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Heron Therapeutics is like:

• Pacira BioSciences for extended-release pain management, plus anti-nausea drugs for oncology.
• Merck's chemotherapy-induced nausea and vomiting (CINV) portfolio, but also with innovative extended-release pain medications.

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• SUSTOL: An extended-release injection to prevent acute and delayed nausea and vomiting associated with moderately emetogenic chemotherapy.
• CINVANTI: An intravenous formulation of aprepitant for the prevention of acute and delayed nausea and vomiting associated with highly or moderately emetogenic cancer chemotherapy.
• ZYNRELEF: A dual-acting local anesthetic that combines bupivacaine and meloxicam for postoperative pain management.
• HTX-019: An investigational agent in development for the prevention of postoperative nausea and vomiting.
• HTX-034: An investigational agent in development for postoperative pain management.

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Heron Therapeutics (HRTX) sells its pharmaceutical products primarily to other companies and organizations within the healthcare sector.

The provided company description does not list the names of specific major customer companies. However, based on the nature of its products (pharmaceuticals for chemotherapy-induced nausea and vomiting, and postoperative pain management), its major customers generally include:

• Hospitals and Healthcare Systems: These institutions administer products such as SUSTOL and CINVANTI to patients undergoing chemotherapy, and ZYNRELEF for postoperative pain management in surgical settings.
• Oncology Centers and Clinics: Specialized facilities focused on cancer treatment would be purchasers and users of Heron's supportive care products like SUSTOL and CINVANTI.
• Pharmaceutical Wholesalers and Distributors: These companies serve as intermediaries, purchasing pharmaceutical products from manufacturers like Heron Therapeutics and distributing them to hospitals, clinics, and pharmacies across the healthcare supply chain.

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• Baxter International Inc. (BAX)
• Thermo Fisher Scientific Inc. (TMO)
• Siegfried AG (SFN)
• Fresenius SE & Co. KGaA (FMS)
• Hovione LLC
• Recro Gainesville LLC
• ChemCon GmbH

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Craig Collard, Chief Executive Officer
Mr. Collard was appointed Chief Executive Officer of Heron Therapeutics in April 2023. He most recently served as CEO of Veloxis Pharmaceutics A/S (now Veloxis Pharmaceuticals Inc.) from 2015 to December 2021, leading it through its acquisition by Asahi Kasei Corp. Prior to Veloxis, Mr. Collard was CEO and Chairman of the Board of Cornerstone Therapeutics, Inc. from 2011 until its acquisition by Chiesi Farmaceutici S.p.A. in 2014. He also held roles as Interim CFO (2010-2011) and President (2008-2011) at Cornerstone. Mr. Collard founded, and served as President and CEO of, Cornerstone BioPharma Inc. from 2004 to 2008, and also founded Carolina Pharmaceuticals, Inc. in 2003, serving as its President and CEO. Additionally, he served as Chairman of Opiant Pharmaceuticals, Inc. from October 2018 until its acquisition by Indivior in March 2023.

Ira Duarte, Executive Vice President, Chief Financial Officer
Ms. Duarte joined Heron as Executive Vice President, Chief Financial Officer in June 2023. She brings over twenty-five years of experience in finance and accounting, including more than a decade in the pharmaceutical industry. Prior to Heron, Ms. Duarte held financial leadership roles from 2016 to 2023, notably as CFO at Veloxis Pharmaceuticals, Inc. She also served as Corporate Controller at BioDelivery Sciences, Inc. from 2014 to 2016, and as Senior Director of Corporate Finance for Chiesi USA, Inc. and Director of Accounting and Financial Planning for Cornerstone Therapeutics, Inc. from 2009 to 2014. She was a key member of the team that facilitated the sale of Cornerstone Therapeutics, Inc. to Chiesi Farmaceutici S.p.A.

William Forbes, Executive Vice President, Chief Development Officer
Mr. Forbes is responsible for overseeing the company's development pipeline.

Mark Hensley, Chief Operating Officer
Mr. Hensley is responsible for managing the day-to-day operational execution of the company's commercial strategy.

