Aurinia Pharmaceuticals Finds No Buyer After Strategic Business Review, Launches Stock Buyback
Portfolio Pulse from Vandana Singh
Aurinia Pharmaceuticals Inc (NASDAQ:AUPH) reported a Q4 2023 EPS loss of $(0.19), missing consensus estimates. Sales beat expectations at $45.1 million. The company will discontinue AUR200 and AUR300 R&D programs, expecting to save $50-$55 million annually. A strategic review found no buyers, leading to a $150 million stock buyback program. Aurinia reaffirms its 2024 revenue guidance of $200-$220 million. AUPH shares dropped 28.70% to $5.68.
February 15, 2024 | 2:51 pm
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Aurinia Pharmaceuticals reported a Q4 2023 EPS loss and missed consensus estimates, but sales exceeded expectations. The company will discontinue certain R&D programs for cost savings and initiated a $150 million stock buyback program. It reaffirmed its 2024 revenue guidance.
The EPS miss and discontinuation of R&D programs may concern investors, potentially leading to short-term negative sentiment. However, the stock buyback program and reaffirmed revenue guidance could provide some support. The significant share price drop indicates negative market reaction.
CONFIDENCE 85
IMPORTANCE 90
RELEVANCE 100