TriSalus Life Sciences, Inc.

Previous wording

In 2020, we launched TriNav, which is our newest liver therapy delivery device with SmartValve technology for our proprietary PEDD approach. In 2020, we gained transitional pass-through payments (“TPT”) approval from the Centers for Medicare & Medicaid Services (“CMS”), which allows hospitals to cover the cost of using TriNav. The approval began in January 2020 and expired at the end of 2023. On December 14, 2023, CMS created a permanent New Technology Healthcare Common Procedure Coding System ("HCPCS") code for procedures involving the TriNav Infusion System. This code became effective on January 1, 2024, and may be reported by hospital outpatient departments ("HOPDs") and ambulatory surgical centers ("ASCs") for the Company to obtain reimbursement for TriNav device. Effective April 1, 2025, TriNav received a second unique and permanent HCPCS code from CMS. This new code provides reimbursement clarity for mapping procedures conducted prior to TARE.

Current wording

In 2020, we launched TriNav, which is our newest liver therapy delivery device with SmartValve technology for our proprietary PEDD approach. In 2020, we gained transitional pass-through payments (“TPT”) approval from the Centers for Medicare & Medicaid Services (“CMS”), which allows hospitals to cover the cost of using TriNav. The approval began in January 2020 and expired at the end of 2023. On December 14, 2023, CMS created a permanent New Technology Healthcare Common Procedure Coding System ("HCPCS") code for procedures involving the TriNav Infusion System. This code became effective on January 1, 2024, and may be reported by hospital outpatient departments ("HOPDs") and ambulatory surgical centers ("ASCs") to obtain reimbursement for TriNav device. Effective April 1, 2025, TriNav received a second unique and permanent HCPCS code from CMS. This new code provides reimbursement clarity for mapping procedures conducted prior to transarterial radioembolization ("TARE"). On June 17, 2026, CMS created a permanent HCPCS G Code ("G-code") for vascular embolization or occlusion procedure with use of a pressure-generating catheter, inclusive of all radiological supervision and interpretation, intraprocedural roadmapping, and imaging guidance necessary to complete the intervention for tumors, organ ischemia or infarction performed in the non-facility setting. This code became effective on July 1, 2026, and may be reported by outpatient-based labs ("OBLs") to obtain reimbursement for the TriNav device.

Previous wording

We also initiated a registry study called PROTECT (Pressure Enabled Retrograde Occlusive Therapy with Embolization for Control of Thyroid Disease) and intends to enroll 100 patients across five leading academic sites. It is estimated that approximately 5% of adults have multinodular goiters, and the prevalence in adults over 50 is estimated to be up to 50%. We estimate that this could expand the addressable market by approximately 50,000 procedures, representing an incremental $400 million market opportunity. This new procedure utilizing the TriNav system is also eligible for the same HCPCS reimbursement code allowing for seamless integration into current billing approaches.

Current wording

We also initiated a registry study called PROTECT (Pressure Enabled Retrograde Occlusive Therapy with Embolization for Control of Thyroid Disease) and intend to enroll 100 patients at approximately 10 sites. It is estimated that approximately 5% of adults have multinodular goiters, and the prevalence in adults over 50 is estimated to be up to 50%. We estimate that this could expand the addressable market by approximately 50,000 procedures, representing an incremental $400 million market opportunity. This new procedure utilizing TriNav is also eligible for the same HCPCS reimbursement code allowing for seamless integration into current billing approaches.

Previous wording

We are a high growth, high margin company approaching a level of revenues that can generate sufficient cash flow to sustain our operations. Beginning in 2020, our mission was to improve the delivery of therapeutics to solid tumors across a range of different diseases and tumor types. Additionally, we acquired an immune-oncology drug, nelitolimod, in July 2020, and conducted several Phase I clinical trials to study the ability and value of our PEDD technology. We have completed Phase I dose escalation (UMLM and LA-PDAC) and Phase Ib (ICC/HCC) clinical trials for nelitolimod. Due to physician and investigator interest, we are supporting two Investigator Initiated Trials of nelitolimod, one in patients with advanced HCC in combination with cryoablation, durvalumab and tremelimumab and another in patients with resectable colorectal liver metastases. Due to the excessive cost of capital, we do not intend to proceed to Phase II trials for that indication on our own, but we are looking for potential partners to advance that indication. Our PERIO-03 Phase I dose escalation in LA-PDAC is complete and we anticipate releasing a consolidated clinical update in the second half of 2026 and will begin discussions for a pharmaceutical partner for further clinical development.

