UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM 10-K
(Mark One)
☒ANNUAL REPORT PURSUANT TO SECTION 13
OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934
For the fiscal year ended December 31, 2025
or
☐TRANSITION REPORT PURSUANT TO SECTION
13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934
For the transition period from _______ to_______
Commission File Number: 001-00100
THERAPEUTICSMD, INC.
(Exact name of Registrant as specified in its Charter)
(Address of principal executive offices) (Zip Code)
561-961-1900
(Registrant’s telephone number, including
area code)
Securities registered pursuant to Section 12(b)
of the Act:
Title of Each Class Trading symbol Name of each exchange on which registered
Common Stock, par value $0.001 per share TXMD The Nasdaq Stock Market LLC
Securities registered pursuant to Section 12(g)
of the Act: None
Indicate by check mark if the registrant is a well-known seasoned
issuer, as defined in Rule 405 of the Securities Act. Yes ☐ No ☒
Indicate by check mark if the registrant is not required to file reports
pursuant to Section 13 or Section 15(d) of the Act. Yes ☐ No ☒
Indicate by check mark whether the registrant (1) has filed all reports
required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter
period that the registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days.
Yes ☒ No ☐
Indicate by check mark whether the registrant has submitted electronically
every Interactive Data File required to be submitted pursuant to Rule 405 of Regulation S-T (§232.405 of this chapter) during the
preceding 12 months (or for such shorter period that the registrant was required to submit such files). Yes ☒ No ☐
Indicate by check mark whether the registrant is a large accelerated
filer, an accelerated filer, a non-accelerated filer, a smaller reporting company, or an emerging growth company. See the definitions
of “large accelerated filer,” “accelerated filer,” “smaller reporting company” and “emerging
growth company” in Rule 12b-2 of the Exchange Act:
Large Accelerated Filer ☐ Accelerated filer ☐
Non-accelerated filer ☒ Smaller reporting company ☒
Emerging growth company ☐
If an emerging growth company, indicate by check mark if the registrant
has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant
to Section 13(a) of the Exchange Act. ☐
Indicate by check mark whether the registrant has filed a report on
and attestation to its management’s assessment of the effectiveness of its internal control over financial reporting under Section
404(b) of the Sarbanes-Oxley Act (15 U.S.C. 7262(b)) by the registered public accounting firm that prepared or issued its audit report.
☐
If securities are registered pursuant to Section 12(b) of the Act,
indicate by check mark whether the financial statements of the registrant included in the filing reflect the correction of an error to
previously issued financial statements. ☐
Indicate by check mark whether any of those error corrections are
restatements that required a recovery analysis of incentive-based compensation received by any of the registrant’s executive officers
during the relevant recovery period pursuant to §240.10D-1(b). ☐
Indicate by check mark whether the registrant is a shell company (as
defined in Rule 12b-2 of the Exchange Act). Yes ☐ No ☒
As of June 30, 2025, the registrant’s most recently completed
second fiscal quarter, the aggregate market value of the voting and non-voting common equity held by non-affiliates computed by reference
to the market price at which the common equity was last sold was $9,036,147.
As of March 30, 2026 there were outstanding 11,574,362
shares of the registrant’s common stock, par value $0.001 per share.
Documents Incorporated by Reference
None.
TABLE OF CONTENTS
Page
Part I
Item 1. Business 1
Item 1A. Risk factors 11
Item 1B. Unresolved staff comments 37
Item 1C. Cybersecurity 37
Item 2. Properties 38
Item 3. Legal proceedings 39
Item 4. Mine safety disclosures 39
Part II
Item 6. Reserved 40
Item 7A. Quantitative and qualitative disclosures about market risk 49
Item 8. Financial statements and supplementary data 49
Item 9A. Controls and procedures 50
Item 9B. Other information 50
Item 9C. Disclosure regarding foreign jurisdictions that prevent inspections 50
Part III
Item 10. Directors, executive officers and corporate governance 51
Item 11. Executive compensation 58
Item 14. Principal accountant fees and services 65
Part IV
Item 15. Exhibits and financial statement schedules 66
i
Part I
Item 1. Business
Overview
Throughout this Annual Report on Form 10-K (“2025 10-K Report”),
the terms “we,” “us,” “our,” “TherapeuticsMD,” “the Company,” or “our
company” refer to TherapeuticsMD, Inc., a Nevada corporation, and unless specified otherwise, include our wholly owned subsidiaries
vitaMedMD, LLC, a Delaware limited liability company (“vitaMed”), and BocaGreenMD, Inc., a Nevada corporation (“BocaGreen”).
TherapeuticsMD is a pharmaceutical royalty company that owns or has
rights to trademarks, service marks, or trade names that were previously used in connection with the operation of its business, or are
now licensed by another party, including TherapeuticsMD®, vitaMedMD®, BocaGreenMD®, BIJUVA®, and IMVEXXY®, which are
protected under applicable intellectual property laws and are the property of the Company. This 2025 10-K Report also contains trademarks,
trade names and service marks of other companies, which are the property of their respective owners. Solely for convenience, trademarks,
trade names and service marks referred to in this 2025 10-K Report may appear without the ®, TM or SM symbols, but such references
are not intended to indicate, in any way, that we will not assert, to the fullest extent under applicable law, our rights or the right
of the applicable licensor to these trademarks, trade names, and service marks. We do not intend our use or display of other parties’
trademarks, trade names or service marks to imply, and such use or display should not be construed to imply a relationship with, or endorsement
or sponsorship of us by, these other parties.
In addition, this 2025 10-K Report includes market and industry data
that we obtained from periodic industry publications, third-party studies and surveys, government-agency sources, filings of public companies
in our industry, and internal-company surveys. Industry publications and surveys generally state that their information has been obtained
from sources believed to be reliable. Although we believe that the industry and market data below is reliable as of the date of this
2025 10-K Report, this information could prove to be inaccurate as a result of a variety of matters.
