NASDAQ$VIR

Vir Biotechnology Inc · Q1 2023 earnings

Q1 2023 earnings · · Investor relations

Briefing

Vir reported first quarter 2023 financial results and provided a corporate update.

Vir Biotechnology reported a decrease in revenue to $63.0 million compared to $1.2 billion for the same period in 2022, primarily due to lower sotrovimab sales. The company's net loss was $140.9 million, or $1.06 per share. They had $2.3 billion in cash, cash equivalents, and investments as of March 31, 2023.

  • Multiple data readouts are anticipated in 2023 from ongoing Phase 2 programs in hepatitis B and D, and influenza.
  • Marianne De Backer assumed the CEO position to lead the company through its next phase of growth.
  • Vir had $2.3 billion in cash, cash equivalents, and investments as of March 31, 2023.
  • A $10 million grant from the Bill & Melinda Gates Foundation will support Phase 1 clinical development of VIR-1388, a novel T cell vaccine for HIV.

Headline financials

Total Revenue

$63M

Previous: $1.23B-94.9%
EPS (adj)

-$1.06

Previous: $3.85-127.5%
Capital Expenditures

-$6.87M

Previous: -$15.8M+56.7%
Free Cash Flow

-$148M

Previous: $503M-129.4%
Net Income

-$141M

Previous: $519M-127.2%
Operating Income

-$143M

Previous: $1.01B-114.1%
Gross Profit

$61.1M

Previous: $1.14B-94.7%
Cash & Equivalents

$825M

Previous: $812M+1.5%
Total Assets

$2.67B

Previous: $2.89B-7.7%
Stock-Based Comp

$25.5M

Previous: $25.3M+0.7%

Revenue & EPS history

Vir · Revenue · Quarterly

$63M

Q1 2023-94.9%vs Q1 2022
Beat estimate in 5 of 15 quarters(33%)
ActualEstimate

Revenue by segment

Vir · $62.8M total across 2 segments · Q1 2023

  • License & collaboration revenue
    $46.6M-96.2%
  • Grant revenue
    $16.2M+544.4%

Forward guidance

Vir anticipates multiple data readouts in 2023 from Phase 2 programs in hepatitis B and D, and influenza, and expects to initiate the Phase 2 PREVAIL platform trial for hepatitis B in the first half of 2023.

Tailwinds

  • Phase 2 data readouts expected for hepatitis B, hepatitis D, and influenza.
  • Phase 2 PREVAIL platform trial for hepatitis B is expected to be initiated in the first half of 2023.
  • Bill & Melinda Gates Foundation expanded support of Vir’s novel T cell vaccine platform with a new $10 million grant.
  • Initial data from the Phase 1b trial evaluating the safety of VIR-2482 in adults age 65 and older receiving a flu vaccine are also expected in mid-2023.
  • The company will continue working with GSK to ensure ongoing access to sotrovimab for patients around the world, where authorized, and to develop new therapies for influenza and other respiratory diseases.

Headwinds

  • The company anticipates a payment of approximately $272.1 million to GSK in the second quarter of 2023 related to excess sotrovimab supply and reduced demand expectations.
  • Collaboration revenue decreased due to lower profit share from sales of sotrovimab.
  • No sustained HIV insert specific T cell responses were observed in the proof-of-concept Phase 1 trial of VIR-1111.
  • Sotrovimab is currently not authorized in the US.
  • The decrease in collaboration revenue for the first quarter of 2023 compared to the same period in 2022 was driven by a lower profit share from sales of sotrovimab under the Company’s collaboration with GSK.

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 Q1 2023

Historical avgQ1 2023

+2.0%

Avg return

Earnings day

-0.4%

Avg return

5 days after

-1.3%

Avg return

30 days after

43%

12 / 28 earnings

Positive

+27.7%

Q4 2025

Best reaction

-15.1%

Q3 2021

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026+2.8%-7.2%-13.7%
Q4 2025+27.7%+22.3%+20.6%
Q3 2025-5.6%-8.9%+8.3%
Q1 2025-3.4%-16.2%-2.9%
Q4 2024-11.8%-10.9%-27.2%
Q3 2024+21.8%+26.8%+4.7%
Q2 2024-9.4%-15.4%-18.7%
Q1 2024+18.9%+13.6%+17.5%
Q4 2023+14.0%+13.1%-0.6%
Q3 2023+12.5%+8.3%+24.4%
Q2 2023-3.0%-4.8%-10.9%
Q1 2023-3.5%-4.5%+7.5%
Q4 2022-14.8%-15.6%-16.7%
Q3 2022+15.0%+20.3%+23.7%
Q2 2022+2.0%-4.9%-25.9%
Q1 2022-3.1%-1.4%+12.5%
Q4 2021+0.1%-13.7%-21.5%
Q3 2021-15.1%-11.7%+20.4%
Q2 2021+3.3%+10.5%+32.0%
Q1 2021-1.0%-8.5%+3.5%
Q4 2020-4.2%-11.7%-21.2%
Q3 2020+8.2%+5.8%+26.0%
Q2 2020-0.6%-0.9%-46.8%
Q2 2019-0.6%-0.9%-46.8%
Q1 2020-1.9%-3.1%+7.2%
Q1 2019-1.9%-3.1%+7.2%
Q4 2019+11.5%+11.4%+6.0%
Q3 2019-3.0%-0.5%-3.7%
Q4 2018
Q3 2018
Q2 2018
Q1 2018

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