Financial Data and Key Metrics Changes - Year-over-year revenues increased by 6%, driven by strong performance from Exparel and iovera [4] - Third-quarter Exparel sales rose to $139.9 million from $132.0 million in 2024, with a volume growth of 9% [21] - Non-GAAP gross margin improved to 82% from 78% year-over-year, benefiting from manufacturing efficiencies [22] - Adjusted EBITDA for the third quarter was $49.4 million [22] Business Line Data and Key Metrics Changes - Exparel demand saw a year-over-year volume increase of approximately 9%, marking the highest quarterly growth in over three years [4] - ZILRETTA sales increased to $29.0 million from $28.4 million in 2024 [21] - Iovera sales grew to $6.5 million from $5.7 million in 2024 [21] Market Data and Key Metrics Changes - Approximately 60 million commercial lives now have access to Exparel through separate reimbursement mechanisms, with a total covered population nearing 90 million across commercial and government payers [15] - Strong adoption of Exparel in ambulatory surgery centers, with volumes up more than 25% year-over-year [19] Company Strategy and Development Direction - The company is focused on its 5x30 growth strategy, which aims for a five-year double-digit compound annual growth rate (CAGR) for revenue [14] - The in-licensing of AMT 143 aligns with the company's strategy to expand its clinical pipeline and enhance its product offerings [5] - The company is prioritizing complementary mid to late-stage opportunities in its pipeline, particularly in musculoskeletal pain [7] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the growth trajectory of Exparel, anticipating that volume growth will converge with revenue growth over time [21] - The company expects to see significant earnings driven by improving sales and enhanced gross margins [25] - Management remains optimistic about the potential of PCRX 201 to revolutionize osteoarthritis treatment [8] Other Important Information - The company executed an additional $50 million in share repurchases during the third quarter [23] - The company has a strong balance sheet with cash and investments of approximately $246 million [23] Q&A Session Summary Question: Impact of GPO on volume growth and selling days - Management noted strong uptake from the GPO signed in June, which contributed to volume growth [30] - There was no significant impact from the number of selling days in the quarter [33] Question: Rationale behind AMT 143 program and trial design - The company sees a market need for a product with longer durability and ease of use, complementary to Exparel [35] - IP protection for AMT 143 extends to 2042, with plans to expand upon that [38] Question: Awareness of Exparel in larger hospitals and market growth for elective procedures - Growth has been faster in smaller hospitals and ASCs, with larger institutions taking more time due to more decision-makers [43] - Modest improvements in elective procedures were noted in the third quarter, with expectations for more in the fourth quarter [49] Question: Early indicators for ZORVOLTA and gross margin expectations - The dedicated ZORVOLTA sales force is expected to drive momentum in the fourth quarter and significant progress in 2026 [52] - Gross margins are expected to improve next year, with a long-term goal of a 5% improvement over 2024 levels [56]

Business Growth - Pacira treated more than 3 million patients per year[4,6,8] - The company is experiencing double-digit compounded annual growth rate in product revenue[4,9] - EXPAREL volume growth in 3Q25 reached 9% year-over-year, marking the highest volume growth in over 3 years[9] - Pacira anticipates product revenue to exceed $1.1 billion by 2030[9] Profitability - Pacira achieved a 5-percentage point gross margin improvement over 2024[4,10] - The company's non-GAAP gross margins are projected to be between 80% and 82%[11,42] Pipeline and Partnerships - Pacira is expanding its clinical pipeline with 5 novel programs in development[4,12] - The company is establishing 5 partnerships, including pipeline and commercial agreements[4,14] Financial Performance - Total revenue for 3Q25 was $180 million[42] - Adjusted EBITDA for 3Q25 was $49 million[42] - The company's cash and investments stand at approximately $246 million[42]

