01—Abstract
Summary
Summary of the 10-Q filed May 1, 2025. Cited figures are marked; the original filing is the authoritative source.
Moderna, Inc. reported a net loss of $971 milliona for the first quarter of 2025, an improvement from the $1.175 billion net loss in the same period of 2024.
Total revenue declined by 35% to $108 millionb, primarily driven by a 49% decrease in net product sales to $86 million, largely due to lower COVID-19 vaccine sales in the U.S. and increased competition. However, other revenue saw a significant increase of 100% to $22 million, boosted by licensing and royalty income. Operating expenses decreased by 19% to $1.158 billion, with notable reductions in Research & Development (R&D) expenses (down 19%) and Selling, General & Administrative (SG&A) expenses (down 23%), reflecting cost management initiatives and strategic prioritization of the pipeline.
The company ended the quarter with a solid liquidity position, holding $1.623 billionc in cash and cash equivalents and $4.352 billion in current investments, although total assets and stockholders' equity decreased from the previous quarter. Moderna is actively managing its pipeline, pausing some programs while advancing others, and anticipates continued investment and potential negative operating cash flows in the near term.
02—Key points
Key Highlights
- Net loss for Q1 2025 was $971 million, an improvement from $1.175 billion in Q1 2024.
- Total revenue decreased by 35% to $108 million, driven by a 49% drop in net product sales ($86 million) primarily due to lower COVID-19 vaccine demand and competition.
- Other revenue significantly increased by 100% to $22 million, bolstered by licensing and royalty income.
- Operating expenses decreased by 19% to $1.158 billion, with R&D expenses down 19% and SG&A expenses down 23%, attributed to cost controls and pipeline prioritization.
- The company received regulatory approvals for its RSV vaccine (mRESVIA®) in several additional markets and continues to advance its next-generation COVID vaccine (mRNA-1283) with an FDA PDUFA date of May 31, 2025.
- Moderna ended the quarter with $1.623 billion in cash and cash equivalents and $4.352 billion in current investments.
- Development has been paused on certain programs (e.g., PKU candidate mRNA-3210) as part of strategic prioritization, while others like the INT cancer therapy and RSV vaccine for high-risk adults continue to progress.
03—One dollar
04—Financials
Financial Highlights
Figures from 10-QQ1 FY2025filed May 1, 2025Financial Statements
Q1 FY2025 against Q1 FY2024
| Line item | Q1 FY2025Q1 FY2024 | Change |
|---|---|---|
| Revenue | $108.00M$167.00M | −35.3% |
| Cost of Revenue | $90.00M$96.00M | −6.2% |
| Gross Profit | $18.00M$71.00M | −74.6% |
| R&D Expenses | $856.00M$1.06B | −19.5% |
| Operating Expenses | $1.16B$1.43B | −19.2% |
| Operating Income | -$1.05B-$1.27B | +17.1% |
| Net Income | -$971.00M-$1.18B | +17.4% |
| EPS (Basic) | $-2.52$-3.07 | +17.9% |
| EPS (Diluted) | $-2.52$-3.07 | +17.9% |
| Shares Outstanding (Basic) | 386.00M382.00M | +1.0% |
| Shares Outstanding (Diluted) | 386.00M382.00M | +1.0% |
05—Questions
Frequently Asked Questions
What is Moderna's revenue outlook for the remainder of 2025, considering the decline in COVID-19 vaccine sales?
Moderna anticipates a decline in net product sales for the full year 2025 compared to 2024, primarily due to lower expected vaccination rates for COVID-19 and increased market competition as the disease transitions to a seasonal vaccine. While sales from the RSV vaccine have commenced, they are not expected to be a significant contributor to total product sales in 2025. The company expects cost of sales to be lower year-over-year, but cost of sales as a percentage of net product sales is expected to remain variable due to the fixed nature of manufacturing costs and demand uncertainty.
How is Moderna managing its expenses, particularly R&D and SG&A, given the revenue pressures?
Moderna is implementing disciplined cost management strategies across the organization. Research and Development (R&D) expenses decreased by 19% in Q1 2025 compared to Q1 2024, driven by lower clinical trial and manufacturing expenses for certain vaccine programs and cost management initiatives. Selling, General & Administrative (SG&A) expenses decreased by 23%, reflecting broad-based reductions in digital, marketing, personnel, and external services costs. These reductions are part of a strategic approach to prioritize the pipeline and streamline operations.
What are the key pipeline developments investors should watch for in the near future?
Investors should monitor the progress of Moderna's next-generation COVID vaccine (mRNA-1283), which has an FDA PDUFA date of May 31, 2025. Additionally, regulatory submissions for the RSV vaccine (mRNA-1345) in high-risk adults are ongoing with an FDA PDUFA date of June 12, 2025. The company is also advancing its individualized neoantigen therapy (INT) for oncology in collaboration with Merck, with multiple Phase 2 and 3 trials enrolling. Updates on the CMV vaccine (mRNA-1647) Phase 3 study and the norovirus vaccine (mRNA-1403) Phase 3 readout are also anticipated.
How does Moderna's liquidity position look, and what is its outlook for funding future operations?
Moderna maintains a strong liquidity position, with $1.623 billion in cash and cash equivalents and $4.352 billion in current investments as of March 31, 2025. The company believes its current financial resources are sufficient to fund projected operations and capital expenditures for at least the next 12 months. However, Moderna anticipates continued investment in its pipeline and commercial infrastructure may lead to negative cash flows from operations in upcoming periods. Significant future capital requirements are expected for ongoing R&D, manufacturing, and commercial expansion.
06—Continue