Pfizer Inc. (NYSE: PFE) saw its share price surge over 5% following the release of its financial results for the first quarter of 2024. The market responded positively to the underlying portfolio growth and increased profitability, which was amplified by recent operational cost-cutting measures. Despite a challenging comparison with the substantial COVID-19 product revenues from the previous year, Pfizer reported a -19% drop in revenues to USD 14.88 billion. However, when excluding COVID products Comirnaty and Paxlovid, the company’s revenues showed a healthy 11% year-on-year (YOY) growth, reaching USD 12.5 billion for the quarter.
Pfizer’s CEO, Albert Bourla, highlighted the Q1’24 performance of the non-COVID product portfolio, which included increased revenue from recent commercial launches and acquired products, as well as significant YOY growth for several key in-line brands. The Oncology business unit emerged as a key driver with a 19% YOY increase in sales to USD 3.55 billion. The top oncology drugs included prostate cancer therapy Xtandi (enzalutamide), in partnership with Japan’s Astellas, which saw a 23% YOY growth to USD 418 million; Padcev (enfortumab vedotin) for urothelial carcinoma with contributions of USD 341 million; and Adcetris (brentuximab vedotin) for classic Hodgkin’s lymphoma, reporting sales of USD 257 million.
Other established brands that sustained strength included Vyndaqel (tafamidis meglumine) for heart failure therapy, which expanded by 66% to USD 1.14 billion; Eliquis (apixaban), a blood thinner, up 10% to USD 2.04 billion; and the Prevnar vaccine family, which increased by 10% to USD 1.69 billion.
Cost-cutting initiatives have significantly improved Pfizer’s earnings per share (EPS), with measures expected to yield total savings of USD 4 billion in 2024. This has led to an increase in the guidance for full-year non-GAAP diluted EPS to a range of USD 2.15 – USD 2.35, from the previous range of USD 2.21. The full-year revenue outlook remains unchanged at USD 58.5 billion to USD 61.5 billion. COVID-19 sales are projected to be primarily in Q4 this year, with forecasts of approximately USD 5 billion for Comirnaty, USD 3 billion for Paxlovid, and an additional USD 3.1 billion for products from the recent Seagen acquisition.- Flcube.com
