Company: SXTPW
Filing Date: 2025-03-27
Form Type: 10-K
Source: 0001013762-25-003343
Chunk: 1786

Company: 60 DEGREES PHARMACEUTICALS, INC.
Filing Date: 2025-03-27
Form: 10-K
Item: Item 7A
Chunk 1786
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) in the accompanying consolidated statements of operations and comprehensive loss. During the years
ended December 31, 2024 and 2023, the Company recorded a net gain (loss) on the change in the fair of derivative liabilities of $1,665,966
and ($37,278), respectively.

Prior to the Company’s IPO, the fair value
of the Company’s potential future issuances of common stock related to common stock issued with promissory notes, warrants and
embedded conversion features in convertible promissory notes was established with an estimate using the Monte Carlo Simulation Model
to compute fair value as of each reporting date. The Monte Carlo simulation requires the input of assumptions, including our stock price,
the volatility of our stock price, remaining term in years, expected dividend yield, and risk-free rate. In addition, the valuation model
considered the probability of the occurrence or nonoccurrence of an IPO within the terms of liability-classified financial instruments,
as an IPO could potentially impact the settlement. The Company used the Monte Carlo Simulation Model to re-measure the liability-classified
bridge shares, warrants and embedded conversion features in convertible promissory notes to their respective fair values at each subsequent
reporting date prior to the IPO.

9. INCOME TAXES

Loss before provision (benefit) for income taxes
for the years ended December 31, 2024 and 2023 consisted of the following:

    For the Year Ended December 31, 

    2024  
    2023 
  
    United States 
    $(7,372,032) 
    $(3,006,861)
  
    Foreign 
     (583,381) 
     (806,689)
  
    Total Loss before Income Taxes 
    $(7,955,413) 
    $(3,813,550)

The components of the provision (benefit) for
income taxes consisted of the following:

    For the Year Ended December 31, 

    2024  
    2023 
  
    Current: 

    Federal 
    $
    -  
    $
    - 
  
    State 
     250  
     250 
  
    Foreign 
     -  
     - 
  
    Total current provision (benefit) 
     250  
     250 
  
    Deferred: 

    Federal 
     -  
     - 
  
    State 
     -