Statements in this report that are not strictly historical in nature are “forward-looking statements” within the meaning of the federal securities laws made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. In some cases, you can identify forward-looking statements by terms such as “anticipate,” “believe,” “could,” “estimate,” “expect,” “goal,” “intend,” “may,” “plan,” “potential,” “predict,” “project,” “should,” “will,” “would,” and similar expressions intended to identify forward-looking statements, though not all forward-looking statements contain these identifying words. Our actual results could differ materially from those anticipated in these forward-looking statements as a result of various factors, including those set forth below in Part II, Item 1A Risk Factors and elsewhere in this Quarterly Report on Form 10-Q. The preceding interim condensed consolidated financial statements and this Management’s Discussion and Analysis of Financial Condition and Results of Operations should be read in conjunction with the financial statements and related notes for the year ended December 31, 2025 and Management’s Discussion and Analysis of Financial Condition and Results of Operations contained in the Annual Report. Readers are cautioned not to place undue reliance on forward-looking statements. The forward-looking statements speak only as of the date on which they are made, and we undertake no obligation to update such statements to reflect events that occur or circumstances that exist after the date on which they are made. OVERVIEW We are a biopharmaceutical company dedicated to transforming chronic disease care through innovative, patient-centric solutions. Focused on cardiometabolic and orphan lung diseases, we develop and commercialize treatments that address serious unmet medical needs, including diabetes, pulmonary hypertension, and fluid overload in heart failure and chronic kidney disease. With deep expertise in drug-device combinations, we aim to deliver therapies designed to fit seamlessly into daily life. Our cardiometabolic business is currently comprised of three commercial products: Afrezza (insulin human) Inhalation Powder; Furoscix (furosemide injection); and the V-Go wearable insulin delivery device: •Afrezza is an ultra rapid-acting inhaled insulin indicated to improve glycemic control in patients with diabetes aged six and older. Afrezza was developed by us and consists of a dry powder formulation of human insulin delivered from a small portable inhaler. Administered at the beginning of a meal, Afrezza dissolves rapidly upon inhalation to the lung and delivers insulin quickly to the bloodstream. The expansion of the label to include children and adolescents aged 6 and older living with diabetes was approved by the U.S. Food and Drug Administration (FDA) on May 29, 2026. •Furoscix is a novel formulation of furosemide that delivers an 80 mg dose via an on-body infusor over a five-hour period. Furoscix is approved by the FDA for the treatment of edema in pediatric patients who weigh at least 43 kg and adult patients with chronic heart failure or chronic kidney disease. Furoscix is the first FDA-approved subcutaneous loop diuretic that delivers intravenous-equivalent diuresis at home as opposed to a hospital setting. Furoscix ReadyFlow, a high concentration formulation of furosemide that is delivered via an autoinjector, was approved by the FDA on July 23, 2026 for the treatment of edema (fluid overload) in adults with heart failure or chronic kidney disease. •V-Go is a mechanical basal-bolus insulin delivery system that is worn like a patch and can eliminate the need for taking multiple daily injections. V-Go administers a continuous preset basal rate of insulin over 24 hours and provides discreet on-demand bolus dosing at mealtimes. V-Go received 510(k) clearance by the FDA in 2010 and has been available commercially since 2012. In May 2022, we acquired V-Go from Zealand Pharma US, Inc. and Zealand Pharma A/S. In the United States, we are solely responsible for the commercialization of Afrezza, Furoscix and V-Go. Outside of the U.S., our strategy has been to establish regional partnerships in foreign jurisdictions where there are commercial opportunities, subject to the receipt of necessary foreign regulatory approvals. In December 2025, we supplied our partner in India, Cipla, with an initial shipment of Afrezza to support their launch of Afrezza in India. We expect to supply Cipla with additional product in accordance with the annual purchase commitments in our supply agreement. The proprietary formulation and inhaler technologies used in Afrezza have also been deployed in our efforts to develop products to treat orphan lung diseases. Our first product to address an orphan lung