LEAP THERAPEUTICS, INC. Files 2023 Annual Report on Form 10-K

TL;DR

<b>Leap Therapeutics filed its 2023 10-K, reporting a net loss of $20.4 million and total assets of $25.6 million, with total debt at $54.6 million.</b>

AI Summary

LEAP THERAPEUTICS, INC. (CYPH) filed a Annual Report (10-K) with the SEC on March 18, 2024. Leap Therapeutics reported total assets of $25,565,414 as of December 31, 2023. The company's net loss for the fiscal year ended December 31, 2023, was $20,445,109. Total debt for Leap Therapeutics was $54,596,000 as of December 31, 2023. Revenue for the fiscal year 2023 was $9,902,137, a decrease of 10% compared to the prior year. Leap Therapeutics had $11,323,909 in cash and cash equivalents as of December 31, 2023.

Why It Matters

For investors and stakeholders tracking LEAP THERAPEUTICS, INC., this filing contains several important signals. The filing details the company's financial position and operational results for the fiscal year 2023, providing investors with a comprehensive overview of its performance and outlook. Key financial metrics such as revenue, net loss, assets, and debt are disclosed, allowing stakeholders to assess the company's financial health and strategic direction.

Risk Assessment

Risk Level: high — LEAP THERAPEUTICS, INC. shows elevated risk based on this filing. The company reported a significant net loss of $20.4 million for the fiscal year 2023, indicating ongoing financial challenges and a need for future funding or improved revenue generation.

Analyst Insight

Investors should monitor Leap Therapeutics' cash burn rate and future financing activities, given the substantial net loss reported in the 10-K.

Financial Highlights

revenue

9902137

total Assets

25565414

total Debt

54596000

net Income

-20445109

cash Position

11323909

revenue Growth

-10

Revenue Breakdown

Key Numbers

• 2023-12-31 — Fiscal Year End (Reporting period)
• 20445109 — Net Loss (Fiscal year 2023)
• 11323909 — Cash and Cash Equivalents (As of December 31, 2023)
• 25565414 — Total Assets (As of December 31, 2023)
• 54596000 — Total Debt (As of December 31, 2023)
• 9902137 — Revenue (Fiscal year 2023)
• 0.1 — Revenue Growth (Year-over-year percentage change)

Key Players & Entities

• LEAP THERAPEUTICS, INC. (company) — Filer name
• CYPH (company) — Ticker symbol
• Dekkun Corp (company) — Former company name
• Flame Biosciences Inc (company) — Subsidiary/related entity

FAQ

Risk Factors

• Net Loss and Cash Requirements [high — financial]: The company has a history of net losses and anticipates continued losses, requiring significant capital to fund operations and development, posing a risk to its ability to continue as a going concern.
• Drug Development and Regulatory Approval Risks [high — regulatory]: The success of Leap Therapeutics is heavily dependent on the successful development and regulatory approval of its drug candidates, which is a lengthy, expensive, and uncertain process.
• Competition and Market Acceptance [medium — market]: The biopharmaceutical market is highly competitive, and the company faces risks related to competition from other companies and the market acceptance of its products.

Key Financial Figures

• $0.001 — ch registered Common Stock, par value $0.001 LPTX Nasdaq Capital Market Securi

Filing Documents

• lptx-20231231x10k.htm (10-K) — 1851KB
• lptx-20231231xex10d33.htm (EX-10.33) — 5KB
• lptx-20231231xex21d1.htm (EX-21.1) — 10KB
• lptx-20231231xex23d1.htm (EX-23.1) — 5KB
• lptx-20231231xex31d1.htm (EX-31.1) — 15KB
• lptx-20231231xex32d1.htm (EX-32.1) — 10KB
• lptx-20231231xex97d1.htm (EX-97.1) — 46KB
• 0001410578-24-000218.txt (&nbsp;) — 7879KB
• lptx-20231231.xsd (EX-101.SCH) — 58KB
• lptx-20231231_cal.xml (EX-101.CAL) — 54KB
• lptx-20231231_def.xml (EX-101.DEF) — 205KB
• lptx-20231231_lab.xml (EX-101.LAB) — 532KB
• lptx-20231231_pre.xml (EX-101.PRE) — 381KB
• lptx-20231231x10k_htm.xml (XML) — 1229KB

Business

Business 4 Item 1A.

Risk Factors

Risk Factors 24 Item 1B. Unresolved Staff Comments 38 Item 1C. Cybersecurity 38 Item 2.

Properties

Properties 39 Item 3.

Legal Proceedings

Legal Proceedings 39 Item 4. Mine Safety Disclosures 39 Part II Item 5. Market for Registrant's Common Equity, Related Stockholder Matters and Issuer Purchases of Equity Securities 40 Item 6. Reserved 40 Item 7.

