Moderna Q4 Earnings Mixed, Shares Dip
Moderna (MRNA) reported mixed fourth-quarter earnings and full-year financials compared to Wall Street expectations on Friday. The company's stock declined 4.5% in pre-market trading.
Revenue Exceeds Estimates
Moderna's fourth-quarter revenue reached $966 billion, surpassing Wall Street's projection of $954 million. However, the company's full-year revenue of $3.2 billion aligned with expectations.
Earnings Miss
Moderna fell short of earnings per share estimates, reporting a quarterly loss of $2.91 per share versus the anticipated $2.75 loss. For the full year, the company missed again with a loss of $9.28 per share against a consensus of $9.17.
COVID-19 Vaccine Sales Boost
The revenue surge was primarily driven by sales of Moderna's COVID-19 vaccine, Spikevax, which generated $3.1 billion for the year. The company's other product, an RSV vaccine, contributed $15 million in revenue.
Pipeline Expansion
Moderna faces pressure to maintain strong performance amid declining COVID-19 vaccine demand. Investors are closely monitoring the company's efforts to enhance its clinical pipeline.
Cost Reduction Initiatives
CEO Stéphane Bancel announced a 27% cost reduction target for 2024 compared to 2023. The company aims to increase sales, obtain up to 10 product approvals by 2027, and improve cost efficiency across its operations.
RFK Jr.'s Impact
Concerns remain about Moderna's operations in light of Robert F. Kennedy Jr.'s appointment as head of the HHS department. RFK has been critical of vaccines, which could pose challenges for Moderna's pipeline focused solely on vaccines.
Analyst Commentary
Bank of America Securities analysts expect CEO Bancel to address RFK Jr.'s implications at HHS during the earnings call. The earnings call is expected to cover future guidance, clinical catalysts, and upcoming product launches.