Company: SCLXW
Filing Date: 2025-12-29
Form Type: 424B3
Source: 0001193125-25-335429
Chunk: 488

Company: Scilex Holding Co
Filing Date: 2025-12-29
Form: 424B3
Chunk 488
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2024, which agreement was terminated thereafter. Cash equivalents were immaterial as of December 31, 2024 and 2023. The following table provides a reconciliation of cash, cash equivalents and restricted cash reported within the consolidated balance sheets that together reflect the same amounts shown in the consolidated statements of cash flows (in thousands):

|                                                   |     |   | December 31, 
         2024 |     |   | December 31, 
         2023 |
|:--------------------------------------------------|:----|:--|-------------:|:----|:--|-------------:|
| Cash and cash equivalents                         |     | $ |        3,272 |     | $ |        3,921 |
| Restricted cash                                   |     |   |            — |     |   |          808 |
| Total cash, cash equivalents, and restricted cash |     | $ |        3,272 |     | $ |        4,729 |

F-10

Accounts Receivable, Net

Accounts receivable are presented net of allowances for expected credit losses and prompt payment discounts. Accounts receivable consists of trade receivables
from product sales to customers, which are generally unsecured. Estimated credit losses related to trade accounts receivable are recorded as general and administrative expenses and as an allowance for expected credit losses within accounts
receivable, net. The Company reviews reserves and makes adjustments based on historical experience and known collectability issues and disputes. When internal collection efforts on accounts have been exhausted, the accounts are written off by
reducing the allowance for expected credit losses. As of December 31, 2024, the Company recorded $1.2 million of allowances for credit losses on its accounts receivable. As of December 31, 2023, the Company did not deem any allowances
for expected credit losses on its accounts receivable necessary.

Inventory

The Company determines inventory cost on a first-in, first-out basis. The
Company reduces the carrying value of inventories to a lower of cost or net realizable value for those items that are potentially excess, obsolete or slow- moving. The Company reserves for excess and obsolete inventory based upon historical
experience, sales trends, and specific categories of inventory and expiration dates for on-hand inventory. Inventory costs resulting from these adjustments are recognized as cost of sales in the period in
which they are incurred. When future commercialization is considered probable and the future economic benefit is expected to be realized, based on management’s judgment, the Company capital