Forward-looking statements
This 2025 10-K Report contains forward-looking statements within the
meaning of the Private Securities Litigation Reform Act of 1995. These forward-looking statements involve substantial risks and uncertainties.
For example, statements regarding our operations, financial position, business strategy, exploration of potential strategic alternatives,
and other plans and objectives for future operations, and assumptions and predictions about future demand, marketing, expenses and sales
are all forward-looking statements. These statements may be found in the items of this 2025 10-K Report entitled “Business”
and “Management’s Discussion and Analysis of Financial Condition and Results of Operations,” as well as in this 2025
10-K Report generally. These statements are generally accompanied by words such as “intend,” “anticipate,” “believe,”
“estimate,” “potential(ly),” “continue,” “forecast,” “predict,” “plan,”
“may,” “will,” “could,” “would,” “should,” “expect,” or the negative
of such terms or other comparable terminology.
We have based these forward-looking statements on our current expectations
and projections about future events. We believe that the assumptions and expectations reflected in such forward-looking statements are
reasonable, based on information available to us on the date of this 2025 10-K Report, but we cannot assure you that these assumptions
and expectations will prove to have been correct or that we will take any action that we may presently be planning. These forward-looking
statements are inherently subject to known and unknown risks and uncertainties. Actual results or experience may differ materially from
those expected or anticipated in the forward-looking statements. Factors that could cause or contribute to such differences include,
but are not limited to, competition from other businesses, market and general economic factors, and the other risks discussed in Item
1A of this 2025 10-K Report. This discussion should be read in conjunction with the consolidated financial statements and notes thereto
included in this 2025 10-K Report.
1
We have identified some of the important factors that could cause
future events to differ from our current expectations and they are described in this 2025 10-K Report in the section entitled “Risk
Factors” that you should review carefully. Please consider our forward-looking statements in light of those risks as you read this
2025 10-K Report. If one or more of these or other risks or uncertainties materialize, or if our underlying assumptions prove to be incorrect,
actual results may vary materially from what we project. We do not undertake to update any forward-looking statements or to publicly
announce the results of any revisions to any statements to reflect new information or future events or developments.
Our company
TherapeuticsMD was previously a women’s healthcare company with
a mission of creating and commercializing innovative products to support the lifespan of women from pregnancy prevention through menopause.
In December 2022, we changed our business to become a pharmaceutical royalty company, currently receiving royalties on products licensed
to pharmaceutical organizations that possess commercial capabilities in the relevant territories. On December 30, 2022 (the “Closing
Date”), we completed a transaction (the “Mayne Transaction”) with Mayne Pharma LLC, a Delaware limited liability company
(“Mayne Pharma”) and subsidiary of Mayne Pharma Group Limited, an Australian public company (“Mayne Pharma Group”),
in which we and our subsidiaries (i) granted Mayne Pharma an exclusive license to commercialize our IMVEXXY, BIJUVA and prescription
prenatal vitamin products sold under the BocaGreenMD and vitaMedMD brands (collectively, the “Licensed Products”) in the
United States and its possessions and territories, (ii) assigned to Mayne Pharma our exclusive license to commercialize ANNOVERA®
(together with the Licensed Products, collectively, the “Products”) in the United States and its possessions and territories,
and (iii) sold certain other assets to Mayne Pharma in connection therewith.
In a License Agreement, dated December 4, 2022, between TherapeuticsMD
and Mayne Pharma (the “Mayne License Agreement”), we granted Mayne Pharma, on the Closing Date, (i) an exclusive, sublicensable,
perpetual, irrevocable license to research, develop, register, manufacture, have manufactured, market, sell, use, and commercialize the
Licensed Products in the United States and its possessions and territories and (ii) an exclusive, sublicensable, perpetual, irrevocable
license to manufacture, have manufactured, import and have imported the Licensed Products outside the United States for commercialization
in the United States and its possessions and territories.
Under the Mayne License Agreement, Mayne Pharma agreed to pay us one-time
milestone payments of each of (i) $5.0 million if aggregate net sales of all Products in the United States during a calendar year reach
$100.0 million, (ii) $10.0 million if aggregate net sales of all Products in the United States during a calendar year reach $200.0 million
and (iii) $15.0 million if aggregate net sales of all Products in the United States during a calendar year reach $300.0 million. Further,
Mayne Pharma agreed to pay us royalties on net sales of all Products in the United States at a royalty rate of 8.0% on the first $80.0
million in annual net sales and 7.5% on annual net sales above $80.0 million, subject to certain adjustments, for a period of 20 years
following the Closing Date. The royalty rate will decrease to 2.0% on a Product-by-Product basis upon the earlier to occur of (i) the
expiration or revocation of the last patent covering a Product and (ii) a generic version of a Product launching in the United States.
Mayne Pharma agreed to pay us minimum annual royalties of $3.0 million per year for 12 years, adjusted for inflation at an annual rate
of 3%, subject to certain further adjustments, including as described below (the “Minimum Annual Royalty”). Upon the expiry
of the 20-year royalty term, the licenses granted to Mayne Pharma under the Mayne License Agreement will become a fully paid-up and royalty
free license for the Licensed Products.
Under the Transaction Agreement, dated December 4, 2022, between TherapeuticsMD
and Mayne Pharma (the “Transaction Agreement”), we sold to Mayne Pharma, at closing, certain assets for Mayne Pharma to commercialize
the Products in the United States, including, with the Population Council’s consent, our exclusive license from the Population
Council to commercialize ANNOVERA (the “Transferred Assets”).
The total consideration from Mayne Pharma to TherapeuticsMD for the
purchase of the Transferred Assets under the Transaction Agreement and the grant of the licenses under the Mayne License Agreement was
(i) a cash payment of $140.0 million at closing, (ii) a cash payment of approximately $12.1 million at closing for the acquisition of
net working capital as determined in accordance with the Transaction Agreement and subject to certain adjustments, (iii) a cash payment
of approximately $1.0 million at closing for prepaid royalties in connection with the Mayne License Agreement Amendment (as defined below)
and (iv) the right to receive the contingent consideration set forth in the Mayne License Agreement, as amended.
