Aurinia Pharmaceuticals Reports Third Quarter and Nine Months 2024 Financial and Operational Results, Announces Strategic Restructuring to Sharpen Focus on Continued LUPKYNIS® Growth and AUR200 Development
Aurinia Pharmaceuticals reported strong Q3 2024 results with total net revenue of $67.8 million (24% YoY growth) and net product revenue of $55.5 million (36% YoY growth). The company generated $17.0 million in operating cash flow and maintained $348.7 million in cash and investments. Aurinia announced a strategic restructuring, reducing workforce by 45%, expecting $40 million in annual operating expense savings with a one-time charge of $15-19 million in Q4. The company reaffirmed its 2024 net product revenue guidance of $210-220 million and reported 2,422 patients on LUPKYNIS therapy, representing 25% YoY market penetration growth.
Aurinia Pharmaceuticals ha riportato risultati solidi per il terzo trimestre del 2024, con un fatturato netto totale di $67,8 milioni (crescita del 24% su base annua) e un fatturato netto dei prodotti di $55,5 milioni (crescita del 36% su base annua). L'azienda ha generato $17,0 milioni di flusso di cassa operativo e ha mantenuto $348,7 milioni in liquidità e investimenti. Aurinia ha annunciato una ristrutturazione strategica, riducendo la forza lavoro del 45%, con aspettative di risparmi annuali sui costi operativi di $40 milioni con un'onere una tantum di $15-19 milioni nel quarto trimestre. L'azienda ha confermato la sua previsione di fatturato netto dei prodotti per il 2024 tra $210-220 milioni e ha riportato 2.422 pazienti in terapia con LUPKYNIS, rappresentando una crescita del 25% nella penetrazione di mercato su base annua.
Aurinia Pharmaceuticals informó sobre sólidos resultados en el tercer trimestre de 2024, con un ingreso neto total de $67.8 millones (crecimiento del 24% interanual) y un ingreso neto por productos de $55.5 millones (crecimiento del 36% interanual). La compañía generó $17.0 millones en flujo de caja operativo y mantuvo $348.7 millones en efectivo e inversiones. Aurinia anunció una reestructuración estratégica, reduciendo su fuerza laboral en un 45%, esperando ahorros anuales en gastos operativos de $40 millones con un cargo único de $15-19 millones en el cuarto trimestre. La compañía reafirmó su guía de ingresos netos por productos para 2024 entre $210-220 millones y reportó 2,422 pacientes en terapia con LUPKYNIS, lo que representa un crecimiento del 25% en la penetración de mercado interanual.
Aurinia Pharmaceuticals는 2024년 3분기 강력한 실적을 보고하였으며, 총 순수익은 $67.8 백만 (전년 대비 24% 증가), 순제품 매출은 $55.5 백만 (전년 대비 36% 증가)입니다. 이 회사는 $17.0 백만의 운영 현금 흐름을 생성했으며 $348.7 백만의 현금 및 투자를 유지하고 있습니다. Aurinia는 전략적 구조조정을 발표하며 45%의 인력을 감축하고, 연간 운영 비용 절감액을 $40 백만으로 예상하며, 4분기에 일회성 비용으로 $15-19 백만의 부과를 계획하고 있습니다. 또한, 이 회사는 2024년 순제품 매출 가이던스를 $210-220 백만으로 재확인하고, LUPKYNIS 치료를 받고 있는 2,422명의 환자를 보고했습니다. 이는 전년 대비 25%의 시장 침투 증가를 나타냅니다.
Aurinia Pharmaceuticals a annoncé des résultats solides pour le troisième trimestre 2024, avec un chiffre d'affaires net total de $67,8 millions (croissance de 24% d'une année sur l'autre) et un chiffre d'affaires net des produits de $55,5 millions (croissance de 36% d'une année sur l'autre). L'entreprise a généré un flux de trésorerie d'exploitation de $17,0 millions et a conservé $348,7 millions en liquidités et investissements. Aurinia a annoncé une restructuration stratégique, réduisant ses effectifs de 45%, s'attendant à des économies annuelles de dépenses opérationnelles de $40 millions avec une charge unique de 15 à 19 millions de dollars au quatrième trimestre. L'entreprise a confirmé sa prévision de revenus nets de produits pour 2024 de 210 à 220 millions de dollars et a rapporté 2 422 patients sous traitement avec LUPKYNIS, représentant une croissance de 25% de la pénétration du marché d'une année sur l'autre.
