Evolus, Inc.
For the period ended Mar 31, 2026. Filed May 4, 2026.
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A company's report for each of its first three quarters. The financial statements are not audited. It shows how the business has moved since the last annual report, and what management says changed.
Mar 31, 2026 · Filed May 4, 2026
EOLS$6.81+0.1%Stored close · as of Nov 6, 2026
What changed in Management’s Discussion and Analysis?
Read the current filingPrevious report: 10-Q
Period ended 2025-09-30; filed 2025-11-05.
0001628280-25-049673
Item 2. Management’s Discussion and Analysis of Financial Condition and Results of OperationsCurrent report: 10-Q
Period ended 2026-03-31; filed 2026-05-04.
0001570562-26-000066
Item 2. Management’s Discussion and Analysis of Financial Condition and Results of OperationsThe baseline is this issuer’s latest earlier reporting period of the same form that was filed before the current report. A previous 10-Q is a different quarter, not a year-over-year comparison. Amendments are excluded.
Compared 120 previous paragraphs and 99 current paragraphs.
57 unchanged; 27 reworded; 14 added; 27 removed; 9 previous and 1 current paragraphs rearranged.
Tables are not compared: 3 previous and 2 current tables excluded. Dates, whitespace, punctuation and numbering changes are ignored; changes to financial figures remain significant.
A changed paragraph is not evidence that risk increased or decreased. An unchanged paragraph does not establish that risk stayed the same.
Added paragraphs (14)
Current report
The global economy has experienced heightened volatility and disruptions, including enacted and threatened tariffs. While inflation in the United States is moderating, job growth has been muted, and consumer confidence has generally been weakening.
Current report
The United States trade policy has been characterized by rapid changes in both the scope and legal basis of tariffs, including the imposition, invalidation and replacement of tariff regimes. Tariff policy remains subject to change, including through shifts in legal authority, scope, and duration, and any increases or additional tariffs could adversely affect consumer spending and our business.
Current report
On February 20, 2026, the U.S. Supreme Court invalidated tariffs imposed under the International Emergency Economic Powers Act (“IEEPA”), creating the possibility that previously collected tariffs may be refunded by the U.S. government. In response, the U.S. government implemented new tariffs to replace certain of the IEEPA tariffs. We are pursuing potential refunds of previously paid IEEPA tariffs.
Current report
Additionally, on April 2, 2026, the White House issued a proclamation addressing imports of patented pharmaceuticals. The proclamation authorizes tariffs on certain imports, including from countries such as South Korea, subject to product scope, country treatment and company-specific arrangements, including potential exceptions, exclusions and reduced tariff rates. As Jeuveau® is manufactured and imported from South Korea, these measures may apply to Jeuveau®, although the scope, timing and applicability remain uncertain. We are evaluating actions to mitigate the impact of current and proposed tariffs.
Current report
Geopolitical tensions, including ongoing conflicts and instability in the Middle East, have contributed to increased economic, political, and market uncertainties. Any further escalation of hostilities in the region could result in further disruptions to global energy markets, transportation networks, and supply chains. Such conditions may increase global energy prices, which could heighten inflationary pressures, and further weaken consumer sentiment and discretionary spending. The extent and duration of these potential risks remain uncertain and could materially affect our financial condition, results of operations, and cash flows.
Current report
As of March 31, 2026, the majority of our debt outstanding represents a long-term loan bearing variable rates of interest (see Note 7. Long-Term Debt in the Notes to the Condensed Consolidated Financial Statements in Part I, Item 1 of this Quarterly Report on Form 10-Q for additional information). Changes in market interest rates will affect the interest expense incurred from this outstanding debt instrument, increasing or decreasing our interest expense in future periods. Additionally, changes in market interest rates may affect the interest rate and corresponding interest expense on any new issuance of short-term and long-term debt securities. See Part I, Item 3 of this Quarterly Report on Form 10-Q for more information.
Current report
Recent Key Developments
Current report
On March 3, 2026, we entered into a Loan and Security Agreement (the “Loan Agreement”) with Eclipse Business Capital LLC, providing for a $30.0 million senior secured asset-based revolving credit facility with an uncommitted accordion feature of up to $10.0 million (collectively, the “Revolving Credit Facility”). The Revolving Credit Facility matures on March 3, 2029 and requires a minimum utilization of $10.0 million. Borrowings under the Revolving Credit Facility bear interest at adjusted term secured overnight financing rate ( “SOFR”) (subject to a floor of 2.0%) plus 4.25%, subject to potential downward adjustments. The Revolving Credit Facility is secured by substantially all of our assets and is guaranteed by us and our subsidiaries. See “Liquidity and Capital Resources -The Revolving Credit Facility” below and Note 7. Long-Term Debtin the Notes to the Condensed Consolidated Financial Statements in Part I, Item 1 of this Quarterly Report on Form 10-Q for additional information.
Current report
Interest Expense, Net
Current report
Liquidity is the ability to meet present and future financial obligations through operating cash flows, the sale or maturity of investments or the acquisition of additional funds through capital management. Our financial position and liquidity are, and will continue to be, influenced by a variety of factors, including the level of our outstanding indebtedness and the related principal and interest we are obligated to pay on our indebtedness; the amount and timing of any additional debt or equity financing we may pursue; our capital expenditure requirements; any merger, divestiture or acquisition activity; and our ability to generate cash flows from our operations. We expect cash provided by our operating activities to fluctuate as a result of a number of factors, including the amount and timing of our billing, collections and liability payments and our operating results and the factors that affect these results, including the amount and timing of our product sales; promotions, rebates and incentives; and changes in consumer sentiment and discretionary spending.
