Moderna Profit and Revenue Down on Lower COVID Vaccine Sales

MRNA missed on earnings per diluted share and revenue

By
Nathan Reiff
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Nathan Reiff has been writing expert articles and news about financial topics such as investing and trading, cryptocurrency, ETFs, and alternative investments on Investopedia since 2016.
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Published November 03, 2022
Person with one gloved have filling a syringe from a vial of Moderna vaccine
Donato Fasano / Getty Images.

Key Takeaways

  • Moderna reported declining global demand for its COVID-19 vaccine.
  • The company has advance purchase agreements for delivery in 2022 of up to roughly $19 billion in sales.
  • Moderna is developing its respiratory vaccine pipeline, including vaccines against influenza, RSV, and combination vaccines.
  • The company is developing with Merck a personalized cancer vaccine for patients with high-risk melanoma.
Moderna Earnings Results
Metric Beat/Miss/Match Reported Value Analysts' Prediction
Earnings Per Diluted Share Miss $2.53 $3.95
Revenue Miss $3.4B $4.0B

Source: Visible Alpha

Moderna (MRNA) Financial Results: Analysis

Moderna, Inc. (MRNA), maker of the second-most-popular COVID-19 vaccine in the U.S., dropped 11% in pre-market trading after profit and revenue missed estimates amid falling sales of its COVID-19 vaccine.

Moderna’s earnings per diluted share (EPS) plunged by 67% to $2.53, compared with a consensus estimate of $3.95. Revenue declined by 32% to $3.4 billion, more than analysts' estimates of a 20% drop to $4 billion. Moderna said sales dropped due to the timing of market authorizations for COVID-19 bivalent boosters.

Moderna and rival Pfizer Inc. (PFE) have dominated sales of COVID-19 vaccines, and Pfizer reported better-than-expected U.S. sales in the third quarter thanks to its Omicron-targeted boosters. Demand for these products is waning globally, though, and both companies are shifting their focus to new products. Moderna recently announced it would jointly develop and sell personalized cancer vaccines for patients with high-risk melanoma with Merck & Co. Inc. (MRK).

MRNA Vaccine News

Moderna said sales of its COVID-19 vaccine have declined, though it received authorization during the third quarter for its Omicron booster in the U.K., Switzerland, Australia, Canada, the EU, and Japan. The company continues to develop its broader respiratory vaccine pipeline, including vaccines for influenza, respiratory-related infections, and combination vaccines. Moderna reported 45 development candidates in its fiscal release.

MRNA Outlook and Stock Performance

Moderna didn't provide forward guidance in its earnings release.

Shares of Moderna almost 8% in pre-market trading, The company's stock is down 57% in the last year, compared with a 19% drop for the S&P 500 Index.

Moderna's next earnings report (for Q4 FY 2022) is expected to be released on Feb. 23, 2023.

Article Sources
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  2. Visible Alpha. "Financial Data."

  3. Statista. "Number of COVID-19 vaccine doses administered in the United States as of October 20, 2022, by vaccine manufacturer."

  4. Fierce Pharma. "Pfizer Whittles Down U.S. Donation Deal as Global COVID-19 Vaccine Demand Slumps."

  5. CNBC. "Pfizer raises 2022 earnings guidance, beats third-quarter expectations."

  6. Moderna Inc. "Merck and Moderna Announce Exercise of Option by Merck for Joint Development and Commercialization of Investigational Personalized Cancer Vaccine."

  7. Yahoo! Finance. "Moderna, Inc. (MRNA)."

  8. TradingView. "Moderna vs. S&P 500."

  9. Market Screener. "MODERNA, INC. (MRNA)."

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