NASDAQ$ABUS

Arbutus Biopharma Corp · Q2 2020 earnings

Q2 2020 earnings · · Investor relations

Briefing

Reported second quarter financial results and provided a corporate update.

Arbutus Biopharma Corporation reported its second quarter 2020 financial results. The company had cash, cash equivalents and investments totaling $84.0 million as of June 30, 2020. Net loss attributable to common shares for the three months ended June 30, 2020 was $17.1 million ($0.25 basic and diluted loss per common share).

  • Phase 1a/1b clinical trial for AB-729 remains on track with results from additional cohorts expected in the second half of 2020.
  • AB-836 remains on track for completion of IND enabling studies by the end of 2020.
  • Actively screening multiple new molecular entities in recently initiated COVID-19 research program.
  • Cash runway guidance extended into mid-2022.

Headline financials

Total Revenue

$1.51M

Previous: $653K+131.9%
EPS (adj)

-$0.25

Previous: -$0.46+45.7%
Capital Expenditures

-$66K

Previous: -$240K+72.5%
Free Cash Flow

-$14.2M

Previous: -$23.6M+39.9%
Net Income

-$14.1M

Previous: -$23.3M+39.6%
Operating Income

-$13.1M

Previous: -$20.5M+35.9%
Gross Profit

$1.51M

Previous: $653K+131.9%
Cash & Equivalents

$45.9M

Previous: $78.9M-41.8%
Total Assets

$97.6M

Previous: $193M-49.3%
Stock-Based Comp

$1.6M

Previous: $3.78M-57.8%

Revenue & EPS history

Arbutus · Revenue · Quarterly

$1.51M

Q2 2020+131.9%vs Q2 2019
Beat estimate in 9 of 16 quarters(56%)
ActualEstimate

Revenue by segment

Arbutus · $689K total across 1 segment · Q2 2020

  • Non-cash Royalty Revenue
    $689K

Forward guidance

Arbutus believes its ending second quarter cash, cash equivalents and investments of $84.0 million plus the additional $36.5 million of proceeds received under the ATM program during July 2020 are sufficient to fund the Company’s operations into mid-2022.

Tailwinds

  • Results from the multi-dose 60 mg cohorts and single-dose 90 mg cohorts in HBV DNA negative and positive subjects will be available in the second half of 2020.
  • IND-enabling studies for AB-836 will be complete by the end of 2020.
  • AB-836 has the potential to have increased potency and an enhanced resistance profile compared to AB-506.
  • Dosing two 90 mg multi-dose cohorts in the second half of this year.
  • Sufficient funds to support operations into mid-2022.

Headwinds

  • Pre-clinical studies and clinical trials may be more costly or take longer to complete than anticipated, and may never be initiated or completed, or may not generate results that warrant future development of the tested drug candidate.
  • Changes in Arbutus’ strategy regarding its product candidates and clinical development activities.
  • Arbutus may not receive the necessary regulatory approvals for the clinical development of Arbutus’ products.
  • Economic and market conditions may worsen.
  • The ongoing COVID-19 pandemic could significantly disrupt our clinical development programs.

Historical earnings impact

How earnings announcements have historically affected this stock's price.

Avg. return before/after earnings

Based on 18 quarterly earnings reports · overlaid with Q2 2020

Historical avgQ2 2020

-1.3%

Avg return

Earnings day

-2.2%

Avg return

5 days after

+0.1%

Avg return

30 days after

37%

23 / 63 earnings

Positive

+22.2%

Q1 2020

Best reaction

-18.6%

Q2 2018

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q4 2025
Q1 2026+0.0%-3.2%
Q3 2025-5.8%-8.1%-2.7%
Q2 2025+1.8%-1.8%+23.2%
Q1 2025-0.9%-1.9%+10.7%
Q4 2024-2.4%+3.9%-1.8%
Q3 2024-5.8%-5.8%-7.1%
Q2 2024-0.8%-4.0%+2.7%
Q1 2024+0.7%+5.6%+24.9%
Q4 2023-3.1%-7.3%-10.4%
Q3 2023-0.5%-5.9%+10.6%
Q2 2023+2.9%-2.4%-1.4%
Q1 2023+3.6%+4.0%+2.8%
Q4 2022+1.8%+4.3%+7.8%
Q3 2022+0.8%+7.3%+6.1%
Q2 2022+2.8%+0.0%-10.2%
Q1 2022+1.6%-20.5%+8.4%
Q4 2021-9.1%-6.8%-0.3%
Q3 2021-9.6%-9.1%+7.8%
Q2 2021+9.1%+13.8%+23.6%
Q1 2021-15.9%-20.2%-11.5%
Q4 2020-9.3%-1.1%-5.8%
Q3 2020-8.8%+5.9%+31.0%
Q2 2020-16.2%-18.5%-44.2%
Q1 2020+22.2%+55.6%+37.0%
Q4 2019-2.0%-8.3%-70.0%
Q3 2019-4.0%-3.4%+53.7%
Q2 2019+1.2%+1.2%-11.0%
Q1 2019-5.4%-10.0%-36.4%
Q4 2018-8.0%+2.7%+9.5%
Q3 2018+13.7%-6.7%-7.4%
Q2 2018-18.6%-19.4%-23.2%
Q1 2018+3.5%+8.8%+7.0%
Q4 2017-12.5%-17.5%-13.3%
Q3 2017+20.4%+4.6%+2.8%
Q2 2017-4.2%+1.4%+15.3%
Q1 2017-2.4%-0.9%+2.1%
Q4 2016-6.0%-4.5%+0.0%
Q3 2016-3.3%-4.9%-12.1%
Q2 2016-8.6%-13.6%-14.5%
Q1 2016-3.8%
Q4 2015-5.6%
Q3 2015-2.3%
Q2 2015+0.7%
Q1 2015-2.5%
Q4 2014-3.6%
Q3 2014+4.6%
Q2 2014-2.8%
Q1 2014-5.1%
Q4 2013+14.1%
Q3 2013+3.1%
Q2 2013-3.1%
Q1 2013-0.8%
Q4 2012+0.6%
Q2 2012-0.3%
Q1 2012-5.1%
Q4 2010+2.9%
Q4 2011+2.9%
Q3 2011-0.6%
Q2 2011+0.0%
Q1 2011-4.1%
Q3 2010+0.8%
Q2 2010-0.8%
Q1 2010+3.4%

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