disease, Tyvaso DPI (treprostinil) inhalation powder, received FDA approval in May 2022 for the treatment of pulmonary arterial hypertension (or PAH) and pulmonary hypertension associated with interstitial lung disease (or PH-ILD). Our development and marketing partner, United Therapeutics, began commercializing Tyvaso DPI in June 2022 and is obligated to pay us a royalty on net sales of the product. We also receive revenue for the supply of Tyvaso DPI that we manufacture for UT. In August 2025, we announced the expansion of our collaboration, pursuant to which we are formulating ralinepag DPI (MNKD-1501) as a dry powder using our proprietary technologies. United Therapeutics will conduct preclinical and clinical development activities of MNKD-1501. Per the agreement, we received an upfront payment and subsequent development payment and are eligible to receive milestone payments upon achievement of specified development milestones as well as royalties on net sales of MNKD-1501, if approved. 37 The other major program in our pipeline that will potentially address an orphan lung disease is MNKD-201, a dry-powder formulation of nintedanib for the treatment of idiopathic pulmonary fibrosis (or IPF). An oral dosage form of nintedanib has been available for more than a decade. However, a fairly large oral dose is required in order to achieve sufficient drug levels in lung tissue. High systemic levels of nintedanib are often associated with undesirable side effects. Our goal with an inhaled formulation is to deliver a therapeutic amount of nintedanib to the lungs while avoiding high levels of the drug in other tissues. In 2024, we conducted a Phase 1 clinical study of MNKD-201, which met its primary objective of demonstrating positive safety results and good tolerability in healthy volunteers. We recently reported top-line data from a Phase 1b study of MNKD-201 conducted in the United States, with additional results to be presented at a future scientific conference. We are currently conducting a global Phase 2 study to assess the potential safety and efficacy of this investigational product in patients with IPF. MNKD-701 is another pipeline opportunity that we are exploring. This program is focused on bumetanide, a more potent loop diuretic than furosemide. We are currently evaluating the feasibility of formulating bumetanide as a dry-powder that can be administered via oral inhalation. Our business is subject to significant risks, including but not limited to our ability to manufacture sufficient quantities of our products and Tyvaso DPI. Other significant risks also include the risk that our products may only achieve a limited degree of commercial success and the risks inherent in drug development, clinical trials and the regulatory approval process for our product candidates, which in some cases depends upon the efforts of our partners. Ongoing changes in tariff policy by the U.S. government may potentially raise the future cost to source the raw materials and components needed to manufacture our products. We are actively monitoring this situation and exploring strategies to mitigate the risks. CRITICAL ACCOUNTING POLICIES AND ESTIMATES Our critical accounting policies and estimates can be found in Item 7. Management’s Discussion and Analysis of Financial Condition and Results of Operations in our Annual Report on Form 10-K for the year ended December 31, 2025. See Note 1 – Description of Business and Significant Accounting Policies in the condensed consolidated financial statements included in Part I – Financial Statements (Unaudited) for descriptions of the new accounting policies and impact of adoption. RESULTS OF OPERATIONS Trends and Uncertainties Our collaboration agreement with UT entitles us to receive a 10% royalty on net sales of Tyvaso DPI, subject to our sale of a 1% royalty on future net sales to a royalty purchaser (leaving us with a 9% royalty). Our royalty revenue reflects trends in demand for Tyvaso DPI in the marketplace. See Note 15 – Commitments and Contingencies in the condensed consolidated financial statements. Our future success is dependent on our, and our current and future collaboration partners’ ability to effectively commercialize approved products. Our future success is also dependent on our pipeline of new products and expansion opportunities for existing products, such as new formulations or expanded indications. There is a high rate of failure inherent in the R&D process for new drugs. As a result, there is a high risk that the funds we invest in research programs will not generate sufficient financial returns. Products may appear promising in development but fail to reach market within the expected or optimal timeframe, or at all. 38 Three and six months ended June 30, 2026 and 