clearn.png
Wednesday August 10th, 2022 12:46AM

COVID-19 vaccine sales push Moderna past expectations in Q2

By The Associated Press

Better-than-expected COVID-19 vaccine sales pushed Moderna past Wall Street’s second-quarter forecasts.

The company said that its Spikevax vaccine brought in $4.53 billion during the quarter. Analysts were looking for around $3.6 billion, according to FactSet.

Moderna shares surged Wednesday after the company also announced another $3 billion share buyback plan.

Moderna's vaccine sales in the second quarter represent a drop from the nearly $6 billion that the vaccine brought in during the year’s first quarter, when a virus surge through the United States pushed more people to seek protection.

But those sales could pick up again later this year.

Moderna has developed an updated version of its vaccine for a fall booster campaign that combines the original shot with protection against the omicron variant.

The company announced last week that it reached a deal with the U.S. government for an initial purchase of 66 million doses of the booster shot for up to $1.74 billion. The government also has an option to purchase more doses.

The COVID-19 vaccine is Moderna’s main source of revenue, outside of grants and money from collaborations. Total revenue climbed 9% in the second quarter to $4.75 billion.

But operating expenses also swelled 78% to $2.3 billion for the vaccine maker, which has several products in late-stage clinical trials, the most expensive phase of research.

Moderna had $499 million in inventory write-downs in the quarter tied to vaccine doses that exceeded or were expected to exceed their shelf lives before being used. The company also said it booked another loss and an expense for unused manufacturing capacity due partly to a “substantial reduction” in expected deliveries to the COVAX vaccine-sharing program.

Overall, net income plunged 21% to $2.2 billion in the second quarter, and earnings totaled $5.24 per share.

Analysts expected earnings of $4.58 per share on about $4.1 billion in revenue, according to FactSet.

Moderna said Wednesday that its board authorized an additional $3 billion share repurchase program to return capital to shareholders. The company has repurchased 16 million shares since last year's final quarter. It still has about $1 billion left on another $3 billion repurchase program it announced in February.

Shares of Cambridge, Massachusetts-based Moderna Inc. jumped more than 15% in midday trading to $185.83 while broader indexes climbed over 1%.

___

Follow Tom Murphy on Twitter: @thpmurphy

  • Associated Categories: Associated Press (AP), AP Business, AP Business - Corporate News, AP Business - Industries, AP Business - Health Care
© Copyright 2022 AccessWDUN.com
All rights reserved. This material may not be published, broadcast, rewritten, or redistributed without permission.
OPEC+ boosts oil output by slower pace than previous months
The OPEC oil cartel and its allies have decided to boost production in September by a much slower pace than in previous months
10:27AM ( 14 minutes ago )
Sandy Hook parents: Alex Jones claims created 'living hell'
The parents of a 6-year-old boy killed in the Sandy Hook Elementary School massacre say conspiracy theorist Alex Jones made their lives a “living hell” by repeatedly pushing false claims that the killings were a hoax
10:26AM ( 15 minutes ago )
Inspectors OK 1st Ukraine grain ship but no sign yet of more
The first grain ship to leave Ukraine under a Black Sea wartime deal has passed inspection in Istanbul and is heading on to Lebanon
10:07AM ( 34 minutes ago )
Associated Press (AP)
German leader says gas pipeline part is ready for Russia
German Chancellor Olaf Scholz has inspected a turbine at the center of a natural gas dispute and declared Wednesday that “there are no problems” blocking the part’s return to Russia besides missing information from Russia’s state-controlled gas company
9:24AM ( 1 hour ago )
Wall Street points higher ahead of earnings, jobs data
Wall Street was headed toward gains before the opening bell as traders await more corporate earnings and jobs data this week, while also watching for potential economic ramifications from China after U.S. House Speaker Nancy Pelosi’s visit to Taiwan
8:15AM ( 2 hours ago )
Dolly Parton among Carnegie Medal of Philanthropy winners
Country superstar Dolly Parton is among the 2022 Carnegie Medal of Philanthropy recipients
8:05AM ( 2 hours ago )
AP Business
Kenya's election rips open scars of inequality, corruption
In the shadow of a thousand-dollar campaign billboard, one of many across Kenya’s capital, street vendors struggle to make even 200 shillings ($1.68) a day and often pocket none
3:09AM ( 7 hours ago )
Producer Janet Yang elected president of film academy
Producer Janet Yang has been elected the 36th president of the Academy of Motion Picture Arts and Sciences
8:38PM ( 14 hours ago )
Robinhood cuts 23% of its workforce as fewer users trade
Robinhood Markets is cutting about 23% of its workforce because fewer users are trading on its app amid the tumult hammering stock and cryptocurrency markets
7:57PM ( 14 hours ago )
AP Business - Corporate News
Inflation in Turkey rises to nearly 80%, hitting consumers
Annual inflation in Turkey soared to nearly 80% in July
6:18AM ( 4 hours ago )
OPEC+ to decide oil output to world amid high inflation
The OPEC oil cartel and its allies are meeting to decide how much oil to produce in September
5:33AM ( 5 hours ago )
UN nuclear chief: Ukraine nuclear plant is `out of control'
The U_N_ nuclear chief is warning that Europe’s largest nuclear power plant in Ukraine “is completely out of control.”
4:49AM ( 5 hours ago )
AP Business - Industries
Medicaid expansion breakthrough within reach in N. Carolina
A deal on Medicaid expansion in North Carolina is within reach after both legislative chambers passed competing measures before ending their annual session
8:30AM ( 3 days ago )
Overturning Roe v. Wade isn't the end for abortion opponents
Anti-abortion groups are looking to the courts, lawmakers and elections to facilitate more abortion restrictions and bans after a landmark U.S. Supreme Court ruling in June left the issue up to states
1:53PM ( 3 days ago )
In race for monkeypox vaccines, experts see repeat of COVID
Public health officials warn that moves by rich countries to buy large quantities of monkeypox vaccine could leave millions of people in Africa unprotected against a more dangerous version of the disease
10:53AM ( 3 days ago )
AP Business - Health Care
OPEC+ boosts oil output by slower pace than previous months
The OPEC oil cartel and its allies have decided to boost production in September by a much slower pace than in previous months
10:27AM ( 17 minutes ago )
Sandy Hook parents: Alex Jones claims created 'living hell'
The parents of a 6-year-old boy killed in the Sandy Hook Elementary School massacre say conspiracy theorist Alex Jones made their lives a “living hell” by repeatedly pushing false claims that the killings were a hoax
10:26AM ( 18 minutes ago )
Inspectors OK 1st Ukraine grain ship but no sign yet of more
The first grain ship to leave Ukraine under a Black Sea wartime deal has passed inspection in Istanbul and is heading on to Lebanon
10:07AM ( 37 minutes ago )
1 killed, 13 injured in massive warehouse fire near Moscow
A massive fire has engulfed a warehouse outside Moscow, killing at least one person and injuring 13 others
9:57AM ( 47 minutes ago )
Wall Street rising at open; PayPal, CVS in focus
Stocks are opening higher on Wall Street Wednesday
9:52AM ( 52 minutes ago )