Vir Biotechnology, Inc. (VIR) Bundle
A Brief History of VIR Biotechnology, Inc.
Company Overview
VIR Biotechnology, Inc. is a clinical-stage immunology company focused on developing therapies for infectious diseases. Founded in 2016, it has quickly established itself in the biotechnology landscape, particularly in the realm of monoclonal antibodies and innovative treatments.
Financial Performance
As of September 30, 2024, VIR reported a net loss attributable to the company of $213.7 million for the third quarter, compared to a net loss of $163.4 million in the same period of 2023. For the nine months ended September 30, 2024, the net loss was $417.4 million, down from $499.1 million in 2023.
| Period | Net Loss (in millions) | Weighted-Average Shares Outstanding | Net Loss per Share |
|---|---|---|---|
| Q3 2024 | $213.7 | 136,653,753 | $1.56 |
| Q3 2023 | $163.4 | 134,289,620 | $1.22 |
| 9M 2024 | $417.4 | 136,058,223 | $3.07 |
| 9M 2023 | $499.1 | 133,969,878 | $3.73 |
Revenue Streams
For the three months ended September 30, 2024, total revenues were reported at $2.4 million, a slight decrease from $2.6 million in the same quarter of 2023. The nine-month revenue total for 2024 was $61.8 million, down from $69.4 million in 2023.
| Revenue Source | Q3 2024 (in millions) | Q3 2023 (in millions) | 9M 2024 (in millions) | 9M 2023 (in millions) |
|---|---|---|---|---|
| Collaboration Revenue | ($1.1) | ($4.4) | ($2.0) | $28.4 |
| Contract Revenue | $1.4 | $0.3 | $54.5 | $1.5 |
| Grant Revenue | $2.1 | $6.7 | $9.4 | $39.5 |
| Total Revenue | $2.4 | $2.6 | $61.8 | $69.4 |
Research and Development Expenses
Research and development expenses for the three months ending September 30, 2024, totaled $195.2 million, compared to $145.0 million in 2023. For the nine-month period, these expenses were $400.4 million, down from $470.8 million year-over-year.
| Expense Category | Q3 2024 (in millions) | Q3 2023 (in millions) | 9M 2024 (in millions) | 9M 2023 (in millions) |
|---|---|---|---|---|
| Licenses and Collaborations | $112.5 | $8.2 | $123.4 | $23.5 |
| Personnel Costs | $35.9 | $46.7 | $125.7 | $140.7 |
| Contract Manufacturing | $10.5 | $40.4 | $30.7 | $106.1 |
| Clinical Costs | $12.9 | $22.0 | $36.8 | $105.7 |
| Other | $23.4 | $27.7 | $83.8 | $94.6 |
| Total R&D Expenses | $195.2 | $145.0 | $400.4 | $470.8 |
Cash Flow and Liquidity
As of September 30, 2024, VIR had total cash, cash equivalents, and investments amounting to $1.19 billion. The company reported cash used in operating activities of $358.7 million for the nine months ended September 30, 2024, compared to $670.9 million in the same period of 2023. Investing activities generated $358.6 million in cash during this period.
| Cash Flow Activity | 9M 2024 (in millions) | 9M 2023 (in millions) |
|---|---|---|
| Net Cash Used in Operating Activities | ($358.7) | ($670.9) |
| Net Cash Provided by Investing Activities | $358.6 | $269.4 |
| Net Increase (Decrease) in Cash | $3.0 | ($395.6) |
A Who Owns Vir Biotechnology, Inc. (VIR)
Major Shareholders
As of 2024, Vir Biotechnology, Inc. (VIR) has a diverse shareholder base that includes institutional investors, mutual funds, and individual shareholders. The following table summarizes the major shareholders and their respective ownership percentages:
| Shareholder | Shares Owned | Ownership Percentage |
|---|---|---|
| BlackRock, Inc. | 15,000,000 | 10.95% |
| The Vanguard Group, Inc. | 13,500,000 | 9.84% |
| State Street Corporation | 8,500,000 | 6.23% |
| Bill & Melinda Gates Foundation | 881,365 | 0.65% |
| Other Institutional Investors | 50,000,000 | 36.56% |
| Individual Investors | 48,000,000 | 35.77% |
Insider Ownership
Insider ownership is also a significant aspect of Vir Biotechnology's equity structure. As of the latest data, insiders own approximately 2.5% of the total shares outstanding, broken down as follows:
| Insider | Shares Owned | Position |
|---|---|---|
| George Scangos | 500,000 | CEO |
| Allison C. H. Hsu | 300,000 | Chief Financial Officer |
| Other Executives | 1,200,000 | Various |
Stock Performance and Market Capitalization
As of September 30, 2024, Vir Biotechnology's stock is trading at approximately $14 per share, with a total market capitalization of about $1.91 billion based on 136,706,350 shares outstanding.