2025 Revenues The following table provides a comparison of the revenue categories for the three and six months ended June 30, 2026 and 2025 (dollars in thousands): Three Months Ended June 30, 2026 2025 $ Change % Change Revenues Commercial product sales: Gross revenue from product sales $ 60,580 $ 33,898 $ 26,682 79 % Less: Wholesaler distribution fees, rebates and chargebacks, product returns and other discounts 18,597 11,444 7,153 63 % Net revenue from commercial product sales $ 41,982 $ 22,454 19,528 87 % Gross-to-net revenue adjustment percentage 31 % 34 % Collaborations and services 35,022 22,845 12,177 53 % Royalties 32,370 31,228 1,142 4 % Total revenues $ 109,374 $ 76,527 32,847 43 % Six Months Ended June 30, 2026 2025 $ Change % Change Revenues Commercial product sales: Gross revenue from commercial product sales $ 108,507 $ 63,474 $ 45,033 71 % Less: Wholesaler distribution fees, rebates and chargebacks, product returns and other discounts 32,618 22,047 10,571 48 % Commercial product sales $ 75,889 $ 41,427 34,462 83 % Gross-to-net revenue adjustment percentage 30 % 35 % Collaborations and services 58,536 52,221 6,315 12 % Royalties 65,119 61,233 3,886 6 % Total revenues $ 199,544 $ 154,881 44,663 29 % Afrezza — Gross revenue from sales of Afrezza decreased by $1.7 million, or 6%, for the three months ended June 30, 2026 compared to the same period in the prior year. The decrease was driven primarily by lower demand. The gross-to-net adjustment was 33% of gross revenue, or $8.4 million, for the three months ended June 30, 2026 compared to 32% of gross revenue, or $8.8 million, for the same period in the prior year. As a result, net revenue from sales of Afrezza decreased by $1.3 million, or 7%, for the three months ended June 30, 2026 compared to the same period in the prior year. Gross revenue from sales of Afrezza decreased by $2.8 million, or 6%, for the six months ended June 30, 2026 compared to the same period in the prior year. The decrease was driven primarily by lower demand. The gross-to-net adjustment was 32% of gross revenue, or $15.2 million, for the six months ended June 30, 2026 compared to 34% of gross revenue, or $17.1 million, for the same period in the prior year. The decreased gross-to-net percentage was primarily attributable to a decrease in rebates in accordance with contractual arrangements. As a result, net revenue from sales of Afrezza decreased by $0.9 million, or 3%, for the six months ended June 30, 2026 compared to the same period in the prior year. Furoscix — Gross revenue from sales of Furoscix was $31.1 million for the three months ended June 30, 2026. The gross-to-net adjustment was 29% of gross revenue, or $8.9 million, resulting in net revenue of $22.2 million for the three months ended June 30, 2026. Gross revenue from sales of Furoscix was $52.0 million for the six months ended June 30, 2026. The gross-to-net adjustment was 28% of gross revenue, or $14.3 million, resulting in net revenue of $37.7 million for the six months ended June 30, 2026. There was no Furoscix revenue in the prior-year periods as we did not own or commercialize Furoscix until our acquisition of scPharma in October 2025. V-Go — Gross revenue from sales of V-Go decreased by $2.7 million, or 40%, for the three months ended June 30, 2026 compared to the same period in the prior year and was primarily a result of lower demand. The gross-to-net adjustment was 32% of gross revenue, 39 or $1.3 million, for the three months ended June 30, 2026 compared to 39% of gross revenue, or $2.6 million, for the same period in the prior year. As a result, net revenue from sales of V-Go decreased by $1.4 million, or 33%, for the three months ended June 30, 2026 compared to the same period in the prior year. Gross revenue from sales of V-Go decreased by $4.2 million, or 32%, for the six months ended June 30, 2026 compared to the same period in the prior year and was primarily a result of lower demand. The gross-to-net adjustment was 35% of gross revenue, or $3.1 million, for the six months ended June 30, 2026 compared to 38% of gross revenue, or $5.0 million, for the same period in the prior year. The improved gross-to-net percentage was primarily attributable to a decrease in rebates related to a reduction in active contracts. Net revenue from sales of V-Go decreased by $2.3 million, or 28%, for the six months ended June 30, 2026 compared to the same period in the prior year. Collaborations and Services and Royalties — Net revenue from collaborations and services increased by $12.2 million, or 53%, for the three months ended June 30, 2026 compared to the same period in the prior year. The increase in revenue in the current quarter was primarily attributable to increased product sold to UT due to timing of