BridgeBio Pharma, Inc.

Previous wording

We currently generate material revenues from one commercial product and have multiple product candidates in late-stage development. Acoramidis received FDA approval in November 2024 as Attruby, and it received approval as Beyonttra from (i) the European Commission (“EC”) on February 10, 2025, (ii) the Japanese Ministry of Health, Labour and Welfare on March 27, 2025 (pricing approval from the National Health Insurance in Japan was subsequently obtained on May 21, 2025), and (iii) the United Kingdom Medicines and Healthcare Products Regulatory Agency in the UK in April 2025. On March 30, 2026, we submitted our New Drug Application to the FDA for oral BBP-418 for the treatment of LGMD2I/R9.

Current wording

We currently generate material revenues from one commercial product and have multiple product candidates in late-stage development. Acoramidis received FDA approval in November 2024 as Attruby, and it received approval as Beyonttra from (i) the European Commission (“EC”) on February 10, 2025, (ii) the Japanese Ministry of Health, Labour and Welfare on March 27, 2025 (pricing approval from the National Health Insurance in Japan was subsequently obtained on May 21, 2025), and (iii) the United Kingdom Medicines and Healthcare Products Regulatory Agency in the UK in April 2025. On March 30, 2026, we submitted our New Drug Application (“NDA”) to the FDA for oral BBP-418 for the treatment of LGMD2I/R9. On May 27, 2026, the FDA accepted our NDA for filing, granted Priority Review and assigned a Prescription Drug User Fee Act (“PDUFA”) target action date of November 27, 2026 for BBP-418. On May 12, 2026, we submitted our NDA to the FDA for encaleret as a potential targeted treatment for ADH1. The FDA accepted our NDA for filing and assigned a PDUFA target action date of May 8, 2027 for encaleret. We submitted our NDA to the FDA for low-dose infigratinib for achondroplasia.

Previous wording

We have incurred significant operating losses since our inception. For the three months ended March 31, 2026 and 2025, we incurred net losses of $166.6 million and $169.6 million, respectively. Our ability to generate product revenue sufficient to achieve profitability will depend heavily on the success of our commercialization strategy for Attruby and Beyonttra, and the development and eventual commercialization of our product candidates at our wholly-owned subsidiaries and controlled entities. Further, we may not realize the anticipated efficiencies and other benefits of our past and any future restructuring initiatives. Failure to generate sufficient cash flows from operations, raise additional capital or reduce certain discretionary spending may have a material adverse effect on our ability to achieve our intended business objectives. We expect to continue to incur operating and net losses for at least the next several years.

Current wording

We have incurred significant operating losses since our inception. For the six months ended June 30, 2026 and 2025, we incurred net losses of $322.4 million and $353.4 million, respectively. Our ability to generate product revenue sufficient to achieve profitability will depend heavily on the success of our commercialization strategy for Attruby and Beyonttra, and the development and eventual commercialization of our product candidates at our wholly-owned subsidiaries and controlled entities. Further, we may not realize the anticipated efficiencies and other benefits of our past and any future restructuring initiatives. Failure to generate sufficient cash flows from operations, raise additional capital or reduce certain discretionary spending may have a material adverse effect on our ability to achieve our intended business objectives. We expect to continue to incur operating and net losses for at least the next several years.

Previous wording

On May 6, 2026, our Board of Directors approved a stock repurchase program pursuant to which we may purchase up to $500.0 million of BridgeBio’s outstanding common stock. Stock repurchases under the program may be made from time to time, in the open market, in privately negotiated transactions and otherwise, at the discretion of our management and in accordance with applicable federal securities laws, including Rule 10b-18 of the Exchange Act, and other applicable legal requirements. The timing, pricing, and amounts of these repurchases will depend on a number of factors, including the market price of our common stock and general market and economic conditions. The stock repurchase program does not obligate us to repurchase any dollar amount or number of shares, and the program may be suspended or discontinued at any time.