Current report
The Revolving Credit Facility
Current report
On March 3, 2026, we, as borrower, entered into a Loan and Security Agreement (the “Loan Agreement”) with Eclipse Business Capital LLC, as administrative agent the lenders party thereto. Pursuant to the Loan Agreement, the lenders party provided a senior secured asset based revolving credit facility (the “Revolving Credit Facility”) with a $30.0 million commitment and an uncommitted accordion feature of up to $10.0 million, which is exercisable, subject to lenders party consent and other conditions, in $5.0 million increments or in its entirety. The Revolving Credit Facility has a minimum utilization requirement of $10.0 million and matures on March 3, 2029 with outstanding principal and interest fully due and payable at such time. Borrowings under the Revolving Credit Facility bear interest at a rate equal to adjusted term SOFR (subject to a floor of 2.0%) plus an applicable margin of 4.25%, which is subject to downward adjustments based on certain coverage ratio and excess availability. See Note 7. Long-Term Debtin the Notes to the Condensed Consolidated Financial Statements in Part I, Item 1 of this Quarterly Report on Form 10-Q for additional information.
Current report
•achieving sustainable profitability;
Current report
Cash provided by financing activities was $7.6 million in the three months ended March 31, 2026, compared to cash used in financing activities of $1.6 million in the three months ended March 31, 2025. The increase in cash provided by financing activities in the three months ended March 31, 2026 was primarily attributable to $9.5 million of net proceeds received from the Revolving Credit Facility.
Removed paragraphs (27)
Previous report
2025 Key Developments
Previous report
In August 2025, we announced the submission of Premarket Approval Application (“PMA”) to the U.S. Food and Drug Administration (“FDA”) for Evolysse™ Sculpt. We anticipate that the FDA’s review will follow the standard PMA process, with approval expected in the second half of 2026.
Previous report
We performed a strategic cost structure optimization during the quarter ended September 30, 2025, and, in connection with the restructuring initiative, $1.4 million of restructuring related costs were incurred.
Previous report
Restructuring costs were $1.4 million in the three months ended September 30, 2025. No restructuring costs were incurred in the same period in the prior year. Restructuring costs are primarily related to one-time separation benefits incurred in connection with our strategic cost structure optimization.
Previous report
Non-Operating Expense, Net
Previous report
Comparison of the Nine Months Ended September 30, 2025 and 2024
Previous report
Net Revenues
Previous report
Cost of Goods Sold
Previous report
Gross Profit Margin
Previous report
Our gross profit margin was 66.6% and 69.2% for the nine months ended September 30, 2025 and 2024, respectively. We anticipate that our gross profit margin will fluctuate as we implement various incentive programs that may affect the average selling price of our products and as we expand internationally.
Previous report
Selling, General and Administrative
Previous report
Selling, general and administrative expenses increased by $18.3 million, or 12.4%, to $166.1 million for the nine months ended September 30, 2025 from $147.8 million for the nine months ended September 30, 2024, primarily due to higher personnel costs relating to our commercial activities and training for the launch of Evolysse TM. Selling, general and administrative expenses may fluctuate in the future primarily driven by potential changes in marketing strategies and international launches of our products.
Previous report
Research and Development
Previous report
Research and development expenses decreased by $0.6 million, or 9.6%, to $6.1 million for the nine months ended September 30, 2025 from $6.7 million for the nine months ended September 30, 2024. The decrease is primarily attributable to higher research and development expenses in the nine months ended September 30, 2024 relating to clinical operations and research and development activities of Evolysse TM. We expect our research and development expenses to increase if and when we develop further product candidates and as we pursue regulatory approvals in other jurisdictions for our current products.
Previous report
Depreciation and Amortization
Previous report
Depreciation and amortization increased by $1.3 million, or 77.5%, to $2.9 million for the nine months ended September 30, 2025 from $1.6 million for the nine months ended September 30, 2024, primarily due to an increase in amortization of internal use software and depreciation of leasehold improvements.
Previous report
Restructuring costs were $1.4 million in the nine months ended September 30, 2025. No restructuring costs were incurred in the same period in the prior year. Restructuring costs are primarily related to one-time separation benefits incurred in connection with our strategic cost structure optimization.
Previous report
Non-Operating Expense, Net
Previous report
Non-operating expense, net, increased by $2.3 million, or 20.2%, to $14.0 million for the nine months ended September 30, 2025 from $11.7 million for the nine months ended September 30, 2024, primarily due to higher outstanding indebtedness on our term loans with Pharmakon. Interest on the term loans with Pharmakon is based on a variable interest rate, which we expect will continue to fluctuate with the market. See “Liquidity and Capital Resources—The Pharmakon Term Loans” for further information.
Previous report
Income Tax Expense
Previous report
Follow-On Offering
Previous report
In March 2024, we completed a follow-on offering and issued 3,554,000 shares of our common stock, at a price to the public of $14.07 per share. We received net proceeds of $46.8 million from the offering, after deducting underwriting discounts and commissions and other offering expenses. In addition, we granted the underwriters an option, exercisable for 30 days, to purchase up to 533,100 additional shares of common stock (the “option shares”) at the purchase price, which the underwriters exercised in April 2024 with respect to 318,100 of the allotted option shares. The net proceeds to us from the sale of the option shares, after deducting the underwriters’ discounts and commissions, was $4.2 million.
Previous report
“At-the-market” Offerings of Common Stock
Previous report
On March 8, 2023, we entered into an “at-the-market” sales agreement (the “ATM Sales Agreement”) and filed a shelf registration statement on Form S-3 and corresponding prospectus with the SEC to permit sales under the ATM Sales Agreement. The registration statement became effective on June 8, 2023. We have not sold any shares under the ATM Sales Agreement. See Note 10. Stock-Based Compensation and Stockholders’ Equity in the Notes to the Condensed Consolidated Financial Statements in Part I, Item 1 of this quarterly report for additional information.
