Exterior view of the Pfizer headquarters building on January 29, 2023 in New York City.
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Pfizer on Tuesday posted first-quarter earnings and revenue that topped estimates and reaffirmed its outlook for 2026 as its newly launched and acquired products showed growth.
Older, best-selling drugs, including its blood thinner Eliquis, also helped boost demand in the quarter and offset a drop in revenue from Pfizer's Covid vaccine and the antiviral pill to treat the virus, Paxlovid.
Here's what the company reported for the first quarter compared to what Wall Street expected, according to a survey of analysts by LSEG:
- Earnings per share: 75 cents adjusted versus 72 cents expected
- Revenue: $14.45 billion vs. $13.79 billion expected
The pharmaceutical giant is looking for longer-term investments in its portfolio, including its recent $10 billion acquisition of obesity biotech Metsera, to counter waning sales of Covid products and the decline of older drugs. Pfizer is focused on releasing several crucial data this year, including results from late-stage trials of an experimental drug targeting lung cancer.
Pfizer reported revenue of $14.45 billion for the first quarter, up 5% from the same period a year earlier. Increases in sales of key products helped offset difficulties in its Covid business.
The company reported net income of $2.69 billion, or 47 cents per share. That compares with net income of $2.97 billion, or 52 cents per share, during the same period a year ago.
Excluding certain items, including restructuring charges and costs associated with intangible assets, the company posted earnings per share of 75 cents for the quarter.
Pfizer reaffirmed its 2026 outlook, expecting 2026 adjusted earnings to be between $2.80 and $3 per share, and revenue to total between $59.5 billion and $62.5 billion. That sales range would be roughly flat or slightly down compared to 2025 revenue of $62.6 billion.
Pfizer previously said the lackluster revenue outlook is partly due to declining sales of its Covid vaccine and Paxlovid, which it expects to fall by around $1.5 billion year-over-year to $5 billion.
The company also noted another expected drop of approximately $1.5 billion year-over-year in sales as certain products lost their exclusivity in the market. Some blockbuster drugs, such as the company's Prevnar pneumonia vaccine, face increased competition from rivals.
The results come a week after Pfizer entered into agreements with three generic drug makers that effectively extend the company's U.S. patent protection for Vyndamax through June 1, 2031. It is a prescription drug that helps treat a rare, serious heart condition.
Newer and older products offset Covid drop
According to StreetAccount, sales of Pfizer's Covid vaccine and Paxlovid were well below analyst estimates.
The vaccine generated $232 million in revenue during the quarter, down 59% from the same period a year earlier, while Paxlovid sales fell 62% to $186 million. Analysts expected sales of $445.9 million and $286.2 million, respectively, for the two products.
Meanwhile, Eliquis generated $2.17 billion in sales during the quarter, up 13% from the same period a year ago. Analysts were expecting revenue of $1.96 billion, according to StreetAccount estimates.
Other older drugs and some newer products also beat estimates for the quarter.
Cancer drug Padcev posted revenue of $591 million, up 39% from the same period a year earlier and beating the $542.3 million analysts expected.
Pfizer's respiratory syncytial virus vaccine, a more recently launched product, posted sales of $180 million in the first quarter. That's 37% more than the same period last year and exceeds the $145.1 million that analysts expected.
Sales of newly launched and acquired products grew operationally 22% during the quarter, Pfizer said.
