Harrow, Inc.

Good day and welcome to the HARO fourth quarter 2025 earnings conference call. At this time, all participants are in listen-only mode. After the speaker's presentation, there will be a question and answer session. Please note that this call may be recorded. I would now like to turn the call over to Mike Biega, Vice President, Investor Relations and Communications. Please go ahead.

Good morning, and welcome to HARO's fourth quarter and full year 2025 earnings conference call. My name is Mike Biega, Vice President of Investor Relations and Communications, and I'm excited to be introducing today's call. The company's remarks may include forward-looking statements within the meaning of federal securities laws. Forward-looking statements are subject to numerous risks and uncertainties, many of which are beyond HARO's control, including risks and uncertainties described from time to time in its SEC filings, such as the risks and uncertainties related to the company's ability to make commercially available its FDA-approved products and compounded formulations and technologies and FDA approval of certain drug candidates in a timely manner or at all. For a list and description of those risks and uncertainties, please see the risk factors section of the company's most recent annual report on Form 10-K filed with the Securities and Exchange Commission. Errol's results may differ materially from those projected. Errol disclaimed any intention or obligation to update or revise any financial projections or forward-looking statements, whether because of new information, future events, or otherwise. This conference call contains time-sensitive information and is accurate only as of today. Joining me on today's call are Mark Baum, Chief Executive Officer, Andrew Bull, President and Chief Financial Officer, Patrick Sullivan, Chief Commercial Officer, and Amir Choudhary, Chief Scientific Officer. With that, I would like to turn the call over to Mark. Mark?