Current wording

In May 2026, our Board of Directors approved a stock repurchase program pursuant to which we may purchase up to $500.0 million of our outstanding common stock. Stock repurchases under the program may be made from time to time, in the open market, in privately negotiated transactions and otherwise, at the discretion of our management and in accordance with applicable federal securities laws, including Rule 10b-18 of the Exchange Act, and other applicable legal requirements. The timing, pricing, and amounts of these repurchases will depend on a number of factors, including the market price of our common stock and general market and economic conditions. The stock repurchase program does not obligate us to repurchase any dollar amount or number of shares, and the program may be suspended or discontinued at any time. As of June 30, 2026, we repurchased 1,904,001 shares in the open market at an average price of $66.96 per share for a total of approximately $127.5 million. The repurchased shares were held as treasury stock as of June 30, 2026.

Previous wording

Total revenues, net increased by $77.9 million for the three months ended March 31, 2026, compared to the same period in 2025, which consisted of an increase of $143.9 million in net product revenue, a decrease of $75.3 million in license and services revenue, and an increase of $9.3 million in royalty revenue.

Current wording

Total revenues, net increased by $133.1 million for the three months ended June 30, 2026, compared to the same period in 2025, which consisted of an increase of $150.9 million in net product revenue, a decrease of $31.6 million in license and services revenue, and an increase of $13.8 million in royalty revenue. Total revenues, net increased by $211.0 million for the six months ended June 30, 2026, compared to the same period in 2025, which consisted of an increase of $294.8 million in net product revenue, a decrease of $106.9 million in license and services revenue, and an increase of $23.1 million in royalty revenue.

Previous wording

Net product revenue from Attruby increased for the three months ended March 31, 2026, compared to the same period in 2025.

Current wording

Net product revenue from Attruby increased for the three and six months ended June 30, 2026, compared to the same periods in 2025, primarily due to continued commercial expansion driven by patient demand.

Previous wording

License and services revenue decreased for the three months ended March 31, 2026, compared to the same period in 2025, primarily due to recognition of $75.0 million of license and services revenue in 2025 for milestone achievements following the approval of Beyonttra in the EU.

Current wording

License and services revenue decreased for the three months ended June 30, 2026, compared to the same period in 2025, primarily due to the achievement of a regulatory milestone of $30.0 million recognized under the Eidos-Alexion License Agreement in 2025. License and services revenue decreased for the six months ended June 30, 2026, compared to the same period in 2025, primarily due to $105.0 million recognized for regulatory milestone achievements following approval of Beyonttra in the EU and pricing approval of Beyonttra in Japan in 2025.

Previous wording

Royalty revenue increased for the three months ended March 31, 2026, compared to the same period in 2025, primarily due to royalties earned from net product sales of Beyonttra in the EU, following EC approval in February 2025, and in Japan, following pricing approval in May 2025.

Current wording

Royalty revenue increased for the three and six months ended June 30, 2026, compared to the same periods in 2025, primarily due to royalties earned from net product sales of Beyonttra in the EU, following EC approval in February 2025, and in Japan, following pricing approval in May 2025.

Previous wording

Following the FDA approval of Attruby in November 2024, we commercialized Attruby in the U.S. and anticipate our future revenue to primarily be generated from recurring net product revenue from Attruby and future commercial products, if approved. In addition, the level of license and services revenue that we recognize depends in part upon the estimated recognition period of the upfront payments allocated to continuing performance obligations, the achievement of milestones and other contingent events, the level of effort incurred for research and development contracted services, and the impact of entering into new licensing and collaboration agreements, if any. Furthermore, following the regulatory approvals of Beyonttra in the EU in February 2025, in Japan in March 2025, and in the UK in April 2025, we anticipate significant future royalty revenue to be generated from the commercial sales of Beyonttra by Bayer and Alexion.

Current wording

Following the FDA approval of Attruby in November 2024, we commercialized Attruby in the U.S. and anticipate our future revenue to primarily be generated from recurring net product revenue from Attruby and future commercial products, if approved. In addition, the level of license and services revenue that we recognize depends in part upon the estimated recognition period of the upfront payments allocated to continuing performance obligations, the achievement of milestones and other contingent events, the level of effort incurred for research and development contracted services, and the impact of entering into new licensing and collaboration agreements, if any. Furthermore, following the regulatory approvals of Beyonttra in the EU, Japan, and in the UK in 2025, we anticipate significant future royalty revenue to be generated from the commercial sales of Beyonttra by our commercial partners, Bayer and Alexion.

