Company: HROW
Filing Date: 2025-05-08
Form Type: 10-Q
Source: 0001641172-25-009263
Chunk: 19

Company: HARROW, INC.
Filing Date: 2025-05-08
Form: 10-Q
Item: Item 1
Chunk 19
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,000) 
     (3,136,000) 
     (2,590,000) 
     (28,698,000) 
     (27,109,000) 
     (1,943,000) 
     (67,164,000)
  
    Balance at March 31, 2025 
    $2,598,000  
    $15,081,000  
    $1,529,000  
    $19,082,000  
    $3,327,000  
    $1,492,000  
    $43,109,000 
  
    Ending, balance 
    $2,598,000  
    $15,081,000  
    $1,529,000  
    $19,082,000  
    $3,327,000  
    $1,492,000  
    $43,109,000 

Intellectual Property License and Related Arrangements Revenues

The Company holds multiple intellectual property
licenses and related arrangements pursuant to which the Company has agreed to license or sell to a customer the right to access the Company’s
intellectual property. License arrangements may consist of non-refundable upfront license fees, data transfer fees, research reimbursement
payments, exclusive license rights to patented or patent pending compounds, technology access fees, and various performance or sales milestones.
These arrangements can be multiple-element arrangements, the revenue of which is recognized at the point in time that the performance
obligation is met.

Non-refundable fees that are not contingent on
any future performance by the Company and require no consequential continuing involvement on the part of the Company are recognized as
revenue when the license term commences and the licensed data, technology, compounded drug preparation and/or other deliverables are delivered.
Such deliverables may include physical quantities of compounded drug preparations, design of the compounded drug preparations and structure-activity
relationships, the conceptual framework and mechanism of action, and rights to the patents or patent applications for such compounded
drug preparations. The Company defers recognition of non-refundable fees if it has continuing performance obligations without which the
technology, right, product or service conveyed in conjunction with the non-refundable fee has no utility to the licensee and that are
separate and independent of the Company’s performance under the other elements of the arrangement. In addition, if the Company’s
continued involvement is required,