Mesoblast Reports $51.3M Revenue, $40.2M Loss, and $125M Financing Boost

Strong Commercial Launch of Ryoncil

Mesoblast Limited has marked a significant milestone with the first commercial sales of its FDA-approved product, Ryoncil, for pediatric steroid-refractory acute graft-versus-host disease (SR-aGVHD). For the six months ended December 31, 2025, the company reported net product sales of $48.7 million, reflecting the launch of Ryoncil in March 2025 following FDA approval in December 2024. This revenue stream represents a major step forward for Mesoblast, which had no product sales in the prior corresponding period.

Financial Performance and Debt Restructuring

Despite the encouraging sales, Mesoblast posted a net loss of $40.2 million for the half-year, an improvement of 16% compared to the $47.9 million loss in the prior year period. The company’s operating expenses increased, driven by expanded research and development activities and the costs associated with commercializing Ryoncil. In December 2025, Mesoblast secured a $125 million five-year non-dilutive credit-line facility, drawing $75 million initially. Proceeds were used to repay its senior secured loan with Oaktree Capital Management and partially repay the NovaQuest loan. The remaining $50 million tranche is available until June 30, 2026, providing financial flexibility to support ongoing operations.

R&D and Commercialisation Investment

Research and development expenses surged to $46.2 million, reflecting clinical advancement of multiple product candidates, including MPC-150-IM for chronic heart failure and MPC-06-ID for chronic low back pain, as well as manufacturing scale-up efforts. Selling, general and administration expenses rose to $28.5 million, largely due to intensified commercialization activities for Ryoncil, including sales, marketing, and distribution infrastructure build-out. The company remains focused on measured resource allocation to balance growth with financial discipline.

Cash Position and Going Concern

Mesoblast ended the period with $130 million in cash and cash equivalents, supported by product sales and the new credit facility. The company expects existing cash reserves and ongoing Ryoncil sales to fund operations for at least the next 12 months, underpinning its status as a going concern. This financial position provides a runway to advance commercialization and clinical development programs.

Risks and Outlook

Mesoblast’s future hinges on the continued commercial success of Ryoncil and the progress of its pipeline candidates. The company faces challenges typical of biotechnology firms, including manufacturing scale-up, regulatory uncertainties, and competitive pressures. Additionally, reimbursement dynamics and market acceptance will be critical to sustaining revenue growth. Investors should monitor upcoming clinical trial data, regulatory milestones, and sales updates closely as these will shape Mesoblast’s trajectory in the regenerative medicine sector.