Previous wording

Total cost of revenues increased by $7.3 million for the three months ended March 31, 2026, compared to the same period in 2025, primarily due to an increase of $5.7 million in cost of goods sold and an increase of $1.6 million in cost of license, services, and royalty revenue.

Current wording

Total cost of revenues increased by $11.4 million for the three months ended June 30, 2026, compared to the same period in 2025 primarily due to an increase of $7.7 million in cost of goods sold and an increase of $3.7 million in cost of license, services, and royalty revenue. Total cost of revenues increased by $18.7 million for the six months ended June 30, 2026, compared to the same period in 2025 primarily due to an increase of $13.4 million in cost of goods sold and an increase of $5.3 million in cost of license, services, and royalty revenue.

Previous wording

Cost of goods sold for the three months ended March 31, 2026 and 2025 consists of manufacturing costs, transportation and freight-in, and indirect overhead costs (including salary and benefits related and stock-based compensation expenses) associated with the commercial manufacturing and distribution of Attruby, and third-party royalties associated with our net product revenue.

Current wording

Cost of goods sold for the three and six months ended June 30, 2026 and 2025 consists of contract manufacturing costs, transportation and freight-in, and indirect overhead costs (including salary and benefits related and stock-based compensation expenses) associated with the commercial manufacturing and distribution of Attruby, and third-party royalties associated with our net product revenue.

Previous wording

Cost of license, services, and royalty revenue for the three months ended March 31, 2026 and 2025, consists mainly of third-party royalties associated with commercial sales of Beyonttra, manufacturing costs relating to product supply of Beyonttra to our collaboration partners, and amortization of intangible assets for milestones achieved upon FDA approval from our license and collaboration agreements. We began incurring royalties and manufacturing costs associated with commercial sales of Beyonttra upon its approval in the EU, Japan, and the UK in 2025.

Current wording

Cost of license, services, and royalty revenue for the three and six months ended June 30, 2026 and 2025, consists mainly of third-party royalties associated with commercial sales of Beyonttra, contract manufacturing costs relating to product supply of Beyonttra to our collaboration partners, and amortization of intangible assets for milestones achieved upon FDA approval from our license and collaboration agreements. We began incurring royalties and manufacturing costs associated with commercial sales of Beyonttra upon its approval in the EU, Japan, and the UK in 2025.

Previous wording

Research and development expenses increased by $15.2 million for the three months ended March 31, 2026, compared to the same period in 2025. The increase consisted of a $9.7 million increase in external costs, a $4.6 million increase in personnel-related expenses, and a $0.9 million increase in stock-based compensation expenses, which are collectively driven by the development of late-stage programs.

Current wording

Research and development expenses increased by $38.2 million and $53.4 million for the three and six months ended June 30, 2026, respectively, compared to the same periods in 2025. The increases are primarily driven by the development of late-stage programs.

Previous wording

Selling, general and administrative expenses increased by $57.5 million for the three months ended March 31, 2026, compared to the same period in 2025. The increase was primarily driven by a $43.9 million increase in external costs, an $11.4 million increase in personnel-related expenses, and a $2.2 million increase in stock-based compensation expenses, reflecting continued investment in the ongoing commercialization of Attruby and pre-commercial activities for our Phase 3 product candidates.

Current wording

The increase of $57.1 million for the three months ended June 30, 2026 was primarily driven by a $29.9 million increase in external costs, a $22.0 million increase in personnel-related expenses due to increased headcount, and a $5.2 million increase in stock-based compensation expenses, reflecting continued investment in the ongoing commercialization of Attruby and pre-commercial activities for our late-stage product candidates.

Previous wording

Interest income has historically consisted of interest income earned on our cash, cash equivalents and marketable securities. Generally, increases and decreases in interest income during the three months ended March 31, 2026 and 2025 are attributable to changes in the interest-bearing average balances of our cash, cash equivalents, marketable securities, and fluctuations in interest rates.

