The All Ordinaries Index (ASX: XAO) is down 0.8% in morning trade, but don't blame this soaring ASX All Ords healthcare share.
The big gaining stock in question is Avita Medical Inc (ASX: AVH).
Shares in the therapeutic acute wound care company closed on Friday trading for $1.34. In earlier trade, shares leapt to $1.49 apiece, up 11.2%. At the time of writing, shares are swapping hands for $1.48 each, up 10.1%.
Here's what's stoking investor interest.
Image source: Getty Images
ASX All Ords healthcare share rockets on European greenlight
The Avita Medical share price is off to the races today after the company reported that it has received the CE mark under the European Union Medical Device Regulation (EU MDR) for RECELL GO.
That could provide a material revenue boost for the ASX All Ords healthcare share, with the company noting CE mark allows it to commercialise RECELL GO in Europe and in other markets that recognize the CE mark. RECELL GO builds on the RECELL System already in use across Europe.
If you're not familiar with RECELL GO, Avita explains that it's a point-of-care device used to prepare a suspension of a patient's own skin cells (Spray-On Skin Cells) from a small sample of healthy skin. The cells are then applied to promote healing in burns and wounds.
Commenting on the news sending the ASX All Ords healthcare share soaring today, Avita CEO Jim Corbett said:
CE mark for RECELL GO is an important milestone for Avita Medical and for patients. It enables us to bring this option to burn centres and clinicians in Europe to support their treatment of patients with acute wound injuries.
Avita said that with the CE mark secured, it will begin commercialisation of RECELL GO in select European countries in collaboration with burn centres and clinical partners. Those nations include Germany, Italy, and the United Kingdom.
Avita Medical share price snapshot
Today's big lift will come as welcome news to faithful Avita Medical shareholders, with shares still down 50% since this time last year.
The ASX All Ords healthcare share came under renewed selling pressure in August following a disappointing second-quarter update.
While showing improvement year on year, Avita still reported a net loss for the quarter of $9.9 million.
Commercial revenue of $18.4 million was up 21% from Q2 2024. But revenue fell short of analyst expectations of $22.5 million.
Corbet sounded a positive note, however. "The data tells the story: RECELL reduces hospital stays by 36%," he said at the time.
