▪Second-Quarter Performance Driven by Focused Commercial Execution
▪ Raises Full-Year 2024 Revenue Guidance(1) to a Range of $59.5 to $62.5 Billion and Raises Adjusted(2)Diluted EPS Guidance to a Range of $2.45 to $2.65
▪ Launched Manufacturing Optimization Program with Anticipated Cost Savings of Approximately $1.5Billion by the End of 2027
▪ Second-Quarter 2024 Revenues of $13.3 Billion– Revenues Grew 3% Operationally Year-over-Year Despite Anticipated Decline in COVID Revenues
– Excluding Contributions from Comirnaty(3) and Paxlovid, Revenues Grew 14% Operationally
▪ Second-Quarter 2024 Reported(4) Diluted EPS of $0.01 and Adjusted(2) Diluted EPS of $0.60
– Includes $1.3 Billion of One-Time Costs for Manufacturing Optimization Program, Negatively ImpactingReported(4) Diluted EPS by $0.18(5)
▪ On Track to Deliver at Least $4 Billion in Net Cost Savings by End of 2024 from Previously Announced CostRealignment Program(6)
NEW YORK, Tuesday, July 30, 2024 — Pfizer Inc. (NYSE: PFE) reported financial results for the second quarterof 2024 and raised its full-year 2024 guidance(1) for both Revenues and Adjusted(2) diluted EPS.
The second-quarter 2024 earnings presentation and accompanying prepared remarks from management as well asthe quarterly update to Pfizer’s R&D pipeline can be found at www.pfizer.com.
EXECUTIVE COMMENTARY
Dr. Albert Bourla, Chairman and Chief Executive Officer, stated: “We are driving progress toward our 2024strategic priorities through solid execution across the company. I am pleased with the strong performance of ourproduct portfolio in the second quarter led by several of our acquired products, key in-line brands and recentcommercial launches. Notably, we achieved exceptional growth in our Oncology portfolio, with strong revenuecontribution from our legacy-Seagen products.
“Overall, I am encouraged by our performance in the first half of 2024 and we remain focused on making adifference in the lives of patients as we continue to advance and strengthen our company.”
David Denton, Chief Financial Officer and Executive Vice President, stated: “This was Pfizer’s first quarter oftopline revenue growth, on a year-over-year basis, since the fourth quarter of 2022 when our COVID revenues peaked. Importantly, the strong 14% operational revenue growth of our non-COVID products in the secondquarter demonstrates our continued focus on commercial execution. In support of our stated strategic priority torealign our cost base, we continue to progress our cost realignment program. Additionally, with our more recentannouncement of the first phase of our Manufacturing Optimization Program, we believe we are setting thefoundation for future margin expansion.”
OVERALL RESULTS
In the first quarter of 2024, Pfizer reclassified royalty income (substantially all of which is related to ourBiopharma segment) from Other (income)/deductions––net to revenues and began presenting Royalty revenues asa separate line item within Total revenues in our consolidated statements of operations. Prior-period amounts havebeen recast to conform to the current presentation.
At the beginning of 2024, Pfizer made changes in our commercial organization to incorporate Seagen Inc.(Seagen) and improve focus, speed and execution. Specifically, within our Biopharma reportable segment Pfizercreated the Pfizer Oncology Division, the Pfizer U.S. Commercial Division, and the Pfizer InternationalCommercial Division. See the Item 1. Business––Commercial Operations section of Pfizer’s 2023 Annual Reporton Form 10-K (available at www.pfizer.com).
Some amounts in this press release may not add due to rounding. All percentages have been calculated usingunrounded amounts. References to operational variances pertain to period-over-period changes that exclude theimpact of foreign exchange rates(7).
Results for the second quarter and first six months of 2024 and 2023(8) are summarized below.
2024 FINANCIAL GUIDANCE(1)
Pfizer raises full-year 2024 revenue guidance by $1 billion at the midpoint to a range of $59.5 to $62.5 billion andraises Adjusted(2) diluted EPS guidance by $0.30 at the midpoint to $2.45 to $2.65. The company’s updatedguidance for revenue includes approximately $8.5 billion in anticipated revenues for Comirnaty(3) and Paxlovid,approximately $5 billion and $3.5 billion, respectively. Including the contribution from Seagen and excludingrevenues from Comirnaty(3) and Paxlovid, Pfizer now expects to achieve full-year 2024 operational revenuegrowth of 9% to 11% compared to 2023 revenues, up from 8% to 10% provided on January 30, 2024.
The updated 2024 Adjusted(2) diluted EPS guidance takes into consideration our strong first half performance aswell as our continued confidence in the underlying strength of our business.
Pfizer’s updated financial guidance(1) is presented below