Company: IMNN
Filing Date: 2025-05-12
Form Type: 10-Q
Source: 0001641172-25-009572
Chunk: 66

Company: Imunon, Inc.
Filing Date: 2025-05-12
Form: 10-Q
Item: Part I, Item 2
Chunk 66
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and administrative expenses were $2.0 million in the first quarter of 2025 compared to $1.7 million in the same period of 2024. The increase
was primarily attributable to higher employee-related expenses of $0.5 million offset by lower legal expenses of $0.2 million.

Investment
income from the Company’s short-term investments was $43,000 for the first quarter of 2025 compared to $82,000 for the same period
in 2024.

FINANCIAL
CONDITION, LIQUIDITY AND CAPITAL RESOURCES

Since
inception, we have incurred significant losses and negative cash flows from operations. We have financed our operations primarily through
the net proceeds from the sales of equity, credit facilities and amounts received under product licensing agreements. The process of developing IMNN-001 and other drug candidates and technologies requires
significant research and development work and clinical trial studies, as well as significant manufacturing and process development efforts.
We expect these activities, together with our general and administrative expenses, to result in significant operating losses for the
foreseeable future. Our expenses have significantly and regularly exceeded our income, and we had an accumulated deficit of $411 million
at March 31, 2025.

At
March 31, 2025, we had total current assets of $5.1 million and current liabilities of $5.8 million, resulting in a negative net working
capital of $0.7 million. At March 31, 2025, we had cash and cash equivalents of $2.9 million. At December 31, 2024, we had total current
assets of $8.0 million and current liabilities of $4.8 million, resulting in net working capital of $3.2 million. We have substantial
future capital requirements to continue our research and development activities and advance our drug candidates through various development
stages. The Company believes these expenditures are essential for the commercialization of its technologies.

Net
cash used in operating activities for the first three months of 2025 was $2.8 million. Net cash used by investing activities was $0.3
million during the first three months of 2025.

25

The
Company will continue to seek additional capital through further public or private equity offerings, debt financing, additional strategic
alliance and licensing arrangements, collaborative arrangements, or some combination of these financing alternatives. If we raise additional
funds through the issuance of equity securities, the percentage ownership