Pfizer Q3 Earnings Beat Estimates, Sales Decline as COVID Demand Cools

Pfizer PFE reported third-quarter 2025 adjusted earnings per share of 87 cents, which comprehensively beat the Zacks Consensus Estimate of 66 cents per share. Earnings declined 18% year over year.

Adjusted EPS includes an acquired in-process R&D charge of 20 cents per share related to Pfizer’s licensing agreement with Chinese biotech, 3SBio.

Revenues came in at $16.7 billion, down 6% from the year-ago quarter on a reported basis and 7% on an operational basis due to a decline in revenues from its COVID-19 products, Comirnaty vaccine and Paxlovid antiviral pill. Total revenues beat the Zacks Consensus Estimate of $16.60 billion by a slight margin.

International revenues rose 2% on an operational basis to $5.96 billion. U.S. revenues declined 11% to $10.69 billion.

PFE’s Segment Discussion

Pfizer reports its revenues under three broad sub-segments of its Biopharma operating segment — Primary Care, Specialty Care and Oncology. Sales of the Primary Care segment declined 16% operationally to $7.65 billion. The Specialty Care unit recorded sales of $4.41 billion, up 1%. Sales of Oncology rose 4% to $4.25 billion.

PFE Primary Care Sales

In Primary Care, alliance revenues and direct sales from Eliquis rose 22% to $2.02 billion as higher demand trends globally and favorable net pricing in the United States were partially offset by price and generic erosion in some ex-U.S. markets. Alliance revenues beat the Zacks Consensus Estimate of $1.94 billion as well as our model estimate of $1.89 billion.

Global Prevnar family revenues declined 4% to $1.74 billion. Prevnar revenues missed the Zacks Consensus Estimate of $1.79 billion as well as our model estimate of $1.77 billion. Prevnar sales declined 12% in the United States but rose 17% in international markets.

Direct sales and alliance revenues from Comirnaty were $1.15 billion in the quarter, down 20% year over year due to narrower COVID-19 vaccine recommendations in the United States that reduced Comirnaty’s eligible patient population. Comirnaty sales beat the Zacks Consensus Estimate of $1.14 billion but missed our estimate of $1.19 billion.

Paxlovid revenues were $1.23 billion in the quarter, down 55% year over year due to lower infection rates, which hurt demand trends. Paxlovid revenues beat the Zacks Consensus Estimate of $1.17 billion.

Nurtec ODT/Vydura contributed $412 million in the quarter, up 22% year over year.

Among the new products, Pfizer’s RSV vaccine, Abrysvo, recorded sales of $279.0 million, down 22% year over year. Abrysvo U.S. sales are being hurt due to limited recommendations for RSV vaccinations issued by the US Advisory Committee on Immunization Practices.

PFE’s Specialty Care Sales

Global Vyndaqel family revenues of $1.59 billion rose 7% year over year, driven by continued demand growth due to increases in diagnosis and treatment rates, primarily in the United States and developed Europe, which were partially offset by higher manufacturer discounts resulting from the Medicare Part D redesign under the Inflation Reduction Act (IRA). The Vyndaqel family includes global revenues from Vyndaqel as well as revenues for Vyndamax in the United States and Vynmac in Japan. Vyndaqel family sales missed the Zacks Consensus Estimate of $1.63 billion as well as our model estimate of $1.64 billion.

Xeljanz sales declined 4% to $313 million. Enbrel revenues declined 12% to $154 million.

PFE’s Oncology Sales

In Oncology, Ibrance revenues declined 5% year over year to $1.06 billion. Ibrance revenues beat the Zacks Consensus Estimate of $988 million as well as our estimate of $937.8 million.

Among the antibody-drug conjugates or ADCs added from the 2023 acquisition of Seagen, Adcetris sales of $215 million declined 20% year over year due to competitive pressure in the United States. Padcev rose 13% to $464 million. Padcev sales missed the Zacks Consensus Estimate of $530.0 million and our model estimate of $541.3 million.

Xtandi recorded alliance revenues of $578 million in the quarter, up 3% year over year. Inlyta revenues were $226 million in the quarter, down 9%. Lorbrena sales rose 28% to $268 million.

PFE Re-Affirms 2025 Top-Line Guidance, Ups EPS View

Pfizer maintained its 2025 guidance for total revenues but raised its EPS guidance range for the year.

Pfizer projects total revenues between $61.0 billion and $64.0 billion.

Adjusted earnings per share are expected in the range of $3.00 to $3.15, up from the prior expectations of $2.90 to $3.10. The company raised the EPS guidance to account for a strong performance so far this year, cost savings and lower-than-previously expected tax rate.

Research and development expense is expected to be in the range of $10.0 to $11.0 billion versus the prior expectation of $10.4 to $11.4 billion. SI&A guidance was maintained in the range of $13.1 to $14.1 billion. The adjusted tax rate is expected to be approximately 11% in 2025 (previously approximately 13.0%).

Our Take on PFE’s Q3 Results

Pfizer’s third-quarter results were strong as it beat estimates for both earnings and sales. However, its top-line performance was somewhat mixed in the quarter. While sales of Eliquis, Paxlovid and Comirnaty beat estimates, sales of some other key drugs, Vyndaqel, Padcev and Prevnar missed estimates. Lower demand for Comirnaty and Paxlovid resulted in a decline in total revenues. Sales of Pfizer’s non-COVID products rose 4% in the quarter, on an operational basis.

Pfizer reaffirmed its outlook for revenues for 2025. However, the company raised its adjusted EPS guidance range.

Shares were down around 1% in pre-market trading due to the lukewarm sales performance.

So far this year, Pfizer’s stock has declined 7.0% against an increase of 4.8% for the industry.

Pfizer is locked in a fierce battle with Novo Nordisk NVO relating to its offer to buy obesity drug developer, Metsera MTSR. In September, Pfizer announced a definitive agreement to acquire Metsera for around $4.9 billion (enterprise value)to re-enter the lucrative obesity space after it scrapped the development of danuglipron, a weight-loss pill, earlier this year.

Incidentally, Novo Nordisk, which holds a strong position in the obesity space, has submitted an unsolicited proposal to acquire Metsera for around $6.5 billion (equity value). As the obesity battle heats up, Pfizer called out NVO’s move as “reckless and unprecedented.” Pfizer also filed two lawsuits against Metsera and its directors and Novo Nordisk in a district court in Delaware, calling out NVO’s proposal to buy Metsera an anticompetitive action. Metsera, in response, said it will address Pfizer’s allegations in court and that the latter is trying to acquire it for a lower price than NVO through such legal actions.

Last month, Pfizer also signed a drug pricing agreement with the Trump administration. PFE has offered to cut prescription drug prices and boost domestic investments in exchange for a three-year exemption from tariffs on pharmaceutical imports. AstraZeneca AZN also signed a similar deal with the Trump administration. The deals between PFE and AZN and the Trump administration have raised hopes of a sustainable sector recovery, with the President offering to hold off the tariffs on pharmaceutical imports to sign similar deals with other drugmakers.

PFE’s Zacks Rank

Pfizer has a Zacks Rank #4 (Sell) currently. 

You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.

Pfizer Inc. Price and Consensus

Pfizer Inc. price-consensus-chart | Pfizer Inc. Quote

 

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