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Advanced Therapies for the Sports Medicine & Severe Burn Care MarketsCORPORA TE PRESENTA TIONNOVEMBER 2025
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Forward Looking Statements 2Vericel Q3 2025 Financial Results – November 6, 2025 Vericel cautions you that all statements other than statements ofhistorical fact included in this presentation that address activities,events or developments that we expect, believe or anticipate will ormay occur in the future are forward-looking statements. Although webelieve that we have a reasonable basis for the forward-lookingstatements contained herein, they are based on current expectationsabout future events affecting us and are subject to risks,assumptions, uncertainties and factors relating to our operations andbusiness environment, all of which are difficult to predict and manyof which are beyond our control. Our actual results may differmaterially from those expressed or implied by the forward-lookingstatements in this presentation. These statements are often, but arenot always, made through the use of words or phrases such as“anticipates,” “intends,” “estimates,” “plans,” “expects,” “continues,”“believe,” “guidance,” “outlook,” “target,” “future,” “potential,”“goals” and similar words or phrases, or future or conditional verbssuch as “will,” “would,” “should,” “could,” “may,” or similarexpressions.Among the factors that could cause actual results to differ materiallyfrom those set forth in the forward-looking statements include, butare not limited to, uncertainties associated with our expectationsregarding future revenue, growth in revenue, market penetration forMACI®, MACI Arthro®, Epicel®, and NexoBrid®, growth in profit, grossmargins and operating margins, the ability to continue to scale our manufacturing operations to meet the demand for our cell therapyproducts, including the timely qualification of a new manufacturingfacility in Burlington, Massachusetts, the ability to sustainprofitability, contributions to adjusted EBITDA, the expected targetsurgeon audience, potential fluctuations in sales and volumes andour results of operations over the course of the year, timing andconduct of clinical trial and product development activities, timingand likelihood of the FDA’s potential approval of the use of MACI totreat cartilage defects in the ankle, the estimate of the commercialgrowth potential of our products and product candidates,competitive developments, changes in third-party coverage andreimbursement, including recent and future healthcare reformmeasures and private payor initiatives, surgeon adoption of MACIArthro, physician and burn center adoption of NexoBrid, laborstrikes, supply chain disruptions or other events or factors that mightaffect our ability to manufacture MACI or Epicel or affectMediWound’s ability to manufacture and supply sufficient quantitiesof NexoBrid to meet customer demand, including but not limited toconflicts in the Middle East region involving Israel, negative impactson the global economy and capital markets resulting from the conflictin Ukraine and Middle East conflicts, including those associated withpotential further involvement by the U.S., changes in trade policiesand regulations, including the potential for increases or changes induties, current and potentially new tariffs or quotas, lingering effectsof adverse developments affecting financial institutions, companies in the financial services industry or the financial services industrygenerally, changes in governmental monetary and fiscal policies,including, but not limited to, Federal Reserve policies in connectionwith continued inflationary pressures, the impact from futureregulatory, judicial and legislative changes to our industry or to thebroader business landscape, including those included in the One BigBeautiful Bill Act, a shutdown of, or gridlock within the U.S.government, global geopolitical tensions and potential futureimpacts on our business or the economy generally stemming from apublic health emergency.These and other significant factors are discussed in greater detail inVericel’s Annual Report on Form 10-K for the year ended December31, 2024, filed with the Securities and Exchange Commission (SEC) onFebruary 27, 2025, Vericel’s Quarterly Report on Form 10-Q for thequarter ended September 30, 2025, filed with the SEC on November6, 2025, and in other filings with the SEC. These forward-lookingstatements reflect our views as of the date hereof and Vericel doesnot assume and specifically disclaims any obligation to update any ofthese forward-looking statements to reflect a change in its views orevents or circumstances that occur after the date of this pressrelease except as required by law.
