Evolus Q2 2026 Earnings Call - Raises Full-Year Guidance on Portfolio Momentum and Third Straight Quarter of Positive Adjusted EBITDA

Operator: Good afternoon, everyone, and thank you for standing by. Welcome to Evolus’ second quarter 2026 earnings call. If anyone should require operator assistance during the conference, please press star zero on your telephone keypad. As a reminder, today’s conference call is being recorded and webcast live. All participants are in a listen-only mode. After the speaker’s remarks, there will be a question and answer session. I would now like to turn the conference over to Nareg Sagherian, Vice President and Head of Global Investor Relations and Corporate Communications. Please go ahead.

Nareg Sagherian, Vice President and Head of Global Investor Relations and Corporate Communications, Evolus: Thank you, operator, and welcome to everyone joining us on today’s call to review Evolus’ second quarter financial results. Our second quarter press release is now available on the investor relations section of our website at evolus.com. Joining me on today’s call are David Moatazedi, President and Chief Executive Officer, Rui Avelar, Chief Medical Officer and Head of R&D, and Tatjana Mitchell, Chief Financial Officer. Today’s call will include forward-looking statements. Actual results may differ materially due to risks and uncertainties outlined in our earnings, press release and SEC filings. These forward-looking statements are based on current assumptions, and we undertake no obligation to update them. Additionally, we will discuss certain non-GAAP financial measures. These measures should be considered in addition to and not as a substitute for our GAAP results. A reconciliation of GAAP to non-GAAP measures is included in today’s earnings release.

As a reminder, our earnings release and SEC filings are available on the SEC’s website and on our investor relations website. Following the conclusion of today’s call, a replay will be available on our website at investors.evolus.com. With that, I’ll turn the call over to our CEO, David Moatazedi.

David Moatazedi, President and Chief Executive Officer, Evolus: Thank you, Nareg, and good afternoon, everyone. The second quarter represents a meaningful inflection point for Evolus. We delivered 21% revenue growth, generated our third consecutive quarter of positive adjusted EBITDA, expanded our international footprint with the launch of Estyme in Europe, and announced two strategic licensing agreements that further strengthen our long-term portfolio. Importantly, Evolus gained significant share across the U.S. injectable aesthetics market during the quarter, underscoring the growing momentum of our portfolio strategy across both neurotoxins and hyaluronic acid gels. Reflecting the strength of our first half performance, we also raised our full year 2026 financial outlook. As we enter the second half of the year, we are well-positioned to build on this momentum. Consumer demand continued to strengthen during the quarter. Treatment intervals remained stable, and practitioners reported healthy patient traffic and engagement.

We estimate the U.S. neurotoxin market grew at a faster than expected mid-single-digit growth rate during the quarter. While the hyaluronic acid gel market returned a positive growth following two consecutive years of decline. Consumers continued to prioritize aesthetic treatments, and practices remained focused on products that deliver predictable clinical outcomes and high patient satisfaction. Against this improving backdrop, we continued to meaningfully outpace the market through disciplined commercial execution, which led to market share gains across our portfolio. That execution is evident through our business performance. Global toxin revenue exceeded $75 million during the quarter, driven by double-digit toxin growth across both the United States and our international markets. As our portfolio continues to expand, we’re seeing customers increasingly adopt our products within their practices. Our portfolio focus is delivering particularly strong results among accounts participating in our Evolus Portfolio Growth Bundle.

In the first six months since we debuted the program, approximately 70% of these customers purchased Evolus, compared with approximately 25% penetration of Evolus across our overall customer base. Jeuveau continues to strengthen its competitive position through growing customer loyalty and market share gains, while Evolus is following the same disciplined commercialization strategy that made Jeuveau successful. During the quarter, Evolus revenue increased by more than $2 million sequentially, reflecting increased customer penetration, reorder rates, and utilization within existing accounts. Together, these trends reinforce our confidence that our portfolio focus is gaining traction, enabling us to increase share across both neurotoxins and injectable hyaluronic acid gels while deepening customer relationships and expanding our share of wallet. As a result of the continued strength across our portfolio, we remain on track for both Evolus and our international business to each contribute more than 10% of total company revenue this year.

