SpyGlass Pharma, Inc.

Previous wording

Our lead product candidate, the Bimatoprost Drug Pad-IOL System (BIM-IOL System), comprising novel, proprietary drug pads attached to our intraocular lens (IOL), is designed to be implanted during routine cataract surgery to reduce elevated intraocular pressure (IOP) in patients who have either open-angle glaucoma (OAG) or ocular hypertension (OHT). The BIM-IOL System is designed to consistently deliver three years of bimatoprost, a prostaglandin analog (PGA) approved for topical use by the U.S. Food & Drug Administration (FDA) in 2001 for the reduction of elevated IOP in patients with OAG or OHT. We are also developing a non-IOL-based, ring-shaped, sustained-release implant with bimatoprost, which we believe could be implanted in a standalone procedure, enable retreatment of patients who have received the BIM-IOL System, and offer extended care to patients with OAG or OHT who already received a prior cataract surgery (these patients who have had their IOLs replaced with artificial IOLs are referred to as pseudophakes or pseudophakic patients).

Current wording

Our lead product candidate, the Bimatoprost Drug Pad-IOL System (BIM-IOL System), comprising novel, proprietary drug pads attached to our intraocular lens (IOL), is designed to be implanted during routine cataract surgery to reduce elevated intraocular pressure (IOP) in patients who have either open-angle glaucoma (OAG) or ocular hypertension (OHT). The BIM-IOL System is designed to consistently deliver three years of bimatoprost, a prostaglandin analog (PGA) approved for topical use by the U.S. Food & Drug Administration (FDA) in 2001 for the reduction of elevated IOP in patients with OAG or OHT. We are also developing a non-IOL-based, ring-shaped, sustained-release implant with bimatoprost, which we believe could be implanted in a standalone procedure, enable retreatment of patients who have received the BIM-IOL System, and offer extended care to patients with OAG or OHT who already received a prior cataract surgery.

Previous wording

We have not generated any revenue from product sales and we have incurred recurring losses since our inception. Our net losses were $13.8 million and $8.8 million for the three months ended March 31, 2026 and 2025, respectively. As of March 31, 2026, we had an accumulated deficit of $118.5 million. We anticipate that our operating expenses and capital expenditures will increase substantially with our ongoing activities.

Current wording

We have not generated any revenue from product sales and we have incurred recurring losses since our inception. Our net losses were $19.9 million and $33.7 million for the three and six months ended June 30, 2026, respectively, and were $8.7 million and $17.5 million for the three and six months ended June 30, 2025, respectively. As of June 30, 2026, we had an accumulated deficit of $138.4 million. We anticipate that our operating expenses and capital expenditures will increase substantially with our ongoing activities.

Previous wording

As of March 31, 2026, we had cash and cash equivalents and short-term investments of $251.0 million. We believe that the net proceeds from our IPO, together with our existing cash and cash equivalents and short-term investments at March 31, 2026, will be sufficient to fund our operating expenses and capital expenditure requirements through 2028. See “Liquidity and Capital Resources.”

Current wording

As of June 30, 2026, we had cash and cash equivalents and short-term investments of $234.2 million. We believe that the net proceeds from our IPO, together with our existing cash and cash equivalents and short-term investments at June 30, 2026, will be sufficient to fund our operating expenses and capital expenditure requirements through 2028. See “Liquidity and Capital Resources.”

Previous wording

n We have built out, and are continuing to build out, our research and development team, and our research and development costs increased in 2026, relative to 2025, and we expect our research and development costs to continue to increase in 2026, relative to 2025, as a result of significant expenses related to the continued enrollment in our Phase 3 trials. See Part I, Item I (Business) of our Annual Report on Form 10-K for the year ended December 31, 2025 for more information about the Phase 1/2 and Phase 3 trials.

Current wording

1 Based on 2025 data taken from DefinitiveHealthcare.com continue to increase in 2026, relative to 2025, as a result of significant expenses related to the continued enrollment in our Phase 3 trials. See Part I, Item I (Business) of our Annual Report on Form 10-K for the year ended December 31, 2025 for more information about the Phase 1/2 and Phase 3 trials.

Previous wording

n We expect that general and administrative costs will increase in the future as we expand our operating activities.

Current wording

n We expect that general and administrative costs will increase in the future as we expand our commercial operating activities.

Previous wording

The following discussion highlights our results of operations and the principal factors that have affected our financial condition as well as our liquidity and capital resources for the periods described and provides information that management believes is relevant for an assessment and understanding of the balance sheets and statements of operations and comprehensive loss presented herein. The following discussion and analysis are based on our unaudited condensed financial statements contained in this Quarterly Report, which we have prepared in accordance with U.S. generally accepted accounting principles (GAAP). You should read the discussion and analysis together with such unaudited condensed financial statements and the related notes thereto.