Previous report
•the cost of any current litigation, including our ongoing shareholder derivative lawsuit;
Previous report
Cash provided by financing activities was $17.3 million in the nine months ended September 30, 2025 compared to cash provided by financing activities of $48.7 million in the nine months ended September 30, 2024. The decrease in cash provided by financing activities is primarily attributable to lower cash receipts of $2.3 million from exercise of stock options and $51.2 million of proceeds from a follow-on equity offering in the nine months ended September 30, 2024. There was no follow-on equity offering in the nine months ended September 30, 2025. The decrease in cash provided by financing activities is partially offset by $22.4 million of net proceeds from the modification of our long-term debt.
Previous report
Recently Issued and Adopted Accounting Pronouncements
Reworded paragraphs (27)
Previous wording
The following discussion contains management’s discussion and analysis of our financial condition and results of operations and should be read together with the unaudited condensed consolidated financial statements and the notes thereto included in Part I, Item 1 of this Quarterly Report on Form 10-Q and in conjunction with our Annual Report on Form 10-K for the year ended December 31, 2024 and other documents previously filed with the SEC. This discussion contains forward-looking statements that reflect our plans, estimates and beliefs and involve numerous risks and uncertainties, including but not limited to those described in Item 1A “Risk Factors” in Part II of this Quarterly Report on Form 10-Q. Actual results may differ materially from those contained in any forward-looking statements. You should carefully read “Special Note Regarding Forward-Looking Statements” and Item 1A “Risk Factors” in Part II of this Quarterly Report on Form 10-Q.
Current wording
The following discussion contains management’s discussion and analysis of our financial condition and consolidated results of operations and should be read together with the unaudited condensed consolidated financial statements and the related notes thereto included in Part I, Item 1 of this Quarterly Report on Form 10-Q and in conjunction with our Annual Report on Form 10-K for the year ended December 31, 2025 and other documents previously filed with the SEC. This discussion contains forward-looking statements that reflect our plans, estimates and beliefs and involve numerous risks and uncertainties, including but not limited to those described in Item 1A “Risk Factors” in Part II of this Quarterly Report on Form 10-Q. Actual results may differ materially from those contained in any forward-looking statements. You should carefully read “Special Note Regarding Forward-Looking Statements” and Item 1A “Risk Factors” in Part II of this Quarterly Report on Form 10-Q.
Previous wording
We are a global performance beauty company with a customer-centric approach to delivering breakthrough products in the cash-pay aesthetic market. Our current commercial product portfolio includes Jeuveau® (prabotulinumtoxinA-xvfs) and Evolysse™, a collection of injectable hyaluronic acid (“HA”) gels. We currently sell Jeuveau® in the United States, Canada, certain European countries and Australia, and, in April 2025, we launched Evolysse™ Form and Evolysse™ Smooth in the United States, which are indicated for wrinkles and folds, such as nasolabial folds, in adults. We expect to launch all four Evolysse™ products in Europe in the first half of 2026 and anticipate two additional Evolysse™ products to be approved and launched in the United States in 2026 and 2027.
Current wording
We are a global performance beauty company delivering breakthrough products with a customer-centric approach in the cash-pay aesthetic market. Our current commercial product portfolio includes Jeuveau® (prabotulinumtoxinA-xvfs) and Evolysse®, a collection of injectable hyaluronic acid (“HA”) gels. We currently sell Jeuveau® in the United States, Canada, certain European countries and Australia, and, in April 2025, we launched Evolysse® Form and Evolysse® Smooth in the United States, which are indicated for wrinkles and folds, such as nasolabial folds, in adults. We anticipate two additional Evolysse® products, Evolysse® Sculpt and Evolysse® Lips, to be approved in the United States in 2026 and 2027, respectively, and expect to launch all four Evolysse® products in Europe in the second quarter of 2026.
Previous wording
Our primary market is the cash-pay aesthetic market, which consists of medical products that consumers pay for directly out of pocket. Our customers are aesthetic practitioners who are properly licensed to deliver our products. By avoiding the regulatory burdens that accompany reimbursed products and pursuing an aesthetic-only non-reimbursed product strategy, we create flexibility to deliver a unique value proposition to our customers. We utilize this flexibility to drive customer adoption through programs such as our consumer loyalty program, co-branded marketing programs, promotional events and pricing strategies.
Current wording
Our primary market is the cash-pay aesthetic market, which consists of medical products that consumers pay for directly out of pocket. Our customers are aesthetic practitioners who are properly licensed to deliver our products. By avoiding the regulatory burdens that accompany reimbursed products and pursuing an aesthetic-only non-reimbursed product strategy, we create flexibility to deliver a unique value proposition to our customers. We utilize this flexibility to drive customer adoption through programs such as our consumer loyalty program, co-branded marketing programs, portfolio bundles, promotional events and pricing strategies.
Previous wording
The global economy, including the financial and credit markets, has experienced heightened volatility and disruptions, including fluctuations in interest rates, newly enacted and threatened tariffs, and weakening consumer confidence. Elevated levels of inflation and recently enacted tariffs by the United States have impacted and potentially will continue to impact consumer discretionary spending for aesthetic medical procedures, which has adversely affected our sales in the past and may affect our sales in the future if consumer discretionary spending declines. We cannot reasonably estimate the financial impact of potential inflation or current and threatened tariffs by the United States on our financial condition, results of operations or cash flows in the future.
Current wording
Recently enacted tariffs by the United States have adversely affected and potentially will continue to adversely affect overall consumer sentiment and discretionary spending. As a result, lower consumer sentiment and discretionary spending have negatively impacted aesthetic procedures and our sales and may negatively impact our sales in the future. We cannot reasonably estimate the financial impact of current and threatened tariffs by the United States on our future financial condition, results of operations or cash flows.
Previous wording
We currently operate one reportable segment, and our net product revenues are derived from the sales of Jeuveau®and, beginning in April 2025, from the sales of Evolysse TM. Net revenues consist of gross revenues, net of adjustments primarily relating to customer rebates, rewards associated with consumer loyalty program, and co-branded marketing programs. Revenues are recognized when the control of the promised goods is transferred to the customer in an amount that reflects the consideration allocated to the related performance obligations and to which we expect to be entitled in exchange for those products or services.
