Moderna Cuts 2025 Revenue Forecast by $1 Billion, Shares Drop Over 20%

The biotech firm cites declining COVID-19 vaccine demand, slow RSV vaccine adoption, and increased competition as key challenges.

Moderna revised its 2025 revenue projection to $1.5 billion to $2.5 billion, down from a previous forecast of $2.5 billion to $3.5 billion, falling short of analysts' expectations of $2.92 billion.
The company's stock plunged over 20%, erasing two-thirds of its value over the past year, as demand for its COVID-19 vaccine and newly launched RSV vaccine continues to decline.
Moderna plans to cut $1 billion in cash costs in 2025 and an additional $500 million in 2026, while delaying its break-even timeline from 2026 to 2028.
Increased competition from rivals like Sanofi and Novavax, along with falling vaccination rates and uncertain manufacturing contracts, are contributing to the company's financial challenges.
Moderna is focusing on diversifying its portfolio, with plans to launch 10 new products over the next three years, including a combination flu/COVID-19 vaccine and a next-generation COVID shot.