Hoth Therapeutics(HOTH) - 2024 Q3 - Quarterly Report

Research and Development Expenses - Research and development expenses decreased by $77,000 (7.9$0.9 million, with $0.6 million allocated to HT-001,$154,300 to HT-KIT, $18,700 to HT-004, and$96,500 to HT-ALZ[135] - Research and development expenses decreased by $635,700 (24.8$1.9 million, with $1.2 million allocated to HT-001,$112,800 to HT-ALZ, $363,300 to HT-KIT, and$96,100 to HT-004[142] General and Administrative Expenses - General and administrative expenses increased by $116,100 (10.4$473,500 (13.8%) for the nine months ended September 30, 2024 compared to the same period in 2023[144] Net Loss - Net loss for the three months ended September 30, 2024 was $2.1 million, a decrease of$45,500 compared to the same period in 2023[141] - Net loss for the nine months ended September 30, 2024 was $5.8 million, a decrease of$0.3 million compared to the same period in 2023[150] Cash and Capital Resources - As of September 30, 2024, the company had $8.0 million in cash and cash equivalents and working capital of$7.4 million[151] - The company issued 2,500,000 shares of common stock for net proceeds of $3.8 million during the nine months ended September 30, 2024[152] - Issued new unregistered warrants to purchase up to 3,750,000 shares of common stock at$1.50 per share, expiring on July 3, 2028[154] - Potential milestone payments of up to approximately $10.5 million if all milestones in current agreements are achieved[155] - Net cash used in operations for the nine months ended September 30, 2024, was approximately$5.0 million, primarily due to a net loss of $5.8 million[157] - Net cash provided by financing activities for the nine months ended September 30, 2024, was approximately$3.7 million, resulting from net proceeds from the exercise of warrants[159] - Net cash provided by financing activities for the nine months ended September 30, 2023, was approximately $11.3 million, from the issuance of common stock and warrants[160] Stock-Based Compensation and Valuation - The company estimates the fair value of stock option grants using the Black-Scholes option pricing model, involving inherent uncertainties and management's judgment[164] - Restricted stock awards vest over a service period of zero to three years, with stock-based compensation expense recognized on a straight-line basis[167] - Warrants issued to non-employees vest over a term of zero to ten years, with stock-based compensation expense recognized on a straight-line basis[168] Accounting Standards and Disclosures - The company is evaluating the impact of ASU 2023-09 on income tax disclosures, effective for annual periods beginning after December 15, 2024[171] - The company has a single reportable segment and is evaluating the impact of ASU 2023-07 on segment reporting disclosures, effective for fiscal years beginning after December 15, 2023[175]