Novavax Reports Large Quarterly Revenue Declines, Rethinks Its Strategic Direction
Novavax closed up the day it reported a pivot in direction. The COVID-19 vaccine company, based in Maryland, said during its earnings report that it would move from developing products to instead partnering with larger pharmaceutical companies and licensing its drug technology. Novavax reported $88 million in revenues in the fourth quarter, compared to $291 million the year prior, and $682 million for the full year 2024, compared to $984 million the previous year.
- The shift in strategy may provide a much-needed lifeline to a company that has struggled to regain momentum after the pandemic-driven surge in demand subsided.
- Will Novavax's new focus on partnerships and licensing lead to a more sustainable business model, or will it ultimately be beholden to the whims of its pharmaceutical partners?