Company: HROW
Filing Date: 2025-11-10
Form Type: 10-Q
Source: 0001493152-25-021562
Chunk: 26

Company: HARROW, INC.
Filing Date: 2025-11-10
Form: 10-Q
Item: Item 1
Chunk 26
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7. CAPITALIZED SOFTWARE COSTS

Capitalized
software costs at September 30, 2025 and December 31, 2024 consisted of the following:

 SCHEDULE OF CAPITALIZED SOFTWARE COSTS

    September 30, 
2025  
    December 31, 
2024 
  
    Capitalized software costs 

    Capitalized internal-use software development costs 
    $3,410,000  
    $3,395,000 
  
    Acquired third-party software license for internal-use 
     219,000  
     205,000 
  
    Total gross capitalized software for internal-use 
     3,629,000  
     3,600,000 
  
    Accumulated amortization 
     (2,299,000) 
     (1,849,000)
  
    Total capitalized software
    costs net 
    $1,330,000  
    $1,751,000 

For
the three and nine months ended September 30, 2025, amortization expense related to capitalized software costs was $148,000 and $450,000,
respectively, and $146,000 and $434,000 during the same periods in 2024, respectively.

NOTE
8. INTANGIBLE ASSETS AND GOODWILL

The
Company’s intangible assets at September 30, 2025 consisted of the following:

 SCHEDULE OF INTANGIBLE ASSETS

    Weighted-average  useful life (in years) 
    Cost  
    Accumulated Amortization  
    Disposal  
    Net Carrying Value 
  
    Patents 
    19 
    $227,000  
    $(62,000) 
    $     -  
    $165,000 
  
    Licenses 
    20 
     50,000  
     (38,000) 
     -  
     12,000 
  
    Trademarks 
    Indefinite 
     311,000  
     -  
     -  
     311,000 
  
    Acquired NDAs 
    14 
     207,473,000  
     (35,619,000) 
     -  
     171,854,000 
  
    Customer relationships 
    7 
     596,000  
     (552,000)