Heron Therapeutics — Third Quarter 2026 Earnings Summary

Financial Performance:

• Total net revenue for the three months ended September 30, 2026, was $35.3 million, a 7.8% decrease from $38.2 million in the same period in 2025.
• Total net revenue for the nine months ended September 30, 2026, was $107.6 million, a 5.9% decrease from $114.3 million in the same period in 2025.
• Gross profit was $26.3 million for the three months ended September 30, 2026, compared to $26.3 million in 2025.
• Gross profit was $76.5 million for the nine months ended September 30, 2026, compared to $84.1 million in 2025.
• Net loss was $5.0 million ($0.03 per share) for the three months ended September 30, 2026, compared to a net loss of $17.5 million ($0.10 per share) in 2025.
• Net loss was $18.6 million ($0.10 per share) for the nine months ended September 30, 2026, compared to a net loss of $17.2 million ($0.11 per share) in 2025.
• Adjusted EBITDA was $3.7 million for the three months ended September 30, 2026, compared to $1.5 million in 2025.
• Adjusted EBITDA was $6.2 million for the nine months ended September 30, 2026, compared to $9.5 million in 2025.
• Cash, cash equivalents, and short-term investments totaled $23.4 million at the end of the third quarter 2026.
• Total liabilities were $225.5 million as of September 30, 2026, compared to $241.5 million as of December 31, 2025.
• Non-current notes payable were $91.6 million as of September 30, 2026, down from $107.9 million as of December 31, 2025.
• Non-current convertible notes payable were $34.4 million as of September 30, 2026, up from $32.7 million as of December 31, 2025.

Guidance and Future Outlook:

• The Company withdrew its full-year 2026 financial guidance in August 2026.
• The Company is not providing financial guidance at this time.

Business Segments and Product Lines:

• Acute Care franchise net revenue increased 22.5% year-over-year for the three months ended September 30, 2026, and 32.4% year-over-year for the nine months ended September 30, 2026.
• ZYNRELEF® net revenue was $10.6 million for the three months ended September 30, 2026 (up 13.8% from 2025) and $31.9 million for the nine months ended September 30, 2026.
• APONVIE® net revenue was $4.5 million for the three months ended September 30, 2026 (up 49.3% from 2025) and $12.2 million for the nine months ended September 30, 2026.
• Oncology Supportive Care franchise net revenue was $20.1 million for the three months ended September 30, 2026, a 22.2% decrease from 2025, and $63.5 million for the nine months ended September 30, 2026, a 21.6% decrease from 2025.
• CINVANTI® net revenue was $20.0 million for the three months ended September 30, 2026 (down 16.6% from 2025) and $62.3 million for the nine months ended September 30, 2026 (down 15.6% from 2025).
• Commercial sales of SUSTOL® ceased on September 30, 2026, with revenue dropping from $1.9 million in the prior year quarter to $0.2 million.

Market and Competitive Landscape:

• No specific market share or competitive landscape data was provided in the press release.

Risks and Challenges:

• The Company faces risks related to the proposed Asset Sale, including the need for stockholder approval and satisfaction of other closing conditions.
• Risks include the potential inability to continue as a going concern without additional funding.
• Risks include the potential inability to maintain listing requirements on the Nasdaq Capital Market.
• Risks include the potential need to write off additional inventory in the future.
• Risks include the outcome of pending patent litigations and potential appeals.
• Risks include the ability to comply with covenants in the Working Capital Facility Agreement pending the closing of the Asset Sale.

Management Commentary and Tone:

• The Company announced the entry into a definitive agreement for CorMedix Therapeutics to acquire substantially all of Heron's assets.
• The Company will not host a conference call or webcast in connection with its third quarter 2026 financial results.

Other Key Points:

• Heron Therapeutics entered into a definitive asset purchase agreement under which CorMedix Therapeutics will acquire substantially all of Heron's assets.
• The Asset Sale is subject to approval by Heron's stockholders and other customary closing conditions.
• The Company reported a loss on debt extinguishment of $11.3 million in the third quarter of 2025, with no such loss recorded in 2026.
• Stock-based compensation was $3.1 million for the three months ended September 30, 2026, and $9.2 million for the nine months ended September 30, 2026.
• Inventory reserve and write-offs were $0.5 million for the three months ended September 30, 2026, and $1.7 million for the nine months ended September 30, 2026.