A key milestone in our evolution is our recent partnership with Ipsen to exclusively develop and commercialize Profhilo in the United States. Profhilo is an asset we’ve been actively pursuing because it represents the gold standard in the rapidly emerging skin quality category. With the addition of Profhilo, Evolus is expanding into a new, third injectable aesthetics vertical of skin quality, further diversifying our differentiated portfolio and reinforcing our strategy of building a comprehensive injectable platform. Profhilo defines the skin quality category globally and is widely recognized as a market-leading brand for skin quality in Europe, with no directly comparable product currently available in the United States. Similar to Jeuveau, we will own the U.S. regulatory filings and lead the clinical development and commercialization strategy for Profhilo, creating long-term value around the asset, which has the potential to generate more than $100 million in peak annual revenue.

More broadly, our partnerships with companies such as Ipsa, Symatese, and Daewoong demonstrate that leading global innovators increasingly view Evolus as a partner of choice to develop and commercialize quality aesthetic products. Our proven execution, deep customer relationships, and expanding global platform position us to continue attracting high-quality assets from world-class partners as we build the next generation of injectable aesthetics. Our international business is also becoming an increasingly important contributor to our long-term strategy. During the quarter, we successfully launched the Estyme collection of injectable hyaluronic acid gels in Europe, where early customer response has been very encouraging. We also announced the expansion of our relationship with Symatese to include Canada, Australia, and New Zealand.

Strategically, this is an important milestone as we now hold exclusive rights to commercialize our injectable hyaluronic acid gel portfolio in every market where we maintain rights for Nuceiva while expanding our global addressable market by approximately $200 million annually. The combination of a broader portfolio and expanded geographical footprint make our international business an increasingly meaningful contributor to our long-term growth and revenue outlook. While we continue to invest in our long-term growth strategy, we remain disciplined in our financial execution. Our third consecutive quarter of positive adjusted EBITDA demonstrates that we can deliver profitable growth while funding the strategic initiatives that will drive the next phase of our evolution. Through the first six months of the year, we delivered 14% revenue growth ahead of the pace implied in our original guidance, giving us the confidence to raise our full year 2026 financial outlook.

Our results this quarter reflect the strength of our expanding portfolio, the effectiveness of our commercial strategy, and the operating discipline of our team in executing against our long-term objectives. With that, I’d like to now turn the call over to Rui.

Rui Avelar, Chief Medical Officer and Head of R&D, Evolus: Thank you, David. Evolus is committed to building a best-in-class aesthetic portfolio. We started with Jeuveau, a neurotoxin manufactured under the high pure manufacturing process, supported by phase III data against the industry standard that was subsequently validated by an independent study demonstrating that Jeuveau had a fast onset, the highest peak effect, and the longest duration among the toxins tested. We brought in Evolysse, a hyaluronic acid injectable manufactured with a novel Cold-X cross-linking technology. The pivotal registration studies demonstrated both non-inferiority and statistical superiority against an established comparator. The first two HA products, Evolysse Form and Smooth, have launched. Evolysse Sculpt, our premium midface HA injectable, has an anticipated approval in the fourth quarter and is expected to commercially launch in 2027. Evolysse Lips is on track to be submitted to the FDA by the end of this year with an anticipated launch in 2028.

Recently, we further expanded our portfolio and are very excited about the partnership with IBSA, the developer of Profhilo. IBSA is a private Swiss multinational pharmaceutical company founded in 1945 and operates across 10 therapeutic areas in over 90 countries worldwide. Profhilo is made of a unique blend of high and low molecular weight hyaluronic acid, and instead of the traditional cross-linking, it undergoes a patented thermal production process to create a hybrid matrix designed to address skin quality. With age, the components of skin break down and becomes less dynamic. Profhilo helps rebuild the quality of the skin. It stimulates extracellular remodeling, improves the elasticity of the skin and its supporting function by stimulating fibroblasts and keratinocytes. Evolus will lead the U.S. clinical and regulatory approval process and then own the PMA. At this time, we anticipate approval around 2030 and will provide updates as the program progresses.

