Inhibitor Therapeutics (INTI) 10-Q 11 Aug 23 2023 Q2 Quarterly report Financial data

Cover

Cover - shares	6 Months Ended
	Jun. 30, 2023	Aug. 11, 2023
Cover [Abstract]
Document Type	10-Q
Amendment Flag	false
Document Quarterly Report	true
Document Transition Report	false
Document Period End Date	Jun. 30, 2023
Document Fiscal Period Focus	Q2
Document Fiscal Year Focus	2023
Current Fiscal Year End Date	--12-31
Entity File Number	001-13467
Entity Registrant Name	Inhibitor Therapeutics, Inc.
Entity Central Index Key	0001042418
Entity Tax Identification Number	30-0793665
Entity Incorporation, State or Country Code	DE
Entity Address, Address Line One	4905 South West Shore Blvd
Entity Address, City or Town	Tampa
Entity Address, State or Province	FL
Entity Address, Postal Zip Code	33611-3329
City Area Code	813
Local Phone Number	864-2562
Entity Current Reporting Status	Yes
Entity Interactive Data Current	Yes
Entity Filer Category	Non-accelerated Filer
Entity Small Business	true
Entity Emerging Growth Company	false
Entity Shell Company	false
Entity Common Stock, Shares Outstanding		171,998,545

Condensed Balance Sheets

Condensed Balance Sheets - USD ($)	Jun. 30, 2023	Dec. 31, 2022
Current assets:
Cash and cash equivalents	$ 10,100,327	$ 11,951,224
Prepaid expenses	58,007	23,900
Total current assets	10,158,334	11,975,124
Total assets	10,158,334	11,975,124
Current liabilities:
Accounts payable	11,750	145,161
Notes payable, related party		$ 411,000
Notes Payable, Current, Related Party, Type [Extensible Enumeration]		Related Party [Member]
Accrued expenses and other liabilities	32,109	$ 122,621
Total current liabilities	43,859	678,782
Deferred revenue	3,000,000	3,000,000
Total liabilities	3,043,859	3,678,782
Commitments and contingencies (note 5)
Stockholders’ equity:
Common stock, $0.0001 par value; 500,000,000 shares authorized; 171,968,134 and 171,793,134 shares issued and outstanding at June 30, 2023 and December 31, 2022	17,197	17,179
Additional paid-in capital	54,045,316	54,033,084
Accumulated deficit	(46,948,038)	(45,753,921)
Total stockholders’ equity	7,114,475	8,296,342
Total liabilities and stockholders’ equity	10,158,334	11,975,124
Series A Preferred Stock [Member]
Stockholders’ equity:
Preferred stock, value
Series B Convertible Preferred Stock [Member]
Stockholders’ equity:
Preferred stock, value
Undesignated Preferred Stock [Member]
Stockholders’ equity:
Preferred stock, value

Condensed Balance Sheets (Paren

Condensed Balance Sheets (Parenthetical) - $ / shares	Jun. 30, 2023	Dec. 31, 2022
Common stock, par value	$ 0.0001	$ 0.0001
Common stock, shares authorized	500,000,000	500,000,000
Common stock, shares issued	171,968,134	171,793,134
Common stock, shares outstanding	171,968,134	171,793,134
Series A Preferred Stock [Member]
Preferred stock, par value	$ 0.0001	$ 0.0001
Preferred stock, shares authorized	500,000	500,000
Preferred stock, shares issued	0	0
Preferred stock, shares outstanding	0	0
Series B Convertible Preferred Stock [Member]
Preferred stock, par value	$ 0.0001	$ 0.0001
Preferred stock, shares authorized	7,246,377	7,246,377
Preferred stock, shares issued	0	0
Preferred stock, shares outstanding	0	0
Undesignated Preferred Stock [Member]
Preferred stock, par value	$ 0.0001	$ 0.0001
Preferred stock, shares authorized	2,253,623	2,253,623
Preferred stock, shares issued	0	0
Preferred stock, shares outstanding	0	0