2
On the Closing Date, TherapeuticsMD and Mayne Pharma entered into
Amendment No. 1 to the Mayne License Agreement (the “Mayne License Agreement Amendment”). Pursuant to the Mayne License Agreement
Amendment, Mayne Pharma agreed to pay us approximately $1.0 million in prepaid royalties on the Closing Date. The prepaid royalties reduced
the first four quarterly payments that would have otherwise been payable pursuant to the Mayne License Agreement by an amount equal to
$257 thousand per quarterly royalty payment plus interest calculated at 19% per annum accruing from the Closing Date until the date such
quarterly royalty payment was paid to us. We and Mayne Pharma settled the $1.5 million of consideration due to Mayne Pharma for the assumed
obligations under a long-term services agreement, including our minimum payment obligations thereunder. As the parties agreed, Mayne
Pharma reduced the second quarterly royalty payment otherwise payable to us by an additional $0.6 million, and in August 2023 we remitted
the remaining consideration of $0.9 million.
As part of the transformation that included the Mayne License Agreement,
all results associated with former commercial operations have been reflected as discontinued operations in our consolidated financial
statements. Assets and liabilities associated with the commercial business are classified as assets and liabilities of discontinued operations
in our consolidated balance sheets.
See “Note 2. Discontinued Operations” to the consolidated
financial statements included in this 2025 10-K Report for further details.
The Company also has license agreements with strategic partners to
commercialize IMVEXXY and BIJUVA outside of the U.S.
Employees
As of December 31, 2025, we employed one full-time employee primarily
engaged in an executive position. We have engaged external consultants who support our relationship with current partners and assist
with certain financial, IT, legal, and regulatory matters and the continued wind-down of our historical business operations. On August
15, 2023, we entered into a master services agreement with JZ Advisory Group, pursuant to which Joseph Ziegler serves as our Principal
Financial and Accounting Officer.
Going concern
On the Closing Date of the Mayne Transaction, we repaid all obligations
under the Financing Agreement, dated as of April 24, 2019, as amended, with Sixth Street Specialty Lending, Inc., as administrative agent,
the various lenders from time-to-time party thereto, and certain of our subsidiaries party thereto from time to time as guarantors (the
“Financing Agreement”) and the Financing Agreement was terminated.
Following the transaction with Mayne Pharma, our primary source of
revenue is from royalties on products licensed to pharmaceutical organizations that possess commercial capabilities in the relevant territories.
We may need to raise capital to provide additional liquidity to fund our operations. To address our capital needs, we may pursue various
equity and debt financing and other alternatives. The equity financing alternatives may include the private placement of equity, equity-linked,
or other similar instruments or obligations with one or more investors, lenders, or other institutional counterparties or an underwritten
public equity or equity-linked securities offering. Our ability to sell equity securities may be limited by market conditions, including
the market price of our common stock and our available authorized shares.
3
To the extent that we raise additional capital through the sale of
such securities, the ownership interests of our existing stockholders will be diluted, and the terms of these new securities may include
liquidation or other preferences that adversely affect the rights of our existing stockholders. If we are not successful in obtaining
additional financing, we could be forced to discontinue or curtail our business operations, sell assets at unfavorable prices, or merge,
consolidate, or combine with a company with greater financial resources in a transaction that might be unfavorable to us.
On May 1, 2023, we entered into a Subscription Agreement (the “Subscription
Agreement”) with Rubric Capital Management LP (“Rubric”), pursuant to which we agreed to sell to Rubric, or one or more
of its affiliates, up to an aggregate of 5,000,000 shares of our common stock, par value $0.001 per share (our “Common Stock”),
from time to time during the term of the Subscription Agreement at a purchase price of the five-day volume-weighted average price of the
Common Stock at the time of the sale of such shares of Common Stock, at an aggregate purchase price of up to $5,000,000. On June 29, 2023,
we issued and sold 312,525 shares of Common Stock at a price per share equal to $3.6797 pursuant to the Subscription Agreement. We received
gross proceeds of $1.15 million from the draw-down, before expenses. On November 15, 2023, Rubric drew an additional 877,192 shares of
Common Stock at a price per share equal to $2.2761. We received gross proceeds of $2.0 million from the draw-down before expenses. There
were no drawdowns in 2025 and 2024.
In February 2024, we received Mayne Pharma’s calculation of the
net working capital allowances for payer rebates and wholesale distributor fees pursuant to the Transaction Agreement, which differed
significantly from our estimate of the allowances. We continue to believe our estimated allowances for payer rebates and wholesale distributor
fees are reasonable. In August 2024 and in February 2025, we also received information from Mayne Pharma pertaining to the net working
capital allowance for returns that differs significantly from our estimate of the allowance.
On April 8, 2025, we filed a lawsuit against Mayne
Pharma in the United States District Court for the District of Delaware (the “Mayne Lawsuit”) seeking damages for breach of
contract, breach of the implied covenant of good faith and fair dealing, fraudulent inducement, and unjust enrichment related to Mayne
Pharma’s actions in relation to the License Agreement and the Transaction Agreement, primarily relating to the net working capital
allowances and certain actions or inactions by Mayne Pharma relating thereto. On June 20, 2025, we filed an amended complaint against
Mayne Pharma and on July 22, 2025, Mayne Pharma filed a motion to dismiss the Mayne Lawsuit. On March 23, 2026, a magistrate judge recommended
that the court grant-in-part and deny-in-part Mayne Pharma’s motion to dismiss. The magistrate judge recommended granting Mayne’s
motion to dismiss our claims for breach of the covenant of good faith and fair dealing, certain of our breach of contract claims and our
claim for fraudulent inducement, but recommended the court grant us leave to amend the fraudulent inducement claim. The magistrate judge
recommended denying Mayne’s motion to dismiss our other claims. The magistrate judge further recommended the court stay the Mayne
Lawsuit while the parties submit the net working capital claims to a dispute resolution process. The parties have 14 days to object to
these recommendations.