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3 Vericel is a Leader in Advanced Therapies in Sports Medicine and Burn Care, Combining Innovations in Biology with Medical T echnologies Our VisionEvery patient benefits from therapies as unique as they are Our MissionWe provide precision therapies that repair injuries and restore lives SPORTS MEDICINE SEVERE BURNSPORTFOLIO OF INNOVATIVE CELL THERAPIES AND SPECIALTY BIOLOGICS WITH SIGNIFICANT BARRIERS TO ENTRY
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❶Strong Financial Profile❷High-Growth Sports Medicine Franchise❸Expand Leadership in Burn Care❹Expanding Core PortfolioHigh revenue growth profileSustained positive adjusted EBITDA and Operating Cash FlowGAAP Net Income positive in 2024$185M in Cash & Investments 4 Vericel is Well-Positioned to Deliver Sustained Long-T erm Growth On track to initiate MACI Ankle MASCOT clinical study in Q4 2025New manufacturing facility provides flexibility for potential MACI OUS expansion Market leader in knee cartilage repair20% growth in 2023 and 2024MACI Arthro launched in Q3 2024Continued strong growth in MACI surgeons and biopsiesLaunched in the U.S. in Q4 2023; Pediatric indication in Q3 2024Potentially life-saving product with large market opportunity
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Large Underpenetrated Markets with T otal Addressable Market Opportunity Expanding to Over $5 Billion in the Years Ahead$3 Billion++ $1 Billion$5 BillionCore TAMExpanded TAMNexoBrid launched in 2023MACI Arthro launched in 2024; targets largest segment of current MACI addressable marketAnticipate initiating MACI Ankle study in 2025~$5 Billion TAM ~$4 Billion TAM$600 Million 5 $600 Million
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Current Portfolio Plus New Product Launches Expected to Drive Durable High Revenue Growth Profile 62017 2018 2019 2020 2021 2022 2023 2024 2025E 2026E 2027E 2028E 2029E 2030E~20% CAGR Since Launch of MACI + +20% CAGR Since MACI Launch OUS MACI+20%+20%Continued High Revenue GrowthLonger-Term Potential to Add OUS MACI in Late 2020’s & MACI Ankle in ~2030++ ++
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Driving High Revenue Growth and a T op-Tier Profitability ProfileMid-T erm Profitability T argets of High-70% Gross Margin and High-30% Adjusted EBITDA 7Adjusted EBITDA Margin %15%17%23%~26%High30% Range2022 2023 2024 2025 2029Gross Margin %66%69%73%~74%High 70% Range20222023202420252029High Revenue GrowthIncreasing Gross MarginsInflection in Profitability & Cash FlowExpanding EBITDA Margins20% Top Line Growth in 2024Expect Continued High Revenue Growth in 2025 and Beyond58% Adjusted EBITDA Growth and GAAP Net Income Positive in 2024Expect Cash Generation to Inflect in 2025 and Beyond
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8$67.5MTotal Q3 RevenueMACIEpicelNexoBrid$1.5$10.4$55.7 Total revenue of $67.5M Gross margin of 73.5% Net Income of $5.1M Adjusted EBITDA of $17.0M, or 25% margin Operating Cash Flow of $22.1M $185M of Cash and Investments8 MACI Growth Inflection:MACI revenue growth of 25%, achieving record third quarter revenue of nearly $56MSequential Burn Care Growth: Record quarterly NexoBrid revenue and highest Epicel quarter of the yearIncreasing Profitability: Achieved GAAP Net Income and approximately 70% adjusted EBITDA growthInflecting Cash Generation:Generated record third quarter Operating Cash Flow of $22.1MMACI Arthro Momentum: Strong early launch indicators with MACI Arthro contributing to overall biopsy and implant growthRecord Q3 Revenue: Total revenue of $67.5M driven by strong performance across both franchisesMACI Sales Force Expansion:MACI sales force expansion on track to be completed in Q4, with all new hires to be in territories to start Q1 2026Longer-Term Value Drivers:Remain on track to initiate MACI Ankle study in Q4; MACI OUS expansion progressing toward potential UK launch Q3 2025 Financial ResultsQ3 Key Business Highlights Vericel Q3 2025 Financial Results – November 6, 2025
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>> > > >> > >TIME9 Knee Cartilage Injuries Represent a Significant Unmet Medical NeedCartilage defects are found in ~60% of knee arthroscopies1Damage caused by acute or repetitive trauma or degenerative conditionsCartilage has limited capacity for intrinsic healing and repairUntreated cartilage defects may lead to debilitating joint pain, dysfunction, and osteoarthritisDefects can expand and new high-grade lesions can form over time >> > > >> > >TIME1 Widuchowski W, et al. Articular cartilage defects: study of 25,124 knee arthroscopies. Knee. Jun 2007.2 Data collected from a 2019 Harris Poll survey of 1,002 U.S. adults with knee pain 3 or more days a week that had lasted 2 months or more. Harris Poll found that 77% of knee pain sufferers can no longer participate in at least one activity they previously enjoyed because of knee pain2 Impact of Knee Pain
