Thursday, Moderna Inc ( MRNA ) reported a first-quarter EPS loss of $(3.07), down from an income of $(0.19), smaller than the consensus estimate loss of $(3.55).

The company reported sales of $167 million, sharply below $1.9 billion a year ago due to evaporating COVID-19 vaccine sales, beating the consensus of $97.5 million.

The company cut research and development expenses by 6% in the quarter, mainly due to the absence of upfront collaboration payments. 

Moderna ( MRNA ) added that clinical development and manufacturing expenses also decreased, driven by lower spending on clinical trials for the company’s COVID-19, RSV, and seasonal flu programs, which aligns with its planned trial schedules.

Related: Declining COVID-19 Vaccine Sales Pinches Moderna, Pauses Kenya Vaccine Plant Plans.

Citing Jefferies analyst, Bloomberg highlighted it “a good sign if they can continue to manage expenses, which has been a big sticking point for investors.”

Bloomberg notes that Moderna’s latest financial report highlights its cost-saving efforts amid the declining demand for COVID-19 vaccines as the pandemic wanes. 

Anticipated vaccine sales peak in the latter half of the year, coinciding with the onset of the cold weather virus season.

“Uncertainty remains around the near-term outlook, which is largely tied to COVID and could potentially limit near-term outperformance,” Bloomberg writes, citing a JP Morgan analyst.

“We’re looking very carefully at all investments,” Moderna ( MRNA ) Chief Executive Officer Stéphane Bancel said Thursday on Bloomberg Television.

Tucked in its press release, Moderna ( MRNA ) said it agreed to end a gene editing collaboration with biotech company Metagenomi Inc ( MGX ) as it “continues to strategically prioritize its research and development investments.”

Moderna ( MRNA ) added that following a strategic review, the company is discontinuing the development of its preclinical PD-L1 program (mRNA-6981) and is no longer evaluating other mRNA candidates in this area.

Guidance: Moderna ( MRNA ) reaffirmed its 2024 sales expectations of around $4 billion versus the consensus of $4.21 billion from its respiratory franchise and expects approximately $0.3 billion in net sales in 1h in 2024, reflecting the seasonality of the respiratory business.

Read Next: Moderna Faces Pfizer, BioNTech in London Patent Battle over Covid-19 Vaccines In Legal Showdown.

Price Action: MRNA shares are up 9.94% at $122.50 at the last check Thursday.