Harrow Announces First Quarter 2026 Financial Results
Rhea-AI Summary
Harrow (Nasdaq:HROW) reported first quarter 2026 revenue of $44.2 million, reduced by an approximate $8 million non-recurring VEVYE gross-to-net adjustment. VEVYE prescriptions hit records and surpassed XIIDRA with about 14% dry eye market share.
Unit demand for IHEEZO rose 18% year-over-year, and TRIESENCE demand increased 136%. Net loss was $27.6 million, or $0.74 per share. Full-year 2026 revenue guidance of $350–$365 million and second-quarter revenue outlook of $71–$81 million were reiterated. Cash and cash equivalents totaled $94.6 million as of March 31, 2026.
AI-generated analysis. Not financial advice.
Positive
- VEVYE prescriptions surpassed XIIDRA monthly TRx with ~14% dry eye share
- VEVYE Tier 1 prescription growth ~170% sequential; NRx +25%, TRx +11% QoQ
- IHEEZO unit demand +18% year-over-year; March 2026 +34% vs prior year
- TRIESENCE unit demand +136% year-over-year; 195 new ordering accounts
- Q2 2026 revenue expected between $71 million and $81 million
- Full-year 2026 revenue guidance reaffirmed at $350–$365 million
- Cash and cash equivalents of $94.6 million as of March 31, 2026
Negative
- Q1 2026 total revenue $44.2 million vs $47.8 million in Q1 2025
- Q1 2026 gross margin 61% vs 68% in Q1 2025
- Q1 2026 net loss $27.6 million vs $17.8 million in Q1 2025
- Q1 2026 adjusted EBITDA loss $12.7 million vs $2.0 million loss in 2025
- Approximate $8 million non-recurring VEVYE gross-to-net revenue reduction
News Market Reaction – HROW
On the day this news was published, HROW declined 23.69%, reflecting a significant negative market reaction. Argus tracked a trough of -27.5% from its starting point during tracking. Our momentum scanner triggered 75 alerts that day, indicating high trading interest and price volatility. This price movement removed approximately $461M from the company's valuation, bringing the market cap to $1.48B at that time. Trading volume was exceptionally heavy at 9.0x the daily average, suggesting significant selling pressure.
Data tracked by StockTitan Argus on the day of publication.
Key Figures
Market Reality Check
Peers on Argus
HROW was down 2.1% pre-release while peers were mixed: AMPH +2.29%, BGM +4.6%, PAHC -6.02%, BCRX -4.07%, AVDL flat, pointing to stock-specific factors.
Previous Earnings Reports
| Date | Event | Sentiment | Move | Catalyst |
|---|---|---|---|---|
| Mar 02 | Q4/FY 2025 results | Positive | -28.0% | Reported record Q4 and 2025 revenue with strong Adjusted EBITDA and 2026 guidance. |
| Nov 10 | Q3 2025 results | Positive | +13.5% | Q3 2025 revenues rose 45% YoY with positive GAAP net income and EBITDA. |
| Aug 11 | Q2 2025 results | Positive | +3.2% | Q2 2025 revenues up 30% YoY with GAAP profit and strong VEVYE growth. |
| May 08 | Q1 2025 results | Positive | +3.4% | Q1 2025 revenues grew 38% with strong VEVYE momentum despite GAAP loss. |
| Mar 27 | Q4/FY 2024 results | Positive | -6.0% | Reported record Q4 and 2024 revenues with strong Adjusted EBITDA and growth outlook. |
Earnings releases have generally highlighted strong growth, but share reactions have been volatile, with an average move of -2.76% and both sharp rallies and selloffs.
Recent earnings history for Harrow shows rapid revenue growth and expanding product momentum. Q4 2025 delivered record revenue of $89.1M, with full-year 2025 revenue of $272.3M and $61.9M in Adjusted EBITDA. Earlier quarters in 2025 also reported strong double-digit growth and rising profitability. The current Q1 2026 update, which reaffirms $350M–$365M revenue guidance, follows this trajectory of topline expansion despite periodic GAAP losses.
Historical Comparison
Across the last 5 earnings releases, HROW’s average 1-day move was -2.76%, showing that even strong financial updates often met with choppy trading.
Earnings updates show a progression from strong 2024 growth into higher 2025 revenues, rising EBITDA, and reiterated 2026 guidance in the $350M–$365M range.
