TELA Bio (NASDAQ:TELA) Issues Quarterly Earnings Results

TELA Bio (NASDAQ:TELA) posted its quarterly earnings results on Monday. The company reported ($0.20) earnings per share (EPS) for the quarter, missing the consensus estimate of ($0.17) by ($0.03), FiscalAI reports. The company had revenue of $19.29 million during the quarter, compared to the consensus estimate of $20.01 million. TELA Bio had a negative net margin of 51.53% and a negative return on equity of 4,549.79%.

Here are the key takeaways from TELA Bio’s conference call:

• Negative Sentiment: Second-quarter revenue fell 4% year over year to $19.3 million, primarily due to a 23% decline in OviTex PRS unit volume. The company withdrew its full-year revenue guidance and said it plans to meaningfully reduce costs.
• Negative Sentiment: Sales representatives are taking longer than expected to reach productivity, with management now estimating a 9–12-month ramp. Hospital bundling and contracting practices continue to hinder OviTex adoption, while the company ended the quarter with $30.4 million in cash and seeks to extend its runway.
• Positive Sentiment: The core hernia business showed encouraging demand, with global OviTex unit volume up 12% year over year and OviTex revenue up 6.6%. Management plans to emphasize complex abdominal-wall procedures and larger products to offset pressure from the shift toward smaller robotic-repair units.
• Positive Sentiment: International revenue increased 26% and LIQUIFIX revenue rose 39% year over year. Management expects PRS recovery in the second half following the discontinuation of a dedicated-representative pilot, broader sales-force training, and re-engagement with key surgeons.
• Neutral Sentiment: Heather Getz became CEO and a director, succeeding founder Antony Koblish, and said her priorities include commercial execution, customer relationships, and a financial and operational transformation.

TELA Bio Price Performance

NASDAQ TELA opened at $0.79 on Wednesday. TELA Bio has a 1 year low of $0.50 and a 1 year high of $2.00. The company has a fifty day simple moving average of $0.80 and a 200 day simple moving average of $0.80. The company has a current ratio of 3.61, a quick ratio of 2.92 and a debt-to-equity ratio of 8.82. The company has a market cap of $35.37 million, a P/E ratio of -1.03 and a beta of 1.34.

Institutional Inflows and Outflows

Institutional investors and hedge funds have recently bought and sold shares of the company. Citadel Advisors LLC grew its position in shares of TELA Bio by 161.3% in the third quarter. Citadel Advisors LLC now owns 35,281 shares of the company’s stock valued at $53,000 after purchasing an additional 21,781 shares during the last quarter. Susquehanna International Group LLP increased its position in TELA Bio by 551.2% in the 3rd quarter. Susquehanna International Group LLP now owns 85,763 shares of the company’s stock worth $128,000 after buying an additional 72,594 shares during the period. Renaissance Technologies LLC lifted its holdings in shares of TELA Bio by 101.4% during the fourth quarter. Renaissance Technologies LLC now owns 128,700 shares of the company’s stock worth $152,000 after buying an additional 64,800 shares during the last quarter. Finally, XTX Topco Ltd bought a new position in TELA Bio during the fourth quarter worth $48,000. Institutional investors and hedge funds own 94.35% of the company’s stock.

Wall Street Analysts Forecast Growth

Separately, Weiss Ratings reissued a “sell (e+)” rating on shares of TELA Bio in a research note on Friday, July 17th. Three investment analysts have rated the stock with a Buy rating, one has assigned a Hold rating and one has given a Sell rating to the company’s stock. Based on data from MarketBeat, the stock has a consensus rating of “Hold” and a consensus target price of $2.20.

About TELA Bio

TELA Bio, Inc (NASDAQ: TELA) is a commercial‐stage medical technology company headquartered in Malvern, Pennsylvania. The company is focused on developing, manufacturing and commercializing regenerative medicine and advanced soft tissue repair solutions. By integrating proprietary biomaterials and processing technologies, TELA Bio aims to offer products that support the body’s natural healing processes in wound closure, hernia repair, reconstructive surgery and other surgical specialties.

The company’s product portfolio includes acellular dermal matrices, hemostatic agents and tissue scaffold systems.