Moderna generated only modest revenue growth during the second quarter of 2026 while continuing to spend heavily on research, manufacturing infrastructure, and commercialization ahead of a potential fifth product approval.
Second-quarter revenue reached $145 million, compared with $142 million during the prior-year period. Net product sales declined to $94 million from $114 million, while other revenue increased to $51 million from $28 million.
The increase in other revenue included grant, collaboration, licensing, royalty, and stand-ready manufacturing revenue.
Lower COVID-19 vaccine sales in the United States and South America were offset by deliveries to the United Kingdom under a long-term government partnership and higher collaboration and manufacturing revenue.
Moderna generated $87 million of quarterly revenue in the United States and $58 million from international markets.
Despite the slight increase in total revenue, Moderna recorded an operating loss of $815 million, compared with $907 million during the second quarter of 2025.
Total operating expenses reached $960 million, meaning quarterly revenue covered only about 15% of operating costs.
The operating loss improved by $92 million as Moderna reduced spending across research and development, sales, administration, and manufacturing.
Research and development expense declined 7% to $651 million from $700 million.
Moderna attributed the reduction primarily to lower clinical development expenses following the wind-down of several late-stage programs.
Selling, general and administrative expense declined 6% to $216 million from $230 million, reflecting continued cost controls across the organization.
Cost of sales fell 22% to $93 million from $119 million, although the expense remained high compared with the company’s $94 million of product sales.
The quarterly cost of sales included $41 million of inventory write-downs, $23 million of unused manufacturing capacity costs, and $11 million of third-party royalties.
Inventory write-downs and unused capacity expenses alone totaled $64 million, equal to approximately 44% of Moderna’s total quarterly revenue.
The figures show that Moderna continues to maintain manufacturing capacity built for a significantly larger commercial operation than its current quarterly sales base supports.
Moderna reported a net loss of $782 million, improving by $43 million from the $825 million loss recorded a year earlier.
The loss per share narrowed to $1.97 from $2.13. Weighted-average shares increased to 398 million from 388 million, partly limiting the per-share benefit from the smaller net loss.
For the first six months of 2026, Moderna’s revenue more than doubled to $534 million from $250 million.
First-half product sales increased to $446 million from $200 million, reflecting the timing and seasonal concentration of vaccine demand.
However, Moderna’s first-half operating loss widened to approximately $2.2 billion from $1.96 billion. The company recorded a first-half net loss of approximately $2.13 billion, compared with $1.8 billion.
The first-half results included a substantial litigation-related charge.
Moderna expects full-year cost of sales of approximately $1.7 billion, including a nonrecurring $900 million litigation settlement expense. The company paid approximately $950 million associated with the settlement during July.
Excluding that unusual charge, Moderna is continuing to reduce its projected operating expenses.
The company lowered its full-year research and development outlook to approximately $2.9 billion from $3 billion. Selling, general and administrative expense is expected to total approximately $1 billion.
Capital expenditures are projected to range from $200 million to $300 million.
Moderna continues to target revenue growth of up to 10% for 2026 despite the weak second-quarter product-sales comparison.
The company expects annual revenue to be divided approximately equally between the United States and international markets. About 55% of second-half revenue is expected to be recognized during the third quarter.
The highly concentrated revenue outlook reflects the seasonal nature of Moderna’s respiratory vaccine portfolio.
A potential U.S. approval for mFLUSIVA could broaden that portfolio beyond COVID-19 and respiratory syncytial virus vaccines.
The U.S. Food and Drug Administration assigned an August 5, 2026, decision date for mFLUSIVA, Moderna’s investigational seasonal influenza vaccine. The candidate previously received a unanimous recommendation from the FDA’s Vaccines and Related Biological Products Advisory Committee.
Approval would make mFLUSIVA Moderna’s fifth commercial product.
Moderna also received European Commission authorization for mCOMBRIAX, its flu and COVID-19 combination vaccine. Regulatory submissions for the combination vaccine remain under review in Japan, Canada, and Australia.
The company is awaiting additional guidance from the FDA regarding a potential U.S. resubmission for the combination vaccine.
Moderna also expanded its respiratory vaccine business through international agreements.
The company signed a collaboration with a Brazilian manufacturer supporting COVID-19 vaccine supply and entered a joint procurement contract with the European Commission covering up to 24 million doses of mRESVIA across six countries.
Pipeline progress outside respiratory vaccines was mixed.
Moderna’s Phase 3 norovirus vaccine study did not meet the statistical criteria required for early success during an interim analysis. The trial remains blinded, and Moderna is preparing to enroll an additional cohort.
The company and Merck continue to evaluate intismeran across nine Phase 2 and Phase 3 oncology studies involving melanoma, lung cancer, bladder cancer, and renal cell carcinoma.
Five-year Phase 2b melanoma data showed that intismeran combined with Keytruda reduced the risk of recurrence or death by 49% compared with Keytruda alone. Moderna expects potential Phase 3 melanoma data during 2026.
Moderna’s registrational study of its propionic acidemia therapy has reached its enrollment target, with potential data also expected during 2026.
The company deferred a decision about launching a pivotal study of its methylmalonic acidemia therapy until the propionic acidemia data become available.
Cash, cash equivalents, and investments totaled approximately $6.9 billion at the end of June, down from $7.5 billion at the end of March.
Moderna now expects to finish 2026 with between $4.7 billion and $5.2 billion in cash and investments, an improvement of approximately $200 million from its prior estimate. The outlook excludes potential use of the remaining $900 million available under its credit facility.
Net cash used in operating activities declined to approximately $1.16 billion during the first half from $1.96 billion a year earlier.
The improvement shows that Moderna’s cost-reduction program is slowing cash consumption even though operating losses remain substantial.
Moderna’s near-term financial profile remains defined by the gap between its large research and manufacturing infrastructure and its current commercial revenue.
The potential approval of mFLUSIVA would add another commercial asset, but the company will need multiple successful launches and pipeline readouts to produce enough revenue to absorb its multibillion-dollar annual expense base.
KEY QUOTES:
“In the second half of 2026, we are preparing for the potential approval of mFLUSIVA in the U.S., which would be our fifth approved product, and continue to anticipate important pivotal readouts for our intismeran in melanoma and propionic acidemia programs.”
Stéphane Bancel, Chief Executive Officer Of Moderna
