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Pfizer beats quarterly estimates, raises low end of revenue guidance on non-Covid product strength

The pharmaceutical company lifted its revenue floor even as it cut its Covid product forecast
WHY IT MOVED
The beat signals Pfizer's drug portfolio outside Covid is gaining traction, which matters because investors have questioned whether the company can sustain growth after pandemic-era revenue collapsed.
AT PUBLICATION
PFE25.03▲ +0.08%
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PFE Earnings & guidance InstantWhy Newsroom 1h ago

The numbers

CNBC reports that Pfizer posted quarterly results above Wall Street estimates and raised the low end of its full-year revenue guidance, driven by strength in its non-Covid product portfolio. The company cut its full-year revenue expectation for Covid products to $4 billion, down from around $5 billion previously. Pfizer has not yet independently confirmed the results.

Why it matters

Raising guidance while simultaneously lowering Covid expectations by a billion dollars shows the rest of the business is performing well enough to more than offset that decline. The shift marks progress in Pfizer's effort to prove it can grow without relying on vaccines and antivirals that drove record sales in 2021 and 2022.

How this compares

Pfizer last reported earnings on August 4, when it beat on both profit and revenue as investors assessed its drug portfolio recovery, according to our prior coverage. The company has faced sustained scrutiny over dividend sustainability and its pipeline of new products. Rival Merck recently raised its revenue outlook on new drug sales, though it cut profit guidance due to an acquisition charge tied to its Terns Pharmaceuticals deal.

What to watch

The raised guidance floor suggests management has growing confidence in its non-Covid franchise for the remainder of the year. Investors will look for detail on which specific drugs are driving the outperformance and whether the momentum can continue as Covid product sales continue their decline.

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HOW THIS STORY WAS MADE

Sources

Artificially generated from public sources, explained in our own words, and published as fast as possible. Our team holds editorial responsibility. This is analysis, not investment advice.

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