Moderna’s shift to a more “restrained” posture was on full display Thursday morning during its first-quarter earnings update.
CEO Stéphane Bancel and his team stayed away from making bold promises like they did in the past, as the company continued to emphasize a return to growth by 2026. Despite being pelted by analysts’ questions about the future of its vaccines — RSV, with a PDUFA date of May 12, was a particular focus — execs shared few details beyond what they’ve disclosed at other events this year.
Moderna struck a similar tone to the industry’s other Covid-19 pandemic winner: Pfizer, which largely stuck to a script of “cautious optimism” in its Wednesday earnings update after finishing 2023 as the worst performing large pharma stock. As with Pfizer, Moderna’s investors appeared receptive to the disciplined projections, with the company’s stock $MRNA trading up more than 7% on Thursday morning.
Bancel stressed that until Moderna receives FDA approval for its RSV shot, it can’t comment on its launch strategy, including whether it’s signed any contracts. But he noted that “our medical team actively engaged with retail pharmacies” and “hospital networks” to ensure everything is ready to go should the approval and ACIP recommendation come through.
Though Covid vaccine sales declined to $167 million in the first quarter of this year compared to $1.9 billion in the same three months of 2023, the figure came in above expectations, according to analysts. Given Covid revenue likely won’t rise until the fall’s booster season, Moderna’s first-quarter results didn’t bear any surprises, Jefferies’ Michael Yee wrote in a note to investors.
“It’s still early in the year and unlikely to change any bull vs bear debate,” Yee said, adding that there are “no major changes to pipeline timelines vs our expectations.”
For its other vaccines, Moderna reiterated comments it made during its Vaccines Day event in March, when the company outlined its vision for its infectious disease portfolio. Moderna continues to project a $10 billion RSV vaccine market, based on analyst reports. Pfizer and GSK reported a combined $2.5 billion in sales of their RSV vaccines last year.
Moderna also terminated a 2021 gene editing partnership with Metagenomi, which “stems from our internal strategic prioritization work,” a Moderna spokesperson told Endpoints News. (In a call with investors on Wednesday evening, Metagenomi described the decision as mutual.)
Despite the move, Moderna still has other gene editing efforts, notably a 2023 collaboration with ElevateBio subsidiary Life Edit. Moderna also remains a shareholder in Metagenomi.