With the addition of Profhilo, we continue to expand our portfolio and expect to introduce three new products over the next four years. Lastly, as David mentioned, we have further expanded our geographical reach with Estyme and now also have Canada, Australia, and New Zealand. Incorporating the registration timelines, we expect to launch in these regions in 2028. With that, I’ll turn the call over to Tatiana.

Tatjana Mitchell, Chief Financial Officer, Evolus: Thank you, Rui. The second quarter represented another strong step forward in the execution of our financial strategy. As I approach one year at CFO, I am proud of the foundation we have set and our proven ability to deliver double-digit revenue growth across the portfolio while driving significant operating leverage and profitability. In the second quarter, we posted revenue growth above 20%, delivered our third consecutive quarter of positive adjusted EBITDA, strengthened our confidence in the outlook for the remainder of the year.

We achieved these results while continuing to invest in customer experience and education, consumer rewards, and the launch of the Estyme portfolio in Europe. Beginning with revenue, our global net revenue for the second quarter was $84.1 million, representing an increase of 21% compared to the prior year. This performance reflects continued strength across our diversified portfolio, with global toxin revenue of $75.2 million and injectable hyaluronic acid gel revenue of $8.9 million. As expected, the recent launch of Estyme in Europe contributed modestly during the second quarter. From a geographic standpoint, we continued to see balanced performance across both our U.S. and international business. Jeuveau and Nuceiva delivered another quarter of healthy growth, supported by improving procedure volumes and continued market share gains, while Evolus continued to build momentum through increasing customer adoption and reorder behavior. Turning to gross margin.

Reported gross margin for the second quarter was 68%, while adjusted gross margin, which excludes the amortization of intangibles, was 69%. Gross margin benefited by approximately 120 basis points from a tariff refund recognized during the quarter. Adjusting for the tariff refund, our first half gross margin remained flat year-over-year, reflecting a modest improvement in U.S. gross margin that was offset by a higher mix of our international business. Moving to operating expenses. GAAP operating expenses for the second quarter were $61.7 million, compared to $55.7 million in the first quarter. Non-GAAP operating expenses for the second quarter were $53.3 million compared to $49.1 million in the first quarter. As expected, operating expenses increased sequentially from the first quarter as we continued to invest in customer education, marketing programs, and international portfolio expansion.

These investments remain very disciplined, allowing us to efficiently scale the business while maintaining our profitability objectives. As a reminder, non-GAAP operating expenses exclude stock-based compensation, revaluation of the contingent royalty obligation, and depreciation and amortization. Within operating expenses, selling, general and administrative expenses for the second quarter were $57.1 million, compared to $52 million in the first quarter. This included $5.2 million of non-cash stock-based compensation, similar to the prior quarter. In the second quarter, our adjusted EBITDA improved by $12.6 million compared to the prior year period, resulting in positive adjusted EBITDA of $4.7 million and marking our third consecutive quarter with positive adjusted EBITDA. As we’ve discussed, our commercial infrastructure was intentionally built to support a broader portfolio. As additional products contribute to revenue, we expect that scalability to become increasingly evident through improving profitability. Turning to the balance sheet.

We ended the quarter with $45.2 million in cash and cash equivalents, compared to $49.8 million at the end of the first quarter. Cash used during the quarter primarily reflected interest expense and planned capital expenditure investments. We believe that our cash position, profitability trajectory, and the capacity under our revolving credit facility provide ample financial flexibility to support our commercial priorities, invest in portfolio expansion, and execute on our long-term growth strategy. We continue to have access to $100 million of additional liquidity under our Pharmakon debt facility, which is intended for potential transformative business investments. As we’ve said previously, we remain funded to profitability and do not anticipate the need for additional equity financing. Another important point regarding the balance sheet. While our position on the announced tariffs remains unchanged, as a prudent measure, we expect to bring approximately one year’s worth of Jeuveau inventory into the U.S.

We will effectively be relocating Jeuveau safety stock from South Korea to the U.S. This will not impact our cash use given the negotiated payment terms. Turning now to guidance. Our first half performance provides us with increased confidence in the trajectory of the business. We are updating our full year 2026 financial outlook. Through the first six months of 2026, we delivered 14% year-over-year growth in revenue, exceeding the pace implied by our original full year outlook. We are raising the lower end of our revenue guidance to $330 million while maintaining the upper end of $337 million, effectively raising the midpoint of our guidance range to $333.5 million.

