Company: HROW
Filing Date: 2025-11-10
Form Type: 10-Q
Source: 0001493152-25-021562
Chunk: 98

Company: HARROW, INC.
Filing Date: 2025-11-10
Form: 10-Q
Item: Item 2
Chunk 98
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Note 2 to our unaudited condensed consolidated financial statements included in this Quarterly Report.

Item
3. Quantitative and Qualitative Disclosures About Market Risk

 Interest
Rate Risk

We
are exposed to market risk related to changes in interest rates on our cash and cash equivalents. The 2030 Notes issued in September
2025 are at a fixed coupon of 8.625% and do not expose us to interest rate risk. We do not utilize derivative financial instruments or
other market risk-sensitive instruments to manage our exposure to interest rate changes. Borrowings made through the 5/3 Revolver, which
is based on the SOFR plus an interest rate spread, will be exposed to interest rate risk; however, we currently have no borrowings against
it.

We
believe our interest rate risk related to our cash and cash equivalents is not material as our risk is that interest rates fall. Based
on the current interest rates, we do not have a significant downside risk of a drop in interest rates.

Item
4. Controls and Procedures

Evaluation
of Disclosure Controls and Procedures

We
maintain disclosure controls and procedures that are designed to ensure that information required to be disclosed in our reports filed
or submitted pursuant to the Securities Exchange Act of 1934, as amended (the “Exchange Act”), is recorded, processed, summarized
and reported within the time periods specified in the rules and forms of the SEC, and that such information is accumulated and communicated
to our management, including our principal executive officer and principal financial officer, as appropriate, to allow for timely decisions
regarding required disclosure.

Under
the supervision and with the participation of our principal executive officer and principal financial officer, our management conducted
an evaluation of our disclosure controls and procedures, as such term is defined under Rule 13a-15(e) promulgated under the Exchange
Act, as they existed on September 30, 2025. Based on this evaluation, our principal executive officer and principal financial officer
have concluded that our disclosure controls and procedures were effective to achieve their stated purpose as of September 2025, the end
of the period covered by this Quarterly Report.

Changes
in Internal Control over Financial Reporting

There
has been no change in our internal control over financial reporting (as defined in Rule 13a-15(f) under the Exchange Act) during the
quarter ended September 30, 2025, that has materially affected, or is reasonably likely to materially affect, our