Moderna Stock Rises on Q3 Earnings & Sales Beat, Reiterates View

Financial Performance - Moderna reported earnings of 3 cents per share in Q3 2024, significantly better than the Zacks Consensus Estimate of a loss of $1.89 per share and a loss of $9.53 per share in the same period last year [1] - Revenues for the quarter were $1.86 billion, exceeding the Zacks Consensus Estimate of $1.26 billion, with total revenues rising nearly 2% year over year due to higher product sales [1] Stock Market Reaction - Following the earnings report, Moderna's shares increased nearly 8% in pre-market trading, surprising investors who anticipated a loss [2] Product Sales - Product sales increased by 4% year over year to $1.82 billion, primarily driven by higher sales of the COVID-19 vaccine Spikevax in the U.S. [5] - The company recorded $10 million in sales from the recently launched RSV vaccine mResvia, which fell short of the estimated $70 million due to late approval and recommendations [6] Cost Management - Selling, general and administrative (SG&A) expenses decreased by 36% year over year to $281 million, attributed to cost discipline and efficiency improvements [8] - Research & development (R&D) expenses were $1.1 billion, down 2% from the previous year, driven by lower spending on clinical studies [9] Guidance and Future Outlook - Moderna reiterated its product revenue guidance for 2024, expecting sales between $3 billion and $3.5 billion, and adjusted full-year R&D expenses to be between $4.6 billion and $4.7 billion [10] - The company plans to submit three regulatory filings for FDA approval before year-end, including for next-generation COVID-19 and combination vaccines [12] Pipeline Developments - Moderna has over 40 mRNA-based investigational candidates in various clinical stages, including late-stage studies for cancer therapies [14] - The company is co-developing mRNA-4157 with Merck, currently evaluating it in pivotal phase III studies for melanoma and non-small cell lung cancer [15]