Aurinia Pharmaceuticals(AUPH) - 2025 Q2 - Quarterly Results

Financial Highlights and Business Update Key Financial Metrics Aurinia reported strong financial performance for Q2 and H1 2025, with significant year-over-year growth in total revenue, net product sales, and a shift from net loss to substantial net income. Operating cash flow also turned positive Cash Position Cash Position | Metric | June 30, 2025 (USD) | December 31, 2024 (USD) | | :----- | :------------------ | :---------------------- | | Cash, cash equivalents, restricted cash and investments | $315.1 million | $358.5 million | Revenue Performance Revenue Performance | Revenue Type | Q2 2025 (USD) | Q2 2024 (USD) | YoY Change (Q2) | H1 2025 (USD) | H1 2024 (USD) | YoY Change (H1) | | :----------- | :------------ | :------------ | :-------------- | :------------ | :------------ | :-------------- | | Total Revenue | $70.0 million | $57.2 million | +22% | $132.5 million | $107.5 million | +23% | | Net Product Sales (LUPKYNIS) | $66.6 million | $55.0 million | +21% | $126.5 million | $103.1 million | +23% | | License, Collaboration & Royalty Revenue | $3.4 million | $2.2 million | +55% | $5.9 million | $4.4 million | +34% | Net Income (Loss) Net Income (Loss) | Metric | Q2 2025 (USD) | Q2 2024 (USD) | H1 2025 (USD) | H1 2024 (USD) | | :----- | :------------ | :------------ | :------------ | :------------ | | Net Income (Loss) | $21.5 million | $0.7 million | $44.9 million | $(10.0) million | Cash Flow from Operations Cash Flow from Operations | Metric | H1 2025 (USD) | H1 2024 (USD) | | :----- | :------------ | :------------ | | Cash Flow Provided by (Used in) Operating Activities | $45.5 million | $(2.8) million | | Cash Flow from Operations (Excluding restructuring payments) | $57.0 million | N/A | Share Repurchase Program Aurinia's Board approved an additional $150 million for its share repurchase plan. The company has repurchased 18.3 million common shares for $138.4 million to date, including $90.8 million in H1 2025 - The Board has approved an increase to the previously announced share repurchase plan of an additional $150 million of common shares[4] - To date, purchases under the share repurchase plan have totaled 18.3 million common shares for $138.4 million, beginning on February 21, 2024[4] - For the six months ended June 30, 2025, the Company repurchased 11.2 million of its common shares for $90.8 million[3] Full Year 2025 Guidance Aurinia increased its full-year 2025 guidance for both total revenue and net product sales, reflecting positive outlook for the year Full Year 2025 Guidance | Guidance Metric | Previous Range (2025, USD) | New Range (2025, USD) | | :-------------- | :------------------------- | :-------------------- | | Total Revenue | $250 million - $260 million | $260 million - $270 million | | Net Product Sales | $240 million - $250 million | $250 million - $260 million | CEO Commentary and Product Development CEO Peter Greenleaf highlighted continued solid growth for LUPKYNIS, supported by new treatment guidelines. He also announced positive Phase 1 results for aritinercept, a new dual inhibitor, with plans to advance it into clinical studies for autoimmune diseases in the second half of 2025 - Solid growth for LUPKYNIS is partially driven by the new 2024 American College of Rheumatology lupus nephritis treatment guidelines, which recommend its incorporation into first-line therapy[7] - Positive results from the Phase 1 study of aritinercept, a dual inhibitor of BAFF and APRIL, showed it was well tolerated and led to robust and long-lasting reductions in immunoglobulins[7] - Aurinia plans to initiate clinical studies for aritinercept in at least two autoimmune diseases in the second half of 2025[7] Company Information About Aurinia Aurinia is a biopharmaceutical company focused on developing therapies for autoimmune diseases. Its flagship product, LUPKYNIS, is the first FDA-approved oral therapy for active lupus nephritis, and it is also advancing aritinercept for other autoimmune conditions - Aurinia is a biopharmaceutical company focused on delivering therapies to people living with autoimmune