Moderna Expands Cost-Cutting Program By Up To $1.7 Billion, FDA Approval For Flu/COVID-19 Combo Shot Delayed Into 2026

Core Insights - Moderna Inc. reported a first-quarter EPS loss of $(2.52), which was better than the consensus estimate of $(3.12) but worse than the $(3.07) loss from the previous year [1] - Quarterly sales were $108 million, down from $167 billion a year ago, but exceeded the consensus of $106.20 million [1] - The decline in product sales was attributed to lower vaccination rates and the normalization of COVID-19 into a seasonal market, with demand expected to peak in the second half of the year [2] Financial Performance - The company reported $84 million in Spikevax sales, with $29 million from the U.S. and $55 million from international markets in the first quarter of 2025 [3] - Cost of sales for the fourth quarter of 2024 was $739 million, which included third-party royalties of $45 million, inventory write-downs of $193 million, and wind-down costs of $259 million [4] Guidance and Future Outlook - Moderna reiterated its 2025 revenue outlook of $1.5 billion to $2.5 billion, compared to a consensus of $2.14 billion, expecting approximately $0.2 billion in the first half of the year [5] - The company announced a new GAAP operating cost estimate for 2027 of $4.7 to $5 billion, reducing estimated operating costs by $1.4 to $1.7 billion compared to its 2025 estimate [6] - Moderna submitted its flu/COVID combination vaccine (mRNA-1083) for regulatory approval, targeting approval in 2026 due to an extended review timeline [7] Market Reaction - Following the earnings report, Moderna's stock price decreased by 4.52% to $27.25 [7]