Key Highlights
- Moderna shares climbed approximately 8% in premarket trading following stronger-than-expected Q1 results
- First-quarter revenue surged to $389 million, more than three times the prior-year period, exceeding the $228 million consensus
- International markets powered the expansion with $311 million in sales, fueled by agreements in the UK, Canada, and Australia
- Loss per share of $3.40 outperformed the anticipated $3.96 loss, despite absorbing a roughly $900 million patent settlement expense
- The biotech firm reaffirmed its 2026 revenue growth projection of as much as 10%
Shares of Moderna climbed approximately 8% during Friday’s premarket session following the biotech company’s first-quarter financial report that exceeded analyst projections for both top and bottom lines.
The company generated $389 million in first-quarter revenue, representing a more than threefold increase from the $108 million recorded in the same period last year. This performance significantly surpassed the Street’s consensus estimate of approximately $228 million, based on LSEG data.
The primary catalyst behind this growth was robust international demand for COVID-19 vaccines. Revenue from international markets reached $311 million, while U.S. sales contributed just $78 million.
Moderna capitalized on established long-term supply agreements with governments in the United Kingdom, Canada, and Australia to accelerate sales. Chief Financial Officer Jamey Mock emphasized that the company’s revenue profile has “really become a more balanced international versus U.S. story.”
This represents a significant transformation. In recent quarters, Moderna had cautioned investors about weakening COVID vaccine demand. The latest quarter marks a reversal of that trend.
The domestic market continues to present challenges. Major policy shifts regarding vaccines under Health Secretary Robert F. Kennedy Jr. have contributed to decreased vaccination rates in the United States. Mock indicated the company anticipates “a more stable COVID market in 2026 in the U.S.” and expressed optimism that much of the current uncertainty is “behind us.”
Company Narrows Losses Despite Significant Legal Settlement
The biotech firm reported a net loss of $1.34 billion, translating to $3.40 per share. This result exceeded analyst expectations, which had projected a loss of $3.96 per share.
It’s important to note that the reported loss incorporates approximately $900 million in charges related to a patent dispute settlement with Genevant Sciences and Arbutus Biopharma. The two entities had claimed that Moderna utilized their proprietary lipid nanoparticle delivery platform in its Spikevax COVID vaccine without proper authorization.
The settlement was finalized in March. This expense also elevated the company’s projected full-year 2026 cost of sales to $1.8 billion, up from the previous estimate of $900 million.
Moderna reduced spending on both research initiatives and administrative operations during the quarter, which helped limit the overall deficit.
Product Development and Future Expectations
The company maintained its 2026 revenue growth guidance of up to 10%, with approximately half anticipated to originate from international territories — an increase from 38% in the previous year.
For the second quarter, Moderna projects revenue between $50 million and $100 million, with an even distribution expected between domestic and international sales.
RBC Capital analyst Luca Issi observed that Moderna’s annual revenue projection is heavily back-loaded, with only roughly 15% expected during the first two quarters of 2026.
Expanding beyond COVID-19, the company anticipates releasing late-stage clinical data for a norovirus vaccine candidate and a personalized cancer vaccine being co-developed with Merck. The FDA has scheduled an August 5 decision date for Moderna’s mRNA-based influenza vaccine, following the resolution of a previous disagreement with regulators concerning clinical trial methodology issues.
Additionally, Moderna is advancing a therapeutic candidate targeting a rare metabolic condition as part of its strategic diversification beyond infectious disease prevention.
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