Product Development and Acquisitions - Pacira's long-acting, non-opioid analgesic EXPAREL is approved for managing postsurgical pain in patients aged six years and older, with a unique pMVL drug delivery technology[199]. - The acquisition of Flexion Therapeutics in November 2021 added ZILRETTA, which provides major relief for osteoarthritis knee pain for up to three months[199]. - In February 2025, Pacira acquired an 81% equity interest in GQ Bio Therapeutics, enhancing its gene therapy capabilities with the novel HCAd platform[199]. - An exclusive license agreement with AmacaThera for AMT-143 includes a $5 million upfront payment and potential future milestone payments, aligning with Pacira's growth strategy[208]. - The company has prioritized three other preclinical HCAd-based gene therapy programs, including PCRX-1002 for Dry Eye Disease and PCRX-1003 for Degenerative Disc Disease[241]. Clinical Trials and Research - The company expects to report results from an interim analysis of the Phase 2 ASCEND study for PCRX-201 by the end of 2026[208]. - New data from a Phase 1 trial of PCRX-201 showed sustained efficacy for up to three years, with improvements in pain and function across all severity subgroups[209]. - The company is advancing a Phase 2 clinical study known as ASCEND for PCRX-201 in knee osteoarthritis (OA), involving approximately 135 patients aged 45 to 80[237]. - The primary endpoint of the ASCEND study includes the number and percentage of treatment-emergent adverse events from Week 1 through Week 52[239]. - A Phase 3 study is underway to evaluate ZILRETTA for managing OA pain of the shoulder, potentially expanding its label[219]. - Clinical data indicates that EXPAREL significantly reduces opioid usage while improving postsurgical pain management[215]. - The iovera° system is a non-opioid device providing pain relief for knee OA, with clinical data showing significant reductions in opioid use post-surgery[221][223]. - PCRX-201, targeting the IL-1 pathway, showed promising results in a Phase 1 study with over 70% of patients experiencing a 50% or greater improvement in pain[236]. Financial Performance - Net product sales for the three months ended September 30, 2025, were $178.0 million, a 6% increase from $167.7 million in 2024[244]. - Total revenues for the nine months ended September 30, 2025, were $529.5 million, a 3% increase from $513.7 million in 2024[244]. - EXPAREL revenue increased by 6% and 5% for the three and nine months ended September 30, 2025, respectively, driven by a 9% and 6% increase in gross vial volume[244]. - ZILRETTA revenue increased by 2% in the three months ended September 30, 2025, but decreased by 2% in the nine months due to a 4% decrease in kit volume[245]. - The cost of goods sold decreased by 12% to $34.3 million for the three months ended September 30, 2025, contributing to a gross margin increase to 81%[250]. - Total research and development (R&D) expenses increased by 36% to $25.966 million for the three months ended September 30, 2025, and by 38% to $79.859 million for the nine months ended September 30, 2025, compared to the same periods in 2024[254]. - Sales and marketing expenses grew by 35% to $58.471 million for the three months and by 36% to $165.006 million for the nine months ended September 30, 2025, reflecting investments in customer awareness and education programs[263]. - Total selling, general and administrative expenses increased by 23% to $91.797 million for the three months and by 25% to $267.151 million for the nine months ended September 30, 2025[262]. Legal and Regulatory Environment - The ongoing U.S. government shutdown may impact the FDA's ability to review regulatory submissions, potentially affecting Pacira's operations[206]. - The company expects to incur additional legal costs related to defending its intellectual property against two Chinese generic drug manufacturers seeking to produce a generic version of EXPAREL[266]. Workforce and Operational Changes - The company implemented a reduction in force affecting 71 employees, approximately 8% of the total workforce, resulting in $3.7 million in employee termination benefit charges[211]. - The workforce reduction is expected to lead to an annual reduction in operating expenses of approximately $13.0 million, excluding one-time expenses[212]. - In the nine months ended September 30, 2025, the company recognized $3.7 million in pre-tax employee termination benefit charges due to a reduction in force at its Science Center Campus[275]. Economic and Market Conditions - Global economic conditions, including inflation and tariffs, may negatively impact Pacira's business and financial results[201]. - The U.S. and E.U. agreed to a trade deal in July 2025, setting a 15% tariff on most imports from the E.U., which could affect costs for Pacira[202]. Debt and Financing - The company entered into a $300.0 million senior secured revolving credit facility on July 3, 2025, to refinance existing debt and provide working capital[298]. - The company entered into a TLA Credit Agreement on March 31, 2023, securing a term loan of $150.0 million, which is scheduled to mature on March 31, 2028[303]. - The TLA Term Loan requires quarterly principal repayments starting at $2.8 million, increasing to $3.8 million by March 31, 2025, with a balloon payment of approximately $85.3 million due at maturity[304]. - The company completed a private placement of $287.5 million in 2.125% convertible senior notes due 2029, with all principal outstanding as of September 30, 2025[306]. - The company repurchased $200.0 million of its 0.750% convertible senior notes due 2025 for $191.4 million, resulting in a $7.5 million gain on early extinguishment of debt[307]. - The company anticipates that existing cash and cash equivalents will be sufficient to fund operating expenses and capital requirements for the next 12 months[310]. - The company may require additional debt or equity financing to meet future operating and capital requirements, with no committed external sources of funds[311].

