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Moderna Slashes 2025 Sales Forecast by $1 Billion Amid Weak Vaccine Demand

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Moderna Rsv Vaccine And Covid 19 Vaccine Vials

CAMBRIDGE, Mass. — Moderna Inc. on Monday cut its 2025 sales forecast by $1 billion, citing sluggish demand for its COVID-19 vaccines and slower-than-expected adoption of its respiratory syncytial virus (RSV) shot. The announcement sent the company’s shares plummeting more than 18% in premarket trading.

The biotechnology firm now expects annual revenue between $1.5 billion and $2.5 billion, down from its previous forecast of $2.5 billion to $3.5 billion. The revised projection also falls short of market expectations of $2.95 billion, according to data from LSEG.

CEO Stéphane Bancel attributed the decline to waning demand for COVID-19 vaccines post-pandemic and slower uptake of its RSV vaccine, Moderna’s second approved product. “We are taking decisive steps to reduce costs and focus on innovation,” Bancel said in a statement. The company plans to cut $1 billion in cash costs in 2025, with an additional $500 million reduction targeted for 2026.

Moderna anticipates ending 2025 with approximately $6 billion in cash and investments. The company is also pinning its hopes on new products to drive future growth. It has submitted an application to the U.S. Food and Drug Administration (FDA) for a combination vaccine targeting both COVID-19 and influenza. The FDA is expected to decide on the application for Moderna’s next-generation COVID-19 vaccine by May.

In addition, Moderna is advancing its seasonal flu vaccine program, with trial data expected this year if sufficient cases are recorded in the first season. Otherwise, the study will extend into a second season. The company also reported that an independent group recommended continuing a late-stage trial for its cytomegalovirus (CMV) vaccine, despite not meeting early efficacy criteria. Data from this trial is expected later this year.

Moderna’s shares dropped to $34.59 in premarket trading, reflecting a 58% decline in value over the past year. The company will release its fourth-quarter results on Feb. 14.