Current wording

Interest income has historically consisted of interest income earned on our cash, cash equivalents and marketable securities. Generally, increases and decreases in interest income during the three and six months ended June 30, 2026 and 2025 are attributable to changes in the interest-bearing average balances of our cash, cash equivalents, marketable securities, and fluctuations in interest rates.

Previous wording

Subsequent to the deconsolidation of GondolaBio, LLC (“GondolaBio”) in August 2024 and TheRas, Inc. (“Legacy BBOT”) in April 2024, we account for our investments in GondolaBio and Legacy BBOT (now referred to as “BBOT” as the new combined company as more fully discussed in Note 5 to our condensed consolidated financial statements) using the equity method of accounting. For the three months ended March 31, 2026 we recorded net loss from the equity method investments in GondolaBio and BBOT of $6.4 million and $11.7 million, respectively. For the three months ended March 31, 2025 we recorded net loss from equity method investments in GondolaBio and Legacy BBOT of $6.8 million and $8.7 million, respectively.

Current wording

We account for our investments in GondolaBio and Legacy BBOT (now referred to as “BBOT” as the new combined company as more fully discussed in Note 5 to our condensed consolidated financial statements) using the equity method of accounting. For the three months ended June 30, 2026 we recorded net loss from the equity method investments in GondolaBio and BBOT of nil and $6.2 million, respectively. For the six months ended June 30, 2026 we recorded net loss from the equity method investments in GondolaBio and BBOT of $6.4 million and $17.9 million, respectively. For the three months ended June 30, 2025 we recorded net loss from equity method investments in GondolaBio and Legacy BBOT of $9.1 million and $11.1 million, respectively. For the six months ended June 30, 2025 we recorded net loss from equity method investments in GondolaBio and Legacy BBOT of $15.9 million and $19.8 million, respectively.

Previous wording

The decrease of $4.0 million for the three months ended March 31, 2026, compared to the same period in 2025, was primarily driven by a decrease in other income resulting from the change in fair value of the embedded derivative liability component of our deferred royalty obligation under the Funding Agreement.

Current wording

The decrease for the three months ended June 30, 2026, compared to the same period in 2025, was primarily driven by a $3.4 million decrease in net gains on foreign currency transactions and an $0.8 million decrease in other income recognized under the respective transition services agreements with GondolaBio and BBOT (as described in Note 5 to our condensed consolidated financial statements), partially offset by a $2.0 million increase in other income resulting from the change in fair value of the embedded derivative liability component of our deferred royalty obligation under the Funding Agreement and $1.4 million of other nonrecurring expense, net incurred in the prior period.

Previous wording

We have historically financed our operations primarily through the sale of our equity securities, issuance of convertible notes, debt borrowings, royalty monetization, cash proceeds from net product revenue and royalties, and upfront and milestone payments received from licensing arrangements. As of March 31, 2026, we have cash, cash equivalents, and marketable securities of $940.2 million, including funds held by our wholly-owned subsidiaries and controlled entities. As of March 31, 2026, we have outstanding debt of $2.5 billion related to the convertible senior notes and deferred royalty obligations of $892.7 million, both of which are net of amortization of debt discount and issuance costs.

Current wording

We have historically financed our operations primarily through the sale of our equity securities, issuance of convertible notes, debt borrowings, royalty monetization, cash proceeds from net product revenue and royalties, and upfront and milestone payments received from license and collaboration arrangements. As of June 30, 2026, we had cash, cash equivalents, and marketable securities of $720.2 million, including funds held by our wholly-owned subsidiaries and controlled entities. As of June 30, 2026, we had outstanding debt of approximately $2.5 billion related to our convertible senior notes, consisting of $548.0 million related to our 2027 Notes (which matures on March 15, 2027 and is classified as a current liability), $741.9 million related to our 2029 Notes, $565.5 million related to our 2031 Notes, and $620.1 million related to our 2033 Notes, in each case net of unamortized debt discount and issuance costs, and deferred royalty obligations of $908.7 million.