Financial Performance - Total revenues for Q3 2025 were $179.5 million, up 6% from $168.6 million in Q3 2024[5] - Net product sales for EXPAREL were $139.9 million, reflecting a 9% volume growth compared to $132.0 million in Q3 2024[5] - Non-GAAP net income was $31.8 million, or $0.72 per share (basic), compared to $38.2 million, or $0.83 per share (basic) in Q3 2024[12] - Adjusted EBITDA for Q3 2025 was $49.4 million, down from $54.7 million in Q3 2024[12] - The company reported a net income of $5.43 million in Q3 2025, a significant recovery from a net loss of $143.47 million in Q3 2024[46] - Non-GAAP net income for Q3 2025 was $31.84 million, compared to $38.16 million in Q3 2024, indicating a decrease of 16.5%[46] - Total revenues for the nine months ended September 30, 2025, were $529.54 million, up from $513.71 million in the same period of 2024, marking a 3.1% increase[44] - For the three months ended September 30, 2025, total revenues were $179.5 million, compared to $168.6 million for the same period in 2024, representing a year-over-year increase of approximately 5.5%[68] Expenses and Costs - Research and development expenses increased to $26.0 million in Q3 2025 from $19.1 million in Q3 2024[12] - Selling, general and administrative expenses rose to $91.8 million in Q3 2025, compared to $74.3 million in Q3 2024[12] - Research and development expenses increased to $25.97 million in Q3 2025, compared to $19.10 million in Q3 2024, reflecting a 36.4% rise[44] - Research and development expenses for the nine months ended September 30, 2025, were $79.9 million, compared to $57.7 million for the same period in 2024, reflecting an increase of approximately 38.5%[68] - The company recognized $7.00 million in legal settlement costs related to patent infringement suits during the nine months ended September 30, 2025[52] - The company incurred $3.7 million in employee termination benefit charges in Q3 2025 as part of a workforce reduction due to improved manufacturing efficiencies[48] - Acquisition-related expenses in Q3 2025 primarily involved costs associated with the acquisition of GQ Bio[51] - The GAAP cost of goods sold for the three months ended September 30, 2025, was $34.3 million, down from $38.9 million in the same period of 2024[68] Guidance and Projections - The company updated its full-year 2025 revenue guidance to a range of $725 million to $735 million, down from the previous range of $730 million to $750 million[13] - Non-GAAP gross margin guidance was increased to 80% to 82%, up from the previous range of 78% to 80%[13] - The company expects total revenues for the full year 2025 to be in the range of $725 million to $735 million, with a gross margin projected between 80% to 82%[74] Assets and Liabilities - Total current assets decreased from $745,130,000 in December 2024 to $562,751,000 in September 2025, a decline of approximately 24.5%[42] - Cash and cash equivalents dropped significantly from $276,774,000 in December 2024 to $147,589,000 in September 2025, representing a decrease of about 46.3%[42] - Inventories increased from $125,282,000 in December 2024 to $157,680,000 in September 2025, an increase of approximately 25.8%[42] - Total liabilities decreased from $774,168,000 in December 2024 to $522,938,000 in September 2025, a reduction of about 32.4%[42] - Long-term debt remained relatively stable, decreasing slightly from $383,545,000 in December 2024 to $376,721,000 in September 2025[42] - The total stockholders' equity decreased from $778,348,000 in December 2024 to $727,214,000 in September 2025, a decline of approximately 6.6%[42] Product Development and Research - The company reported promising Phase 1 study results for PCRX-201, showing sustained improvements in knee pain, stiffness, and function over two years[34] - The HCAd vector platform acquired in February 2025 is expected to enable the production of thousands of doses in a single batch, enhancing cost efficiency[37] - The company is currently conducting a Phase 2 study (ASCEND study) for PCRX-201, indicating ongoing commitment to product development[35] - EXPAREL sales amounted to $139.90 million in Q3 2025, up from $132.00 million in Q3 2024, representing a 5.4% growth[44] Shareholder Actions - The company repurchased 2.0 million shares at an average price of $25.30 per share, totaling $50.0 million[10]

