How Aroa Biosurgery’s Record Myriad Sales Signal a Breakout Year Ahead
Aroa Biosurgery delivered a robust September quarter with strong cash flow and record sales of its Myriad product, while reaffirming its FY26 revenue and EBITDA guidance. The company also highlighted a promising US Medicare reimbursement proposal for its Symphony product.
- Operating cash flow of NZ$2.1 million for the quarter
- Record quarterly sales of NZ$10.2 million for Myriad product family
- Cash balance increased to NZ$23.4 million, remaining debt-free
- FY26 revenue guidance reaffirmed at NZ$92-100 million with EBITDA of NZ$5-8 million
- US Medicare reimbursement proposal could benefit Symphony product starting January 2026
Strong Financial Performance
Aroa Biosurgery Limited (ASX – ARX) has reported a solid financial quarter ending September 2025, marking its fourth consecutive quarter of positive net cash flow. The company generated NZ$2.1 million in operating cash flow, supported by robust cash receipts from customers totaling NZ$23.5 million. This healthy cash generation lifted Aroa’s cash reserves to NZ$23.4 million, with the company maintaining a debt-free balance sheet.
Record Sales Momentum
The quarter saw Aroa achieve its highest ever sales for the Myriad product family, reaching NZ$10.2 million. This performance underscores the growing market acceptance of Aroa’s proprietary extracellular matrix (ECM) technology, which is designed to enhance soft tissue regeneration. The company’s sales and clinical teams actively engaged with the medical community, participating in 12 major industry conferences, including the high-profile Symposium on Advanced Wound Care in Las Vegas.
Clinical Validation and Innovation
Aroa continues to bolster its scientific credentials with the publication of eight new peer-reviewed studies during the quarter. Notably, a book chapter titled “Sustainable Biomaterials – Turning Food Waste into Advanced Regenerative Technology” highlights the unique advantages of Aroa’s third-generation bioscaffold technology. This research positions Aroa’s ECM platform as a leader in regenerative medicine, combining structural integrity, biological activity, and compatibility to improve clinical outcomes.
US Medicare Reimbursement Opportunity
A key potential catalyst for Aroa is the proposed reimbursement changes by the US Centers for Medicare and Medicaid Services (CMS) for outpatient wound care products. The draft policy suggests a capped payment rate for skin substitute products, including Aroa’s Symphony product. If confirmed in November, these changes could create a more favourable reimbursement environment starting January 2026. Aroa is awaiting the completion of a pivotal randomized controlled trial on Symphony, expected to provide further clinical evidence supporting its efficacy.
Looking Ahead
The company reaffirmed its FY26 guidance, targeting total revenue between NZ$92 million and NZ$100 million, representing 10-20% growth on a constant currency basis. Normalised EBITDA is expected to grow between 19% and 90% to a range of NZ$5-8 million. Investors will have the opportunity to hear directly from management during an upcoming investor event in Sydney following the release of H1 FY26 results on 25 November 2025, complemented by a quarterly webinar hosted today.
Bottom Line?
With strong sales momentum and a promising US reimbursement outlook, Aroa Biosurgery is poised for a pivotal FY26, but investors will watch closely for Medicare policy confirmation and upcoming trial data.
Questions in the middle?
- Will the US Medicare reimbursement proposal for Symphony be confirmed as expected in November?
- How will the upcoming H1 FY26 results reflect on Aroa’s growth trajectory and cost management?
- What impact will the new clinical studies have on market adoption and competitive positioning?