Inventories

6 Months Ended

Jun. 30, 2025

The Company works closely with third parties to manufacture and package finished goods for sale. Based on the arrangements with the manufacturer or packager, the Company will either take title to the finished goods at the time of shipment or at the time of arrival at the Company’s warehouses. The Company then holds such goods in inventory until distribution and sale. These finished goods inventories are stated at the lower of cost or net realizable value with cost determined using the first-in, first-out method.

The Company continually evaluates inventory for potential losses due to excess, obsolete or slow-moving goods by comparing sales history and projections to the inventory on hand. When evidence indicates that the carrying value may not be recoverable, a charge is taken to reduce the inventory to its current net realizable value. At June 30, 2025 and December 31, 2024, there were no cumulative net realizable value charges for potential obsolescence and discontinuance losses necessary.

The Company purchases the active pharmaceutical ingredient ("API") for Kristalose and Sancuso and maintains the inventory of that raw material. API for the Company's Vaprisol and Vibativ brands were included in the assets associated with the acquisition of those brands and are also included in the raw materials inventory.

As these APIs are consumed in the manufacture of our products, the value of the API involved is transferred from raw materials to finished goods.

Consigned inventory represents Authorized Generic inventory stored with our partner until shipment to their customers.

At June 30, 2025 and December 31, 2024, the Company's net inventories consisted of the following:


	June 30, 2025		December 31, 2024

Raw materials and work in process	$	10,376,276	$	11,982,045
Consigned inventory	114,045		126,090
Finished goods	2,258,673		2,897,359
Total inventories	12,748,994		15,005,494
less non-current inventories	(9,526,122)		(11,005,499)
Total inventories classified as current	$	3,222,872	$	3,999,995

At June 30, 2025 and December 31, 2024, the Company's non-current inventories consisted of the following:


	June 30, 2025		December 31, 2024

Vibativ Raw Materials	$	4,981,627	$	6,180,347
Kristalose Raw Materials	2,576,128		2,672,720
Vaprisol Raw Materials	1,172,849		1,172,849
Sancuso Raw Materials	326,124		458,684
Caldolor Raw Materials	13,971		—
Acetadote Raw Materials	—		23,915
Ifetroban Raw Materials	65,270		166,923
Vibativ Finished Goods	157,645		183,057

Caldolor Finished Goods	162,886		77,382

Omeclamox	69,622		69,622
Total inventories classified as non-current	$	9,526,122	$	11,005,499