NASDAQ$VIR

Vir Biotechnology Inc · Q2 2021 earnings

Q2 2021 earnings · · Investor relations

Briefing

Vir reported financial results, highlighted by sotrovimab's availability for high-risk COVID-19 patients and progress in hepatitis B portfolio.

Vir Biotechnology reported a net income of $61.8 million for the second quarter of 2021, a significant increase compared to a net loss of $31.2 million for the same period in 2020. The increase was primarily due to revenue recognition related to the license granted to GSK under the Company’s 2021 GSK agreement. Sotrovimab is now available for patients who become ill with COVID-19 and are at high risk for hospitalization.

  • Sotrovimab is available for high-risk COVID-19 patients and retains efficacy against circulating variants.
  • Supply agreements for sotrovimab established with multiple countries and a Joint Procurement Agreement signed with the European Commission.
  • Phase 2 combination trial of VIR-2218 with VIR-3434 initiated for hepatitis B.
  • EMA began a rolling review of data to support a marketing authorization application in Europe for sotrovimab.

Headline financials

Total Revenue

$177M

Previous: $67M+164.3%
EPS (adj)

$0.46

Previous: -$0.27+270.4%
Capital Expenditures

-$2.74M

Previous: -$2.65M-3.7%
Free Cash Flow

$59.1M

Previous: -$33.8M+274.7%
Net Income

$61.8M

Previous: -$31.2M+298.3%
Operating Income

$61M

Previous: -$29.1M+310.0%
Gross Profit

$176M

Previous: $67M+162.6%
Cash & Equivalents

$742M

Previous: $372M+99.6%
Total Assets

$1.06B

Previous: $672M+57.3%
Stock-Based Comp

$21M

Previous: $5.75M+265.2%

Revenue & EPS history

Vir · Revenue · Quarterly

$177M

Q2 2021+164.3%vs Q2 2020
Beat estimate in 8 of 11 quarters(73%)
ActualEstimate

Revenue by segment

Vir · $8.4M total across 2 segments · Q2 2021

  • License & collaboration revenue
    $5.3M
  • Grant revenue
    $3.1M

Forward guidance

Vir Biotechnology is focused on advancing its pipeline of product candidates, including sotrovimab for COVID-19, VIR-2218 and VIR-3434 for hepatitis B, and other therapies for infectious diseases.

Tailwinds

  • Sotrovimab is expected to maintain activity against new and emerging variants through in vitro studies.
  • Initial data from the Phase 2 COMET-PEAK trial investigating intramuscular administration of sotrovimab is expected in the fall of 2021.
  • Data from the Phase 3 COMET-TAIL trial for early treatment of COVID-19 is now expected in the second half of 2021.
  • Initial clinical data from the Phase 1 trial of VIR-1111, an investigational HIV T cell vaccine, is expected in the second half of 2021.
  • Additional data from the combination trial of VIR-2218 with pegylated interferon alfa and the VIR-3434 monotherapy trial are planned to be shared later this year.

Headwinds

  • The Company and GSK are currently evaluating potential timelines for advancing VIR-2482 and other influenza therapies due to the relatively low incidence of influenza during the COVID-19 pandemic.
  • There are limited clinical data available for sotrovimab.
  • Serious hypersensitivity reactions, including anaphylaxis, have been observed with administration of sotrovimab.
  • Clinical worsening of COVID-19 after administration of SARS-CoV-2 monoclonal antibody treatment has been reported.
  • Benefit of treatment with sotrovimab has not been observed in patients hospitalized due to COVID-19.

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 Q2 2021

Historical avgQ2 2021

+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

Discussion

Share your read of this quarter. Sign-in carries your eToro identity.

Join the conversation

Sign in with eToro to post your read of this quarter and vote on others'.

Sign in with eToro