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Large Addressable Knee Cartilage Repair Market for MACI 1 Health Advances LLC MACI market assessment report (2018), Vericel data, LexisNexis, Medtech Insight, NY SASD, SmartTRAK, LSI, PSPS, McCormick, Frank et al. Arthroscopy, (2014) 30(2): 222-6, Montgomery, et al. Knee Surg Sports Traumatol Arthrosc (2014) 22: 2070.2 Health Advances LLC MACI market assessment report (2018).3Assumes MACI ASP of ~$50,000+.10 Estimated Annual Addressable Patient Population (U.S.) ~315,0002Patients Consistent With Label ~125,0002Patients MD’s Consider Clinically Appropriate For MACI~750,0001Cartilage Repair Procedures ~60,0002 Patients WithLarger Lesions $3 Billion+ Addressable Market in the U.S.3Annual Cartilage Repair Revenue $44 $68 $92 $95 $112 $132$165$197$Millions 2017 2018 2019 2020 2021 2022 2023 2024•Mid teens % biopsy penetration•Mid single-digit % implant penetration
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MACI is the Leading Restorative Cartilage Repair Product on the Market 11 BIOPSY TAKEN CHONDROCYTESEXTRACTED,EXPANDED,& LOADEDMACI DELIVERED DEFECT DEBRIDED TEMPLATE CREATEDMACI IMPLANTED
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MACI Product Attributes Driving Strong Growth Since Launch 12 Broad Label with Strong Clinical DataShorter Rehab ProtocolsStrong Reimbursement Profile 1 The American Journal of Sports Medicine. 2018;46(6):1343-1351. Simpler, Less Invasive Procedure
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MACI Growth Opportunities 13 Innovation that Supports Premium Pricing Deeper Practice Penetration as Surgeons Gain MACI Experience Broader Surgeon Adoption as MACI Becomes Standard of Care Core MACI Growth Drivers MACI Arthro Can Amplify Drivers MACI has Generated Sustained High Growth Since Launch;MACI Arthro Expected to Drive Increased Utilization
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MACI Arthro is the First Restorative Biologic Cartilage Repair Product Approved for Arthroscopic Administration 14
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Target SurgeonsMACI Arthro Enables Additional Surgeon Growth 15 Surgeons Primarily Treating Patella DefectsSurgeons Treating Small Condyle DefectsRemaining Open MACI TargetsNew Arthro-Only TargetsCurrent UsersPotential New SurgeonsMACI Arthro Expected to Drive Incremental Volume Across all Surgeon Segments Pre MACI ArthroTargets Post MACI ArthroTargets~50% Penetration5,000 Targets7,000 TargetsExpect 50%+ PenetrationMACI Surgeon Segments 1Based on Health Advances, LLC MACI market assessment report (2018).
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MACI Arthro Addresses the Largest Segment of the Overall MACI TAM Where There is Significant Potential to Increase Penetration 16PatellaSmaller Non-Patella Defects<4cm2Larger DefectsNon-Patella4cm2+~$0.5B~$0.5BMACI VolumePatellaTAMMACI Volume4 cm2+TAMMACI Volume2-4cm2CondyleTAM~$1BCurrent MACI Growth SegmentsPre MACI Arthro LaunchMACI Arthro Provides Opportunity to Significantly Increase MACI UsageMACI ArthroTarget Segments ~ 10K Patients~ 10K Patients ~ 20K Patients Current penetration = greater than 10% MACI Arthrogrowth potentialCurrent penetration = low single-digit % MACI VolumeOther≤4cm2TAM~$1B PatellaLarger DefectsCondyle Other Smaller Defects1 Core growth potentialCore growth potential MACI Arthrogrowth potential~10K Trochlea Patients ~10K Other Patients11-2cm2 Trochlea, Tibia and Condyle defects.
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17 Significant Ankle Cartilage Repair Opportunity OATsMFX+Minced allograftMFX aloneOCAMinced autograftOtherMACI Ankle Annual TAM Estimate (U.S.) ~66,0002Patients MD’s Consider Clinically Appropriate For MACI~165,0001Ankle Resurfacing Procedures~18,0002Larger Lesions Current TreatmentBreakdown2MACI Ankle represents a $1 billion3market opportunity, increasing the total MACI addressable market to $4 billion ~18,0002Larger Lesions 1SmartTrak Cartilage Repair Procedures; resurfacing includes microfracture, OATs, OCA, etc. and does not include chondroplasty/debridement only.2Cello Health MACI Ankle quantitative market research survey (2021). 3Assumes MACI ASP of $50,000+.
