Company: SUPN
Filing Date: 2025-02-25
Form Type: 10-K
Source: 0001356576-25-000017
Chunk: 384

Company: SUPERNUS PHARMACEUTICALS, INC.
Filing Date: 2025-02-25
Form: 10-K
Item: Item 1A
Chunk 384
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76,352 $79,569 (1) Refer to Note 12, Leases.(2)  Refer to Note 16, Commitments and Contingencies.

Accrued Product Returns and RebatesAccrued product returns and rebates consist of the following (dollars in thousands): December 31,2024December 31,2023Accrued product rebates$115,330 $96,984 Accrued product returns53,375 57,290 Total$168,705 $154,274 

Table of ContentsSupernus Pharmaceuticals, Inc.Notes to Consolidated Financial Statements (Continued)

15. Interest Expense

Interest expense consists of the following (dollars in thousands):Year Ended December 31,202420232022Interest expense$— $(1,321)$(2,542)Interest expense on nonrecourse liability related to sale of future royalties— (562)(2,416)Noncash interest expense on debt— (532)(2,112)Total$— $(2,415)$(7,070)Noncash interest expense on debt is related to amortization of deferred financing costs on the 2023 Notes. The Company fully amortized the deferred financing costs on the 2023 Notes in the first quarter of 2023. (see Note 8, Debt).

16. Commitments and Contingencies

Product LicensesThe Company has obtained exclusive licenses from third parties for proprietary rights to support the product candidates in the Company's CNS portfolio. Under these license agreements, the Company may be required to pay certain amounts upon the achievement of defined milestones. If these products are ultimately commercialized, the Company is also obligated to pay royalties to third parties, computed as a percentage of net product sales, for each respective product under a license agreement.Through the USWM Acquisition, the Company acquired licensing agreements with other pharmaceutical companies for APOKYN, ONAPGO, XADAGO, and MYOBLOC. The Company is obligated to pay royalties to third parties, computed as a percentage of net product sales, for each of the products under the respective license agreements. The royalty expense incurred for these acquired products is recognized as Cost of goods sold in the consolidated statements of earnings. USWM Enterprises Commitments AssumedAs part of the USWM Acquisition, the Company assumed the remaining commitments of USWM Enterprises and its subsidiaries, which are discussed below. The Company assumed the annual minimum purchase requirement of MYOB