Condensed Statements of Operati

Condensed Statements of Operations (Unaudited) - USD ($)	3 Months Ended		6 Months Ended
	Jun. 30, 2023	Jun. 30, 2022	Jun. 30, 2023	Jun. 30, 2022
Income Statement [Abstract]
Revenues:
Expenses:
Research and development	233,993	6,150	435,391	6,150
General and administrative	508,468	64,654	936,794	158,154
Total expenses	742,461	70,804	1,372,185	164,304
Loss from operations	(742,461)	(70,804)	(1,372,185)	(164,304)
Other income / (expenses):
Interest expense, related party		$ (6,763)		$ (12,173)
Interest Expense, Related Party, Type [Extensible Enumeration]		Related Party [Member]		Related Party [Member]
Interest income	87,940		178,068
Net loss	(654,521)	(77,567)	(1,194,117)	(176,477)
Preferred stock dividend		(49,863)		(99,178)
Net loss applicable to common stockholders	$ (654,521)	$ (127,430)	$ (1,194,117)	$ (275,655)
Earnings per share basic	$ 0	$ 0	$ (0.01)	$ 0
Earnings per share diluted	$ 0	$ 0	$ (0.01)	$ 0
Weighted average number of shares outstanding basic	171,968,134	376,858,323	171,881,117	376,858,323
Weighted average number of shares outstanding diluted	171,968,134	376,858,323	171,881,117	376,858,323

Condensed Statements of Stockho

Condensed Statements of Stockholders' Equity (Unaudited) - USD ($)	Series B Convertible Preferred Stock [Member]	Common Stock [Member]	Additional Paid-in Capital [Member]	Retained Earnings [Member]	Total
Beginning balance, value at Dec. 31, 2021	$ 3,960,866	$ 37,686	$ 50,051,711	$ (57,671,109)	$ (3,620,846)
Beginning balance, shares at Dec. 31, 2021	5,797,102	376,858,323
Net loss				(98,910)	(98,910)
Preferred stock dividends, related party				(49,315)	(49,315)
Ending balance, value at Mar. 31, 2022	$ 3,960,866	$ 37,686	50,051,711	(57,819,334)	(3,769,071)
Ending balance, shares at Mar. 31, 2022	5,797,102	376,858,323
Beginning balance, value at Dec. 31, 2021	$ 3,960,866	$ 37,686	50,051,711	(57,671,109)	(3,620,846)
Beginning balance, shares at Dec. 31, 2021	5,797,102	376,858,323
Net loss					(176,477)
Ending balance, value at Jun. 30, 2022	$ 3,960,866	$ 37,686	50,051,711	(57,946,764)	(3,896,501)
Ending balance, shares at Jun. 30, 2022	5,797,102	376,858,323
Beginning balance, value at Mar. 31, 2022	$ 3,960,866	$ 37,686	50,051,711	(57,819,334)	(3,769,071)
Beginning balance, shares at Mar. 31, 2022	5,797,102	376,858,323
Net loss				(77,567)	(77,567)
Preferred stock dividends, related party				(49,863)	(49,863)
Ending balance, value at Jun. 30, 2022	$ 3,960,866	$ 37,686	50,051,711	(57,946,764)	(3,896,501)
Ending balance, shares at Jun. 30, 2022	5,797,102	376,858,323
Beginning balance, value at Dec. 31, 2022		$ 17,179	54,033,084	(45,753,921)	8,296,342
Beginning balance, shares at Dec. 31, 2022		171,793,134
Net loss				(539,596)	(539,596)
Ending balance, value at Mar. 31, 2023		$ 17,179	54,033,084	(46,293,517)	7,756,746
Ending balance, shares at Mar. 31, 2023		171,793,134
Beginning balance, value at Dec. 31, 2022		$ 17,179	54,033,084	(45,753,921)	8,296,342
Beginning balance, shares at Dec. 31, 2022		171,793,134
Net loss					(1,194,117)
Ending balance, value at Jun. 30, 2023		$ 17,197	54,045,316	(46,948,038)	7,114,475
Ending balance, shares at Jun. 30, 2023		171,968,134
Beginning balance, value at Mar. 31, 2023		$ 17,179	54,033,084	(46,293,517)	7,756,746
Beginning balance, shares at Mar. 31, 2023		171,793,134
Net loss				(654,521)	(654,521)
Issuance of common stock under equity incentive plan		$ 18	12,232		12,250
Issuance of common stock under equity incentive plan, shares		175,000
Ending balance, value at Jun. 30, 2023		$ 17,197	$ 54,045,316	$ (46,948,038)	$ 7,114,475
Ending balance, shares at Jun. 30, 2023		171,968,134