Brett Fleshman, Chief Business Officer
Mr. Fleshman joined Heron as Chief Business Officer in August 2024. He has 25 years of experience in corporate and business development, commercial strategy, and marketing within the pharmaceuticals, biologics, and surgical devices sectors. Prior to Heron, he was a Managing Director at NovaQuest Capital Management and served as Vice President of Strategy and Corporate Development for Veloxis Pharmaceuticals, where he contributed to a commercialization strategy that led to the company's acquisition by Asahi Kasei in 2020.

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The key risks to Heron Therapeutics (HRTX) include challenges in the commercialization and market acceptance of its new products, the decline of its established oncology franchise due to intense competition, and its overall financial health and need for future financing.

1. Commercialization and Market Acceptance Challenges for ZYNRELEF: Heron Therapeutics faces significant hurdles in successfully commercializing ZYNRELEF, its dual-acting local anesthetic for postoperative pain. Despite gaining FDA approval and expanded indications, ZYNRELEF has struggled to achieve substantial market penetration, with revenues not exceeding $10 million in any quarter. The product carries "black box warnings" regarding increased risks of serious cardiovascular events (such as heart attack and stroke) and gastrointestinal issues (including bleeding, ulcers, and perforation), which may limit its use or market adoption. Furthermore, ZYNRELEF has specific contraindications, including use during coronary artery bypass graft surgery, and its marketing authorizations in the UK and EU were cancelled as the company does not plan commercial launches in those regions. The anticipated growth for ZYNRELEF is also dependent on a prefilled syringe launch, which is not expected until 2027.
2. Competition and Decline of Oncology Franchise: The company's oncology franchise, comprising SUSTOL and CINVANTI, has historically been a major revenue driver, contributing approximately 70% of overall revenues as of Q3 2025. However, this segment is facing significant competitive pressures. SUSTOL has seen declining trends due to increased market competition, leading Heron to plan for the wind-down of its commercialization. CINVANTI, while not facing a complete wind-down, is described as "stagnating with minimal growth" amid competitive pressures. The company is also dealing with pending litigation concerning CINVANTI, which introduces legal and timing uncertainties for the oncology franchise.
3. Financial Health and Need for Future Financing: Heron Therapeutics carries a substantial debt burden, evidenced by weak interest coverage and a high net debt-to-EBITDA ratio. The company has experienced substantial negative free cash flow, indicating that its debt usage is relatively risky. Although a refinancing in 2025 was considered a "meaningful de-risking event," the company's current cash runway is projected only into 2027, suggesting that additional financing will likely be required before any significant product-driven turnaround can occur. Planned increases in commercial investments for 2026, aimed at accelerating long-term revenue, are also expected to temporarily moderate EBITDA growth.

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Heron Therapeutics (HRTX) operates in several addressable markets related to chemotherapy-induced nausea and vomiting (CINV), postoperative pain management, and postoperative nausea and vomiting (PONV).

Chemotherapy-Induced Nausea and Vomiting (CINV) Market (for SUSTOL and CINVANTI)

• Globally, the chemotherapy-induced nausea and vomiting (CINV) treatment market was valued at approximately US$ 6,412.0 million at the end of 2023 and is projected to reach US$ 12,688.0 million by 2034, growing at a CAGR of 6.4%.
• In the U.S., the CINV treatment market was estimated at US$ 2,475.9 million in 2024 and is projected to expand at a CAGR of 6.0% through 2034.

Postoperative Pain Management Market (for ZYNRELEF and HTX-034)

• The global postoperative pain therapeutics market was valued at USD 14.71 billion in 2024 and is estimated to reach USD 23.0 billion by 2033, exhibiting a CAGR of 5.19% from 2025 to 2033.
• Another estimate indicates the global postoperative pain management market is likely to be valued at US$ 45.13 billion in 2025 and is estimated to reach US$ 65.22 billion by 2032, at a CAGR of 5.4%.
• For ZYNRELEF specifically, its expanded U.S. label covers approximately 13 million surgical procedures annually.
• North America is a dominant region in the postoperative pain management market, holding over 46.0% of the market share in 2024.