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18Deep partial thicknessSurgical or enzymatic debridementPost debridementevaluationSpontaneous healingSkin grafting(if necessary)Full thicknessSurgical or enzymatic debridement Skin grafting (permanent skin coverage)18 Burn Injury Size and Depth Determine Treatment PathwayFull thickness burn injuries of any size& partial thickness burn injuries >10%total body surface area (TBSA) are most often transferred to specialized burn centersFull thickness & deep partial-thickness burns require eschar removal and graftingto achieve wound closureINITIAL ASSESSMENT ESCHAR REMOVALEVALUATIONTREATMENT/HEALINGT R E A T M E N T P A T H W A Y EpidermisDermisSubcutaneous fatMuscleBoneSuperficial (1stDegree)Superficial Partial-Thickness (2ndDegree)Deep Partial-Thickness (2ndDegree)Full Thickness (3rdDegree)Fourth Degree
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Burn Care Franchise Addressable Market Opportunity 19 $300 Million Addressable Market in the U.S.4Estimated U.S. Burn Patients1 500,000Annual Burns (U.S.)1,500 Epicel-Indicated (>30% TBSA) Patients 600 Surviving>40% TBSA Patients $300 Million Addressable Market in the U.S.2,3 40,000Hospitalized Patients12017 National Burn Repository Report Version 13.2~90% of hospitalized patients with thermal burns; ~90% of eligible patients require eschar removal (management estimate).3Assumes NexoBrid average price of ~$9,000 per patient.4 Assumes 600 patients x 120 grafts per patient x ~$4,000+ per graft. NexoBrid commercialization significantly expands the total addressable market and establishes second high growth franchise for Vericel $600 Million Addressable Market in the U.S.
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NexoBridOrphan biologic product indicated for eschar removal in adults and pediatric patients with severe burns 20 Significant Advancement in Burn Treatment ParadigmConcentrated mixture of proteolytic enzymesNon-surgical topical agent that may be applied at the patient’s bedsideSelectively degrades eschar in four hours while preserving viable tissue 1NexoBrid Label. Cambridge, MA. Vericel Corporation; 2022.2 Krieger Y, Bogdanov-Berezovsky A, Gurfinkel R, et al. Efficacy of enzymatic debridement of deeply burned hands. Burns. 2012;38:108-112. 3 Palao R, Aguilera-Saez J, Collado JM, et al. Use of a selective enzymatic debridement agent (NexoBrid) for wound management: Learning curve. World J Dermatol. 2017;6(2):32-41.
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Epicel 21 Comparison of Epicel Patient Database to National Burn Repository1 Data Demonstrates Lower Mortality Rate Twenty-five Years’ Experience and Beyond with Cultured Epidermal Autografts (CEA) for Coverage of Large Burn Wounds in Adult and Pediatric Patients, 1989-2015; Hickerson, Journal of Burn Care & Research, iry061, https://doi.org/10.1093/jbcr/iry061.1American Burn Association, National Burn Repository 2016, Version 12. Only FDA-approved permanent skin replacement for adult and pediatric patients with full-thickness burns ≥ 30% of total body surface area Important treatment option for severe burn patients where little skin is available for autografts
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Burn Care Growth Opportunities 22 Larger commercial footprint with portfolio selling approach in 2025 Larger sales force enables visibility into potential Epicel patients that have been admitted NexoBrid uptake increasing with strong clinical outcomes driving adoption Activating additional Epicel users through cross-selling efforts with NexoBrid
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Vericel Remains Focused on Potential Strategic Transactions to Maximize Long-T erm ValueBusiness development activities focused on opportunities having a strategic fit with current franchisesor advanced cell therapy platform23 Sports Medicine FranchiseSevere Burn Care FranchiseA D V A N C E D C E L L T H E R A P Y D E V E L O P M E N T & M A N U F A C T U R I N GP L AT F O R MNew Advanced Cell Therapy Vertical(s)
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MACI Arthro Approved and LaunchedNexoBrid Pediatric Label Expansion Approved1stProfitable QuarterAcquisition of North American commercial rights to NexoBrid Building on a Legacy of Growth with Near-T erm and Long-T erm OpportunitiesMACI ApprovedEpicel Pediatric Label Expansion Approved MACI Launchedin U.S. 24 New Corporate HQ and Manufacturing Facility CompleteAcquisition of Sanofi’s Cell Therapy and Regenerative Medicine Business NexoBrid Approvedin U.S.NexoBridLaunchedin U.S. Target LaunchPotential for MACI OUS Expansion Commercial Manufacturing at New Facility Commences
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Growth Strategy Leverages Near-T erm & Long-T erm OpportunitiesStrong Financial ProfileHigh revenue growth profile with 20% CAGR since 2017Sustained positive adjusted EBITDA and operating cash flow$185 Million in cash and investmentsHigh-Growth Sports Medicine FranchiseMarket leader in knee cartilage repair20% growth in 2023 & 2024MACI Arthro launched in Q3 202425Second High-Growth Franchise in Burn CareNexoBrid launched in the U.S. in Q4 2023NexoBrid Pediatric indication approved in Q3 2024Expanding Core Portfolio On track to initiate MACI Ankle MASCOT clinical study in Q4 2025New facility provides flexibility to potentially commercialize MACI outside the US