Condensed Statements of Cash Fl

Condensed Statements of Cash Flows (Unaudited) - USD ($)	6 Months Ended
	Jun. 30, 2023	Jun. 30, 2022
Operating activities:
Net loss	$ (1,194,117)	$ (176,477)
Adjustments to reconcile net loss to net cash used in operating activities:
Stock based compensation	12,250
Changes in assets and liabilities:
Prepaid expenses	(34,107)	14,586
Accounts payable and other current liabilities	(223,923)	56,210
Net cash used in operating activities	(1,439,897)	(105,681)
Financing activities:
Proceeds from notes payable, related party		100,000
Payments made on notes payable, related party	(411,000)
Net cash (used in) provided by financing activities	(411,000)	100,000
Net change in cash and cash equivalents	(1,850,897)	(5,681)
Cash and cash equivalents at beginning of period	11,951,224	30,626
Cash and cash equivalents at end of period	10,100,327	24,945
Non-cash financing activities:
Accrued, but unpaid dividends		$ 99,178

Corporate overview

Corporate overview	6 Months Ended
	Jun. 30, 2023
Accounting Policies [Abstract]
Corporate overview	1. Corporate overview Overview The accompanying unaudited condensed financial statements of Inhibitor Therapeutics, Inc., a Delaware corporation (the “Company”, “INTI”, “we”, “us” or similar terminology), have been prepared by the Company without audit. In the opinion of management, all adjustments (which include normal recurring adjustments) necessary to present fairly the financial position, results of operations and cash flows as of June 30, 2023, and for all periods presented, have been made. Certain information and footnote disclosures normally included in financial statements prepared in accordance with accounting principles generally accepted in the United States of America (“GAAP”) have been condensed or omitted pursuant to the Securities and Exchange Commission (“SEC”) rules and regulations. These unaudited condensed financial statements should be read in conjunction with the audited financial statements and notes thereto for the year ended December 31, 2022, which are included in the Company’s Annual Report on Form 10-K for the fiscal year ended December 31, 2022, which was filed with the SEC on March 31, 2023 (the “2022 Annual Report”). The accompanying condensed balance sheet as of December 31, 2022 has been derived from the audited financial statements at that date, but does not include all information and footnotes required by GAAP for complete financial statements. As used herein, the term “Common Stock” means the Company’s common stock, $ 0.0001 The results of operations for the three-month and six-month period ended June 30, 2023, are not necessarily indicative of results that may be expected for any other interim period or for the full fiscal year. Readers of this Quarterly Report are strongly encouraged to review the risk factors relating to the Company which are set forth in the 2022 Annual Report and the Company’s other filings with the SEC. Nature of the Business and Background The Company is a pharmaceutical development company that is focused on developing and ultimately commercializing innovative therapeutics based on already approved active pharmaceuticals that have patent-protected methods of use and/or methods of delivery for patients with certain cancers and certain non-cancerous proliferation disorders. The Company has explored and expects to continue to explore acquiring or licensing other innovative pre-clinical and clinical stage therapeutics addressing unmet needs for the treatment of cancer and other diseases based on repurposing active ingredients of already approved drugs. The Company’s current primary focus is on the development of therapies initially for basal cell carcinoma, prostate and lung cancers in the United States utilizing itraconazole, a drug currently approved by the U.S. Food and Drug Administration (“FDA”) to treat fungal infections, and which has an extensive history of safe and effective use in humans. The Company has developed intellectual property and know-how related to the treatment of cancer patients using itraconazole. In particular, the Company is negotiating with Johns Hopkins University to license US Patent 8,890,930 B2 which deals with methods of inhibiting angiogenesis, and treating or preventing a disease or disorder (or symptoms thereof) associated with angiogenesis such as cancers like basal cell carcinomas. Following the resolution of the litigation involving the Company in December 2022 and the resulting settlement agreement, the new Board and management of the Company intend to continue the development of itraconazole for BCCNS, and other cancers and non-cancerous proliferative disorders. To that end, the development or acquisition of its own proprietary and patent-protected formulation of itraconazole is anticipated. In addition, the Company is exploring the addition of other product candidates that meet our strict criteria: products that target an unmet medical need of significant clinical value, and are patent protected, and that qualify for the 505(b)2 regulatory pathway. INHIBITOR THERAPEUTICS, INC. NOTES TO CONDENSED FINANCIAL STATEMENTS FOR THE SIX MONTHS ENDED JUNE 30, 2023 AND 2022 (Unaudited)