Current wording

We are a high growth, high margin company approaching a level of revenues that can generate sufficient cash flow to sustain our operations. Beginning in 2020, our mission was to improve the delivery of therapeutics to solid tumors across a range of different diseases and tumor types. Additionally, we acquired an immune-oncology drug, nelitolimod, in July 2020, and conducted several Phase I clinical trials to study the ability and value of our PEDD technology. We conducted two Phase I dose escalation (UMLM and LA-PDAC) and Phase Ib (ICC/HCC) clinical trials for nelitolimod. These trials have now concluded. Due to physician and investigator interest, we are supporting two Investigator Initiated Trials of nelitolimod, one in patients with advanced HCC in combination with cryoablation, durvalumab and tremelimumab and another in patients with resectable colorectal liver metastases. Due to the excessive cost of capital, we do not intend to proceed to Phase II trials for that indication on our own, but we are looking for potential partners to advance that indication. We anticipate releasing a consolidated clinical update in the second half of 2026 and will begin discussions for a pharmaceutical partner for further clinical development.

Previous wording

Other expense, net represents miscellaneous expenses that historically have been immaterial.

Current wording

Other income (expense), net represents miscellaneous income and expenses that historically have been immaterial.

Previous wording

The following table sets forth our condensed consolidated statements of operations data for each of the periods indicated (in thousands):

Current wording

The following tables set forth our condensed consolidated statements of operations data for each of the periods indicated (in thousands):

Previous wording

Cost of goods sold decreased by $0.3 million, or 17.7%, for the three months ended March 31, 2026, as compared to the three months ended March 31, 2025. The decrease in cost of goods sold was primarily due to both lower unit volume and a reduction in cost per TriNav unit sold.

Current wording

Cost of goods sold decreased by $0.3 million, or 16.3%, for the three months ended June 30, 2026, as compared to the three months ended June 30, 2025. The decrease in cost of goods sold was primarily due to a reduction in cost per TriNav unit sold.

Previous wording

Gross profit was relatively consistent for the three months ended March 31, 2026, as compared to the three months ended March 31, 2025, while gross margin increased from 83.7% to 86.2% year over year. The increase in gross margin was primarily driven by lower average cost per TriNav unit.

Current wording

Gross profit increased by $0.5 million, or 5.2%, for the three months ended June 30, 2026, as compared to the three months ended June 30, 2025, and gross margin increased from 83.9% to 86.8% year over year. The increase in gross profit and gross margin was primarily due to a reduction in cost per TriNav unit.

Previous wording

Sales and marketing expenses increased by $0.7 million, or 10.1%, for the three months ended March 31, 2026, as compared to the three months ended March 31, 2025. The increase was primarily due to increased investment with our sales organization expansion and non-cash stock-based compensation expense during the three months ended March 31, 2026 compared to prior year.

Current wording

Sales and marketing expenses increased by $4.3 million, or 59.4%, for the three months ended June 30, 2026, as compared to the three months ended June 30, 2025. The increase was primarily due to increased investment in marketing and our sales organization expansion during the three months ended June 30, 2026 compared to prior year.

Previous wording

General and administrative expenses increased by $0.2 million, or 3.9%, for the three months ended March 31, 2026, as compared to the three months ended March 31, 2025. The increase was primarily due to non-cash stock-based compensation expense, partially offset by lower professional services costs related to legal and audit related expenses.

Current wording

General and administrative expenses decreased by $0.8 million, or 12.7%, for the three months ended June 30, 2026, as compared to the three months ended June 30, 2025. The decrease was primarily due to lower professional services costs related to legal and audit related expenses.

