Company: HROW
Filing Date: 2025-08-11
Form Type: 10-Q
Source: 0001641172-25-022980
Chunk: 34

Company: HARROW, INC.
Filing Date: 2025-08-11
Form: 10-Q
Item: Item 1
Chunk 34
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000) 
     (6,974,000)
  
    Notes
    payable non-current, net 
    $38,484,000  
    $219,539,000 

    19

For
the three and six months ended June 30, 2025, the total effective interest rate of the Company’s debt was 10.65% and 10.74%, respectively,
and 10.78% and 10.88% for the same periods in 2024, respectively.

At
June 30, 2025, future minimum payments under the Company’s debt were as follows:

SCHEDULE
OF FUTURE MINIMUM PAYMENT UNDER NOTES PAYABLES

    Amount 

    Remainder of 2025 
    $11,770,000 
  
    2026 
     193,820,000 
  
    2027 
     45,030,000 
  
    Total minimum payments 
     250,620,000 
  
    Less: amount representing interest payments 
     (24,107,000)
  
    Notes payable, gross principal amount due 
     226,513,000 
  
    Less: current portion, net of unamortized discount 
     (183,619,000)
  
    Less: unamortized debt issuance costs, net of premium 
     (4,410,000)
  
    Notes payable, net of unamortized discount, net of current portion 
    $38,484,000 

NOTE
11. LEASES

The
Company leases office and laboratory space under the non-cancelable operating leases listed below. Except as indicated, these lease agreements
have remaining terms between two2 to seven years and contain various clauses for renewal at the Company’s option.

    ●
    An
    operating lease for 38,200 square feet of lab, warehouse and office space in Ledgewood, New Jersey that expires in July 2027, with
    an option to extend the term for two additional five-year periods.

    ●
    An
    operating lease for 17,700 square feet of office space in Nashville, Tennessee that expires in June 2032, and includes options to
    extend the lease term to June 2042.

    ●
    An
    operating lease for 11,600 square feet of lab and office space in Nashville, Tennessee which commenced in September 2022 and expires