Executive Summary

Q1 2024 was a catalyst-rich quarter: PACIFIC Study topline data for bexicaserin (LP352) showed clinically meaningful seizure reductions across DEE subgroups, management is preparing for an End of Phase 2 FDA meeting, and a global Phase 3 program is targeted to initiate by year-end 2024 .
Operating expenses increased year over year as R&D scaled with LP352 and LP659, while net loss per share improved due to a larger share base; net loss was $14.99M and EPS was $(0.42) for Q1 2024 .
Liquidity strengthened materially after a January follow-on ($241.5M gross; $226.5M net) and March private placement ($59.9M gross); cash, equivalents and short-term investments were $321.0M at quarter-end, extending runway into 2027 .
Near-term stock reaction catalysts: LP659 Phase 1 SAD topline in Q2 2024, PACIFIC OLE data in H2 2024, and formal regulatory alignment for Phase 3 initiation before YE 2024 .

What Went Well and What Went Wrong

What Went Well

PACIFIC Study delivered robust efficacy: median seizure reduction of 59.8% overall (42.4% placebo-adjusted), with 74.6% in Dravet, 50.8% in LGS (33.4% placebo-adjusted), and 65.5% in DEE Other (33.3% placebo-adjusted) in updated analyses; safety was favorable, and 100% of completers entered the OLE .
Management confidence and strategic clarity: “We are pleased to have this compelling data set for our End of Phase 2 meeting with FDA and we look forward to initiating our global Phase 3 program before the end of the year.” – Kevin R. Lind, CEO .
Balance sheet inflection: $321.0M cash/equivalents/short-term investments and runway into 2027 following $226.5M net proceeds in January and $59.9M private placement in March .

What Went Wrong

Expense growth: R&D rose 54% y/y to $13.2M (bexicaserin +$2.8M; LP659 +$0.7M; personnel +$1.1M); G&A rose 44% y/y to $4.9M (personnel +$1.1M; consulting/pro fees +$0.5M) .
Net loss widened y/y to $14.99M despite higher interest income; total operating expenses increased to $18.11M .
Titration-phase discontinuations: 9 discontinuations due to AEs occurred mostly during titration, highlighting tolerability management needs; management discussed “start low and go slow” titration learnings for Phase 3 .

Financial Results

Income Statement (YoY)

Metric ($USD Millions unless noted)	Q1 2023	Q1 2024
Research and Development Expense	$8.530	$13.170
General and Administrative Expense	$3.432	$4.940
Total Operating Expenses	$11.962	$18.110
Interest Income, net	$0.516	$3.133
Net Loss	$(11.456)	$(14.986)
Net Loss per Share (Basic & Diluted)	$(0.56)	$(0.42)
Weighted-Average Shares (Basic & Diluted)	20,409,794	35,321,794

Notes: R&D expenses increased 54% y/y; G&A increased 44% y/y .

Trend vs Prior Quarter (Q3 2023 → Q1 2024)

Metric ($USD Millions unless noted)	Q3 2023	Q1 2024
Research and Development Expense	$10.488	$13.170
General and Administrative Expense	$3.094	$4.940
Total Operating Expenses	$13.582	$18.110
Net Loss	$(12.934)	$(14.986)
Net Loss per Share (Basic & Diluted)	$(0.55)	$(0.42)

Liquidity and Financing

Metric	Sep 30, 2023	Dec 31, 2023	Mar 31, 2024
Cash, Cash Equivalents & Short-term Investments ($USD Millions)	$56.0	$48.5	$321.0

Additional financing detail:

Follow-on public offering (Jan 2024): 11,500,000 shares at $21.00; $241.5M gross; $226.5M net after $14.5M underwriting and $0.5M expenses .
Private placement (Mar 2024): 2,850,000 non-voting shares at $21.00; $59.9M gross; no fees .

Segment breakdown: Not applicable (pre-commercial).
KPIs (clinical): PACIFIC participants n=52; 34 sites; 86% achieved 12 mg maintenance dose; 100% of completers entered OLE .

Guidance Changes

Metric	Period	Previous Guidance	Current Guidance	Change
Cash runway	Multi-year	“Cash ~$272.4M as of Jan 31, 2024” and capital raised; runway implied to support operations (Mar 12)	“Runway expected to support current planned operations into 2027” (May 2)	Raised (extended)
Bexicaserin (LP352) Phase 3 initiation	2024	“Expect to initiate by YE 2024” (Mar 12)	“Phase 3 initiation expected before YE 2024” (May 2)	Maintained
Bexicaserin PACIFIC OLE topline	H2 2024	“OLE data expected H2 2024” (Mar 12)	“PACIFIC OLE data expected in H2 2024” (May 2)	Maintained
LP659 Phase 1 SAD topline	Q2 2024	“Topline SAD data expected Q2 2024” (Mar 12)	“Phase 1 SAD topline data expected in Q2 2024” (May 2)	Maintained

No revenue/margin/OpEx numeric guidance was provided .