Aurinia Pharmaceuticals berichtete über starke Ergebnisse im dritten Quartal 2024 mit einem Gesamtnettoertrag von $67,8 Millionen (24% Wachstumsrate im Vergleich zum Vorjahr) und einem Nettowarenumsatz von $55,5 Millionen (36% Wachstumsrate im Vergleich zum Vorjahr). Das Unternehmen erzielte einen operativen Cashflow von $17,0 Millionen und hielt $348,7 Millionen an Bargeld und Investitionen. Aurinia kündigte eine strategische Umstrukturierung an, bei der die Belegschaft um 45% reduziert wird, wobei jährliche Einsparungen bei den Betriebskosten von $40 Millionen erwartet werden, jedoch eine einmalige Belastung von $15-19 Millionen im vierten Quartal anfallen wird. Das Unternehmen bekräftigte seine Prognose für den Nettowarenumsatz 2024 in Höhe von $210-220 Millionen und berichtete von 2.422 Patienten, die in der Therapie mit LUPKYNIS sind, was einem Marktdurchdringungswachstum von 25% im Vergleich zum Vorjahr entspricht.
- 36% YoY growth in net product revenue to $55.5 million
- Generated positive cash flow from operations of $17.0 million
- Strong cash position of $348.7 million
- 25% YoY growth in market penetration with 2,422 patients on LUPKYNIS
- Expected $40 million annual operating expense savings from restructuring
- Achieved profitability with $14.4 million net income in Q3
- 45% workforce reduction through restructuring
- One-time restructuring charge of $15-19 million expected in Q4 2024
- Decline in gross margin to 87% from 93% for the nine-month period
Insights
Strong Q3 2024 performance with
Market penetration increased
The strategic focus on LUPKYNIS growth and AUR200 development represents a sound pipeline strategy. Patient metrics show strong commercial execution with 364 new PSFs and 146 restarting patients in Q3, totaling 510 (
-
Achieved
$67.8 million $55.5 million 24% and36% , respectively -
Generated
$17.0 million $348.7 million -
Anticipates a one-time restructuring charge in the fourth quarter of 2024 of
$15 $19 million $40 million -
Reiterates 2024 net product revenue guidance range of
$210 $220 million
Webcast and conference call to be hosted today at 8:30 a.m. ET
Aurinia is implementing a strategic restructuring to sharpen the Company’s focus on continued LUPKYNIS® growth and the rapid development of AUR200. This restructuring will result in a workforce reduction of approximately
“We are pleased to report continued strong momentum through the first nine months of the year,” stated Peter Greenleaf, President and Chief Executive Officer of Aurinia. “Going forward, our streamlined organization will enable us to lean further into key areas of the commercial LUPKYNIS business that have historically delivered optimal returns, while at the same time accelerating the development of our important pipeline product, AUR200.”
In the third quarter of 2024, the Company added 364 PSFs and 146 new patients who were either restarting LUPKYNIS or receiving it through a hospital pharmacy. Together, these total 510, which is
Recent Milestones Achieved
- In September 2024, the first participant was dosed in a Phase 1 study of AUR200, a differentiated, potential best-in-class therapy for autoimmune diseases that targets both BAFF (B-cell Activating Factor) and APRIL (A Proliferation-Inducing Ligand). The Company continues to expect to report initial results from this study in the first half of 2025.
-
In September 2024, the Japanese Ministry of Health, Labour, and Welfare approved LUPKYNIS, triggering the recognition of an additional
$10 million
Financial Results for the Three and Nine Months Ended September 30, 2024
Total net revenue was
Net product revenue was
U.S. market penetration grew
License, collaboration, and royalty revenues were
Cost of sales were
Gross margin was
SG&A expenses, inclusive of share-based compensation, were
R&D expenses, inclusive of share-based compensation expense, were
Restructuring expenses were nil and
For the three months ended September 30, 2024, Aurinia recorded net income of
Financial Liquidity at September 30, 2024
As of September 30, 2024, Aurinia had cash, cash equivalents, restricted cash, and investments of
Cash flow from operations was
All amounts in this press release are expressed in
Webcast & Conference Call Details
The link to the audio webcast is available here. To join the conference call, please dial (800) 715-9871 / +1 (646) 307-1963. Conference ID: 6251719 or company name required for entry. A replay of the webcast will be available on Aurinia’s website.
