat, and Lance said the beat was partly offset by timing in preservation services and that AMDS/NEXUS were already contemplated in prior guidance. Questions also focused on AMDS adoption after PMA approval; management said there was no immediate “bolus,” but PMA removes friction, expands allowable marketing claims, and should help with both new account conversion and implant adoption. Analysts asked about NEXUS launch timing, sales-force needs, and supply-chain risk in Israel, and management said the plan remains a January 2027 launch, with a concentrated launch footprint, modest rep additions, and contingency planning for the PMA manufacturing chain.