Evolus, Inc.
For the period ended Jun 30, 2026. Filed Aug 5, 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.
Jun 30, 2026 · Filed Aug 5, 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 2026-03-31; filed 2026-05-04.
0001570562-26-000066
Item 2. Management’s Discussion and Analysis of Financial Condition and Results of OperationsCurrent report: 10-Q
Period ended 2026-06-30; filed 2026-08-05.
0001628280-26-053468
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 99 previous paragraphs and 111 current paragraphs.
49 unchanged; 22 reworded; 30 added; 27 removed; 1 previous and 10 current paragraphs rearranged.
Tables are not compared: 2 previous and 3 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 (30)
Current report
On July 7, 2026, we entered into a License, Supply and Distribution Agreement, or the IBSA Agreement, with IBSA Institut Biochimique SA, or IBSA. Under the IBSA Agreement, IBSA granted us an exclusive right and license to develop, commercialize and distribute Profhilo®, an injectable hyaluronic acid product for skin-quality applications, in the United States for use in the aesthetics and dermatological fields. The IBSA Agreement does not require us to make any upfront payment or milestone payments to IBSA. We anticipate commercialization of Profhilo® in the United States in 2030, subject to regulatory approval.
Current report
On August 3, 2026, we entered into a series of agreements with Symatese that amended and expanded our commercialization rights under our agreements with Symatese. Under these agreements, we have added exclusive rights to commercialize the full line of Evolysse® injectable HA gel products in Europe, and in the new territories of Canada, Australia and New Zealand. As a result, we now hold exclusive rights to commercialize Evolysse® in every market where we have commercialized Jeuveau®. Under these agreements, we are required to make aggregate upfront payments of €1.4 million and may be required to make additional payments of up to €2.9 million upon receipt of certain regulatory approvals and completion of certain registration processes. We anticipate commercialization in these new territories in 2028, subject to applicable regulatory approvals.
Current report
Macroeconomic conditions in the United States remain mixed and uncertain, with moderating inflation and continued economic expansion offset by muted job growth, weaker consumer confidence, and evolving tariff and trade policy developments. Geopolitical tensions, including ongoing conflicts in the Middle East, add further uncertainty through potential disruptions to global energy markets, supply chains, and transportation networks, which could contribute to energy price volatility and heightened inflationary pressures. Collectively, these conditions may reduce discretionary spending by consumers and purchasing decisions by our customers, and, if they persist or worsen, could adversely affect the demand for our products.
Current report
U.S. tariff policy remains fluid and subject to change. Tariffs applicable to our products will increase our costs and, absent mitigation, adversely affect our gross margin and operating results. However, the ultimate impact remains uncertain given the volatility and evolving scope of U.S. and foreign trade policies. During the second quarter of 2026, Evolysse®, which we import from the European Union, was subject to a temporary 10% tariff. On July 24, 2026 those tariffs expired, and were replaced by a new 10% tariff on Evolysse® under Section 301 of the Trade Act of 1974.
Current report
Separately, beginning September 29, 2026, Jeuveau®, a biologic that is manufactured in South Korea, could be subject to a 15% tariff under Section 232 of the Trade Expansion Act of 1962, depending on how the applicable rules are interpreted and applied. We have increased inventory purchases in advance of the potential Jeuveau® tariff and are evaluating other mitigation measures while we monitor additional guidance on the scope and implementation of the tariffs, including the availability and conditions of exemptions.
Current report
Following the U.S. Supreme Court’s invalidation of tariffs previously imposed under the International Emergency Economic Powers Act, or IEEPA, we submitted claims for refunds of certain tariffs previously paid. The amount and timing of any refunds remain uncertain.
Current report
Income Tax Benefit (Expense)
Current report
Comparison of the Six Months Ended June 30, 2026 and 2025
Current report
Net Revenues
Current report
Cost of Goods Sold
Current report
Gross Profit Margin
Current report
Our gross profit margin was 67.5% and 66.7% in the six months ended June 30, 2026 and 2025, respectively. The recognition of IEEPA tariff refunds provided a 0.7 percentage point increase in gross profit margin in the six months ended June 30, 2026. We anticipate that our gross profit margin will fluctuate due to changes in product and geographic mix, the effect of current and threatened tariffs, and the impact of promotional and incentive programs on our average selling prices.