Previous wording

Since inception, we have incurred significant operating losses. For the three months ended March 31, 2026 and 2025, we incurred net losses of $166.6 million and $169.6 million, respectively. We incurred net cash outflow from operations of $197.3 million and $199.2 million for the same periods, respectively. We had an accumulated deficit as of March 31, 2026 and December 31, 2025 of $4.0 billion and $3.8 billion, respectively. While we have undertaken a restructuring initiative to drive operational change in business processes, efficiencies and cost savings, we expect to continue to incur operating and net losses over the next several years as we continue to fund our drug development and discovery efforts, as well as costs related to commercial launch readiness for our late-stage programs. In particular, to the extent we advance our programs into and through later-stage clinical trials without a partner, we will incur substantial expenses. In addition, we may not be able to generate significant revenues from product sales of any of our product candidates, even if any of our product candidates are approved for commercial sale. Further, we may not realize the anticipated efficiencies and other benefits of our past and any future restructuring initiatives. Our current business plan is also subject to significant uncertainties and risks as a result of, among other factors, our ability to generate net product revenue sufficient to achieve profitability, which will depend heavily on the successful development and eventual commercialization of our product candidates at our consolidated entities as well as our ability to partner in the development of certain late-stage clinical programs.

Current wording

Since inception, we have incurred significant operating losses. For the six months ended June 30, 2026 and 2025, we incurred net losses of $322.4 million and $353.4 million, respectively. We incurred net cash outflow from operations of $268.4 million and $279.9 million for the same periods, respectively. We had an accumulated deficit as of June 30, 2026 and December 31, 2025 of $4.1 billion and $3.8 billion, respectively. While we have historically undertaken a restructuring initiative to drive operational change in business processes, efficiencies and cost savings, we expect to continue to incur operating and net losses over the next several years as we continue to fund our drug development and discovery efforts, as well as costs related to commercial launch readiness for our late-stage programs. In particular, to the extent we advance our programs into and through later-stage clinical trials without a partner, we will incur substantial expenses. In addition, we may not be able to generate significant revenues from product sales of any of our product candidates, even if any of our product candidates are approved for commercial sale. Further, we may not realize the anticipated efficiencies and other benefits of our past and any future restructuring initiatives. Our current business plan is also subject to significant uncertainties and risks as a result of, among other factors, our ability to generate net product revenue sufficient to achieve profitability, which will depend heavily on the successful development and eventual commercialization of our product candidates at our consolidated entities as well as our ability to partner in the development of certain late-stage clinical programs.

Previous wording

Our short-term and long-term liquidity requirements include contractual payments related to our 2033 Notes, 2031 Notes, 2029 Notes, and 2027 Notes (refer to Note 8 to our condensed consolidated financial statements), our deferred royalty obligations, net under the Funding Agreement and Royalty Purchase Agreement (refer to Note 9 to our condensed consolidated financial statements), obligations under our real estate leases (refer to Note 12 to our condensed consolidated financial statements), accounts payable, accrued liabilities and the remaining liabilities under our restructuring initiative (refer to Note 15 to our condensed consolidated financial statements).

Current wording

Our short-term and long-term liquidity requirements include contractual payments related to our 2027 Notes, 2029 Notes, 2031 Notes, and 2033 Notes (refer to Note 8 to our condensed consolidated financial statements), our deferred royalty obligations, net under the Funding Agreement and Royalty Purchase Agreement (refer to Note 9 to our condensed consolidated financial statements), obligations under our real estate leases (refer to Note 12 to our condensed consolidated financial statements), accounts payable and accrued liabilities.

Previous wording

We also have performance-based milestone compensation arrangements with certain employees and consultants, whose vesting is contingent upon meeting various regulatory and development milestones, with fixed monetary amounts known at inception that can be settled in the form of cash or equity at our sole election, upon achievement of each contingent milestone (refer to Note 7 to our condensed consolidated financial statements).

Current wording

We also have performance-based milestone compensation arrangements with certain employees, whose vesting is contingent upon meeting various regulatory and development milestones, with fixed monetary amounts known at inception that can be settled in the form of cash or equity at our sole election, upon achievement of each contingent milestone (refer to Note 7 to our condensed consolidated financial statements).

