PolyNovo FY26 earnings: Revenue jumps, profit steady

PolyNovo posted double-digit revenue growth and positive profit for FY26, as manufacturing expansion and global reach supported its medtech ambitions.

| More on:

You’re reading a free article with opinions that may differ from The Motley Fool’s Premium Investing Services. Become a Motley Fool member today to get instant access to our top analyst recommendations, in-depth research, investing resources, and more. Learn More

The PolyNovo Ltd (ASX: PNV) share price is in focus after the company reported full-year revenue growth of 16.1% to $150 million and a positive net profit after tax of $7.3 million, marking another year of operational and financial progress.

A scientist examining test results.

Image source: Getty Images

What did PolyNovo report?

  • Total revenue rose 16.1% to $150.0 million
  • Commercial sales climbed 16.7% to $138.4 million (21.3% in constant currency)
  • EBITDA increased 8.1% to $12.1 million; underlying EBITDA was up 50.4% to $13.4 million
  • Positive NPAT of $7.3 million, impacted by one-off items
  • Operating cash flow was $23.1 million and free cash flow reached $9.4 million
  • Gross margin was 89.0%, down from 95.6% due to inventory changes

What else do investors need to know?

PolyNovo completed construction of its new manufacturing facility, with validation progressing ahead of the planned transition in FY27. Manufacturing output increased significantly in the second half, supporting greater efficiency and future growth capacity.

The company continued to expand clinical evidence for its NovoSorb® platform beyond burns, with key government-backed clinical trial milestones achieved. PolyNovo also advanced regulatory efforts, with PMA submission activities underway to unlock future reimbursement and market opportunities in the US.

What did PolyNovo management say?

Bruce Peatey, Chief Executive Officer of PolyNovo, said:

FY26 was a year of capability building and strategic alignment. We delivered strong commercial growth, expanded our manufacturing capacity, strengthened our balance sheet and continued to invest in the evidence, products and capabilities that will drive PolyNovo's next phase of growth. During FY26, we sharpened our strategic focus and aligned the business around three clear priorities: accelerating growth in our core wound care franchise, building the next growth engine for PolyNovo, and establishing the global operating structure required to scale efficiently and consistently. Importantly, we achieved this while generating strong cash flow, strengthening our balance sheet, and continuing to invest in the future of the NovoSorb platform.

What's next for PolyNovo?

Looking ahead, PolyNovo is focused on execution as it prepares for the next phase of growth. The company expects to ramp up production in its new facility and deliver further commercial expansion of NovoSorb® MTX into new indications and geographies.

Regulatory submissions, especially the planned PMA in the US, are set to play a key role in broadening reimbursement and adoption. A new dedicated business development function will seek out partnerships and licensing opportunities to extend the NovoSorb® platform, aiming to drive sustained growth.

PolyNovo share price snapshot

Over the past 12 months, PolyNovo shares have declined 16%, trailing the All Ordinaries Index (ASX: XAO), which has risen 1% over the same period.

View Original Announcement

Motley Fool contributor Laura Stewart has no position in any of the stocks mentioned. The Motley Fool Australia's parent company Motley Fool Holdings Inc. has positions in and has recommended PolyNovo. The Motley Fool Australia has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips. This article was prepared with the assistance of Large Language Model (LLM) tools for the initial summary of the company announcement. Any content assisted by AI is subject to our robust human-in-the-loop quality control framework, involving thorough review, substantial editing, and fact-checking by our experienced writers and editors holding appropriate credentials. The Motley Fool Australia stands behind the work of our editorial team and takes ultimate responsibility for the content published by The Motley Fool Australia.

More on Healthcare Shares

Medical workers examine an x-ray or scan in a hospital laboratory.
Broker Notes

Bell Potter says this ASX biotech could nearly double in value

The US market is starting to open up for this company.

Read more »

Two lab workers fist pump each other.
Healthcare Shares

Integral Diagnostics posts profit and dividend growth in FY26

Integral Diagnostics FY26 earnings show revenue and profit growth, higher dividend, and a positive outlook for investors.

Read more »

A scientist in a white coat and glasses puts her arms in the air in a sign of strength and success.
Broker Notes

This ASX small-cap healthcare stock is tipped to double in value

This company has a good base to build on.

Read more »

Two lab workers fist pump each other.
Healthcare Shares

Neuren share price in focus after DAYBU wins EU approval for Rett syndrome

Neuren shares are on watch after DAYBU (trofinetide) won European approval, unlocking commercial milestones and revenue opportunities.

Read more »

Teamwork, planning and meeting with doctors and laptop for medical, review and healthcare. Medicine, technology and internet with group of people for collaboration, diversity and support in hospital
Earnings Results

Nanosonics posts FY26 revenue growth and prepares to launch CORIS

Nanosonics FY26 earnings show steady revenue growth and set the stage for the CORIS commercial launch.

Read more »

Two lab workers fist pump each other.
Healthcare Shares

Special dividend: Is now the time to buy NIB shares for income?

NIB shares now offer a yield well over 4%.

Read more »

Three healthcare workers standing together and smiling.
Healthcare Shares

Regis Healthcare reports higher FY26 profits and dividend

Regis Healthcare delivered higher revenue, profit and dividends in FY26, with occupancy and acquisitions driving strong results.

Read more »

A bearded man holds both arms up diagonally and points with his index fingers to the sky with a thrilled look on his face.
Healthcare Shares

Could CSL shares really hit $200? Experts reveal their 12-month targets

Brokers warn CSL’s spectacular rebound doesn’t guarantee further gains.

Read more »