Current report
Selling, General and Administrative
Current report
Selling, general and administrative expenses decreased by $4.3 million, or 3.8%, to $109.0 million in the six months ended June 30, 2026 from $113.3 million in the six months ended June 30, 2025, primarily attributable to lower marketing and sales expenses, as the prior year period included costs associated with the launch of Evolysse®, partially offset by higher personnel-related costs. 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.
Current report
Research and Development
Current report
Depreciation and Amortization
Current report
Interest Expense, Net
Current report
In response to a potential future tariff on certain patented pharmaceutical products imported from South Korea, we accelerated the importation of certain Jeuveau®inventory during the three months ended June 30, 2026. These purchases increased inventory and accounts payable by $17.6 million as of June 30, 2026. Under agreed payment terms with Daewoong, payments for the accelerated purchases are generally deferred until the periods in which the inventory otherwise would have been purchased under our existing demand forecast. Therefore, these purchases did not result in a commensurate use of cash during the three months ended June 30, 2026. We expect additional accelerated purchases will further increase inventory and accounts payable during the remainder of 2026, but we do not expect the related cash outflows during this period to increase proportionately. We estimate such outflows to remain generally aligned with our original demand forecast. These arrangements defer our payment obligations and are expected to preserve our near-term liquidity. Although these actions may reduce our near-term tariff exposure, they do not eliminate potential exposure on future imports after this inventory is consumed. The ultimate effects on our results of operations and liquidity will depend on the applicability and duration of the tariff with respect to Jeuveau®, the timing and volume of future imports, and the availability of any exceptions, exclusions or reduced rates.
Current report
IBSA License Agreement
Current report
The IBSA Agreement provides us with an exclusive right and license to develop, commercialize and distribute Profhilo®, an injectable hyaluronic acid product for skin-quality applications, in the United States for use in the aesthetics and dermatological fields. Under the terms of the IBSA Agreement, we will be responsible for development activities required to obtain U.S. regulatory approval for Profhilo®and commercialization activities following approval. In addition, beginning in the fourth year following the commercial launch of Profhilo® in the United States, we will be subject to certain minimum purchase requirements in order to maintain our exclusive right and license, subject to certain exceptions. The amount and timing of expenditures for development activities and subsequent commercialization activities are contingent upon the occurrence of future events and will depend on, among other things, the design, scope, timing and results of clinical activities, FDA requirements, the timing of regulatory submissions and approvals and other factors.
Current report
•our ability to increase operating leverage and achieve sustainable profitability on our anticipated timelines;
Current report
•the costs of commercializing our products and product candidates, including marketing, sales and distribution costs, and the costs of maintaining an appropriately sized and productive sales force and attracting and retaining skilled personnel;
Current report
•the timing, cost and outcome of regulatory, development and clinical activities for our current and future products and product candidates;
Current report
•the timing and amount of milestone, royalty, minimum purchase and other payments under our contractual arrangements;
Current report
•our ability to forecast demand and manage product purchases, inventory, supply and related working capital, including manufacturing, freight, tariff and other supply-chain costs; and
Current report
•the timing, structure and financial terms of any acquisitions, licenses, collaborations or other corporate development activities.
Current report
Net cash used in operating activities was $13.5 million in the six months ended June 30, 2026, compared with $40.4 million in the six months ended June 30, 2025. The decrease was primarily attributable to improved operating results, including higher Jeuveau® and Evolysse® sales, lower selling, general and administrative expenses following the completion of our strategic cost structure optimization initiatives at the end of the third quarter of 2025, as well as a more favorable net impact from changes in operating assets and liabilities. The favorable working capital impact primarily reflected the timing and volume of inventory purchases and a lower net use of cash related to vendor payments and settlements of other accrued obligations, partially offset by increased accounts receivable resulting primarily from higher Jeuveau® and Evolysse®sales and the timing of customer collections.
Current report
Net cash provided by financing activities was $7.3 million in the six months ended June 30, 2026, compared with $19.0 million in the six months ended June 30, 2025. The decrease was primarily attributable to lower net proceeds from debt financing activities, which were $9.4 million in the six months ended June 30, 2026, compared with $22.4 million in the six months ended June 30, 2025.
