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Dec 31, 2024

TELA Bio Q4 2024 Earnings Report

TELA Bio reported its Q4 2024 financial results with modest revenue growth and reduced operating expenses.

Key Takeaways

TELA Bio delivered a 4% increase in Q4 2024 revenue, supported by higher unit sales, despite facing pressure from lower average selling prices. The company reduced its operating expenses significantly, leading to a narrower net loss compared to the prior year.

Q4 2024 revenue reached $17,649,000, up 4% year-over-year.

Gross profit for the quarter was $11,221,000 with a 64% gross margin.

Net loss improved to $9,208,000 from $12,890,000 in Q4 2023.

Operating expenses decreased to $19,575,000, reflecting cost-efficiency efforts.

Total Revenue
$17.6M
Previous year: $17M
+3.8%
EPS
-$0.23
Previous year: -$0.53
-56.6%
Gross margin
64%
Previous year: 68%
-5.9%
Gross Profit
$11.2M
Previous year: $11.6M
-3.3%
Cash and Equivalents
$52.7M
Previous year: $46.7M
+12.8%
Total Assets
$86.6M
Previous year: $78M
+10.9%

TELA Bio

TELA Bio

Forward Guidance

TELA Bio expects continued revenue growth and stable operating expenses in 2025, focusing on product adoption and market share expansion.

Positive Outlook

  • Full-year 2025 revenue expected between $85 million and $88 million.
  • Launch of OviTex IHR driving adoption in minimally invasive hernia procedures.
  • Continued growth in unit sales volume across product lines.
  • Cost-reduction efforts expected to maintain flat OpEx in 2025.
  • Increased international sales contributing to growth opportunities.

Challenges Ahead

  • Lower average selling prices due to product mix changes.
  • Inventory adjustments affecting gross margin.
  • Q4 revenue shortfall against internal expectations.
  • Market competition and pricing pressures remain a challenge.
  • Dependence on procedural volumes and hospital operations stability.