A boost from COVID-19 treatment sales helped bush Pfizer to a better-than-expected third quarter and higher forecast for the year.
Demand for the drugmaker’s Paxlovid treatment spurred by the latest COVID wave and a U.S. national stockpile delivery led to $2.7 billion in sales for the drug, Pfizer said Tuesday.
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The company also cited sales growth from several other drugs, as total revenue climbed 31% to $17.7 billion in the recently completed quarter. Adjusted earnings totaled $1.06 per share.
Analysts expect earnings of 61 cents per share in the third quarter on $14.92 billion in revenue, according to FactSet.
Pfizer shares climbed in early trading.
The drugmaker said it made a one-time delivery of a million Paxlovid treatment courses to the U.S. Strategic National Stockpile in the third quarter. Pfizer also saw sales of its COVID vaccine Comirnaty grow 9% to $1.4 billion.
Pfizer also said Tuesday that it pulled in $854 million in revenue from products tied to the drugmaker Seagen, which it acquired at the end of last year.
The company has faced criticism this month from activist investor Starboard Value, which has questioned Pfizer’s returns from a string of recent acquisitions it made after receiving a windfall in sales from its vaccine and treatment during the pandemic.
Starboard CEO Jeffrey Smith said in a recent letter to Pfizer’s board that Starboard planned to work constructively with the board and management “in order to create value for the benefit of all shareholders.”
Overall, Pfizer’s profit jumped to $4.47 billion in the third quarter. That compares to a loss of $2.38 billion in last year’s quarter, when Pfizer had higher expenses and booked no U.S. sales of Paxlovid, as the treatment was shifting from mass government purchases to the commercial market.
Pfizer said Tuesday that it now expects adjusted earnings to range between $2.75 and $2.95 per share for 2024. That amounts to a 30 cent increase at the midpoint from a forecast the company made in July.
For the full year, analysts expect earnings of $2.66 per share, according to FactSet.
Shares of New York-based Pfizer Inc. climbed 14 cents to $29 Tuesday.