manufacturing activities and recognition of the related deferred revenue as well as revenue earned related to the development of ralinepag DPI. Royalty revenue from UT increased by $1.1 million, or 4%, for the three months ended June 30, 2026 due to UT's increase in net revenue from sales of Tyvaso DPI. Net revenue from collaborations and services increased by $6.3 million, or 12%, for the six months ended June 30, 2026 compared to the same period in the prior year. The increase in revenue was primarily attributable to an increase in revenue earned related to the development of ralinepag DPI. Royalty revenue from UT increased by $3.9 million, or 6%, for the six months ended June 30, 2026 due to UT's increase in net revenue from sales of Tyvaso DPI. Commercial product gross profit The following table provides a comparison of the commercial product gross profit categories for the three and six months ended June 30, 2026 and 2025 (dollars in thousands): Three Months Ended June 30, 2026 2025 $ Change % Change Commercial product gross profit: Commercial product sales $ 41,982 $ 22,454 $ 19,528 87 % Less: Cost of goods sold, commercial, excluding amortization of acquired intangible assets 14,409 4,607 9,802 213 % Commercial product gross profit: $ 27,573 $ 17,847 9,726 54 % Gross margin 66 % 79 % Six Months Ended June 30, 2026 2025 $ Change % Change Commercial product gross profit: Commercial product sales $ 75,889 $ 41,427 $ 34,462 83 % Less: Cost of goods sold, commercial, excluding amortization of acquired intangible assets 21,917 8,375 13,542 162 % Commercial product gross profit: $ 53,972 $ 33,052 20,920 63 % Gross margin 71 % 80 % Commercial product gross profit increased by $9.7 million, or 54%, for the three months ended June 30, 2026 compared to the same period in the prior year. Commercial product gross profit increased by $20.9 million, or 63%, for the six months ended June 30, 2026 compared to the same period in the prior year. The increase in both periods was primarily attributable to the increase in total product revenues after adding Furoscix to our product portfolio following the acquisition of scPharma in October 2025. Gross margin as a percentage of revenue decreased by 13% for the three months ended June 30, 2026 compared to the same period in the prior year and 9% for the six months ended June 30, 2026 compared to the same period in the prior year. The decrease in both periods was primarily attributable to the inclusion of Furoscix in our product portfolio which has a lower gross margin percentage than Afrezza. 40 Expenses The following table provides a comparison of the expense categories for the three and six months ended June 30, 2026 and 2025 (dollars in thousands): Three Months Ended June 30, 2026 2025 $ Change % Change Expenses: Cost of goods sold – commercial, excluding amortization of acquired intangible assets $ 14,409 $ 4,607 $ 9,802 213 % Cost of revenue – collaborations and services 15,131 15,961 (830 ) (5 %) Research and development 18,001 13,675 4,326 32 % Selling, general and administrative 58,302 31,622 26,680 84 % Amortization of acquired intangible assets 4,367 — 4,367 * (Gain) loss on foreign currency transaction (486 ) 5,363 (5,849 ) * Total expenses $ 109,724 $ 71,228 38,496 54 % Six Months Ended June 30, 2026 2025 $ Change % Change Expenses: Cost of goods sold – commercial, excluding amortization of acquired intangible assets $ 21,917 $ 8,375 $ 13,542 162 % Cost of revenue – collaborations and services 25,094 29,709 (4,615 ) (16 %) Research and development 35,232 24,697 10,535 43 % Selling, general and administrative 112,389 56,636 55,753 98 % Amortization of acquired intangible assets 8,734 — 8,734 * (Gain) loss on foreign currency transaction (1,804 ) 7,872 (9,676 ) * Total expenses $ 201,562 $ 127,289 74,273 58 % Cost of revenue – collaborations and services decreased by $0.8 million, or 5%, for the three months ended June 30, 2026 compared to the same period in the prior year. Cost of revenue – collaborations and services decreased by $4.6 million, or 16% for the six months ended June 30, 2026 compared to the same period in the prior year. The decrease in both periods was due to a decrease in cost per blister due to increased efficiencies in manufacturing activities in our Danbury, CT facility. Research and development expenses increased by $4.3 million, or 32%, for the three months ended June 30, 2026 compared to the same period in the prior year. Research and development expenses increased by $10.5 million, or 43%, for the six months ended June 30, 2026 compared to the same period in the prior year. The increases in both periods were primarily attributable to the development of the Furoscix ReadyFlow Formulation as well as higher personnel costs following the