Current report
Our material cash requirements from known contractual and other obligations, including commitments for capital expenditures, primarily consist of debt service; royalties, minimum purchase obligations and other payments under our product license and supply agreements; milestone payments; and operating lease obligations. As of June 30, 2026, our outstanding debt included $160.0 million of principal, due in 2029 and 2030, and approximately $53.0 million of estimated future interest payments, including $14.0 million due within the next twelve months. Other than the Revolving Credit Facility entered into in March 2026, there were no material changes during the six months ended June 30, 2026 to the material cash requirements as disclosed in our Annual Report on Form 10-K for the year ended December 31, 2025. For additional information regarding the amount and timing of these obligations, see Notes 7 through 9 in the Notes to the Condensed Consolidated Financial Statements in Part I, Item 1 of this Quarterly Report on Form 10-Q.
Current report
Subsequent to June 30, 2026, we entered into the Symatese EU Amendments, which require aggregate upfront payments of €1.4 million and additional payments of up to €2.9 million contingent upon receipt of certain regulatory approvals and completion of certain registration processes. We expect to fund our material cash requirements through cash on hand, cash provided by our operating activities, and available borrowing capacity.
Removed paragraphs (27)
Previous 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.
Previous report
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 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.
Previous 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.
Previous 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.
Previous 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.
Previous report
•achieving sustainable profitability;
Previous report
•the timing of regulatory approval for the additional Evolysse® products in the United States and Europe and our ability to successfully commercialize these products;
Previous report
•development costs and milestone payments related to the Evolysse® products;
Previous report
•our ability to forecast demand for our products, scale our supply to meet that demand and manage working capital effectively;
Previous report
•corporate development activities including the purchase, license, or other acquisition of products and services to add to our product or service offerings;
Previous report
•the number, characteristics, and development stage of any future product candidates we may develop or acquire;
Previous report
•the timing and costs of any ongoing or future clinical programs we may conduct;
Previous report
•the cost of manufacturing our product or any future product candidates and any products we successfully commercialize, including costs associated with our supply chain;
Previous report
•the timing and amounts of the royalty and other payments payable in connection with the Medytox Settlement Agreements;
Previous report
•the amounts of the royalty payable to the Evolus Founders;
Previous report
•the cost of commercialization activities for Jeuveau®, the Evolysse® injectable HA gel product line or any future product candidates that are approved or cleared for sale, including marketing, sales and distribution costs;
Previous report
•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 report
•our ability to establish and maintain strategic collaborations, licensing or other arrangements and the financial terms of any such agreements that we may enter into;
Previous report
•any product liability or other lawsuits related to our products;
Previous report
•the expenses needed to attract and retain skilled personnel;
Previous report
•the costs associated with being a public company;
Previous report
•the costs involved in preparing, filing, prosecuting, maintaining, defending and enforcing intellectual property and any other future intellectual litigation we may be involved in; and
Previous report
•the timing, receipt and amount of sales of any products approved or cleared in the future, if any.
Previous report
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 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.
Previous report
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.
Reworded paragraphs (22)
Previous 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.
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, or HA, gels. We currently sell Jeuveau® in the United States, Canada, certain European countries and Australia. We currently sell Evolysse® Form and Evolysse® Smooth in the United States and four Evolysse®products in Europe. We anticipate two additional Evolysse® products, Evolysse® Sculpt and Evolysse® Lips, to be approved in the United States in 2026 and 2027, respectively.
Previous 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.
Current wording
We currently operate one reportable segment, and our net product revenues are derived from the sale of Jeuveau®and 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 $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.
Current wording
Net revenues increased by $14.7 million, or 21.2%, to $84.1 million in the three months ended June 30, 2026 from $69.4 million in the three months ended June 30, 2025, primarily due to higher Jeuveau®sales. Net revenues in the three months ended June 30, 2026 and 2025 each contained $0.7 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 $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.
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 $2.8 million, or 11.8%, to $26.9 million in the three months ended June 30, 2026 from $24.1 million in the three months ended June 30, 2025, primarily attributable to higher volumes of products shipped to customers, partially offset by a reduction in cost of goods sold of $1.1 million resulting from the recognition of IEEPA tariff refunds. We anticipate that our cost of goods sold will fluctuate due to changes in product and geographic mix and the impact of current and threatened tariffs.
Previous 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.
