Company: WHWK
Filing Date: 2025-03-28
Form Type: 10-K
Source: 0001628280-25-015269
Chunk: 237

Company: Whitehawk Therapeutics, Inc.
Filing Date: 2025-03-28
Form: 10-K
Item: Item 1
Chunk 237
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 the related revenue is recognized and creates variability for the consideration that the Company expects to receive. Liabilities related to government rebates and chargebacks involve the use of assumptions and judgments that include consideration of historical claims experience and channel mix. 

We identified the estimate for the allowance for government rebates and chargebacks as a critical audit matter.  Auditing the estimate for the allowance for government rebates and chargebacks involved especially challenging auditor judgment due to the nature and extent of audit effort required to address these matters. 

The primary procedures we performed to address this critical audit matter included: 

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•Evaluating the reasonableness of management’s estimate of the allowance for government rebates and chargebacks by developing an independent estimate utilizing actual product sales and actual rebates and chargeback claims received. 

•Testing the completeness and accuracy of the historical rebate and chargeback claims received. 

/s/ BDO USA, P.C.

We have served as the Company's auditor since 2017.

San Diego, California

March 27, 2025

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WHITEHAWK THERAPEUTICS, INC.

Consolidated Balance Sheets

(in thousands, except share data and par value)

Year Ended December 31,20242023AssetsCurrent assets:Cash and cash equivalents$28,670 $62,888 Short-term investments18,567 45,957 Accounts receivable, net5,903 5,488 Inventory5,311 6,427 Prepaid expenses and other current assets2,836 3,826 Total current assets61,287 124,586 Property and equipment, net6,846 4,802 Operating lease right-of-use assets787 1,169 Other assets1,399 1,866 Total assets$70,319 $132,423 Liabilities and stockholders’ equityCurrent liabilities:Accounts payable$2,159 $5,898 Accrued liabilities14,647 14,306 Operating lease liabilities, current portion268 434 Due to licensor payable (Note 7)— 5,757 Total current liabilities17,074 26,395 Operating lease liabilities, net of current portion565 833 Other liabilities202 — Total liabilities17,841 27,228 Commitments and contingencies (Note 13)Stockholders’ equity:Preferred stock, $0.0001 par value, 10,000,000 shares authorized; no shares issued