About Aurinia
Aurinia Pharmaceuticals is a fully integrated biopharmaceutical company focused on delivering therapies to people living with autoimmune diseases with high unmet medical needs. In January 2021, the Company introduced LUPKYNIS® (voclosporin), the first FDA-approved oral therapy dedicated to the treatment of adult patients with active lupus nephritis. Aurinia is also developing AUR200, a differentiated, potential best-in-class therapy for autoimmune diseases that targets both BAFF (B-cell Activating Factor) and APRIL (A Proliferation-Inducing Ligand).
Forward-Looking Statements
Certain statements made in this press release may constitute forward-looking information within the meaning of applicable Canadian securities law and forward-looking statements within the meaning of applicable
Forward-looking information by their nature are based on assumptions and involve known and unknown risks, uncertainties and other factors which may cause the actual results, performance, or achievements of Aurinia to be materially different from any future results, performance or achievements expressed or implied by such forward-looking information. Should one or more of these risks and uncertainties materialize, or should underlying assumptions prove incorrect, actual results may vary materially from those described in forward-looking statements or information. Such risks, uncertainties and other factors include, among others, the following: Aurinia’s actual future financial and operational results may differ from its expectations; difficulties Aurinia may experience in completing the commercialization of LUPKYNIS; difficulties Aurinia may experience executing its restructuring program; challenges in the conduct of clinical studies; the market for the LN business may not be as estimated; Aurinia may have to pay unanticipated expenses; Aurinia may not be able to obtain sufficient supply to meet commercial demand for LUPKYNIS in a timely fashion; unknown impact and difficulties imposed by the widespread health concerns on Aurinia’s business operations including nonclinical, clinical, regulatory and commercial activities; the results from Aurinia’s clinical studies and from third party studies and reports may not be accurate; Aurinia’s third party service providers may not, or may not be able to, comply with their obligations under their agreements with Aurinia; and Aurinia’s assets or business activities may be subject to disputes that may result in litigation or other legal claims. Although Aurinia has attempted to identify factors that would cause actual actions, events, or results to differ materially from those described in forward-looking statements and information, there may be other factors that cause actual results, performances, achievements, or events to not be as anticipated, estimated or intended. There can be no assurance that forward-looking statements or information will prove to be accurate, as actual results and future events could differ materially from those anticipated in such statements. Accordingly, you should not place undue reliance on forward-looking statements or information. All forward-looking information contained in this press release is qualified by this cautionary statement. Additional information related to Aurinia, including a detailed list of the risks and uncertainties affecting Aurinia and its business, can be found in Aurinia’s most recent Annual Report on Form 10-K and its other public available filings available by accessing the Canadian Securities Administrators’ System for Electronic Document Analysis and Retrieval (SEDAR) website at www.sedarplus.ca or the
AURINIA PHARMACEUTICALS INC. AND SUBSIDIARIES