Current wording
Our gross profit margin was 68.0% and 65.3% in the three months ended June 30, 2026 and 2025, respectively. The recognition of IEEPA tariff refunds provided a 1.2 percentage point increase in gross profit margin in the three months ended June 30, 2026. We anticipate that our gross profit margin will fluctuate due to changes in product and geographic mix, the effect of current and threatened tariffs, and the impact of promotional and incentive programs on our average selling prices.
Previous 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.
Current wording
Selling, general and administrative expenses increased by $0.4 million, or 0.7%, to $57.1 million in the three months ended June 30, 2026 from $56.7 million in the three months ended June 30, 2025, primarily resulting from increased personnel-related costs. 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 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.
Current wording
Research and development expenses were $1.9 million in the three months ended June 30, 2026 and remained relatively consistent with that in the three months ended June 30, 2025. We expect our research and development expenses to increase, if and when, we develop additional product candidates and pursue regulatory approvals.
Previous 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.
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 June 30, 2026 and 2025, we recognized a net revaluation charge of $1.3 million and an unrealized gain of $3.9 million, respectively. 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 $0.7 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.
Current wording
Depreciation and amortization increased by $0.6 million, or 64.1%, to $1.5 million in the three months ended June 30, 2026 from $0.9 million in the three months ended June 30, 2025, primarily due to an increase in amortization of internal-use software and depreciation of leasehold improvements.
Previous 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.
Current wording
Interest expense, net, decreased by $2.9 million, or 42.4%, to $3.9 million in the three months ended June 30, 2026 from $6.7 million in the three months ended June 30, 2025, primarily due to $3.0 million of debt modification fees recognized in connection with the New Pharmakon Loans in the three months ended June 30, 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
There was minimal income tax expense in each of the three months ended March 31, 2026 and 2025.
Current wording
There was minimal income tax expense in each of the six months ended June 30, 2026 and 2025.
Previous 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.
Current wording
As of June 30, 2026, we had cash and cash equivalents of $45.2 million, positive working capital of $68.8 million and stockholders’ deficit of $30.9 million.
Previous 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.
Current wording
Since inception, we have incurred recurring net operating losses and have an accumulated deficit of $679.8 million as of June 30, 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 $18.7 million and $36.0 million in the six months ended June 30, 2026 and 2025, respectively. We had a loss from operations of $11.4 million and $25.4 million in the six months ended June 30, 2026 and 2025, respectively. We used net cash of $13.5 million and $40.4 million for operating activities in the six months ended June 30, 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, including supporting the growth of Evolysse® Form, Evolysse® Smooth, Evolysse® Sculpt and Evolysse® Lips injectable HA gel products in Europe following their launch in May 2026, and pursue regulatory approvals of Evolysse® Sculpt and Evolysse® Lips in the United States.
Previous wording
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 wording
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 and 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 secured overnight financing rate (“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.
Previous 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.
Current wording
On May 5, 2025, we entered into an Amended and Restated Loan Agreement (the “A&R Loan Agreement”) with Pharmakon, which amended and restated 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
We are obligated to make quarterly royalty payments based on a low-single digit percentage of net sales of Jeuveau® to the Evolus Founders. These obligations terminate at the end of the second quarter of 2029. The fair value of the obligations is valued quarterly and is referred to in our condensed consolidated financial statements as the contingent royalty obligation.
Current wording
We are obligated to make quarterly royalty payments based on a low single-digit percentage of net sales of Jeuveau® to the Evolus Founders. These obligations terminate at the end of the second quarter of 2029, the 10-year anniversary of the first commercial sale of Jeuveau® in the United States. The fair value of the obligations is valued quarterly and is referred to in our condensed consolidated financial statements as the contingent royalty obligation.
Previous 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.
Current wording
As of June 30, 2026, we recorded an aggregate balance of $29.0 million in our condensed consolidated balance sheet for the future royalty payment obligation to the Evolus Founders.
Previous wording
Our agreement (the “Symatese Europe Agreement”) with Symatese provides us with an exclusive right to commercialize and distribute four injectable HA gel product candidates, Form, Smooth, Sculpt and Lips in 50 countries in Europe for use in the aesthetics and dermatological fields. The Symatese Europe Agreement includes certain milestone payments and minimum annual purchases which we are required to make in order to maintain the exclusivity of the license. We may, however, meet these minimum purchase obligations by achieving certain market share in our licensed territory. These potential minimum purchase obligations are contingent upon the occurrence of future events, including receipt of governmental approvals and our future market share.