Current wording

The following discussion highlights our results of operations and the principal factors that have affected our financial condition as well as our liquidity and capital resources for the periods described and provides information that management believes is relevant for an assessment and understanding of the condensed balance sheets and condensed statements of operations and comprehensive loss presented herein. The following discussion and analysis are based on our unaudited condensed financial statements contained in this Quarterly Report, which we have prepared in accordance with U.S. generally accepted accounting principles (GAAP). You should read the discussion and analysis together with such unaudited condensed financial statements and the related notes thereto.

Previous wording

General and administrative expenses consist primarily of salaries and related benefits, including stock-based compensation, related to our executive, finance, business development, sales and marketing, and other corporate functions. Other general and administrative expenses include professional fees for legal, auditing, tax and business consulting services, insurance costs, intellectual property and patent costs, facility costs and travel costs. We expect that general and administrative expenses will increase in the future as we expand our operating activities. Additionally, we expect to incur significant additional expenses associated with being a public company that we did not incur as a privately-held company, including (i) costs to comply with the rules and regulations of the SEC and those of Nasdaq, (ii) legal, accounting and other professional services, (iii) directors and officers insurance, (iv) investor relations activities, and (v) other administrative and professional services.

Current wording

General and administrative expenses consist primarily of salaries and related benefits, including stock-based compensation, related to our executive, finance, business development, sales and marketing, and other corporate functions. Other general and administrative expenses include professional fees for legal, auditing, tax and business consulting services, insurance costs, intellectual property and patent costs, facility costs and travel costs. We expect that general and administrative expenses will increase in the future as we expand our pre-commercial operating activities. Additionally, we expect to incur significant additional expenses associated with being a public company that we did not incur as a privately-held company, including (i) costs to comply with the rules and regulations of the SEC and those of Nasdaq, (ii) legal, accounting and other professional services, (iii) directors and officers insurance, (iv) investor relations activities, and (v) other administrative and professional services.

Previous wording

Series C-1 redeemable convertible preferred stock. The Redeemable Convertible Preferred Stock Tranche Liability was subject to remeasurement at each balance sheet date, with changes in fair value recognized in other income (expenses) in the statement of operations and comprehensive loss. Upon the closing of the Series C-2 redeemable convertible preferred stock tranche financing in March 2025, the Redeemable Convertible Preferred Stock Tranche Liability was settled.

Current wording

We determined the right of investors to purchase shares of Series C-2 redeemable convertible preferred stock at a future date met the definition of a freestanding instrument as the instrument is legally detachable and separately exercisable (the “Redeemable Convertible Preferred Stock Tranche Liability”) from the concurrently issued shares of Series C-1 redeemable convertible preferred stock. The Redeemable Convertible Preferred Stock Tranche Liability was subject to remeasurement at each balance sheet date, with changes in fair value recognized in other income (expenses) in the condensed statement of operations and comprehensive loss. Upon the closing of the Series C-2 redeemable convertible preferred stock tranche financing in March 2025, the Redeemable Convertible Preferred Stock Tranche Liability was settled.

Previous wording

Research and development expenses were $8.5 million for the three months ended March 31, 2026, an increase of $2.4 million, or 41%, from $6.1 million for the three months ended March 31, 2025. As it relates to the BIM-IOL system, there was an increase of $0.9 million in IOL and drug supply offset by a decrease of $0.9 million in contract research expenses related to the FIH feasibility, Phase 1/2, and Phase 3 clinical trials. An additional $2.4 million increase was due to headcount and related expenses. Expenditures related to our BIM-IOL program represented substantially all of our research and development expenses during the periods presented.

Current wording

Research and development expenses were $10.9 million for the three months ended June 30, 2026, an increase of $3.6 million, or 49%, from $7.3 million for the three months ended June 30, 2025. As it relates to the BIM-IOL System, there was an increase of $0.5 million in IOL and drug supply offset by a decrease of $0.6 million in contract research expenses related to the FIH feasibility and Phase 1/2 clinical trials. An additional $3.7 million increase was due to headcount and related expenses. Expenditures related to our BIM-IOL program represented substantially all of our research and development expenses during the periods presented.

Previous wording

General and administrative expenses were $6.9 million for the three months ended March 31, 2026, an increase of $5.5 million, or 401%, from $1.4 million for the three months ended March 31, 2025. The increase was primarily driven by a $1.8 million increase in headcount and related headcount expenses, inclusive of facility and travel expenses, and a $3.7 million increase in legal and other professional services.

Current wording

General and administrative expenses were $11.0 million for the three months ended June 30, 2026, an increase of $9.0 million, or 461%, from $2.0 million for the three months ended June 30, 2025. The increase was primarily driven by a $2.1 million increase in headcount and related headcount expenses, inclusive of facility and travel expenses, and a $6.9 million increase in legal and other professional services.

Previous wording

Other income, net was $1.6 million for the three months ended March 31, 2026, an increase of $3.0 million, or (214)%, from $1.4 million in other expenses, net for the three months ended March 31, 2025. The increase was primarily driven by a $1.5 million increase in interest from our cash and cash equivalents and short-term investments and a $1.5 million decrease in loss in the change in fair value of Redeemable Convertible Preferred Stock Tranche Liability.