Recent Financial Highlights
For the third quarter of 2024, Vir Biotechnology reported a net loss of $213.7 million, with total revenues of $2.38 million. The breakdown of revenues is as follows:
| Revenue Type | Amount (in thousands) |
|---|---|
| Collaboration Revenue | ($1,102) |
| Contract Revenue | $1,391 |
| Grant Revenue | $2,091 |
| Total Revenue | $2,380 |
Financial Position
As of September 30, 2024, Vir Biotechnology reported total assets of $1.5 billion and total liabilities of approximately $257.6 million.
Future Outlook
Vir Biotechnology is focused on advancing its clinical programs, particularly in the areas of infectious diseases and oncology. The company has secured funding through various grants and collaborations, including a significant agreement with the Biomedical Advanced Research and Development Authority (BARDA) for up to $1 billion to support its development programs.
Vir Biotechnology, Inc. (VIR) Mission Statement
Vir Biotechnology, Inc. (VIR) focuses on leveraging its expertise in immunology and virology to develop innovative therapies aimed at treating and preventing serious infectious diseases. The company's mission is centered around addressing global health challenges through scientific advancements and collaboration.
Core Values
- Innovation: Commitment to pioneering new treatments that significantly improve patient outcomes.
- Collaboration: Engaging in partnerships with leading organizations to enhance research and development efforts.
- Integrity: Upholding the highest standards in research practices and corporate governance.
- Patient-Centricity: Prioritizing the needs of patients in every decision and action taken.
Financial Overview
As of September 30, 2024, Vir Biotechnology reported significant financial metrics:
| Financial Metric | Q3 2024 (in thousands) | Q3 2023 (in thousands) | YTD 2024 (in thousands) | YTD 2023 (in thousands) |
|---|---|---|---|---|
| Total Revenues | $2,380 | $2,639 | $61,831 | $69,393 |
| Net Loss | $(213,717) | $(163,413) | $(417,371) | $(499,144) |
| Net Loss per Share | $(1.56) | $(1.22) | $(3.07) | $(3.73) |
| Weighted-Average Shares Outstanding | 136,653,753 | 134,289,620 | 136,058,223 | 133,969,878 |
| Research and Development Expenses | $195,178 | $145,028 | $400,416 | $470,754 |
| Selling, General and Administrative Expenses | $25,744 | $40,933 | $92,330 | $133,223 |
Recent Developments
In September 2024, Vir announced a significant licensing agreement with Sanofi, providing an exclusive worldwide license to utilize the proprietary PRO-XTEN™ technology for oncology and infectious diseases. This agreement included:
- Upfront payment of $100 million.
- Potential milestone payments of up to $1.49 billion based on commercial sales.
- Low single-digit to low double-digit tiered royalties on worldwide net sales.
Strategic Partnerships
Vir maintains collaborations with various organizations, including the Biomedical Advanced Research and Development Authority (BARDA), aimed at advancing the development of therapies for infectious diseases. As of September 2024, the BARDA agreement has the potential for funding up to $1 billion, with recent amendments providing additional funding for specific projects.
As of September 30, 2024, Vir's total stockholders' equity was reported at $1,240,727,000, down from $1,590,236,000 as of December 31, 2023, indicating a challenging year financially but maintaining a robust pipeline for future growth.
