Novavax is cutting about a quarter of its global workforce as the COVID-19 vaccine maker seeks to slash expenses while dealing with uncertain future revenue.

The US-based company said on Tuesday it expects to trim next year’s costs for research and development as well as selling, general and administrative expenses by about 40 per cent to 50 per cent compared to 2022.

Novavax has 1992 full-time employees. A company representative said the cuts will affect about 20 per cent of that workforce, or nearly 400 people, and some of the vaccine maker’s contractors.

Novavax’s protein-based vaccine debuted long after alternatives from companies like Pfizer, Moderna and Johnson & Johnson had reached the market. Only about 88,458 doses of the Novavax vaccine have been administered in the United States, according to the Centers for Disease Control and Prevention.

That compares to more than 400 million doses of market leader Pfizer’s two-shot original vaccine and updated booster.

The COVID-19 vaccine is Novavax’s lone commercial product. It is updating that vaccine for this Northern Hemisphere autumn and also developing a flu shot and a coronavirus-flu shot combination.

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The company said in February that it estimates that it has enough cash to fund operations for the next year, but “substantial doubt exists regarding our ability to continue as a going concern” due to uncertainty over factors like 2023 revenue.

Vaccine makers expect sales to slow this year, particularly in the first half, as they switch from supplying the US government to selling their shots commercially. They forecast some improvement later in the year, when people will start seeking updated booster shots.