Financial Performance - Total revenues for the three months ended June 30, 2024, were $48,939,000, an increase of $15,469,000 compared to $33,470,000 for the same period in 2023[100] - Product sales, net for the three months ended June 30, 2024, were $48,871,000, up $19,329,000 from $29,542,000 in the prior year[100] - Gross profit for the three months ended June 30, 2024, was $36,400,000, representing a gross margin of 74.38%, compared to $23,470,000 and 70.12% in the same period of 2023[102] - The increase in gross margin from 69.33% to 72.35% for the six months ended June 30, 2024, was primarily due to higher sales of branded ophthalmology products[102] Expenses - Selling, general and administrative expenses for the three months ended June 30, 2024, were $31,817,000, an increase of $11,860,000 from $19,957,000 in the prior year[103] - Research and development expenses increased to $3,053,000 for the three months ended June 30, 2024, compared to $1,161,000 for the same period in 2023, representing a variance of $1,892,000[104] - Interest expense, net decreased to $5,471,000 for the three months ended June 30, 2024, from $5,704,000 in the same period in 2023, primarily due to increased interest income[105] Cash Flow - Net cash used in operating activities was $(7,374,000) for the six months ended June 30, 2024, compared to $(3,648,000) for the same period in 2023, attributed to increased operating expenses[111] - Net cash provided by investing activities was $4,993,000 for the six months ended June 30, 2024, compared to $(132,219,000) in the same period in 2023, primarily due to the sale of the investment position in Eton[114] - Cash and cash equivalents at the end of the period were $70,968,000 as of June 30, 2024, down from $74,085,000 at December 31, 2023[113] Business Developments - The company successfully manufactured a second process performance qualification (PPQ) batch of TRIESENCE in July 2024, with plans for a third batch before the end of Q3 2024[93] - IHEEZO generated net sales of $11,294,000 and $13,616,000 for the three and six months ended June 30, 2024, respectively[100] - The company launched VEVYE in January 2024, the first water-free cyclosporine ophthalmic solution approved for dry eye disease in the U.S.[97] - A $37,000,000 milestone payment will be due to Novartis upon the re-launch of TRIESENCE in the U.S.[93] - The company entered into a license and supply agreement with Apotex in February 2024 for exclusive rights to several ophthalmic products in Canada[94] Income and Taxation - The company recorded other income of $46,000 for the three months ended June 30, 2024, compared to an expense of $178,000 in the same period in 2023[107] - The company anticipates taxable income for the year ending December 31, 2024, due to timing differences related to tax deductibility[108] Strategic Considerations - The company expects to use its current cash position and funds generated from operations to pursue business plans, including potential acquisitions and clinical trials[110] - The company may consider the sale of certain assets to support operations and may pursue acquisitions of revenue-generating products or drug candidates[109] Compliance and Reporting - There has been no change in internal control over financial reporting during the quarter ended June 30, 2024, that has materially affected or is likely to materially affect internal control over financial reporting[122] - The report includes certifications from Mark L. Baum and Andrew R. Boll pursuant to the Sarbanes-Oxley Act of 2002, ensuring compliance with financial reporting standards[124] - The cover page of the Quarterly Report on Form 10-Q for the quarter ended June 30, 2024, has been formatted in Inline XBRL[125]

Core Viewpoint - The article emphasizes the importance of identifying stocks with strong recent price performance, particularly highlighting Harrow (HROW) as a potential investment opportunity due to its significant price increase and favorable fundamentals [1][7][9]. Group 1: Stock Performance - HROW has experienced a substantial price increase of 130.5% over the past 12 weeks, indicating strong investor interest and potential upside [7]. - In the last four weeks, HROW's price has risen by 14.9%, suggesting that the upward trend is still intact [8]. - Currently, HROW is trading at 92.2% of its 52-week high-low range, indicating it may be on the verge of a breakout [9]. Group 2: Fundamental Strength - HROW holds a Zacks Rank of 2 (Buy), placing it in the top 20% of over 4,000 ranked stocks based on earnings estimate revisions and EPS surprises [9]. - The stock has an Average Broker Recommendation of 1 (Strong Buy), reflecting high optimism from the brokerage community regarding its near-term price performance [10]. - The Zacks Rank system has a strong historical performance, with Rank 1 stocks generating an average annual return of +25% since 1988, underscoring the reliability of the ranking system [10].

