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Novavax slashed its revenue guidance for 2022.
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Novavax
slumped more than 30% early Tuesday after the Covid-19 vaccine maker slashed its guidance for 2022 revenue.
Novavax
(ticker: NVAX) said it expects revenue this year of $2 billion to $2.3 billion, down from previous expectations of $4 billion to $5 billion.
The stock fell 30.5% to $39.81 in premarket trading Tuesday. Coming into Tuesday, the shares have slumped almost 60% this year.
In a statement, Novavax said it adjusted guidance to “account for several evolving market dynamics.”
“We have shipped over 23 million doses since the beginning of July and, while in some cases delivery timing may be pushed into 2023, we do not expect total contracted demand to change under the majority of our advance purchase agreements,” the company said.
Chief Executive Stanley Erck told The Wall Street Journal in an interview that the new guidance reflects an unexpected shortfall in demand for Covid-19 vaccines.
Covax, the international vaccine initiative, has backed away from an order of 350 million doses of the Novavax vaccine because it has received too many vaccines from other companies, he said.
Demand also uncertain in the U.S., Erck told the Journal.
Novavax also reported a second-quarter loss of $6.53 a share on sales of $185.9 million. Analysts surveyed by FactSet had expected earnings of $5.54 a share on sales of $1.02 billion.
Write to Joe Woelfel at joseph.woelfel@barrons.com
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