Summary of Significant Accounti

Summary of Significant Accounting Policies	6 Months Ended
	Jun. 30, 2023
Accounting Policies [Abstract]
Summary of Significant Accounting Policies	2. Summary of Significant Accounting Policies Estimates The preparation of condensed financial statements requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the period. Actual results could differ from those estimates. Revenue Recognition The Company currently has no ongoing source of revenues. Miscellaneous income, including interest, is recognized when earned by the Company. Deferred revenue represents cash received for royalties in advance of being earned. Such payments are reflected as deferred revenue until recognized under the Company’s revenue recognition policy. Deferred revenue would be classified as current if management believes the Company will be able to recognize the deferred amount as revenue within twelve months of the balance sheet date. Deferred revenue will be recognized when the product is sold and the royalty is earned. All deferred revenue is related to a basal cell carcinoma nevus syndrome (BCCNS) product which is yet to be approved by FDA, and as a result the Company has determined that 100 3.0 Cash and Cash Equivalents Cash and cash equivalents include cash in bank accounts as well as investments in highly-liquid money market funds and sweep accounts with original maturities of three months or less. The Company considers all highly liquid investments with an original maturity of three months or less to be cash equivalents. At times, the Company may maintain cash balances in excess of Federal Deposit Insurance Corporation insured amounts. The Company continues to monitor the third-party depository institutions that hold the Company’s cash and limits its cash deposits to financial institutions with high credit standing. Research and Development Expenses Research and development costs are expensed in the period in which they are incurred and include the expenses paid to third parties who conduct research and development activities on behalf of the Company. Stock-Based Compensation The Company accounts for stock-based awards to employees and non-employees using Financial Accounting Standards Board (“FASB”) Accounting Standards Codification (“ASC”) Topic 718 – Accounting for Share-Based Payments, which provides for the use of the fair value based method to determine compensation for all arrangements where shares of stock or equity instruments are issued for compensation. Fair values of restricted stock units issued are determined by the Company based predominantly on the trading price of the common stock on the date of grant. Fair value of each common stock option is estimated on the date of grant using the Black-Scholes valuation model that uses assumptions for expected volatility, expected dividends, expected term and the risk-free interest rate. Expected volatility is based on historical volatility of a peer group’s common stock and other factors estimated over the expected term of the options. The expected term of the options granted is derived using the “simplified method” which computes the expected term as the average of the weighted-average vesting term and the contract term. The risk-free rate is based on the U.S. Treasury yield. During the six months ended June 30, 2023, we granted 175,000 INHIBITOR THERAPEUTICS, INC. NOTES TO CONDENSED FINANCIAL STATEMENTS FOR THE SIX MONTHS ENDED JUNE 30, 2023 AND 2022 (Unaudited) 2. Summary of Significant Accounting Policies (continued): Income Taxes Deferred tax assets and liabilities are recognized for future tax consequences attributed to differences between the consolidated financial statement carrying amounts of existing assets and liabilities and their respective tax bases and are measured using enacted tax rates that are expected to apply to the differences in the periods that they are expected to reverse. Management has evaluated the guidance relating to accounting for uncertainty in income taxes and has determined that the Company had no uncertain income tax positions that could have a significant effect on the financial statements as of June 30, 2023. Recent accounting pronouncements Management has considered all recent accounting pronouncements issued, but not effective, and does not believe that any will have a material impact on the Company’s financial statements.

