Artivion Reports Second Quarter 2025 Financial Results
Second Quarter Highlights:
•Achieved revenue of $113.0 million in the second quarter of 2025 versus $98.0 million in the second quarter of 2024, an increase of 15% on a GAAP basis and 14% on a non-GAAP constant currency basis
•Net income was $1.3 million, or $0.03 per fully diluted share and non-GAAP net income was $10.7 million, or $0.24 per fully diluted share in the second quarter of 2025
•Adjusted EBITDA increased 33% to $24.8 million in the second quarter of 2025 compared to $18.6 million in the second quarter of 2024
•Exchanged $99.5 million in principal amount of outstanding convertible senior notes due July 1, 2025 for common stock, resulting in the effective retirement of previously issued notes
•Received Investigational Device Exemption (IDE) approval from the U.S. Food and Drug Administration (FDA) to initiate the ARTIZEN pivotal trial evaluating the efficacy and safety of Arcevo LSA to replace the entire aortic arch for the treatment of acute and chronic arch pathologies
ATLANTA, GA – (August 7, 2025) – Artivion, Inc. (NYSE: AORT), a leading cardiac and vascular surgery company focused on aortic disease, today announced financial results for the second quarter ended June 30, 2025.
“The second quarter was exceptionally strong as we made progress across each of our strategic initiatives while delivering 14% constant currency revenue growth. Revenue growth was driven by year-over-year growth in On-X of 24%, stent grafts of 24%, BioGlue of 4%, and Preservation Services of 3%, all compared to the second quarter of 2024. On a constant currency basis, year-over-year On-X, stent grafts, BioGlue and preservation services grew 24%, 22%, 4% and 3%, respectively. In addition to our strong revenue performance, adjusted EBITDA grew 33% this quarter over the same period last year, which we believe demonstrates our ability to scale the business and continue to expand adjusted EBITDA margins,” said Pat Mackin, Chairman, President, and Chief Executive Officer.
Mr. Mackin added, “In addition to our strong commercial results in which both On-X and stent grafts grew over 20% on a constancy currency basis, we achieved another significant milestone in our pipeline with the IDE approval to initiate our Arcevo LSA pivotal trial. We also significantly
Page 1 of 11
improved our capital structure by retiring all of our $100 million Convertible Senior Notes due July 1, 2025.”
Mr. Mackin concluded, “Given our strong second quarter performance and continued business momentum, we are raising the midpoints of our full year 2025 constant currency revenue and EBITDA guidance and remain confident in our ability to grow adjusted EBITDA at twice the rate of constant currency revenue growth.”
Second Quarter 2025 Financial Results
Total revenues for the second quarter of 2025 were $113.0 million, an increase of 15% on a GAAP basis and 14% on a non-GAAP constant currency basis, both compared to the second quarter of 2024.
Net income for the second quarter of 2025 was $1.3 million, or $0.03 per fully diluted common share, compared to net loss of $(2.1) million, or $(0.05) per fully diluted common share for the second quarter of 2024. Non-GAAP net income for the second quarter of 2025 was $10.7 million, or $0.24 per fully diluted common share, compared to non-GAAP net income of $2.9 million, or $0.07 per fully diluted common share for the second quarter of 2024. Non-GAAP net income for the second quarter of 2025 includes pretax gains related to foreign currency revaluation of $4.5 million.
2025 Financial Outlook
Artivion is raising the midpoint of its full year 2025 revenue guidance and now expects constant currency growth of 12% to 14%, compared to the previous range of 11% to 14%. The Company expects reported revenues to be in the range of $435 to $443 million compared to the previous range of $423 to $435 million, reflecting the strong second quarter constant currency growth, greater confidence in the overall growth outlook, and an adjustment to FX assumptions for the second half of the year. The guidance range is also based on current estimates that full year 2025 currency impact will be approximately flat to 2024.
Additionally, Artivion is raising the midpoint of its adjusted EBITDA guidance and now expects growth of between 21% and 28% for the full year 2025 compared to 18% to 28% previously provided. Growth rates are compared to 2024. The Company expects adjusted EBITDA to be in the range of $86 to $91 million, compared to the previously articulated range of $84 to $91 million.
The Company's financial performance for 2025 and future periods is subject to the risks identified below.
