Aurinia Pharmaceuticals Inc. Q2 FY2025 earnings call

• Total revenue grew 22% (3 months) and 23% (6 months) from 2024. Net product sales of LUPKYNIS up 21% (3 months) and 23% (6 months) from 2024.
• Cash flow from operations was $45.5 million for 6 months 2025 vs. negative $2.8 million in 2024. Excluding restructuring cash payments, cash flow from operations was $57 million.
• As of June 30, 2025, cash, etc. were $315.1 million. Repurchased $11.2 million of common shares for $90.8 million in 6 months 2025.
• Reported positive results from aritinercept Phase I single ascending dose study. On track to initiate further clinical studies for aritinercept in at least 2 autoimmune diseases by end of 2025.
• Cost of revenue decreased due to lower LUPKYNIS inventory sales to Otsuka. Gross margin improved. Operating expenses decreased due to restructuring, partially offset by higher R&D expenses.

For the 3 and 6 months ended June 30, 2025, net product sales of LUPKYNIS, the first FDA-approved oral therapy for adult lupus nephritis, were $66.6 million (3 months) and $126.5 million (6 months). Total revenue for the 3 months was $70 million and $132.5 million for 6 months, with LUPKYNIS sales being the primary driver of revenue growth.

• Increased full-year 2025 total revenue guidance from $250M-$260M to $260M-$270M.
• Increased net product sales guidance from $240M-$250M to $250M-$260M.
• On track to initiate further clinical studies for aritinercept in at least 2 autoimmune diseases by end of 2025.

• Forward-looking statements subject to significant risks and uncertainties.
• Competitive reasons may limit disclosure of aritinercept plans.
• Legal protraction with ANDA filings related to LUPKYNIS IP protection.

Q: Could you guide on the potential of aritinercept and dose considerations for POC studies?

A: Peter mentioned potential in 20+ B-cell-mediated diseases, not disclosing exact indications for competitive reasons; Greg noted Q4-week dosing justified from SAD study.

Q: Effects of updated ACR guidelines on LUPKYNIS adoption?

A: Increased rheumatology prescribers and hospital business; guidelines driving higher prescribing in rheumatology offices and academic settings.

Q: Status of formulation work for AUR200?

A: Goal to use patient-friendly formulation/device like auto-injector, parallel pathing with development work.

Q: R&D spend and buybacks moving forward?

A: No specific guidance on OpEx/R&D cash flows; buybacks dependent on Board discretion, but LUPKYNIS growth supports cash flow.

Q: Updates on Paragraph IV filers and pediatric exclusivity?

A: No changes; pediatric trial work part of original filing, July 2028 exclusivity not including 6 months pediatric, patents go to 2037.