Company: HROW
Filing Date: 2025-03-27
Form Type: 10-K
Source: 0001641172-25-000925
Chunk: 2432

Company: HARROW, INC.
Filing Date: 2025-03-27
Form: 10-K
Item: Item 1C
Chunk 2432
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 of sales
associated with our branded products between the years ended December 31, 2024 and 2023 was largely attributable to the increase in products
sold and amortization of acquired product NDAs which totaled $10,093,000 for the year ended December 31, 2024, compared to $9,314,000
during the prior year.

 57 

ImprimisRx

    For the Years Ended December 31,  
    $ 

    2024  
    2023  
    Variance 
  
    Cost of sales 
    $27,578,000  
    $26,978,000  
    $600,000 

The increase in our ImprimisRx
cost of sales between the years ended December 31, 2024 and 2023 was largely attributable to expenses associated with the increase in
unit volumes sold.

Gross Profit and Margin

Branded

    For the Years Ended December 31,  
    $ 

    2024  
    2023  
    Variance 
  
    Gross profit 
    $94,448,000  
    $37,596,000  
    $56,852,000 
  
    Gross margin 
     81.3% 
     74.8% 
     6.5%

The increase in Branded gross
margin between the years ended December 31, 2024 and 2023 was primarily attributable to an increase in overall sales which reduced the
net impact of our fixed expenses in cost of sales, such as NDA license amortization.

ImprimisRx

    For the Years Ended December 31,  
    $ 

    2024  
    2023  
    Variance 
  
    Gross profit 
    $55,921,000  
    $52,957,000  
    $2,964,000 
  
    Gross margin 
     67.0% 
     66.3% 
     0.7%

The increase in ImprimisRx gross margin between the
years ended December 31, 2024 and 2023 was primarily attributable to an increase in sales of products during 2024 with lower gross margin
profiles as compared to 2023.

Selling, General and Administrative Expenses

Our selling, general and
administrative (“SG&A”) expenses include personnel costs, including wages and stock