Previous wording

We expect our cash, cash equivalents and marketable securities will fund our operations for at least the next 12 months from the date of filing of this Quarterly Report on Form 10-Q based on current operating plans and financial forecasts. If our current operating plans or financial forecasts change, as a result of general market and economic conditions, inflationary pressures, supply chain issues, our commercialization of Attruby/Beyonttra, and timing of commercialization of our product candidates we may require additional funding sooner in the form of public or private equity offerings, debt financings or additional collaborations and licensing arrangements. However, future financing may not be available in amounts or on terms acceptable to us, if at all.

Current wording

We expect our cash, cash equivalents, and marketable securities, together with increasing cash collections from product sales of Attruby and Beyonttra, will fund our operations for at least the next 12 months from the date of filing of this Quarterly Report on Form 10-Q based on current operating plans and financial forecasts. If our current operating plans or financial forecasts change, as a result of general market and economic conditions, inflationary pressures, supply chain issues, our commercialization of Attruby/Beyonttra, and timing of commercialization of our product candidates we may require additional funding sooner in the form of public or private equity offerings, debt financings or additional collaborations and licensing arrangements. However, future financing may not be available in amounts or on terms acceptable to us, if at all.

Previous wording

We currently generate material revenues from one commercial product, Attruby, which received FDA approval in November 2024, for the treatment of transthyretin amyloidosis. Product sales of Attruby represent an important source of our liquidity and cash inflows beginning in 2025. As commercialization efforts continue to expand and market adoption increases, we expect product sales of Attruby to provide a growing and recurring source of operating cash flow to support our commercial activities and research and development.

Current wording

We currently generate material revenues from one commercial product, Attruby, which received FDA approval in November 2024, for the treatment of transthyretin amyloidosis. Product sales of Attruby represent an important source of our liquidity and cash inflows beginning in 2025. As commercialization efforts continue to expand domestically and internationally, and as market adoption increases, we expect product sales of Attruby to provide a growing and recurring source of operating cash flow to support our commercial activities and research and development.

Previous wording

In May 2023, we filed a shelf registration statement on Form S-3 (the “2023 Shelf”), with the SEC in relation to the registration of common stock, preferred stock, debt securities, warrants and units or any combination thereof. We also concurrently entered into an Equity Distribution Agreement (the “ATM Agreement”) with Goldman Sachs & Co. LLC and SVB Securities LLC (collectively, the “ATM Sales Agents”), with respect to an “at-the-market” offering program under which we may issue and sell, from time to time at our sole discretion and pursuant to a prospectus supplement, shares of our common stock, par value $0.001 per share, having an aggregate offering price of up to $450.0 million through the ATM Sales Agents. We paid the ATM Sales Agents a commission of up to 3.0% of the aggregate gross proceeds received from all sales of the common stock under the ATM Agreement. The 2023 Shelf expired on May 4, 2026, and we are no longer able to offer or sell securities, including under the ATM Agreement, pursuant to the 2023 Shelf. As of March 31, 2026, we were still eligible to sell up to $345.3 million of our common stock pursuant to the ATM Agreement under the 2023 Shelf prior to such expiration.

Current wording

In May 2026, we filed a shelf registration statement on Form S-3 (the “2026 Shelf”) with the SEC in relation to the registration of common stock, preferred stock, debt securities, warrants and units or any combination thereof. We also concurrently entered into an Equity Distribution Agreement (the “2026 ATM Agreement”) with Goldman Sachs & Co. LLC and Leerink Partners LLC (collectively, the “2026 ATM Sales Agents”), with respect to an “at-the-market” offering program under which we may issue and sell, from time to time at our sole discretion and pursuant to a prospectus supplement, shares of our common stock, par value $0.001 per share, having an aggregate offering price of up to $500.0 million through the 2026 ATM Sales Agents. Under the 2026 ATM Agreement, we have agreed to pay the 2026 ATM Sales Agents a commission of up to 3.0% of the aggregate gross proceeds from all sales of the common stock. As of June 30, 2026, $500.0 million remained available to be sold pursuant to the 2026 ATM Agreement under the 2026 Shelf.