We are also raising our full year adjusted gross profit margin guidance to between 67.0% and 67.5%. This reflects our first half performance and confidence in the margin trajectory of the business. We are narrowing our non-GAAP operating expense guidance range to between $212 million-$216 million. This reflects our continued disciplined approach to expense management while incorporating incremental strategic investments, including upfront payments for the recently announced expansion of our Estyme partnership into Canada, Australia, and New Zealand. Our previously announced partnership with IBSA reflects the same disciplined, capital-efficient approach to business development with no upfront or milestone payments. We are reaffirming our low to mid-single digit adjusted EBITDA margin outlook for the full year 2026. Finally, I’d like to emphasize that our long-term financial framework remains unchanged.

We continue to believe Evolus is well positioned to achieve $450 million-$500 million in annual revenue and 13%-15% adjusted EBITDA margin in 2028. The progress we have demonstrated over the past three quarters reinforces our confidence that we’re on track to achieve these long-term objectives. I’ll turn it back to David for closing remarks.

David Moatazedi, President and Chief Executive Officer, Evolus: Thank you, Tatjana. As you heard today, Evolus is on track to deliver our seventh consecutive year of above-market performance with double-digit top-line growth. We’ve continued to gain market share for both Jeuveau and Evolysse. I’m particularly pleased with the debut and early success of our Portfolio Growth Bundle, which resulted in customers committing more of their injectable business to Evolysse and driving the highest overall growth across our customer base. Over the past 18 months, we have transformed Evolus into a diversified injectable aesthetics company with three distinct growth verticals. We began by establishing Jeuveau as one of the fastest-growing neurotoxin brands in the market. Continued that momentum with the launch of Evolysse, the first new injectable hyaluronic acid gel in more than a decade, and most recently entered the skin quality space with Profhilo.

At the same time, we’ve built a commercial platform that is increasingly scalable, increasingly diversified, and increasingly attractive to both customers and strategic partners. Before I close, I want to thank our employees for their relentless focus on execution. I also want to thank our customers for their continued trust in Evolus, and our strategic partners for their collaboration, and lastly, our shareholders for their ongoing confidence in Evolus. Our progress this quarter reflects what we can accomplish when we work together with a shared commitment to innovation, operational excellence, and delivering long-term value. Operator, you may now begin the Q&A.

Operator: Thank you. If you would like to ask a question, please press star one on your telephone keypad. A confirmation tone will indicate your line is in the question queue. You may press star two if you would like to remove your question from the queue, and for participants using speaker equipment, it may be necessary to pick up your handset before pressing the star keys. Our first question is from Annabel Samimy with Stifel. Please proceed.

Annabel Samimy, Analyst, Stifel: Hi, guys. Thanks for taking my question. Congratulations on a good quarter. I’m really interested in your new licensing of the Profhilo for skin quality. As usual, U.S. is catching up with international markets. I want to understand this product a little better. What is it going to require clinically to get on the market here? Do you still expect to maintain profitability with the additional R&D here? Second, would you view this maybe, I guess, a little bit more like a filler light to perhaps expand a category or be a sort of gateway into fillers? Is this a completely different market, different price point, different commitment altogether?

David Moatazedi, President and Chief Executive Officer, Evolus: Great. Annabel, thanks for the questions. I’ll have Rui comment on the clinical development. Tatjana comment on the expense associated with Profhilo. I’ll just open with this last weekend, we had an advisory board meeting with a number of key customers from both the U.S. and international markets. Interestingly, the U.S. doctors were all very well aware of Profhilo. They’ve heard of this brand because it’s well known as the gold standard for skin quality. The international doctors made a simple comment. They use toxins to relax muscle. You use our injectable hyaluronic acid gels like Evolysse to replace lost volume in the tissue. Products like Profhilo are used as more like a moisturizer on the skin surface. It’s not adding volume, it’s changing the overall texture of the skin.

I’ll let Rui talk a little bit more about the clinical development and what he would see going forward.