On May 30, 2025, Mayne Pharma filed a lawsuit against us in the United
States District Court for the District of Delaware (the “Mayne Countersuit” and, together with the Mayne Lawsuit, the “Mayne
Lawsuits”) seeking damages for breach of contract and fraudulent inducement related to the Transaction Agreement. As part of the
Mayne Countersuit, Mayne Pharma also made certain indemnification demands under the Transaction Agreement, which we dispute. On July 28,
2025, we filed a motion to dismiss the fraudulent inducement claim in the Mayne Countersuit. On March 23, 2026, a magistrate judge recommended
that the court grant our motion to dismiss Mayne Pharma’s claim for fraudulent inducement, but recommended the court deny our motion
to dismiss Mayne Pharma’s other claims. The parties have 14 days to object to this recommendation. As of December 31, 2025, we believed
no additional accrual was required for such claims, as we could not reasonably estimate a range of loss.
The outcome of this matter is uncertain at this point. As a result,
we cannot reasonably estimate a range of loss, and accordingly, we have not accrued any additional liability associated with Mayne Pharma’s
allowance calculation for payer rebates and wholesale distributor fees, particularly as we believe the outcome of this matter to be intertwined
with the resolution of the net working capital allowance for returns.
As of December 31, 2025, we also believed no additional accrual was
required for amounts that may be owed for the allowance for returns under the Transaction Agreement. We have not recorded any contingent
gains or receivables for any such allowances. Management continues to monitor the unresolved and pending net working capital items as
changes to estimated amounts owed or amounts due from Mayne Pharma may be material.
If Mayne Pharma’s sales of Licensed Products grow more slowly
than expected or decline, if the net working capital settlement with Mayne Pharma under the Transaction Agreement is greater than our
current estimates, if the outcome of the Mayne Lawsuits is worse than we anticipate, if we are unsuccessful with future financings or
the supply chains related to the third-party contract manufacturers are worse than we anticipate, our existing cash reserves may be insufficient
to satisfy our liquidity requirements. The potential impact of these factors in conjunction with the uncertainty of the capital markets
raises substantial doubt about our ability to continue as a going concern for the next twelve months from the issuance of the financial
statements included in this 2025 10-K Report.
The accompanying consolidated financial statements included in this
2025 10-K Report do not include any adjustments that might be necessary if we are unable to continue as a going concern.
Portfolio of our royalty-bearing products
On December 30, 2022, we changed our business to become a pharmaceutical
royalty company, currently receiving royalties on products licensed to pharmaceutical organizations that possess commercial capabilities
in the relevant territories. On December 30, 2022, we granted an exclusive license to commercialize IMVEXXY, BIJUVA, and prescription
prenatal vitamin products sold under the BocaGreenMD and vitaMedMD brands and assigned our exclusive license to commercialize ANNOVERA
to Mayne Pharma.
4
IMVEXXY (estradiol vaginal inserts), 4-μg and 10-μg
This pharmaceutical product is for the treatment of moderate-to-severe
dyspareunia (vaginal pain associated with sexual activity), a symptom of vulvar and vaginal atrophy due to menopause. As part of the
FDA’s approval of IMVEXXY, we committed to conduct a post-approval observational study to evaluate the risk of endometrial cancer
in post-menopausal women with a uterus who use a low-dose vaginal estrogen unopposed by a progestogen.
On December 30, 2022, we granted an exclusive license to commercialize
IMVEXXY in the United States and its possessions and territories to Mayne Pharma. We also have entered into licensing agreements with
third parties to market and sell IMVEXXY outside of the U.S. We entered into the Knight License Agreement, with Knight pursuant to which,
we granted Knight an exclusive license to commercialize IMVEXXY in Canada and Israel. We entered into the Theramex License Agreement
with Theramex pursuant to which we granted Theramex an exclusive license to commercialize IMVEXXY for human use outside of the U.S.,
except for Canada and Israel. In December 2024, we transferred the right to commercialize IMVEXXY in Israel from Knight to Theramex.
The FDA has also asked the sponsors of other vaginal estrogen products
to participate in the observational study. In connection with the observational study, we would have been required to provide progress
reports to the FDA on an annual basis. The obligation to conduct this study was transferred to Mayne Pharma as part of the Mayne License
Agreement.
BIJUVA (estradiol and progesterone) capsules, 1 mg/100 mg
This pharmaceutical product is the first and only FDA approved bioidentical
hormone therapy combination of estradiol and progesterone in a single, oral capsule for the treatment of moderate-to-severe vasomotor
symptoms (commonly known as hot flashes or flushes) due to menopause in women with a uterus.
On December 30, 2022, we granted an exclusive license to commercialize
BIJUVA in the United States and its possessions and territories to Mayne Pharma. We also have entered into the Knight License Agreement
with Knight pursuant to which we granted Knight an exclusive license to commercialize BIJUVA in Canada and Israel. We have entered into
the Theramex License Agreement with Theramex pursuant to which we granted Theramex an exclusive license to commercialize BIJUVA for human
use outside of the U.S., except for Canada and Israel. In December 2024, we transferred the right to commercialize BIJUVA in Israel from
Knight to Theramex.
ANNOVERA (segesterone acetate (“SA”) and ethinyl estradiol
(“EE”) vaginal system)
This pharmaceutical product is a one-year ring-shaped contraceptive
vaginal system (“CVS”) and the first and only patient-controlled, procedure-free, reversible prescription contraceptive that
can prevent pregnancy for up to a total of 13 cycles (one year).
