Harrow Misses Q4 EPS, Lowers 2026 Guidance to $365M
Harrow reported Q4 EPS of $0.17 versus a $0.38 consensus and revenue of $89.09 million, including $8.5 million in IPRD expenses, while 2026 sales guidance of $350-365 million fell short of the $386.26 million estimate. Shares plunged over 12% premarket, trading more than 12% below both 20-day and 100-day SMAs.
1. Q4 Results and Financials
Harrow reported fourth-quarter EPS of $0.17, missing the $0.38 consensus, while revenue rose 33.3% to $89.09 million, topping the $88.45 million estimate. The quarter included $8.5 million in acquired in-process R&D expenses from the Melt Pharmaceuticals deal.
2. Fiscal 2026 Guidance
Management set fiscal 2026 sales guidance at $350 million to $365 million, below the $386.26 million consensus forecast. This shortfall marks a tempering of near-term growth expectations despite recent top-line momentum.
3. Pipeline and Growth Drivers
CEO Mark Baum highlighted underappreciated products and an expanding commercial footprint, targeting more than $250 million in quarterly revenue by end-2027. Late-stage assets like G-MELT, YOCHIL and a next-gen TRIESENCE pre-filled syringe are slated to drive longer-term growth starting in 2028.
4. Technical Indicators
Shares plunged over 12% in premarket trading to around $47, trading 14.8% below the 20-day SMA and 12.3% below the 100-day SMA, signaling bearish momentum. The RSI sits near neutral territory at 44.5, while the MACD remains below its signal line, indicating downside pressure.