Pfizer (PFE) Q1 earnings report 2023

Pharmaceutical Pfizer Inc. said that an oral drug for treating COVID-19 might be available by end of 2021.

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Pfizer on Tuesday reported first-quarter revenue and adjusted earnings that topped Wall Street’s expectations, despite a decline in sales driven by the lower demand for the corporate’s Covid vaccine.

The pharmaceutical giant’s stock edged higher in premarket trading Tuesday. Shares are down greater than 23% for the 12 months through Monday’s close, putting the corporate’s market value at around $221.3 billion.

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Here’s what Pfizer reported compared with Wall Street’s expectations, based on a survey of analysts by Refinitiv:

Earnings per share: $1.23 adjusted, vs. 98 cents expected
Revenue: $18.28 billion, vs. $16.59 billion expected

Pfizer posted net income of $5.54 billion, or 97 cents per share. That compares with $7.86 billion, or $1.37 per share, for a similar period a 12 months ago.

The corporate reported first-quarter sales of $18.28 billion, down 29% over the identical period a 12 months ago.

Sales of the corporate’s Covid vaccine declined $10 billion, or 75%, compared with the identical quarter last 12 months. Pfizer said this was primarily driven by lower contracted deliveries and demand in international markets.

The decline was also as a result of lower U.S. government contracted deliveries because the country prepares to shift Covid products to the business market later this 12 months, in response to Pfizer.

Sales of Pfizer’s Covid antiviral pill Paxlovid increased $2.8 billion throughout the first-quarter compared with the identical period last 12 months. Pfizer said Paxlovid revenue was propelled by latest launches in certain international markets and robust demand in China as a result of increased Covid cases.

Paxlovid first entered the U.S. market under emergency use authorization in late December 2021. Pfizer hopes to win full Food and Drug Administration approval for the drug this 12 months. Still, the corporate expects sales of Paxlovid to drop 58% for the complete 12 months compared with 2022.

Excluding Covid product sales, Pfizer said first-quarter revenue grew 5% over the identical period a 12 months ago.

That growth was fueled by products from recently acquired firms, in response to Pfizer. That features Biohaven Pharmaceutical’s migraine drug Nurtec ODT and Global Blood Therapeutics’ sickle cell disease treatment Oxbryta.

The corporate said the rise was also driven by strong sales of medication like Sulperazon, an antibiotic for the treatment of urinary tract infections, and blood thinner medication Eliquis.

The Latest York-based company maintained its 2023 sales forecast of $67 billion to $71 billion. Pfizer also reiterated its full-year adjusted earnings outlook of $3.25 to $3.45 per share.

But Pfizer continues to expect Covid-related sales to say no this 12 months. The corporate reaffirmed its forecast of $13.5 billion in Covid vaccine sales in 2023 and $8 billion in revenue for Paxlovid.

A Pfizer spokesperson said the corporate expects this 12 months to be a “transition 12 months” for Covid sales before “potentially returning to growth in 2024 and beyond.”

Excluding Covid products, Pfizer said it expects 7% to 9% revenue growth this 12 months.

Pfizer and other drugmakers like Moderna and Johnson & Johnson have been bracing for a steep drop-off in Covid-related sales this 12 months because the world emerges from the pandemic and relies less on blockbuster vaccines and coverings for the virus.

But Pfizer is pinning its hopes on M&A and a record pipeline to assist the corporate navigate its post-pandemic boom.

The corporate said in January it expects to launch 19 vaccines and coverings over the following 18 months. Those drugs have the potential to generate $20 billion in 2030 sales, in response to Pfizer.