Moderna numbers beat expectations, shares jump

Shares in Moderna rallied on Thursday after third-quarter revenues at the US biotech, best known for its Covid-19 vaccine, smashed expectations.

In the three months to 30 September, revenues reached $1.86bn, marginally up on last year’s $1.83bn and comfortably ahead of the $1.25bn expected.

The majority of revenues came from Moderna’s mRNA Covid-19 vaccine, which saw strong demand in the US. Spikevax sales hit $1.8bn in third quarter, $1.2bn of which came from the US.

Sales of a novel vaccine for respiratory syncytial virus (RSV), which received regulatory approval in May, reached $10m.

Net profits were also better than anticipated, with earnings per share coming in at 3 cents. Wall Street had pencilled in a $1.90 loss per share.

As at 1315 GMT, Moderna had put on 7% in pre-market trading.

Stephane Bancel, chief executive, said: "During the third quarter, we focused on execution, with the launch of our updated Covid-19 and RSV vaccines in markets across the global.

"I am pleased with the cost efficiency we achieved in the quarter, tracking ahead of where we planned to be at this time."

Looking to the rest of the year, Bancel said Moderna remained focused on growing sales as well as cutting costs, with 10 product approvals expected over the next three years.

Moderna also confirmed it had shaken up its executive team, with Bancel stepping down as chief commercial officer. President Stephen Hoge will now oversee the group’s commercial organisation, as well as being responsible for strategy across research and development and medical affairs.

Rose Loughlin will led the research function, joining the executive committee and reporting direct to Bancel, whose chief executive role remains unchanged. Jacqueline Miller was named chief medical officer.

Moderna saw revenues soar after it developed a vaccine for Covid-19. Demand has fallen sharply post-pandemic, however, and it is now looking to new products to generate long-term revenue growth.

Annual sales are expected to come in between $3bn and $3.5bn in 2024, before falling to between $2.5bn and $3.5bn in 2025.