Notes payable, related party

Notes payable, related party	6 Months Ended
	Jun. 30, 2023
Debt Disclosure [Abstract]
Notes payable, related party	3. Notes payable, related party The balance outstanding on the notes payable, related party at December 31, 2022 was $ 411,000

Stockholders_ Equity

Stockholders’ Equity	6 Months Ended
	Jun. 30, 2023
Equity [Abstract]
Stockholders’ Equity	4. Stockholders’ Equity Employee Stock Plans During the six months ended June 30, 2023, we granted 175,000 0.01 There was no stock-based compensation for the six months ended June 30, 2022. As of June 30, 2023, there were 2,575,646 outstanding common stock options under the Company’s equity incentive plan of which 100% were vested. There was no unamortized stock-based compensation at June 30, 2023. The weighted-average remaining contractual life and weighted-average exercise price per share as of June 30, 2023 were 6.3 0.09

Legal Proceedings

Legal Proceedings	6 Months Ended
	Jun. 30, 2023
Commitments and Contingencies Disclosure [Abstract]
Legal Proceedings	5. Legal Proceedings The Company may from time to time become a party to various legal proceedings arising in the ordinary course of business. The Company is not currently the subject of any pending legal proceedings.

Summary of Significant Accoun_2

Summary of Significant Accounting Policies (Policies)	6 Months Ended
	Jun. 30, 2023
Accounting Policies [Abstract]
Estimates	Estimates The preparation of condensed financial statements requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the period. Actual results could differ from those estimates.
Revenue Recognition	Revenue Recognition The Company currently has no ongoing source of revenues. Miscellaneous income, including interest, is recognized when earned by the Company. Deferred revenue represents cash received for royalties in advance of being earned. Such payments are reflected as deferred revenue until recognized under the Company’s revenue recognition policy. Deferred revenue would be classified as current if management believes the Company will be able to recognize the deferred amount as revenue within twelve months of the balance sheet date. Deferred revenue will be recognized when the product is sold and the royalty is earned. All deferred revenue is related to a basal cell carcinoma nevus syndrome (BCCNS) product which is yet to be approved by FDA, and as a result the Company has determined that 100 3.0
Cash and Cash Equivalents	Cash and Cash Equivalents Cash and cash equivalents include cash in bank accounts as well as investments in highly-liquid money market funds and sweep accounts with original maturities of three months or less. The Company considers all highly liquid investments with an original maturity of three months or less to be cash equivalents. At times, the Company may maintain cash balances in excess of Federal Deposit Insurance Corporation insured amounts. The Company continues to monitor the third-party depository institutions that hold the Company’s cash and limits its cash deposits to financial institutions with high credit standing.
Research and Development Expenses	Research and Development Expenses Research and development costs are expensed in the period in which they are incurred and include the expenses paid to third parties who conduct research and development activities on behalf of the Company.