Current wording
We currently operate one reportable segment, and our net product revenues are derived from the sale of Jeuveau®and, beginning in April 2025, from the sale of Evolysse®. Net revenues consist of gross revenues, net of adjustments primarily relating to customer rebates, rewards associated with consumer loyalty program, and co-branded marketing programs. Revenues are recognized when the control of the promised goods is transferred to the customer in an amount that reflects the consideration allocated to the related performance obligations and to which we expect to be entitled in exchange for those products or services.
Previous wording
Net revenues increased by $7.9 million, or 12.9%, to $69.0 million for the three months ended September 30, 2025 from $61.1 million for the three months ended September 30, 2024, primarily due to the launch of Evolysse™ in the United States and an increase in revenues from the sales of Jeuveau®. Net revenues in the three months ended September 30, 2024 contained $0.9 million of service revenue from the sales of Jeuveau®through a distribution partner in Canada; there was no service revenue recognized in the three months ended September 30, 2025. We anticipate our continued sales growth will depend on (i) our ability to grow our customer base and increase purchases by our current customers in the competitive aesthetic market, (ii) the continued success of Evolysse TM Form and Evolysse TMSmooth products in the United States, (iii) the success of the commercial launch of Evolysse TM injectable HA gel collection in Europe and (iv) the regulatory approval of the Evolysse TM Sculpt and Evolysse TMLips products in the United States.
Current wording
Net revenues increased by $4.6 million, or 6.7%, to $73.1 million in the three months ended March 31, 2026 from $68.5 million in the three months ended March 31, 2025, driven by the launch of Evolysse® in the United States and international growth of Jeuveau®. Net revenues in the three months ended March 31, 2026 and 2025 each contained $0.4 million of service revenue from sales of Jeuveau®through a distribution partner in Canada. We anticipate our continued sales growth will depend on (i) our ability to grow our customer base and to increase purchases by our current customers in the competitive aesthetic market, (ii) the continued success of Evolysse® Form and Evolysse® Smooth products in the United States, (iii) the success of the commercial launch of Evolysse® injectable HA gel collection in Europe and (iv) the regulatory approval for the Evolysse®Sculpt and Evolysse® Lips products in the United States.
Previous wording
Cost of goods sold primarily consists of inventory cost, amortization of intangible asset relating to distribution right and certain royalties. Cost of goods sold increased by $4.1 million, or 21.8%, to $23.1 million for the three months ended September 30, 2025 from $19.0 million for the three months ended September 30, 2024 primarily due to an increase in the volume of both Jeuveau®and Evolysse TM. We anticipate that our cost of goods sold will fluctuate in line with changes in revenues and threatened tariffs.
Current wording
Cost of goods sold primarily consists of inventory cost, amortization of intangible asset relating to distribution right and certain royalties. Cost of goods sold increased by $2.4 million, or 10.9%, to $24.2 million in the three months ended March 31, 2026 from $21.9 million in the three months ended March 31, 2025, primarily attributable to higher volumes of products shipped to customers. We anticipate that our cost of goods sold will fluctuate due to changes in product and geographical mix and the impact of current and threatened tariffs.
Previous wording
Our gross profit margin was 66.5% and 68.9% for the three months ended September 30, 2025 and 2024, respectively. We anticipate that our gross profit margin will fluctuate as we implement various incentive programs that may affect the average selling price of our products and as we expand internationally.
Current wording
Our gross profit margin was 66.9% and 68.1% in the three months ended March 31, 2026 and 2025, respectively. We anticipate that our gross profit margin will fluctuate due to changes in product and geographical mix, the effect of current and threatened tariffs, as well as the impact of promotional and incentive programs on our average selling prices.
Previous wording
Selling, general and administrative expenses increased by $0.3 million, or 0.6%, to $52.8 million for the three months ended September 30, 2025 from $52.5 million for the three months ended September 30, 2024, primarily due to higher selling-related costs. Selling, general and administrative expenses may fluctuate in the future primarily due to potential changes in marketing strategies and international launches of our products.
Current wording
Selling, general and administrative expenses decreased by $4.7 million, or 8.2%, to $52.0 million in the three months ended March 31, 2026 from $56.6 million in the three months ended March 31, 2025, primarily attributable to lower selling, general and administrative expenses in the three months ended March 31, 2026 driven by our strategic cost structure optimization initiatives. Selling, general and administrative expenses may fluctuate in the future primarily driven by potential changes in marketing strategies, launches of new products and international expansion.
Previous wording
Research and development expenses decreased by $0.3 million, or 11.6%, to $2.0 million for the three months ended September 30, 2025 from $2.3 million for the three months ended September 30, 2024. The decrease is primarily attributable to higher research and development expenses in the three months ended September 30, 2024 relating to clinical operations and research and development activities of Evolysse TM. We expect our research and development expenses to increase if and when we develop further product candidates and as we pursue regulatory approvals in other jurisdictions for our current products.
Current wording
Research and development expenses remained relatively consistent at $2.2 million in the three months ended March 31, 2026 when compared with that in the three months ended March 31, 2025. We expect our research and development expenses to increase, if and when, we develop further product candidates and as we pursue regulatory approvals.
Previous wording
The change in the fair value of the contingent royalty obligation payable to the founders of Evolus, or Evolus Founders is recorded in operating expenses in each reporting period. During the three months ended September 30, 2025 and 2024, we recognized an unrealized gain of $0.1 million and an unrealized loss of $2.4 million, respectively. Changes to the fair value of contingent royalty obligation payable to Evolus Founders are driven by changes in management assumptions relating to revenue forecasts, the discount rate used and the timing of cash flows.
Current wording
The change in the fair value of the contingent royalty obligation payable to the Evolus Founders is recorded in operating expenses in each reporting period. In the three months ended March 31, 2026, the change in the fair value of the contingent royalty obligation payable to the Evolus Founders was immaterial. In the three months ended March 31, 2025, we recognized an unrealized loss of $2.2 million. Changes to the fair value of the contingent royalty obligation payable to Evolus Founders are driven by changes in management assumptions relating to revenue forecasts, the discount rate used and the timing of cash flows.