Rui Avelar, Chief Medical Officer and Head of R&D, Evolus: Sure. Maybe I’ll touch on kind of what you also touched on. It is a different product. When we think about HAs, the mechanism of action is they take up space. That’s why they’re regulated as a device. This is a different way of actually creating an HA gel. As I mentioned, it doesn’t undergo the traditional cross-linking. It has a special thermal process, and you end up with these light hydrogen bonds. What it does is it actually hydrates the skin internally. What you do is you actually put it in if you look at the DFU from Europe, you can actually see where the injection points are correlate where the skin quality is deteriorating. The skin turgor’s low, there’s more redundancy and looseness, and even the skin tone is low. Those are all components of skin quality, and this is what this works on.

Mechanistically, works effectively by hydrating the skin from within. In terms of the process and how we get it through, this will be a full PMA. It’s considered a class 3 device, and it will go through a full PMA process, which is where we tie in those timelines. We are talking about 2030 right now. I think I’ve captured most of your components, Nicole.

Tatjana Mitchell, Chief Financial Officer, Evolus: Great. Maybe I will add.

Annabel Samimy, Analyst, Stifel: Sorry. Go ahead.

Tatjana Mitchell, Chief Financial Officer, Evolus: I will just add on the question around does this impact profitability, and the short answer is no. Rui and his team have a great track record and will be supporting the clinical development and regulatory approval of this product. This is already contemplated in our guidance for adjusted EBITDA to 2028 of 13%-15%.

Annabel Samimy, Analyst, Stifel: Got it. If I can just ask a follow-up, can you talk about, I heard in your comments how you’re feeling about the state of the filler market. It does look like we’ve got a bit of a tale of two cities here with, I guess, one player seeing declines and other players seeing stabilization. What are you seeing as far as interest level and, I guess, being a new player on the market, do you feel like you’re reframing the conversation around fillers right now and any impact that you’re seeing yet from GLP-1s? I know that Galderma is starting to talk about it, how are you seeing that play out in the market?

David Moatazedi, President and Chief Executive Officer, Evolus: Yeah, this is David. Overall, we’re hearing improving conditions from clinicians all around in the HA market specifically. In our case, as you saw the step-up in Q2, part of that was driven by our ability to talk about these weight loss patients, we’ve incorporated that into our co-branded media. We saw a lot of interest from accounts that want to capitalize on what they’re seeing, which is the increasing number of GLP-1 patients coming into their clinics and the ability to advertise to that segment with Evolysse and the mention of weight loss that we currently have in our patient label. We’ve been able to capitalize on it.

We do believe it’s very early innings of both the market recovery and that GLP patient entering clinics, that’s exactly where these practices are focused, and that’s something we’ll continue to take advantage of as we get into the back half of the year, as that’s a unique differentiation in the Evolysse line from a consumer standpoint.

Annabel Samimy, Analyst, Stifel: Great. Thank you.

Operator: Our next question is from Marc Goodman with Leerink Partners. Please proceed.

Marc Goodman, Analyst, Leerink Partners: Yeah, just one additional question on this Profhilo. Is it safe to use that product at the same time as a filler and at the same time as Jeuveau? I’m just wondering if you need studies to show that it’s safe, or is it just going to be well understood by the doctors? Second question is just on the performance of the toxin market just throughout the quarter. Was it improving throughout the quarter and July is a continuation of that improvement? I’m just trying to get a sense of what has been going on this year. I think you said at the first quarter you thought that the market grew low to mid, and now you’re saying the second quarter was mid, it does feel like it’s getting better as time goes on.

Just wondering if you’re seeing that improvement into July as well. Thanks.

Rui Avelar, Chief Medical Officer and Head of R&D, Evolus: Hi, Marc. I’ll start with your question. Yes, when you look at where this is used, they’re used simultaneously with the other products. This product is put into, if you will, more superficially in the skin if we think about how it works. If you look at a toxin, that usually goes into a muscle, so it’s a different layer. Generally, when you’re using an HA injectable and you’re trying to take up space for a wrinkle or fold, that’s usually put in a different plane. We see them used quite similarly. If we think about part of the reason why there was a lot of excitement here in the U.S. as we had our advisory board is they really like the concept of the cadence of this product.

