Pfizer Reports Strong Earnings and Raises Outlook

Pfizer has announced impressive second-quarter results, surpassing revenue and earnings expectations, largely due to its strategic cost-cutting measures and robust sales from non-Covid products. The pharmaceutical giant raised its full-year revenue forecast to between $59.5 billion and $62.5 billion, up from a previous estimate of $58.5 billion to $61.5 billion. This revised outlook includes approximately $5 billion from its Covid vaccine and $3.5 billion from its antiviral pill, Paxlovid, despite a significant drop in demand as the pandemic recedes. The company reported a net income of $41 million, or 1 cent per share, reflecting a 2% increase from the same quarter last year. Pfizer attributed its revenue growth to newly acquired drugs and recently launched treatments, which helped mitigate the decline in sales from its Covid-related products. Analysts had anticipated $195 million in sales for Paxlovid, highlighting the challenges the company faces in the transitioning market. Excluding Covid products, Pfizer's revenue for the second quarter rose by 14% on an operational basis, driven in part by the success of Seagen's cancer treatments, which generated $845 million in revenue. CEO Albert Bourla expressed satisfaction with the integration of acquired products, noting that they contributed significantly to the company's overall revenue, with sales reaching $1.32 billion, a 69% increase from the previous year. Despite the positive overall performance, Pfizer's Covid vaccine revenue fell short of analysts' expectations, generating $1.88 billion for the quarter, which was below the projected $89 million.