Novavax Reports Third Quarter 2024 Financial Results and Operational Highlights

Core Viewpoint - Novavax, Inc. has made significant progress in its R&D strategy and financial performance, including the removal of the clinical hold on its COVID-19-Influenza Combination vaccine and the authorization for its updated COVID-19 vaccine for the 2024-2025 season [1][5][7]. Financial Performance - Total revenue for Q3 2024 was $85 million, a decrease from$187 million in Q3 2023 [9]. - Product sales amounted to $38 million, primarily from the U.S. market, while licensing, royalties, and other revenue were$46 million [9]. - The net loss for Q3 2024 was $121 million, compared to a net loss of$131 million in the same period in 2023 [9][18]. Operational Highlights - The company ended Q3 2024 with $1 billion in cash and receivables [1]. - Novavax is advancing its partnership with Sanofi for the Nuvaxovid™ COVID-19 vaccine, with a milestone payment of$50 million expected upon completion of pediatric clinical trial database lock [4]. - The FDA has removed the clinical hold on Novavax's Investigational New Drug application for its COVID-19-Influenza Combination and stand-alone influenza vaccine candidates [5]. R&D Strategy - Novavax is focusing on expanding its early-stage pipeline beyond COVID-19 and influenza, utilizing its proven technology platform [2]. - The company has outlined guiding principles for its new R&D strategy and appointed Ruxandra Draghia-Akli as Executive Vice President and Head of R&D [5]. - Ongoing pre-clinical programs for pandemic influenza and respiratory syncytial virus (RSV) are being advanced towards IND readiness [5]. Cost Management - Novavax achieved a 26% reduction in combined R&D and SG&A expenses in Q3 2024 compared to the same period in 2023 [6]. - The company targets combined R&D and SG&A expenses of approximately $500 million for 2025 and$350 million for 2026, reflecting a significant reduction from previous years [6]. Market Position - The updated COVID-19 vaccine has received Emergency Use Authorization from the U.S. FDA for individuals aged 12 and older, with broader access through over 30,000 locations in the U.S. [7][9]. - Global authorizations have been received, including in the European Union, Canada, and Taiwan [9].