Non-GAAP Financial Measures
This press release contains non-GAAP financial measures, including non-GAAP revenue, non-GAAP net income, EBITDA, adjusted EBITDA, non-GAAP general, administrative, and marketing expenses, and free cash flows. Investors should consider this non-GAAP information in addition to, and not as a substitute for, financial measures prepared in accordance with US GAAP. In addition, this non-GAAP financial information may not be the same as similar measures presented by other companies. The Company’s non-GAAP revenues are adjusted for the impact of changes in currency exchange. The Company’s non-GAAP net income, EBITDA, adjusted EBITDA, general, administrative, and marketing, and free cash flows results primarily exclude (as applicable) depreciation and amortization expense, interest income and expense, non-cash compensation expense, loss or gain on foreign currency revaluation, income tax expense or benefit, business development, integration, and severance income or expense, losses on inducement/extinguishment of debt, non-cash interest expense, capital expenditures, and other non-recurring items.
Page 2 of 11
The Company generally uses non-GAAP financial measures to facilitate management's review of the operational performance of the Company and as a basis for strategic planning. Company management believes that these non-GAAP presentations provide useful information to investors regarding unusual non-operating transactions, the operating expense structure of the Company's existing and acquired operations, without regard to its on-going efforts to acquire additional complementary products and businesses, and the transaction and integration expenses incurred in connection with recently acquired and divested product lines, and the operating expense structure excluding fluctuations resulting from foreign currency revaluation and non-cash compensation expense. The Company believes it is useful to exclude certain expenses and revenues because such amounts in any specific period may not directly correlate to the underlying performance of its business operations or can vary significantly between periods as a result of factors such as impact of recent acquisitions, non-cash expense related to amortization of previously acquired tangible and intangible assets, and any related adjustments to their carrying values. The Company has adjusted for the impact of changes in currency exchange from certain revenues to evaluate comparable product growth rates on a constant currency basis. The Company does, however, expect to incur similar types of expenses and currency exchange impacts in the future, and this non-GAAP financial information should not be viewed as a statement or indication that these types of expenses will not recur. Company management encourages investors to review the Company’s consolidated financial statements and publicly filed reports in their entirety, including the reconciliation of GAAP to non-GAAP financial measures.
The Company’s adjusted EBITDA expectations for fiscal 2025 exclude potential charges or gains that may be recorded during the fiscal year, relating to, among other things, non-cash compensation; business development, integration, and severance income or expense; losses on inducement/extinguishment of debt; and foreign currency revaluations. The Company does not attempt to provide reconciliations of forward-looking adjusted EBITDA to the comparable GAAP measure because the impact and timing of these potential charges or gains are inherently uncertain and difficult to predict and are unavailable without unreasonable efforts. In addition, the Company believes such reconciliations would imply a degree of precision and certainty that could be confusing to investors. Such items could have a material impact on GAAP measures of the Company’s financial performance.
Webcast and Conference Call Information
The Company will hold a teleconference call and live webcast on August 7, 2025, at 4:30 p.m. ET to discuss the results, followed by a question-and-answer session. To participate in the conference call dial 862-298-0702 a few minutes prior to 4:30 p.m. ET. The teleconference replay will be available approximately one hour following the completion of the event and can be accessed by calling (toll free) 877-660-6853 or 201-612-7415. The conference number for the replay is 13754541.
The live webcast and replay can be accessed by going to the Investors section of the Artivion website at www.Artivion.com and selecting the heading Webcasts & Presentations.
About Artivion, Inc.
Headquartered in suburban Atlanta, Georgia, Artivion, Inc., is a medical device company focused on developing simple, elegant solutions that address cardiac and vascular surgeons’ most difficult challenges in treating patients with aortic diseases. Artivion’s four major groups of products include: aortic stent grafts, surgical sealants, On-X mechanical heart valves, and implantable cardiac and vascular human tissues. Artivion markets and sells products in more than 100 countries worldwide. For additional information about Artivion, visit our website, www.Artivion.com.
