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Pfizer on Thursday reported second-quarter revenue and adjusted earnings that beat expectations and raised its full-year forecast, helped by its broad cost-cutting plan, better-than-expected sales of its COVID-19 antiviral drug Paxlovid and strong non-COVID-19 product sales. quantity.
The company now expects adjusted earnings per share for the fiscal year of $2.45 to $2.65, up from previous guidance of $2.15 to $2.35 per share.
Pfizer also raised its revenue forecast to $59.5 billion to $62.5 billion, up from its previous forecast of $58.5 billion to $61.5 billion. That includes about $5 billion in expected revenue from Covid vaccines and $3.5 billion in expected revenue from Paxlovid.
The pharmaceutical giant said its higher outlook reflected its strong first-half results and confidence in the “underlying strength” of its business. Notably, Pfizer on Tuesday reported its first quarterly revenue growth since the fourth quarter of 2022, when its Covid revenue peaked.
The results come as Pfizer struggles to stabilize its business and regain favor with Wall Street after demand for its coronavirus products plummeted. Demand for its vaccine and antiviral drug Paxlovid fell sharply last year as the world emerged from the pandemic and shifted to the U.S. commercial market.
With revenue drying up, Pfizer in October launched a broad cost-cutting plan aimed at saving at least $4 billion by the end of 2024. Savings of $1.5 billion by 2027.
Pfizer has also set its sights on cancer treatment after spending $43 billion to acquire Seagen last year.
This is what the company reported second season Compared to Wall Street expectations, according to a survey of analysts by LSEG:
- Earnings per share: Adjusted 60 cents, compared with expectations of 46 cents.
- income: US$13.28 billion, compared with US$12.96 billion expected.
The company’s second-quarter net income was $41 million, or 1 cent per share. This compares with net income of $2.33 billion, or 41 cents per share, in the same period last year. Excluding certain items, the company earned 60 cents per share for the quarter.
Pfizer’s second-quarter revenue was $13.28 billion. This is an increase of 2% from the same period last year.
Paxlovid’s sales this quarter were US$251 million, an increase of 76% over the same period last year. The increase was primarily due to increased infection rates and demand in certain international markets during the quarter, as well as favorable results compared to the same period last year, when Paxlovid was not available in the United States before moving to commercial markets.
The unit’s performance topped analysts’ expectations for sales of $206.1 million, according to estimates compiled by StreetAccount.
The company’s COVID-19 vaccine revenue was $195 million, down 87% from the same period last year.
The decrease was due to lower contract deliveries and demand in international markets and reflects the seasonality of vaccination demand.
Analysts expect sales of the drug to be $195 million, according to StreetAccount.
This story is developing. Please check back for updates.
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