Biotech Company Reiterates Sales Guidance, Anticipates Launch of RSV Vaccine
Moderna (MRNA), the biotech company at the forefront of Covid vaccine development, posted a narrower-than-expected loss for the first quarter as cost-cutting efforts and stronger-than-expected sales of its Covid vaccine bolstered its financial performance. Despite the decline in revenue from its flagship Covid shot, Moderna’s results were buoyed by progress in its operational efficiencies and anticipation surrounding the potential launch of its vaccine against respiratory syncytial virus (RSV).
The company reported a loss per share of $3.07, surpassing analysts’ expectations of a loss of $3.58, while its revenue of $167 million exceeded estimates of $97.5 million. Moderna’s CEO, Stéphane Bancel, highlighted the significant progress made in reducing operating expenses, underscoring the company’s resilience amidst shifting market dynamics.
Moderna’s outlook remains positive as it anticipates U.S. approval for its RSV vaccine on May 12, with expectations of a third-quarter launch. The company reiterated its full-year 2024 sales guidance of approximately $4 billion, which includes revenue from the RSV vaccine. While revenue from the Covid vaccine is expected to continue declining, Moderna is optimistic about its future growth prospects, aiming to return to sales growth in 2025 and achieve breakeven by 2026 with the introduction of new products.
Despite challenges posed by the transition to a seasonal Covid vaccine market, Moderna remains committed to innovation and operational excellence, leveraging AI technologies and digital commercial capabilities to drive efficiency and enhance its competitive position in the biotech industry.
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