Harrow, Inc.

Good morning and welcome to HARO's first quarter 2026 earnings conference call. My name is Michelle and I will be your operator for today's call. At this time all participants are in a listen only mode. Later we will conduct a question and answer session. As a reminder this conference is being recorded. I would now like to turn the call over to to Mike Biaga, Vice President of Investor Relations and Communications for HARO. Please go ahead.

Thank you, operator. Good morning, and welcome to HARO's first quarter 2026 earnings conference call. My name is Mike Biaga, 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 factor section of the company's most recent annual report on Form 10-K and subsequent quarterly reports on Form 10-Q filed with the Securities and Exchange Commission. Harold's results may differ materially from those projected. Harold disclaims 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 L. Baum, Chief Executive Officer, Andrew Bull, President and Chief Financial Officer, Pat Sullivan, Chief Commercial Officer, and Amir Shojai, Chief Scientific Officer. With that, I would like to turn the call over to Mark.

Mark? Thank you, and good morning, everyone. As a growth-oriented business, the fuel for our success is and will always be demand. Without buyers seeing value in Harrow's products, ordering and reordering them wouldn't have a business. So demand is the key. And from that standpoint, the underlying fundamentals of Harrow have never been stronger. While the headline revenue number this quarter reflects a specific, isolated dynamic, let me be clear to my fellow stockholders. Our data demonstrates that demand for our key growth drivers is accelerating. Further, our market share capture is sustainable and will translate into profitable revenue growth. The $8 million revenue reduction in the first quarter was specifically tied to VIVI. As detailed in my letter to stockholders, the surge that we saw in demand from patients with high deductibles from this new band of commercial coverage that we were so excited about, it just outpaced our initial financial modeling assumptions. Andrew will discuss this in greater detail shortly. However, we identified this issue. We corrected it. And importantly, our fix to return to our net pricing assumptions has shown negligible impact. on the underlying new prescription VBI demand. That's the key. With the high deductible season largely behind us and new business rules in place, we expect to realize the full financial benefit of our expanded coverage moving forward, starting in the second quarter. I want to go back to demand, though, because a lack of demand in the face of a concerted commercial effort is nearly impossible to remedy. Across our portfolio and specifically with our key growth driver products, we do not have that problem. In fact, demand trends are strong, even for what is traditionally a weaker first quarter period due to standard industry seasonality. Moreover, you've probably seen on LinkedIn that we've hired more than 90 new sales professionals. So our promised commercial investments that is doubling our sales forces in dry eye and surgical and bolstering other teams are complete. We're now entering a period where the work we've been doing over the past several years is translating into meaningful, sustained growth and demand. And this will in turn convert to revenue. Across Vivi, IHESO, and TriEssence, our core growth drivers, We are seeing strong, durable demand trends that are at or above our internal expectations. And in our business, once again, operational issues, they can be fixed. A lack of demand cannot. Let me provide some additional color on a few key products. On Vivi, we are seeing record prescription growth, continued market share gains, and increasing prescriber adoption. The product has now reached a highly meaningful position in the market, having officially surpassed Zydra in total prescriptions as of the end of March, as we continue to close the gap with other category leaders. Crucially, this happened with half the number of reps we now have deployed. We are positioned to see this momentum accelerate, especially as we continue to successfully gain additional positive coverage changes, which we expect over the next 12 to 18 months. I'm especially pleased that more recently we are seeing higher daily new prescription highs and higher lows. Breaking demand trend lines for a chronic care product to the upside is a very good thing. IESO demand continues to build across both retina and in-office accounts. We're seeing record numbers of new accounts, and this trend has continued into the second quarter. We are still early in unlocking the full opportunity here, and as we move into the second half of the year with improved pricing, new packaging, and upcoming clinical data specific to IESO in retina procedures, we're positioning IESO for a step change in growth. Priescence is also demonstrating the kind of consistency that we expect. Even in what is typically a more challenging seasonal period for surgery, demand continued to grow sequentially with increasing adoption and strong reorder behavior. These are clear indicators that the product is gaining traction in clinical practice. Following my recent time in the field with several large new tri-essence accounts, it is clear to me that our expansion into the surgical inflammation market is bearing fruit and will be a part of our long-term revenue growth strategy. Our Access Plus cash pay business, which includes both our branded and compounded products, having successfully worked through prior inventory constraints, is also on track. We are currently increasing safety stock and expanding the Access Plus sales team, positioning this team to enter growth mode so we can deliver essential, affordable cash pay products that our customers rely on. As Pat will discuss shortly, these are the exact demand trends we look for across our portfolio. Growing demand signals, expanding account adoptions, and improving execution, leading to greater breadth and depth within those accounts. As I look at HARO today, I've never been more confident about where we are or where we're going. Simply put, the business is positioned beautifully for the balance of this year and has never been more valuable. A few more points on the second half setup, though. One, as I mentioned, we made targeted high-conviction investments to scale our commercial platform and unlock the full potential of our portfolio. We recruited top talent to HARO. That work is now complete. We've built the commercial infrastructure, expanded our reach, and attracted the exact kind of talent that wins in this industry. What that means is straightforward. We now have the engine in place to convert the demand that we're seeing into success and profitability performance. As we move forward, several factors support strong and sustainable growth. First, our core products operate in large, under-penetrated markets with significant runways ahead. These are not short cycle opportunities. These are durable growth platforms. Second, awareness is building. New account starts are accelerating. Breadths and depth within accounts are expanding. And these factors drive the value of our products within our customers practices in a highly meaningful way. Third, refill rates and reorder rates that are at or above our internal estimates support bullish demand metrics for our key products. And fourth, the most challenging part of the year is behind us. Some of you have heard one of my mantras. And that is that at HERO, we're not interested in mere activity. We celebrate economic accomplishment. We focus on economic accomplishment. And as we move through the balance of 2026, we expect to see accelerating momentum as our commercial investments fully translate into financial results or economic accomplishments. The non-recurring VBI revenue modeling dynamic does not change HARO's trajectory. If anything, it reinforces how powerful the underlying business is and what can come from VBI, especially as these new patients refill their prescriptions in a profitable way for our stockholders. We are executing, building momentum, and it is clearly showing in the demand data. Because of this, underlying demand is tracking in line with or above our expectations, and therefore, we're fully reaffirming our 2026 revenue guidance of between $350 million to $365 million for the full year. Furthermore, this accelerating commercial engine underpins our unified corporate initiative to achieve $250 million in quarterly revenue by the end of 2027. I will now turn the call over to Andrew Bohl, our President and Chief Financial Officer. Andrew?