Current wording

Other income, net was $3.7 million for the six months ended June 30, 2026, an increase of $4.5 million, or (575)%, from $0.8 million in other expenses, net for the six months ended June 30, 2025. The increase was primarily driven by a $3.0 million increase in interest from our cash and cash equivalents and short-term investments and a $1.5 million decrease in the loss from the change in fair value of Redeemable Convertible Preferred Stock Tranche Liability.

Previous wording

We have incurred net losses in each year since inception and, as of March 31, 2026, we had an accumulated deficit of $118.5 million. Our net losses were $13.8 million and $8.8 million for the three months ended March 31, 2026 and 2025, respectively. These losses have resulted principally from costs incurred in connection with research and development of our product candidates by conducting preclinical studies and clinical trials, building the SpyGlass Platform, and recruiting management and technical staff to support these operations.

Current wording

We have incurred net losses in each year since inception and, as of June 30, 2026, we had an accumulated deficit of $138.4 million. Our net losses were $19.9 million and $33.7 million for the three and six months ended June 30, 2026, respectively, and were $8.7 million and $17.5 million for the three and six months ended June 30, 2025, respectively. These losses have resulted principally from costs incurred in connection with research and development of our product candidates by conducting preclinical studies and clinical trials, building the SpyGlass Platform, and recruiting management and technical staff to support these operations.

Previous wording

For the three months ended March 31, 2026, cash used in operating activities was $13.5 million and resulted from our net loss of $13.8 million, offset by adjustments to reconcile net loss to cash and changes in assets and liabilities of $0.3 million.

Current wording

For the six months ended June 30, 2026, cash used in operating activities was $28.4 million and resulted from our net loss of $33.7 million, offset by adjustments to reconcile net loss to cash and changes in assets and liabilities of $5.3 million.

Previous wording

For the three months ended March 31, 2025, cash used in operating activities was $8.2 million and resulted from our net loss of $8.8 million, offset by adjustments to reconcile net loss to cash and changes in assets and liabilities of $0.6 million.

Current wording

For the six months ended June 30, 2025, cash used in operating activities was $14.5 million and resulted from our net loss of $17.5 million, offset by adjustments to reconcile net loss to cash and changes in assets and liabilities of $3.0 million.

Previous wording

Cash used in investing activities for the three months ended March 31, 2026 was $1.7 million and primarily related to the purchase of $4.0 million of short-term investments and $0.7 million of property and equipment, offset by the redemption of $3.0 million of short-term investments.

Current wording

Cash used in investing activities for the six months ended June 30, 2026 was $2.6 million and primarily related to the purchase of $11.0 million of short-term investments and $2.6 million of property and equipment, offset by the redemption of $11.0 million of short-term investments.

Previous wording

Cash used in investing activities for the three months ended March 31, 2025 was $0.2 million and primarily related to the purchase of $0.2 million of property and equipment.

Current wording

Cash used in investing activities for the six months ended June 30, 2025 was $0.2 million and primarily related to the purchase of $0.2 million of property and equipment.

Previous wording

Cash provided by financing activities for the three months ended March 31, 2026 was $157.8 million and primarily related to $157.7 million in net cash proceeds from our IPO and proceeds of $0.1 million from the exercise of stock options.

Current wording

Cash provided by financing activities for the six months ended June 30, 2026 was $157.8 million and primarily related to $157.7 million in net cash proceeds from our IPO and proceeds of $0.1 million from the exercise of stock options.

Previous wording

Cash provided by financing activities for the three months ended March 31, 2025 was $50.1 million and primarily related to $50.0 million in net cash proceeds from the sale of our Series C-2 redeemable convertible preferred stock and $0.1 million from the exercise of stock options.

Current wording

Cash provided by financing activities for the six months ended June 30, 2025 was $125.7 million and primarily related to $50.0 million in net cash proceeds from the sale of our Series C-2 redeemable convertible preferred stock, $77.1 million in net cash proceeds from the sale of our Series D redeemable convertible preferred stock, and proceeds of $0.1 million from the exercise of stock options, offset by the repurchase of common stock of $1.5 million.

Previous wording

We have entered into two leases for 22,592 square feet of office and lab space in Aliso Viejo, California pursuant to a lease that expires not later than July 31, 2026. We have entered into a lease for a new headquarters in Irvine, California consisting of approximately 32,621 rentable square feet of office and laboratory space for a term of approximately 84 months commencing on July 1, 2026. See “Note 7 - Commitments and Contingencies” to our financial statements included in our Annual Report on Form 10-K for the year ended December 31, 2025 for details related to future lease payments.

Current wording

We entered into two leases for 22,592 square feet of office and lab space in Aliso Viejo, California pursuant to a lease that expired on July 31, 2026. We have entered into a lease for a new headquarters in Irvine, California consisting of approximately 32,621 rentable square feet of office and laboratory space for a term of approximately 84 months contractually commencing on July 1, 2026. See “Note 7 - Commitments and Contingencies” to our financial statements included in our Annual Report on Form 10-K for the year ended December 31, 2025 for details related to future lease payments.