Moderna Announces Q1 2024 Financial Results and Business Updates

Moderna, Inc. (NASDAQ:MRNA) announced financial results and key business updates for the first quarter of 2024. The company reported revenues of $167 million, a significant drop from $1.9 billion in the same period of 2023, primarily due to reduced sales of its COVID-19 vaccine. The net loss for the first quarter of 2024 was $1.2 billion, translating to a GAAP diluted EPS of $(3.07).

CEO Stéphane Bancel highlighted the company's strategic focus on the upcoming launches of the Spikevax 2024-2025 formula and the RSV vaccine. Moderna has amplified its use of AI technologies to streamline operations and boost productivity. With 10 late-stage programs and more advancing, the company anticipates significant milestones in its vaccine and therapeutic portfolios throughout the year.

Commercial Updates:
Moderna reported $167 million in sales for its COVID-19 vaccine, Spikevax, in the first quarter of 2024—$100 million from the U.S. and $67 million internationally. In the U.S., the company reaffirmed its 2024 product sales outlook and is prioritizing efforts to increase vaccination coverage rates. Collaborations with public health officials, healthcare providers, and pharmacies are central to these efforts, alongside efforts to align flu and COVID-19 vaccine approvals with the FDA.

In Europe, Moderna is partaking in the EU Health Emergency and Response Authority's tendering procedure for up to 36 million doses of mRNA COVID-19 vaccines per year over the next four years. In other global markets, the company announced a contract with Brazil's Ministry of Health for 12.5 million mRNA COVID-19 vaccines as part of the country's 2024 national vaccination campaign.

The company expects initial regulatory approvals for its RSV vaccine, mRNA-1345, in the first half of 2024. The U.S. launch is targeted for fall 2024, leveraging established consumer awareness and demand in the RSV market. As the only pre-filled syringe product available, the RSV vaccine aims to reduce preparation time for pharmacists and clinicians.

Financial Results:
The revenue decline in Q1 2024 was primarily due to reduced COVID-19 vaccine sales, reflecting the anticipated shift to a seasonal market. Cost of sales decreased by 88% to $96 million, driven by lower sales volume and reduced unutilized manufacturing capacity. Research and development expenses declined by 6% to $1.1 billion, primarily due to the absence of upfront collaboration payments and lower clinical trial expenses. Selling, general, and administrative expenses decreased by 10% to $274 million due to cost efficiencies.

Moderna's cash position decreased from $13.3 billion at the end of 2023 to $12.2 billion as of March 31, 2024, largely due to research and development expenses and other operating activities.

2024 Financial Framework:
Moderna reaffirmed its expected revenues of approximately $4 billion for 2024, with $0.3 billion expected in the first half of the year. Cost of sales is projected to be around 35% of product sales, with research and development expenses estimated at $4.5 billion for the full year. Selling, general and administrative expenses are expected to be around $1.3 billion. The company anticipates negligible tax expenses and capital expenditures of approximately $0.9 billion. Year-end cash and investments are projected to be around $9 billion.

Pipeline Progress:
Moderna is advancing its pipeline with 10 late-stage programs, including eight in Phase 3 clinical trials and two rare disease programs moving toward registrational studies. Key developments include:

- Advancing the RSV vaccine candidate (mRNA-1345) towards regulatory approval.
- Showing positive results for the seasonal flu vaccine (mRNA-1010) in Phase 3 trials.
- Announcing positive interim results for the next-generation COVID-19 vaccine (mRNA-1283).
- Conducting a fully enrolled Phase 3 trial for the combination seasonal flu and COVID-19 vaccine (mRNA-1083).
- Progressing its Cytomegalovirus (CMV), Epstein-Barr virus (EBV), Varicella-Zoster virus (VZV), and norovirus vaccine candidates toward pivotal trials.
- Initiating new clinical studies for individualized neoantigen therapy (INT) in partnership with Merck.

Moderna is also discontinuing its preclinical PD-L1 program to prioritize investments in other programs. 

Corporate Updates:
Moderna announced advancements in multiple vaccine programs and a new collaboration with OpenAI to enhance mRNA medicine using generative AI. The company also secured a funding agreement with Blackstone Life Sciences for up to $750 million to advance its flu program. 

Moderna's Annual Meeting of Shareholders is scheduled for May 6, 2024. The company was named to the LinkedIn Top Companies list for the first time, recognizing it as one of the best workplaces to grow a career in the U.S.

How to obtain the latest research advancements in the field of biopharmaceuticals?

In the Synapse database, you can keep abreast of the latest research and development advances in drugs, targets, indications, organizations, etc., anywhere and anytime, on a daily or weekly basis. Click on the image below to embark on a brand new journey of drug discovery!