Moderna Plunges as Sales View Disappoints, Research Budget Cut

  • Biotech pushes back goal of breaking even by two more years
  • Company delays and discontinues some studies to lower costs

Through Wednesday’s close, Moderna’s shares have dropped about 20% this year.

Photographer: Michaela Handrek-Rehle/Bloomberg
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Moderna Inc. said it aims to reduce its research and development budget by about 20% over the next three years as it tries to find a path to profitability following disappointing vaccine sales.

The biotech is discontinuing five programs in its pipeline and slowing some late-stage studies of treatments for latent and rare diseases to achieve the $1.1 billion cut from its annual R&D budget by 2027, according to a statement Thursday.