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Dec 31, 2021

Arbutus Q4 2021 Earnings Report

Arbutus reported its fourth quarter and year end 2021 financial results and provided a corporate update.

Key Takeaways

Arbutus Biopharma Corporation reported its Q4 and year end 2021 financial results, highlighting the expansion of development efforts in Hepatitis B and coronavirus infections. The company anticipates reporting data from four clinical trials in chronically infected HBV patients in 2022 and expects to complete IND-enabling studies for two oral compounds to treat HBV in the second half of 2022.

Expanded development efforts in Hepatitis B and coronavirus infections.

Formed strategic and clinical partnerships to explore combination therapies with AB-729.

Expanded preclinical programs in HBV with oral PD-L1 inhibitor AB-101 and oral RNA destabilizer AB-161.

Multiple key clinical trial data read-outs expected later this year for AB-729 and AB-836.

Total Revenue
$3.21M
Previous year: $2.39M
+34.4%
EPS
-$0.15
Previous year: -$0.23
-34.8%
Gross Profit
$2.78M
Previous year: -$12.1M
-122.9%
Cash and Equivalents
$109M
Previous year: $123M
-11.4%
Free Cash Flow
-$19.7M
Previous year: -$15.2M
+29.7%
Total Assets
$204M
Previous year: $137M
+49.2%

Arbutus

Arbutus

Forward Guidance

Arbutus anticipates reporting data from four clinical trials in chronically infected HBV patients in 2022 and expects to complete IND-enabling studies for two oral compounds to treat HBV in the second half of 2022. The company expects a net cash burn between $90 to $95 million in 2022 and believes its cash runway will be sufficient to fund the Company’s operations into the second quarter of 2024.

Positive Outlook

  • Reporting data from four clinical trials in chronically infected HBV patients in 2022
  • Completing IND-enabling studies for two oral compounds (PD-L1 inhibitor AB-101 and RNA destabilizer AB-161) to treat HBV in the second half of 2022
  • Advancing an oral compound that inhibits the SARS-CoV-2 nsp5 main protease into IND enabling studies in the second half of 2022
  • Cash runway sufficient to fund the Company’s operations into the second quarter of 2024
  • Strategic partnership to develop and commercialize AB-729 in China

Challenges Ahead

  • Net cash burn between $90 to $95 million in 2022
  • COVID-19 pandemic could materially impact plans and timelines in the future
  • Anticipated pre-clinical studies and clinical trials may be more costly or take longer to complete than anticipated
  • Arbutus may not receive the necessary regulatory approvals for the clinical development of Arbutus’ products
  • Economic and market conditions may worsen