AVITA Medical is a regenerative medicine company that is into developing and commercialising a technology platform for skin restoration for multiple unmet medical needs. Avita is also listed on the NASDAQ and they reported its financial results for the 2nd quarter of FY2021. Avita is a $3.8 billion market cap company that has had a torrid time during the pandemic, at least as far as the share price is concerned. The financial result for the second quarter that was reported has sent Avita Medical share price tumbling by over 12% due to a couple of concerns even though the firm reported an uptick in revenues. Revenues increased by 57% compared to the previous corresponding period and it now stands at $5.1 million. Operating expenses decreased by $3 million during the quarter and it is now $10.4 million. Avita also holds close to $60 million in cash on its balance sheet. The dip in share price is largely due to the firm now being confident enough to issue a full year guidance to the market. Avita Medical reported a net loss of $5.6 million during the quarter and the Covid 19 impact looks like it will have an extended impact on Avita Medical.
The AVITA Medical share price traded at A$6.160, down by 12.126% on 12 February 2021 (at AEDT 1:41 PM). This is probably one for investors to stay away from for the time being at least, however there are quite a few top ASX healthcare stocks that should catch the eye of investors looking for exposure to the sector.
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