BioNTech counts on shift to cancer drugs after second quarter losses quadruple

[August 05, 2024] 

BERLIN (Reuters) -Losses at German drugmaker BioNTech quadrupled in the second quarter from a year earlier, the company said on Monday, as it banks on a strategy shift towards new cancer treatments following a sharp drop-off in sales of its COVID-19 vaccine.

BioNTech reported a second-quarter net loss of 807.8 million euros ($885 million), versus a loss of 190.4 million a year earlier.

The company also saw a 23% drop in quarterly revenue to 128.7 million euros, mainly due to lower sales of its COVID-19 vaccines, whose development in partnership with U.S. partner Pfizer and wide use during the pandemic made the small German biotech firm a household name.

"Our second quarter revenues correspond to the current demand of a seasonal endemic COVID-19 vaccine market," finance chief Jens Holstein said in a statement.

"Supported by our strong financial position, we will continue to focus on our long-term growth strategy throughout the remainder of the year," he added.

Some 90% of BioNTech's total research and development spending is going towards non-COVID related activities, mainly oncology and mRNA, the company said.

BioNTech is aiming for its first oncology launch in 2026.

Last week, Pfizer lifted its annual profit guidance as cancer treatments acquired through a $43 billion deal for Seagen and strong sales of its heart disease drug helped the company offset the post-pandemic slump in vaccine sales.

($1 = 0.9127 euros)

(Writing by Rachel More, Editing by Miranda Murray and Susan Fenton)

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