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Novavax cuts full-year revenue forecast again amid weak demand

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Stock Markets 1 hour ago (Nov 08, 2022 04:41PM ET)

Novavax cuts full-year revenue forecast © Reuters. Vials labelled “VACCINE Coronavirus COVID-19” and a syringe are seen in front of a displayed Novavax logo in this illustration taken December 11, 2021. REUTERS/Dado Ruvic/Illustration

(Reuters) -Novavax Inc cut its full-year revenue forecast on Tuesday, hurt by a global supply glut in COVID-19 vaccine and waning demand.

The company now expects annual revenue to be about $2 billion, the lower end of its prior forecast of between $2 billion and $2.3 billion.

However, Novavax (NASDAQ:) shares were up about 1% in aftermarket trading, as the company reported revenue of $734.6 million, above analysts’ estimates of $586.3 million, as per Refinitiv data.

In August, Novavax halved its full-year revenue forecast as it did not expect further sales of its COVID-19 shot this year in the United States.

Novavax said its vaccine brought $626.1 million in product sales in the third quarter, as the company sold 35 million doses globally.

Even though more than 640 million COVID-19 doses have been given in the United States, latest government data showed only 43,540 Novavax vaccines have been administered as of Nov. 2.

The U.S. Food and Drug Administration in October had authorized Novavax’s COVID-19 vaccine as a booster for adults, in addition to the earlier clearance as a primary two-shot regimen for those 12 years and above.

Earlier on Tuesday, Novavax said its COVID-19 shot retooled against the Omicron BA.1 variant showed a strong immune response as the fourth dose and met the main goal of a strain change in a late-stage study.

Sales of COVID vaccines are down from pandemic highs as many countries have neared the end of their primary vaccination campaigns.

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