Vericel Reports First Quarter 2026 Financial Results and Raises Full-Year Financial Guidance

Total Revenue Increased 30% to $68.4 Million, with MACI Revenue Growth of 22% and Burn Care Revenue Growth of 91%

Gross Margin of 72% and Adjusted EBITDA Growth of 195%

Free Cash Flow of $15.1 Million

Full-Year 2026 Revenue Guidance Raised by $10 Million to $326 to $336 Million

Conference Call Today at 8:30am Eastern Time

CAMBRIDGE, Mass., May 07, 2026 — Vericel Corporation (NASDAQ:VCEL), a leader in advanced therapies for the sports medicine and severe burn care markets, today reported financial results and business highlights for the first quarter ended March 31, 2026.

First Quarter 2026 Financial Highlights

• Total net revenue growth of 30% to $68.4 million
• MACI® net revenue growth of 22% to $56.4 million
• Burn Care net revenue growth of 91% to $12.0 million
• Gross margin of 72%
• Net loss of $6.3 million, or $0.12 per diluted share
• Non-GAAP adjusted EBITDA increased 195% to $9.6 million, or 14% of revenue
• Operating cash flow of $16.4 million
• Free cash flow of $15.1 million
• Approximately $211 million in cash and investments, and no debt

Business Highlights and Updates

• Record first quarter total revenue, MACI revenue and Burn Care revenue
• MACI revenue growth of 20% or more for the fourth consecutive quarter, with a four-quarter trailing revenue growth rate of 23%
• Epicel® first quarter revenue growth of 119%
• Double-digit MACI biopsy and implant growth, with record first quarter MACI biopsies, implants and biopsy and implanting surgeons, and the second highest number of MACI biopsies and biopsy surgeons in any quarter since launch
• Announced BARDA award valued at up to $197 million for procurement and advanced development of NexoBrid®
• Received FDA approval for MACI commercial manufacturing at the Company’s new state-of-the-art advanced therapy manufacturing facility
• Remain on track to submit MACI marketing authorization application to U.K. MHRA in 2026

“The Company delivered outstanding financial and business results in the first quarter, as we generated strong revenue and profit growth and achieved several key business objectives,” said Nick Colangelo, President and CEO of Vericel. “With a record first quarter performance across both of our commercial franchises, we believe that the Company is well-positioned for another year of high revenue and profit growth, an inflection in cash generation, and continued progress on our long-term growth initiatives.”

2026 Financial Guidance

• Total revenue of $326 to $336 million, compared to previous guidance of $316 to $326 million
• MACI revenue of $282 to $288 million, compared to previous guidance of $280 to $286 million
• Burn Care revenue of $44 to $48 million, compared to previous guidance of $36 to $40 million
• Reaffirmed full-year profitability guidance of gross margin of approximately 75% and adjusted EBITDA margin of approximately 27%

First Quarter 2026 Results

Total net revenue for the quarter ended March 31, 2026 increased 30% to $68.4 million, compared to $52.6 million in the first quarter of 2025. Total net product revenue for the quarter included $56.4 million of MACI (autologous cultured chondrocytes on porcine collagen membrane) net revenue, $10.9 million of Epicel (cultured epidermal autografts) net revenue, and $1.1 million of NexoBrid (anacaulase-bcdb) net revenue, compared to $46.3 million of MACI net revenue, $5.0 million of Epicel net revenue, and $1.3 million of NexoBrid net revenue, respectively, in the first quarter of 2025.

Gross profit for the quarter ended March 31, 2026 was $49.3 million, or 72% of net revenue, compared to $36.3 million, or 69% of net revenue, for the first quarter of 2025.

Total operating expenses for the quarter ended March 31, 2026 were $57.3 million, compared to $49.1 million for the same period in 2025. The increase in operating expenses was primarily due to increased headcount and related employee expenses, including the MACI sales force expansion, and additional costs related to the Company’s new Burlington facility.

Net loss for the quarter ended March 31, 2026 was $6.3 million, or $0.12 per diluted share, compared to $11.2 million, or $0.23 per diluted share, for the first quarter of 2025.

Non-GAAP adjusted EBITDA for the quarter ended March 31, 2026 was $9.6 million, or 14% of net revenue, compared to $3.2 million, or 6% of net revenue, for the first quarter of 2025. A table reconciling non-GAAP measures is included in this press release for reference.

Conference Call Information

Today’s conference call will be available live at 8:30 a.m. Eastern Time. The live webcast can be accessed on the Investor Relations section of the Vericel website at http://investors.vcel.com/events-presentations. Presentation slides for the conference call will be available on the webcast and on the Vericel website. A replay of the webcast will be available until May 6, 2027.

To participate by telephone, dial 800-330-6730 or +1-312-471-1351 if connecting from outside the U.S. When connected, please use passcode: 244506.

