Vaxart’s Earnings Call: Dynavax Partnership and Revenue Surge

Vaxart ((VXRT)) has held its Q3 earnings call. Read on for the main highlights of the call.

Vaxart’s recent earnings call was marked by a blend of optimism and caution. The company announced a promising partnership with Dynavax, which is expected to enhance financial stability and validate its technological advancements. Positive strides in the norovirus program and a substantial increase in revenue were also highlighted. However, challenges such as a stop work order from BARDA and delays in norovirus trials were acknowledged, indicating a mixed sentiment overall.

Strategic Partnership with Dynavax

Vaxart has entered into a strategic partnership with Dynavax, focusing on their oral COVID-19 vaccine program. This collaboration could be worth up to $700 million, including an upfront license fee of $25 million and a $5 million equity investment. This partnership is a significant boost for Vaxart, extending its cash runway to the second quarter of 2027 and potentially providing substantial financial and developmental support.

Positive Norovirus Vaccine Developments

The company reported encouraging Phase I results for its second-generation norovirus vaccine. These results demonstrated significant increases in antibody responses, suggesting improved protection compared to the first-generation constructs. This development is a positive step forward in Vaxart’s vaccine pipeline.

Increased Revenue

Vaxart’s revenue for the third quarter of 2025 was $72.4 million, a dramatic increase from $4.9 million in the same quarter of the previous year. This surge in revenue is primarily attributed to the BARDA contract, showcasing the financial growth and potential of the company.

BARDA Stop Work Order

Despite the positive developments, Vaxart faced a setback with a stop work order from BARDA on their Phase IIb COVID-19 clinical study. This order halts new enrollments but allows follow-up for participants already enrolled, posing a challenge to the company’s progress in this area.

Delayed Norovirus Clinical Trial

The next clinical trial for Vaxart’s norovirus vaccine has been delayed until 2026. This delay is contingent on securing additional funding or partnerships, highlighting a hurdle in the company’s development timeline.

Forward-Looking Guidance

Looking ahead, Vaxart’s partnership with Dynavax is expected to play a crucial role in its strategic direction and financial outlook. The agreement could bring up to $700 million in various fees and royalties, with an upfront payment of $25 million and a $5 million equity investment. This collaboration is set to extend Vaxart’s cash runway into 2027, with potential milestone payments and royalties further enhancing its financial stability. The company remains focused on advancing its vaccine candidates, with key data readouts anticipated in 2026.

In conclusion, Vaxart’s earnings call presented a mixed yet promising picture. The partnership with Dynavax and positive developments in the norovirus program are significant highlights, while challenges such as the BARDA stop work order and trial delays pose obstacles. Overall, the call reflects a cautious optimism as Vaxart navigates its strategic and financial future.