On December 30, 2022, we assigned our exclusive license to commercialize
ANNOVERA in the United States and its possessions and territories to Mayne Pharma.
Prenatal vitamin products
On December 30, 2022, we granted an exclusive license to commercialize,
in the United States and its possessions and territories, our prescription prenatal vitamin product lines under our vitaMedMD brand name
and authorized generic formulations of some of our prescription prenatal vitamin products under our BocaGreenMD prenatal name to Mayne
Pharma.
5
Sales concentration
Our business model is dependent on third parties achieving specified
milestones and product sales. For information on the concentration of licenses of our products, see “Note 9. Revenue” to the
consolidated financial statements included in this 2025 10-K Report. Currently, the Company collects license revenue from three licensees.
Seasonality
The pharmaceutical markets in which we license our products are not
subject to seasonal sales fluctuations. However, our license revenues for the first quarter of each year can be negatively affected by
the annual reset of high-deductible commercial insurance plans.
Manufacturing of our licensed products
As of December 30, 2022, we were no longer responsible for any manufacturing
and have no manufacturing contracts. All manufacturing responsibility of our licensed and assigned products has been transferred to our
licensees.
Research and development
As of December 30, 2022, we no longer conduct any research and development
activities. Historically, our product development programs were concentrated in advanced hormone therapy pharmaceutical products.
Intellectual property
Patents and trademarks
Our success depends, in part, on our ability to obtain patents, maintain
trade-secret protection, and operate without infringing the proprietary rights of others. Our intellectual property portfolio is one way
we attempt to protect our competitive position. We rely primarily on a combination of know-how, trade secrets, patents, trademarks, and
contractual restrictions to protect our products and to maintain our competitive position. We are diligently seeking ways to protect our
intellectual property through various legal mechanisms in relevant jurisdictions. Where permitted, patents for our hormone therapy drug
products have been submitted to the FDA’s Approved Drug Products with Therapeutic Equivalence Evaluations (commonly known as the
Orange Book).
As of December 31, 2025, we have many domestic and foreign patents
that cover our licensed products, including many for each of BIJUVA and IMVEXXY that are Orange Book listed for the licensed products.
We hold multiple U.S. trademark registrations and have numerous pending
trademark applications. Issuance of a federally registered trademark creates a rebuttable presumption of ownership of the mark; however,
it is subject to challenge by others claiming first use in the mark in some or all the areas in which it is used. Federally registered
trademarks have a perpetual life so long as they are maintained and renewed on a timely basis and used properly as trademarks, subject
to the rights of third parties to seek cancellation of the trademarks if they claim priority or confusion of usage. We believe our patents
and trademarks are valuable and provide us certain benefits in marketing our products.
We intend to actively protect our intellectual property with patents,
trademarks, trade secrets, or other legal avenues for the protection of intellectual property and to aggressively prosecute, enforce,
and defend our patents, trademarks, and proprietary technology, including those licensed by Mayne Pharma, Knight and Theramex, with our
licensees to the extent permitted under their respective license agreements. The loss, by expiration or otherwise, of any one patent
may have a material effect on our business. Defense and enforcement of our intellectual property rights can be expensive and time consuming,
even if the outcome is favorable to us. It is possible that the patents issued or licensed to us will be successfully challenged, that
a court may find that we are infringing on validly issued patents of third parties, or that we may have to alter or discontinue the development
of our products or pay licensing fees to account for patent rights of third parties. See “– Pharmaceutical Regulation –
Regulatory Exclusivity” below for information regarding our intellectual property and challenges to that intellectual property.
While we seek broad coverage under our patent applications, there
is always a risk that an alteration to the process may provide sufficient basis for a competitor to avoid infringement claims. In addition,
patents expire, and we cannot provide any assurance that any patents will be issued from our pending application or that any potentially
issued patents will adequately protect our intellectual property.
6
Mayne Pharma licensed US patents and trademarks for our commercial
products. Under the terms of the Mayne License Agreement, Mayne Pharma exclusively took over prosecution of our US patent and trademark
portfolio and enforcement of our licensed patents and trademarks.
Government regulation
In the U.S., the FDA regulates pharmaceuticals, biologics, medical
devices, dietary supplements, and cosmetics under the Federal Food, Drug, and Cosmetic Act (“FDCA”) and its implementing regulations.
Although we are not currently engaged in research, development, manufacturing, or commercial distribution activities, the products from
which we derive royalties are also subject to other federal, state, and local statutes and regulations, including federal and state consumer
protection laws, laws regarding pricing transparency, laws requiring the implementation of compliance programs, laws requiring the reporting
of payments or other transfers of value to HCPs or other healthcare professionals, laws governing the financial relationships between
manufacturers and HCPs or other referral sources and industry stakeholders, laws protecting the privacy of health-related information,
laws restricting items and services of value provided to patients, and laws prohibiting unfair and deceptive acts and trade practices.
See also “Item 1A. Risk Factors – Risks related to our business” for a discussion, among other things, of the extensive
and costly governmental regulation we are subject to.
Pharmaceutical regulation
The process required by the FDA before a new drug product may be marketed
in the U.S. generally involves the following:
An IND application is a request for authorization from the FDA to
administer an investigational drug product to humans.
Post-Approval Regulation
Mayne Pharma, as the holder of the approved NDAs for our licensed products,
is required to comply with several post-approval requirements for our currently approved drug products. We no longer have responsibility
for any post-approval requirements, although regulatory actions affecting these products could materially affect our royalty revenues.
As the holder of an approved NDA, Mayne Pharma is required to report, among other things, certain adverse reactions and production problems
to the FDA, to provide updated safety and efficacy information, to adhere to product sampling and distribution requirements, fulfill post-marketing
study commitments, and to comply with requirements concerning advertising and promotional labeling for any of our drug products, which
include, among other things, standards for direct-to-consumer advertising, restrictions that prohibit promoting products for certain uses
or in patient populations that are not described in the product’s approved indications or that are not otherwise consistent with
the approved, FDA-required label (known as “off-label use”), limitations on industry-sponsored scientific and educational
activities, and requirements for promotional activities involving the internet. Although physicians may prescribe legally available products
for off-label use if they deem such use to be appropriate in their professional medical judgment, manufacturers may not market or promote
such off-label uses.
