AVITA Medical, Inc. (NASDAQ: RCEL)

This investigation is for anyone who acquired securities in AVITA Medical, Inc. (NASDAQ: RCEL) prior to August 7, 2025.

The Law Offices of Howard G. Smith believes that the Company and certain of its executives violated federal law. Specifically, the Law Offices of Howard G. Smith believes that the Company misled investors regarding its financial condition. More specifically, the Law Offices of Howard G. Smith believes that the Company misled investors by failing to timely disclose that the U.S. Government was failing to timely and/or adequately reimburse providers who used the Company’s wound care product, which resulted in the providers using less of the Company’s product.

On August 7, 2025, Avita released its second quarter 2025 financial results, revealing “a six-month backlog in unpaid provider claims for Recell procedures impacted first-half demand.” The Company explained that contractors assigned by the Centers for Medicare & Medicaid Services to determine pricing of the Company’s wound care product, Recell, “neither assigned a price or assigned an inadequate price and failed to adjudicate claims in a timely manner.” As a result, “claims accumulated from January through June, creating a significant backlog of unpaid claims and inadequately paid claims to providers for RECELL procedures. This lack of resolution created uncertainty among providers regarding payment expectations and timelines, which led to a reduction in RECELL utilization during the first half of the year.” On this news, the price of the Company’s stock dropped precipitously on unusually heavy trading volume.

The Law Offices of Howard G. Smith seeks to recover damages on behalf of class members. If you acquired securities in AVITA Medical, Inc. (NASDAQ: RCEL) prior to August 7, 2025 you may join the lawsuit by submitting your information online, or you may call the Law Offices of Howard G. Smith and speak to Mr. Smith directly to learn how he can protect your rights.