|
||||||||
(unaudited) |
|
September 30,
|
|
December 31,
|
||||
ASSETS |
|
|
|
|
||||
Current assets |
|
|
|
|
||||
Cash, cash equivalents, and restricted cash |
|
$ |
37,142 |
|
|
$ |
48,875 |
|
Short-term investments |
|
|
311,605 |
|
|
|
301,614 |
|
Accounts receivable, net |
|
|
36,483 |
|
|
|
24,089 |
|
Inventories, net |
|
|
38,714 |
|
|
|
39,705 |
|
Prepaid expenses and deposits |
|
|
13,815 |
|
|
|
9,486 |
|
Other current assets |
|
|
2,700 |
|
|
|
1,031 |
|
Total current assets |
|
|
440,459 |
|
|
|
424,800 |
|
|
|
|
|
|
||||
Non-current assets |
|
|
|
|
||||
Long-term investments |
|
|
— |
|
|
|
201 |
|
Other non-current assets |
|
|
868 |
|
|
|
1,517 |
|
Property and equipment, net |
|
|
2,887 |
|
|
|
3,354 |
|
Acquired intellectual property and other intangible assets, net |
|
|
4,509 |
|
|
|
4,977 |
|
Finance right-of-use assets, net |
|
|
96,459 |
|
|
|
108,715 |
|
Operating right-of-use assets, net |
|
|
4,179 |
|
|
|
4,498 |
|
Total assets |
|
$ |
549,361 |
|
|
$ |
548,062 |
|
|
|
|
|
|
||||
LIABILITIES |
|
|
|
|
||||
Current liabilities |
|
|
|
|
||||
Accounts payable and accrued liabilities |
|
|
56,770 |
|
|
|
54,389 |
|
Deferred revenue |
|
|
4,304 |
|
|
|
4,813 |
|
Other current liabilities |
|
|
1,590 |
|
|
|
2,388 |
|
Finance lease liabilities |
|
|
14,927 |
|
|
|
14,609 |
|
Operating lease liabilities |
|
|
1,018 |
|
|
|
989 |
|
Total current liabilities |
|
|
78,609 |
|
|
|
77,188 |
|
|
|
|
|
|
||||
Non-current liabilities |
|
|
|
|
||||
Finance lease liabilities |
|
|
65,955 |
|
|
|
75,479 |
|
Operating lease liabilities |
|
|
5,951 |
|
|
|
6,530 |
|
Deferred compensation and other non-current liabilities |
|
|
10,844 |
|
|
|
10,911 |
|
Total liabilities |
|
|
161,359 |
|
|
|
170,108 |
|
SHAREHOLDER’S EQUITY |
|
|
|
|
||||
Common shares - no par value, unlimited shares authorized, 143,109 and 143,833 shares issued and outstanding at September 30, 2024 and December 31, 2023, respectively |
|
|
1,206,613 |
|
|
|
1,200,218 |
|
Additional paid-in capital |
|
|
119,773 |
|
|
|
120,788 |
|
Accumulated other comprehensive loss |
|
|
(385 |
) |
|
|
(730 |
) |
Accumulated deficit |
|
|
(937,999 |
) |
|
|
(942,322 |
) |
Total shareholders' equity |
|
|
388,002 |
|
|
|
377,954 |
|
Total liabilities and shareholders' equity |
|
$ |
549,361 |
|
|
$ |
548,062 |
|
AURINIA PHARMACEUTICALS INC. AND SUBSIDIARIES
|
||||||||||||||||
|
|
Three months ended |
|
Nine months ended |
||||||||||||
|
|
September 30, |
|
September 30, |
||||||||||||
|
|
|
2024 |
|
|
|
2023 |
|
|
|
2024 |
|
|
|
2023 |
|
|
|
(unaudited) |
||||||||||||||
Revenue |
|
|
|
|
|
|
|
|
||||||||
Product revenue, net |
|
$ |
55,503 |
|
|
$ |
40,781 |
|
|
$ |
158,604 |
|
|
$ |
116,218 |
|
License, collaboration, and royalty revenue |
|
|
12,268 |
|
|
|
13,734 |
|
|
|
16,662 |
|
|
|
14,200 |
|
Total revenue, net |
|
|
67,771 |
|
|
|
54,515 |
|
|
|
175,266 |
|
|
|
130,418 |
|
Operating expenses |
|
|
|
|
|
|
|
|
||||||||
Cost of sales |
|
|
6,035 |
|
|
|
6,769 |
|
|
|
22,696 |
|
|
|
8,753 |
|
Selling, general and administrative |
|
|
42,367 |
|
|
|
47,759 |
|
|
|
134,996 |
|
|
|
144,964 |
|
Research and development |
|
|
3,047 |
|
|
|
13,605 |
|
|
|
12,678 |
|
|
|
39,413 |
|
Restructuring expenses |
|
|
— |
|
|
|
— |
|
|
|
7,755 |
|
|
|
— |
|
Other expense (income), net |
|
|
4,574 |
|
|
|
2,645 |
|
|
|
159 |
|
|
|
(695 |
) |
Total cost of sales and operating expenses |
|
|
56,023 |
|
|
|
70,778 |
|
|
|
178,284 |
|
|
|
192,435 |
|
Income (Loss) from operations |
|
|
11,748 |
|
|
|
(16,263 |
) |
|
|
(3,018 |
) |
|
|
(62,017 |
) |
Interest expense |
|
|
(1,208 |
) |
|
|
(1,400 |
) |
|
|
(3,689 |
) |
|
|
(1,465 |
) |
Interest income |
|
|
4,267 |
|
|
|
4,514 |
