Moderna (MRNA) shares jumped 7.38% to $259.25 after the biotech company reported higher quarterly sales and encouraging late-stage cancer trial results. The stock gained $17.79 during the session and recovered from an intraday low near $241.46. The company's decision to lift its annual revenue guidance added further support to the rally.

Higher Revenue and a Return to Profit

Moderna generated $1.3 billion in revenue for the third quarter, up 29% from $1.0 billion a year earlier. Rising international vaccine demand and government agreements supported the growth. U.S. sales totaled $780 million, while international markets contributed an additional $533 million.

The company posted $162 million in net income for the quarter, a turnaround from a $200 million loss in the same period last year. Diluted earnings reached $0.38 per share, compared with a $0.51 loss per share previously.

Research spending declined 27% to $583 million as Moderna reduced late-stage clinical development costs. Cost of sales rose 54% to $318 million alongside higher vaccine volumes and manufacturing expenses. Selling, general, and administrative costs increased 5% to $282 million. Sales growth and lower research spending offset the higher production expenses across operations.

Raised Revenue and Cash Forecasts for 2026

Moderna now expects annual revenue growth of 15% to 25%, above its previous forecast of 10% at most. U.S. and international markets are expected to contribute roughly equal shares of revenue. The updated forecast follows expanded deliveries and commercial partnerships in several international markets.

Management reduced its full-year research spending forecast from $2.9 billion to approximately $2.7 billion. The company maintained its $1.0 billion administrative expense projection and expects capital spending near $200 million. It also expects approximately $1.7 billion in cost of sales, including litigation settlement costs.

Moderna raised its year-end cash forecast to a range of $8.1 billion through $8.3 billion, up from a prior projection of $4.7 billion through $5.2 billion — a revision of more than $3 billion at the midpoint. September financing provided approximately $2.6 billion in net proceeds and strengthened the company's cash position. For a biotech running late-stage trials while scaling commercial manufacturing, cash on hand determines how far pipeline programs can advance without new financing.

Positive Melanoma Data Headline Pipeline Updates

Moderna and Merck reported positive Phase 3 melanoma results for intismeran autogene in combination with Keytruda. Intismeran autogene is an investigational individualized neoantigen therapy built on the same mRNA platform behind Moderna's vaccines, designed to direct a patient's immune response against the specific mutations in their tumor. Keytruda, the comparison arm, is Merck's approved anti-PD-1 immunotherapy already used as a standard-of-care treatment in melanoma.

The combination reduced the risk of recurrence or death by 42% compared with Keytruda alone. It also lowered the risk of distant metastasis or death by 38% in the study.

The companies plan regulatory submissions and preparations for a possible launch after securing approval. An approval would give Moderna its first marketed oncology product and extend its mRNA platform beyond preventive vaccines, a frontier where much of the biotech industry has directed its mRNA research.

Separately, U.S. regulators approved Moderna's mFLUSIVA influenza vaccine for adults aged 50 through 64 and granted accelerated approval for adults aged 65 and older, broadening the company's approved respiratory vaccine portfolio. The company expects pivotal results from its propionic acidemia program before the end of 2026. Its norovirus vaccine, meanwhile, missed the interim threshold for early success in Phase 3 testing — a predefined statistical checkpoint a trial must clear to stop early on a positive result.

The updates reflect clinical progress alongside development setbacks across Moderna's portfolio, with regulatory submissions for the melanoma combination and the propionic acidemia readout among the defined milestones ahead.

Source: Blockonomi