It brings patients in with another excuse to get a treatment, then it helps them with managing the other treatments, such as HA injectables and toxins. It’s a very synergistic treatment for all the stuff that we currently offer.

David Moatazedi, President and Chief Executive Officer, Evolus: That’s right. As a matter of fact, when we had conversations with the team at Profhilo, they did not view hyaluronic acid injectable products as competitors. They very much viewed them as complementary in the European market and had a lot of success with that. Then go to your second question, Marc, we saw a sequential improvement in the market. You see that reflected in both toxin procedures, HAs turning to positive growth. Underneath that, we’re also seeing that segments of the consumer are also strengthening. That younger demographic, which is well into her 40s now, the Millennial, the Gen Z, they both show that their spend on beauty and healthcare is only rising, and we do believe that contributes. We expect that to carry forward into the back half of the year.

We have no reason to believe that the momentum doesn’t continue, that’s reflected in the guidance that we provided.

Marc Goodman, Analyst, Leerink Partners: Thanks.

Operator: Our next question is from Navann Ty with BNP Paribas Asset Management. Please proceed.

Navann Ty, Analyst, BNP Paribas Asset Management: Hi. Question on your market commentary, which sounded more positive than the market leaders. Can you clarify whether the comments are U.S. or global for toxins and fillers? If possible, can you let us know your current U.S. and global market share in toxins and fillers? What drove the significant share gains? Thank you.

David Moatazedi, President and Chief Executive Officer, Evolus: Sure. As far as the two markets, we’ve seen Europe over the past several years, we did not see a slowdown. Coming into this year, we continue to see a healthy market environment. Now, HAs, of course, in both U.S. and Europe, did see a dip. In both markets, we’re seeing an improvement. It’s hard for us to gauge whether Europe is in positive growth or in some stage of improvement, but it is consistently the same messaging that we hear back from clinicians that they see the HA market strengthening off of several years of the market being depressed. We feel good that these markets are moving, let’s call it, roughly in parallel with one another. As it relates to shares, we entered the year with roughly mid-teens market share. We expect to continue in that mid-teens range.

It’s hard to pin a share on an exact quarter, clearly our share is strengthening. We see that, the numbers reflect it. Year to date, our business growing at a healthy double-digit clip in the U.S. The same is the case on the filler side. In Europe, on the toxin side, we’ve just reestablished a position in a couple of major markets in Europe, so it’s too early for us to be giving a view on share. Although we do say that in the U.K., which is our most established market, this year, we are getting really close to that double-digit market share, which is an important metric for us that we continue to track because they were the lead market to enter inside of Europe and the U.K.

That continues to be a strong market lead for us, we’re seeing the markets that followed after U.K. continuing to strengthen in terms of their revenue, that’s why the international business has been such an important growth driver for us.

Navann Ty, Analyst, BNP Paribas Asset Management: Thank you.

Operator: Our next question is from Doug Tsao with H.C. Wainwright. Please proceed.

Doug Tsao, Analyst, H.C. Wainwright: Hi. Good afternoon. Thanks for taking the questions. Just maybe trying to understand what we’re seeing, or maybe if you could help us understand how you think the Evolysse line sort of growth should go. We’ve obviously seen some nice sequential growth on % basis. It’s still off a relatively smaller base. Just given some of the macro dynamics, I know you sort of guided to 10%-12% of the total revenues for this year. Do you see 2027 as being a more important year just with the additions of new products to the portfolio? Thank you.

David Moatazedi, President and Chief Executive Officer, Evolus: Yeah. Well, Doug, I think the way we look at the Evolus line is it’s a very important part of building out a portfolio strategy that we competed as a single product up until the second quarter of last year for six consecutive years, and established a meaningful presence in the aesthetic space on that single product. Evolus is clearly opening the door for us to go into clinics and have a deeper partnership with them. As a matter of fact, when we look at accounts that purchase both Jeuveau and Evolus together, they’re purchasing two and a half times greater volume year to date than accounts that are only purchasing one product. Clearly, Evolus is an important next stage in us telling a portfolio story. That’s not it.

