Executive Summary

Longboard reported full-year 2023 operating results alongside a major clinical update: bexicaserin (LP352) PACIFIC study median seizure reduction updated to 59.8% vs 17.4% placebo (overall DEE), with strong subgroup results (Dravet 74.6%, LGS 50.8%, DEE Other 65.5%); safety unchanged and Phase 3 initiation targeted by year-end 2024 .
The company strengthened liquidity with a $241.5M gross equity raise in January 2024, ending January 31, 2024 with ~$272.4M in cash, cash equivalents, and short-term investments; FY23 year-end balance sheet showed ~$48.5M before the raise .
FY23 R&D rose 26.3% to $43.8M and G&A rose 28.0% to $13.0M, driving a full-year net loss of $54.4M; no product revenue was reported, consistent with clinical-stage status .
Near-term catalysts: PACIFIC data presentations in Q2 2024, PACIFIC OLE data in H2 2024, End of Phase 2 meeting preparation, and LP659 Phase 1 SAD topline in Q2 2024; collectively these events are likely to influence the stock narrative around clinical validation and regulatory path .

What Went Well and What Went Wrong

What Went Well

Positive efficacy across DEE subgroups in PACIFIC with an updated median seizure reduction of 59.8% overall; notably Dravet 74.6%, LGS 50.8%, and DEE Other 65.5%, all on top of polytherapy backgrounds with common ASMs including cannabidiol (32.7% of participants) .
Management reiterated confidence and readiness for Phase 3, citing “well positioned to deliver on key milestones later this year,” including additional topline presentations, OLE data, and initiating the global Phase 3 program by YE 2024 .
Strengthened balance sheet via public offering ($241.5M gross) to support development programs and regulatory milestones, enhancing runway and strategic flexibility .

What Went Wrong

PACIFIC primary endpoint data required correction due to CRO statistical programming errors; while efficacy improved after revision, the need for correction may raise process scrutiny among analysts .
Operating expenses continued to rise (R&D +26.3% YoY; G&A +28.0% YoY), contributing to a higher full-year net loss ($54.4M), reflecting development-stage cash burn with no revenue offset .
No discrete Q4 metrics (revenue, EPS) were provided in the 8-K press release; only annual figures were disclosed, limiting quarter-specific financial comparisons vs estimates and peers .

Financial Results

Note: Longboard reported full-year figures in the Q4 2023 press release; quarterly data for Q2 and Q3 2023 are from their respective 8-Ks. The company did not report discrete Q4 revenue or EPS. Longboard did not report product revenue in these periods .

Metric	Q2 2023	Q3 2023	Q4 2023
Total Operating Expenses ($USD Millions)	$15.642	$13.582	$15.573 (Derived from FY 2023 $56.759 minus 9M 2023 $41.186 )
Net Loss ($USD Millions)	$14.999	$12.934	$15.033 (Derived from FY 2023 $54.422 minus 9M 2023 $39.389 )
EPS ($USD)	$ (0.65)	$ (0.55)	N/A (company did not disclose discrete Q4 EPS)
Cash & Cash Equivalents (Period-End, $USD Millions)	$19.504	$23.910	$14.331 (12/31/23)
Short-term Investments (Period-End, $USD Millions)	$43.543	$32.106	$34.167 (12/31/23)
Total Assets (Period-End, $USD Millions)	$66.223	$58.864	$50.697 (12/31/23)
Total Current Liabilities (Period-End, $USD Millions)	$7.901	$6.712	$9.774 (12/31/23)
Stockholders’ Equity (Period-End, $USD Millions)	$58.108	$52.044	$40.923 (12/31/23)

Full-Year vs Prior Year (FY 2023 vs FY 2022):

Metric	FY 2022	FY 2023
Research & Development ($USD Millions)	$34.638	$43.752
General & Administrative ($USD Millions)	$10.160	$13.007
Total Operating Expenses ($USD Millions)	$44.798	$56.759
Net Loss ($USD Millions)	$43.945	$54.422
Net Loss per Share (Basic & Diluted) ($USD)	$ (2.56)	$ (2.39)

KPIs (Clinical Efficacy – PACIFIC Study):

KPI	Value
Median Seizure Reduction (Countable Motor Seizures) – Overall DEE	59.8% (vs 17.4% placebo; 42.4% placebo-adjusted delta)
Median Seizure Reduction – Dravet Syndrome	74.6%
Median Seizure Reduction – Lennox-Gastaut Syndrome	50.8% (33.4% placebo-adjusted delta)
Median Seizure Reduction – DEE Other	65.5% (33.3% placebo-adjusted delta)
Participants on Cannabidiol	32.7%

Estimates vs Actuals: Wall Street consensus (S&P Global) for Q4 2023 EPS and revenue was unavailable due to missing CIQ mapping; the company did not report product revenue and did not disclose discrete Q4 EPS .
Values retrieved from S&P Global were unavailable due to mapping; therefore, estimate comparisons could not be performed.*

Guidance Changes

Metric	Period	Previous Guidance	Current Guidance	Change
PACIFIC Data Presentations	Q2 2024	Not previously date-specific	“PACIFIC data to be presented at medical meetings in Q2 2024”	Raised specificity
PACIFIC OLE Topline	H2 2024	Not previously disclosed	“PACIFIC open-label extension (OLE) data expected in H2 2024”	New
End of Phase 2 Meeting Prep	2024	In planning	“Preparing for End of Phase 2 Meeting with regulators”	Maintained/Progressed
Phase 3 Program (LP352)	Initiation by YE 2024	Potential Phase 3 informed by PACIFIC	“Expect to initiate the Phase 3 program by YE 2024”	Clarified timeline
LP659 Phase 1 SAD Topline	Q2 2024	“Topline data expected in 1H 2024”	“Topline data expected Q2 2024”	Narrowed timing
Cash Runway	2024	“Runway expected to support operations into Q4 2024” (as of 9/30/23)	Liquidity enhanced: ~$272.4M cash/investments as of 1/31/24 post-offering	Superseded by financing; runway likely extended (not explicitly guided)

Earnings Call Themes & Trends

Note: No Q4 2023 earnings call transcript was found in the document catalog.

