Third Quarter 2026
Filed Nov 5, 2026Novavax Reports Third Quarter 2026 Financial Results and Operational Highlights
Product sales increased 91% and operating expenses declined, while total revenue decreased 3%, licensing, royalties and other revenue declined 25%, and the company reported a net loss of $31 million.
Key metrics
shortened, hover for the filing’s print| Metric | Value | q/q | y/y |
|---|---|---|---|
| Q3 2026 product sales (in thousands)GAAP | $25.69M | – | 91 % |
| Q3 2026 licensing, royalties and other revenue (in thousands)GAAP | $42.60M | – | (25) % |
| Q3 2026 total revenue (in thousands)GAAP | $68.30M | – | (3) % |
| Q3 2026 cost of sales (in thousands)GAAP | $23.49M | – | – |
| Q3 2026 research and development expenses (in thousands)GAAP | $52.45M | – | decreased by 47% |
| Q3 2026 selling, general and administrative expenses (in thousands)GAAP | $23.64M | – | a 25% decrease |
| Q3 2026 impairment of assets held for sale (in thousands)GAAP | — | – | – |
| Q3 2026 total expenses (in thousands)GAAP | $99.58M | – | – |
| Q3 2026 loss from operations (in thousands)GAAP | −$31.28M | – | – |
| Q3 2026 interest expense (in thousands)GAAP | −$5.40M | – | – |
| Q3 2026 loss on debt extinguishment (in thousands)GAAP | — | – | – |
| Q3 2026 other income, net (in thousands)GAAP | $7.03M | – | – |
| Q3 2026 loss before income tax expense (in thousands)GAAP | −$29.65M | – | – |
| Q3 2026 income tax expense (benefit) (in thousands)GAAP | $1.72M | – | – |
| Q3 2026 net income (loss) (in thousands)GAAP | −$31.38M | – | – |
| Q3 2026 basic net income (loss) per shareGAAP | $ (0.19) | – | – |
| Q3 2026 diluted net income (loss) per shareGAAP | $ (0.19) | – | – |
| Q3 2026 weighted average common shares outstanding, basicGAAP | 164,924 | – | – |
| Q3 2026 weighted average common shares outstanding, dilutedGAAP | 164,924 | – | – |
| Q3 2026 non-GAAP R&D expenses ($ in millions)non-GAAP | $48.7M | – | decreased by 7% |
| Q3 2026 non-GAAP combined R&D and SG&A expenses ($ in millions)non-GAAP | $72.3M | – | – |
| Nine months 2026 product sales (in thousands)GAAP | $86.75M | – | – |
| Nine months 2026 licensing, royalties and other revenue (in thousands)GAAP | $177.8M | – | – |
| Nine months 2026 total revenue (in thousands)GAAP | $264.5M | – | – |
| Nine months 2026 cost of sales (in thousands)GAAP | $68.43M | – | – |
| Nine months 2026 research and development expenses (in thousands)GAAP | $218.6M | – | – |
| Nine months 2026 selling, general and administrative expenses (in thousands)GAAP | $79.09M | – | – |
| Nine months 2026 impairment of assets held for sale (in thousands)GAAP | — | – | – |
| Nine months 2026 total expenses (in thousands)GAAP | $366.1M | – | – |
| Nine months 2026 loss from operations (in thousands)GAAP | −$101.6M | – | – |
| Nine months 2026 net income (loss) (in thousands)GAAP | −$94.25M | – | – |
| Nine months 2026 basic net income (loss) per shareGAAP | $ (0.57) | – | – |
| Nine months 2026 diluted net income (loss) per shareGAAP | $ (0.57) | – | – |
| Nine months 2026 non-GAAP R&D expenses ($ in millions)non-GAAP | $164.5M | – | – |
| Nine months 2026 non-GAAP combined R&D and SG&A expenses ($ in millions)non-GAAP | $243.6M | – | – |
Segments
| Segment | Revenue | q/q | y/y |
|---|---|---|---|
| SanofiRevenue recognized under the license agreement including upfront payments, milestones, royalties and transition services reimbursement. | $19M | – | (61) % |
| TakedaTakeda initiated commercial activities for the 2026–2027 COVID-19 vaccination season in Japan. | $7M | – | 14 % |
| SerumCollaboration-related revenue. | $5M | – | 136 % |
| Other PartnersQ3 2026 reflects non-cash deferred royalty recognition related to SK bioscience prior sales of Nuvaxovid. | $3M | – | 100 % |
Full Year 2026 (as of Nov 5, 2026) outlook
