Company: HROW
Filing Date: 2025-03-27
Form Type: 10-K
Source: 0001641172-25-000925
Chunk: 85

Company: HARROW, INC.
Filing Date: 2025-03-27
Form: 10-K
Item: Item 1
Chunk 85
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 affect our capital structure or credit rating.

Subject
to certain limited exceptions, the terms of the Notes do not prevent us from entering into a variety of acquisition, divestiture, refinancing,
recapitalization or other highly leveraged transactions. As a result, we could enter into any such transaction even though the transaction
could increase the total amount of our outstanding indebtedness, adversely affect our capital structure or credit rating or otherwise
adversely affect the holders of the Notes.

Risks Related to Our Common Stock

If we fail to maintain an effective system
of internal controls, we may not be able to accurately report our financial results, which could cause our stock price to fall. 

Effective internal controls are
necessary for us to provide reliable financial results. If we cannot provide reliable financial results, our consolidated financial statements
could be misstated, our reputation may be harmed and the trading price of our common stock could decline. As we discuss in Item 9A of
this Annual Report, our management concluded that our internal controls over financial reporting were effective as of December 31, 2024.
However, our controls over financial processes and reporting may not continue to be effective or we may identify material weaknesses
or significant deficiencies in our internal controls in the future. Any failure to remediate any future material weaknesses or successfully
implement required new or improved controls, could harm our operating results, cause us to fail to meet our reporting obligations or
result in material misstatements in our consolidated financial statements or other public disclosures. Inferior internal controls could
also cause investors to lose confidence in our reported financial information, which could have a negative effect on the trading price
of our common stock.

 50 

Our stock price may be volatile.

The market price of our common
stock is likely to be highly volatile and could fluctuate widely in response to various factors, many of which are beyond our control,
including our ability to execute our business plan; operating results that fall below expectations; industry or regulatory developments;
investor perception of our industry or our prospects; economic and other external factors; and the other risk factors discussed in this
“Risk Factors” section.

In addition, the securities markets
have from time to time experienced significant price and volume fluctuations that are unrelated to the operating performance of particular
companies. These market fluctuations may also materially and adversely affect the market price of our common stock.

We have the right to issue shares of preferred
stock without obtaining stockholder approval. If we were to issue preferred stock,