Inhibikase Therapeutics, Inc. reported significant financial challenges in its latest 10-Q filing for the quarter ending September 30, 2024. The company generated no revenue during the three and nine months ended September 30, 2024, a stark decline from $79,569 and $260,500 in the same periods of 2023, respectively. This drop is attributed to the absence of federal research grants, which previously constituted the entirety of the company's revenue.

Total costs and expenses for the third quarter increased to $5.8 million, up from $4.8 million in the prior year, while expenses for the nine-month period slightly decreased to $15.7 million from $15.9 million. The loss from operations for the third quarter was $(5.8 million), compared to $(4.8 million) in 2023, reflecting a 22.2% increase. The net loss for the third quarter was $(5.8 million), a 25.7% increase from $(4.6 million) in the same period last year. For the nine months, the net loss was $(15.4 million), compared to $(14.9 million) in 2023.

As of September 30, 2024, Inhibikase's cash and cash equivalents had plummeted to $913,420 from $9.2 million at the end of 2023. Total current assets also decreased significantly to $4.2 million from $14.2 million. The company’s total liabilities rose to $4.9 million, up from $3.4 million at the end of 2023, leading to a total stockholders' deficit of $(530,591).

In terms of strategic developments, Inhibikase has been actively pursuing funding to support its operations. The company raised approximately $110 million in a private placement on October 21, 2024, which is expected to finance ongoing clinical trials, particularly for its lead product candidate, IkT-001Pro, aimed at treating Pulmonary Arterial Hypertension (PAH). The company also plans to initiate a Phase 2b trial for IkT-001Pro, following the completion of bioequivalence studies.

Additionally, Inhibikase entered into a settlement agreement with Pivot Holding LLC, agreeing to pay $500,000 to resolve claims related to milestone payments under a Collaborative Research and Development Agreement. This settlement includes a one-time payment of $4.4 million upon FDA approval, with no further milestone payments due for additional approvals.

Overall, Inhibikase Therapeutics is navigating a challenging financial landscape while focusing on advancing its clinical programs and securing necessary funding for future operations.