Core Viewpoint - PharmaCorp Rx Inc. has announced a bought deal offering of 47.7 million units at C$0.42 per unit, aiming to raise C$20.0 million due to strong investor demand [1][3] Group 1: Offering Details - The offering consists of units, each comprising one common share and one-half of a common share purchase warrant, with the warrant allowing the purchase of one common share at C$0.50 for 24 months [2] - The closing of the offering is expected around November 12, 2025, pending regulatory approvals [3] - An over-allotment option allows underwriters to purchase an additional 15% of the units sold to cover over-allotments [4] Group 2: Use of Proceeds - The net proceeds from the offering will be allocated for future acquisition opportunities and general working capital [3] Group 3: Company Overview - PharmaCorp is focused on acquiring and operating community pharmacies in Canada, empowering pharmacists as equity partners [7] - The company operates seven pharmacies under the PharmaChoice Canada banner and plans to continue acquiring both bannered and independent pharmacies [8]

Core Viewpoint - PharmaCorp Rx Inc. has announced a bought deal offering of 35.7 million units at a price of C$0.42 per unit, aiming to raise gross proceeds of C$15.0 million for future acquisitions and working capital [1][3]. Group 1: Offering Details - The offering consists of units, each comprising one common share and one-half of a common share purchase warrant, with the warrant allowing the purchase of one common share at C$0.50 for 24 months [2]. - The closing of the offering is expected around November 12, 2025, pending regulatory approvals [3]. - The underwriters have an over-allotment option to purchase an additional 15% of the units sold to cover over-allotments and for market stabilization [4]. Group 2: Use of Proceeds - The net proceeds from the offering will be allocated towards future acquisition opportunities and general working capital requirements [3]. Group 3: Company Overview - PharmaCorp is a Canadian pharmacy acquisition platform focused on empowering pharmacists as equity partners and supporting succession for retiring pharmacy owners [7]. - The company operates seven pharmacies under the PharmaChoice Canada banner and plans to continue acquiring both bannered and independent pharmacies across Canada [8].

Core Insights - Pacira BioSciences has completed patient enrollment in Part A of its Phase 2 ASCEND study for PCRX-201, a novel gene therapy for knee osteoarthritis, with topline results expected by the end of 2026 [1][6][10] Study Overview - The ASCEND study is a two-part, multicenter trial involving approximately 135 patients aged 45 to 80 with painful knee osteoarthritis at Kellgren-Lawrence Grades 2, 3, or 4 [4] - Part A randomizes about 45 patients to evaluate two doses of PCRX-201, with a 1:1:1 randomization to Dose A, Dose B, or saline, all receiving corticosteroid pretreatment [5][6] - The primary endpoint includes treatment-emergent adverse events and secondary endpoints assess pain and physical function changes at Weeks 38 and 52 [7] Product Details - PCRX-201 is designed to enhance IL-1Ra production locally in the knee joint, targeting chronic inflammation and pain associated with osteoarthritis [2][9] - The therapy utilizes a high-capacity adenovirus vector platform, allowing for efficient gene delivery and the potential for redosing [12][17] - The product has received RMAT designation from the FDA and ATMP designation from the EMA, highlighting its clinical promise [11] Company Background - Pacira BioSciences focuses on innovative, non-opioid pain therapies, with existing products including EXPAREL, ZILRETTA, and iovera° [15] - The company aims to address prevalent diseases like osteoarthritis through advanced gene therapy solutions [15]

