Share count
139Mpeak FY2024
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AUPH, Aurinia Pharmaceuticals Inc
Pharmaceuticals consumer brand
Aurinia is a biopharmaceutical company focused on delivering therapies to people living with autoimmune diseases with high unmet medical needs.
Aurinia Pharmaceuticals Inc markets LUPKYNIS in the U.S. directly through its own commercial organization.
The business
What it sells, where the money comes from, the kind of company it is.
Revenue · FY2025
$283M
+20.4% YoY · 41% 5-yr CAGR
Vital signs · TTM, with 5-yr average
Revenue $298M 5-yr avg $175M
Revenue $78M +24.4% vs yr-ago qtr
Operating margin 53.3% yr-ago 35.0%
Net income $34M yr-ago $23M
Net margin 44.2% yr-ago 37.4%
The business in brief
read the 10-K →What this business is and what moves its needle, from its own SEC filings.
- What moves the needle
- Operating margin has reached 37% at its best but run negative through the cycle (median −208%) on a 88% gross margin — so the question is which reading is truer: whether the median was pulled below zero by one-off charges, by the cycle, or by spending it is still growing into, and whether it settles back at a profit. Stock-based pay runs about 26% of sales, a real and recurring claim on owners that the GAAP margin understates. Read this kind of business on the pipeline against the patent cliff, and pricing. On its own account, the filing leans hardest on customer concentration, set against the numbers in what the filing emphasizes, below.
- Is it a good business?
- Return on capital has rarely cleared the cost of capital (median −28%, above 15% in 1 of 7 years). This is price-taker territory, where the balance sheet and the cycle matter more than any multiple; the rest is in the 10-K.
Every line is arithmetic on the company's filings, shown in full in the sections below.
The record
Ten years of arithmetic, read across the cycle.
The record, 2018–2025
realized figures from each filing · older years to the left| 2018’18 | 2019’19 | 2020’20 | 2021’21 | 2022’22 | 2023’23 | 2024’24 | 2025’25 | TTMTTMMar 2026 | |
|---|---|---|---|---|---|---|---|---|---|
| Income statement | |||||||||
| $463K | $318K | $50M | $46M | $134M | $176M | $235M | $283M | $298M | RevenueRevenue |
| — | 100% | — | — | — | 92% | 88% | 88% | 90% | Gross marginGross mgn |
| n/m | n/m | 194% | 380% | 147% | 111% | 73% | 36% | 35% | SG&A / revenueSG&A/rev |
| n/m | n/m | 100% | 112% | 34% | 28% | 9% | 11% | 11% | R&D / revenueR&D/rev |
| ($55M) | ($91M) | ($104M) | ($181M) | ($111M) | ($92M) | ($5M) | $105M | $124M | Operating incomeOp. inc. |
| n/m | n/m | −208.1% | −396.3% | −83.2% | −52.2% | −2.0% | 37.1% | 41.7% | Operating marginOp. mgn |
| ($53M) | ($88M) | ($103M) | ($181M) | ($108M) | ($78M) | $6M | $287M | $298M | Net incomeNet inc. |
| Cash flow & returns | |||||||||
| ($52M) | ($64M) | ($70M) | ($158M) | ($80M) | ($33M) | $44M | $136M | $167M | Operating cash flowOp. cash |
| $20K | $33K | $1M | $3M | $3M | $12M | $19M | $19M | $19M | DepreciationDeprec. |
| ($5M) | $17M | $14M | ($11M) | ($6M) | ($12M) | ($12M) | ($186M) | ($168M) | Working capital & otherWC & other |
| — | — | — | — | $0 | $0 | $40M | $98M | — | BuybacksBuybacks |
| -246% | — | -61% | -58% | -28% | -22% | -1% | 21% | 24% | ROICROIC |
| -39% | -30% | -25% | -38% | -27% | -21% | 2% | 49% | 53% | Return on equityROE |
| −39% | −30% | −25% | −38% | −27% | −21% | 2% | 49% | 53% | Retained to equityRetained/eq |
| Balance sheet | |||||||||
| $118M | $306M | $272M | $232M | $94M | $49M | $83M | $80M | $41M | Cash & investmentsCash+inv |
| — | $0 | $14M | $19M | $25M | $40M | $39M | $46M | $46M | InventoryInvent. |
