(Reuters) – Moderna (MRNA) cut its 2025 sales forecast by $1 billion on Monday, hurt by a slow launch of its respiratory syncytial virus (RSV) shot and weak demand for COVID-19 vaccines.
At close: January 10 at 4:00:01 PM EST
It expects $1.5 billion to $2.5 billion in annual revenue, mostly in the second half, which is lower than its prior forecast of $2.5 billion to $3.5 billion and below market expectation of $2.95 billion, according to data from LSEG.
Moderna has been struggling to shift away from its COVID vaccine to its newer RSV vaccine as its adoption has been slower than expected, forcing the company to cut costs.
The vaccine maker aims to reduce 2025 cash costs by $1 billion with a plan for an additional $500 million in 2026, CEO Stéphane Bancel said.
It expects to end 2025 with cash and investments of about $6 billion.
The company is also betting on new products to help accelerate growth. It has filed an application with the U.S. FDA for the approval of its combination vaccine to protect against COVID-19 and influenza.
The regulator is also set to decide by May on the application for its next-generation COVID-19 vaccine, Moderna said.
The vaccine maker expects to report data from a trial of its seasonal flu shot this year, if sufficient cases are accrued in the first season. Otherwise, the study will continue to a second season, Moderna said.
It will report fourth-quarter results on Feb. 14.
(Reporting by Sriparna Roy in Bengaluru; Editing by Arun Koyyur)
