Aurinia Pharmaceuticals(AUPH) - 2024 Q3 - Quarterly Results

Financial Performance - Total net revenue for Q3 2024 was $67.8 million, a 24% increase year-over-year, while net product revenue was $55.5 million, reflecting a 36% growth[1][6][7] - The company achieved $158.6 million in net product revenue for the nine months ended September 30, 2024, a 36% increase from $116.2 million in the same period of 2023[1][7] - Total revenue for the three months ended September 30, 2024, was $67,771,000, a 24% increase from $54,515,000 in the same period of 2023[28] - Product revenue for the nine months ended September 30, 2024, reached $158,604,000, compared to $116,218,000 for the same period in 2023, reflecting a 36% increase[28] - Net income for the three months ended September 30, 2024, was $14,350,000, compared to a net loss of $13,447,000 in the same period of 2023[28] - The company recorded a net income of $14.4 million or $0.10 per share for Q3 2024, compared to a net loss of $(13.4) million or $(0.09) per share in Q3 2023[1][15][16] - The company reported a basic net income per share of $0.10 for the three months ended September 30, 2024, compared to a loss of $0.09 per share in the same period of 2023[28] Cash Flow and Expenses - Cash flow from operations for Q3 2024 was $17.0 million, compared to a cash outflow of $(13.3) million in Q3 2023[1][18] - Operating expenses for the three months ended September 30, 2024, totaled $56,023,000, down from $70,778,000 in the same period of 2023, representing a 21% decrease[28] - SG&A expenses decreased to $42.4 million in Q3 2024 from $47.8 million in Q3 2023, primarily due to lower employee-related costs[1][12] - Research and development expenses for the three months ended September 30, 2024, were $3,047,000, significantly lower than $13,605,000 in the same period of 2023[28] - The company had a net cash provided by operating activities of $14,274,000 for the nine months ended September 30, 2024, compared to a net cash used of $47,773,000 in the same period of 2023[29] Market and Product Development - LUPKYNIS market penetration in the U.S. grew by 25% year-over-year, with 2,422 patients on therapy as of September 30, 2024[1][8] - AUR200, a new therapy for autoimmune diseases, began Phase 1 study in September 2024, with initial results expected in the first half of 2025[1][4] - License, collaboration, and royalty revenues included a $10 million milestone payment from Otsuka Pharmaceutical for LUPKYNIS approval in Japan[1][9] Assets and Liabilities - Cash, cash equivalents, and restricted cash decreased to $37,142,000 as of September 30, 2024, from $48,875,000 at the end of 2023[26] - Total current assets increased to $440,459,000 as of September 30, 2024, compared to $424,800,000 at the end of 2023, marking a 4% increase[26] - Total liabilities decreased to $161,359,000 as of September 30, 2024, from $170,108,000 at the end of 2023, indicating a 5% reduction[26] Future Outlook - The company anticipates a one-time restructuring charge of $15 to $19 million in Q4 2024, with expected annualized cash-based operating expense savings of over $40 million post-restructuring[1][22] - The gross margin for Q3 2024 was 91%, up from 88% in Q3 2023[1][11]