US-based Merck, Sharp & Dohme (MSD, NYSE: MRK) reported Q2 2022 global sales of USD 14.6 billion, marking a 31% increase in constant exchange rate (CER) terms. The growth was driven by recovery from COVID-19 disruptions and contributions from the COVID-19 antiviral drug Lagevrio (molnupiravir).
Key Growth Drivers
- Pharmaceutical Business: Grew 33% YOY to USD 12.8 billion.
- Animal Health: Increased 5% to USD 1.5 billion.
- Top Products:
- Keytruda (pembrolizumab): Generated USD 5.3 billion in revenue, up 30%.
- Gardasil/Gardasil 9 (HPV vaccines): Achieved USD 1.7 billion in sales.
- Lagevrio: Posted USD 1.2 billion in revenue, down from USD 3.2 billion in Q1 2022.
China Performance
China sales reached USD 1.36 billion, up 44% YOY. Over the first half of 2022, China sales grew 87% to USD 2.57 billion. High demand for Gardasil vaccines continued to drive expansion.
Global Market Growth
MSD reported double-digit growth in most markets:
- US: 23% increase.
- Europe: 11% growth.
- Japan: 71% increase.
- Latin America: 20% growth.
- Asia-Pacific (excluding China): 91% increase.
Future Outlook
During the earnings call, Merck’s EVP and President of Merck Research Laboratories, Dean Li, discussed the partnership with Sichuan Kelun Pharmaceutical. The deal includes two antibody drug conjugates (ADCs), including SKB264, a TROP-2-targeted ADC in Phase II trials. Li emphasized the importance of global studies for FDA approval and noted positive data from China for breast cancer and non-small cell lung cancer.-Fineline Info & Tech
