• Moderna projects 2025 revenue between $1.5 billion and $2.5 billion, sharply down from $3.1 billion in 2024.
• Shares fell 19%, reflecting Wall Street's disappointment over the forecast.
• The company plans to cut costs by $1 billion in 2025 and an additional $500 million in 2026.
• New products, including an RSV vaccine, have underperformed, contributing minimally to revenue.
• Moderna's break-even timeline has shifted from 2026 to 2028 amid slowing vaccine sales.

Moderna's stock took a significant hit on Monday after the biotech company projected a steep decline in revenue for 2025, projecting figures between **$1.5 billion and $2.5 billion**. This forecast starkly contrasts with expectations from analysts, who predicted an average of **$2.92 billion** in revenue for the same year, as reported by FactSet. The company’s share price dropped by **19%**, reflecting the investor skepticism regarding its financial outlook amidst dwindling demand for its flagship COVID-19 vaccine, **Spikevax**. This follows a peak revenue of **$19 billion** during the pandemic's height and a subsequent $3.1 billion in 2024. Moderna's recent announcement was made in advance of its presentation at the annual **J.P. Morgan Healthcare Conference** in San Francisco, during which it plans to discuss its fourth-quarter results on February 14. Analysts note that the diminishing excitement around COVID-19 vaccinations has heavily impacted the company, which now faces increasing pressure to stabilize its financial performance while advancing its pipeline of experimental vaccines and other drugs. In an effort to mitigate financial losses, Moderna is speeding up its cost-cutting initiatives, aiming to reduce cash expenses by **$1 billion in 2025**, with additional cuts expected in 2026. The company also anticipates minimal revenue from its newly approved vaccine for **respiratory syncytial virus (RSV)**. According to Moderna, sales for this vaccine remain "negligible," highlighting the challenges ahead. The recent drop in revenue projections has led to revisions in previous sales expectations, with analysts who had initially estimated **$5 billion** for 2025 now concerned about falling far short of that target. The economic landscape for Moderna is further complicated by its failure to gain traction with new products, including its combination flu/COVID vaccine, which is not set to launch until **2025-26**. As the company recalibrates its budget, it has implemented a **20%** cut in its research and development spending from **2025 to 2028**, and the anticipated timeline for achieving break-even has been pushed back to **2028**. As it navigates these turbulent waters, Moderna’s ability to maintain investor confidence will largely depend on the success of its ongoing clinical trials and partnerships, including a late-stage collaboration with **Merck** on a cancer vaccine, which, although promising, remains years away from profitability. For more details, visit [AP News](https://apnews.com/article/moderna-spikevax-revenue-drop-f7564b5f3f7802e7943f8fe16bec0738) and [Newsweek](https://www.newsweek.com/moderna-shares-plunge-steep-2025-sales-decline-2014048).