NASDAQ$VIR

Vir Biotechnology Inc · Q2 2022 earnings

Q2 2022 earnings · · Investor relations

Briefing

Reported a net loss for the second quarter of 2022 and provided a corporate update

Vir Biotechnology reported a net loss of $76.5 million for the second quarter of 2022, with revenues totaling ($40.6 million). The company is shifting its strategy to focus on long-term control of COVID-19 and advancing its pipeline in hepatitis B, hepatitis D, and influenza A. Vir's cash, cash equivalents, investments, and profit-share payments from GSK are expected to fund operations for up to five years.

  • Vir closed the second quarter with sufficient funds to operate for up to five years.
  • The company is shifting its COVID-19 strategy to focus on long-term control.
  • Multiple Phase 2 and Phase 3 data readouts are expected from programs in COVID-19, hepatitis B, hepatitis D and influenza A.
  • The company expects multiple milestones in the second half of 2022, including trial initiations and data readouts.

Headline financials

Total Revenue

-$40.6M

Previous: $177M-122.9%
EPS (adj)

-$0.58

Previous: $0.46-226.1%
Capital Expenditures

-$36.4M

Previous: -$2.74M-1228.0%
Free Cash Flow

-$113M

Previous: $59.1M-291.2%
Net Income

-$76.5M

Previous: $61.8M-223.7%
Operating Income

-$225M

Previous: $61M-469.1%
Gross Profit

-$68.6M

Previous: $176M-139.0%
Cash & Equivalents

$1.51B

Previous: $742M+102.9%
Total Assets

$2.62B

Previous: $1.06B+147.6%
Stock-Based Comp

$27.1M

Previous: $21M+29.1%

Revenue & EPS history

Vir · Revenue · Quarterly

-$40.6M

Q2 2022-122.9%vs Q2 2021
Beat estimate in 5 of 15 quarters(33%)
ActualEstimate

Revenue by segment

Vir · -$52.9M total across 2 segments · Q2 2022

  • Grant revenue
    $2.06M-33.6%
  • License & collaboration revenue
    -$54.9M-1136.6%

Forward guidance

Vir Biotechnology anticipates several milestones in the second half of 2022, including the initiation of a Phase 2 trial for universal prophylaxis for influenza A, the first trial in hepatitis D, and multiple data readouts from hepatitis B and HIV programs.

Tailwinds

  • Initiation of a Phase 2 trial for universal prophylaxis for influenza A.
  • Initiation of the first trial in hepatitis D.
  • Multiple data readouts from hepatitis B programs.
  • Additional safety data from the Phase 1b portion of the trial are expected in the second half of 2022.
  • Additional HBV milestones expected in 2022.

Headwinds

  • The Company and GSK do not plan to file a Biologics License Application for sotrovimab at this time and do not intend to pursue the US-based Phase 3 COMET-STAR prophylaxis trial.
  • Due to the continued proportion of COVID-19 cases caused by certain Omicron subvariants, sotrovimab is not currently authorized in any US region.
  • There are limited clinical data available for sotrovimab.
  • Benefit of treatment with sotrovimab has not been observed in patients hospitalized due to COVID‑19.
  • SARS-CoV-2 monoclonal antibodies may be associated with worse clinical outcomes when administered to hospitalized patients with COVID‑19 requiring high flow oxygen or mechanical ventilation.

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 2022

Historical avgQ2 2022

+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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