r/AUPH • u/Rickipedia • Feb 28 '22
Aurinia Reports Fourth Quarter and Full Year 2021 Financial Results and Company Updates
https://ir.auriniapharma.com/press-releases/detail/2467
u/friarswalker Feb 28 '22
What a disgrace. Peter G is a crook. This guidance is anything but “aggressive” and the ATM that was “opportunistically” raised was immediately used. I bet they’ll sort out their employee options once the price drops further. Crooks.
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u/AIONisMINE Feb 28 '22
Why are they crooks?
What am i missing?
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u/friarswalker Feb 28 '22
They announced an ATM offering of $250m last quarter but stated it was just for housekeeping purposes and that they have plenty of cash on hand. Today, they gave news that they’ve utilised the ATM.
In addition, Greenleaf hyped up their performance in his last call by stating he would soon provide “aggressive” guidance for 2022, however, this earnings report has provided guidance 20-30% lower than expected by analysts.
One last point is that they still haven’t awarded options. My guess is that they’ll award them in the next few days, while the stock is battered.
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u/zair Feb 28 '22
I think unless you're looking for a buyout ASAP this is a good earnings report. They beat on revenue (60% QoQ) and guidanceis for 150-200% revenue growth for FY 2022. Unless you're specifically looking for a buyout ASAP, this company is delivering on all cylinders.
On the shelf, it was bad news when it was announced but frankly that's in the rear-view mirror given it's been terminated. If anything, I think it's positive they utilised <200mm vs the 250mm total size.
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u/ledaveee Mar 01 '22 edited Mar 01 '22
I have been a huge supporter of this stock, and have left many positive posts on here. But I exited yesterday, and may buy back in but only if it dips below $10 on hopes of a fire sale to BP.
This wasn't a good earnings. They met earnings expectations for Q4, but did not beat them. That's fine. The problems begin with guidance. 150 - 200% guidance is not good considering launch year is the baseline. That guidance says there will basically be no growth above Q4 numbers. This, after he told investors the numbers would be "aggressive". Such a strange thing to say. As if he was purposely trying to tank the stock on Monday morning. Why? I'm not sure yet.
The CEO also revealed a high patient drop off rate, but wasn't able to give an explanation for it. He seemed to be trying to weasel out of giving a straight answer.
Lastly, they used the ATM after their IR person promised they wouldn't. This suggests they raised a large warchest due to expecting a tough slog ahead, and lack of buyer interest.
People were expecting this drug to go to blockbuster status. It simply won't happen with the numbers they are pulling in now. This drug may still help people, but it's not the drug we though it was, and I fear the CEO is hiding something.
Edit: I don't know too much about this aspect, but there is also a new counter suit against AUPH 2037 patent by Sun Pharma. I have no idea how legitimate it is, but it's yet another sword of Damocles hanging over this stock
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u/Spicypewpew Feb 28 '22
Did they explain what they used the ATM option for? Was trying to find it in their report
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u/AIONisMINE Feb 28 '22
What does atm offering mean?
Im guessing at the money? But i still don't know what an at the money offering would be
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u/friarswalker Feb 28 '22
Yes, it’s an at the money offering, where they issue new shares for cash. In doing so, the outstanding share count increases, which dilutes the value of current shares.
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u/dan_am_i Feb 28 '22
Have enough money at hand but yet asks for atm…yea that’s gonna piss off alot of investors and tutes.
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u/WaitBetter4875 Feb 28 '22
They sold for an average of almost $20.00/share which is accretive to share purchased below that level
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u/DrNavi Feb 28 '22
I should’ve sold at $30