Company: SWKH
Filing Date: 2025-03-20
Form Type: 10-K
Source: 0001628280-25-013989
Chunk: 172

Company: SWK Holdings Corp
Filing Date: 2025-03-20
Form: 10-K
Item: Item 8
Chunk 172
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7 for further details.Intangible Assets As of December 31, 2023, the gross book value, accumulated amortization, net book value and estimated useful life of acquired intangible assets were as follows (in thousands, except estimated useful life data):            As of December 31, 2023Gross Book ValueAccumulated AmortizationNet Book ValueEstimated Useful LifeLicense Agreement (1)$29,400 $23,167 $6,233 10Trade names and trademarks210 92 118 10Customer relationships240 104 136 10Total$29,850 $23,363 $6,487 (1) Prior to the Company's acquisition of Enteris, Enteris entered into the License Agreement with Cara, for oral formulation rights to Enteris’ technology to develop and commercialize Oral KORSUVATM in any indication worldwide, excluding South Korea and Japan. Cara is obligated to pay Enteris certain development, regulatory and tiered commercial milestone payments, as well as low single-digit royalties based on net sales in the licensed territory. During 2024, the Company concluded that the milestones and royalties pursuant to the License Agreement would not be realized as a result of non-viability of product covered by the License Agreement. The Company has recognized a full impairment on the license of its remaining net book value of $5.8 million which is included in the "Loss on impairment of intangible assets" section of our consolidated statements of income.

Amortization expense related to intangible assets was $0.5 million and $1.7 million for the year ended December 31, 2024 and 2023, respectively.  

46

Note 4. Finance Receivables

Finance receivables are reported at their determined principal balances net of any unearned income, cumulative charge-offs and unamortized deferred fees and costs. Unearned income and deferred fees and costs are amortized to interest income based on all cash flows expected using the effective interest method.The carrying values of finance receivables are as follows (in thousands):December 31,20242023Term loans$224,073 $221,145 Royalty purchases64,936 67,260Total before allowance for credit losses289,009 288,405Allowance for credit losses(11,249)(13,901)Total carrying value$277,760 $274,504 Allowance for Credit LossesThe allowance for credit losses ("ACL") is management