Pfizer lifts outlook on strong Q2 sales

30th Jul 2024 12:35

(Sharecast News) - US pharma giant Pfizer lifted its full-year profit forecast on Tuesday after second-quarter sales of its Covid vaccine and antiviral treatment came in better than expected, along with contributions from new cancer treatments and sales of its heart disease drug.

It now expects annual profit to be $2.45 - $2.65 per share, compared with a previous estimate of $2.15 - $2.35 per share.

Pfizer said it now expected full-year revenue of $8.5bn from its Comirnaty and Paxlovid vaccines, up from previous forecasts of about $8bn.

Full-year revenue guidance was lifted by $1bn at the midpoint to a range of $59.5bn to $62.5 billion, with a consensus estimate of $60.58bn and adjusted diluted earnings per share guidance by $0.30 at the midpoint to $2.45 to $2.65 (consensus estimate: $2.37).

Second-quarter revenues rose 3% to $13.3bn despite an anticipated decline in Covid sales, resulting in Pfizer's first quarter of topline revenue growth, on a year-on-year basis, since the fourth quarter of 2022 when the company's Covid revenues peaked.

Chief executive Albert Bourla said there had been "exceptional" growth in Pfizer's oncology portfolio, with strong revenue contribution from its legacy-Seagen products.

"Importantly, the strong 14% operational revenue growth of our non-Covid products in the second quarter demonstrates our continued focus on commercial execution," he said.

As demand for Covid treatments waned, Pfizer paid $43bn for Seagen to focus on cancer drugs.

Quarterly sales of Comirnaty vaccine, which it makes with in partnership with Germany's BioNTech, came in at $195m and Paxlovid - used for severe Covid cases - $251m. Analysts had forecast $176m for Comirnaty and $247.7m for Paxlovid.

The company's heart disease drug, sold as Vyndaqel or Vyndamax, recorded quarterly sales of $1.32bn above estimates of $1.12bn.

Reporting by Frank Prenesti for Sharecast.com