|
|
|
12,982 |
|
|
|
12,429 |
|
Net income (loss) before income taxes |
|
|
14,807 |
|
|
|
(13,149 |
) |
|
|
6,275 |
|
|
|
(51,053 |
) |
Income tax expense |
|
|
457 |
|
|
|
298 |
|
|
|
1,952 |
|
|
|
92 |
|
Net income (loss) |
|
$ |
14,350 |
|
|
$ |
(13,447 |
) |
|
$ |
4,323 |
|
|
$ |
(51,145 |
) |
|
|
|
|
|
|
|
|
|
||||||||
Net income (loss) per share: |
|
|
|
|
|
|
|
|
||||||||
Basic |
|
$ |
0.10 |
|
|
$ |
(0.09 |
) |
|
$ |
0.03 |
|
|
$ |
(0.36 |
) |
Diluted |
|
$ |
0.10 |
|
|
$ |
(0.09 |
) |
|
$ |
0.03 |
|
|
$ |
(0.36 |
) |
|
|
|
|
|
|
|
|
|
||||||||
Weighted-average common shares outstanding: |
|
|
|
|
|
|
|
|
||||||||
Basic |
|
|
143,051 |
|
|
|
142,847 |
|
|
|
143,353 |
|
|
|
143,085 |
|
Diluted |
|
|
145,651 |
|
|
|
142,847 |
|
|
|
145,010 |
|
|
|
143,085 |
|
AURINIA PHARMACEUTICALS INC. AND SUBSIDIARIES
|
||||||||
|
|
Nine Months Ended
|
||||||
|
|
|
2024 |
|
|
|
2023 |
|
(in thousands) |
|
(unaudited) |
||||||
Cash flows from operating activities |
|
|
|
|
||||
Net income (loss) |
|
$ |
4,323 |
|
|
$ |
(51,145 |
) |
Adjustments to reconcile net loss to net cash used in operating activities |
|
|
|
|
||||
Depreciation and amortization |
|
|
14,583 |
|
|
|
6,698 |
|
Net amortization of premiums and discounts on short-term investments |
|
|
(9,752 |
) |
|
|
(8,836 |
) |
Share-based compensation expense |
|
|
22,650 |
|
|
|
33,543 |
|
Foreign exchange on finance lease liability |
|
|
(718 |
) |
|
|
(1,335 |
) |
Other, net |
|
|
220 |
|
|
|
(1,659 |
) |
Net changes in operating assets and liabilities |
|
|
|
|
||||
Accounts receivable, net |
|
|
(12,394 |
) |
|
|
(24,463 |
) |
Inventories, net |
|
|
991 |
|
|
|
(8,984 |
) |
Prepaid expenses and other current assets |
|
|
(6,001 |
) |
|
|
(2,889 |
) |
Non-current operating assets |
|
|
(12 |
) |
|
|
(16 |
) |
Accounts payable, accrued and other liabilities |
|
|
934 |
|
|
|
11,812 |
|
Operating lease liabilities |
|
|
(550 |
) |
|
|
(499 |
) |
Net cash provided by (used in) operating activities |
|
|
14,274 |
|
|
|
(47,773 |
) |
Cash flows from investing activities |
|
|
|
|
||||
Purchase of investments |
|
|
(461,140 |
) |
|
|
(379,213 |
) |
Proceeds from investments |
|
|
461,448 |
|
|
|
391,287 |
|
Upfront lease payment |
|
|
(44 |
) |
|
|
(11,864 |
) |
Purchase of property and equipment |
|
|
— |
|
|
|
(419 |
) |
Capitalized patent costs |
|
|
(225 |
) |
|
|
(240 |
) |
Net cash provided by (used in) investing activities |
|
|
39 |
|
|
|
(449 |
) |
Cash flows from financing activities |
|
|
|
|
||||
Repurchase of common shares |
|
|
(18,435 |
) |
|
|
— |
|
Principal portion of finance lease payments |
|
|
(8,959 |
) |
|
|
(3,482 |
) |
Proceeds from exercise of stock options and employee share purchase plan |
|
|
1,348 |
|
|
|
3,929 |
|
Cash (used in) provided by financing activities |
|
|
(26,046 |
) |
|
|
447 |
|
Net decrease in cash, cash equivalents, and restricted cash |
|
|
(11,733 |
) |
|
|
(47,775 |
) |
Cash, cash equivalents, and restricted cash, beginning of period |
|
|
48,875 |
|
|
|
94,172 |
|
Cash, cash equivalents, and restricted cash, end of period |
|
$ |
37,142 |
|
|
$ |
46,397 |
|
|
|
|
|
|||||
View source version on businesswire.com: https://www.businesswire.com/news/home/20241107603962/en/
Media & Investor Inquiries:
Andrea Christopher
Corporate Communications & Investor Relations
Aurinia Pharmaceuticals Inc.
achristopher@auriniapharma.com
General Investor Inquiries:
ir@auriniapharma.com
Source: Aurinia Pharmaceuticals Inc.
FAQ
What was Aurinia Pharmaceuticals (AUPH) Q3 2024 revenue?
How many patients were on LUPKYNIS therapy as of Q3 2024?
What is Aurinia's (AUPH) 2024 revenue guidance?
What restructuring changes did Aurinia (AUPH) announce in Q3 2024?
