Company: SXTPW
Filing Date: 2025-05-15
Form Type: 10-Q
Source: 0001213900-25-043779
Chunk: 12

Company: 60 DEGREES PHARMACEUTICALS, INC.
Filing Date: 2025-05-15
Form: 10-Q
Item: Part I, Item 1
Chunk 12
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 consolidated financial statements and related
notes thereto as of and for the years ended December 31, 2024 and 2023, included in the Company’s annual report on Form 10-K, as
filed with the SEC on March 27, 2025 (the “Annual Report”). Certain information, footnote disclosures, and significant accounting
policies that would substantially duplicate the disclosures contained in the Annual Report have been omitted.

Use of Estimates

The preparation of financial statements in conformity
with U.S. GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosures
of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during
the reporting period. Actual results could differ from those estimates, and those estimates may be material. Significant estimates include
the reserve for inventory, the fair value of derivative liabilities, and stock-based compensation.

7

Reverse Stock Splits

Following stockholder approval in July 2024, the
Company effected a reverse stock split at a ratio of 1:12, which was effective as of August 12, 2024 (the “1:12 Reverse Stock Split”).
On November 6, 2024, a majority of the Company’s stockholders approved an additional reverse stock split at a split ratio ranging
between 1:3 and 1:5, as determined by the Board of Directors in its sole discretion. On February 10, 2025, the Board of Directors approved
a 1:5 reverse split ratio. On February 24, 2025, the Company effected the 1:5 reverse stock split (the “1:5 Reverse Stock Split”,
and together with the 1:12 Reverse Stock Split, the “Reverse Stock Splits”). Beginning February 24, 2025, the common stock
traded on The Nasdaq Capital Market on a split adjusted basis.

Proportional adjustments were made to the number
of shares of common stock issuable upon exercise or conversion of the Company’s equity awards, warrants, and other equity instruments
convertible into common stock, as well as the respective exercise prices, if applicable, in accordance with the terms of the instruments.
Unless otherwise noted, all references to numbers of shares of the Company’s common stock and per share information presented in
these consolidated condensed financial statements have been retroactively adjusted, as appropriate, to reflect the Reverse Stock Splits,
including reclassifying an amount equal to