Company: SXTPW
Filing Date: 2025-05-15
Form Type: 10-Q
Source: 0001213900-25-043779
Chunk: 18

Company: 60 DEGREES PHARMACEUTICALS, INC.
Filing Date: 2025-05-15
Form: 10-Q
Item: Part I, Item 1
Chunk 18
---
 value only when an impairment charge is recognized.

As of March 31, 2025 and December 31, 2024, the
carrying value of the Company’s financial instruments included in current assets and current liabilities (such as cash, accounts
receivable, accounts payable, and accrued expenses) approximate their fair value due to the short-term nature of such instruments. Certificates
of deposit, classified as cash equivalents or short-term investments depending on the instrument’s original time to maturity, are
measured at amortized cost, which approximates fair value as of March 31, 2025 and December 31, 2024.

Foreign Currency Transactions and Translation

The individual financial statements of each group
entity are measured and presented in the currency of the primary economic environment in which the entity operates (its functional currency).
The consolidated condensed financial statements of the Company are presented in United States dollars, which is the functional currency
of the Company and the presentation currency for the consolidated condensed financial statements.

For the purpose of presenting consolidated condensed
financial statements, the assets and liabilities of the Company’s foreign operations are mostly translated at exchange rates prevailing
on the reporting date. Income and expense items are translated at the average exchange rates for the period, unless exchange rates fluctuate
significantly during that period, in which case the exchange rates at the dates of the transactions are used. Exchange differences arising,
if any, are recognized as a component of other comprehensive income (loss) as Unrealized Foreign Currency Translation Gain or Loss.

11

Exchange rates along with historical rates used
in these financial statements are as follows:

    Average Exchange Rate 

    Three Months ended March 31,  
    As of 
  
    Currency 
    2025  
    2024  
    March 31,
 2025  
    December 31, 
2024 
  
    1 AUD = 
     0.63 USD  
     0.66 USD  
     0.62 USD  
     0.62 USD 

Reclassifications

Certain prior period interim amounts have been
reclassified for consistency with the current period presentation. These reclassifications had no material effect on the consolidated
condensed results of operations and comprehensive (loss) income, shareholders’ equity, or cash flows.

Share-Based Payments

On November 22, 2022, the Company adopted the
2022 Equity Incentive Plan also referred to as (“2022 Plan”). The 202