Good morning, and thank you for joining us. Over the past five years, HERO has undergone a fundamental transformation. Harold now owns one of the largest portfolios of prescription ophthalmic products in the United States market. And we have been the most prolific acquire or of ophthalmic pharmaceutical products in the U S market, having completed more than a half a dozen transactions, integrating over 15 branded products into our scalable commercial platform that reaches every populated County. within the United States and touches with impact nearly every key ophthalmic disease segment. As you'll note in my letter to stockholders, I am proud of the fact that during the last five years, hundreds of members of the Harrow family, including my incredible leadership team, drove real economic accomplishment and stockholder value creation, which resulted in a more than 700% appreciation in the Harrow stock price during this period. As a founder and a large HARO shareholder, I am proud of our track record and the returns we are providing to stockholders who have had the patience to let this team do its thing. But this team isn't done. And frankly, we've only just begun. I can't guarantee where our stock price will be five years from now. However, I can say with nearly absolute certainty that HARO will be a larger and more powerful enterprise, positively impacting the lives of millions of Americans, I resolutely believe that then we will be selling more of every one of our key products like Vivi, iESO, and TriEssence. But I predict we will also sell many more units of other products that many stockholders haven't thought too much about. I also predict that we will complete compelling new acquisitions of products and or businesses structured to appropriately balance risk and potential reward. And finally, I can say confidently that one or two product candidates from our recent melt pharmaceuticals acquisition, specifically what we are now calling g melt. And yo chill will be approved for marketing and that if they are coded and reimbursed in the way that we expect they will make massive improvements to the standard of care and ocular surgery. and more generally in the lives of so many Americans in need of an alternative to IV and opioid-based medicaments for sedation and anxiety. It's a very large market. And of course, these assets, as I reflected in my letter to stockholders, should in due course become our largest revenue products. My bet is that if we do all of that and maybe even a little bit more, patient stockholders should be handsomely rewarded. I invite you to join me for the ride because our best days are absolutely ahead of us. Now, let me provide a bit of color on our business as things stand today. We are entering the final phase of our current five-year plan. And we are doing so with momentum. The portfolio we've assembled, the pipeline we've advanced, and the commercial infrastructure we've built were designed for scale. This is not a single product company or a single product story. We are meaningfully diversified. And our commercial platform is built for durability, operating leverage, and sustained growth. Today, Harrow operates as one Harrow, one strategy, one commercial engine, one unified organization. We have constructed a diversified ophthalmic franchise focused on expanding patient access, improving affordability, and delivering strong clinical outcomes. In the fourth quarter of 2025, we saw clear validation of that strategy. For the first time, all of our core growth drivers accelerated simultaneously. That alignment reinforces our confidence and supports our goal of exceeding $250 million in quarterly revenue by the end of 2027. Financially, 2025 was a strong year. We delivered great top line growth and demonstrated operating leverage, underscoring the earnings power embedded in our model as revenue scales. Let me briefly highlight Vivi is positioned for revenue acceleration and increasing new prescription velocity expanded payer coverage is now in effect. So we are doubling the vivi salesforce to ensure that we fully capture the opportunity to build a product with peak sales potential of multiples of last year's numbers. More sales professionals will equal more prescriptions, and this should correlate to increasing profitable revenue growth. Our data backs this up. With covered patients averaging approximately nine refills annually, effectively a full year of therapy, this reinforces the durability of the demand for Vivi. As access continues to expand and commercial intensity increases, we expect total prescription growth to continue this year and for many years to come as Vivi finally becomes a nine-figure revenue product this year. IHESO delivered a record quarter driven by real traction in a growing number of retina specialists' offices. We have broadened our addressable market by focusing on in office procedures effectively increasing our procedure volume tam by more than two and a half million units annually. We're also expecting IESO price improvements to begin in the second half of this year as we release a new retina-focused packaging format. At around the same time, we expect retina-specific data readouts from studies underway to show, from a patient's perspective, the difference between IESO and legacy anesthesia modalities. This is only going to help us, we believe. We've got to see what the data says. These 2026 activities should further enhance financial performance, and with multiple growth levers now in place, IHESO represents a durable and critical part of our long-term strategy. Triessence generated its strongest quarter since relaunch, reflecting accelerating adoption in the very large ocular inflammation market. Based on what I am seeing this quarter with new account trials starting in numerous potentially very large accounts and growing confidence and market access. I have asked our talent team to at least double The dedicated triessence sales force to deepen penetration in what remains a very large market. Momentum here is early, but it looks meaningful. And because of the origin of the revenue, it is likely highly sustainable. It's not easy to get a product like triessence added to a surgical treatment protocol. But once you do, and I have seen this happen many times over the years, if the product delivers exceptional outcomes, as triessence appears to be doing, then surgeons are often reticent to change. This is what I mean by the sustainability of the triessence momentum. On a related topic, for years, I've spoken about tracking the migration of elite sales representatives. This is nearly a surefire leading indicator of future success. You see, sales reps go where they can win, where they can make money and provide for themselves and their families. Well, the word is getting out. The tri-essence is on the move. These elite reps from around the country are hearing about our commitment to this product, and they know that They will also be selling the Gmail to if they can make it onto our team. A lot of folks want to get in on the Gmail, believe me. So we are seeing a mushrooming inbound interest from some of the most prolific ocular surgery pharmaceutical representatives who want to take these coveted surgical positions at Harrow on the tri essence team. This is really good news now. On to our rare specialty and compounded products. Behind the scenes, believe it or not, we've been planning a few positive surprises for our stockholders from the part of our portfolio they would probably least expect. Yes, our rare specialty and compounded products. This portfolio is now under new sales leadership. and it will benefit from new resources we are providing to finally wring out the value we expect from this exciting and unique group of products. As I discuss more in my letter to stockholders, there are three products from within this portfolio that our team has been quietly doing great work on. One product is awaiting a coding decision from CMS, which we expect in April. There are no guarantees, but if this comes through next month, it will open up a very nice, attractive market for this product. Regarding another product in this portfolio, we have a key study underway that we expect to read out later this year. Our entire team is super excited about this opportunity. This is a big one. And based on what we know about this product, we expect the study to be able to highlight the opportunity that we have uncovered. And once the data is announced, it should fuel opening up, as I said, a very sizable and compelling market for this product. In fact, we are also simultaneously working out supply chain issues to ensure that if things work out the way we expect, that we'll be able to supply the market adequately, given the historically lower volumes that this product has required. And there is a third product that we expect to be revived from this portfolio to also fill yet another nice but happens to be a smaller market opportunity, but a good one nevertheless. The bottom line is that I believe our stockholders may be positively surprised throughout the year and in the next year as our plans for this portfolio are revealed. A few final points. In 2026, we will also launch two important products by Clovey and BioViz, further expanding our retina and specialty footprint and leveraging our commercial platform. Beyond commercialization, our pipeline continues to advance, and Amir will shortly speak about the great work he and his team are doing. In summary, HARO is a diversified ophthalmic platform with multiple accelerating growth drivers and increasing operating leverage. We have demonstrated the ability to build, integrate, and grow and generate a heck of a great return for our patient stockholders. as our five-year track record demonstrates. But as I said at the outset, I really believe that we are still in the early innings of our growth and stockholder value creation story. With that said, I will turn it over to Andrew.