Previous wording

Net cash used in operating activities was $197.3 million for the three months ended March 31, 2026, and consisted of our net loss of $166.6 million, noncash adjustments totaling $94.0 million, and net cash outflow of $124.7 million related to changes in operating assets and liabilities. The noncash adjustments totaling $94.0 million primarily included $33.2 million in stock-based compensation expense, $39.9 million in noncash interest expense on deferred royalty obligations, $18.3 million in net loss from equity method investments, and $1.8 million in amortization of debt discount and issuance costs; partially offset by $2.2 million in change in fair value of the embedded derivative associated with the deferred royalty obligation under the Funding Agreement (as described in Note 9 of our condensed consolidated financial statements). The net cash outflow of $124.7 million related to changes in operating assets and liabilities was attributed mainly to an increase of $65.8 million in accounts receivable, net primarily related to receivables from net product revenues, an increase of $7.1 million in inventories due to a continuing build-up of Attruby inventory to support anticipated demand, an increase of $18.8 million in prepaid expenses and other current assets primarily due to timing of payments and operational fluctuations, a decrease of $7.2 million in accounts payable primarily due to timing of payments, a decrease of $37.5 million in accrued compensation and benefits, and a decrease of $2.4 million in deferred revenue primarily related to the Bayer License Agreement and KKC License Agreement; partially offset by an increase of $13.0 million in accrued research and development and an increase of $4.6 million in other liabilities primarily due to timing of payments.

Current wording

Net cash used in operating activities was $268.4 million for the six months ended June 30, 2026, and consisted of our net loss of $322.4 million and net cash outflow of $134.1 million related to changes in operating assets and liabilities, partially offset by noncash adjustments totaling $188.1 million. The noncash adjustments totaling $188.1 million primarily included $81.2 million in noncash interest expense on deferred royalty obligations, $77.3 million in stock-based compensation expense, and $24.7 million in net loss from equity method investments. The net cash outflow of $134.1 million related to changes in operating assets and liabilities was attributed mainly to an increase of $115.0 million in accounts receivable, net primarily related to receivables from net product revenues, an increase of $28.2 million in inventories due to a continuing build-up of Attruby inventory to support anticipated demand, an increase of $20.2 million in prepaid expenses and other current assets primarily due to timing of payments and operational fluctuations, a decrease of $9.0 million in accounts payable primarily due to timing of payments, a decrease of $25.8 million in accrued compensation and benefits, and a decrease of $4.3 million in deferred revenue primarily related to the Bayer License Agreement and KKC License Agreement; partially offset by an increase of $23.0 million in accrued research and development and an increase of $52.4 million in other liabilities primarily due to timing of payments.

Previous wording

Net cash used in operating activities was $199.2 million for the three months ended March 31, 2025, and consisted of our net loss of $169.6 million, noncash adjustments totaling $86.5 million, and net cash outflow of $116.1 million related to changes in operating assets and liabilities. The noncash adjustments totaling $86.5 million primarily included $25.9 million in stock-based compensation expense, $24.0 million in noncash interest expense on deferred royalty obligations, $21.2 million in loss on extinguishment of debt from the repayment of the term loan under the Amended Financing Agreement, net loss from equity method investments of $15.6 million, and $1.6 million in amortization of debt discount and issuance costs; partially offset by $4.0 million in change in fair value of the embedded derivative associated with the deferred royalty obligation under the Funding Agreement. The net cash outflow of $116.1 million related to changes in operating assets and liabilities was attributed mainly to an increase of $110.5 million in accounts receivable, net primarily related to a $75.0 million receivable under the Bayer License Agreement as well as receivables from net product revenues, a decrease of $19.4 million in accrued compensation and benefits, an increase of $3.2 million in inventories, and an increase of $17.6 million in accounts payable.

Current wording

Net cash used in operating activities was $279.9 million for the six months ended June 30, 2025 and consisted of our net loss of $353.4 million and net cash outflow of $96.7 million related to changes in operating assets and liabilities, partially offset by noncash adjustments totaling $170.2 million. The noncash adjustments totaling $170.2 million primarily included $63.1 million in stock-based compensation expense, $50.0 million in noncash interest expense on deferred royalty obligations, $21.2 million in loss on extinguishment of debt from the repayment of the term loan under the Amended Financing Agreement, net loss from equity method investments of $35.7 million, and $3.1 million in amortization of debt discount and issuance costs. The net cash outflow of $96.7 million related to changes in operating assets and liabilities was attributed mainly to an increase of $72.1 million in accounts receivable, net primarily related to receivables for net product revenues, an increase of $16.6 million in inventories, an increase of $22.7 million in prepaid expenses and other current assets, a decrease of $15.6 million in accrued compensation and benefits, and a decrease in deferred revenue of $6.5 million, partially offset by an increase in accounts payable of $16.5 million, which are primarily due to the timing of payments, and an increase in other current liabilities of $26.6 million.

