Novavax said Tuesday it will reduce its global workforce by 25% as the cash-strapped biotech pushes forward with its plans to slash expenses and navigate tepid demand for its COVID-19 vaccines.

The company, which had earlier flagged significant uncertainty around generating revenue for the year, said it expects total annual revenue between $1.4 billion and $1.6 billion, relying on a timely launch of its updated COVID shot.

For the first quarter, it reported a net loss of $293.9 million, compared with a year-ago profit of $203.4 million.

Novavax's coronavirus vaccine is its lone marketed product after 35 years in business and the company is now hoping that its cost controls and a successful trial for its COVID/flu combination vaccine candidate will help it stay afloat.

The layoffs, part of Novavax's ongoing cost-reduction measures, would translate to about 498 jobs out of the 1,992 full-time employees it had as of Feb. 21 according to the company's latest regulatory filings.

The biotech expects the cost-cut plans to help reduce its annual research and commercial expenses by 20% to 25% from last year.

It had $637 million in cash and equivalents at the end of the quarter, compared with $1.3 billion as of Dec. 31.