Moderna Delays Break-Even Goal Amid Regulatory Challenges and Lower Sales Forecasts

Moderna has delayed its break-even goal by two years to 2028, citing regulatory hurdles and lower-than-expected sales projections for 2025. The company's shares dropped by 17.1% due to this announcement. Moderna plans to focus on a combination shot for COVID and influenza and expects significant revenue from new product launches by 2026-2028.

Moderna pushed back its break-even goal by two years on Thursday, delaying key product development timelines and predicting 2025 sales below current year forecasts, leading to a 17.1% drop in its share prices.

The vaccine maker now expects 2025 sales between $2.5 billion and $3.5 billion, below analysts' forecasts and its own 2024 projections. Regulatory processes for flu and cancer vaccines are taking longer than anticipated, contributing to the delays.

Moderna forecasts $6 billion cash on hand by 2024's end. To save costs, it plans to cut $1.1 billion from research and development by 2026. The firm anticipates meaningful revenue from its new products starting in 2027, with an average annual growth rate of 25% from 2026 to 2028. Moderna also plans to submit an FDA application to expand RSV vaccine approval.