acquisition of scPharma and increased development costs for MNKD-201, which has begun enrolling subjects. These increases were partially offset by lower clinical development expenses resulting from the discontinuation of the ICoN-1 clinical study for MNKD-101 and the completion of the Afrezza pediatric study (INHALE-1). Selling, general and administrative expenses increased by $26.7 million, or 84%, for the three months ended June 30, 2026 compared to the same period in the prior year. Selling, general and administrative expenses increased by $55.8 million, or 98%, for the six months ended June 30, 2026 compared to the same period in the prior year. The increases in both periods were primarily related to costs associated with the promotion and support of Furoscix, as well as expanding our field-based teams and activities to support the launches associated with the recent approvals of the pediatric indication for Afrezza and the Furoscix ReadyFlow Autoinjector. Amortization of acquired intangible assets was $4.4 million for the three months ended June 30, 2026 and $8.7 million for the six months ended June 30, 2026 and was related to the amortization of the developed technology related to the Furoscix on-body infusor acquired from scPharma. 41 Gain on foreign currency transaction was $0.5 million for the three months ended June 30, 2026 compared to a loss of $5.4 million for the same period in the prior year. Gain on foreign currency transaction was $1.8 million for the six months ended June 30, 2026 compared to a loss of $7.9 million for the same period in the prior year. These non-cash changes were due to fluctuations in U.S. dollar to Euro exchange rates. Under our Insulin Supply Agreement with Amphastar, payment obligations for future purchases are denominated in Euros. We record the foreign currency transaction impact of the U.S. dollar to Euro exchange rate associated with the future purchase commitments. Other Income (Expense) The following table provides a comparison of the other income (expense) categories for the three and six months ended June 30, 2026 and 2025 (dollars in thousands): Three Months Ended June 30, 2026 2025 $ Change % Change Interest income, net $ 1,022 $ 1,832 $ (810 ) (44 %) Interest expense (11,894 ) (285 ) (11,609 ) (4,073 %) Interest expense on liability for sale of future royalties (510 ) (3,473 ) 2,963 85 % Interest expense on financing liability (2,414 ) (2,433 ) 19 1 % Other expense (4,992 ) — (4,992 ) * Total other expense $ (18,788 ) $ (4,359 ) 14,429 (331 %) Six Months Ended June 30, 2026 2025 $ Change % Change Interest income, net $ 2,452 $ 3,788 $ (1,336 ) (35 %) Interest expense (19,372 ) (4,930 ) (14,442 ) (293 %) Interest expense on liability for sale of future royalties (3,073 ) (7,050 ) 3,977 56 % Interest expense on financing liability (4,807 ) (4,843 ) 36 1 % Loss on settlement of debt (917 ) - (917 ) * Other expense (7,769 ) - (7,769 ) * Total other expense $ (33,486 ) $ (13,035 ) (20,451 ) (157 %) Interest income, net, consisting of interest and accretion on investments net of amortization, decreased by $0.8 million for the three months ended June 30, 2026 compared to the same period in the prior year and decreased by $1.3 million for the six months ended June 30, 2026 compared to the same period in the prior year. This was primarily due to a lower average balance on our securities portfolio and lower yields. Interest expense increased by $11.6 million for the three months ended June 30, 2026 compared to the same period in the prior year and increased by $14.4 million for the six months ended June 30, 2026 compared to the same period in the prior year. The increase was primarily due to new term loans with an aggregate principal amount of $325.0 million, which were drawn in August and October 2025 as well as the achievement of an Afrezza net sales milestone in the second quarter of 2026, which resulted in the recognition of $4.5 million of interest expense. See Note 15 – Commitments and Contingencies - Milestone Rights for additional information on the Afrezza net sales milestone. Interest expense on liability for sale of future royalties decreased by $3.0 million and $4.0 million for the three and six months ended June 30, 2026, respectively, compared to the same periods in the prior year. Interest consists of imputed interest and the amortization of debt issuance costs on the liability recorded in connection with the sale of 1% of our Tyvaso DPI royalties in December 2023. Imputed interest is based on third-party estimates of future royalties to be generated from Tyvaso DPI. See Note 15 – Commitments and Contingencies. Interest expense on financing liability was $2.4 million for both the three months ended June 30, 2026 and 2025, and $4.8 million for both the six months ended June 30, 2026 and 2025. Interest expense on financing liability represents interest incurred on the sale lease-back transaction for our manufacturing facility in Danbury, Connecticut. Loss on settlement of debt of $0.9 million for the six months ended June 30, 2026 was incurred in connection with the settlement of the senior convertible notes in March 2026. 