The announcement of Profhilo has added another dimension to the conversations we’re having with clinicians, because that signals even further investment into the category and developing new innovation. Then between now and Profhilo, as you know, we have the upcoming approval of Sculpt, which we do believe is a flagship product in that line. It puts us in a place where we can compete against the broader portfolios of the larger established players. In addition to that, the following year, we expect to improve the Evolysse Lips. When I look at our pipeline over the next four years, we’re going to introduce three more new products. I’m really excited about what we’re going to be able to bring customers over the coming years. More importantly, we’ve got to execute in the near term.

I think the operating leverage we’ve been able to demonstrate without compromising growth is a reason why we’ve been able to grow double digits in both the U.S. and international.

Doug Tsao, Analyst, H.C. Wainwright: David, just as a follow-up on the Profhilo, sort of bringing that into the portfolio. You had spoken for some time about being interested in biostimulators, I guess Profhilo is kind of a biostimulator. Do you see that as sort of filling that sort of interest that you had, or do you think that you might still be looking at the biostimulator space as something that might be interesting from a product standpoint? Are there other products that you could see that could be complementary to Profhilo?

Rui Avelar, Chief Medical Officer and Head of R&D, Evolus: I’ll jump in on that one, Doug. What we’ve been talking about, in particular on the R&D front and business development front, are three big categories. One was skin quality, we put that in its own category. That’s Profhilo. The other one that we’ve talked about that we have high interest in is hair, which of course is a separate category. Then the third one, we put it in its own category as we think about mechanistically, is biostimulators. We’ve really highlighted three of them. One, we just checked that box, then the other two we continue to work on.

Doug Tsao, Analyst, H.C. Wainwright: Okay, great. Thank you so much.

Operator: Our next question is from Sam Eiber with BTIG. Please proceed.

Sam Eiber, Analyst, BTIG: Hi. Good afternoon. Thanks for taking the questions here. Just to start out, it’s a little bit of a higher level question. You’re ramping on Evolysse in the U.S., expanding OUS with the new Symatese agreement. You signed this Profhilo agreement. Maybe just talk about your ability to execute against all of these initiatives and your own bandwidth, particularly when it comes to still achieving your profitability targets.

David Moatazedi, President and Chief Executive Officer, Evolus: Yeah. Maybe I’ll divide that up and let both Tatjana and Rui comment on it. I think when you talk about our ability to execute, I think about it on three levels. One is our ability to commercially execute. The second part is, can we get these drugs through the development program? Lastly, how do we fund them all collectively as you think about our long-term outlook? I’ll just start with commercial execution before Rui gets into the pipeline. Look, we’ve got a great commercial team. You’ve seen the performance on Evolysse in its first year in what’s been a challenged HA market, and we’ve been the fastest share gainer in that space with that product, and we still have several more to go. The cadence of these approvals that we expect put us in a really strong position.

As I mentioned earlier, as you think about the next four years, you’re talking about three product launches over that time window that are all facial injectable products that drop into the same bag that are injected by the same clinicians. In our view, it only strengthens our message in front of the customer to continue to have that cadence of new products to build around our portfolio strategy. Now let Rui talk about the development pathways.

Rui Avelar, Chief Medical Officer and Head of R&D, Evolus: Your question was really aimed at how do we manage the development pathways and et cetera. I think David’s comments are kind of fitting also for R&D. There’s a cadence. If we look at Sculpt, hopefully that’s towards the end of its process. Lips is in a different part of the development. Profhilo is in a different part of the development. If we can execute on some of the other deals, like we were saying hair for instance, they’re all in different parts of development. If we look at our internal capabilities, we have a really skilled group that focuses on late-stage development. That’s a lot of our expertise. All of this really fits in our wheelhouse.

We think looking at the cadence of the things that we’re targeting, we’re able to maintain our expenses, at least on the R&D side, just as we’ve suggested and shared with you previously.