Market Pulse Summary
The stock dropped -23.7% in the session following this news. A negative reaction despite reiterated 2026 revenue guidance would fit a history where earnings days averaged a -2.76% move and sometimes sold off on otherwise strong updates. The wider Q1 net loss and lower gross margin versus prior periods could reinforce caution, and past volatility around results suggests that sentiment has shifted quickly after earlier earnings releases.
Key Terms
adjusted EBITDA financial
non-GAAP financial
gross-to-net financial
ophthalmic medical
retina medical
GAAP financial
AI-generated analysis. Not financial advice.
First Quarter 2026 and Selected Highlights:
- VEVYE® delivered record new and total prescription performance (despite an approximate
18% decline in the overall branded dry eye category) - VEVYE demand growth on track to deliver 2026 revenue of over
$100 million - Quarterly revenue of
$44.2 million , including a non-recurring gross-to-net revenue adjustment connected to new VEVYE commercial coverage, which lowered Q1 revenue by approximately$8 million - IHEEZO® unit demand increased
18% year-over-year, with82% of units from retina accounts - TRIESENCE® unit demand more than doubled year-over-year, the sixth consecutive quarter of growth
- Second Quarter revenue expected between
$71 million and$81 million - Full-year 2026 revenue guidance reaffirmed at
$350 million to$365 million - Cash and cash equivalents of
$94.6 million as of March 31, 2026
A Media Snippet accompanying this announcement is available by clicking on this link.
NASHVILLE, Tenn., May 11, 2026 (GLOBE NEWSWIRE) -- Harrow (Nasdaq: HROW), a leading provider of ophthalmic disease management solutions in North America, announced results for the first quarter ended March 31, 2026. The Company also posted its first-quarter Letter to Stockholders and corporate presentation to the “Investors” section of its website at harrow.com. The Company encourages Harrow stockholders to review these documents, which provide additional details concerning the historical results and future expectations for the business.
“The demand for Harrow’s key products has never been stronger, and our visibility into our demand trajectory – across our portfolio – keeps us entirely on track to reach our forecasted financial goals for the year,” said Mark L. Baum, Chief Executive Officer of Harrow. “Although our first-quarter reported revenue reflects an estimated
Baum continued, “Prior to the quarter, we established business rules with specific assumptions regarding these new VEVYE commercial patients. As the period unfolded, the surge in demand among patients with high-deductible plans significantly outpaced our initial models. This created temporary gross-to-net pressure, which was resolved through business rules adjustments. With these rules now in place, we are now positioned to realize the expected financial benefit of our expanded commercial access, and we are already seeing highly encouraging net pricing indicators early in the second quarter.”
“Our core commercial engine is accelerating. VEVYE delivered record prescription performance and has officially surpassed XIIDRA on a monthly total prescription basis. Across our key growth drivers - VEVYE, IHEEZO, and TRIESENCE - we are seeing robust prescriber adoption, expanding market share, and durable momentum. With our expanded commercial organization now fully deployed, we remain highly confident in our ability to deliver on our 2026 revenue guidance of
Key First Quarter Demand Indicators:
VEVYE:
- Prescription growth of approximately
170% sequentially within our new national pharmacy benefit manager’s Tier 1 accounts - Record quarterly prescription performance, with NRx up
25% and TRx up11% quarter-over-quarter, despite a decline in the overall branded dry eye market - Surpassed XIIDRA on a monthly TRx basis, achieving approximately
14% market share as of the end of March 2026
IHEEZO:
- Unit demand increased
18% year-over-year, with March 2026 up34% versus the prior-year period - Retina accounts represented approximately
82% of total volume, reflecting continued strength in the core market - Ordering accounts continued to expand, driven by growing adoption across both retina and in-office procedural settings
TRIESENCE:
- Unit demand more than doubled year-over-year, increasing
136% versus the prior-year period - Sixth consecutive quarter of growth, supported by continued expansion of the customer base, including 195 new accounts in the quarter, representing approximately
28% of total ordering accounts
First Quarter 2026 Financial Results:
| For the Three Months Ended March 31, | |||||||
| 2026 | 2025 | ||||||
| Total revenues | $ | 44,203,000 | $ | 47,831,000 | |||
| Gross margin | 61 | % | 68 | % | |||
| Net loss | (27,602,000 | ) | (17,780,000 | ) | |||
| Adjusted EBITDA(1) | (12,659,000 | ) | (1,985,000 | ) | |||
| Net loss per share, basic and diluted | (0.74 | ) | (0.50 | ) | |||
(1) Adjusted EBITDA is a non-GAAP measure. For additional information, including a reconciliation of Adjusted EBITDA to the most directly comparable measure presented in accordance with GAAP, see the explanation of non-GAAP measures and reconciliation tables at the end of this release.
