Biontech Predicts Lower Corona Vaccine Sales for 2023
Biontech, the vaccine manufacturer, has revised its revenue expectations for Covid-19 vaccines in 2023, expecting sales of around four billion euros. This is a significant drop from the previous five billion-euro forecast, announced recently.
The company reported a net profit of 160.6 million euros for the third quarter, marking a return to profit after a loss in the previous quarter. However, these figures are notably lower compared to the same period of 2022, when Biontech reported a profit of 1.78 billion euros and revenue of 3.46 billion euros.
Despite the drop in profits and revenues, Biontech sees itself as defying industry trends. While its partner, Pfizer, reported a loss and had to write off its inventory due to a decline in Covid medicine demand, Biontech managed to stay afloat.
The anticipated decrease in Covid-19 vaccine sales could impact Biontech's future quarterly figures. Despite a positive third-quarter performance, the company's revenues and profits for the period are noticeably lower than the previous year's figures in the Covid-19 drug market.
Biontech's lower sales might be a consequence of the Covid-19 vaccine market's transition from a government-funded phase to a commercial one. This transition has led to decreased government purchases and increased competition, potentially affecting sales volumes and prices.
Enrichment: The shift to a commercial market prompts higher prices and, potentially, lower sales due to private market dynamics. For instance, Moderna has planned to increase its Covid-19 vaccine price to approximately $110 to $130 per dose in March 2024, which could pose further challenges for Biontech's sales.
Furthermore, the decline in government-funded purchases in the Covid-19 drug market is one factor affecting revenue. Biontech's anticipated drop in sales could signal a challenging period for the company as it navigates the new market landscape.