| — | $4M | $3M | $4M | $3M | $4M | $5M | $3M | $3M | Accounts payablePayables |
| — | ($4M) | $11M | $15M | $22M | $35M | $34M | $42M | $44M | Operating working capitalOper. WC |
| — | $315M | $419M | $513M | $443M | $425M | $447M | $492M | $480M | Current assetsCur. assets |
| — | $11M | $32M | $41M | $46M | $77M | $98M | $94M | $87M | Current liabilitiesCur. liab. |
| — | 27.9× | 13.1× | 12.6× | 9.6× | 5.5× | 4.6× | 5.2× | 5.5× | Current ratioCurr. ratio |
| — | $324M | $464M | $543M | $471M | $548M | $551M | $752M | $724M | Total assetsAssets |
| ($118M) | ($306M) | ($272M) | ($232M) | ($94M) | ($49M) | ($83M) | ($80M) | ($41M) | Net debt / (cash)Net debt |
| — | — | — | — | — | -33.0× | -1.0× | 24.2× | 29.1× | Interest coverageInt. cov. |
| $136M | $299M | $408M | $479M | $405M | $378M | $377M | $581M | $568M | Shareholders’ equityEquity |
| n/m | n/m | 34.8% | 68.5% | 24.1% | 25.8% | 13.4% | 5.2% | 5.8% | Stock comp / revenueSBC/rev |
| Per share | |||||||||
| 84.8M | 93.0M | 118M | 129M | 142M | 143M | 146M | 139M | 138M | Shares out (diluted)Shares |
| $0.01 | $0.00 | $0.42 | $0.35 | $0.94 | $1.23 | $1.61 | $2.04 | $2.17 | Revenue / shareRev/sh |
| $-0.63 | $-0.95 | $-0.87 | $-1.40 | $-0.76 | $-0.54 | $0.04 | $2.07 | $2.17 | EPS (diluted)EPS |
| $1.60 | $3.21 | $3.44 | $3.70 | $2.86 | $2.64 | $2.58 | $4.19 | $4.12 | Book value / shareBVPS |
Per-share growththe realized rate an owner's share compounded
| 7-yr | 5-yr | |
|---|---|---|
| Revenue / share | +133.1%/yr | +37.0%/yr |
| Book value / share | +14.7%/yr | +4.0%/yr |
The record, charted
FY2018–2025Each measure over its full record; the current point and the worst year marked.
ROIC
21%low FY2018
Gross margin
88%low FY2024
Quality & stewardship
Returns, the balance sheet, capital allocation, and pay.
Owner’s Scorecard
FY2025 10-K · source on SEC EDGAR →
Will it survive?
- Can it pay its interest? 24.2×ComfortableOperating income $105M ÷ interest expense $4M
What this means
Operating profit covers interest with the kind of margin Graham wanted for a defensive holding. Necessary, not sufficient, it says solvent, not cheap.
- Net cash, debt-freeCash $80M − debt $0
What this means
Cash and short-term investments exceed every dollar of debt by $80M, on net the company owes nothing, and can act from strength when others can't. Net debt is the leverage figure that matters: the cash is already set against the debt. Strategic or illiquid investments aren't counted here.
- Not enough data
What this means
The filing data didn't include the inputs for this check.
Is it a good business?
- Not enough dataIndustry peers: median -37%
What this means
The filing data didn't include the inputs for this check.
- Not enough dataIndustry peers: median -1%
What this means
The filing data didn't include the inputs for this check.
- Thinly cash-backedCash from ops $136M ÷ net income $287M
What this means
How much of reported profit showed up as operating cash. Above 1× is reassuring; well below suggests earnings lean on accruals. One year is noisy, growth and working-capital swings distort it, and this is operating cash, not free cash. Watch the multi-year trend.
How is the cash used?
- Not enough data
What this means
The filing data didn't include the inputs for this check.
- Investing or harvesting? —Not enough data
What this means
The filing data didn't include the inputs for this check.
Graham’s defensive tests · 1 of 4 met
Graham’s numerical criteria for the defensive investor (The Intelligent Investor, ch. 14), run on the filings. A floor of safety, not a buy signal; many fine modern businesses fail his strictest liquidity rules by design.
