Pfizer (PFE.US) Q3 profit exceeded expectations, non-COVID-19 products increased 7%, raising full-year results guidance

The Zhitong Finance App learned that Pfizer (PFE.US) announced financial results for the third quarter of fiscal year 2026 (ending September 27) before the market on November 3. Adjusted earnings per share for the quarter were $0.87, which was flat year over year, significantly higher than the market's consensus forecast of $0.73; GAAP diluted earnings per share were $0.56, down 9% year over year. Total revenue for the quarter was US$16.583 billion, which was basically the same as the previous year, including product revenue of US$13.255 billion, alliance revenue of US$2,851 million (increase of 24%), and concession revenue of US$477 million.

The revenue structure shows the distinct characteristics of “switching between old and new kinetic energy”. Excluding COVID-19 products Comirnaty and Paxlovid, revenue and operating caliber increased 7% during the quarter; of these, listed and M&A products (Listed and M&A Products) revenue and operation caliber surged 32%, becoming the biggest highlight of the quarter.

Specifically, the global revenue of the anticoagulant drug Eliquis was US$2,523 million, and its operating volume increased 25%, mainly driven by a rise in net prices in the US (reduced rebates and improved channel structure) and global demand growth; the ADC drug PadCEV revenue was US$720 million, an increase of 55%, benefiting from the expansion of the first-line urothelial cancer market share; the Vyndaqel family (treating amyloid cardiomyopathy of transthyroxine protein) earned US$1,773 million, an increase of 12%; migraine drug Nurtec's revenue was US$547 million, an increase of 33%; lung cancer drugs Lorbrena's revenue grew 43% to $387 million.

By business segment, the oncology business revenue was US$4.327 billion (+10%), of which Ibrance revenue was US$1,082 million (+2%), Xtandi revenue of US$541 million (-6%), Braftovi/Mektovi revenue of US$244 million (+21%); specialist care revenue of US$3.349 billion (+7%); primary care revenue of US$6.971 billion (-9%), mainly driven by COVID-19 and Prevnar vaccines; hospital and biosimilar revenue of US$1,635 million (+2%). Pfizer CentreOne (contract manufacturing) revenue was $300 million (-13%).

In terms of decline, Paxlovid's global revenue was US$449 million, down 63% year on year, mainly due to falling COVID-19 infection rates in the US and Europe; Comirnaty's revenue of US$808 million, a decrease of 29%; and Prevnar family (pneumococcal vaccine) revenue of US$1,564 million, a decrease of 10%, which was affected by falling vaccination rates for adults and children and loss of adult market share.

Chairman and CEO Albert Bourla said, “Another strong quarter for Pfizer, combining commercial momentum with rigorous execution. Our obesity program continues to advance, and recent milestones in the fields of oncology, immunization, and vaccines further highlight the pipeline's potential.”

Cecile Guegan, the new chief financial officer, said, “I am particularly satisfied with the 7% increase in operating revenue for non-COVID-19 products in the third quarter, and the 32% increase in listed and M&A products.”

Based on strong year-to-date performance, Pfizer raised and narrowed its full-year guidance: revenue guidance for 2026 was raised from $60.5 billion to $62.5 billion to $62.5 billion (midpoint increase of $1.5 billion); adjusted diluted earnings per share guidance was raised and narrowed from $2.80 to $3.00 to $2.95 to $3.05. The guidelines include $650 million in one-time IPR&D (IPR&D) expenses for the third quarter due to the introduction and cooperation of Innovent Biologics (Innovent Biologics), which had an adverse impact on earnings of approximately $0.10 per share. The company expects to continue to pay dividends to shareholders in terms of capital allocation throughout the year, and there will be no share repurchases in 2026.