Previous wording

Interest income increased by $0.1 million for the three months ended March 31, 2026 compared to the three months ended March 31, 2025. The increase was due to interest earned on a higher cash and cash equivalents balance during the three months ended March 31, 2026 compared to prior year.

Current wording

Interest income increased by $0.3 million for the three months ended June 30, 2026 compared to the three months ended June 30, 2025. The increase was due to interest earned on a higher cash and cash equivalents balance during the three months ended June 30, 2026 compared to prior year.

Previous wording

The change in fair value of SEPA, warrant and revenue base redemption liabilities resulted in a gain of $3.9 million in the three months ended March 31, 2026, compared to a loss of $0.8 million in the three months ended March 31, 2025, a difference of $4.7 million. The change was primarily due to a decrease in the Company's stock price during the three months ended March 31, 2026 as compared to prior year.

Current wording

The change in fair value of SEPA, warrant and revenue base redemption liabilities resulted in a gain of $2.6 million in the three months ended June 30, 2026, compared to a loss of $0.3 million in the three months ended June 30, 2025, a difference of $2.9 million. The change was primarily due to the decrease in the Company's warrant stock price during the three months ended June 30, 2026 as compared to prior year.

Previous wording

Interest expense increased by $0.2 million or 18.8% for the three months ended March 31, 2026, as compared to the three months ended March 31, 2025. The increase was due to interest on borrowings under the First Delayed Draw Term Loan that was only outstanding for a portion of the three months ended March 31, 2025, and the lender fee incurred for the OrbiMed Fourth Amendment, offset by no PIK interest for the three months ended March 31, 2026.

Current wording

Interest expense increased by $0.3 million or 11.2% for the six months ended June 30, 2026, as compared to the six months ended June 30, 2025. The increase was due to interest on borrowings under the First Delayed Draw Term Loan that was only outstanding for a portion of the six months ended June 30, 2025, a slight increase in the effective interest rate and additional debt discount amortization for the lender fees incurred for the OrbiMed Fourth and Fifth Amendments during the six months ended June 30, 2026.

Previous wording

The change in fair value of contingent earnout liability resulted in a gain of $7.4 million for the three months ended March 31, 2026 compared to a loss of $0.8 million for the three months ended March 31, 2025. The change in the fair value of the contingent earnout liability during the period is primarily driven by a change of the following inputs into the valuation of the liability: the decrease in stock price, the shortened achievement time frame for the vesting thresholds and the slight decrease in the risk-free rate.

Current wording

The change in fair value of contingent earnout liability resulted in a gain of $6.4 million for the six months ended June 30, 2026 compared to a loss of $0.1 million for the six months ended June 30, 2025. The change in the fair value of the contingent earnout liability during the period was primarily driven by the decrease in the Company's stock price.

Previous wording

Other expense, net, decreased by $0.2 million, or 69.7%, for the three months ended March 31, 2026, as compared to the three months ended March 31, 2025. The decrease is primarily driven by the retirement of lease assets that did not recur during three months ended March 31, 2026.

Current wording

Other income (expense), net, decreased by $0.3 million of expense for the six months ended June 30, 2026, as compared to the six months ended June 30, 2025. The decrease in expense was primarily driven by the retirement of lease assets that did not recur during the six months ended June 30, 2026.

Previous wording

Since inception, we have incurred significant operating losses and expect to continue to incur operating losses for the foreseeable future due to the investments we will continue to make in R&D and sales and marketing, and due to additional general and administrative costs we expect to incur as a public company. We incurred operating losses of $8.4 million and $7.3 million for the three months ended March 31, 2026 and 2025, respectively. We had cash and cash equivalents of approximately $56.6 million and $20.4 million as of March 31, 2026 and December 31, 2025, respectively. Since inception, we have financed operations primarily through the issuance of and sales of common and preferred stock, convertible notes, term loans and proceeds from the exercise of warrants. We are still in our early stages of development and have yet to generate revenues sufficient to fund cash flows from operations. Our ability to fund future operations and execute our long-term business plan and strategy will require that we raise additional capital through the issuance of additional equity and/or debt. There can be no assurance that we will be able to raise such additional financing on satisfactory terms, if at all. If additional capital is not secured when required, we may need to delay or curtail our operations until such funding is received.

