Moderna Stock Is Rising. Sales Fell a Bit Less Than Expected in 2023. – Barron’s

Moderna on Monday said 2023 product sales hit $6.7 billion, slightly above the companys latest guidance for at least $6 billion, down 63.6% from 2022. Sales for 2023 also beat the consensus estimate for $6.3 billion, according to FactSet.

The announcement, which came ahead of a presentation by Moderna executives at J.P. Morgans annual healthcare conference scheduled for Monday afternoon, largely repeated guidance that the company laid out in early November.

Moderna said its Covid-19 vaccine sales were $6.1 billion for the year. The balance of the product sales consisted of about $600 million the company said it received as deferred revenue related to its supply agreements with GAVI, The Vaccine Alliance, an international nongovernmental organization that provided Covid-19 vaccines to low- and middle-income countries.

Moderna said it had cash, cash equivalents, and investments of more than $13 billion at the end of 2023, up from $12.8 billion as of Sept. 30, 2023.

The company also said its Covid-19 vaccine has had 48% of the U.S. market share in the current winter season so far, up from 37% in 2022, a sign of commercial success in a shrinking market competitor Pfizer .

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Moderna stock jumped 1.2% on Monday. Moderna shares have suffered a steep selloff since mid-2021, amid declining investor expectations around the long-term value of its Covid-19 vaccine, but the stock has been climbing in recent months, and is up 49.1% since the start of November.

Moderna said again on Monday that it expects revenue to drop again to just $4 billion in 2024, for sales to begin to grow again in 2025, and for the company to break even in 2026.

The company continues to expect regulatory approvals for its respiratory syncytial virus vaccine for older adults to begin in the first half of this year. That shot will compete with similar products from GSK and Pfizer , though Moderna says that it believes its shot will be more convenient for providers.

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Moderna also expects data from a Phase 3 study of a new refrigerator-stable Covid-19 vaccine in the first half of the year, and data from a Phase 3 study of a vaccine that protects against both flu and Covid-19.

We are preparing for the launch of Modernas second product, our RSV vaccine. 2024 is going to be an exciting year for the Company with multiple milestones across our nine late-stage programs, Moderna CEO Stphane Bancel said in a statement. Through these product launches, we are focused on returning to sales growth in 2025.

Write to Josh Nathan-Kazis at josh.nathan-kazis@barrons.com

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Moderna Stock Is Rising. Sales Fell a Bit Less Than Expected in 2023. - Barron's