- RevenueAdjusted Total Revenue: $385 - $415
- Operating expensesCombined R&D and SG&A Expenses: $375 - $395; Non-GAAP Combined R&D and SG&A Expenses: $315 - $335
- NoteNuvaxovid Product Sales: $40 - $50
- NoteAdjusted Supply Sales: $50 - $60
- NoteSanofi CIC Milestone: $125
- NoteAdjusted Licensing, Royalties and Other Revenue: $170 - $180
- NoteR&D Reimbursements: $60 million
- NoteOther Partner related revenue including royalties and milestones from Pfizer, Serum on R21/Matrix-M and collaboration partners for COVID-19 vaccine, including Serum and Takeda: $70 million to $80 million
- NoteAmortization related to the $500 million Upfront Payment and the $50 million Database Lock Milestone: $40 million
What drove it
- Product sales of $26 million consisted of Novavax supply sales of Nuvaxovid to Sanofi and Matrix-M to license partners.
- Licensing, royalties and other revenue included $11 million in non-cash deferred royalty recognition related to prior Nuvaxovid sales by SK bioscience to the South Korean government.
- Lower R&D expenses reflected near completion of Sanofi clinical support for Nuvaxovid, decreased seasonal strain change support for Nuvaxovid and the ongoing Novavax cost reduction program.
- The SG&A decrease reflected the transition of lead commercial activities to Sanofi, elimination of commercial infrastructure and the ongoing general administrative cost reduction program.
- Novavax earned a $125 million milestone in October 2026 upon initiation of Sanofi’s Phase 3 influenza-COVID-19 combination vaccine trial in Europe.
Concerns
- Total revenue decreased 3% to $68 million and licensing, royalties and other revenue decreased 25% to $43 million.
- Licensing, royalties and other revenue was affected primarily by a $42 million year-over-year reduction in R&D reimbursement revenue as Novavax nears completion of support for Sanofi Nuvaxovid clinical support for postmarketing commitments.
- Novavax reported a net loss of $31 million for Q3 2026.
- Cash was $627 million as of September 30, 2026, compared to $751 million as of December 31, 2025.
- The company stated that it is reliant on Sanofi’s sales forecasts for certain revenue components, which are not included in the Full Year 2026 Revenue Framework.
What to watch
- Sanofi’s intended initiation of a U.S. Phase 3 CIC trial in 2027 to support U.S. approval.
- Completion of manufacturing technology transfer to Sanofi for Nuvaxovid, expected in mid-2027, which would trigger a $75 million milestone payment.
- Progress of the differentiated C. difficile vaccine program, anticipated to advance into the clinic as early as 2027.
- Sanofi commercial activities for the 2026–2027 COVID-19 vaccination season and potential royalties in the high teens to low twenties as a percentage of Sanofi’s global net sales for Nuvaxovid.
- The $225 million milestone eligibility upon a U.S. commercial launch of a CIC vaccine following successful clinical and U.S. FDA regulatory requirements.
Balance sheet and cash flow
- Cash, cash equivalents, marketable securities and restricted cash (Cash) were $627 million as of September 30, 2026, compared to $751 million as of December 31, 2025.
- Cash and cash equivalents: $ 222,455 as of September 30, 2026; $ 240,634 as of December 31, 2025.
- Marketable securities: $ 399,908 as of September 30, 2026; $ 494,450 as of December 31, 2025.
- Total restricted cash: $ 4,602 as of September 30, 2026; $ 15,418 as of December 31, 2025.
- Total current assets: $ 707,956 as of September 30, 2026; $ 978,276 as of December 31, 2025.
- Working capital: $ 378,111 as of September 30, 2026; $ 518,326 as of December 31, 2025.
- Total assets: $ 888,005 as of September 30, 2026; $ 1,176,512 as of December 31, 2025.
- Long-term debt: $ 292,088 as of September 30, 2026; $ 244,213 as of December 31, 2025.
