Moderna’s earnings rise above expectations

Moderna’s Q2 results have beaten Wall Street’s quarterly earnings and revenue expectations. The Boston-based company generated $4.7 billion in sales for the quarter, a 9% increase over the same period last year.

The biotech company’s costs rose to $1.4 billion, or 30% of the revenue generated from its vaccine. Moderna also lost $184 million in vaccine purchase commitments and had $131 million in expenses for unused manufacturing capacity. These charges are due to substantial reductions in expected vaccine deliveries to Covax, an international alliance that purchases shots for poorer countries. Deliveries have also been deferred for major customers such as the European Union.

Moderna posted adjusted earnings of $5.24 per share, an 18% drop from the second quarter of 2021. But the company took a nearly $500 million hit on write-downs for vaccine inventory that has expired or is expected to expire before it can be used.

Moderna on Wednesday reported second quarter results that beat earnings and revenue expectations driven $4.5 billion in sales from its Covid -19 vaccine, but it’s still the company’s only commercially available product and it took a big hit on expiring shots.