Moderna Lifts 2023 COVID-19 Vaccine Sales Outlook, Despite Over 90% Fall In Q2 Sales

Moderna Inc MRNA shares are trading higher after the company reported a smaller-than-expected Q2 loss of $(3.62), beating the consensus of $(3.84).

The company's Q2 sales fell to $344.00 million, beating the consensus of $290.74 million.

The revenues fell almost 90% from $4.7 billion in the same period in 2022, mainly due to decreased sales of the Company's COVID-19 vaccine. 

Product sales for the second quarter of 2023 were $293 million, a decrease of 94% compared to the same period in 2022, primarily driven by lower sales volume.

Q2 cost of sales was $731 million, including $464 million for inventory write-downs related to excess and obsolete COVID-19 product, unutilized manufacturing capacity of $135 million, and losses on firm purchase commitments of $75 million. 

These charges were primarily driven by a shift in product demand to the latest monovalent XBB.1.5 COVID-19 vaccine candidate and a decline in customer demand. 

The shift from a bivalent to a monovalent strain selection rendered the remaining mRNA-1273.222 product inventory obsolete. 

Moderna reported $0.3 billion in COVID-19 vaccine sales in the second quarter, leading to $2.1 billion in total vaccine sales for the first half of the year, achieving expectations.

Outlook: Moderna expects 2023 COVID-19 vaccine sales of $6 billion to $8 billion, driven by potential U.S. demand for 50-100 million doses in the fall. That's up from its previous forecast of $5 billion

The guidance includes approximately $4 billion from previously announced COVID-19 vaccine Advance Purchase Agreements and $2 billion-$4 billion in signed and anticipated commercial contracts.

Moderna said $1 billion in previously anticipated 2023 sales from signed government contracts was pushed to 2024.

Price Action: MRNA shares are up 0.68% at $110.97 on the last check Thursday.

Photo via Wikimedia Commons

Market News and Data brought to you by Benzinga APIs
Comments
Loading...
Date
ticker
name
Actual EPS
EPS Surprise
Actual Rev
Rev Surprise
Posted In: BiotechEarningsLarge CapNewsGuidanceHealth CareGeneralBriefs
Benzinga simplifies the market for smarter investing

Trade confidently with insights and alerts from analyst ratings, free reports and breaking news that affects the stocks you care about.

Join Now: Free!