Topic	Previous Mentions (Q-2: Q2 2023)	Previous Mentions (Q-1: Q3 2023)	Current Period (Q4 2023)	Trend
PACIFIC Enrollment/Topline	Enrollment completion expected; topline around YE 2023	Enrollment completed; topline in Jan 2024	Topline updated with improved efficacy; presentations planned Q2 2024	Positive momentum
Regulatory Path (LP352)	Phase 3 program to be informed by PACIFIC	Potential Phase 3 noted	Preparing for End of Phase 2; Phase 3 initiation by YE 2024	Advancing
Safety/Tolerability	Emphasis on safety/tolerability in PACIFIC design	Safety focus reiterated	Favorable safety; common AEs listed; no echocardiograms required	Stable positive
Financing/Liquidity	Cash $63.0M at 6/30/23	Cash ~$56.0M at 9/30/23; runway into Q4 2024	$241.5M gross raise in Jan 2024; ~$272.4M as of 1/31/24	Stronger
Market Opportunity in DEEs	$6B combined market; unmet need	Commercial framing via analyst event	Reinforced DEE opportunity; KOL support, positioning LP352 as best-in-class	Consistent
Data Quality/Corrections	N/A	N/A	CRO statistical programming errors corrected; efficacy improved; safety unchanged	Addressed transparently
Second Asset (LP659)	Early development; multiple neuro indications	SAD study initiation Q4 2023; topline 1H 2024	Phase 1 SAD topline expected Q2 2024; mechanism/selectivity detailed	On track

Management Commentary

“We are impressed with the data in this study showing evidence of a potentially clinically meaningful benefit for both overall median seizure reduction and seizure reduction across all subgroups for Dravet, LGS and DEE Other… With the completion of our recent financing, we believe we are well positioned to deliver on key milestones later this year…” — Kevin R. Lind, President & CEO .
“We also look forward to Phase 1 topline SAD data next quarter from our second clinical-stage asset, LP659, an oral, centrally acting, highly selective S1P receptor modulator.” — Kevin R. Lind .
Prior quarter tone: “We look forward to PACIFIC Study topline data in January 2024… DEE caregivers and healthcare providers continue to be frustrated with the lack of new treatment options and remain focused on finding treatment options that balance safety, efficacy and burden.” — Kevin R. Lind .

Q&A Highlights

No Q4 2023 earnings call transcript was found in the document catalog; no Q&A excerpts available.

Estimates Context

S&P Global consensus estimates (EPS and revenue) for Q4 2023 were unavailable due to missing CIQ mapping for LBPH; the company provided full-year figures only and did not report product revenue. Estimate comparisons cannot be performed at this time .
Values retrieved from S&P Global were unavailable due to mapping; therefore, estimate comparisons could not be performed.*

Key Takeaways for Investors

Clinical validation strengthened: revised PACIFIC data enhanced efficacy metrics across DEE subgroups with stable safety profile, supporting advancement to Phase 3 by YE 2024 .
Financing de-risks near-term execution: ~$272.4M cash/investments post-offering (as of 1/31/24) supports multiple catalysts (PACIFIC presentations, OLE data, End of Phase 2, LP659 SAD topline) .
Near-term stock catalysts: Q2 2024 PACIFIC presentations and LP659 SAD topline; H2 2024 OLE data; these events can drive narrative shifts around clinical differentiation and regulatory momentum .
Expense growth reflects pipeline build: FY23 R&D ($43.8M) and G&A ($13.0M) increased YoY; watch OpEx trajectory as Phase 3 starts, balanced against strong liquidity .
Process scrutiny: CRO programming corrections, while improving efficacy outcomes, may invite questions on data processes; transparency and consistent subsequent disclosures mitigate risk .
Strategic positioning: LP352’s selectivity and polytherapy compatibility (including with cannabidiol) plus broad DEE indication approach target a sizable unmet market; Phase 3 design choices could shape differentiation .
Estimates visibility: With S&P Global consensus unavailable and no product revenue, trading may hinge on clinical and regulatory milestones rather than near-term financial beats/misses .

Document Availability Notes

Q4 2023 earnings press release (8-K 2.02 with Exhibit 99.1) was read in full .
Corporate presentation (Exhibit 99.2) was read in relevant sections .
Prior two quarters’ 8-K press releases and financial tables were read in full for trend analysis (Q3 2023: 11/2/23; Q2 2023: 8/3/23) .
No Q4 2023 earnings call transcript was found in the document catalog; no additional Q4 press releases beyond Exhibit 99.1 were identified.

Longboard Pharmaceuticals, Inc. (LBPH)·Q4 2023 Earnings Summary