Previous wording
Depreciation and amortization increased by $0.8 million, to $1.1 million for the three months ended September 30, 2025 from $0.3 million for the three months ended September 30, 2024, primarily due to an increase in amortization of internal use software and depreciation of leasehold improvements.
Current wording
Depreciation and amortization increased by $0.7 million, or 86.7%, to $1.5 million in the three months ended March 31, 2026 from $0.8 million in the three months ended March 31, 2025, primarily due to an increase in amortization of internal use software and depreciation of leasehold improvements.
Previous wording
Non-operating expense, net, decreased by $0.2 million, or 5.8%, to $3.6 million for the three months ended September 30, 2025 from $3.8 million for the three months ended September 30, 2024, primarily due to lower interest expense on our term loans with Pharmakon. Interest on the term loans with Pharmakon is based on a variable interest rate, which we expect will continue to fluctuate with the market. See “Liquidity and Capital Resources—The Pharmakon Term Loans” for further information.
Current wording
Interest expense, net, remained relatively consistent at $3.7 million in the three months ended March 31, 2026 and in the three months ended March 31, 2025. Interest on the Revolving Credit Facility and the New Pharmakon Term Loans (as defined below) is based on variable interest rates, which we expect will continue to fluctuate with the market. See “Liquidity and Capital Resources—The Pharmakon Term Loans” and “Liquidity and Capital Resources—The Revolving Credit Facility” for further information.
Previous wording
As of September 30, 2025 we had cash and cash equivalents of $43.5 million, positive working capital of $68.2 million and stockholders’ deficit of $28.8 million.
Current wording
As of March 31, 2026 we had cash and cash equivalents of $49.8 million, positive working capital of $70.9 million and stockholders’ deficit of $28.8 million.
Previous wording
Since inception, we have incurred recurring net operating losses and have an accumulated deficit of $661.2 million as of September 30, 2025 as a result of ongoing efforts to develop and commercialize our products, including providing selling, general and administrative support for our operations. We had net loss of $51.8 million and $43.6 million in the nine months ended September 30, 2025 and 2024, respectively. We had a loss from operations of $36.9 million and $32.1 million in the nine months ended September 30, 2025 and 2024, respectively. We used net cash for operating activities of $55.1 million and $22.8 million in the nine months ended September 30, 2025 and 2024, respectively. We expect to continue to incur significant expenses for the foreseeable future as we increase commercialization efforts for our products in the U.S., Europe, and Australia, prepare for commercial launch of Evolysse™ Form, Evolysse TMSmooth, Evolysse TMSculpt and Evolysse TMLips injectable HA gel products in Europe, and pursue regulatory approvals in other jurisdictions for Jeuveau® and Evolysse™ products.
Current wording
Since inception, we have incurred recurring net operating losses and have an accumulated deficit of $671.7 million as of March 31, 2026 as a result of ongoing efforts to develop and commercialize our products, including providing selling, general and administrative support for our operations. We had net loss of $10.7 million and $18.9 million in the three months ended March 31, 2026 and 2025, respectively. We had a loss from operations of $6.8 million and $15.2 million in the three months ended March 31, 2026 and 2025, respectively. We used net cash of $10.0 million and $15.6 million for operating activities in the three months ended March 31, 2026 and 2025, respectively. We expect to continue to incur significant expenses for the foreseeable future as we continue the commercialization efforts for our products, prepare for commercial launch of Evolysse® Form, Evolysse® Smooth, Evolysse® Sculpt and Evolysse® Lips injectable HA gel products in Europe, and pursue regulatory approvals of Evolysse® Sculpt and Evolysse® Lips.
Previous wording
On May 5, 2025, we entered into the A&R Loan Agreement with Pharmakon, which amends and restates the Prior Pharmakon Loan Agreement. Under the A&R Loan Agreement, Pharmakon agreed to make a senior secured term loan to us of an aggregate principal amount of up to $250.0 million to be funded in three tranches, comprised of an initial $150.0 million tranche funded upon the execution of the A&R Loan Agreement and two additional tranches of up to $50.0 million each, available at our election until December 31, 2026 (collectively, the “New Pharmakon Term Loans”). The initial tranche of $150.0 million was released on May 5, 2025, which includes the $125.0 million of outstanding principal amount related to the Prior Pharmakon Term Loans and $25.0 million of incremental borrowings. Total net proceeds of $23.4 million were received by us, net of discounts and fees paid to the lender, from the funding of the initial tranche. The New Pharmakon Term Loans accrue interest at a per annum rate equal to the 3-month SOFR (subject to a SOFR floor of 3.5%) plus 5.0% per annum. In addition, under the terms of the A&R Loan Agreement, we are permitted to incur additional indebtedness in the form of a working capital or revolving loan facility with a maximum credit line of no more than $40.0 million at any time, subject to Pharmakon’s consent and certain terms and conditions customary for credit facilities of similar size and type. See Note 7. Term Loans in the Notes to the Condensed Consolidated Financial Statements in Part I, Item 1 of this quarterly report for additional information.