Current wording

Since inception, we have incurred significant operating losses and expect to continue to incur operating losses for the foreseeable future due to the investments we will continue to make in R&D and sales and marketing, and due to additional general and administrative costs we expect to incur as a public company. We incurred operating losses of $18.2 million and $14.7 million for the six months ended June 30, 2026 and 2025, respectively. We had cash and cash equivalents of approximately $46.3 million and $20.4 million as of June 30, 2026 and December 31, 2025, respectively. Since inception, we have financed operations primarily through the issuance of and sales of common and preferred stock, convertible notes, term loans and proceeds from the exercise of warrants. We are still in our early stages of development and have yet to generate revenues sufficient to fund cash flows from operations. Our ability to fund future operations and execute our long-term business plan and strategy will require that we raise additional capital through the issuance of additional equity and/or debt. There can be no assurance that we will be able to raise such additional financing on satisfactory terms, if at all. If additional capital is not secured when required, we may need to delay or curtail our operations until such funding is received.

Previous wording

On February 23, 2026 and February 25, 2026, we raised net proceeds of $42.6 million through a public offering of shares of our Common Stock, including the purchase of optional shares as per the Underwriting Agreement. On March 26, 2026, we entered into the OrbiMed Fourth Amendment, which reduced two of the Product Revenue Base (see Note 9) thresholds. As of March 31, 2026, we were in compliance with the Product Revenue Base requirement and no repayments were required.

Current wording

On February 23, 2026 and February 25, 2026, we raised net proceeds of $42.6 million through a public offering of shares of our Common Stock, including the purchase of optional shares as per the Underwriting Agreement. On March 26, 2026 and May 28, 2026, we entered into the OrbiMed Fourth Amendment and OrbiMed Fifth Amendment, respectively, which reduced two of the Product Revenue Base thresholds (see Note 9). As of June 30, 2026, we were in compliance with the Product Revenue Base requirement and no repayments were required.

Previous wording

For the three months ended March 31, 2026, net cash used in operating activities was $6.5 million. The net cash used in operating activities consisted of net income of $1.5 million, adjusted for non-cash activity totaling $8.3 million, primarily related to a gain on the adjustment of the fair value of the contingent earnout liability and the fair value of the SEPA, warrant and revenue base redemption liabilities of $7.4 million and $3.9 million, respectively, partially offset by stock-based compensation of $2.5 million, depreciation of $0.1 million and amortization of debt issuance costs of $0.3 million. Net operating assets decreased by $0.3 million, primarily due to a decrease in accounts receivable partially offset by increases in inventory, net and prepaid expenses.

Current wording

For the six months ended June 30, 2026, net cash used in operating activities was $16.6 million. The net cash used in operating activities consisted of net loss of $7.6 million, adjusted for non-cash activity totaling $6.7 million, primarily related to gains on the change in the fair value of the contingent earnout liability and the fair value of the SEPA, warrant and revenue base redemption liabilities of $6.4 million and $6.5 million, respectively, partially offset by stock-based compensation of $5.1 million, depreciation of $0.3 million and amortization of debt issuance costs of $0.6 million. Net operating assets increased by $2.2 million, primarily due to increases in inventory, net and prepaid expenses and a decrease in accrued liabilities, partially offset by an increase in trade payables.

Previous wording

For the three months ended March 31, 2025, net cash used in operating activities was $4.5 million. The net cash used in operating activities consisted of net loss of $10.4 million adjusted for non-cash activity totaling $4.3 million, primarily related to stock-based compensation of $1.6 million, the adjustments of the fair value of the contingent earnout liability of $0.8 million and SEPA, warrant and revenue base redemption liabilities of $0.8 million. The change in net operating assets and liabilities decreased $1.6 million, due primarily to an increase in trade payables and accrued liabilities.