7
Also, quality control and manufacturing procedures must continue to
conform to cGMPs to ensure and preserve the long-term stability of the drug product. cGMP regulations require among other things, quality
control and quality assurance as well as the corresponding maintenance of records and documentation and the obligation to investigate
and correct any deviations from cGMP. Manufacturers and other entities involved in the manufacture and distribution of approved products
are, depending on the nature and scope of their activities, subject to FDA and certain state agency requirements relating to establishing
and maintaining product quality. Changes to the manufacturing process are strictly regulated, and, depending on the significance of the
change, may require prior FDA approval before being implemented. FDA regulations also require investigation and correction of any deviations
from cGMP and impose reporting and documentation requirements upon us and any third-party manufacturers that we may decide to use. Accordingly,
manufacturers must continue to expend time, money and effort in production and quality control to maintain compliance with cGMP and other
aspects of regulatory compliance.
Our licensees rely, and expect to continue to rely, on third parties
to produce commercial quantities of our licensed drugs. Future FDA and state inspections may identify compliance issues at the facilities
of the manufacturers of our licensed products that may disrupt production or distribution or require substantial resources to correct.
In addition, discovery of previously unknown problems (for example, through adverse events observed in the post-marketing context, or
in Phase 4/post-marketing studies) with a product or the failure to comply with applicable requirements may result in restrictions on
a product, manufacturer, or holder of an approved NDA, including withdrawal or recall of the product from the market or other voluntary,
FDA-initiated or judicial action that could delay or prohibit further marketing. Newly discovered or developed safety or effectiveness
data may require changes to a product’s approved labeling, including the addition of new warnings and contraindications, and may
require the implementation of other risk management measures. Also, new government requirements, including those resulting from new legislation,
may be established, or the FDA’s policies may change, which could delay or prevent regulatory approval of our products.
Regulatory exclusivity
There are two types of NDAs available under Section 505(b) of the
FDCA. Section 505(b)(1) of the FDCA provides a marketing approval pathway that is known as the “traditional” or “full”
NDA process. Sponsors use 505(b)(1) applications to obtain marketing approval of a new drug with active ingredients that have not previously
been approved by FDA. The data package necessary for approval of this new drug requires demonstration of safety and efficacy based on
adequate and well controlled human clinical trials conducted by or for the sponsor, without allowance for reference to third party data.
In contrast, Section 505(b)(2) of the FDCA provides an alternative NDA process for approving a new drug that contains the same active
ingredient as a previously approved product but allows sponsors to rely on clinical trials not conducted by or for the sponsor, as well
as other clinical data or literature produced by other parties. In addition, Section 505(j) of the FDCA provides for a significantly
shortened regulatory pathway for approval of a “generic” version of a new drug, by way of an Abbreviated New Drug Application
(“ANDA”). Rather than demonstrating safety and effectiveness as required for an NDA, the ANDA requires proof that the generic
drug is the “same” as or “bioequivalent” to the new drug under the standard of “bioequivalence,”
often using pharmacokinetic, pharmacodynamic, and/or in vitro studies.
A Section 505(b) NDA applicant may be eligible for its own regulatory
exclusivity period, such as a five-year or three-year exclusivity. The first approved Section 505(b) NDA applicant for a drug containing
an active ingredient that has not previously been approved in any other 505(b) NDA (a “new chemical entity,” or “NCE”),
is eligible for a five-year NCE exclusivity period starting on the date of the NDA approval. An ANDA or 505(b)(2) application for a drug
containing the protected active ingredient of the NCE product generally cannot be submitted to FDA until the end of the five-year exclusivity
period, except that such applications can be submitted at year four if the product is covered by an Orange Book listed patent and the
ANDA or 505(b)(2) NDA includes a Paragraph IV Certification challenging such patent. Additional exclusivities may also apply.
The first approved Section 505(b) NDA applicant for a particular condition,
or a supplemental NDA approval for a change to a marketed product, such as a new extended-release formulation for a previously approved
product, may be eligible for a three-year Hatch-Waxman exclusivity if one or more new clinical studies, other than bioavailability or
bioequivalence studies, was essential to the approval of the application and was conducted or sponsored by the applicant. Should this
occur, the FDA would be precluded from granting final approval to any ANDA or 505(b)(2) application for the same condition of use or
change to the marketed product that was granted exclusivity until after that three-year exclusivity period has run.
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Additionally, any ANDA or 505(b)(2) NDA that references the 505(b)
product must include one of several types of patent certifications. If the Section 505(b) NDA drug has one or more unexpired patents
listed in the Orange Book, an ANDA or 505(b)(2) NDA must include either a “Paragraph III Certification” or a “Paragraph
IV Certification.” A Paragraph III Certification identifies the expiration date of the listed patent and requires FDA to withhold
final approval until that patent has expired. A “Paragraph IV Certification” states that, in the applicant’s opinion,
the relevant patent is invalid, unenforceable, or would not be infringed by the commercial marketing of the proposed ANDA or 505(b)(2)
NDA product. The sponsor of a Paragraph IV ANDA or 505(b)(2) NDA must also provide the holder of the marketed product NDA, and the owner
of the challenged patent, with notification of the Paragraph IV filing along with a detailed statement of the reasons the applicant believes
the patent is invalid, unenforceable, or would not be infringed. If the patent owner brings an infringement action against the Paragraph
IV applicant within 45 days of the notification, a statutory stay is imposed which prevents FDA from granting final approval of the Paragraph
IV application for 30 months from the date of the Paragraph IV Notification. Generally, no more than one 30-month stay may be applied
against any specific Paragraph IV ANDA or 505(b)(2) NDA. A 30-month stay can be terminated early, and the Paragraph IV application can
be immediately approved, if the district court rules in favor of the Paragraph IV applicant that the patent is invalid, unenforceable,
or would not be infringed.