Current wording
On May 5, 2025, we entered into an Amended and Restated Loan Agreement (the “A&R Loan Agreement”) with Pharmakon, which amends and restates the Prior Pharmakon Loan Agreement (as defined below). Under the A&R Loan Agreement, Pharmakon (as defined below) agreed to make a senior secured term loan to us of an aggregate principal amount of up to $250.0 million to be funded in three tranches, comprised of an initial $150.0 million tranche funded upon the execution of the A&R Loan Agreement and two additional tranches of up to $50.0 million each, available at our election until December 31, 2026 (collectively, the “New Pharmakon Term Loans”). The initial tranche of $150.0 million was released on May 5, 2025, which includes the $125.0 million of outstanding principal amount related to the Prior Pharmakon Term Loans and $25.0 million of incremental borrowings. Total net proceeds of $23.4 million were received by us, net of discounts and fees paid to the lender, from the funding of the initial tranche. The New Pharmakon Term Loans accrue interest at a per annum rate equal to the 3-month SOFR (subject to a SOFR floor of 3.5%) plus 5.0% per annum. In addition, under the terms of the A&R Loan Agreement, we are permitted to incur additional indebtedness in the form of a working capital or revolving loan facility with a maximum credit line of no more than $40.0 million at any time, subject to Pharmakon’s consent and certain terms and conditions customary for credit facilities of similar size and type. See Note 7. Long-Term Debtin the Notes to the Condensed Consolidated Financial Statements in Part I, Item 1 of this Quarterly Report on Form 10-Q for additional information.
Previous wording
On December 14, 2021, we entered into a loan agreement with BPCR Limited Partnership, BioPharma Credit Investments V (Master) LP, and Biopharma Credit PLC (collectively, “Pharmakon”), which was subsequently amended in December 2022 and in May 2023 (as amended, the “Prior Pharmakon Loan Agreement”). Pursuant to the terms of the Prior Pharmakon Loan Agreement, Pharmakon made loans to us totaling $125,000 (the “Prior Pharmakon Term Loans”). The Prior Pharmakon Term Loans loan bore an annual interest rate equal to the 3-month secured overnight financing rate (“SOFR”) (subject to a SOFR floor of 1.0%) plus 8.5% per annum.
Current wording
In December 2021, we entered into a loan agreement with BPCR Limited Partnership, BioPharma Credit Investments V (Master) LP, and Biopharma Credit PLC (collectively, “Pharmakon”), which was subsequently amended in December 2022 and in May 2023 (as amended, the “Prior Pharmakon Loan Agreement”). Pursuant to the terms of the Prior Pharmakon Loan Agreement, Pharmakon made loans to us totaling $125.0 million (the “Prior Pharmakon Term Loans”). The Prior Pharmakon Term Loans bore an annual interest rate equal to the 3-month SOFR (subject to a SOFR floor of 1.0%) plus 8.5% per annum.
Previous wording
As of September 30, 2025, we recorded an aggregate balance of $36.7 million in our condensed consolidated balance sheet for the future royalty payment obligation to the Evolus Founders.
Current wording
As of March 31, 2026, we recorded an aggregate balance of $30.3 million in our condensed consolidated balance sheet for the future royalty payment obligation to the Evolus Founders.
Previous wording
In February 2021, we settled litigation claims related to a complaint filed against us by Allergan, Inc. and Allergan Limited (together, “Allergan”) and Medytox, Inc. (“Medytox”) in the U.S. International Trade Commission related to Jeuveau® (the “ITC Action”) and certain related matters by entering into a Settlement and License Agreement with Medytox and Allergan, which we refer to as the U.S. Settlement Agreement, and another Settlement and License Agreement with Medytox, which we refer to as the ROW Settlement Agreement. We refer to the U.S. Settlement Agreement and the ROW Settlement Agreement collectively as the “Medytox Settlement Agreements.”From September 17, 2022 to September 16, 2032, we have paid and will pay to Medytox a quarterly, mid-single digit royalty on net sales of Jeuveau®sold in other Evolus territories.
Current wording
In February 2021, we settled litigation claims through settlement agreements with Medytox, Inc. which we refer to collectively as the “Medytox Settlement Agreements.” From September 17, 2022 to September 16, 2032, we have paid and will pay to Medytox a quarterly, mid-single digit royalty on net sales of Jeuveau®sold in the United States and other Evolus territories.
Previous wording
We believe that our current capital resources, which consist of cash and cash equivalents, future cash generated from operations, availability of liquidity under the New Pharmakon Term Loans and existing liquidity, will be sufficient to satisfy our cash requirements for at least the next twelve months with respect to working capital that supports our daily operations and to meet commitments under our contractual obligations with third parties, although we may wish to access the debt and equity markets or other sources of financing to satisfy our long-term cash requirements as further discussed below.
Current wording
We believe that our current capital resources, which consist of cash and cash equivalents, future cash generated from operations, availability of an additional $100.0 million in liquidity under the New Pharmakon Term Loans, and the recently closed Revolving Credit Facility, will be sufficient to satisfy our cash requirements for at least the next twelve months with respect to working capital that supports our daily operations and to meeting commitments under our contractual obligations with third parties, although we may wish to access the debt and equity markets or other sources of financing to satisfy our long-term cash requirements as further discussed below.
Previous wording
We have based our projections of capital requirements on assumptions that may prove to be incorrect and we may use all our available capital resources, which consist of cash and cash equivalents and cash generated from operations, sooner than we expect. Our cash requirements depend on numerous factors, including but not limited to, the impact of any potential disruptions to our supply chain, inflation or other economic conditions, uncertainty regarding the stability of certain financial institutions, and other long-term commitments and contingencies. Because of the numerous risks and uncertainties associated with research, development and commercialization of our products, we are unable to estimate the exact amount of our operating capital requirements, including our requirements beyond the next twelve months. In such case, we may be required to raise additional capital to fund future operations through the incurrence of debt, the entry into licensing or collaboration agreements with partners, sale of equity securities, grants or other sources of financing. However, there can be no assurance such financing or other alternatives will be available to us on acceptable terms, or at all. The global economy, including the financial and credit markets, has recently experienced significant volatility and disruptions, volatility in inflation and interest rates, new and threatened tariffs, declines in consumer confidence and uncertainty about economic stability. These conditions may adversely impact our ability to raise additional capital on acceptable terms, or at all.