Harrow (HROW) shares soared 12.9% in the last trading session to close at $19.93. The move was backed by solid volume with far more shares changing hands than in a normal session. This compares to the stock's 2.5% gain over the past four weeks. This pharmaceutical and drug compounding company is expected to post quarterly loss of $0.25 per share in its upcoming report, which represents a year-over-year change of -1150%. Revenues are expected to be $42.78 million, up 27.8% from the year-ago quarter. For Harr ...

UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-Q ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended March 31, 2024 or ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 Harrow, Inc. (Exact name of registrant as specified in its charter) Delaware 45-0567010 (State or other jurisdiction of incorporation or organization) 102 Woodmont Blvd., Suite 610 Nashville, Tennesse ...

Exhibit 99.2 Letter to Stockholders May 13, 2024 Dear Harrow Stockholders: Today marks the beginning of the 20 week of 2024 and the 134 day into the second year of Harrow's current Five-Year Strategic Plan. This year remains focused on three key operational initiatives: (1) building a formidable dry eye disease franchise, including successfully launching VEVYE; (2) continuing to lay the foundation for Harrow's retina franchise with IHEEZO and TRIESENCE; and (3) stabilizing ImprimisRx and our recently acquir ...

ia_64/iStock via Getty Images Shares of ophthalmology-focused specialty pharmaceutical concern Harrow, Inc. (NASDAQ:HROW) are down some 45% since their highs in the spring of 2023. However, they seem likely to rebound as the market starts to look at the potential for Iheezo. Its launch and that of dry eye therapy Vevye suggest that the company's FY24 net revenue outlook of $180 million plus might be very conservative. In addition, the recent insider and beneficial owner buying also merited a deeper dive. Se ...

Financial Data and Key Metrics Changes - The company achieved record revenues in 2023, increasing by 47% compared to 2022, with adjusted EBITDA more than doubling during the same period [21][34] - The cash position strengthened, ending the year with $83 million in cash and cash equivalents, with expectations for continued growth in cash reserves [35] Business Line Data and Key Metrics Changes - The VEVYE launch is performing exceptionally well, with all key performance metrics trending positively, indicating strong market acceptance [4][23] - IHEEZO has seen continued uptake since its launch in May 2023, with recent developments from CMS regarding its average selling price positively impacting its market potential [37][60] Market Data and Key Metrics Changes - The U.S. dry eye market, where VEVYE operates, was approximately 8 million units last year, indicating a substantial opportunity for growth [36] - The retina market, particularly for intravitreal injections, is significant, exceeding 10 million unit opportunities annually, which the company is targeting [44] Company Strategy and Development Direction - The company aims to dominate the U.S. chronic dry eye disease market with VEVYE, leveraging its unique tolerability profile compared to existing products [36][68] - There is a focus on expanding the sales and marketing efforts for IHEEZO and Triesence to accelerate revenue growth, with plans to invest further in these areas [42][51] Management's Comments on Operating Environment and Future Outlook - Management expressed high confidence in achieving revenue guidance of over $180 million for 2024, citing recent positive developments as a significant boost to their outlook [60][76] - The company is optimistic about the future trajectory of IHEEZO following confirmation from CMS regarding separate reimbursement, which is expected to open up a large market [60][78] Other Important Information - The company has added approximately 100 new employees, primarily for the VEVYE launch, indicating a commitment to scaling operations [27] - A recent cyber-attack affected payment processing, but recovery is expected by the second quarter, with normalization anticipated [65] Q&A Session Summary Question: Can you provide a breakdown of the anticipated contribution from your growth drivers for 2024? - Management reiterated confidence in revenue guidance exceeding $180 million but did not provide specific product guidance [40][51] Question: What is the anticipated cadence for top-line growth this year? - The company expects a linear increase in revenue similar to the previous year [72] Question: How will pricing adjustments impact margins in 2024? - Pricing for Triesence has been adjusted to create profit incentives while remaining competitive, with expectations for margins to vary based on revenue growth [54][72]

"VEVYE represents a breakthrough in dry eye treatment. Patients with sensitive eyes, often susceptible to side effects from prescription eyedrops, finally have a solution. VEVYE is the first topical immunomodulator that hasn't had any side effects of stinging, while also having the highest concentration of cyclosporine on the market. Unsurprisingly, the feedback from patients has been tremendous." "VEVYE's performance has been outstanding in terms of accessibility, especially for a new entrant to the pharma ...