In February 2020, we received a Paragraph IV certification notice
letter (the “IMVEXXY Notice Letter”) regarding an ANDA submitted to FDA by Teva Pharmaceuticals USA, Inc. (“Teva”).
See “Legal Proceedings” in Item 3 of this 2025 10-K Report for additional information.
In March 2020, we received a Paragraph IV certification notice letter
(the “BIJUVA Notice Letter”) regarding an ANDA submitted to FDA by Amneal Pharmaceuticals (“Amneal”). In April
2020, we filed a complaint for patent infringement against Amneal in the U.S. District Court for the District of New Jersey arising from
Amneal’s ANDA filing with FDA. In December 2021, we entered into a settlement agreement (the “Settlement Agreement”)
with Amneal Pharmaceuticals, Inc., Amneal Pharmaceuticals, LLC and Amneal Pharmaceuticals of New York LLC (collectively “Amneal”)
to resolve the litigation over our patents listed in FDA’s Orange Book that claim compositions and methods of BIJUVA (the “BIJUVA
Patents”). Under the terms of the Settlement Agreement, the Company granted Amneal a non-exclusive, non-transferable, royalty-free
license to commercialize Amneal’s generic formulation of BIJUVA in the U.S. commencing in May 2032 (180 days before the current
expiration date in November 2032 for the last to expire of our BIJUVA Patents), or earlier under certain circumstances customary for
settlement agreements of this nature.
Other U.S. healthcare laws and compliance requirements
Certain federal and state healthcare laws and regulations pertaining
to fraud and abuse and patients’ rights, among other topics, are and will be applicable to our business. Our licensees and the
licensed products are subject to regulation by both the federal government and the states in which we or our partners conduct our business.
The healthcare laws and regulations that may affect our licensees’ ability to operate and our ability to receive licensing revenues
include:
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Pharmaceutical company interactions with HCPs, patient advocacy groups,
and patients, including with respect to product and patient assistance programs and other education and support initiatives, have been
and continue to be, the subject of regulatory scrutiny for compliance with fraud and abuse laws.
Because of the breadth of these laws and the narrowness of the statutory
exceptions and safe harbors available, it is possible that some of the business activities of the entities with whom we do business could
be subject to challenge under one or more of such laws. Efforts to ensure that our business arrangements with third parties comply with
applicable healthcare laws and regulations could be costly. Although we no longer engage in commercial promotional activities, if our
past operations, including activities conducted by our sales team or agents, are found to be in violation of any of these laws or any
other governmental regulations that may apply to us, we may be subject to significant civil, criminal, and administrative penalties, damages,
fines, exclusion from third-party payer programs, such as Medicare and Medicaid, and the curtailment or restructuring of our operations.
If any of the HCPs, providers, or entities with whom we do business are found to not be in compliance with applicable laws, they may be
subject to criminal, civil, or administrative sanctions, including exclusion from government funded healthcare programs.
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Many aspects of these laws have not been definitively interpreted
by the regulatory authorities or the courts, and their provisions are open to a variety of subjective interpretations that increases
the risk of potential violations. In addition, these laws and their interpretations are subject to change. Any action against us for
violation of these laws, even if we successfully defend against it, could cause us to incur significant legal expenses, divert our management’s
attention from the operation of our business, and damage our reputation.
In addition to the fraud and abuse laws, we continue to monitor the
potential impact of proposals to change prescription drug costs at the federal and state level. At the state level, legislatures have
increasingly passed legislation and implemented regulations designed to control pharmaceutical pricing, including price or patient reimbursement
constraints, discounts, restrictions on certain product access and marketing cost disclosure and transparency measures, and, in some
cases, designed to encourage importation from other countries and bulk purchasing. We are unable to predict the future course of federal
or state healthcare legislation in the U.S. directed at broadening the availability of healthcare and containing or lowering the cost
of healthcare.
In addition, from time to time in the future, our licensees and the
licensed products may become subject to additional laws or regulations administered by the FDA, the FTC, U.S. Department of Health and
Human Services (“HHS”), or by other federal, state, local, or foreign regulatory authorities, or the repeal of laws or regulations
that we generally consider favorable, such as DSHEA, or to more stringent interpretations of current laws or regulations. We are not
able to predict the nature of such future laws, regulations, repeals, or interpretations, and we cannot predict what effect additional
governmental regulation, if and when it occurs, would have on our business in the future. Such developments could, however, require reformulation
of certain products to meet new standards, recalls or discontinuance of certain products not able to be reformulated, additional record-keeping
requirements, increased documentation of the properties of certain products, additional or different labeling, additional scientific
substantiation, additional personnel, or other new requirements. Any such developments could have a material adverse effect on our business.
Available information
We are a Nevada corporation, and we maintain our principal executive
offices at 951 Yamato Road, Suite 220, Boca Raton, Florida 33431. Our telephone number is (561) 961-1900. We maintain a corporate website
at www.therapeuticsmd.com. The information contained on our website or that can be accessed through our website is not incorporated by
reference into this 2025 10-K Report or in any other report or document we file with the SEC.
Item 1A. Risk factors
Investing in our common stock involves a high degree of risk. You
should carefully consider the following risk factors, together with all of the information included in this 2025 10-K Report and our
other filings with the SEC, before you decide to purchase shares of our common stock. We believe the risks and uncertainties described
below are the most significant we face. Additional risks and uncertainties of which we are unaware, or that we currently deem immaterial,
also may become important factors that affect us. If any of the following risks occur, our business, financial condition, or results
of operations could be materially and adversely affected. In that case, the trading price of our common stock could decline, and you
may lose all or part of your investment.