Postoperative Nausea and Vomiting (PONV) Market (for HTX-019)

• The global postoperative nausea and vomiting (PONV) market was valued at USD 2,999.53 million in 2025 and is expected to increase to USD 5,174.08 million by 2032, growing at a Compound Annual Growth Rate (CAGR) of 8.1%.
• North America leads the PONV treatment market, commanding about 40% of the global market share. The U.S. market alone captured 81.2% of the North American revenue share in 2024.

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Heron Therapeutics (HRTX) is poised for future revenue growth over the next two to three years, primarily driven by the expanding adoption of its acute care products and strategic commercial initiatives. The company anticipates revenue growth from the following key drivers:

1. Increased Adoption and Expanded Use of ZYNRELEF: ZYNRELEF, an extended-release solution for postoperative pain management, is consistently highlighted as a significant growth engine. The company has seen substantial year-over-year revenue growth for ZYNRELEF, with a 48% increase in Q4 2025 compared to Q4 2024. Key initiatives contributing to this growth include the CrossLink IGNITE program, which aims to boost promotional efforts for ZYNRELEF, and the rollout of the Vial Access Needle (VAN) in late 2024, designed to facilitate rapid preparation and administration in operating rooms. Furthermore, the FDA's approval of an expanded indication for ZYNRELEF in January 2024 broadens its potential patient base. The product also benefits from a permanent J-code (J0668), supporting broader hospital and ambulatory surgical center (ASC) adoption and streamlined reimbursement.
2. Growth of APONVIE: APONVIE, for the prevention of postoperative nausea and vomiting (PONV), is another significant contributor to the Acute Care franchise's growth. The product experienced a 97% year-over-year growth in Q4 2025. Its inclusion in the Fifth Consensus Guidelines for PONV management and the establishment of a dedicated sales team are expected to further support its continued adoption and provide a significant tailwind. APONVIE also received a permanent J-code (J8502), which is anticipated to aid its market penetration.
3. Strategic Commercial Team Expansion and Targeted Investments: Heron Therapeutics is making strategic investments to accelerate the expansion of its commercial team in key markets. This expansion is aimed at maximizing near-term commercial productivity and pulling forward revenue, particularly for its Acute Care portfolio. These targeted investments, while potentially moderating EBITDA growth in the short term, are expected to drive meaningful top-line revenue growth in the coming years.
4. Operational Efficiencies and Improved Gross Margins: While not a direct revenue driver, improved operational efficiency and gross margins contribute to the company's financial health, indirectly supporting revenue growth initiatives. Heron has significantly improved its gross margins, reaching approximately 73% in 2025, up from 49% in 2024. This improvement is attributed to better cost control, a more favorable product mix towards higher-margin assets, and production scale-up. The company aims to maintain strong and consistent gross margins while shifting its product mix towards higher-growth assets.

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Share Issuance

• On August 8, 2025, Heron Therapeutics completed a comprehensive capital restructuring that included a private placement, resulting in $27.7 million in gross proceeds through the issuance of common and preferred equity.
• In July 2023, the company executed a private placement financing, issuing approximately 20.7 million shares of its common stock at a purchase price of $1.37 per share, generating $30 million.
• Heron Therapeutics' common shares outstanding have increased by 9.35% in one year, and by an average annual rate of 16% over the past three and five years.

Inbound Investments

• As part of a capital restructuring on August 8, 2025, Heron Therapeutics received $27.7 million in gross proceeds from a private placement of common and preferred equity with select investors.
• This August 2025 restructuring also involved the issuance and sale of $35.0 million of new 5.0% senior convertible notes due 2031.
• In July 2023, institutional investors, including Rubric Capital Management LP, Velan Capital, Clearline Capital, and Hercules Capital, Inc., participated in a $30 million private placement financing into the company.

Capital Expenditures

• In the last 12 months (prior to March 2026), Heron Therapeutics reported capital expenditures of approximately $317,000.
• For 2026, the company plans to accelerate the expansion of its commercial team in key markets, which involves targeted investments aimed at maximizing near-term commercial productivity and driving revenue growth for products like ZYNRELEF and APONVIE.