Company: LBRX
Filing Date: 2025-07-23
Form Type: DRS/A
Source: 0000950123-25-006557
Chunk: 342

Company: LB PHARMACEUTICALS INC
Filing Date: 2025-07-23
Form: DRS/A
Chunk 342
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 statements have been prepared on a going concern basis, which contemplates the realization of assets and the settlement of
liabilities and commitments in the normal course of business. The Company has not generated revenues and relies on the issuance of debt and equity instruments to generate working capital. The Company experienced negative operating cash flows of
$53.1 million and net loss of $63.1 million for the year ended December 31, 2024 and had an accumulated deficit of $104.3 million as of December 31, 2024. The Company expects to incur substantial expenses for the foreseeable
future relating to research and development of LB-102 and to continue to generate operating losses. These factors raise substantial doubt about the Company’s ability to continue as a going concern within
one year of the date that the financial statements are issued. The financial statements do not include any adjustments that might be necessary if the Company is unable to continue as a going concern.

The future viability of the Company is dependent on its ability to raise additional capital to fund its operations. If the
Company is unable to obtain funding, the Company could be forced to delay, reduce or eliminate some or all of its research and development programs, which could adversely affect its business prospects, or the Company may be unable to continue
operations. Although management continues to pursue these plans, there is no assurance that the Company will be successful in obtaining sufficient funding on terms acceptable to the Company to fund continuing operations, if at all.

2. Summary of Significant Accounting Policies

Basis of Presentation

The accompanying financial
statements have been prepared in accordance with accounting principles generally accepted in the United States of America (“GAAP”).

F-8

LB Pharmaceuticals Inc

Notes to Financial Statements

Prior Period Reclassifications

Certain prior period amounts have been reclassified to conform to the current period’s presentation.

Use of Estimates

The preparation of financial
statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure at the date of the financial statements and the reported amounts of expenses during
the reporting period. Significant estimates and assumptions reflected in these financial statements include, but are not limited to, the accrual of research and development costs and the valuation of common stock, derivative warrant and stock-based
compensation. Changes in estimates and assumptions are reflected in reported results in the period in which they become known. Estimates are periodically reviewed in light of changes in circumstances, facts and experience. Actual results could
differ from the Company’s estimates