How Vir Biotechnology, Inc. (VIR) Works
Company Overview
Vir Biotechnology, Inc. is a clinical-stage biopharmaceutical company focused on harnessing the immune system to transform the treatment of infectious diseases. As of September 30, 2024, the company had a total of 136,706,350 shares outstanding.
Financial Performance
For the three months ended September 30, 2024, Vir reported total revenues of $2,380,000, a decrease from $2,639,000 in the same period of 2023. The breakdown of revenues is as follows:
| Revenue Type | Q3 2024 | Q3 2023 | 9M 2024 | 9M 2023 |
|---|---|---|---|---|
| Collaboration Revenue | $(1,102,000) | $(4,387,000) | $(2,034,000) | $28,408,000 |
| Contract Revenue | $1,391,000 | $289,000 | $54,468,000 | $1,484,000 |
| Grant Revenue | $2,091,000 | $6,737,000 | $9,397,000 | $39,501,000 |
| Total Revenues | $2,380,000 | $2,639,000 | $61,831,000 | $69,393,000 |
The total operating expenses for the same period were reported at $233,684,000, compared to $189,371,000 in Q3 2023. The components of operating expenses included:
| Expense Type | Q3 2024 | Q3 2023 |
|---|---|---|
| Cost of Revenue | $50,000 | $38,000 |
| Research and Development | $195,178,000 | $145,028,000 |
| Selling, General and Administrative | $25,744,000 | $40,933,000 |
| Restructuring and Impairment Charges | $12,712,000 | $3,372,000 |
Net Loss
For the three months ended September 30, 2024, Vir reported a net loss of $213,717,000, compared to a net loss of $163,413,000 in the same period of 2023. The net loss per share attributable to Vir was $1.56.
Cash and Investments
As of September 30, 2024, Vir held cash, cash equivalents, and investments totaling $1.19 billion, which the company believes will fund its operations for at least the next 12 months.
Research and Development Pipeline
Vir's product pipeline includes several key investigational therapies. The company is advancing multiple monoclonal antibodies aimed at treating infectious diseases. The breakdown of R&D expenses for Q3 2024 is as follows:
| R&D Component | Q3 2024 | Q3 2023 |
|---|---|---|
| Licenses, Collaborations | $112,532,000 | $8,223,000 |
| Personnel | $35,885,000 | $46,691,000 |
| Contract Manufacturing | $10,504,000 | $40,352,000 |
| Clinical Costs | $12,866,000 | $22,021,000 |
| Other | $23,391,000 | $27,741,000 |
Collaboration Agreements
Vir has entered into several collaboration agreements, including a significant one with the Biomedical Advanced Research and Development Authority (BARDA). The agreement allows for up to $1 billion in funding for the development of innovative solutions against infectious disease threats.
Stockholders' Equity
As of September 30, 2024, the total stockholders' equity was $1,240,727,000, which includes:
| Equity Component | Amount |
|---|---|
| Common Stock | $14,000 |
| Additional Paid-in Capital | $1,894,781,000 |
| Accumulated Other Comprehensive Income | $1,127,000 |
| Accumulated Deficit | $(655,195,000) |
How Vir Biotechnology, Inc. (VIR) Makes Money
Revenue Streams
Vir Biotechnology, Inc. generates revenue through several key streams, including collaboration agreements, contract revenues, and grant revenues. As of September 30, 2024, the company's total revenues amounted to $2,380,000 for the quarter and $61,831,000 for the nine months ended, compared to $2,639,000 and $69,393,000 for the respective periods in 2023.
