Reutersreports that Moderna ( NASDAQ:MRNA ) announced Monday it is lowering its 2025 sales forecast by $1 billion due to weak demand for its COVID-19 vaccines and a slower rollout of its new respiratory syncytial virus (RSV) shot.

The company now expects annual revenue between $1.5 billion and $2.5 billion, primarily in the latter half of the year. That's down from its earlier estimate of $2.5 billion to $3.5 billion and below the $2.95 billion analysts had expected, based on LSEG data.

CEO Stephane Bancel said Moderna plans to cut 2025 cash costs by $1 billion, with another $500 million in reductions targeted for 2026. The company anticipates finishing 2025 with about $6 billion in cash and investments.

Moderna is banking on new products to reignite growth. It has filed for FDA approval of a combination COVID-19 and flu vaccineand expects a decision by May on its next-generation COVID-19 vaccine.The company plans to release its fourth-quarter earnings on Feb. 14.

This article first appeared on GuruFocus .