Company: JUNS
Filing Date: 2025-05-15
Form Type: 10-Q
Source: 0001641172-25-010990
Chunk: 53

Company: JUPITER NEUROSCIENCES, INC.
Filing Date: 2025-05-15
Form: 10-Q
Item: Item 8
Chunk 53
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,745 for three months ended March 31, 2025 compared to $98,667 for three months ended March 31, 2024. The increase in research and development expenses was primarily driven by costs incurred under a three-year service
agreement associated with product development and distribution efforts in the Southeast Asian market. The remainder of the increase relates
to heightened R&D activities, specifically the procurement of clinical trial supplies for our Parkinson’s disease program.

R&D expenses related to
the federal grant were segregated in the chart of accounts from non-federal award costs. At this time, we are not tracking R&D expenses
per indication as all of the R&D expenses incurred to date related to JOTROL, which is the platform product used in each indication
defined in our product pipeline.

In addition, the probability
of success for JOTROL will depend on numerous factors, including manufacturing capability, satisfactory results in follow on clinical
trials, regulatory approvals and commercial viability. See “Risk Factors”.

General and Administrative Expenses

General and administrative
expenses were $1,071,258 for the three months ended March 31, 2025 compared to $472,028 for the three months ended March 31, 2024. The
increase is due to employees receiving their full salaries in the current period compared to the prior period.
In addition, there was an increase in legal and professional fees in the current period compared to the prior period as a direct result
of the Company being listed on a public exchange. Lastly, the increase in general and administrative expenses is attributed to an increase
in insurance expenses and consulting fees. This is a direct result of the Company expanding its operations in the current period compared
to the prior period.

Interest Expense

Interest expenses were
$1,229 for the three months ended March 31, 2025, compared to $65,756 for the three months ended March 31, 2024. Interest expense is
primarily attributable to interest expense associated with our previously outstanding notes payable, convertible notes payable,
notes payable to our Chief Executive Officer, and interest expense on our corporate credit card. The decrease in interest expense is
directly attributed to the conversion and repayment of our convertible notes in prior periods; therefore, no new interest expense is
being incurred in the current period.

Loss on Change in Fair Value of Derivative
Liability

At each quarter end during
these years, the variable conversion options embedded in our convertible notes were marked to market, and the change