Company: PTPI
Filing Date: 2025-02-13
Form Type: S-1/A
Source: 0001410578-25-000122
Chunk: 238

Company: Petros Pharmaceuticals, Inc.
Filing Date: 2025-02-13
Form: S-1/A
Chunk 238
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,458,252 | ​ |   |   7,379,214 |
| Expenses not currently deductible    | ​ |                                  |     982,475 | ​ |   |   1,140,594 |
| Net operating loss carryforwards     | ​ |                                  |   9,475,773 | ​ |   |   6,013,400 |
| Interest expense limitation          | ​ |                                  |     251,023 | ​ |   |     226,588 |
| Stock-based compensation             | ​ |                                  |     400,813 | ​ |   |   2,882,814 |
| Valuation allowance                  | ​ |                                  | -18,052,458 | ​ |   | -17,053,830 |
| Total deferred tax asset (liability) | ​ | $                                |           — | ​ | $ |           — |

The valuation allowance recorded by the Company as of December 31, 2023, and 2022 resulted from the uncertainties of the future utilization of deferred tax assets relating primarily to net operating loss (“NOL”) carryforwards for federal and state income tax purposes. Realization of the NOL carryforwards is contingent on future taxable earnings. The deferred tax asset was reviewed for expected utilization using a “more likely than not” approach by assessing the available positive and negative evidence surrounding its recoverability. Accordingly, a full valuation allowance continues to be recorded against the Company’s deferred tax assets, as it was determined based upon past and projected future losses that it was “more likely than not” that the Company’s deferred tax assets would not be realized. The cumulative valuation allowance as of December 31, 2023, is $ million, which will be reduced if and when the Company determines that the deferred income tax assets are more likely than not to be realized.

F-25

As of December 31, 2023, the Company’s estimated aggregate total NOLs were $ 40.4million for U.S. federal purposes with an indefinite life due to regulations set forth in the Tax Cuts and Jobs Act of 2017 (“TCJA”). The future utilization of the NOLs are limited to 80% of taxable income. The Company has not completed an IRC Section 382 analysis regarding the limitation of NOL carryforwards. As of December 31, 2023, the Company’s estimated State NOLs were $ 17.9million. The Company files its tax return