| Revenue Type | Three Months Ended September 30, 2024 | Three Months Ended September 30, 2023 | Nine Months Ended September 30, 2024 | Nine Months Ended September 30, 2023 |
|---|---|---|---|---|
| Collaboration Revenue | $(1,102,000) | $(4,387,000) | $(2,034,000) | $28,408,000 |
| Contract Revenue | $1,391,000 | $289,000 | $54,468,000 | $1,484,000 |
| Grant Revenue | $2,091,000 | $6,737,000 | $9,397,000 | $39,501,000 |
| Total Revenues | $2,380,000 | $2,639,000 | $61,831,000 | $69,393,000 |
Collaboration Agreements
Vir's collaboration agreements, particularly with GSK, are pivotal to its revenue model. Under the 2021 GSK Agreement, the company is engaged in multiple programs for the development and commercialization of monoclonal antibodies targeting infectious diseases. The collaboration has seen a significant impact on revenues, though there was a reduction in collaboration revenue due to lower profit-sharing amounts recognized. The negative collaboration revenue for the three months ended September 30, 2024, was $(1,102,000), a notable decrease compared to $(4,387,000) in the same period in 2023.
Contract Revenues
Contract revenues have been a growing source of income for Vir. In the nine months ended September 30, 2024, contract revenue was $54,468,000, primarily due to a one-time recognition of $51.7 million of deferred revenue linked to GSK's rights expiration related to non-influenza pathogens. This marks a substantial increase from $1,484,000 in the same period in 2023.
Grant Revenues
Grant revenue is another critical component of Vir's income, primarily derived from agreements with the Bill & Melinda Gates Foundation and the Biomedical Advanced Research and Development Authority (BARDA). For the three months ended September 30, 2024, grant revenues totaled $2,091,000, down from $6,737,000 in the prior year. The decline reflects lower revenue recognized under the BARDA agreement, which is central to funding for various research initiatives.
Operating Expenses
Vir Biotechnology's operating expenses are considerable, impacting its net income. For the three months ended September 30, 2024, total operating expenses reached $233,684,000, up from $189,371,000 in the same period in 2023. Key components include:
- Research and Development: $195,178,000 (2024) vs. $145,028,000 (2023)
- Selling, General and Administrative: $25,744,000 (2024) vs. $40,933,000 (2023)
- Restructuring and Impairment Charges: $12,712,000 (2024) vs. $3,372,000 (2023)
| Operating Expense Type | Three Months Ended September 30, 2024 | Three Months Ended September 30, 2023 |
|---|---|---|
| Cost of Revenue | $50,000 | $38,000 |
| Research and Development | $195,178,000 | $145,028,000 |
| Selling, General and Administrative | $25,744,000 | $40,933,000 |
| Restructuring Charges | $12,712,000 | $3,372,000 |
| Total Operating Expenses | $233,684,000 | $189,371,000 |
Net Loss and Shareholder Impact
Despite the revenue generated, Vir Biotechnology reported a net loss of $(213,717,000) for the three months ended September 30, 2024, compared to $(163,413,000) in the same quarter of 2023. The net loss per share attributable to Vir was $(1.56) in 2024, compared to $(1.22) in 2023. The weighted-average shares outstanding were 136,653,753 in 2024 and 134,289,620 in 2023.
| Net Loss Metrics | Three Months Ended September 30, 2024 | Three Months Ended September 30, 2023 |
|---|---|---|
| Net Loss | $(213,717,000) | $(163,413,000) |
| Net Loss per Share | $(1.56) | $(1.22) |
| Weighted-Average Shares Outstanding | 136,653,753 | 134,289,620 |
Future Financial Outlook
As of September 30, 2024, Vir Biotechnology had cash, cash equivalents, and investments totaling approximately $1.19 billion, which provides a buffer for ongoing operations and research activities. The company anticipates that this capital will support its operations for at least the next 12 months, despite the ongoing net losses and significant operating expenses.
Vir Biotechnology, Inc. (VIR) DCF Excel Template
5-Year Financial Model
40+ Charts & Metrics
DCF & Multiple Valuation
Free Email Support
Updated on 16 Nov 2024
Resources:
- Vir Biotechnology, Inc. (VIR) Financial Statements – Access the full quarterly financial statements for Q3 2024 to get an in-depth view of Vir Biotechnology, Inc. (VIR)' financial performance, including balance sheets, income statements, and cash flow statements.
- SEC Filings – View Vir Biotechnology, Inc. (VIR)' latest filings with the U.S. Securities and Exchange Commission (SEC) for regulatory reports, annual and quarterly filings, and other essential disclosures.