Moderna Posts Net Income of $162 Million as Cellnex More Than Doubles Free Cash Flow
Key Facts
Moderna returned to profitability in the third quarter of 2026, posting net income of $162 million after a net loss of $200 million in the year-earlier period. Revenue reached $1.31 billion, up 29% from $1.01 billion a year earlier and above analysts’ estimates of $892.41 million, according to data cited by Reuters. The company also reported adjusted earnings of $0.38 per share, beating expectations for a loss of $1.09 per share by $1.47. Moderna said it had raised its 2026 revenue growth forecast to a range of 15%–25%, from a previous forecast of growth of up to 10%. In its results for the first nine months, Cellnex said free cash flow more than doubled from a year earlier, alongside revenue growth and lower investment.
Moderna attributed revenue growth mainly to higher sales of Covid vaccines in international markets, supported by deliveries under long-term government partnerships. Revenue in the United States was $780 million, while international markets contributed $533 million. Chief Executive Stéphane Bancel said the company achieved "29% revenue growth in the third quarter," alongside U.S. approval of its flu vaccine mFLUSIVA, its fifth product approved globally, and positive Phase 3 results for the melanoma treatment intismeran. The period’s data showed sales growth alongside a 27% decline in research and development expenses to $583 million. The company attributed the decrease to lower clinical development costs after completing several late-stage studies.
In the second quarter of 2026, Moderna had reported revenue of $0.1 billion and a net loss of $0.8 billion, while maintaining its forecast for annual revenue growth of up to 10%. The third-quarter turnaround highlights the contrast with that earlier performance, as sales accelerated and revenue exceeded analysts’ estimates. The company also cut its estimate for research and development expenses for the current year to about $2.7 billion from a previous estimate of about $2.9 billion. The revenue and research and development forecast revisions came together as part of an update to its outlook for the year. Moderna shares rose 10% after the results and forecast increase, according to Reuters.
Cellnex, meanwhile, reported revenue excluding pass-through items of €3,008 million in the first nine months of 2026, up 2.4% from €2,937 million in the year-earlier period. On a like-for-like organic basis, revenue rose 4.9%, supported by inflation hedging and customer demand, while site-sharing and build-to-suit activity added €104 million. Net operating points grew 4.1% year on year to 187,693 in September, and the tenancy ratio increased to 1.65 times from 1.62 times a year earlier. At the same time, like-for-like operating expenses fell 4.4% despite the operation of about 2,900 additional towers, and the adjusted EBITDA margin rose to 84.8% from 83.1%. Chief Executive Marco Patuano said the company was "selectively reinvesting where it sees contractual opportunities that offer attractive long-term returns."
Cellnex’s free cash flow more than doubled in the first nine months of 2026, rising to €474 million from €186 million in the first nine months of 2025. The company said organic growth, operating efficiency and lower investment intensity contributed to the improvement. Investment fell 22% to €860 million, compared with €1,114 million in the year-earlier period. Net debt was €21.04 billion at the end of September, versus €20.82 billion at the end of 2025, while the net debt-to-adjusted EBITDA ratio improved to 6.13 times from 6.28 times. The figures show nominal debt rising alongside an improvement in leverage relative to adjusted earnings.
Cellnex reaffirmed its revenue guidance excluding pass-through items at €4,075–€4,175 million for 2026 and its forecast of €4,255–€4,455 million for 2027. It also maintained its like-for-like free cash flow forecast at €600–€700 million in 2026 and €975–€1,175 million in 2027. The company said it remained on track to return €1 billion to shareholders during 2026, comprising €500 million in fully paid distributions and €500 million in share buybacks. In Poland, it reached an agreement with Polkomtel covering about 3,200 new shared sites by 2030 and a further 2,000 committed sites thereafter, with additional capital investment of €500 million between 2026 and 2030. Reuters reported that the Polish investment will reduce free cash flow in 2027 by about €300 million, and that the company’s shares edged lower on Friday after it said third-quarter results were generally in line with expectations. Cellnex is targeting leverage of between 5 and 6 times in 2027.