Pfizer (PFE) Q1 2024 Earnings | Parami News

Pfizer Wednesday report First-quarter revenue and adjusted profit topped expectations and it raised its full-year profit forecast, benefiting from its broad business cost cutting plansmaller than fear sales drop Sales of its Covid antiviral drug Paxlovid and strong non-Covid products.

The company now expects adjusted earnings per share for the fiscal year of $2.15 to $2.35, up from previous guidance of $2.05 to $2.25 per share.

Pfizer reiterated its previous revenue forecasts of $58.5 billion and $61.5 billion, first raised in mid-December. The guidance includes $5 billion in sales of Covid vaccines and $3 billion in sales of Paxlovid.

The pharmaceutical giant said the new profit guidance reflected its “confidence” in its business and its ability to cut costs. Pfizer said it expects to save at least $4 billion by the end of the year.

“We are cautiously optimistic about this year,” Pfizer Chief Executive Albert Bourla said on an earnings call Wednesday.

The results come as Pfizer tries to regain its footing after a rapid decline in business due to the coronavirus pandemic. Demand for these products has hit new lows and turned to the U.S. commercial market last year.

With revenue hit, the company is trying to boost investor confidence by cutting costs and boosting profits. A renewed focus on cancer treatment after it $43 billion acquisition Seagen last year.

Pfizer shares closed up 6% on Wednesday.

Pfizer’s first-quarter report compared with Wall Street expectations, according to a survey of analysts by London Stock Exchange Group (LSEG):

• Earnings per share: Adjusted to 82 cents, compared with expectations of 52 cents.
• income: US$14.88 billion, compared with US$14.01 billion expected.

Pfizer’s first-quarter revenue was $14.88 billion, down 20% year-on-year, mainly due to a plunge in sales of its COVID-19 products.

Pfizer’s first-quarter net profit was $3.12 billion, or 55 cents per share. This compares with net income of $5.54 billion, or 97 cents per share, in the same period last year.

Excluding certain items, the company earned 82 cents per share for the quarter.

Notably, the company said its adjusted and unadjusted profit increased 11 cents per share, from a final adjusted $771 million to a fourth-quarter forecast revenue reversal of $3.5 billion, reflecting the U.S. government As of February 12, 5.1 million Paxlovid courses had been returned.

Paxlovid’s revenue for the quarter was $2 billion, down 50% from the same period last year. The decline was primarily due to lower global deliveries as the product shifted to commercial markets, as well as lower demand in China.

At the same time, Pfizer’s new crown vaccine sales were US$354 million, a decrease of 88% from the same period last year. The decline was also driven by lower contracted deliveries and demand in international markets and lower U.S. sales, reflecting in part the seasonality of vaccination demand.

But Pfizer Chief Financial Officer Dave Denton said on a conference call that it expects its coronavirus products to continue “contributing to revenue and cash flow for the foreseeable future.”

Pfizer shares are down about 40% in 2023 as demand for Paxlovid and its antiviral vaccine dries up, leading to a hefty loss for the company cut annual income Forecast and record billions of dollars in related expenses Inventory write-off. Pfizer’s new RSV vaccine and twice-daily weight-loss drug performed lacklusterly but failed to succeed in clinical trials, also disappointing Wall Street.

Pfizer said first-quarter revenue, excluding Covid products, rose 11%.

The growth was driven in part by Seagen’s four approved cancer products, which generated $742 million in revenue during the quarter, the company said. That includes a targeted treatment for bladder cancer called Padcev, which had sales of $341 million.

Seagen, another drug that treats certain lymphomas, had first-quarter revenue of $257 million.

Pfizer completed its acquisition of the drugmaker in December.

The company said revenue was also boosted by strong sales of Vyndaqel, a drug used to treat a certain type of cardiomyopathy, a disease of the heart muscle. Sales of these drugs were $1.14 billion, a 66% increase from the first quarter of 2024.

Analysts polled by FactSet had expected revenue of $909.1 million for the drug class this quarter.

Pfizer also said the blood thinner Eliquis, which it sells jointly with Bristol-Myers Squibb, helped drive revenue growth. The drug’s revenue for the quarter was US$2.04 billion, a 9% increase from the same period last year.

Analysts had expected Eliquis sales to reach $1.95 billion, according to FactSet.

Sales of a group of vaccines that prevent pneumococcal pneumonia reached $1.69 billion in the first quarter, a 6% increase from the same period last year. The growth was driven by factors such as acceptance among U.S. children and government procurement.

Analysts had expected sales of $1.63 billion in the quarter, FactSet estimated.

Meanwhile, Pfizer’s new vaccine against respiratory syncytial virus (RSV) generated $145 million in revenue, driven primarily by use in older adults. The vaccine, called Abrysvo, entered the market in the third quarter for the elderly and expectant mothers and can provide protection for the fetus.

The vaccine’s first-quarter revenue fell short of analysts’ expectations of $360 million, according to FactSet data.

Still, Pfizer remains confident it can increase the RSV market share it shares with rival GlaxoSmithKline (GSK), Bourla said. The company hopes U.S. regulators will expand approval of Abrysvo later this year to adults ages 18 to 59 who are at increased risk for severe RSV. Positive late-stage trial data In that age group.

Pfizer’s drug Ibrance, used to treat certain breast cancers, generated $1.05 billion in revenue during the period, down 8% from a year earlier. The decline comes as the drug faces competitive pressure and falling prices in certain international markets.

The drug’s revenue was broadly in line with analysts’ expectations.