Our business is subject to a number of risks and uncertainties. The
following is a summary of the principal risk factors described in this section:
● There is substantial doubt about our ability to continue as a going concern.
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● We could be affected by transitions in our senior management team.
● Our products and our licensees are subject to extensive government regulation.
● Our success is tied to the distribution channels of our licensees.
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Risks related to our business
We currently derive all revenue from royalties related to sales
of our licensed women’s healthcare products, and the failure of our licensees to maintain or increase sales of these products could
have an adverse effect on our business, financial condition, results of operations, and growth prospects.
Following the Mayne Transaction, we derive all revenue from royalties
related to sales of our women’s healthcare products, including patient-controlled, long-acting contraceptive, hormone therapy pharmaceutical
products, prenatal and women’s multi-vitamins, and iron supplements. We cannot assure you that our licensees will be able to sustain
such sales or that such sales will grow. In addition to other risks described herein, the ability of our licensees to maintain or increase
existing product sales is subject to several risks and uncertainties, including the following:
● changed or increased regulatory restrictions or regulatory actions by the FDA;
● acceptance of our products as safe and effective by physicians and patients.
If revenue from royalties related to sales of our products does not
increase, we may be required to seek to raise additional funds, which could have an adverse effect on our business, financial condition,
results of operations, and growth prospects. In addition, our revenue from royalties is based on information compiled by, and received
from, our licensees. If the sales information provided by our licensees is erroneous, it could have an adverse effect on our business,
financial condition and results of operations.
We have incurred net losses in the past and may not be able to
maintain or increase profitability in the future.
In the past, we have incurred recurring net losses, including net losses
of $569 thousand and $2.2 million for 2025 and 2024, respectively. In 2022, we recognized net income of $112.0 million due to the net
proceeds from the Mayne Transaction and divestiture of our former subsidiary vitaCare Prescription Services, Inc. (“vitaCare”)
exceeding our costs and expenses. We utilized most of the net proceeds to repay borrowings and redeem our preferred stock. As of December
31, 2025, our stockholders’ equity was $26.9 million. We have funded our operations to date primarily through revenue from licensed
royalties, public offerings of our common stock and private placements of equity and debt securities and the transactions with Mayne Pharma.
We may incur substantial additional losses over the next few years because of costs associated with the wind down of our historical business
as well as the ongoing costs of being a public company. As a result, we may not maintain or increase profitability. If we continue
to incur substantial losses, because the royalties of our products are insufficient or otherwise, and are unable to secure additional
financing, we could be forced to discontinue or curtail our business operations, merge, consolidate, or combine with a company with greater
financial resources in a transaction that might be unfavorable to us.
There is substantial doubt about our ability to continue as
a going concern.
Our current liquidity position raises substantial doubt about our ability
to continue as a going concern and Carr, Riggs & Ingram, L.L.C, our independent registered public accounting firm for the fiscal year
ended December 31, 2025, has included an explanatory paragraph in their opinion that accompanies our audited consolidated financial statements
as of and for the year ended December 31, 2025, indicating such.
As of December 31, 2025, we had $7.5 million in cash and cash equivalents.
Our ability to fund operations over the next twelve months is dependent upon, among other things, continued receipt of royalty payments
under the Mayne License Agreement, resolution of the Mayne Lawsuits on terms that do not materially adversely affect our liquidity, and
our ability to minimize operating expenses. An adverse outcome in the Mayne Lawsuits could result in significant damages, indemnification
obligations, offsets against future royalty payments, or other relief that could materially reduce our available cash and expected future
cash flows.
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If Mayne Pharma’s sales of IMVEXXY, BIJUVA, or ANNOVERA grow
more slowly than expected or decline, if the net working capital settlement with Mayne Pharma under the Transaction Agreement is greater
than our current estimates, if we are unsuccessful with future financings or if the supply chains related to the third-party contract
manufacturers are worse than we anticipate, our existing cash reserves may be insufficient to satisfy our liquidity requirements. Our
ability to continue as a going concern may depend on our ability to obtain additional capital. As substantial doubt about our ability
to continue as a going concern exists, our ability to finance our operations through the sale and issuance of debt or equity securities
or through bank or other financing could be impaired. Our ability to obtain financing on reasonable terms is subject to factors beyond
the Company’s control, including general economic, political, and financial market conditions. The capital markets have in the past
experienced, are currently experiencing, and may in the future experience, periods of upheaval that could impact the availability and
cost of equity and debt financing and such financing may not be available on terms commercially acceptable to the Company, or at all.
If we are unable to improve our liquidity position, we may be required to significantly reduce operating expenses, seek additional equity
or debt financing that may be materially dilutive, sell assets, enter into strategic transactions or pursue other alternatives, any of
which may be unfavorable to our stockholders. If we are unable to implement such measures, we may not be able to continue as a going concern.
We have experienced significant turnover in our top executives,
and our business could be adversely affected by these and other transitions in our senior management team.
We have experienced turnover in our top executives and the replacement
of these positions with new officers. In December 2022, following the Mayne Transaction, all our top executives, except for our former
General Counsel, were terminated, and our former General Counsel was appointed as Chief Executive Officer. In August 2023, our former
Principal Financial and Accounting Officer resigned and was replaced with a new Principal Financial and Accounting Officer.
Management transition is often difficult and inherently causes some
loss of institutional knowledge, which could negatively affect the results of operations and financial condition. Our ability to execute
our business strategies may be adversely affected by the uncertainty associated with these transitions and the time and attention of the
board and management dedicated to management transitions could disrupt our business. Further, we cannot guarantee that we will not face
similar turnover in the future. Although we generally enter into employment agreements with our executives, our executive officers may
terminate their employment relationship with us at any time, and we may not be able to retain the services of any of them. Our senior
management’s knowledge of our business and industry could be difficult to replace, and management turnover could negatively affect
our business, growth, financial conditions, results of operations and cash flows.