- Adequate size MissRevenue ≥ $2B · $283M
What this means
Big enough to weather a storm. Graham's 1972 floor was ~$100M of sales (≈ $700M today); we use a $2B revenue line as a conservative modern stand-in.
- Strong liquidity PassCurrent ratio ≥ 2× · 5.25×
What this means
Current assets at least twice current liabilities, near-term bills covered without touching the business. Strict by design: many cash-rich modern firms run leaner and miss it, holding their cushion in longer-dated securities.
- Earnings stability MissA profit every year (8-yr record) · 6 loss years
What this means
Graham wanted earnings in each of the past ten years, the stability a defensive owner leans on.
- Dividend record MissUninterrupted dividends · none paid
What this means
An unbroken dividend was Graham's mark of durability. He wanted twenty years; the filings show about ten, and a single suspension breaks the streak. Non-payers, many fine modern compounders, fall outside his defensive net by design.
- Earnings growth —Earnings +33% over the record · —
What this means
Earnings were negative early in the record, a growth rate isn't meaningful.
- Moderate price —P/E ≤ 15 and P/E × P/B ≤ 22.5 · decided by the price
What this means
Graham's valuation gate, the wall he kept between a sound business and a sound investment. Three-year average earnings are $0.56/share (latest year $2.23), the averaged base the calculator's gate runs on, and book value is $4.52/share. Enter a price in “What the price implies” just below for the P/E, P/B, and whether it clears. But this is the rule Buffett outgrew: there's no hard P/E law, and a wonderful business can deserve a far richer multiple if the thesis holds, treat it as the bargain-hunter's floor, not a verdict on the price.
Durability & moat, 2018–2025
Whether the record’s returns held, and what the capital reinvested earned.
- Profitable years 2 of 8
What this means
Lost money in 6 year(s), look at what happened there before trusting the average.
- Operating margin −13579% → −6% (3-yr avg ends)
What this means
Through the cycle the operating margin widened — about −13579% early to −6% lately, median −208% — pricing power intact or improving.
- Worst year 2019 · −28598.4% op. margin
What this means
Operations went underwater in 2019, understand why before trusting the good years.
- Share count +7.3%/yr
What this means
The share count is rising, dilution works against you on a per-share basis.
Does AI threaten the moat?
Low contestabilityThe moat is physical, regulated or balance-sheet-funded, the kind AI cuts costs within but does not contest.
AI is unlikely to contest a moat that is physical, regulated or balance-sheet-funded; here it reads more as a cost tool than a threat.
Read from the filing's own risk factors, paired with the industry's structure under its SIC code; the durability is read above, the price below.
All figures as filed; the source filing is linked above.
Current Position
as of the latest quarter, Mar 31, 2026Can the business pay what it owes this year, off the freshest balance sheet: the quality of the assets, the debt actually coming due, and what a low ratio means here.
Current assets$480M
- Cash & short-term investments$41M
- Inventory$46M
- Other current assets$393M
Current liabilities$87M
- Accounts payable$3M
- Other current liabilities$84M
Current ratio5.55×all current assets ÷ what's due · Graham looked for 2×
Quick ratio5.01×stricter: inventory excluded
Cash ratio0.47×strictest: cash alone against what's due
Working capital$394Mthe cushion left after near-term bills
Revenue, latest quarter vs. a year ago+24.4%the freshest read on whether the business is still growing
Current ratio, recent quarters5.3× → 5.5×
Deeper floors
Tangible book value$564Mequity stripped of goodwill & intangibles
Net current asset value$324MGraham's net-net: current assets less all liabilities
Debt incl. operating leases$4M$4M of it operating leases
Deferred revenue$17Mcustomer cash collected before delivery; operating float
From the company's latest filing.