Previous wording

Net cash used in investing activities was $42.7 million for the three months ended March 31, 2026, attributable primarily to purchases of marketable securities of $52.7 million; partially offset by maturities of marketable securities of $10.0 million.

Current wording

Net cash used in investing activities was $24.8 million for the six months ended June 30, 2026, attributable primarily to purchases of marketable securities of $63.9 million; partially offset by maturities of marketable securities of $39.6 million.

Previous wording

Net cash used in investing activities was $1.6 million for the three months ended March 31, 2025, attributable to the aggregate payments made for an intangible asset.

Current wording

Net cash used in investing activities was $14.6 million for the six months ended June 30, 2025, attributable primarily to purchases of marketable securities of $7.9 million and the aggregate payments for intangible assets of $6.1 million.

Previous wording

Net cash provided by financing activities was $549.9 million for the three months ended March 31, 2026, and consisted primarily of $632.5 million in proceeds from the issuance of the 2033 Notes, and $24.0 million in proceeds from stock option exercises and employee stock purchase plan purchases (net of repurchases); partially offset by the $82.5 million in repurchase of common stock in relation to the issuance of our 2033 Notes, $12.8 million payment of issuance costs and discounts associated with the 2033 Notes, and $11.3 million repayments of deferred royalty obligations.

Current wording

Net cash provided by financing activities was $401.1 million for the six months ended June 30, 2026, and consisted primarily of $632.5 million in proceeds from the issuance of the 2033 Notes, and $24.9 million in proceeds from stock option exercises and employee stock purchase plan purchases (net of repurchases); partially offset by the $210.0 million in repurchase of common stock in relation to the issuance of our 2033 Notes and our stock repurchase program, $13.2 million payment of issuance costs and discounts associated with the 2033 Notes, and $33.1 million repayments of deferred royalty obligations.

Previous wording

Net cash provided by financing activities was $60.3 million for the three months ended March 31, 2025, and consisted primarily of $575.0 million in proceeds from the issuance of the 2031 Notes, which was partially offset by the $459.0 million repayment of the term loan under the Amended Financing Agreement, $48.3 million in repurchase of common stock in relation to the issuance of our 2031 Notes, and $12.0 million payment of issuance costs and discounts associated with the 2031 Notes.

Current wording

Net cash provided by financing activities was $362.4 million for the six months ended June 30, 2025,and consisted primarily of $575.0 million in proceeds from the issuance of 2031 Notes, $300.0 million in gross cash proceeds from the royalty obligation under the Royalty Purchase Agreement, and $9.7 million in proceeds from stock option exercises (net of repurchases), partially offset by the $459.0 million repayment of the term loan under the Amended Financing Agreement, $48.3 million in repurchase of common stock, $12.0 million payment of issuance costs and discounts associated with the 2031 Notes, and $2.0 million payment of issuance costs associated with the royalty obligation under the Royalty Purchase Agreement.

Previous wording

There have been no significant changes in our critical accounting policies and estimates as compared to the critical accounting policies and estimates disclosed in the section titled “Management’s Discussion and Analysis of Financial Condition and Operations” included in our Annual Report on Form 10-K for the year ended December 31, 2025, as filed with the SEC, except for certain updates to our accounting policy as discussed in Note 2 to our condensed consolidated financial statements as of and for the three months ended March 31, 2026.

Current wording

There have been no significant changes in our critical accounting policies and estimates as compared to the critical accounting policies and estimates disclosed in the section titled “Management’s Discussion and Analysis of Financial Condition and Operations” included in our Annual Report on Form 10-K for the year ended December 31, 2025, as filed with the SEC.