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Forward-Looking Statements
Statements made in this press release that look forward in time or that express management's beliefs, expectations, or hopes are forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Such forward-looking statements reflect the views of management at the time such statements are made. These statements include, but are not limited to, our beliefs and expectations about our revenue, year-over-year growth and growth drivers, earnings, currency impacts, and other financial measures and related information; our anticipated capital needs and capital structure; our beliefs about our competitive advantages and market opportunities; the expected impact on our business of the dynamic trade policy and tariff environment; our expected product mix and business strategy; anticipated quarterly fluctuations in our business; the benefits of receiving IDE approval to initiate our Arcevo LSA pivotal trial; the expected benefits from retiring our Convertible Senior Notes due July 1, 2025; our ability to scale our business and expand adjusted EBITDA margins; that our revenues for the full year 2025 will be in the range of $435 to $443 million, representing revenue growth of between 12% to 14% compared to 2024 on a constant currency basis; and that we expect non-GAAP adjusted EBITDA to increase between 21% and 28% for the full year 2025 compared to 2024, resulting in non-GAAP adjusted EBITDA in the range of $86 to $91 million in 2025. These forward-looking statements are subject to a number of risks, uncertainties, estimates and assumptions that may cause actual results to differ materially from current expectations, including, but not limited to, the unpredictability of the timing and outcome of regulatory decisions and other regulatory developments; risks relating to our international operations; the benefits anticipated from our 2024 credit facility, the Ascyrus Medical LLC transaction and Endospan agreements, and our operational improvements in our tissue and stent graft business may not be achieved at all or at the levels we anticipate or had originally anticipated; the benefits anticipated from our clinical trials and regulatory approvals may not be achieved or achieved on our anticipated timelines; the uncertainty regarding potential unknown or future impacts of the November 2024 cybersecurity incident; and the benefits anticipated from our expansion into APAC and LATAM may not be achieved or achieved on our anticipated timelines. These risks and uncertainties include the risk factors detailed in our Securities and Exchange Commission filings, including our Form 10-K for the year ended December 31, 2025, and our Form 10-Q for the quarter ended June 30, 2025. Artivion does not undertake to update its forward-looking statements, whether as a result of new information, future events, or otherwise.
Page 4 of 11
Artivion, Inc. and Subsidiaries
Condensed Consolidated Statements of Operations and Comprehensive Income (Loss)
In Thousands, Except Per Share Data
(Unaudited)
Three Months Ended June 30,
Six Months Ended June 30,
2025
2024
2025
2024
Revenues:
Products
$
87,444
$
73,210
$
166,242
$
144,324
Preservation services
25,528
24,809
45,708
51,126
Total revenues
112,972
98,019
211,950
195,450
Cost of products and preservation services:
Products
28,315
24,545
53,578
48,295
Preservation services
11,545
10,150
21,683
20,885
Total cost of products and preservation services
39,860
34,695
75,261
69,180
Gross margin
73,112
63,324
136,689
126,270
Operating expenses:
General, administrative, and marketing
57,665
49,320
112,369
80,009
Research and development
7,063
7,497
13,791
14,443
Total operating expenses
64,728
56,817
126,160
94,452