Tatjana Mitchell, Chief Financial Officer, Evolus: Maybe I’ll chime into the last part of your question, Sam. We had talked about 2025 really being an investment year. In 2025, we really set up our commercial infrastructure, both in the U.S. and internationally, to sell the portfolio. That’s really important. We have great talent in that commercial organization. Rui just talked about his team. Similar comment, right? We have great talent and a great track record there in terms of taking these assets through their development journey. In terms of our capital efficiency, you just heard us talking about expansion geography with Symatese. We talked about the IBSA deal, very capital efficient. Across the board, whether it’s balance sheet or we’re looking at our OpEx, right? We feel very confident in being able to deliver on this pipeline here and more.

Sam Eiber, Analyst, BTIG: Okay. Really helpful there. Maybe if I could just squeeze in a follow-up here, on the second half outlook and how we should be thinking about cadence, any seasonality, in terms of modeling considerations for the toxin business. Thank you.

Tatjana Mitchell, Chief Financial Officer, Evolus: Yeah. We have modeled our outlook really looking at the sequential step-ups and step-downs that you would see seasonally in the industry. We grew 14% in the first half. We’re giving this guidance, right, where we’re sort of up the midpoint of the revenue a bit. What you see there is just really our confidence in the second half following through the same approach. If you look at the year-over-year growth rates, I would just remind you, last year in H1, in the first half, we grew high single digits, then in the second half we stabilized. We were 14% growth, right? Just those comps I would consider when you think about our second half guide.

Operator: Our next question is from Serge Belanger with Needham & Company. Please proceed.

John, Analyst, Needham & Company: Hi, this is John on for Serge today. Congrats on the quarter. Thanks for taking our questions. First I wanted to follow up on the last question and look to the second half of the year. You guys are coming off a solid first half and updating your full-year guidance. For the second half, it kind of implies over 10% growth there. Curious of any specific initiatives you guys have planned for the seasonally important second half, whether that’s through Evolus Rewards or digital marketing, GLP-1 related messaging, and so on. How we should think about the impact of these programs on revenue growth this year. Tatjana, you touched on the topic of tariffs, in your prepared remarks. If you would just clarify whether toxins still remain exempt at this time.

Similarly with the HAs, I believe they had been subject to 10% tariffs previously. Curious if anything has changed there and what your outlook is. Thanks.

David Moatazedi, President and Chief Executive Officer, Evolus: Great. I’ll just touch on our back half views at a high level. First is, the back half’s as important as the front half is. As you can imagine, given the scale of the organization, we have a heavy investment in marketing, education, and promotional activities every quarter. As a matter of fact, this year we’ll train over 14,000 clinicians hands-on, and that continues each and every quarter. Education’s a critical part of driving that confidence gap. Our consumer loyalty team has done a really effective job of not just maintaining patients coming back, but recruiting new patients into the category. Our co-branded media is a great complement to helping advertise and recruit some of those patients where our clinics will advertise both our Evolus Rewards program as well as the brands in a lot of their co-branded media.

I would say the mix of all of our investment is complementary in order to continue to drive fast growth with the accounts that partner with us. As you said, with Evolus, that GLP-1 target is a key strategic area of focus for us. It’s one that worked very well in the second quarter, and it’s one that we’re going to focus on in the back half of the year as well. Lastly, fourth quarter is the heavy promotional season of the year for our category. We collaborate with beauty brands. We’ve done it multiple times in the past, and we’ll do that again in the back half of the year. That’s something our accounts really look forward to when they can offer a consumer a gift with purchase.

We also do something unique each year around 11’s Day, that we’ve supported now for seven consecutive years. I know our customers get excited about that, want to learn more about it, and we’ll introduce those as well. It’s part of our overall cadence. There’s nothing unique in there that would present any unique dynamics from a financial standpoint. It’s just part of our operating model.

Tatjana Mitchell, Chief Financial Officer, Evolus: Great. On the tariffs, our position there remains the same. I think you mentioned for Evolus, that has been subject to a 10% tariff and continues to be. Jeuveau at this time is still exempt. There is a pronouncement regarding patented pharmaceutical tariffs, and as we await clarity on that, we are prudently bringing in some inventory into the U.S., and we have a mechanism with our partner there so that it is not going to impact our cash use.

Operator: There are no further calls at this time. We have reached the end of our call. You may now disconnect your lines, and thank you for your participation.