Actions of Modern (NASDAQ: ARNM) climbed 8.4% on Thursday after the drugmaker said it was preparing for a potential launch of its experimental COVID-19 vaccine.
Moderna has already received $ 1.1 billion in deposits from customers for its coronavirus vaccine candidate, mRNA-1273. “We are actively preparing for the launch of mRNA-1273 and we have signed a number of supply agreements with governments around the world,” CEO Stéphane Bancel said in the release of the third quarter results of the biotechnology.
With its drugs still in the testing phase, Moderna’s expenses currently exceed its revenues. The company reported a net loss of $ 233.6 million, or $ 0.59 per share, in the third quarter. Yet, with nearly $ 4 billion in cash reserves, Moderna has the capital it needs to fund its research and development programs.
Moreover, if its COVID-19 vaccine candidate were to prove safe and effective and gain regulatory approval, Moderna could quickly become profitable.
Moderna has 30,000 people participating in its Phase 3 mRNA-1273 study. Bancel said in a conference call with analysts that he expects the Data and Safety Oversight Committee to conduct its first interim analysis of the clinical trial in November. The results of this analysis could help determine whether Moderna is seeking regulatory approval for its potentially life-saving vaccine.