Heron Therapeutics, Inc.

Good day and thank you for standing by. Welcome to the Here on Therapeutics second quarter 2026 earnings conference call. At this time, all participants are on a listen-only mode. After the speaker's presentation, there will be a question and answer session. To ask a question during the session, you need to press star 1-1 on your telephone. You will then hear an automated message advising your hand is raised. To withdraw your question, please press star 1-1 again. Please be advised today's conference is being recorded. I would now like to turn the conference over to your speaker today. Melissa Jarel, please go ahead.

Thank you, operator, and good morning, everyone. Thank you for joining us on the Heron Therapeutics conference call today to discuss the company's financial results for the second quarter of 2026. With me today from Heron are Craig Collard, Chief Executive Officer, Ira Duarte, Executive Vice President, Chief Financial Officer, Bill Forbes, Executive Vice President, Chief Development Officer, Mark Hensley, Chief Operating Officer, and Kevin Warner, Senior Vice President, Medical Affairs, Strategy and Engagement. For those of you participating via conference call, slides are made available via webcast and can also be accessed via the investor relations page of our website following the conclusion of today's call. Before we begin, let me quickly remind you that during the course of this conference call, the company will make forward looking statements. We caution you that any statement that is not a statement of historical fact is a forward looking statement. This includes remarks about the company's projections, expectations, plans, and future performance, all of which constitute forward-looking statements for the purposes of the Safe Harbor Provision under the Private Securities Litigation Reform Act of 1995. These statements are based on judgment and analysis as of the date of this conference call and are subject to numerous important risks and uncertainties that could cause actual results to differ materially from those described in the forward-looking statements. The risks and uncertainties associated with the forward-looking statements made in this conference call and webcast are described in a safe harbor statement in today's press release and in Heron's public periodic filings with the SEC. Except as required by law, Heron assumes no obligation to update these forward-looking statements to reflect future events or actual outcomes and does not intend to do so. And with that, I would now like to turn the call over to Craig Collard, Chief Executive Officer of Heron.

Thanks, Melissa. Hello, everyone, and welcome to Heron Therapeutics' second quarter 2026 earnings call. Net revenue for the quarter was $37.7 million. That is growth from the first quarter, but it is below what we expected of ourselves. Sinfondi sales were up compared to Q1 in a highly competitive market, and Zenderlev grew 35% year-over-year, but both were slower than we anticipated. Turning to slide four, let me walk through the key updates from the quarter. The acute care franchise delivered revenue growth of 44% year-over-year. Zimaleff grew 35% with average daily units growing 19% year-over-year. Aponvy grew 74% year-over-year and reached 23% share of the surgical NK1 segment, up two points from the first quarter. And Sinvanti came in at $21.8 million, up from $20.5 million in the first quarter. Mark will add more color in a moment to the commercial performance. Beyond the commercial results, what I want to spend the rest of my time on today is what we have done about the quarter and how we are proceeding moving forward. First, we reset the balance sheet. As we disclosed today, we amended our credit facility with Hercules. When the June decision from the U.S. District Court for the District of Delaware regarding certain patents covering Sinvanti changed the outlook for the company, we went to our lender. The amendment resets our covenants through 2027 to match our new plan and reduces our principal. The terms are in the filing. Second, we tighten our spending. After the June court decision, we paused the Salesforce expansion we had planned for the second half of this year, and we are holding spending tightly while the competitive picture clarifies. Our spending decisions follow what the business demonstrates, not a plan that events have overtaken. Third, we are defending our oncology franchise. We have filed our appeal based on the June decision. The generic is not launched, but we are preparing for potential generic competition to Cervante. We have a defense strategy built around the clinical profile of the product, our customer relationships, and our contracting position, and we are executing it now before we needed it. Last, we are considering strategic alternatives as we continue to execute our current plan. The company has not set a timetable for this process. There can be no assurances that it will result in any transaction, and the company does not intend to comment further on such matters unless and until it determines that additional disclosure is appropriate or required by law. Before I turn things over to Mark, I want to recognize the entire Herron team. This has been a demanding stretch, a hard quarter, a court decision we disagree with, and a lot of change, and this team has stayed focused on patients and customers through all of it. I will now turn the call over to Mark to cover our commercial performance. Go ahead, Mark.