Current wording
We have based our projections of capital requirements on assumptions that may prove to be incorrect, and we may use all our available capital resources, which consist of cash and cash equivalents, cash generated from operations, and availability of liquidity under both the New Pharmakon Term Loans and the Revolving Credit Facility, sooner than we expect. Our cash requirements depend on numerous factors, including but not limited to, the impact of any potential disruptions to our supply chain, inflation or other economic conditions, and other long-term commitments and contingencies. Because of the numerous risks and uncertainties associated with research, development and commercialization of our products, we are unable to estimate the exact amount of our operating capital requirements, including our requirements beyond the next twelve months. In such case, we may be required to raise additional capital to fund future operations through the incurrence of debt, the entry into licensing or collaboration agreements with partners, sale of equity securities, grants or other sources of financing. However, there can be no assurance such financing or other alternatives will be available to us on acceptable terms, or at all. The global economy, including the financial and credit markets, has recently experienced significant volatility and disruptions, volatility in inflation and interest rates, new and threatened tariffs, declines in consumer confidence and uncertainty about economic stability. These conditions may adversely impact our ability to raise additional capital on acceptable terms, or at all.
Previous wording
•the cost of maintaining or increasing a sales force in the future, the productivity of that sales force, the market acceptance of our products and the actions and product introductions of our competitors;
Current wording
•the cost of maintaining or increasing our sales force in the future, the productivity of that sales force, the market acceptance of our products and the actions and product introductions of our competitors;
Previous wording
Cash used in operating activities was $55.1 million in the nine months ended September 30, 2025, compared to cash used in operating activities of $22.8 million in the nine months ended September 30, 2024. The increase in cash used in operating activities was mostly attributable to a higher net loss and an increase in inventory purchases to support the launch of Evolysse™ and as a response to potential U.S. tariffs in the nine months ended September 30, 2025 when compared to the nine months ended September 30, 2024. Additionally, changes in working capital resulting from the timing of accruals and payments of cash contributed to the increase in cash used in operating activities in the nine months ended September 30, 2025 when compared to the nine months ended September 30, 2024.
Current wording
Cash used in operating activities was $10.0 million in the three months ended March 31, 2026, compared to cash used in operating activities of $15.6 million in the three months ended March 31, 2025. The decrease in cash used in operating activities was mostly attributable to a lower operating loss driven by reduced operating expenses as a result of our strategic cost structure optimization initiatives. In addition, changes in working capital resulting from the timing of cash receipts, accruals and cash disbursements contributed to the decrease in cash used in operating activities in the three months ended March 31, 2026 when compared to the same period in 2025.
Previous wording
Cash used in investing activities was $6.3 million in the nine months ended September 30, 2025 compared to cash used in investing activities of $3.5 million in the nine months ended September 30, 2024. The increase in cash used in investing activities is primarily driven by a $2.8 million increase in expenditures on capitalized internal-use software and on property and equipment.
Current wording
Cash used in investing activities was $1.7 million in the three months ended March 31, 2026, compared to cash used in investing activities of $1.9 million in the three months ended March 31, 2025. The decrease in cash used in investing activities was primarily due to a $0.3 million decrease in expenditures related to capitalized internal-use software, partially offset by a $0.1 million increase in purchases of property and equipment.
Previous wording
See “Liquidity and Capital Resources—The Pharmakon Term Loans” for a description of our New Pharmakon Term Loans.
Current wording
See “Liquidity and Capital Resources—The Pharmakon Term Loans” for a description of our New Pharmakon Term Loans and “Liquidity and Capital Resources—The Revolving Credit Facility” for a description of our Revolving Credit Facility.
Previous wording
Our material cash requirements from known contractual and other obligations, including commitments for capital expenditures, primarily consist of (i) principal and interest payments related to our New Pharmakon Term Loans (future interest payments on our outstanding New Pharmakon Term Loans total approximately $65 million, with $14.1 million due within twelve months), (ii) quarterly royalty payments to the Evolus Founders based on a low single digit percentage of net sales of Jeuveau® (these obligations terminate in the quarter after the 10-year anniversary of the first commercial sale of Jeuveau® in the United States), (iii) quarterly royalty payments to Medytox based on a mid-single digit royalty on net sales of Jeuveau®sold in the United States and other Evolus territories (during the period from September 17, 2022 to September 16, 2032), (iv) minimum purchase obligations under the Daewoong Agreement, (v) €12.1 million of milestone payments under the Symatese U.S. Agreement, subject to FDA approval of three Evolysse™ products, consisting of €1.6 million due on the date of FDA approval, €4.1 million in June 2026, €3.2 million in June 2027, and €3.2 million in June 2028, in each case subject to and contingent on three of the injectable HA gel products gaining approval prior to the milestone payment date, (vi) €3.1 million of milestone payments under the Symatese Europe Agreement consisting of €1.2 million on the second anniversary of certain regulatory approvals and €1.9 million on the later of the third anniversary of certain regulatory approvals or December of any year in which we achieve US$25.0 million of net revenue in Europe for the injectable HA gel products, (vii) minimum purchase and royalty obligations for the injectable HA gel products, and (viii) obligations under operating leases related to our office space, which are described in more detail in Note 8. Operating Leasesin the Notes to the Condensed Consolidated Financial Statements in Part I, Item 1 of this Quarterly Report on Form 10-Q. During the nine months ended September 30, 2025, there were no material changes to these obligations as reported in our Annual Report on Form 10-K for the year ended December 31, 2024, except as described above with respect to the New Pharmakon Term Loans.