Management's Discussion and Analysis of Financial Condition and Results of Operations

Management's Discussion and Analysis of Financial Condition and Results of Operations 41 Item 7A.

Quantitative and Qualitative Disclosures About Market Risks

Quantitative and Qualitative Disclosures About Market Risks 50 Item 8.

Financial Statements and Supplementary Data

Financial Statements and Supplementary Data 50 Item 9. Changes In and Disagreements With Accountants on Accounting and Financial Disclosure 50 Item 9A.

Controls and Procedures

Controls and Procedures 50 Item 9B. Other Information 51 Item 9C Disclosures Regarding Foreign Jurisdictions that Prevent Inspections 51 Part III Item 10. Directors, Executive Officers and Corporate Governance 51 Item 11.

Executive Compensation

Executive Compensation 51 Item 12.

Security Ownership of Certain Beneficial Owners and Management and Related Stockholder Matters

Security Ownership of Certain Beneficial Owners and Management and Related Stockholder Matters 51 Item 13. Certain Relationships and Related Transactions and Director Independence 51 Item 14. Principal Accounting Fees and Services 51 Part IV Item 15. Exhibits, Financial Statement Schedules 52

Signatures

Signatures 57 1 Table of Contents SPECIAL NOTE REGARDING FORWARD-LOOKING STATEMENTS AND INDUSTRY DATA This Annual Report on Form 10-K (the "Annual Report") contains forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended, which reflect our current views with respect to, among other things, our operations and financial performance. Such statements are based upon our current plans, estimates and expectations that are subject to various risks and uncertainties that could cause actual results to differ materially from such statements. The inclusion of forward-looking statements should not be regarded as a representation that such plans, estimates and expectations will be achieved. Words such as "anticipate," "expect," "project," "intend," "believe," "may," "will," "should," "plan," "could," "continue," "target," "contemplate," "estimate," "forecast," "guidance," "predict," "possible," "potential," "pursue," "likely," and words and terms of similar substance used in connection with any discussion of future plans, actions or events identify forward-looking statements. All statements, other than historical facts, including statements regarding estimations of projected cash runway; our future product development plans; the potential, safety, efficacy, and regulatory and clinical progress of our product candidates, including the anticipated timing for initiation of clinical trials and release of clinical trial data and the expectations surrounding potential regulatory submissions, approvals and timing thereof; and any assumptions underlying any of the foregoing, are forward-looking statements. Important factors that could cause actual results to differ materially from our plans, estimates or expectations could include, but are not limited to: (i) our ability and plan to develop and commercialize DKN-01, FL-301 and our preclinical programs; (ii) status, t

BUSINESS

Item 1. BUSINESS Corporate Information We were incorporated in the state of Delaware on January 3, 2011. During 2015, HealthCare Pharmaceuticals Pty Ltd. ("HCP Australia") was formed and is our wholly owned subsidiary. On December 10, 2015, we entered into a merger agreement with GITR Inc. ("GITR"), an entity under common control, whereby a wholly owned subsidiary was merged with GITR and the surviving name of the wholly owned subsidiary was GITR Inc. On August 29, 2016, we entered into a merger agreement with Macrocure Ltd. ("Macrocure"), a publicly held, clinical-stage biotechnology company based in Petach Tikva, Israel. In connection with the merger, we applied to be listed on the Nasdaq Global Market. Nasdaq approved the listing, and trading in our common stock commenced on January 24, 2017, under the trading symbol "LPTX." On February 1, 2017, Macrocure's name was changed to Leap Therapeutics Ltd. In 2020, Leap Therapeutics Ltd. was dissolved. On December 15, 2021, Leap Securities Corp. was formed and is our wholly owned subsidiary. On January 17, 2023, we entered into a merger agreement with Flame Biosciences, Inc., a privately held, biotechnology corporation ("Flame"), whereby Flame became a wholly owned subsidiary under the name Flame Biosciences, LLC. Overview We are a biopharmaceutical company developing novel biomarker-targeted antibody therapies designed to treat patients with cancer by inhibiting fundamental tumor-promoting pathways, targeting cancer-specific cell surface molecules, and harnessing the immune system to attack cancer cells. Our strategy is to identify, acquire, and develop molecules that will rapidly translate into high impact therapeutics that generate durable clinical benefit and enhanced patient outcomes. Our lead clinical stage program is DKN-01, a monoclonal antibody that inhibits Dickkopf-related protein 1 ("DKK1"). We are currently studying DKN-01 in multiple ongoing clinical trials in patients with esophagogastric cance

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View this 10-K filing on SEC EDGAR