Earnings Call Themes & Trends

Note: No dedicated Q1 2024 earnings call transcript was found; management commentary reflects the Q1 press release (May 2) and the Jan 2 PACIFIC topline special call transcript .

Topic	Previous Mentions (Q3 2023 and Q4 2023)	Current Period (Q1 2024)	Trend
R&D execution and data readouts	Q3: PACIFIC enrollment completed; LP659 Phase 1 initiation planned . Q4 (Mar 12): PACIFIC efficacy updated; additional data and OLE in 2024; LP659 Phase 1 ongoing .	PACIFIC late-breaking AAN presentation; updated efficacy highlights; OLE in H2; LP659 SAD topline expected Q2 .	Strengthening data cadence
Regulatory pathway	Preparing for End of Phase 2 and global Ph3 (Mar 12)	Preparing for End of Phase 2 with FDA; Phase 3 initiation expected before YE .	Advancing
Dosing/titration strategy	N/A	“Start low and go slow” learning; majority discontinuations in titration; high proportion reach 12 mg maintenance .	Operational refinement
Commercial positioning vs benchmarks	R&D Day and market research framed preference vs FINTEPLA/Epidiolex contingent on efficacy .	PACIFIC magnitude supports potential preference; management cites high prescriber preference at ≥50% seizure reduction .	Building commercial narrative
Financing and runway	Cash ~$56M (Q3), runway into 4Q24 . Added financing in early 2024 .	Cash $321M; runway into 2027 .	Materially improved

Management Commentary

“I am extremely encouraged by the totality of the bexicaserin data… we look forward to initiating our global Phase 3 program before the end of the year.” – Kevin R. Lind, CEO .
“Bexicaserin achieved median percent reduction… 59.8% in broad DEE, 74.6% in Dravet, 50.8% in LGS, 65.5% in DEE Other; favorable safety and tolerability results.” – Company update (Mar 12) .
“An important concept… start low and go slow… once they got into maintenance, they were able to stay on the medication.” – Dr. Randall Kaye, CMO, on titration learnings .

Q&A Highlights

Endpoints and design: Management emphasized countable motor seizures as a consistent endpoint across DEEs versus drop seizures; Phase 3 program will aim for speed-to-market and broad usage, with End of Phase 2 discussions planned .
Dosing and titration: Intent to move to BID dosing in Phase 3 while refining titration to manage GI/CNS tolerability; majority discontinuations occurred during titration, not maintenance .
Baseline and subgroup considerations: Baseline seizures differed between arms (median 38.8 vs 20.8); exposure–response analyses and deeper subgroup cuts are planned as full datasets mature .
OLE durability: Focus will be on long‑term safety and durability of effect; timelines to share are TBD .

Estimates Context

Wall Street consensus estimates from S&P Global were unavailable for LBPH due to missing mapping in the SPGI CIQ company map; as a result, we cannot provide EPS or revenue consensus comparisons for Q1 2024. If/when S&P mapping is available, we will anchor comparisons to S&P Global consensus going forward.

Key Takeaways for Investors

Bexicaserin’s PACIFIC efficacy profile and favorable tolerability underpin a credible path to a broad DEE label; Phase 3 program design is the next key swing factor before YE 2024 .
Runway into 2027 significantly de-risks near-term financing and enables multi-pronged Phase 3 execution; balance sheet strength is a differentiator among clinical-stage peers .
Near-term catalysts: LP659 SAD topline (Q2 2024) and PACIFIC OLE data (H2 2024) can sustain momentum and inform durability/safety narratives .
Operational learning (titration/tolerability) should reduce discontinuations in registrational trials, improving execution risk for Phase 3 .
Commercial positioning: Physician preference research and PACIFIC magnitude suggest strong adoption potential versus existing DEE therapies if Phase 3 confirms efficacy/safety and simplifies burden (e.g., BID dosing) .
Regulatory clarity: End of Phase 2 alignment will be critical for endpoint selection and broad DEE strategy; watch for any FDA feedback that narrows or accelerates indications .
Trading implications: Data-rich 2024 with multiple readouts and formal Phase 3 initiation timing; sentiment likely tracks regulatory progress and OLE durability signals.

Appendix: Source Documents Used

Q1 2024 earnings press release (8-K 2.02; May 2, 2024) .
PACIFIC topline press release and slides (Jan 2, 2024) .
FY2023 results press release and corporate presentation (Mar 12, 2024) .
Q3 2023 results press release (Nov 2, 2023) .
Special call transcript (Jan 2, 2024) –.

Longboard Pharmaceuticals, Inc. (LBPH)·Q1 2024 Earnings Summary