Operating income
8,384
6,507
10,529
31,818
Interest expense
7,270
8,304
14,933
16,130
Interest income
(68)
(353)
(212)
(727)
Losses on inducement/extinguishment of debt
2,664
—
2,664
3,669
Other (income) expense, net
(4,964)
983
(8,043)
2,392
Income (loss) before income taxes
3,482
(2,427)
1,187
10,354
Income tax expense (benefit)
2,137
(306)
347
4,942
Net income (loss)
$
1,345
$
(2,121)
$
840
$
5,412
Income (loss) per share:
Basic
$
0.03
$
(0.05)
$
0.02
$
0.13
Diluted
$
0.03
$
(0.05)
$
0.02
$
0.13
Weighted-average common shares outstanding:
Basic
44,296
41,683
43,270
41,487
Diluted
45,378
41,683
44,503
42,405
Net income (loss)
$
1,345
$
(2,121)
$
840
$
5,412
Other comprehensive income (loss):
Foreign currency translation adjustments, net of tax
15,768
(2,323)
22,099
(3,851)
Comprehensive income (loss)
$
17,113
$
(4,444)
$
22,939
$
1,561
Page 5 of 11
Artivion, Inc. and Subsidiaries
Condensed Consolidated Balance Sheets
In Thousands
June 30, 2025
December 31, 2024
(Unaudited)
ASSETS
Current assets:
Cash and cash equivalents
$
53,476
$
53,463
Trade receivables, net
91,440
79,462
Other receivables
9,810
6,431
Inventories
86,723
79,766
Deferred preservation costs
52,817
51,701
Prepaid expenses and other
24,554
19,257
Total current assets
318,820
290,080
Goodwill
253,802
240,958
Acquired technology, net
129,257
128,051
Operating lease right-of-use assets, net
39,690
39,726
Property and equipment, net
40,086
36,403
Other intangibles, net
29,183
28,332
Deferred tax assets, net
693
1,068
Other long-term assets
26,856
24,483
Total assets
$
838,387
$
789,101
LIABILITIES AND STOCKHOLDERS’ EQUITY
Current liabilities:
Accounts payable
$
19,426
$
17,971
Accrued compensation
15,896
18,342
Accrued expenses
11,381
11,834
Accrued interest
5,706
8,170
Taxes payable
2,849
2,934
Accrued procurement fees
2,569
1,704
Current maturities of operating leases
4,956
4,489
Current portion of finance lease obligations
710
601
Current portion of long-term debt
73
195
Other current liabilities
3,104
583
Total current liabilities
66,670
66,823
Long-term debt, net
215,538
314,152
Contingent consideration
52,670
52,880
Non-current maturities of operating leases
39,409
39,988
Deferred tax liabilities, net
23,455
20,183
Deferred compensation liability
8,730
7,977
Non-current finance lease obligations
3,055
2,833
Other long-term liabilities
8,958
8,065
Total liabilities
$
418,485
$
512,901
Commitments and contingencies
Stockholders’ equity:
Preferred stock $0.01 par value per share, 5,000 shares authorized, no shares issued
—
—
Common stock $0.01 par value per share, 75,000 shares authorized, 48,592 and 43,432 shares issued as of June 30, 2025 and December 31, 2024, respectively
486
434
Additional paid-in capital
497,318
376,607
Retained deficit
(60,426)
(61,266)
Accumulated other comprehensive loss
(2,828)
(24,927)
Treasury stock, at cost, 1,487 shares as of June 30, 2025 and December 31, 2024
(14,648)
(14,648)
Total stockholders’ equity
419,902
276,200
Total liabilities and stockholders’ equity
$
838,387
$
789,101
Page 6 of 11
Artivion, Inc. and Subsidiaries
Condensed Consolidated Statement of Cash Flows
In Thousands
(Unaudited)
Six Months Ended June 30,
2025
2024
Net cash flows from operating activities:
Net income
$
840
$
5,412
Adjustments to reconcile net income to net cash from operating activities:
Depreciation and amortization
10,984
11,800
Non-cash compensation
14,167
7,730
Non-cash lease expense
2,510
3,897
Write-down of inventories and deferred preservation costs
2,379
1,508
Deferred income taxes
(231)
994
Change in fair value of contingent consideration
(210)
(15,680)
Losses on inducement/extinguishment of debt
2,664
3,669
Other
(7,423)
1,178
Changes in operating assets and liabilities:
Receivables
(9,660)
(6,446)