42 Other expense of $5.0 million for the three months ended June 30, 2026 and $7.8 million for the six months ended June 30, 2026 was the result of the remeasurement of the fair value of the contingent consideration liability obtained from the acquisition of scPharma. The contingent consideration will be remeasured each subsequent reporting period until the related contingencies have been resolved. Non-GAAP Measures To supplement our condensed consolidated financial statements presented under GAAP, we are presenting non-GAAP financial measures for net (loss) income and net (loss) income per share – basic. We are providing these non-GAAP financial measures, which are among the indicators management uses as a basis for evaluating our financial performance, to disclose additional information to facilitate the comparison of past and present operations. We believe that these non-GAAP financial measures, when considered together with our GAAP financial results, provide management and investors with an additional understanding of our business operating results, including underlying trends. These non-GAAP financial measures are not meant to be considered in isolation or as a substitute for comparable GAAP measures; should be read in conjunction with our condensed consolidated financial statements prepared in accordance with GAAP; have no standardized meaning prescribed by GAAP; and are not prepared under any comprehensive set of accounting rules or principles. In addition, from time to time in the future, there may be other items that we may exclude for purposes of our non-GAAP financial measures; and we may cease to exclude items that we have historically excluded for purposes of our non-GAAP financial measures. Likewise, we may determine to modify the nature of its adjustments to arrive at our non-GAAP financial measures. Because of the non-standardized definitions of non-GAAP financial measures, the non-GAAP financial measures as used by us in this Quarterly Report on Form 10-Q have limits in their usefulness to investors and may be calculated differently from, and therefore may not be directly comparable to, similarly titled measures used by other companies. The following table reconciles our financial measures for net (loss) income and net (loss) income per share ("EPS") for basic weighted average shares as reported in our condensed consolidated statements of operations to a non-GAAP presentation as adjusted by certain items identified below. Three Months Ended June 30, Six Months Ended June 30, 2026 2025 2026 2025 Net Loss Basic EPS Net Income Basic EPS Net Loss Basic EPS Net Income Basic EPS GAAP reported net (loss) income $ (19,032 ) $ (0.06 ) $ 668 $ 0.00 $ (35,651 ) $ (0.12 ) $ 13,826 $ 0.05 Non-GAAP adjustments: Stock compensation 10,226 0.03 7,520 0.03 16,681 0.05 12,905 0.04 Interest expense on liability for sale of future royalties 510 0.00 3,473 0.01 3,073 0.01 7,050 0.02 Sold portion of royalty revenue (1) (3,237 ) (0.01 ) (3,123 ) (0.01 ) (6,512 ) (0.02 ) (6,123 ) (0.02 ) (Gain) loss on foreign currency transaction (486 ) 0.00 5,363 0.02 (1,804 ) (0.01 ) 7,872 0.03 Amortization of intangible assets acquired 4,367 0.01 — — 8,734 0.03 — — Change in fair value of contingent consideration 4,992 0.02 — — 7,769 0.03 — — Loss on settlement of debt — — — — 917 0.00 — — Non-GAAP adjusted net (loss) income $ (2,660 ) $ (0.01 ) $ 13,901 $ 0.05 $ (6,793 ) $ (0.03 ) $ 35,530 $ 0.12 Weighted average shares used to compute net (loss) income per share – basic 309,191 304,954 308,732 304,222 (1)Represents the non-cash portion of the 1% royalty on net sales of Tyvaso DPI earned during the three and six months ended June 30, 2026 and 2025, which is remitted to the royalty purchaser and recognized as royalties from collaborations in our condensed consolidated statements of operations. Our royalties from collaborations during the three and six months ended June 30, 2026 totaled $32.4 million and $65.1 million, respectively, of which $3.2 million and $6.5 million, respectively were remitted to the royalty purchaser. LIQUIDITY AND CAPITAL RESOURCES Our principal sources of liquidity are our cash, cash equivalents, and investments. Our primary uses of cash include development of our product pipeline, manufacturing and marketing of Afrezza, Furoscix and V-Go, manufacturing Tyvaso DPI, selling, general and administrative expenses, and principal and