Conference Call and Webcast
Harrow will host a conference call to discuss the results at 8:00 a.m. ET on Tuesday, May 12, 2026. Participants can access the live webcast of Harrow’s presentation on the “Investors” page of Harrow’s website. A replay of the webcast will be available on the Company’s website for one year.
To participate via telephone, please register in advance using this link. Upon registration, all telephone participants will receive a confirmation email with detailed instructions, including a unique dial-in number and PIN, to access the call.
About Harrow
Harrow, Inc. (Nasdaq: HROW) is a leading provider of ophthalmic disease management solutions in North America, offering a comprehensive portfolio of products that address conditions affecting both the front and back of the eye, such as dry eye disease, wet (or neovascular) age-related macular degeneration, cataracts, refractive errors, glaucoma, and a range of other ocular surface conditions and retina diseases. Harrow was founded with a commitment to deliver safe, effective, accessible, and affordable medications that enhance patient compliance and improve clinical outcomes. For more information about Harrow, please visit harrow.com and connect with us on LinkedIn.
Forward-Looking Statements
This press release contains “forward-looking statements” within the meaning of the U.S. Private Securities Litigation Reform Act of 1995. Any statements in this release that are not historical facts may be considered such “forward--looking statements.” Forward-looking statements are based on management's current expectations and are subject to risks and uncertainties which may cause results to differ materially and adversely from the statements contained herein. Some of the potential risks and uncertainties that could cause actual results to differ from those predicted include, among others, risks related to: liquidity or results of operations; our ability to successfully implement our business plan, develop and commercialize our products, product candidates and proprietary formulations in a timely manner or at all, identify and acquire additional products, manage our pharmacy operations, service our debt, obtain financing necessary to operate our business, recruit and retain qualified personnel, manage any growth we may experience and successfully realize the benefits of our previous acquisitions and any other acquisitions and collaborative arrangements we may pursue; competition from pharmaceutical companies, outsourcing facilities and pharmacies; general economic and business conditions, including inflation and supply chain challenges; regulatory and legal risks and uncertainties related to our pharmacy operations and the pharmacy and pharmaceutical business in general, including the ongoing communications with the U.S. Food and Drug Administration relating to compliance and quality plans at our outsourcing facility in New Jersey; physician interest in and market acceptance of our current and any future formulations and compounding pharmacies generally. These and additional risks and uncertainties are more fully described in Harrow’s filings with the Securities and Exchange Commission (SEC), including its Annual Report on Form 10-K for the year ended December 31, 2025, and other filings with the SEC. Such documents may be read free of charge on the SEC's web site at sec.gov. Undue reliance should not be placed on forward-looking- statements, which speak only as of the date they are made. Except as required by law, Harrow undertakes no obligation to update any forward-looking- statements to reflect new information, events, or circumstances after the date they are made, or to reflect the occurrence of unanticipated events.
Contact:
Mike Biega, VP of Investor Relations and Communications
mbiega@harrowinc.com
617-913-8890
| HARROW, INC. CONDENSED CONSOLIDATED BALANCE SHEETS | |||||
| March 31, 2026 | December 31, 2025 | ||||
| ASSETS | |||||
| Cash and cash equivalents | $ | 94,644,000 | $ | 72,927,000 | |
| All other current assets | 131,740,000 | 138,823,000 | |||
| Total current assets | 226,384,000 | 211,750,000 | |||
| All other assets | 193,159,000 | 187,732,000 | |||
| TOTAL ASSETS | $ | 419,543,000 | $ | 399,482,000 | |
| LIABILITIES AND STOCKHOLDERS’ EQUITY | |||||
| Current liabilities | $ | 91,439,000 | $ | 96,302,000 | |
| Loans payable, net of unamortized debt discount | 292,087,000 | 243,184,000 | |||
| All other liabilities | 7,666,000 | 7,905,000 | |||
| TOTAL LIABILITIES | 391,192,000 | 347,391,000 | |||
| TOTAL STOCKHOLDERS' EQUITY | 28,351,000 | 52,091,000 | |||
| TOTAL LIABILITIES AND STOCKHOLDERS' EQUITY | $ | 419,543,000 | $ | 399,482,000 | |
| HARROW, INC. | |||||||
| UNAUDITED CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS | |||||||
