NASDAQ$AVIR

Atea Pharmaceuticals Inc · Q4 2021 earnings

Q4 2021 earnings · · Investor relations

Briefing

Atea Pharmaceuticals reported financial results for the fourth quarter and full year ended December 31, 2021, and provided a business update.

Atea Pharmaceuticals reported fourth quarter collaboration revenue of $192.2 million and net income of $117.1 million. The company is advancing three Phase 2 programs in COVID-19, HCV, and dengue fever.

  • Priority is to develop a combination regimen with bemnifosbuvir and a protease inhibitor for COVID-19.
  • Initiating Phase 2 combination clinical trial of bemnifosbuvir and ruzasvir (RZR) as potential best-in-class pan genotypic regimen for hepatitis C virus (HCV) in 2H 2022.
  • Advancing AT-752 as a potential first antiviral treatment for dengue fever in Phase 2 program in 1H 2022.
  • Strategic collaboration with Roche was terminated, giving Atea full rights to continue clinical development and commercialization of bemnifosbuvir worldwide.

Headline financials

Total Revenue

$192M

Previous: $48.6M+295.2%
EPS (adj)

$1.34

Previous: $0.95+41.1%
Working Capital

$716M

No prior period
Capital Expenditures

$4K

Previous: $5K-20.0%
Free Cash Flow

-$75.4M

Previous: $319M-123.7%
Net Income

$117M

Previous: $20.7M+466.9%
Operating Income

$121M

Previous: $20.6M+486.9%
Gross Profit

$192M

Previous: $34.8M+452.4%
Cash & Equivalents

$764M

Previous: $850M-10.1%
Total Assets

$773M

Previous: $864M-10.5%
Stock-Based Comp

$11.4M

Previous: $2.82M+302.4%

Revenue & EPS history

Atea · Revenue · Quarterly

$192M

Q4 2021+295.2%vs Q4 2020
Beat estimate in 5 of 9 quarters(56%)
ActualEstimate

Forward guidance

Atea anticipates several important milestones and data readouts from its programs during the year and has the financial strength and a seasoned management team to advance these programs through key clinical and regulatory inflection points.

Tailwinds

  • Meaningful progress advancing three Phase 2 programs in COVID-19, HCV and dengue fever during 2022
  • Combination therapies will be needed to treat broader patient populations, as new COVID-19 variants occur, and viral drug resistance will likely emerge to protease inhibitor monotherapy.
  • Combination of RZR and bemnifosbuvir has the potential to be a best-in-class pan-genotypic combination regimen to help fight the increase in HCV infections caused by the opioid crisis, IV drug use and HCV reinfection
  • Making significant progress advancing AT-752 as a potential first antiviral treatment for dengue fever, the most prevalent mosquito-borne viral disease with a large global disease burden.
  • Initiate a Phase 2 clinical trial in dengue endemic countries and a human challenge study in the U.S. during the first half of 2022 and expects to report results from these studies in late 2022.

Headwinds

  • Uncertainty around and costs associated with the development of AT-752 as a potential treatment for dengue and combination product candidates including bemnifosbuvir for the potential treatment for COVID-19 and HCV
  • Dependence on management, directors and other key personnel
  • Impact of the COVID-19 pandemic on our business
  • Limited operating history and no history of successfully developing or commercializing any products, significant operating expenses since inception
  • Need for substantial additional funding

Historical earnings impact

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

Avg. return before/after earnings

Based on 20 quarterly earnings reports · overlaid with Q4 2021

Historical avgQ4 2021

+0.1%

Avg return

Earnings day

+0.6%

Avg return

5 days after

+4.2%

Avg return

30 days after

50%

12 / 24 earnings

Positive

+16.1%

Q1 2021

Best reaction

-16.2%

Q2 2021

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q4 2025+11.1%+15.1%+8.7%
Q3 2025-12.1%-12.9%-10.0%
Q2 2025-2.6%+1.2%-2.6%
Q1 2025+2.2%+4.0%+16.4%
Q4 2024-0.3%+3.3%-7.0%
Q3 2024-2.2%-7.0%-17.9%
Q1 2024-8.2%-9.7%-8.4%
Q4 2023-5.5%-11.4%-11.4%
Q3 2023-10.7%-14.0%-10.1%
Q2 2023+4.1%+0.3%-3.5%
Q1 2023-1.2%-3.0%+35.8%
Q4 2022-8.7%-0.8%-8.1%
Q3 2022-12.4%-14.4%-24.0%
Q2 2022-3.5%-4.3%-11.7%
Q1 2022+12.9%+36.8%+52.7%
Q4 2021+1.4%-9.7%+11.1%
Q3 2021+6.5%+6.5%-25.3%
Q2 2021-16.2%-12.9%-13.4%
Q1 2021+16.1%+18.7%+20.4%
Q2 2020+5.3%-1.4%-55.0%
Q4 2020+5.3%-1.4%-55.0%
Q1 2020+7.2%+10.6%+73.1%
Q4 2019+7.2%+10.6%+73.1%
Q3 2020+7.2%+10.6%+73.1%
Q3 2019
Q2 2019
Q1 2019
Q1 2018
Q4 2017
Q3 2017
Q2 2017
Q1 2017
Q4 2016
Q3 2016
Q2 2016
Q1 2016
Q4 2015
Q3 2015

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