Moderna exceeded expectations in third-quarter revenue and earnings, prompting an optimistic revision of its 2026 sales growth outlook. The biotech company anticipates revenue growth between 15% and 25%, a significant increase from its prior forecast of up to 10%. CEO Stéphane Bancel attributed the strong quarterly performance to the success of newer products and geographical expansion.
The quarter benefited from the ongoing effects of Moderna’s next-generation mRNA Covid vaccine, which received U.S. approval in May 2025. Bancel explained that Covid vaccine revenues are seasonal, with contracts typically established in the first quarter, leading to a limited launch last year. The company’s newly approved stand-alone flu vaccine is also expected to have a "limited launch" next year due to timing considerations.
In a separate interview, Bancel highlighted how Moderna’s geographic growth into markets like Canada, the U.K., and Asia contributed positively to the quarterly results. Additionally, cost-reduction efforts aided profitability during this period.
For the third quarter, Moderna reported earnings of 38 cents per share against an anticipated loss of $1.25, with total revenue reaching $1.31 billion, up 29% from the previous year. Sales in the U.S. amounted to $780 million, complemented by $533 million in international markets. The company’s net income for the quarter stood at $162 million, marking a recovery from a net loss of $200 million a year earlier.
Recent developments also include promising late-stage data from a partnership with Merck concerning a personalized cancer vaccine, although initial stock reactions were mixed following leaks of trial data prior to a scheduled presentation.
Why this story matters:
- Moderna’s performance reflects broader trends in biotech and public health, particularly in vaccine development.
Key takeaway:
- Increased revenue and new product launches signify a recovery and pivot for Moderna beyond Covid vaccines.
Opposing viewpoint:
- Despite the positive outlook, investors may remain cautious due to mixed market reactions and data leaks affecting stock performance.