diseases with high unmet medical needs[9] - LUPKYNIS (voclosporin) is the first FDA-approved oral therapy for the treatment of adult patients with active lupus nephritis, introduced in January 2021[9] - Aurinia is developing aritinercept (AUR200), a dual inhibitor of B cell-activating factor (BAFF) and a proliferation-inducing ligand (APRIL), for the potential treatment of autoimmune diseases[9] Forward-Looking Statements This press release contains forward-looking statements based on management's expectations, which are subject to substantial risks and uncertainties that could cause actual outcomes to differ materially. Investors are advised to consult the company's SEC and Canadian Securities Authorities filings for detailed risk factors - The press release contains forward-looking information and statements based on management's expectations and assumptions, involving substantial risks and uncertainties[10] - Risks and uncertainties include those associated with LUPKYNIS net product sales and the timing of clinical study results[10] - Additional information on risks and uncertainties can be found in Aurinia's most recent Annual Report on Form 10-K and other public filings with the SEC and Canadian Securities Administrators[10] Webcast & Investor Inquiries Aurinia hosted a webcast and conference call on July 31, 2025, to discuss financial results. General investor inquiries can be directed via email - A webcast and conference call was hosted on July 31, 2025, at 8:30 a.m. ET to discuss the financial results[8] - General investor inquiries can be sent to ir@auriniapharma.com[11] Condensed Consolidated Financial Statements Condensed Consolidated Balance Sheets As of June 30, 2025, Aurinia's total assets decreased to $502.6 million from $550.6 million at December 31, 2024, primarily due to reductions in cash, cash equivalents, restricted cash, and short-term investments. Total liabilities and shareholders' equity also saw decreases Condensed Consolidated Balance Sheets | Balance Sheet Item | June 30, 2025 (in thousands USD) | December 31, 2024 (in thousands USD) | | :----------------- | :------------------------------- | :----------------------------------- | | Total assets | $502,562 | $550,645 | | Total liabilities | $167,261 | $173,167 | | Total shareholders' equity | $335,301 | $377,478 | | Cash, cash equivalents and restricted cash | $53,002 | $83,433 | | Short-term investments | $262,131 | $275,043 | Condensed Consolidated Statements of Operations For the three and six months ended June 30, 2025, Aurinia reported significant improvements in net income and diluted EPS compared to the prior year. Total revenue increased, while selling, general and administrative expenses decreased substantially Condensed Consolidated Statements of Operations | Metric | Q2 2025 (in thousands USD) | Q2 2024 (in thousands USD) | H1 2025 (in thousands USD) | H1 2024 (in thousands USD) | | :----- | :------------------------- | :------------------------- | :------------------------- | :------------------------- | | Total Revenue | $70,008 | $57,192 | $132,473 | $107,495 | | Net Income (Loss) | $21,513 | $722 | $44,857 | $(10,027) | | Diluted EPS | $0.16 | $0.01 | $0.32 | $(0.07) | | Selling, General and Administrative Expenses | $26,018 | $44,934 | $46,357 | $92,629 | | Research and Development Expenses | $7,432 | $4,080 | $13,175 | $9,631 | Condensed Consolidated Statements of Cash Flows For the six months ended June 30, 2025, operating activities generated $45.5 million in cash, a positive reversal from the prior year. Investing activities provided $17.8 million, while financing activities used $93.7 million, primarily due to share repurchases Condensed Consolidated Statements of Cash Flows | Cash Flow Activity | H1 2025 (in thousands USD) | H1 2024 (in thousands USD) | | :----------------- | :------------------------- | :------------------------- | | Net cash provided by (used in) operating activities | $45,541 | $(2,755) | | Net cash provided by investing activities | $17,759 | $10,611 | | Net cash used in financing activities | $(93,731) | $(23,324) | | Repurchase of common shares | $(89,485) | $(18,435) |