Current wording

For the six months ended June 30, 2025, net cash used in operating activities was $11.8 million. The net cash used in operating activities consisted of net loss of $18.7 million adjusted for non-cash activity totaling $6.6 million, primarily related to stock-based compensation of $3.5 million, changes in the fair value of the contingent earnout liability and SEPA, warrant and revenue base redemption liabilities of $0.1 million and $1.2 million, respectively, and debt expenses of $1.1 million related to paid-in-kind interest and amortization of debt issuance costs. The change in net operating assets and liabilities decreased $0.2 million, due primarily to a decrease in prepaid expenses offset by an increase in accounts receivable.

Previous wording

Net cash used in investing activities of $0.1 million for the three months ended March 31, 2026 was primarily due to purchases of property and equipment of $0.1 million.

Current wording

Net cash used in investing activities of $0.2 million for the six months ended June 30, 2026 was primarily due to purchases of property and equipment of $0.2 million.

Previous wording

Net cash used in investing activities of $0.7 million for the three months ended March 31, 2025 was primarily due to purchases of property and equipment of $0.8 million.

Current wording

Net cash used in investing activities of $0.6 million for the six months ended June 30, 2025 was primarily due to purchases of property and equipment of $0.7 million.

Previous wording

Net cash provided by financing activities of $42.4 million for the three months ended March 31, 2026, consisted primarily of $42.6 million of net proceeds raised from the issuance of Common Stock through a public offering.

Current wording

Net cash provided by financing activities of $42.3 million for the six months ended June 30, 2026, consisted primarily of $42.6 million of net proceeds raised from the issuance of Common Stock through a public offering and $0.3 million in proceeds from the issuance of Common Stock through ESPP, offset by $0.6 million of debt issuance costs.

Previous wording

Net cash provided by financing activities of $9.7 million for the three months ended March 31, 2025 was due to $9.5 million, net of expenses, from the First Delayed draw under the OrbiMed Credit Agreement.

Current wording

Net cash provided by financing activities of $30.4 million for the six months ended June 30, 2025, consisted primarily of $20.5 million, net of expenses, from the April 30, 2025 Private Placement and $9.5 million, net of expenses, from the First Delayed draw under the OrbiMed Credit Agreement.

Previous wording

Our contractual obligations as of March 31, 2026, include lease obligations of $2.0 million, reflecting the minimum commitments for our principal administrative and production facility, other office spaces and computers.

Current wording

Our contractual obligations as of June 30, 2026, include lease obligations of $1.9 million, reflecting the minimum commitments for our principal administrative and production facility, other office spaces and computers.

Previous wording

Our significant accounting policies and estimates are described in Note 2 to our consolidated financial statements and Management’s Discussion and Analysis of Financial Condition and Results of Operations, respectively, in our Annual Report on Form 10-K for the year ended December 31, 2025. Also refer to Note 1, Nature of Business and Basis of Presentation, in this report. There have been no significant changes in our critical accounting policies during the three months ended March 31, 2026, as compared to the critical accounting policies disclosed in Management's Discussion and Analysis of Financial Condition and Results of Operations included in our Annual Report on Form 10-K for the year ended December 31, 2025, filed with the SEC on March 5, 2026. While all of these significant accounting policies affect the reporting of our financial condition and results of operations, we view certain of these policies as critical. Policies determined to be critical are those policies that have the most significant impact on our financial statements and require us

Current wording

Our significant accounting policies and estimates are described in Note 2 to our consolidated financial statements and Management’s Discussion and Analysis of Financial Condition and Results of Operations, respectively, in our Annual Report on Form 10-K for the year ended December 31, 2025. Also refer to Note 1, Nature Of Business And Basis Of Presentation, in this report. There have been no significant changes in our critical accounting policies during the six months ended June 30, 2026, as compared to the critical accounting policies disclosed in Management's Discussion and Analysis of Financial Condition and Results of Operations included in our Annual Report on Form 10-K for the year ended December 31, 2025, filed with the SEC on March 5, 2026. While all of these significant accounting policies affect the reporting of our financial condition and results of operations, we view certain of these policies as critical. Policies determined to be critical are those policies that have the most significant impact on our financial statements and require us