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Moderna beats on revenue but loses more than expected as it scales down manufacturing
MRNAModerna(MRNA) CNBC·2025-02-14 11:40

Core Insights - Moderna reported fourth-quarter revenue that exceeded estimates but experienced a larger-than-expected net loss, indicating ongoing challenges as the company adapts to declining demand for its Covid vaccine and seeks to launch new products [1][2] Financial Performance - The company posted a net loss of 1.12billion,or1.12 billion, or 2.91 per share, for Q4 2024, compared to a net income of 217million,or55centspershare,inthesameperiodlastyear[2]−Fourth−quartersaleswere217 million, or 55 cents per share, in the same period last year [2] - Fourth-quarter sales were 966 million, significantly down from 2.8billionintheprioryear,withCovidvaccinesalescontributing2.8 billion in the prior year, with Covid vaccine sales contributing 923 million, a 66% decrease year-over-year [6][10] - The loss per share was higher than the expected loss of 2.68,whilerevenueslightlysurpassedtheexpected2.68, while revenue slightly surpassed the expected 942.8 million [9] Cost Management - The company reduced costs by 27% compared to 2023 and aims to cut costs by an additional 1billionbytheendof2025[3]−CostofsalesforQ4was1 billion by the end of 2025 [3] - Cost of sales for Q4 was 739 million, down 20% from the previous year, including 193millioninwritedownsofunusedCovidvaccinedoses[12]ProductSalesandGuidance−Modernareiterateditsfull−year2025productsalesguidanceof193 million in writedowns of unused Covid vaccine doses [12] Product Sales and Guidance - Moderna reiterated its full-year 2025 product sales guidance of 1.5 billion to 2.5billion,withexpectationsofonly2.5 billion, with expectations of only 200 million in sales during the first half of the year due to seasonal demand [4] - The company previously slashed its 2025 sales guidance by approximately 1billion,leadingtoasignificantdropinitsstockprice[4]MarketChallenges−ThedeclineinCovidvaccinesalesisattributedtoincreasedcompetition,fallingvaccinationrates,andthetimingofmanufacturingcontracts[5]−Thecompanyalsoreported1 billion, leading to a significant drop in its stock price [4] Market Challenges - The decline in Covid vaccine sales is attributed to increased competition, falling vaccination rates, and the timing of manufacturing contracts [5] - The company also reported 15 million in U.S. sales of its RSV vaccine, which is approved for seniors [8][10] Future Developments - Moderna submitted three mRNA products for regulatory approval during Q4, including a next-generation Covid shot and a combination shot targeting Covid and flu [11] - The company is developing additional products, including a standalone flu shot and a personalized cancer vaccine, with data readouts expected later this year [12]