Avita Medical falls 23% as chief commercial officer departs
Khanchit Khirisutchalual
Avita Medical (NASDAQ:RCEL) lost ~23% on Friday after the wound care company announced with Q1 2023 financials the resignation of its Chief Commercial Officer Erin Liberto from her position effective May 11.
Ms. Liberto left her job to accept a position with a privately held, non-competing business, Avita (RCEL) said, adding that Terry Bromley and Debbie Garner have been promoted to Senior Vice President of Global Sales and Senior Vice President of Global Marketing and Strategy, respectively.
Ms. Liberto’s resignation comes ahead of RCEL’s plans to launch its RECELL System for a soft tissue repair indication in July following a potential FDA approval next month.
In anticipation of the launch, Avita (RCEL) expects to broaden its field sales force to about 70 from 30 professionals during Q2 2023. The company also expects FDA approval for RECELL System for a vitiligo indication in June.
“….we believe we will be fully prepared for the commercial launch of the soft tissue repair indication following expected FDA approval in June,” chief executive Jim Corbett remarked.
As for financials, the company reported $10.6M in revenue for the quarter ahead of Street forecasts, and its earnings missed the consensus even as net loss contracted ~3% YoY to $9.2M, driven by ~8% YoY rise in gross profit margin.