Company: SUPN
Filing Date: 2025-02-25
Form Type: 10-K
Source: 0001356576-25-000017
Chunk: 139

Company: SUPERNUS PHARMACEUTICALS, INC.
Filing Date: 2025-02-25
Form: 10-K
Item: Item 7
Chunk 139
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 following table provides information regarding the contingent consideration gain during the periods indicated (dollars in thousands):Year Ended December 31,Change 20242023AmountPercentContingent consideration gain$(6,110)$(1,517)$(4,593)303%

Contingent consideration was a gain for the years ended December 31, 2024 and December 31, 2023 of $6.1 million and $1.5 million, respectively. The change of $4.6 million was primarily driven by the non achievement of the 2024 sales-based milestone associated with the Adamas Acquisition.

Other Income (Expense)

The following table provides the components of other income (expense) during the years indicated (dollars in thousands):Year Ended December 31,Change20242023AmountPercentInterest income & other income, net$16,204 $10,453 $5,751 55%Interest expense— (1,321)1,321 (100)%Noncash interest expense on nonrecourse liability related to sale of future royalties— (562)562 (100)%Noncash interest expense on debt— (532)532 (100)%Total$16,204 $8,038 $8,166 102%

Other income (expense) was an income of $16.2 million in 2024 compared to an income of $8.0 million in 2023. The increase was due to higher interest income on marketable securities largely driven by an overall higher investment balance in 2024 and no debt outstanding in 2024. The interest expense recognized in 2023 was related to the 2023 Notes which were paid off in April 2023. 

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Income Tax Expense 

The following table provides information regarding our income tax expense during the periods indicated (dollars in thousands):Year Ended December 31,Change20242023DollarPercentIncome tax expense$24,005 $1,453 $22,552 **Effective tax rate25 %53 %

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** Indicates calculation result is equal to or greater than 100%

Income tax expense was $24.0 million and $1.5 million for the years ended December 31, 2024 and December 31, 2023, respectively. The 2024 income tax expense is primarily driven by an increase in pre-tax book income as compared to prior year.  The effective tax rate is impacted by benefits from research and