Harrow, Inc. Reports 53.4% Revenue Growth to $199.6 Million in 2024

Harrow, Inc. reported significant financial growth in its latest 10-K filing for the fiscal year ending December 31, 2024, with total revenues reaching $199.6 million, a 53.4% increase from $130.2 million in 2023. The company's branded product sales, which include IHEEZO and VEVYE, contributed substantially to this growth, with IHEEZO net sales increasing to $49.3 million from $20.6 million, and VEVYE sales rising to $28.1 million from $1.8 million. The overall gross profit for the year was $150.4 million, compared to $90.6 million in the previous year, reflecting a gross margin improvement from 74.8% to 81.3% for branded products.

In terms of operational changes, Harrow has made strategic moves to enhance its product offerings and market presence. The company launched a patient access program called "VEVYE Access for All" aimed at reducing out-of-pocket costs for patients, and initiated "Project Beagle," which focuses on transitioning patients from compounded formulations to FDA-approved products. Additionally, Harrow entered into a licensing agreement with Apotex Inc. for the Canadian market, granting exclusive rights to several products, including VEVYE and IHEEZO.

Harrow's operational metrics indicate a growing customer base, with over 10,000 U.S. eyecare professionals now utilizing its compounded products. The company has also expanded its employee headcount to 382 as of February 2025, reflecting its commitment to scaling operations and enhancing its sales and marketing capabilities. The increase in personnel is primarily aimed at supporting the commercial launch of new products and improving customer engagement.

Despite the positive financial performance, Harrow reported a net loss of $17.5 million for 2024, an improvement from a net loss of $24.4 million in 2023. The company attributed this loss to increased selling, general, and administrative expenses, which rose to $129.1 million from $83.1 million, largely due to investments in its workforce and marketing initiatives. Harrow's liquidity position remains a concern, with cash and cash equivalents decreasing to $47.2 million from $74.1 million year-over-year. The company is currently in discussions to refinance its $107.5 million Oaktree Loan, which is due in January 2026, and is exploring asset sales as a potential strategy to bolster its financial position.

Looking ahead, Harrow anticipates continued revenue growth driven by its expanding portfolio of FDA-approved products and ongoing marketing efforts. The company is focused on optimizing pricing strategies and enhancing reimbursement options for its products, while also navigating the regulatory landscape to ensure compliance and operational efficiency. Harrow's management remains optimistic about achieving profitability in the near future, contingent on successful execution of its business strategies and market conditions.