Company: LBRX
Filing Date: 2025-09-08
Form Type: S-1/A
Source: 0001193125-25-197877
Chunk: 362

Company: LB PHARMACEUTICALS INC
Filing Date: 2025-09-08
Form: S-1/A
Chunk 362
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7

LB Pharmaceuticals Inc

Notes to Financial Statements

1. Business Overview

LB Pharmaceuticals Inc (the “Company” or “LB”) was incorporated under the laws of the State of Delaware in September 2015 and is
headquartered in New York, New York.

The Company is a clinical-stage biopharmaceutical company developing therapies for the treatment of schizophrenia,
bipolar depression, and other neuropsychiatric diseases. The Company is building a pipeline that leverages the broad therapeutic potential of its lead product candidate, LB-102, which the Company believes has
the potential to be the first benzamide antipsychotic drug approved for neuropsychiatric disorders in the United States. LB-102 is a Phase 3-ready oral, small
molecule for the treatment of acute schizophrenia (defined as a sudden and severe episode of psychotic symptoms, characterized by hallucinations, delusions, and other positive symptoms).

Since the Company’s inception, it has focused substantially all of its efforts and financial resources on organizing and staffing the Company, raising
capital, building its intellectual property portfolio, undertaking preclinical studies and clinical trials and providing general and administrative support for these activities. The Company has not generated any product revenue related to its
primary business purpose to date and is subject to a number of risks similar to those of other early stage companies, including dependence on key individuals, regulatory approval of product candidates, uncertainty of market acceptance of products,
if approved, competition from substitute products and larger companies, compliance with government regulations, protection of proprietary technology, dependence on third parties, product liability and the need to obtain adequate additional financing
to fund the development of its product candidates.

Going Concern

The Company’s financial 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