(Nov 3): Pfizer Inc raised its full-year outlook after it outperformed in the third quarter, as growing demand for its newer medicines helped the drugmaker offset declining sales of its Covid-19 products.
The drugmaker now expects full-year revenue of US$62 billion (RM252.61 billion) to US$64 billion and adjusted earnings of US$2.95 to US$3.05 a share. It previously forecast revenue of US$60.5 billion to US$62.5 billion and adjusted earnings of US$2.80 to US$3 a share.
The New York-based drugmaker reported better-than-anticipated third-quarter profit and sales. It’s the latest pharma company to surpass Wall Street expectations during the period. Last week, Eli Lilly & Co, Merck & Co and Bristol Myers Squibb Co were all among companies that raised their annual forecast.
Shares rose less than 1% in early trading in New York on Tuesday. They’ve gained 23% so far this year, through Monday’s close.
Pfizer is trying to reinvent itself after a major pandemic windfall. CEO Albert Bourla has turned to acquisitions, new cancer medicines and an ambitious push into obesity treatments to revive growth as Covid-19 sales fade and some of the company’s biggest drugs face competition from cheaper alternatives.
One of Pfizer’s major bets is in obesity, where it is seeking to challenge market leaders Eli Lilly & Co and Novo Nordisk A/S. Pfizer bought Metsera Inc last year, gaining experimental treatments including a shot designed to be taken once a month rather than weekly. The company is now advancing an extensive clinical programme to test whether its medicines can compete in the rapidly expanding market.
Cancer is another major focus. Pfizer’s US$43 billion acquisition of Seagen gave it a portfolio of cancer medicines, including Padcev, a treatment for bladder cancer. Sales of that drug beat estimates in the third quarter.
Sales of heart drug Vyndaqel were US$1.77 billion, slightly higher than estimates. Revenues from pneumococcal vaccine Prevnar were US$1.56 billion while the blood thinner Eliquis brought in US$2.52 billion in the quarter.
Pfizer is also seeking to improve profitability through aggressive cost cutting. Separately, the company said Tuesday interim chief financial officer Cecile Guegan would take on the role permanently.
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