Novavax (NVAX) Q2 2026 earnings summary

Executive summary

• Strategic transformation centers on partnerships, capital-efficient innovation, and a lean operating model, with major alliances including Sanofi and Pfizer advancing both infectious disease and oncology programs.

• Four of the top 10 global pharma companies have Matrix-M licensing or MTA agreements, with Pfizer providing a $30M upfront and up to $500M in milestones.

• Sanofi partnership is progressing with advanced regulatory discussions for a COVID-19/flu combo vaccine, expanded commercial launches, and significant milestone and royalty potential.

• Internal pipeline advances include a differentiated C. difficile vaccine candidate and ongoing oncology collaborations.

• Operating expenses and headcount have been significantly reduced, with further cost containment and restructuring underway.

Financial highlights

• Q2 2026 total revenue was $57M, down from $239M in Q2 2025, mainly due to lower milestone and licensing payments.

• Product sales grew 76% year-over-year to $19M, driven by Matrix-M demand from Takeda, Serum Institute, and partners.

• Net loss for Q2 2026 was $53M; cash and equivalents at quarter-end totaled $743M.

• R&D and SG&A expenses reduced by 36% year-over-year on a non-GAAP basis.

• Full-year 2026 adjusted revenue guidance raised to $235M–$275M, with midpoint at $255M.

Outlook and guidance

• Eligible for up to $425M in additional milestone payments from Sanofi, including $75M for tech transfer in mid-2027 and $125M for Phase 3 combo vaccine trial initiation.

• Majority of 2026 revenue expected in Q4, aligned with COVID-19 vaccine season.

• 2026 GAAP R&D and SG&A expense guidance improved to $390M; non-GAAP guidance at $310M–$340M.

• Targeting 2028 non-GAAP R&D and SG&A expenses of $150M–$200M and profitability as early as 2028.

• Management expects sufficient liquidity to fund operations for at least the next 12 months, supported by cash reserves and anticipated milestone and royalty payments.