MediWound Ltd. reported third‑quarter 2025 results that included a $5.4 million revenue figure, a 23% year‑over‑year increase from $4.4 million in Q3 2024. The company’s net loss of $0.24 per share beat the consensus estimate of $-0.81, a margin improvement driven largely by disciplined cost management and a favorable mix of development‑service contracts that offset the decline in product‑sales revenue.
The earnings miss on revenue was largely attributable to a shortfall in product‑sales revenue, which fell 12% from the prior year, while development‑service revenue grew 18% thanks to new U.S. Department of Defense contracts. The company’s gross profit margin expanded to 16.5% from 15.5% in Q3 2024, reflecting higher contribution from the development‑service segment and effective pricing in that area.
Cash, cash equivalents and short‑term deposits rose to $60 million from $44 million at the end of 2024, bolstered by a $30 million registered direct offering and $3.5 million from Series A warrant exercises. The infusion strengthens the balance sheet and provides working capital for ongoing clinical development and the expansion of the NexoBrid manufacturing facility.
The expanded NexoBrid plant, now commissioned, is expected to reach full operational capacity by year‑end 2025. The facility will address current supply constraints and support the growing global demand for MediWound’s enzymatic burn debridement therapy. Meanwhile, enrollment in the VALUE Phase III trial of the chronic‑wound product EscharEx continues to progress, positioning the company for a potential market entry once regulatory approval is obtained.
CEO Ofer Gonen said the quarter “demonstrated our ability to execute a growth strategy while maintaining financial discipline.” He highlighted the completion of the manufacturing expansion as a key milestone and emphasized the company’s focus on advancing late‑stage pipeline programs to create long‑term shareholder value.
Market reaction to the earnings was muted, with investors focusing on the revenue miss despite the EPS beat. The negative sentiment reflects concerns about top‑line growth, while the company’s cash position and manufacturing expansion provide a foundation for future upside.
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