By Leroy Leo
(Reuters) -Novavax on Thursday trimmed its annual income forecast once more and mentioned it will pare again its presence in Europe by way of the remainder of the yr, forward of handing over the rights to promote its COVID-19 vaccine to accomplice Sanofi (NASDAQ:) in 2025.
The corporate’s vaccine had didn’t make a major dent available in the market share of early COVID-vaccine entrants comparable to Pfizer/BioNTech and Moderna (NASDAQ:), and final yr raised doubts about its means to stay in enterprise.
“We are concentrating our commercial efforts for the remainder of the year on our largest market, the U.S.,” Chief Working Officer John Trizzino mentioned on a post-earnings name.
The corporate would scale back its gross sales infrastructure in Europe and concentrate on choose markets comparable to Germany, Italy and Poland.
Novavax (NASDAQ:) expects total demand for COVID vaccines within the U.S. to stay much like final yr, however anticipates its personal efficiency to be higher, Trizzino mentioned.
The corporate has sought authorization for its fall-season COVID shot concentrating on the JN.1 pressure from the U.S. and European regulators.
Its shares rose 5% on Thursday. The inventory has plunged greater than 95% from the excessive hit in 2021 through the peak of the pandemic.
In Could, Novavax signed a licensing deal value no less than $1.2 billion with Sanofi for its COVID vaccine.
The deal supplied the U.S. biotech agency with a lot wanted liquidity whereas boosting the French drugmaker’s plans to co-develop a mix of its influenza and COVID vaccine.
Novavax, which missed second-quarter income and revenue estimates, minimize its full-year forecast vary for complete income to $700 million to $800 million, from between $970 million and $1.17 billion.
Final week, Moderna additionally minimize its 2024 income forecast, partly on account of low COVID gross sales within the EU.
Novavax now expects $275 million to $375 million in product gross sales for the yr, in contrast with its earlier forecast of between $400 million and $600 million, which additionally included royalties and different income.