Inventories and deferred preservation costs
(5,521)
(2,165)
Prepaid expenses and other assets
(6,215)
(5,224)
Accounts payable, accrued expenses, and other liabilities
(6,226)
(6,031)
Net cash flows (used in) provided by operating activities
(1,942)
642
Net cash flows from investing activities:
Capital expenditures
(6,925)
(6,124)
Net cash flows used in investing activities
(6,925)
(6,124)
Net cash flows from financing activities:
Proceeds from issuance of long-term debt
—
190,000
Proceeds from revolving credit facility
—
30,000
Repayment of debt
(134)
(211,688)
Proceeds from exercise of stock options and issuance of common stock
4,459
3,587
Payment of debt issuance costs
—
(10,044)
Proceeds from financing insurance premiums
3,117
—
Principal payments on short-term notes payable
(554)
(1,027)
Other
(353)
(272)
Net cash flows provided by financing activities
6,535
556
Effect of exchange rate changes on cash and cash equivalents
2,345
1,005
Increase (decrease) in cash and cash equivalents
13
(3,921)
Cash and cash equivalents beginning of period
53,463
58,940
Cash and cash equivalents end of period
$
53,476
$
55,019
Page 7 of 11
Artivion, Inc. and Subsidiaries
Financial Highlights
In Thousands
(Unaudited)
Three Months Ended June 30,
Six Months Ended June 30,
2025
2024
2025
2024
Products:
Aortic stent grafts
$
39,841
$
32,190
$
76,443
$
64,293
On-X
25,572
20,645
47,146
40,326
Surgical sealants
19,288
18,545
37,394
35,526
Other
2,743
1,830
5,259
4,179
Total products
87,444
73,210
166,242
144,324
Preservation services
25,528
24,809
45,708
51,126
Total revenues
$
112,972
$
98,019
$
211,950
$
195,450
North America
57,569
48,662
105,362
99,590
Europe, the Middle East, and Africa
38,713
34,145
75,758
67,733
Asia Pacific
11,131
9,653
19,345
17,262
Latin America
5,559
5,559
11,485
10,865
Total revenues
$
112,972
$
98,019
$
211,950
$
195,450
Page 8 of 11
Artivion, Inc. and Subsidiaries
Reconciliation of GAAP to Non-GAAP
Revenues
$ In Thousands
(Unaudited)
Revenues for the Three Months Ended June 30,
Percent Change From Prior Year
2025
2024
US GAAP
US GAAP
Exchange Rate Effect
Constant Currency
Constant Currency
Products:
Aortic stent grafts
$
39,841
$
32,190
$
584
$
32,774
22%
On-X
25,572
20,645
41
20,686
24%
Surgical sealants
19,288
18,545
61
18,606
4%
Other
2,743
1,830
4
1,834
50%
Total products
87,444
73,210
690
73,900
18%
Preservation services
25,528
24,809
(17)
24,792
3%
Total
$
112,972
$
98,019
$
673
$
98,692
14%
North America
57,569
48,662
(46)
48,616
18%
Europe, the Middle East, and Africa
38,713
34,145
1,091
35,236
10%
Asia Pacific
11,131
9,653
—
9,653
15%
Latin America
5,559
5,559
(372)
5,187
7%
Total
$
112,972
$
98,019
$
673
$
98,692
14%
Revenues for the Six Months Ended June 30,
Percent Change From Prior Year
2025
2024
US GAAP
US GAAP
Exchange Rate Effect
Constant Currency
Constant Currency
Products:
Aortic stent grafts
$
76,443
$
64,293
$
(724)
$
63,569
20%
On-X
47,146
40,326
(231)
40,095
18%
Surgical sealants
37,394
35,526
(256)
35,270
6%
Other
5,259
4,179
—
4,179
26%
Total products
166,242
144,324
(1,211)
143,113
16%
Preservation services
45,708
51,126
(84)
51,042
-10%
Total
$
211,950
$
195,450
$
(1,295)
$
194,155
9%
North America
105,362
99,590
(198)
99,392
6%
Europe, the Middle East, and Africa
75,758
67,733
(119)
67,614
12%
Asia Pacific
19,345
17,262
—
17,262
12%
Latin America
11,485
10,865
(978)
9,887
16%
Total
$
211,950
$
195,450
$
(1,295)
$
194,155
9%
Page 9 of 11
Artivion, Inc. and Subsidiaries
Reconciliation of GAAP to Non-GAAP
General, Administrative, and Marketing Expense, EBITDA, Adjusted EBITDA, and Free Cash Flows
In Thousands
(Unaudited)
Three Months Ended June 30,
Six Months Ended June 30,
2025
2024
2025
2024
Reconciliation of G&A expenses, GAAP to adjusted G&A, non-GAAP:
General, administrative, and marketing expense, GAAP
$
57,665
$
49,320
$
112,369
$
80,009
Business development, integration, and severance expense (income)
3,050
2,033
266
(15,354)
Cybersecurity incident
1,243
—
5,693
—
Adjusted G&A, non-GAAP
$
53,372
$
47,287
$
106,410
$
95,363
Three Months Ended June 30,
Six Months Ended June 30,
2025
2024
2025
2024
Reconciliation of net income (loss), GAAP and EBITDA, non-GAAP to adjusted EBITDA, non-GAAP:
Net income (loss), GAAP
$
1,345
$
(2,121)
$
840
$
5,412
Adjustments:
Interest expense
7,270
8,304
14,933
16,130
Interest income
(68)
(353)
(212)
(727)
Income tax expense (benefit)
2,137
(306)
347
4,942
Depreciation and amortization expense
5,538
5,891
10,984
11,800
EBITDA, non-GAAP
16,222
11,415
26,892
37,557
Non-cash compensation
6,122
4,252
14,167
7,730
Business development, integration, and severance expense (income)
2,568
2,033
(489)
(15,354)
Cybersecurity incident
1,683
—
6,429
—
Losses on inducement/extinguishment of debt
2,664
—
2,664
3,669
(Gain) loss on foreign currency revaluation
(4,495)
943
(7,351)
2,353
Adjusted EBITDA, non-GAAP
$
24,764
$
18,643
$
42,312
$
35,955
Three Months Ended June 30,
Six Months Ended June 30,
2025
2024
2025
2024
Reconciliation of cash flows from operating activities, GAAP to free cash flows, non-GAAP:
Net cash flows provided by (used in) operating activities
15,011
6,135
$
(1,942)
$
642
Capital expenditures
(3,287)
(2,513)
(6,925)
(6,124)
Free cash flows, non-GAAP
$
11,724
$
3,622
$
(8,867)
$
(5,482)
Page 10 of 11
Artivion Inc. and Subsidiaries
Reconciliation of GAAP to Non-GAAP
Net Income and Diluted Income Per Common Share
In Thousands, Except Per Share Data
(Unaudited)
Three Months Ended June 30,
Six Months Ended June 30,
2025
2024
2025
2024
GAAP:
Income (loss) before income taxes
$
3,482
$
(2,427)
$
1,187
$
10,354
Income tax expense (benefit)
2,137
(306)
347
4,942
Net income (loss)
$
1,345
$
(2,121)
$
840
$
5,412
Diluted income (loss) per common share
$
0.03
$
(0.05)
$
0.02
$
0.13
Diluted weighted-average common shares outstanding
45,378
41,683
44,503
42,405
Reconciliation of income (loss) before income taxes, GAAP to adjusted income, non-GAAP:
Income (loss) before income taxes, GAAP:
$
3,482
$
(2,427)
$
1,187
$
10,354
Adjustments:
Amortization expense
3,427
3,793
6,815
7,660
Business development, integration, and severance expense (income)
2,568
2,033
(489)
(15,354)
Non-cash interest expense
485
484
1,028
1,064
Cybersecurity incident
1,683
—
6,429
—
Losses on inducement/extinguishment of debt
2,664
—
2,664
3,669
Adjusted income before income taxes, non-GAAP
14,309
3,883
17,634
7,393
Income tax expense calculated at a tax rate of 25%
3,577
970
4,408
1,848
Adjusted net income, non-GAAP
$
10,732
$
2,913
$
13,226
$
5,545
Reconciliation of diluted income (loss) per common share, GAAP to adjusted diluted income per common share, non-GAAP:
Diluted income (loss) per common share, GAAP:
$
0.03
$
(0.05)
$
0.02
$
0.13
Adjustments:
Amortization expense
0.07
0.09
0.15
0.18
Business development, integration, and severance expense (income)
0.06
0.05
(0.01)
(0.36)
Non-cash interest expense
0.01
0.01
0.02
0.02
Cybersecurity incident
0.03
—
0.14
—
Losses on inducement/extinguishment of debt
0.06
—
0.06
0.09
Tax effect of non-GAAP adjustments
(0.06)
(0.04)
(0.09)
0.01
Effect of 25% tax rate
0.04
0.01
0.01
0.06
Adjusted diluted income per common share, non-GAAP
$
0.24
$
0.07
$
0.30
$
0.13
Reconciliation of diluted weighted-average common shares outstanding GAAP to diluted weighted-average common shares outstanding, non-GAAP:
Diluted weighted-average common shares outstanding, GAAP:
45,378
41,683
44,503
42,405
Adjustments:
Effect of dilutive stock options and awards
—
941
—
—
Diluted weighted-average common shares outstanding, non-GAAP
