Company: MDXG
Filing Date: 2025-04-30
Form Type: DEF 14A
Source: 0001376339-25-000048
Chunk: 36

Company: MIMEDX GROUP, INC.
Filing Date: 2025-04-30
Form: DEF 14A
Chunk 36
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% in 2024 and was characterized by strong growth in our Wound products and continued adoption of our Surgical offering, particularly when adjusting for the impacts of AXIOFILL and our recently discontinued product for a single Dental customer.

To help set expectations with covering analysts and our investors, we routinely provide annual guidance for net sales and adjusted EBITDA. These communications, which we update quarterly, do not impact the financial targets that determine executive compensation, and are intended to be a periodic guideline for the investment community based upon developments in our business and in the marketplace over time. Our original guidance disclosed in February 2024 was that we expected net sales growth for 2024 in the low double-digits on a percentage basis and adjusted EBITDA margin for 2024 to be above 20%. As we reported quarterly results throughout the year, we modified our expectations for net sales growth as follows:

After Q1:24, we reaffirmed our net sales growth and adjusted EBITDA margin outlook for 2024. Following Q2:24, we lowered our 2024 net sales growth guidance to mid-to-high single-digit percentage revenue growth, due principally to the higher-than-normal employee and customer loss resulting from competitive and reimbursement factors. After Q3:24, we raised our 2024 net sales growth outlook to the upper single digits on a percentage basis, as our efforts to replace and stabilize the commercial organization coupled with solid execution by our Wound and Surgical franchises to drive the business. Finally, our fourth quarter results led to full year net sales growth of nearly 9%, in line with our prior guidance.

Additionally, our profitability and cash flow generation for 2024 remained strong as we were able to deliver a GAAP net income margin of 12%, $66 million of operating cash flow, an Adjusted EBITDA margin of 22% and full year free cash flow of $65 million.

Improved Balance Sheet & Debt Refinancing

In January 2024, the Company announced an enhanced capital structure through senior secured credit facilities totaling $95 million, comprised of a $75 million revolving credit facility and a $20 million term loan facility. The facilities were obtained through a syndicate of banks comprised of Citizens and Bank of America, N.A. At closing, the Company drew $50 million under the facilities, consisting of the $20 million term loan and $30 million in revolving loans, to pay in full all of the outstanding obligations owing under its existing credit facility with Hayfin Capital, which was set to mature