Core Insights - Pacira BioSciences has announced an exclusive worldwide license and collaboration agreement with AmacaThera for the development of AMT-143, a novel long-acting formulation of the non-opioid analgesic ropivacaine aimed at postsurgical pain control [1][2] Company Strategy - The addition of AMT-143 to the pipeline aligns with Pacira's 5x30 growth strategy, focusing on clinical stage, derisked opportunities that complement existing pain management offerings [2] - The company aims to enhance its leadership in opioid-sparing pain management through this new asset, which is expected to improve patient outcomes and expand treatment options [2] Financial Terms of the Agreement - Under the agreement, Pacira will fund the clinical development up to commercial launch, with AmacaThera receiving an upfront payment of $5 million, along with potential future milestone payments and a tiered royalty on net sales [3] Product Details - AMT-143 is designed for postsurgical pain control and demonstrated sustained release of ropivacaine for up to 14 days in a Phase 1 study [4] - The product utilizes AmacaThera's hydrogel-based drug delivery platform, which allows for slow release while minimizing systemic side effects [5] Current Product Portfolio - Pacira currently offers three commercial-stage non-opioid treatments: EXPAREL, ZILRETTA, and iovera, which target various pain management needs [6]

Core Insights - Pacira BioSciences, Inc. will report its third quarter financial results on November 6, 2025, after U.S. market close [1] - A live conference call and webcast will follow the financial results announcement at 4:30 p.m. ET [1] Company Overview - Pacira specializes in innovative, non-opioid pain therapies aimed at transforming patient lives [3] - The company has three commercial-stage non-opioid treatments: - EXPAREL, a long-acting local analgesic for various postsurgical pain management applications [3] - ZILRETTA, an extended-release injection for osteoarthritis knee pain management [3] - ioveraº, a handheld device providing immediate, long-acting, drug-free pain control [3] - Pacira is also developing PCRX-201, a novel gene therapy targeting prevalent diseases like osteoarthritis [3]

Core Insights - Pacira BioSciences, Inc. announced updated three-year results for PCRX-201, a gene therapy for knee osteoarthritis, showing sustained clinical improvements in pain, stiffness, and function for up to 156 weeks following a single injection [1][12][8] Study Details - The open-label Phase 1 trial involved 72 patients aged 30 to 80 with moderate to severe knee osteoarthritis, assessing safety and efficacy of PCRX-201 at three different doses over 156 weeks [4][6] - Patients were evaluated using the WOMAC-A pain score, WOMAC-B stiffness score, and KOOS for function [4] Key Findings - PCRX-201 demonstrated sustained, clinically meaningful reductions in pain and stiffness, and improvements in function across all doses for three years [6][7] - The treatment had an acceptable safety profile with no serious treatment-related adverse events reported [6][7] - In the corticosteroid pretreated cohort, patients with K/L grade 2 osteoarthritis showed greater pain reduction compared to those with advanced grades [6] - Pre-existing neutralizing antibodies did not affect the treatment's effectiveness [6][7] Regulatory Designations - PCRX-201 received Regenerative Medicine Advanced Therapy (RMAT) designation from the FDA and Advanced Therapy Medicinal Products (ATMP) designation from the European Medicines Agency, marking it as the first gene therapy candidate in osteoarthritis to achieve these designations [8][9][12] Future Developments - A Phase 2 study (ASCEND) of PCRX-201 is currently underway, focusing on a lower dose with corticosteroid pretreatment [10][12] - The innovative high-capacity adenovirus vector platform used in PCRX-201 allows for efficient gene delivery and potential for redosing [14]