Vir Biotechnology — Third Quarter 2026 Earnings Summary

Financial Performance:

• Net loss for the quarter ended September 30, 2026, was $96.3 million ($0.57 per share), compared to a net loss of $163.1 million ($1.17 per share) in the same period in 2025.
• Total revenues were negative $188,000 for the quarter, compared to $240,000 in the prior year period; this included license and collaboration revenue of negative $200,000 and grant revenue of $12,000.
• Research and development expenses were $80.0 million, a decrease from $151.5 million in the third quarter of 2025, driven by a non-recurring $75.0 million milestone expense in 2025 and cost recoveries in 2026.
• Selling, general and administrative expenses were $24.4 million, an increase from $22.2 million in the third quarter of 2025, primarily due to higher advisory and legal fees.
• Cash, cash equivalents, and investments totaled approximately $901.3 million as of September 30, 2026, representing a decrease of $106.5 million during the quarter.
• Total operating expenses were $104.5 million, down from $173.7 million in the prior year period.
• Total other income was $8.3 million, compared to $10.5 million in the prior year period.

Guidance and Future Outlook:

• The Company expects its cash, cash equivalents, and investments to fund operations into the second half of 2028.
• Topline data from the pivotal Phase 3 ECLIPSE 1 trial for chronic hepatitis delta is expected in the fourth quarter of 2026.
• Topline data from the ECLIPSE 2 and ECLIPSE 3 trials are expected in the first quarter of 2027.
• Multiple pivotal trials for the oncology candidate VIR-5500 are expected to begin in 2027.
• The Company plans to host a virtual research investor event in the first quarter of 2027 to detail its oncology strategy and preclinical pipeline.

Business Segments and Product Lines:

• Chronic Hepatitis Delta (CHD): The Company will present expanded Phase 2 SOLSTICE results at the AASLD The Liver Meeting on November 8. The ECLIPSE program (trials 1, 2, and 3) is designed to generate a comprehensive global filing package.
• Oncology (VIR-5500): Received FDA Fast Track designation for late-line metastatic castration-resistant prostate cancer (mCRPC) and has achieved proof of concept. It is currently being evaluated in a Phase 1 trial as a monotherapy and combination therapy across six dose expansion cohorts.
• Oncology (VIR-5818): A Phase 1 trial for HER2-targeted T-cell engagers is ongoing; the Company intends to add backfill cohorts in a more homogeneous patient population following FDA feedback. Dose escalation in combination with pembrolizumab is ongoing.
• Oncology (VIR-5525): Enrollment continues in a Phase 1 trial for an EGFR-targeted T-cell engager, both as a monotherapy and in combination with pembrolizumab.
• Gilead Collaboration: Entered an agreement to discover and engineer three novel PRO-XTEN® dual-masked T-cell engagers targeting solid tumor-associated antigens. Gilead holds an exclusive license to develop and commercialize these candidates.

Market and Competitive Landscape:

• Chronic hepatitis delta is classified as carcinogenic by the International Agency for Research on Cancer, with limited approved treatments currently available in the U.S. and globally.
• Prostate cancer represents the second leading cause of cancer-related mortality in men, with metastatic castration-resistant prostate cancer associated with poor clinical outcomes and a 5-year survival rate of approximately 30%.
• The PRO-XTEN® masking technology aims to limit toxicity and widen the therapeutic index of T-cell engagers in solid tumors, where usage has been previously limited due to toxicity.

Risks and Challenges:

• Risks include unexpected safety or efficacy data, delays in clinical studies, and challenges in obtaining regulatory approvals.
• Potential difficulties in collaborating with partners, accessing manufacturing capacity, and lower-than-expected clinical enrollment rates.
• Competition from alternative product candidates and changes in the competitive landscape.
• Geopolitical changes, unexpected litigation, and the high degree of risk inherent in drug development where few programs result in commercialization.

Management Commentary and Tone:

• Marianne De Backer, President and CEO, stated the Company is entering an "important period" with meaningful catalysts in hepatitis delta and oncology.
• Management expressed confidence that Vir Bio is "well positioned to deliver meaningful value for patients and stakeholders" with momentum across both therapeutic areas.
• The Company appointed Aziz Sawaf as Executive Vice President and Chief Financial Officer, David Liu as Executive Vice President and Chief Medical Officer, and Suzanne Topalian to the Board of Directors.

Other Key Points:

• The Gilead collaboration included a $65 million upfront payment and a $25 million equity investment at a 30% premium, totaling $90 million in cash consideration.
• Vir Biotechnology is eligible to receive up to $45 million in potential near-term preclinical milestones and up to $1.74 billion in further development, regulatory, and commercial milestones, along with tiered royalties.
• The Company's cash balance excludes the $90 million upfront consideration from the Gilead collaboration.
• The Company has exclusive rights to the universal PRO-XTEN® masking platform for oncology and infectious disease.