| For the Three Months Ended March 31, | |||||||
| 2026 | 2025 | ||||||
| Total revenues | $ | 44,203,000 | $ | 47,831,000 | |||
| Cost of sales | (17,158,000 | ) | (15,524,000 | ) | |||
| Gross profit | 27,045,000 | 32,307,000 | |||||
| Selling, general and administrative | 43,230,000 | 40,513,000 | |||||
| Research and development | 5,895,000 | 3,026,000 | |||||
| Total operating expenses | 49,125,000 | 43,539,000 | |||||
| Loss from operations | (22,080,000 | ) | (11,232,000 | ) | |||
| Interest expense, net | (5,497,000 | ) | (6,548,000 | ) | |||
| Income tax expense | (25,000 | ) | - | ||||
| Net loss | $ | (27,602,000 | ) | $ | (17,780,000 | ) | |
| Net loss per share: | |||||||
| Basic and diluted | $ | (0.74 | ) | $ | (0.50 | ) | |
| HARROW, INC. CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS | |||||||
| For the Three Months Ended March 31, | |||||||
| 2026 | 2025 | ||||||
| Net cash provided by (used in): | |||||||
| Operating activities | $ | (8,992,000 | ) | $ | 19,668,000 | ||
| Investing activities | (18,203,000 | ) | (212,000 | ) | |||
| Financing activities | 48,912,000 | 23,000 | |||||
| Net change in cash and cash equivalents | 21,717,000 | 19,479,000 | |||||
| Cash and cash equivalents at beginning of the period | 72,927,000 | 47,247,000 | |||||
| Cash and cash equivalents at end of the period | $ | 94,644,000 | $ | 66,726,000 | |||
Non-GAAP Financial Measures
In addition to the Company’s results of operations determined in accordance with U.S. generally accepted accounting principles (GAAP), which are presented and discussed above, management also utilizes Adjusted EBITDA, an unaudited financial measure that is not calculated in accordance with GAAP, to evaluate the Company’s financial results and performance and to plan and forecast future periods. Adjusted EBITDA is considered a “non-GAAP” financial measure within the meaning of Regulation G promulgated by the SEC. Management believes that this non-GAAP financial measure reflects an additional way of viewing aspects of the Company’s operations that, when viewed with GAAP results, provides a more complete understanding of the Company’s results of operations and the factors and trends affecting its business. Management believes Adjusted EBITDA provides meaningful supplemental information regarding the Company’s performance because (i) it allows for greater transparency with respect to key metrics used by management in its financial and operational decision-making; (ii) it excludes the impact of non-cash or, when specified, non-recurring items that are not directly attributable to the Company’s core operating performance and that may obscure trends in the Company’s core operating performance; and (iii) it is used by institutional investors and the analyst community to help analyze the Company’s results. However, Adjusted EBITDA, and any other non-GAAP financial measures should be considered as a supplement to, and not as a substitute for, or superior to, the corresponding measures calculated in accordance with GAAP. Further, non-GAAP financial measures used by the Company and the way they are calculated may differ from the non-GAAP financial measures or the calculations of the same non-GAAP financial measures used by other companies, including the Company’s competitors.
Adjusted EBITDA
The Company defines Adjusted EBITDA as net income (loss), excluding the effects of stock-based compensation and expenses, impairment of intangible assets, interest, taxes, depreciation, amortization, investment loss, net, and, if any and when specified, other non-recurring income or expense items. Management believes that the most directly comparable GAAP financial measure to Adjusted EBITDA is net income (loss). Adjusted EBITDA has limitations and should not be considered as an alternative to gross profit or net income (loss) as a measure of operating performance or to net cash provided by (used in) operating, investing, or financing activities as a measure of ability to meet cash needs.
The following is a reconciliation of Adjusted EBITDA, a non-GAAP measure, to the most comparable GAAP measure, net income (loss), for the three months ended March 31, 2026 and for the same period in 2025:
| HARROW, INC. | |||||||
| RECONCILIATION OF NET LOSS TO ADJUSTED EBITDA | |||||||
| For the Three Months Ended March 31, | |||||||
| 2026 | 2025 | ||||||
| GAAP net loss | $ | (27,602,000 | ) | $ | (17,780,000 | ) | |
| Stock-based compensation and expenses | 3,837,000 | 4,556,000 | |||||
| Interest expense, net | 5,497,000 | 6,548,000 | |||||
| Income tax expense | 25,000 | - | |||||
| Depreciation | 455,000 | 465,000 | |||||
| Amortization of intangible assets | 5,129,000 | 4,226,000 | |||||
| Adjusted EBITDA | $ | (12,659,000 | ) | $ | (1,985,000 | ) | |