Stock-Based Compensation	Stock-Based Compensation The Company accounts for stock-based awards to employees and non-employees using Financial Accounting Standards Board (“FASB”) Accounting Standards Codification (“ASC”) Topic 718 – Accounting for Share-Based Payments, which provides for the use of the fair value based method to determine compensation for all arrangements where shares of stock or equity instruments are issued for compensation. Fair values of restricted stock units issued are determined by the Company based predominantly on the trading price of the common stock on the date of grant. Fair value of each common stock option is estimated on the date of grant using the Black-Scholes valuation model that uses assumptions for expected volatility, expected dividends, expected term and the risk-free interest rate. Expected volatility is based on historical volatility of a peer group’s common stock and other factors estimated over the expected term of the options. The expected term of the options granted is derived using the “simplified method” which computes the expected term as the average of the weighted-average vesting term and the contract term. The risk-free rate is based on the U.S. Treasury yield. During the six months ended June 30, 2023, we granted 175,000 INHIBITOR THERAPEUTICS, INC. NOTES TO CONDENSED FINANCIAL STATEMENTS FOR THE SIX MONTHS ENDED JUNE 30, 2023 AND 2022 (Unaudited) 2. Summary of Significant Accounting Policies (continued):
Income Taxes	Income Taxes Deferred tax assets and liabilities are recognized for future tax consequences attributed to differences between the consolidated financial statement carrying amounts of existing assets and liabilities and their respective tax bases and are measured using enacted tax rates that are expected to apply to the differences in the periods that they are expected to reverse. Management has evaluated the guidance relating to accounting for uncertainty in income taxes and has determined that the Company had no uncertain income tax positions that could have a significant effect on the financial statements as of June 30, 2023.
Recent accounting pronouncements	Recent accounting pronouncements Management has considered all recent accounting pronouncements issued, but not effective, and does not believe that any will have a material impact on the Company’s financial statements.

Corporate overview (Details Nar

Corporate overview (Details Narrative) - $ / shares	Jun. 30, 2023	Dec. 31, 2022
Accounting Policies [Abstract]
Common stock, par value	$ 0.0001	$ 0.0001

Summary of Significant Accoun_3

Summary of Significant Accounting Policies (Details Narrative) - USD ($) $ in Millions	6 Months Ended
	Jun. 30, 2023	Dec. 31, 2022
Product Information [Line Items]
Number of restricted common stock granted	175,000
Royalty [Member]
Product Information [Line Items]
Deferred revenue	$ 3	$ 3
Royalty [Member] | Mayne Pharma [Member]
Product Information [Line Items]
Ownership percent	100%

Notes payable, related party (D

Notes payable, related party (Details Narrative) - USD ($)	Jun. 30, 2023	Dec. 31, 2022
Collaborative Arrangement and Arrangement Other than Collaborative [Line Items]
Notes payable current		$ 411,000
Loan Agreement [Member]
Collaborative Arrangement and Arrangement Other than Collaborative [Line Items]
Notes payable current		$ 411,000

Stockholders_ Equity (Details N

Stockholders’ Equity (Details Narrative) - USD ($)	6 Months Ended
	Jun. 30, 2023	Jun. 30, 2022
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items]
Share-Based Payment Arrangement, Noncash Expense	$ 12,250
2014 Equity Incentive Plan [Member]
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items]
Issuance of common stock under equity incentive plan, shares	175,000
Grant date fair value	$ 10,000
Share-Based Compensation Arrangement by Share-Based Payment Award, Options, Outstanding, Number	2,575,646
Share-Based Compensation Arrangement by Share-Based Payment Award, Award Vesting Rights, Percentage	100%
Share-Based Payment Arrangement, Nonvested Award, Excluding Option, Cost Not yet Recognized, Amount	$ 0
Options, weighted average remaining contractual life	6 years 3 months 18 days
Options, weighted average exercise price per share	$ 0.09