Company: STAA
Filing Date: 2025-02-21
Form Type: 10-K
Source: 0000950170-25-024813
Chunk: 78

Company: STAAR SURGICAL CO
Filing Date: 2025-02-21
Form: 10-K
Item: Item 1B
Chunk 78
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 to external AI tools for measurement and lens size selection and outside services related to professional and medical education, partially offset by decreased clinical expenses associated with our U.S. post-approval clinical trials.

Research and development expenses for 2023 increased 23.4% from 2022 due to increased salary-related and payroll tax expenses and clinical expenses associated with our U.S. post-approval clinical trials.

Research and development expense consist primarily of compensation and related costs for personnel responsible for the research and development of new and existing products, the regulatory and clinical activities required to acquire and maintain product approvals globally and medical affairs expenses. These costs are expensed as incurred.

Other Income, Net

The following table presents our other income, net for the fiscal years presented (dollars in thousands):

    Percentage Change

    2024

    2023

    2022

    2024 vs. 2023

    2023 vs. 2022

    Other income, net
     
    $
    3,559

    $
    5,599

    $
    1,750

    (36.4
    )%

    —
    *

    Percentage of sales

    1.0
    %

    1.7
    %

    0.6
    %

*	Denotes change is greater than +100%.

The change in other income, net for 2024 was due to increased foreign exchange losses (primarily Japanese Yen and euro) and lower interest income as a result of lower balances of investments available for sale.  The change in other income, net for 2023 was due to increased interest income as a result of higher interest rates during 2023.   

Other income, net generally relates to interest income earned on cash, cash equivalents and investments available for sale, interest expense on finance lease obligations, gains or losses on foreign currency transactions, and royalty income. The table below summarizes the year over year changes in other income, net (in thousands):

38

    Favorable (Unfavorable)

    2024 vs. 2023

    2023 vs. 2022

    Interest income, net
     
    $
    (1,075
    )
     
    $
    4,538

    Foreign exchange

    (1,766
    )

    (202
    )

    Royalty income

    434

    (730
    )

    Other

    367