Tela Bio, Inc. ((TELA)) has held its Q2 earnings call. Read on for the main highlights of the call.
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In the recent earnings call, TELA Bio, Inc. showcased a positive sentiment overall, driven by significant revenue growth in its OviTex and LIQUIFIX portfolios and successful expansion in the European market. Despite facing challenges such as net loss and a slight increase in sales and marketing expenses, the company’s achievements in revenue and market expansion were prominent highlights.
Record Revenue Achievement
TELA Bio set a new record in Q2 2025 by surpassing $20 million in revenue for the first time. This milestone marks a significant achievement for the company, reflecting its robust growth trajectory and successful market strategies.
OviTex and OviTex PRS Sales Growth
The OviTex reinforced tissue matrix portfolio demonstrated impressive scaling, with over 73,000 units sold across the U.S. and Europe. Additionally, the OviTex PRS portfolio reached over 16,000 units sold in the U.S., highlighting strong demand and market penetration.
LIQUIFIX Revenue Growth
LIQUIFIX revenue experienced a remarkable year-over-year growth of 121% in Q2 2025. This substantial increase underscores the product’s growing acceptance and success in the market.
European Expansion Success
The European market saw a 25% increase in sales over the previous year, driven by a 29% growth in unit sales. This expansion highlights TELA Bio’s successful international strategy and growing presence in Europe.
Gross Margin Improvement
Gross margin improved to 69.8% in Q2 2025, compared to 68.8% in the same period last year. This improvement reflects the company’s effective cost management and operational efficiency.
Sales and Marketing Expenses
Sales and marketing expenses saw a slight increase, reaching $16.9 million in Q2 2025 from $16.7 million in the prior year. This rise indicates the company’s continued investment in expanding its market reach and brand presence.
Net Loss
The net loss for Q2 2025 was $9.9 million, a decrease from $12.6 million in the previous year. This reduction in net loss signifies the company’s progress towards financial stability and profitability.
Forward-Looking Guidance
During the earnings call, TELA Bio provided forward-looking guidance, projecting full-year 2025 revenue between $85 million and $88 million, representing a 23% to 27% growth over 2024. The company emphasized a shift towards a patient-centric sales strategy and highlighted new leadership and strategic hires as key drivers for future growth.
In summary, TELA Bio’s earnings call reflected a positive outlook with significant achievements in revenue growth and market expansion. Despite challenges in net loss and marketing expenses, the company’s strategic initiatives and forward-looking guidance suggest a promising trajectory for continued success.