Harrow Health, Inc. operates as a healthcare enterprise with a specialized focus on ophthalmic solutions. The company's portfolio includes ImprimisRx, a business ...
Harrow, Inc. is a publicly traded ophthalmic healthcare company listed on the Nasdaq Global Market under the symbol HROW. The company is headquartered in Nashville, Tennessee, and is led by founder, Chairman, and Chief Executive Officer Mark L. Baum. Harrow describes its mission as delivering safe, effective, accessible, and affordable ...Harrow, Inc. is a publicly traded ophthalmic healthcare company listed on the Nasdaq Global Market under the symbol HROW. The company is headquartered in Nashville, Tennessee, and is led by founder, Chairman, and Chief Executive Officer Mark L. Baum. Harrow describes its mission as delivering safe, effective, accessible, and affordable ophthalmic medications that improve patient compliance, clinical efficiency, and vision-related outcomes. The company was founded in December 2011 according to its corporate materials, while its predecessor corporate entity was incorporated in 2006. It previously operated as Imprimis Pharmaceuticals and changed its name to Harrow Health in December 2018; its current commercial branding is Harrow.
Harrow's core business is focused on ophthalmic disease management and products used by ophthalmologists, optometrists, surgeons, hospitals, ambulatory surgery centers, and other healthcare providers. Its portfolio has included VEVYE, a cyclosporine ophthalmic solution designed for the treatment of dry eye disease; IHEEZO, an ophthalmic anesthetic used in certain eye-care procedures; and DEXYCU, an extended-release intraocular suspension intended to manage inflammation following ocular surgery. The company also operates ImprimisRx, an ophthalmology-focused compounding and pharmaceutical outsourcing business. ImprimisRx provides customized and commercially available ophthalmic formulations that can support physicians when standard manufactured products may not meet particular clinical or patient needs.
In addition to directly commercialized products and services, Harrow has pursued a portfolio strategy involving equity investments and royalty interests. These interests have included Surface Ophthalmics, a clinical-stage company developing treatments for ocular surface diseases; Melt Pharmaceuticals, which develops non-intravenous sedation and anesthesia products for hospital, outpatient, and office-based procedures; and Eton Pharmaceuticals, a commercial-stage pharmaceutical company. Such investments and royalties can provide Harrow with potential future value beyond its operating ophthalmic business, although they may also introduce development, regulatory, commercialization, and financing risk.
The supplied data reports approximately 373 full-time employees, placing Harrow in the 201-500 employee category. Financially, the company has a specialized pharmaceutical revenue model with reported trailing-twelve-month gross margin of approximately 74.1%, indicating a high-margin product mix, while its reported net margin remained negative at approximately 5.6%. The company also reported substantial leverage, with debt-to-equity above 10 times and interest coverage of approximately 1.2 times in the supplied trailing-period data. These figures suggest that growth in commercial ophthalmic products, operating cash flow, product adoption, and disciplined management of debt and development expenditures are important to Harrow's future performance. Harrow does not currently pay a dividend according to the supplied information and is primarily positioned as a growth-oriented specialty pharmaceutical company.
YoYYoY means Year-over-Year. It compares the latest annual value with the previous annual value to show long-term trend strength.
QoQQoQ means Quarter-over-Quarter. It compares the latest quarter with the immediately previous quarter to show short-term momentum changes.
RevenueThe total money that came through the front door from selling things, before paying a single bill. Think of it as the grand total of every credit card swipe from customers. (YoY compares this year to last year's performance, while QoQ compares the current three months to the previous three).
$272.3M
+36.4%
+59.9%
Net IncomeThe absolute bottom line. If the company paid every single supplier, employee, banker, and tax collector, this is the actual money left in their pocket at the end of the day.
$-5.1M
+70.6%
+37.4%
Gross MarginThe basic markup. If they sell a $100 pair of sneakers, this percentage tells you how much of that price tag is profit right after paying for the rubber and shoelaces, but before paying for things like store rent or TV commercials.
+75.1%
-0.4%
+16.5%
Operating MarginThe 'day job' efficiency score. Out of every dollar a customer spends, this shows how many cents the company keeps after making the product AND paying for all the everyday corporate overhead (like salaries, marketing, and keeping the lights on).
+14.2%
+220.8%
+68.8%
Net MarginThe final take-home percentage. When you strip away every conceivable cost, tax, and interest payment, this is the exact number of cents the company truly gets to keep from every dollar in sales.
-1.9%
+78.4%
+60.9%
Free Cash FlowThe holy grail of corporate cash. It's the spendable, physical money left over after the business pays for its daily operations AND buys the big, expensive upgrades (like new factories or servers) it needs to survive. This is the 'free' money they can use to pay dividends or buy back stock.
$42.8M
+170.2%
-4.1%
FCF MarginThe ultimate cash conversion rate. It shows how good the company is at turning regular sales directly into cold, hard, spendable cash. A high percentage means the business is an absolute cash-printing machine.
+15.7%
+151.5%
+34.9%
Debt / EquityThe financial risk gauge. It compares how much of the company's empire was built using borrowed money (loans) versus the owners' own money (shareholders). A high number means they are heavily leveraged and playing a riskier game; a low number means they are playing it safe.
480.4%
+46.2%
+88.9%
Current RatioThe 12-month survival check. It simply compares the cash they have right now (plus things they can quickly turn into cash) against the immediate bills they absolutely must pay this year. A score above 1 means they have enough in the wallet to cover the upcoming bills without panicking.
2.20x
+5.9%
-9.3%
Total AssetsThe absolute size of the company's empire. It bundles together absolutely everything of value they own—from the cash in the register and the inventory in the warehouse, to the software patents in the vault and the factories on the ground.
Operator : Good morning, and welcome to Harrow's second quarter 2026 earnings conference call. My name is Michelle, and I will be the operator for today's call. [Operator Instructions] As a reminder, this conference is being recorded. I would now like to turn the conference over to Mike Biega, Vice President of Investor Relations and Communications for Harrow. Please go ahead.
Michael Biega : Thank you, operator. Good morning, and welcome to Harrow's second quarter 2026 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 Harrow'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 the 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 and subsequent quarterly reports on Form 10-Q filed with the Securities and Exchange Commission. Harrow's results may differ materially from those projected. Harrow 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. Additionally, Harrow will refer to non-GAAP financial metrics, specifically adjusted EBITDA. A reconciliation of any non-GAAP measures with the most directly comparable GAAP measures is included in the company's earnings release and letter to stockholders, both of which are available on the website. Joining me on today's call are Mark L. Baum, Chief Executive Officer; Andrew Boll, Chief Financial Officer; Patrick Sullivan, Chief Commercial Officer; and Amir Shojaei, Chief Scientific Officer. With that, I would like to turn the call over to Mark. Mark?
Mark L. Baum : Thank you, Mike, and good morning, everyone. We spent the first half of 2026 building demand and strengthening the commercial foundation of our business. The second half is about converting that demand into accelerating revenue and growth and profitability and, of course, hitting numbers. Let me be direct. First half revenue of approximately $115 million was lighter than we expected entering the year, primarily because of the VEVYE net revenue impact we discussed last quarter. At the same time, we executed on major operating priorities we established for the first half, expanding our commercial organization, improving the economics of key …