- Total stockholders' deficit: $ (216,855) as of September 30, 2026; $ (127,753) as of December 31, 2025.
Analysis
Novavax reported Q3 2026 total revenue of $68 million, down 3% from $70 million in the same period in 2025. Product sales rose 91% to $26 million and consisted of Nuvaxovid supply sales to Sanofi and Matrix-M supply sales to license partners. This was offset by a 25% decline in licensing, royalties and other revenue to $43 million, driven primarily by a $42 million year-over-year reduction in R&D reimbursement revenue as the company nears completion of Sanofi Nuvaxovid clinical support for postmarketing commitments. The quarter also included $11 million of non-cash deferred royalty recognition related to prior Nuvaxovid sales by SK bioscience to the South Korean government.
The expense profile improved materially. GAAP R&D expense fell 47% to $52 million, while non-GAAP R&D expense declined 7% to $48.7 million. SG&A expense declined 25% to $24 million, reflecting the commercial transition to Sanofi, elimination of commercial infrastructure and administrative cost actions. Total expenses were $99,579 thousand versus $248,463 thousand, with the prior-year period including $97,038 thousand of impairment of assets held for sale. The company recorded a Q3 net loss of $31 million, compared with a net loss of $202 million.
The company raised its adjusted total revenue framework to $385 - $415 for full-year 2026 from $235 - $275 as of August 6, 2026. The revised framework includes the $125 million Sanofi CIC milestone earned in October, while it excludes Sanofi supply sales, Sanofi royalties and future Sanofi milestones because Novavax is reliant on Sanofi sales forecasts for certain components. Novavax also revised GAAP combined R&D and SG&A expense guidance to $375 - $395 from $370 - $410 and maintained non-GAAP combined R&D and SG&A expense guidance at $315 - $335 compared with $310 - $340 previously.
Cash, cash equivalents, marketable securities and restricted cash were $627 million at September 30, 2026, compared with $751 million at December 31, 2025. Long-term debt was $292,088 thousand and total stockholders' deficit was $216,855 thousand at September 30, 2026. The central operational markers are Sanofi’s planned U.S. Phase 3 CIC trial in 2027, the expected mid-2027 Nuvaxovid manufacturing technology transfer that would trigger a $75 million milestone, the potential $225 million CIC U.S. commercial-launch milestone, and commercial execution for the 2026–2027 COVID-19 vaccination season.
Novavax’s reported results show a business increasingly structured around partner supply, reimbursements, milestones and royalties. The current quarter demonstrates lower operating costs and stronger product sales, but total revenue declined as R&D reimbursement revenue fell. The raised adjusted revenue framework is driven in part by the October CIC milestone, while future reported revenue remains linked to Sanofi commercial performance, partner forecasts and execution of clinical, regulatory and technology-transfer milestones.
Management, verbatim
This quarter, we continued to execute across all three pillars of our strategy.
John C. Jacobs, President and Chief Executive Officer, Novavax
Our focused R&D efforts are building a growing body of data on what our technology can do in infectious disease, advancing our C. difficile candidate towards the clinic and exploring oncology as a potential new area of application.
John C. Jacobs, President and Chief Executive Officer, Novavax
And we have been doing this while continuing to reduce expenses and operate with financial discipline.
John C. Jacobs, President and Chief Executive Officer, Novavax
Not in the filing
stated, not guessed- Gross margin was not reported.
- Operating cash flow was not reported.
- Free cash flow was not reported.
- Capital returns, including share repurchases and dividends, were not reported.
- Quarterly tax rate was not reported.
- Full-year 2026 GAAP total revenue guidance was not reported.
- Actual full-year 2026 results were not reported; therefore no actual-versus-prior-guidance comparisons are available.
- Prior-quarter values were not reported for the quarterly income-statement metrics.
Written by an AI language model from the company’s SEC earnings filing (Form 8-K Item 2.02, or Form 6-K for a foreign private issuer). Every figure was checked against the filing text, and a metric whose value, prior period and change do not add up is dropped from the metrics. The model can still misread a table, in the metrics or in the text, so check a number in the filing before you rely on it. Consensus estimates, price targets and share-price reactions are not shown because they are not in the filing. AI-generated research, not investment advice.