Management, ownership & pay
read the proxy →From the proxy: how much of the business the people running it own, and how they are paid, beside what the business earned for its owners in the same years.
| Fiscal year | Chief executive | Pay, as filed | “Actually paid” | Net income |
|---|---|---|---|---|
| 2021 | Peter Greenleaf | $1.2M | $16.3M | ($181M) |
| 2022 | Peter Greenleaf | $8.8M | −$8.9M | ($108M) |
| 2023 | Peter Greenleaf | $10.6M | $14.9M | ($78M) |
| 2024 | Peter Greenleaf | $6.4M | $7.6M | $6M |
| 2025 | Peter Greenleaf | $5.9M | $17.6M | $287M |
Both pay figures are the company’s own, from the pay-versus-performance table its proxy statement files. “As filed” is the Summary Compensation Table total: salary, bonus, and equity awards at their value on the day of grant. “Actually paid” is the SEC’s prescribed recalculation, which re-marks those equity awards to what they became as they vested; it can swing far above or below the filed figure in either direction, and negative years occur. Net income is the whole business's, as filed, for the same fiscal years.
- Stock-based compensation$15M
The slice of the business handed to employees in shares this year, 5% of revenue, equal to 14% of operating profit. Buffett's oldest accounting fight: this is compensation, compensation is an expense, real whether or not the headline earnings admit it. One trap: the cash-flow statement adds SBC back, so the operating cash, and the owner earnings drawn from it, are flattered by exactly this amount; counted as the cost it is, what an owner keeps is lower.
What an owner would ask, FY2025
read the 10-K →- Which reported numbers are a judgment call?Management names Revenue recognition, Income taxes as critical estimates
each rests partly on management's judgment; the filing's note sets out the assumptionsverify →
The questions the record and the charts do not answer on their own; each carries the figure and the place to look.
Peers, Pharmaceuticals
The same industry, side by side on owner economics. Each figure is a through-cycle median, so a peak or trough year can’t distort it; the group median at the foot is the line to read each against.
| Company | Revenue | Gross margin | Op. margin | ROIC | Owner earn. margin |
|---|---|---|---|---|---|
| EOLSEvolus Inc. | $297M | 68% | -44.0% | -142% | -34% |
| IRWDIronwood Pharmaceuticals Inc. | $296M | 94% | 27.3% | 44% | 35% |
| RIGLRigel Pharmaceuticals Inc. | $294M | 99% | -36.4% | -117% | -71% |
| XERSXeris Biopharma Holdings Inc. | $292M | — | -50.6% | -44% | 9% |
| AUPHAurinia Pharmaceuticals Inc | $283M | 90% | -145.6% | -28% | — |
| HROWHarrow Inc. | $272M | 70% | 0.8% | -11% | -1% |
| LGNDLigand Pharmaceuticals | $268M | 96% | 31.6% | 2% | 45% |
| ARVNArvinas Inc. | $263M | — | -306.3% | -37% | -118% |
| Group median | — | 92% | -40.2% | -33% | — |
The price
What a price has to assume.
What the price implies
reverse-DCFAurinia Pharmaceuticals Inc is profitable, but its owner-earnings base could not be formed from this filing’s tagged data (operating cash flow or capital spending is missing), so the owner-earnings reverse-DCF has no base to grow. We read the price from both ends instead: type a price to see the profitability it demands, then set the mature margin you would believe and weigh the two against each other. Nothing leaves your browser unless you enter it in your notebook.
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The assumptions
Revenue, delivered49%/yr’20→’25
Enter a price to run it.
Owner earnings it must reach—
Margin the price demands—
Owner-earnings margin today—
A dated snapshot of the price you typed, the assumptions you set, and what the page showed for them. A snapshot is never edited after it is saved. Your notebook is yours alone — the commitment states what is stored and what we will never do.
Two reads of one future. From your price: the owner earnings the company must reach, valued at a mature multiple and discounted back at your rate, expressed as the margin it implies on revenue grown at your rate. From your belief: the mature margin you would credit, set on the dial above. When the margin the price demands runs above the one you would believe, you are paying for a future taken on faith. For a deep cyclical at a trough, normalized through-cycle earnings are the better lens; this mode is for the genuinely unprofitable, and for the profitable business whose capital spending currently outruns its cash.
Cite: Owner Scorecard, "Aurinia Pharmaceuticals Inc (AUPH), the owner's record," https://ownerscorecard.com/c/AUPH, data as of 2026-07-09.
Manual order: ← AUB its page in the Manual AUR →
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