Moderna Therapeutics beat revenue expectations for its fourth-quarter but fell short on profit forecasts as it scales back manufacturing to combat declining demand for its COVID-19 vaccine.
The biotech firm reported $966 million in quarterly sales, down 66% from the same period last year. The majority of this total came from its COVID-19 shot, which generated $923 million in revenue, down 66% from the prior year. This decline was attributed to the earlier launch of a new COVID-19 vaccine variant, which shifted sales into the third quarter.
Moderna’s net loss for the fourth quarter widened to $1.12 billion, or $2.91 per share, compared to a net income of $217 million, or 55 cents per share, reported in the same period last year. The company cited a non-cash charge related to ending a contract manufacturing agreement as a significant contributor to this loss.
Despite the disappointing results, Moderna maintained its full-year 2025 sales guidance at $1.5 billion to $2.5 billion, with most of these projections expected in the second half of the year. The company’s Chief Financial Officer stated that it reduced costs by 27% compared to 2023 and aims to cut another $1 billion in costs by the end of 2025.
Moderna is shifting its focus to new product approvals, including a next-generation COVID-19 vaccine and an RSV vaccine targeting high-risk adults. The company expects decisions on these products from regulatory authorities later this year. Its pipeline includes several other mRNA-based products, which are expected to be approved in the coming years.
The company’s shares rose 3% on Friday following the release of its Q4 results, despite the disappointing forecast. Analysts attributed this gain to hopes that Moderna can navigate the challenges posed by increased competition in the COVID-19 vaccine market and shifting demand for respiratory products.
Source: https://www.cnbc.com/2025/02/14/moderna-mrna-q4-earnings-2024.html