Novavax (NVAX) Q2 2026 earnings summary

Executive summary

• Strategic transformation centers on partnerships, targeted R&D innovation, and a lean operating model, with major collaborations including Sanofi and Pfizer advancing Matrix-M in infectious disease and oncology.

• Product sales rose 76% year-over-year to $19 million in Q2 2026, driven by Matrix-M demand and partner sales, despite a sharp decline in total revenue due to lower milestone and licensing payments.

• Net loss for Q2 2026 was $53 million, compared to net income of $107 million in Q2 2025, reflecting the absence of large milestone payments.

• Significant cost reductions achieved, with R&D and SG&A expenses down 36% year-over-year (non-GAAP) and operating expenses reduced by over 80% from peak levels.

• Sanofi partnership is advancing with expanded commercial launches, regulatory milestones, and significant future milestone and royalty potential.

Financial highlights

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

• Product sales grew 76% year-over-year to $19 million, with Sanofi, Takeda, and Serum Institute as key contributors.

• Net loss for Q2 2026 was $53 million; cash and equivalents at quarter-end totaled $724 million.

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

• Full-year 2026 adjusted revenue guidance raised to $235–$275 million.

Outlook and guidance

• Eligible for up to $425 million in Sanofi milestone payments and high-teen to low-twenties royalties on global net sales.

• Expect to earn a $75 million milestone from Sanofi in mid-2027 and a $125 million milestone upon phase III trial initiation.

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

• Full-year 2026 non-GAAP R&D and SG&A expense guidance at $310–$340 million.

• Cash runway expected to extend into 2029.