Company: BFRG
Filing Date: 2025-08-13
Form Type: 10-Q
Source: 0001641172-25-023560
Chunk: 76

Company: BullFrog AI Holdings, Inc.
Filing Date: 2025-08-13
Form: 10-Q
Item: Item 2
Chunk 76
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ally,
the Company has added incremental staff to accelerate execution and development of processes and custom scripts for use in performing
new drug target discovery and analytical services for customers, while also launching initiatives targeting large public health data
sources and seeking access to proprietary health data sources, such as our agreement with the LIBD. We are also transitioning our accounting
and financial reporting systems and processes to enhance our internal control environment as a public company. Capital from the IPO was
also used to retire two notes that were sold to fund the Company through the IPO as well as other debts accrued over time to our staff,
employees and consultants, and obligations related to the acquisition of our licensed drug programs.

17

The
Company has incurred negative cash flows from operations and operated at a net loss since inception. In the first quarter of 2023,
we completed our IPO. In February 2024, we received net proceeds of approximately $5.7 million from an underwritten public offering
of common stock and warrants. In October 2024, we received net proceeds of approximately $2.7 million from a registered direct
offering of common stock and pre-funded warrants, and concurrent private placement of common stock warrants. In June 2025, we
received net proceeds of approximately $0.2 million from the sale of shares of our common stock pursuant to our ATM Agreement. As of
June 30, 2025, the Company has a cash balance of approximately $2.6 million, which includes $0.1 million of restricted cash. As of
June 30, 2025, the Company’s cash and cash equivalents position is not sufficient to fund the Company’s planned
operations for at least a year beyond the filing date of the unaudited condensed consolidated financial statements. This factor as well as other factors
raise substantial doubt about the Company’s ability to continue as a going concern. The ability to continue as a going concern
is dependent upon the Company obtaining the necessary financing or revenues to meet its obligations arising from normal business
operations when they become due.

Accordingly,
we will require additional capital to continue to execute our strategy. We anticipate raising this additional capital through various
avenues including sales of equity securities, debt transactions, licensing agreements and collaborative arrangements. Although management
believes that such funding sources will be available, including pursuant to the Company’s at-the-market common stock sales facility under our ATM Agreement, there can be no assurance that any such
arrangements will provide sufficient capital when needed to allow us to