Company: MDXG
Filing Date: 2025-07-30
Form Type: 10-Q
Source: 0001376339-25-000085
Chunk: 3

Company: MIMEDX GROUP, INC.
Filing Date: 2025-07-30
Form: 10-Q
Item: Item 2
Chunk 3
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 %Selling, general and administrative$64,151 $55,401 $8,750 15.8 %

Sales and marketing expenses increased $6.1 million or 14.7%, year over year, which was driven by increases in commissions due to higher sales and higher effective commission rates. General and administrative expenses increased $2.6 million or 19.1%, year over year, which was driven by incremental spend from legal and regulatory disputes in the current period, including our ongoing litigation with a competitor and several former employees.

Research and Development Expense

Our research and development (“R&D”) expense for the three months ended June 30, 2025 was $3.3 million, compared to $3.0 million for the three months ended June 30, 2024, an increase of $0.3 million, or 9.7%. R&D spend in the quarter was driven by the ongoing enrollment of our EPIEFFECT randomized clinical trial along with ongoing investments in the development of future products in our pipeline.

Investigation, Restatement and Related Benefit

Investigation, restatement and related benefit was $9.7 million for the three months ended June 30, 2024. The benefit resulted from various settlements related to former officers and other related matters. Investigation, restatement and related costs ceased in 2024.

20

Amortization of Intangible Assets

Amortization expense related to intangible assets was $0.1 million for the three months ended June 30, 2025, compared to  $0.2 million for the three months ended June 30, 2024, a decrease of $0.1 million or 47.4%. The decrease is due to certain intangible assets being fully amortized.

Interest Income, Net

Interest income, net was $0.7 million for the three months ended June 30, 2025 compared to immaterial interest income for the three months ended June 30, 2024.  The increase was generally driven by increases in our cash balances, year over year.

Income Tax Provision

The effective tax rates for the Company were 26.1% and 24.1% for the three months ended June 30, 2025 and June 30, 2024, respectively. The effective tax rates in each period were favorably impacted by vestings of restricted stock, offset by deduction limitations on executive compensation.

Six Months Ended June 30, 2025 Compared