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VERICELQ4 2025 RESULTSFEBRUARY 26, 2026
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Safe Harbor 2Vericel Q4 2025 Financial Results – February 26, 2026 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 timing and likelihood ofobtaining market approval for MACI in the United Kingdom, theestimate of the commercial growth potential of our products andproduct candidates, competitive developments, changes in third-party coverage and reimbursement, including recent and futurehealthcare reform measures and private payor initiatives, surgeonadoption of MACI Arthro, physician and burn center adoption ofNexoBrid, labor strikes, supply chain disruptions or other events orfactors that might affect our ability to manufacture MACI or Epicel oraffect MediWound’s ability to manufacture and supply sufficientquantities of NexoBrid to meet customer demand, including but notlimited to conflicts in the Middle East region involving Israel, negativeimpacts on the global economy and capital markets resulting fromthe conflicts in Ukraine and the Middle East and political and militarydevelopments in South America, including those associated withpotential further involvement by the U.S., changes in trade policiesand regulations, including the potential for increases or changes in duties, current and potentially new tariffs or quotas, lingering effectsof adverse developments affecting financial institutions, companiesin 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 landscape, including those included in the One Big BeautifulBill Act (the “OBBBA”), a U.S. government shutdown and globalgeopolitical tensions.These and other significant factors are discussed in greater detail inVericel’s Annual Report on Form 10-K for the year ended December31, 2025, filed with the Securities and Exchange Commission (SEC) onFebruary 26, 2026, and in other filings with the SEC. These forward-looking statements reflect our views as of the date hereof and Vericeldoes not assume and specifically disclaims any obligation to updateany of these forward-looking statements to reflect a change in itsviews or events or circumstances that occur after the date of thispress release except as required by law.
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3$92.9MTotal Q4 RevenueMACIBurn Care$8.8$84.1 Total revenue of $92.9M Total Revenue Growth of 23% Gross margin of 79% Net Income of $23.2M Adjusted EBITDA of $37.3M, or 40% margin ~$200M of Cash and Investments3 MACI Growth Inflection:MACI revenue growth of 23%, with record fourth quarter revenue of ~$84MBurn Care Growth: Strong close to the year for Epicel, with 25% Burn Care revenue growthIncreasing Profitability: Net Income growth of 17% to $23.2M, 79% gross margin and 40% adjusted EBITDA marginInflecting Cash Generation:~$200M in cash and investments, driven by $35M increase in the second half of 2025MACI Momentum: Trained ~1,000 MACI Arthro surgeons to date; highest number of implants, biopsies and surgeons in any quarter since launchRecord Q4 Total Revenue: Record fourth quarter total revenue driven by strong performance across both franchisesMACI Sales Force Expansion:Completed MACI sales force expansion in Q4 2025Longer-Term Value Drivers:Initiated MACI Ankle MASCOT clinical study; MACI OUS expansion progressing toward potential UK launch Q4 2025 Financial ResultsQ4 Key Business Highlights Vericel Q4 2025 Financial Results – February 26, 2026
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4 2026 Financial Guidance and Strategic ImperativesMACI ArthroLifecycle ManagementP&LMetricsTotal Revenue Gross Margin EBITDA Margin$316M - $326MContinued high revenue growth for MACI and growth in Burn Care revenue~75%Includes absorption of new manufacturing facility into cost base in 2026~27%Includes incremental investments in new facility, sales force expansion and MACI Ankle studyLeverage MACI Arthro to unlock new growth segment with minimally invasive procedure optionExpand MACI outside the US and into other joints and broader sports medicine marketDrive continued growth in small condyle defectsGenerate clinical data through MACI registryComplete regulatory submission for UK approvalBegin patient enrollment in MACI Ankle studyMACI Sales Force ExpansionMeaningfully increase reach across MACI customer base with 30% sales force expansion Drive breadth and depth of MACI surgeon penetrationEnhance commercial excellence and executionDrive sales rep productivity to pre-expansion levels Vericel Q4 2025 Financial Results – February 26, 2026
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MACI Continues to Deliver T op-Tier Revenue Growth 52017 2018 2019 2020 2021 2022 2023 2024 2025 2026~$240M$280M-$286M24% CAGR Since MACI Launch2026 MACI Growth DriversStrong leading indicators exiting 2025MACI Arthro supporting higher growth in small condyle defects (largest segment of TAM)30% increase in sales force to start 2026 will increase penetration into customer baseStrong market access with over 95% of prior authorization submissions approved in 2025Vericel Q4 2025 Financial Results – February 26, 2026
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Q4 2025 Revenue Details 6 $46.3 $56.7 $68.3 $84.1 $6.3$7.8$6.0$8.1$0.5 $1.0 $0.7 $52.7 $65.0 $75.4 $92.9 $0$10$20$30$40$50$60$70$80$90Q4 2022 Q4 2023 Q4 2024 Q4 2025Total Revenue ($M)NexoBrid Epicel MACIMACI growth of 23% vs. prior yearVericel Q4 2025 Financial Results – February 26, 2026
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Q4 2025 Financial Results 7 Three Months EndedDecember 31, Twelve Months EndedDecember 31, Vericel Q4 2025 Financial Results – February 26, 2026 Unaudited, amounts in millions except per share amounts 2025 2024 2025 2024Net Revenue $92.9 $75.4 $276.3 $237.2Gross Profit 73.1 58.5 205.6 172.1Gross Margin 79% 78% 74% 73%Research and Development 7.3 4.9 27.6 24.8Selling, General and Administrative 43.535.1167.0142.8Total Operating Expenses 50.7 40.0 194.6 167.6Operating Income (Loss) 22.4 18.5 11.0 4.5Net Income (Loss) 23.2 19.8 16.5 10.4Net Income (Loss) Per Share (Diluted) $0.45 $0.38 $0.32 $0.20Weighted average shares outstanding (Diluted) 52.1 52.2 52.2 51.7Adjusted EBITDA 37.3 29.9 70.9 53.4Adjusted EBITDA Margin 40% 40% 26% 23%Stock-based compensation included 8.4 7.9 38.8 36.5in Operating and Net Income (Loss)
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Reconciliation of Reported Net Income to Adjusted EBITDA (Non-GAAP Measure) – Unaudited 8 Three Months EndedDecember 31, 2024202520242025Adjusted EBITDA (In Millions)$ 10.4$ 16.5$ 19.8$ 23.2Net Income (GAAP)36.538.87.98.4Stock-based compensation expense5.511.51.53.1Depreciation and amortization(5.8)(6.4)(1.4)(1.7)Net interest income0.10.90.10.9Income Tax Expense6.79.61.93.4Pre-occupancy lease expense and tech transfer$ 53.4$ 70.9$ 29.9$ 37.3Adjusted EBITDA (Non-GAAP)Twelve Months EndedDecember 31, Vericel Q4 2025 Financial Results – February 26, 2026