Pfizer Reports Third Quarter Results

During the third quarter of 2023, Pfizer continued to strengthen its non-COVID portfolio by successfully progressing towards its goal of executing an unprecedented number of new products or indications launches. To date, the company has executed 13 of the 19 originally identified potential launches, with 4 other products approved, and preparations being made for their launch. The company continues to demonstrate an unwavering dedication to innovation.

Pfizer reported revenues of $13.2 billion for the third quarter of 2023, a decline of 41% operationally, primarily due to a decrease in COVID-19 vaccine and treatment revenues globally. Among its non-COVID portfolio, revenues from these products grew 10% operationally year-over-year. Year-to-date, revenues for these products have grown 7% operationally and the company remains on track to deliver on its expected 6-8% operational revenue growth for these products for the full year.

In October, Pfizer announced an important amendment to its agreement with the U.S. government for its COVID-19 treatment. The company believes the amended agreement will make it easier for eligible patients to access the medicine, enables the U.S. to have a robust stockpile for future use, and helps provide Pfizer with greater clarity regarding the commercial market for its COVID-related products. In addition, the company revised its full-year 2023 guidance. Please reference Pfizer’s third-quarter 2023 earnings release for additional information regarding Pfizer’s financial guidance details and assumptions.

“We are encouraged by the strong performance of Pfizer’s non-COVID products in the third quarter of 2023, including significant contributions from new launches and robust year-over-year growth for several key in-line brands,” said Dr. Albert Bourla, Chairman and Chief Executive Officer. “With a significant uncertainty removed by our recently announced amended COVID-19 treatment supply agreement with the U.S. government, our expectation of additional clarification on global vaccination and treatment rates by the end of the year, and the breakthroughs continuing to emerge from our pipeline, we look forward to concluding 2023 with positive momentum that showcases Pfizer’s long-term growth potential.”

For more details, read Pfizer’s third-quarter 2023 earnings release.

Celebrating Regulatory Milestones

In the last few months, Pfizer celebrated a number of regulatory approvals that broadens its non-COVID medicines and vaccines portfolios, including:

• U.S. Food and Drug Administration (FDA) approval of the company’s respiratory syncytial virus (RSV) vaccine for the prevention of RSV in infants from birth through six months of age by active immunization of pregnant individuals at 32 through 36 weeks gestational age;
• European Commission (EC) approval of its vaccine for prevention of RSV in adults 60 years of age and older and passive protection in infants from birth through six months of age through maternal immunization;
• FDA approval of a new medicine to treat adults with relapsed refractory multiple myeloma;
• FDA approval of its combination oncology medicine for metastatic non-small cell lung cancer with a BRAF V600E mutation in adults;
• FDA approval for a medicine to treat adults with moderately-to-severely active ulcerative colitis;
• EC approval of its treatment for adults and adolescents 12 years of age and older with severe alopecia areata; and
• FDA approval of a vaccine for the prevention of the five most common serogroups causing meningococcal disease in adolescents and young adults 10 through 25 years of age.

For a comprehensive overview of Pfizer’s research and development (R&D) pipeline, read the company’s latest pipeline snapshot.

Returning Value to Shareholders

Pfizer continued its plans to deploy capital to help fuel future growth and return capital directly to shareholders.

During the first nine months of 2023, Pfizer reinvested $7.9 billion in internal R&D projects and returned capital directly to shareholders through $6.9 billion of cash dividends, or $1.23 per share of common stock.

Pfizer continues to make progress towards its proposed acquisition of Seagen, a global biotechnology company that discovers, develops, and commercializes transformative oncology medicines. Pfizer recently received unconditional antitrust clearance from the EC on the proposed acquisition and continues to expect the transaction to close in late 2023 or early 2024, subject to customary closing conditions, including clearance by the U.S. FTC.

Launched Cost Realignment Program

Pfizer launched a multi-year, enterprise-wide cost realignment program that aims to realign its costs with its longer-term revenue expectations. The program is expected to deliver annual net cost savings of at least $3.5 billion, of which approximately $1.0 billion is expected to be realized in 2023 and at least an additional $2.5 billion is expected to be realized in 2024 compared to the midpoint of SI&A and R&D expense guidance provided on August 1, 2023. The one-time costs to achieve the savings associated with the new cost realignment program are expected to be approximately $3.0 billion, of which the majority is expected to be cash. These costs will primarily include severance and implementation costs.

David Denton, Chief Financial Officer and Executive Vice President concluded, “Combined with the momentum of our non-COVID product portfolio and U.S. commercialization of our COVID-19 treatment we expect the program to yield improved operating margins this year and help drive Pfizer’s growth through the end of the decade and beyond.”

Please see below earnings highlights and visit Pfizer’s Investor Relations website for more information.

Pfizer and Seagen remain two separate, independent companies prior to closing. Closing of the transaction is subject to fulfillment of customary closing conditions, including receipt of required regulatory approvals.”

Forward-looking statements included herein, including those related to our anticipated operating and financial performance, our anticipated product launches, our cost realignment program and our proposed acquisition of Seagen, are subject to substantial risks and uncertainties that could cause actual results to differ materially from those expressed or implied by such statements. We encourage you to read our reports filed with the U.S. Securities and Exchange Commission (SEC), including the sections captioned “Risk Factors” and “Forward Looking Information and Factors that May Affect Future Results,” for a description of such substantial risks and uncertainties. These reports are available at www.pfizer.com and the SEC’s website at www.sec.gov. Also reference Pfizer’s third-quarter 2023 earnings release for additional information regarding our financial guidance details and assumptions.