About Vericel Corporation

Vericel is a leading provider of advanced therapies for the sports medicine and severe burn care markets. The Company combines innovations in biology with medical technologies, resulting in a highly differentiated portfolio of innovative cell therapies and specialty biologics that repair injuries and restore lives. Vericel markets three products in the United States. MACI (autologous cultured chondrocytes on porcine collagen membrane) is an autologous cellularized scaffold product indicated for the repair of symptomatic, single or multiple full-thickness cartilage defects of the knee with or without bone involvement in adults. Epicel (cultured epidermal autografts) is a permanent skin replacement for the treatment of patients with deep dermal or full thickness burns greater than or equal to 30% of total body surface area. Vericel also holds an exclusive license for North American rights to NexoBrid (anacaulase-bcdb), a biological orphan product containing proteolytic enzymes, which is indicated for eschar removal in adults and pediatric patients with deep partial-thickness and/or full-thickness thermal burns. For more information, please visit www.vcel.com.

Epicel®, MACI® and MACI Arthro® are registered trademarks of Vericel Corporation. NexoBrid® is a registered trademark of MediWound Ltd. and is used under license to Vericel Corporation. © 2026 Vericel Corporation. All rights reserved.

GAAP v. Non-GAAP Measures

Vericel’s reported earnings are prepared in accordance with generally accepted accounting principles in the United States, or GAAP, and represent earnings as reported to the Securities and Exchange Commission (SEC). Vericel has provided in this release certain financial information that has not been prepared in accordance with GAAP. Vericel’s management believes that the non-GAAP adjusted EBITDA, which includes adjustments for specific items that are generally not indicative of our core operations, and free cash flow described in this release, provide additional information that is useful to investors in understanding Vericel’s underlying performance, business and performance trends, and helps facilitate period-to-period comparisons and comparisons of its financial measures with other companies in Vericel’s industry. However, the non-GAAP financial measures that Vericel uses may differ from measures that other companies may use. Non-GAAP financial measures are not required to be uniformly applied, are not audited and should not be considered in isolation or as substitutes for results prepared in accordance with GAAP.

Investor Contact

Eric Burns [email protected] +1 (734) 418-4411

VERICEL CORPORATION

CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS (in thousands, except per share amounts - unaudited)

Three Months Ended March 31,

2026

2025

Product sales, net

$

68,425

$

52,598

Total revenue

68,425

52,598

Cost of product sales

19,159

16,325

Gross profit

49,266

36,273

Research and development

8,104

7,261

Selling, general and administrative

49,226

41,804

Total operating expenses

57,330

49,065

Loss from operations

(8,064

)

(12,792

)

Other income (expense):

Interest income

1,851

1,657

Interest expense

(160

)

(153

)

Other income

71

42

Total other income

1,762

1,546

Net loss

$

(6,302

)

$

(11,246

)

Net loss per common share:

Basic

$

(0.12

)

$

(0.23

)

Diluted

$

(0.12

)

$

(0.23

)

Weighted-average common shares outstanding:

Basic

50,773

49,905

Diluted

50,773

49,905

VERICEL CORPORATION

RECONCILIATION OF REPORTED NET LOSS (GAAP) TO ADJUSTED EBITDA (NON-GAAP MEASURE) (in thousands - unaudited)

Three Months Ended March 31,

2026

2025

Net loss

$

(6,302

)

$

(11,246

)

Stock-based compensation expense

11,294

11,505

Depreciation and amortization

3,267

2,686

Net interest income

(1,692

)

(1,504

)

Pre-occupancy lease expense and tech transfer

2,989

1,801

Adjusted EBITDA (Non-GAAP)

$

9,556

$

3,242

VERICEL CORPORATION

RECONCILIATION OF FREE CASH FLOW (NON-GAAP MEASURE) (in thousands - unaudited)

Three Months Ended March 31,

2026

2025

Net cash provided by operating activities

$

16,383

$

6,600

Capital expenditures

(1,257

)

(14,212

)

Free cash flow (Non-GAAP)

$

15,126

$

(7,612

)

Net cash used in investing activities

$

(4,201

)

$

(15,142

)

Net cash (used in) provided by financing activities

$

(2,979

)

$

3,198

VERICEL CORPORATION

CONDENSED CONSOLIDATED BALANCE SHEETS (in thousands - unaudited)

March 31,

December 31,

2026

2025

ASSETS

Current assets:

Cash and cash equivalents

$

109,295

$

100,092

Short-term investments

36,045

37,407

Accounts receivable (net of allowance for doubtful accounts of $13 and $13, respectively)

72,383

84,634

Inventory

18,351

17,560

Other current assets

7,990

7,744

Total current assets

244,064

247,437

Property and equipment, net

107,113

108,397

Intangible assets, net

5,469

5,625

Right-of-use assets

63,409

64,774

Long-term investments

65,284

61,395

Other long-term assets

288

341

Total assets

$

485,627

$

487,969

LIABILITIES AND SHAREHOLDERS’ EQUITY

Current liabilities:

Accounts payable

$

19,009

$

15,828

Accrued expenses

13,967

19,236

Current portion of operating lease liabilities

14,063

13,969

Other current liabilities

116

116

Total current liabilities

47,155

49,149

Operating lease liabilities

80,362

82,284

Other long-term liabilities

1,879

1,896

Total liabilities

129,396

133,329

Total shareholders’ equity

356,231

354,640

Total liabilities and shareholders’ equity

$

485,627

$

487,969