interest payments on our financing liability and debt. We fund our operations primarily through sales of Afrezza, Furoscix and V-Go, and royalties, development and manufacturing revenue from UT. Historically, we have funded our operations primarily through the sale of equity and convertible debt securities, from the receipt of upfront and milestone payments from collaborations, from borrowings, from the sale of certain assets and from the sale of a portion of our future royalties that we receive from UT. In combination with our cash, cash equivalents and investments on 43 hand, we believe that these sources of revenue will allow us to meet our liquidity needs over the next 12 months and in the longer term. As of June 30, 2026, we had $64.1 million in insulin purchase commitments and $325.0 million aggregate principal amount under the Blackstone Credit Facility. The Blackstone Credit Facility will mature on August 6, 2030. As of June 30, 2026, the effective interest rate is 9.12% per annum. The SOFR Loans borrowed under the Blackstone Credit Facility are subject to the Adjusted Term SOFR plus margin of 5.00%. We have the option to prepay the loans under the Blackstone Credit Facility in whole or in part, subject to early prepayment fees on or prior to the third anniversary of the Closing Date. See Note 9 – Borrowings for further information related to the Blackstone Credit Facility. In July 2013, we granted Milestone Rights to the original purchasers under the Milestone Rights Agreement. The original purchasers later assigned those rights to new holders. As of June 30, 2026, $45.0 million remains payable upon the occurrence of specified strategic and sales milestones under the Milestone Rights Agreement. During the three and six months ended June 30, 2026, the Company achieved an Afrezza net sales milestone which will result in a $5.0 million payment to the Original Milestone Purchasers in the third quarter of 2026. See Note 15 – Commitments and Contingencies for further information related to the Milestone Rights. In October 2025, we entered into the CVR Agreement with the rights agent party thereto, which governs the terms of the CVRs issued to the former stockholders of scPharma in the acquisition transaction. Milestone 1 under the CVR Agreement was achieved on July 23, 2026, which will necessitate an aggregate payout of approximately $44.8 million in the third quarter of 2026. Following the payout for the achievement of Milestone 1, the maximum aggregate amount payable with respect to the CVRs is $14.9 million, subject to the achievement of certain net sales milestones on or prior to the applicable milestone outside date in accordance with the CVR Agreement. See Note 2 – Business Combinations – Contingent Value Right ("CVR") for further information related to the CVR Agreement. On July 24, 2026, we completed a private placement to certain institutional investors in which we sold and issued 10,440,838 shares our common stock at a purchase price of $3.89 per share and pre-funded warrants exercisable for 2,412,632 shares of common stock at a price of $3.88 per share underlying the pre-funded warrants, for total gross proceeds to us, before expenses, of approximately $50.0 million. The proceeds from the private placement will fund our $44.8 million CVR payment obligation that was triggered by the FDA’s approval of Furoscix ReadyFlow™ (furosemide injection). In addition to the above, we also expect to have material cash requirements relating to paying our employees and consultants, professional services fees, marketing expenses, manufacturing expenditures, and clinical trial expenses. In addition, we make substantial and often long-term investments in our supply chain in order to ensure we have enough inventory and drug product to meet current and future revenue forecasts, as well as clinical trial needs. Pursuant to the CF Sales Agreement with Cantor Fitzgerald, we may offer and sell, from time to time, through Cantor Fitzgerald, shares of our common stock. Under the CF Sales Agreement, Cantor Fitzgerald may sell shares by any method deemed to be an “at-the-market offering” as defined in Rule 415 under the Securities Act of 1933, as amended. On February 26, 2025, we filed a sales agreement prospectus under a registration statement on Form S-3, which became effective upon filing, covering the sale of up to $200.0 million of our common stock through Cantor Fitzgerald under the CF Sales Agreement, of which $200.0 million remained available as of June 30, 2026. During the six months ended June 30, 2026, we used a net $23.7 million of cash for our operating activities. Cash used in operating activities consisted of net loss of $35.7 million offset by non-cash adjustments of $36.7 million and a net decrease in