NEXGEL, Inc.

NEXGEL reported first-quarter 2026 revenue of $2.65 million, down from $2.81 million in the same period last year. Management described the business as relatively flat year over year, with lower Silly George sales partly offset by growth in contract manufacturing and MEDAGEL. Cash and restricted cash were approximately $2.1 million at March 31, 2026, and cash on hand was $1.8 million at the time of the call. The company said it raised $13.8 million in total, including $8.8 million in cash and a $5 million convertible note delivered to Celularity, to fund the acquisition and working capital. No BioNX revenue was included in Q1, and management expects to start recognizing acquisition revenue for about half of Q2. No EPS or gross margin figures were stated.

Adam Levy framed the quarter around integration progress and the strategic importance of the BioNX deal. He said the acquisition adds six commercial regenerative biomaterial products, three 510(k) devices in development, and an expanded team that should strengthen both manufacturing and commercialization capabilities. His tone was constructive and optimistic, emphasizing that the transaction is a “step change” for NEXGEL and that the company is focused on building a platform for sustained long-term growth and profitability.

Ian Blackman, in his first public comments as CFO, said the normalized operating overhead is an approximate monthly run rate of $500,000 all-in for salaries, marketing, commissions, and related costs. Levy also said the company’s cash on hand had fallen to $1.8 million as of the call after funding the BioNX transaction, and that Sequence LifeScience’s $5.5 million investment improved the financing structure and replaced a near-term lender with a long-term strategic partner. Management said the acquisition-related costs had lifted SG&A in Q1, but the first quarter did not include any revenue from BioNX.

Analysts and investors focused on how quickly BioNX can ramp after closing, how the company’s legacy businesses are performing, and whether the offering was essentially finished. Levy said sales activity only really restarted around May 15 because contracts, training, vendor changes, and hospital account updates had to be completed first. On the legacy side, he said Silly George was weaker than expected but was already recovering in April, iRhythm had become a steady but not yet large customer, and other funnel opportunities still exist though 510(k) timing makes quarter-by-quarter forecasting difficult.