Current wording
Our material cash requirements from known contractual and other obligations, including commitments for capital expenditures, primarily consist of (i) principal and interest payments related to our New Pharmakon Term Loans (future interest payments on our outstanding New Pharmakon Term Loans total approximately $54.0 million, with $13.2 million due within twelve months), (ii) principal and interest payments related to our Revolving Credit Facility (estimated future interest payments on our outstanding borrowings under the Revolving Credit Facility total approximately $2.4 million, with $0.8 million due within twelve months), (iii) quarterly royalty payments to the Evolus Founders based on a low single digit percentage of net sales of Jeuveau® (these obligations terminate in the quarter after the 10-year anniversary of the first commercial sale of Jeuveau® in the United States), (iv) quarterly royalty payments to Medytox based on a mid-single digit royalty on net sales of Jeuveau®sold in the United States and other Evolus territories (during the period from September 17, 2022 to September 16, 2032), (v) minimum purchase obligations under the Daewoong Agreement, (vi) €12.1 million of milestone payments under the Symatese U.S. Agreement, subject to FDA approval of three Evolysse® products, consisting of €1.6 million due on the date of FDA approval, €4.1 million in June 2026, €3.2 million in June 2027, and €3.2 million in June 2028, in each case subject to and contingent on three of the injectable HA gel products gaining approval prior to the milestone payment date, (vii) €3.1 million of milestone payments under the Symatese Europe Agreement consisting of €1.2 million on the second anniversary of certain regulatory approvals (payable in October 2026) and €1.9 million on the later of the third anniversary of certain regulatory approvals or December of any year in which we achieve US$25.0 million of net revenue in Europe for the injectable HA gel products, provided that if the regulatory approvals are achieved, the payment shall occur no later than December 2029, (viii) minimum purchase and royalty obligations for the injectable HA gel products, and (ix) obligations under operating leases related to our office space, which are described in more detail in Note 8. Operating Leasesin the Notes to the Condensed Consolidated Financial Statements in Part I, Item 1 of this Quarterly Report on Form 10-Q. In the three months ended March 31, 2026, there were no material changes to these obligations as reported in our Annual Report on Form 10-K for the year ended December 31, 2025, except as described above with respect to the Revolving Credit Facility.
Previous wording
We describe the recently issued and adopted accounting pronouncements that apply to us in Note 2. Basis of Presentation and Summary of Significant Accounting Policies-Recently Adopted Accounting Pronouncements and Recently Issued Accounting Pronouncementsin the Notes to the Condensed Consolidated Financial Statements in Part I, Item 1 of this Quarterly Report on Form 10-Q.
Current wording
We describe the recently issued accounting pronouncements and recently adopted accounting pronouncements that apply to us in Note 2. Basis of Presentation and Summary of Significant Accounting Policies-Recently Adopted Accounting Pronouncements and Recently Issued Accounting Pronouncements Not Yet Adoptedin the Notes to the Condensed Consolidated Financial Statements in Part I, Item 1 of this Quarterly Report on Form 10-Q.
Rearranged current paragraphs (1)
Current report — wording carried from elsewhere
Recently Issued Accounting Pronouncements and Recently Adopted Accounting Pronouncements
Rearranged previous paragraphs (9)
Previous report — wording carried elsewhere
In April 2025, we launched Evolysse™ Form and Evolysse™ Smooth in the United States.
Previous report — wording carried elsewhere
On May 5, 2025, we entered into an Amended and Restated Loan Agreement (the “A&R Loan Agreement”) with Pharmakon (as defined below), which amends and restates the Prior Pharmakon Loan Agreement. Under the A&R Loan Agreement, Pharmakon agreed to make a senior secured term loan to us in an aggregate principal amount of up to $250.0 million to be funded in three tranches, comprised of an initial $150.0 million tranche funded upon the execution of the A&R Loan Agreement and two additional tranches of up to $50.0 million each, available at our election (collectively, the “New Pharmakon Term Loans”) with a scheduled expiration date of December 31, 2026.
Previous report — wording carried elsewhere
The following table summarizes our consolidated results of operations for the periods indicated:
Previous report — wording carried elsewhere
Net revenues consist of gross revenues net of adjustments primarily relating to customer rebates, rewards associated with consumer loyalty program, and co-branded marketing programs. Revenues are recognized when control of the promised goods is transferred to the customer in an amount that reflects the consideration allocated to the related performance obligations and to which we expect to be entitled in exchange for those products or services.
Previous report — wording carried elsewhere
Net revenues increased by $19.6 million, or 10.4%, to $206.9 million for the nine months ended September 30, 2025 from $187.3 million for the nine months ended September 30, 2024, primarily due to the launch of Evolysse™ in the United States and an increase in revenues from the sales of Jeuveau®. Net revenues during the nine months ended September 30, 2025 and 2024 contained $1.1 million and $2.0 million of service revenue, respectively, from the sales of Jeuveau®through a distribution partner in Canada. We anticipate our continued sales growth will depend on (i) our ability to grow our customer base and increase purchases by our current customers in the competitive aesthetic market, (ii) the success of Evolysse TM Form and Evolysse TMSmooth products in the United States, (iii) the success of the commercial launch of Evolysse TM injectable HA gel collection in Europe and (iv) the regulatory approval for the Evolysse TM Sculpt and Evolysse TMLips products in the United States.
Previous report — wording carried elsewhere
Cost of goods sold primarily consists of inventory cost, amortization of intangible asset relating to distribution right and certain royalties. Cost of goods sold increased by $11.4 million, or 19.8%, to $69.1 million for the nine months ended September 30, 2025 from $57.7 million for the nine months ended September 30, 2024 primarily due to an increase in the volume of both Evolysse TMand Jeuveau®. We anticipate that our cost of goods sold will fluctuate in line with changes in revenues and threatened tariffs.
Previous report — wording carried elsewhere
Revaluation of Contingent Royalty Obligation Payable to Evolus Founders
Previous report — wording carried elsewhere
The change in the fair value of the contingent royalty obligation payable to the Evolus Founders is recorded in operating expenses in each reporting period. During the nine months ended September 30, 2025 and 2024, we recognized an unrealized gain of $1.9 million and an unrealized loss of $5.6 million, respectively. Changes to the fair value of contingent royalty obligation payable to Evolus Founders are driven by changes in management assumptions relating to revenue forecasts, the discount rate used and the timing of cash flows.
Previous report — wording carried elsewhere
There was minimal income tax expense in each of the nine months ended September 30, 2025 and 2024.