Current wording
Our agreement (the “Symatese Europe Agreement”) with Symatese provides us with an exclusive right to commercialize and distribute Symatese’s injectable HA gel products in 50 countries in Europe for use in the aesthetics and dermatological fields. The Symatese Europe Agreement includes certain milestone payments and minimum annual purchases which we are required to make in order to maintain the exclusivity of the license. We may, however, meet these minimum purchase obligations by achieving certain market share in our licensed territory. On August 3, 2026, we and Symatese entered into a series of agreements (collectively, the “Symatese EU Amendments”) that amended and expanded our commercialization rights under the Symatese Europe Agreement. Pursuant to the terms of the Symatese EU Amendments, we have exclusive rights to commercialize and distribute the full line of Evolysse® injectable HA gel products in each of (i) Europe, (ii) Canada, and (iii) Australia and New Zealand. Under the Symatese EU Amendments, we are required to make aggregate upfront payments of €1.4 million and may be required to make additional payments of up to €2.9 million upon receipt of certain regulatory approvals and completion of certain registration processes.
Previous 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.
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 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
Our future funding requirements will depend on many factors, including, but not limited to:
Current wording
Our future funding requirements will depend on many factors, including:
Previous wording
•the rate of revenue growth for Jeuveau® and Evolysse® in the markets in which they are launched;
Current wording
•the rate of revenue growth for our products in the markets in which they are commercialized;
Previous 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.
Current wording
Net cash used in investing activities was $2.2 million in the six months ended June 30, 2026, compared with $4.1 million in the six months ended June 30, 2025. The decrease was primarily attributable to lower additions to capitalized internal-use software and lower purchases of property and equipment.
Rearranged current paragraphs (10)
Current report — wording carried from elsewhere
There was minimal income tax benefit in the three months ended June 30, 2026 and minimal income tax expense in the three months ended June 30, 2025.
Current report — wording carried from elsewhere
The following table summarizes our consolidated results of operations for the periods indicated:
Current report — wording carried from elsewhere
We currently operate one reportable segment, and our net product revenues are derived from the sale of Jeuveau®and 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.
Current report — wording carried from elsewhere
Net revenues increased by $19.3 million, or 14.0%, to $157.2 million in the six months ended June 30, 2026 from $137.9 million in the six months ended June 30, 2025, due to higher Jeuveau® and Evolysse®sales. Net revenues in the six months ended June 30, 2026 and 2025 each contained $1.1 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.
Current report — wording carried from 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 $5.2 million, or 11.3%, to $51.1 million in the six months ended June 30, 2026 from $45.9 million in the six months ended June 30, 2025, primarily attributable to higher volumes of products shipped to customers, partially offset by a reduction in cost of goods sold of $1.1 million resulting from the recognition of IEEPA tariff refunds. We anticipate that our cost of goods sold will fluctuate due to changes in product and geographic mix and the impact of current and threatened tariffs.
Current report — wording carried from elsewhere
Research and development expenses were $4.1 million in the six months ended June 30, 2026 and remained relatively consistent with that in the six months ended June 30, 2025. We expect our research and development expenses to increase, if and when, we develop additional product candidates and pursue regulatory approvals.
Current report — wording carried from elsewhere
Revaluation of Contingent Royalty Obligation Payable to Evolus Founders
Current report — wording carried from 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. In the six months ended June 30, 2026 and 2025, we recognized a net revaluation charge of $1.2 million and an unrealized gain of $1.8 million, respectively. 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.
Current report — wording carried from elsewhere
Depreciation and amortization increased by $1.3 million, or 74.7%, to $3.1 million in the six months ended June 30, 2026 from $1.8 million in the six months ended June 30, 2025, primarily due to an increase in amortization of internal-use software and depreciation of leasehold improvements.
Current report — wording carried from elsewhere
Interest expense, net, decreased by $2.9 million, or 27.5%, to $7.6 million in the six months ended June 30, 2026 from $10.4 million in the six months ended June 30, 2025, primarily due to $3.0 million of debt modification fees recognized in connection with the New Pharmakon Term Loans in the six months ended June 30, 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.
Rearranged previous paragraphs (1)
Previous report — wording carried elsewhere
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.