Exhibit 99.2 Letter to Stockholders March 19, 2024 Dear Harrow Stockholders: Please review our new corporate presentation to supplement this Letter to Stockholders. Four Years of Accomplishment The legendary investor Warren Buffett once said, "Some people like to get rich quick, but I like to get rich slow." Buffett often quoted his friend and former Goldman Sachs senior executive, Gustave "Gus" Levy, who said, "Short-term greed leads to bad long-term results." And finally, my friend Don Miloni – who helped ...

Licensing and Agreements - In February 2024, the company entered into a license and supply agreement with Apotex for exclusive rights to market products including VERKAZIA and Cationorm PLUS in Canada, with milestone payments and royalties on net sales [258]. - In July 2023, the company acquired U.S. and Canadian commercial rights to VEVYE for $8 million and will pay low double-digit royalties on net sales [266]. - The company entered into agreements to acquire exclusive commercial rights to several ophthalmic products from Santen, making an initial payment of $8 million [267]. Product Launches - The company launched VEVYE in January 2024, the first water-free cyclosporine ophthalmic solution approved for treating dry eye disease in the U.S. [259]. - The company initiated a full commercial launch of IHEEZO in May 2023, following a targeted launch in April 2023 [263]. Financial Performance - Total revenues for the year ended December 31, 2023, were $130,193,000, an increase of $41,598,000 (approximately 46.9%) compared to $88,595,000 in 2022 [282]. - Product sales, net for 2023 were $117,447,000, up $33,923,000 (approximately 40.7%) from $83,524,000 in 2022, driven by increased sales of branded ophthalmology products [282]. - Gross profit for 2023 was $90,553,000, an increase of $27,341,000 (approximately 43.3%) compared to $63,212,000 in 2022, with a gross margin of 69.6% [285]. Expenses and Losses - Cost of sales increased to $39,640,000 in 2023, up $14,257,000 (approximately 56.2%) from $25,383,000 in 2022, primarily due to amortization of acquired product NDAs [284]. - Selling, general and administrative expenses rose to $83,090,000 in 2023, an increase of $24,847,000 (approximately 42.7%) from $58,243,000 in 2022, largely due to stock-based compensation and new regulatory costs [287]. - Research and development expenses increased to $6,652,000 in 2023, up $3,602,000 (approximately 118.1%) from $3,050,000 in 2022, reflecting heightened activity related to product acquisitions and launches [289]. - The net loss for the year ended December 31, 2023, was $(24,411,000), compared to a net loss of $(14,086,000) in 2022, representing an increase in loss of $10,325,000 (approximately 73.2%) [298]. Cash Flow and Financing - Cash on hand at December 31, 2023, was $74,085,000, down from $96,270,000 at December 31, 2022, a decrease of $22,185,000 (approximately 23.0%) [299]. - Net cash provided by operating activities was $3,840,000 in 2023, an increase of $2,135,000 (approximately 125.3%) compared to $1,705,000 in 2022 [303]. - Net cash used in investing activities in 2023 was $(152,553,000), significantly higher than $(1,743,000) in 2022, primarily due to acquisitions [304]. - Net cash provided by financing activities increased to $126,528,000 in 2023 from $54,141,000 in 2022, driven by proceeds from the sale of the 2027 Notes and the Oaktree Loan [305]. Acquisitions - The company completed the acquisition of NVS 5 Products from Novartis for an initial payment of $130 million, with potential milestone payments of up to $45 million [275]. - Cash used in investing activities in 2023 was primarily associated with the NVS 5 Acquisition, Santen Products Acquisition, and VEVYE Acquisition [304]. Tax and Financial Position - As of December 31, 2023, the company had $2,853,000 of unrecognized tax benefits, which could affect the effective tax rate if recognized [323]. - The company owns approximately 47% of Melt Pharmaceuticals, Inc., with significant influence over its operating and financial decisions, using the equity method of accounting [324]. - As of December 31, 2023, the total investment in Melt amounted to $24,207,000, with losses recorded at the same amount [326]. Impairments and Stock-Based Compensation - An impairment charge of $380,000 was recorded in 2023 related to certain licenses, trademarks, patents, and patent applications [334]. - Stock-based compensation is recognized based on estimated fair values using the Black-Scholes-Merton option pricing model and Monte Carlo simulation [335]. Challenges and Future Outlook - The company may need significant additional capital to support its business plan and fund proposed operations, potentially leading to dilution for existing stockholders [307]. - The company may face challenges in obtaining financing due to its limited history of profitability and general economic conditions [308].