Pfizer Inc. (PFE.US) Q3 profit beats expectations, non-COVID products grow 7%, full-year guidance raised

Pfizer Inc. (PFE.US) released its fiscal 2026 third-quarter (ended September 27) financial results before market open on November 3. Adjusted diluted earnings per share for the quarter were $0.87, flat year-over-year and significantly above the consensus estimate of $0.73; GAAP diluted earnings per share were $0.56, down 9% year-over-year. Total quarterly revenue was $16.583 billion, essentially flat year-over-year, comprising product revenue of $13.255 billion, alliance revenue of $2.851 billion (up 24%), and royalty revenue of $477 million. The revenue structure shows a clear "shift between old and new growth drivers." Excluding COVID-19 products Comirnaty and Paxlovid, quarterly revenue grew 7% on an operational basis; among this, Launched and Acquired Products revenue surged 32% on an operational basis, becoming the biggest highlight of the quarter. Specifically, anticoagulant Eliquis global revenue was $2.523 billion, up 25% operationally, driven primarily by higher U.S. net prices (lower rebates and improved channel mix) and growing global demand; ADC drug Padcev revenue was $720 million, up 55%, benefiting from expanded first-line urothelial cancer market share; the Vyndaqel family (for transthyretin amyloid cardiomyopathy) revenue was $1.773 billion, up 12%; migraine drug Nurtec revenue was $547 million, up 33%; lung cancer drug Lorbrena revenue was $387 million, up 43%. By business segment, Oncology revenue was $4.327 billion (+10%), including Ibrance revenue of $1.082 billion (+2%), Xtandi revenue of $541 million (-6%), and Braftovi/Mektovi revenue of $244 million (+21%); Specialty Care revenue was $3.349 billion (+7%); Primary Care revenue was $6.971 billion (-9%), mainly dragged down by COVID-19 and Prevnar vaccines; Hospital and Biosimilars revenue was $1.635 billion (+2%). Pfizer CentreOne (contract manufacturing) revenue was $300 million (-13%). On the decline side, Paxlovid global revenue was $449 million, down 63% year-over-year, mainly due to lower COVID-19 infection rates in the U.S. and Europe; Comirnaty revenue was $808 million, down 29%; the Prevnar family (pneumococcal vaccine) revenue was $1.564 billion, down 10%, affected by lower adult and pediatric vaccination rates and adult market share loss. Chairman and Chief Executive Officer Albert Bourla said: "Pfizer Inc. delivered another strong quarter, with commercial momentum and disciplined execution going hand in hand. Our obesity program continues to advance, and recent milestones in oncology, immunology and vaccines further demonstrate the potential of our pipeline." New Chief Financial Officer Cecile Guegan said: "Non-COVID products achieved 7% operational revenue growth in the third quarter, and I am particularly pleased with the 32% growth in Launched and Acquired Products." Based on strong year-to-date performance, Pfizer Inc. raised and narrowed its full-year guidance: 2026 revenue guidance was raised to $62 billion$64 billion from the previous $60.5 billion$62.5 billion (midpoint raised by $1.5 billion); adjusted diluted earnings per share guidance was raised and narrowed to $2.95$3.05 from $2.80$3.00. This guidance includes $650 million in one-time in-process research and development (IPR&D) expense in the third quarter related to the licensing and collaboration with INNOVENT BIO (Innovent Biologics), which has an unfavorable impact of approximately $0.10 per share on earnings per share. The company expects to continue returning capital to shareholders through dividends as part of its full-year capital allocation and will not conduct share repurchases in 2026.