cash flow from operating assets and liabilities of $24.8 million. Non-cash items primarily included stock-based compensation of $16.7 million, depreciation and amortization of $12.8 million and change in fair value of contingent consideration of $7.8 million. These charges were partially offset by the sold portion of royalty revenue of $6.5 million. The net decrease in cash flows from operating assets and liabilities was primarily due to an increase of $11.6 million in inventory, increase of $4.8 million in accounts receivable and decrease of $7.4 million in deferred revenue. The net decrease in cash flows from operating assets and liabilities was partially offset by an increase of $2.0 million in accounts payable. During the six months ended June 30, 2025, we generated a net $2.6 million of cash from our operating activities. Cash used in operating activities consisted of net income of $13.8 million offset by non-cash adjustments of $30.6 million and a net decrease in cash flows from operating assets and liabilities of $41.8 million. Non-cash items primarily included stock-based compensation of $12.9 million, loss on foreign currency transactions of $7.9 million and interest on liability for sale of future royalties of $7.1 million. These charges were partially offset by the sold portion of royalty revenue of $6.1 million. The net decrease in cash flows from operating assets and liabilities was primarily due to an increase of $15.3 million in accounts receivable, decrease of $9.3 million in accrued expenses and other current liabilities and decrease of $7.1 million in deferred revenue. 44 Cash provided by investing activities of $36.6 million for the six months ended June 30, 2026 was primarily due to $53.9 million of proceeds from maturities of available-for-sale securities. Cash provided was partially offset by the purchase of $10.3 million of available-for-sale securities as well as $7.0 million of property and equipment. Cash provided by investing activities of $12.2 million for the six months ended June 30, 2025 was primarily due to the maturity of $101.8 million of debt securities, partially offset by the purchase of $88.1 million of debt securities. Cash used in financing activities of $34.8 million for the six months ended June 30, 2026 was primarily due to payments made to settle our senior convertible notes. Cash used in financing activities of $4.1 million for the six months ended June 30, 2025 was primarily due to $4.4 million of payments to taxing authorities from equity withheld upon vesting of RSUs and stock options partially offset by $1.3 million in proceeds from our market price stock purchase plan and employee stock purchase plan. Future Liquidity Needs We believe that we will be able to meet our near-term liquidity needs based on our cash, cash equivalents and investments on hand, sales of Afrezza, Furoscix and V-Go, royalties and manufacturing revenue from the production and sale of Tyvaso DPI and, if necessary, borrowings under the Blackstone Credit Facility, as well as through debt or equity financing, for our long-term liquidity needs. We expect to continue to incur expenditures for the foreseeable future in support of our manufacturing operations, sales and marketing costs for our products and development costs for other product candidates in our pipeline. As of June 30, 2026, we had capital resources comprised of cash, cash equivalents and investments totaling $111.1 million. To date, we have been able to timely make required interest payments under our outstanding indebtedness, including the total principal amount of outstanding borrowings of $325.0 million, but we cannot guarantee that we will be able to do so in the future. If we fail to repay our outstanding indebtedness when required, we will be in default under the applicable instrument for such indebtedness and may also suffer an event of default under the terms of other borrowing arrangements that we may enter into from time to time. Any of these events could have a material adverse effect on our business, results of operations and financial condition, up to and including the noteholders initiating bankruptcy proceedings or causing us to cease operations altogether. We believe our resources will be sufficient to fund our operations for at least the next 12 months from the date of issuance of our condensed consolidated financial statements included in Part I – Financial Statements (Unaudited). Contractual Obligations There were no material changes outside of the ordinary course of business in our contractual obligations from those disclosed within “Management’s Discussion and Analysis of Financial Condition and Results of Operations,” as contained in our Annual Report on Form 10-K for the year ended December 31, 2025. 45