Pfizer Earnings in Good Health after Vaccine Demand Boost
Biopharmaceutical company, Pfizer jumps 3% on the back of COVID vaccine success, beating Q1 estimates by almost 50%. The company’s records Q1 adjusted earnings per share of $0.93, marking a year-over-year increase of almost 50% and surpassing analysts’ expectations of $0.77.
Due to increased sales, the company’s revenue came in at $14.58 billion, up 44.6% from the same period last year and above expectations of $0.77.
Pfizer’s coronavirus vaccine was the star of the show, with first-quarter sales of the shot making up around 24% of its overall revenue for the quarter at $3.5 billion.
The Biopharm company received its vaccine authorization in the U.S. in December, and has since distributed millions of doses around the country with plans to deliver 300 million by the end of July.
There has been some concern regarding the slowdown in vaccine rollouts that the U.S. is currently seeing as supply outstrips demand, but Pfizer CEO Albert Bourla dismissed fears, noting that it’s normal to see a slowdown once all the most willing have received the vaccine.
The firm expects an increase in vaccinations one the FDA approves the shot for teens (expected to happen this month).
Pfizer also massively increased its projected revenue from its COVID vaccine, now expecting revenue to hit $26 billion, a big jump from the $15 billion it projected back in February.
By 2022, the company plans to have the capacity to produce 3 billion doses and is currently in talks with various governments about distribution strategy.
Full year guidance got a lift as well, and Pfizer now expects adjusted diluted earnings of between $3.55 and $3.65 per share, up from the last forecast of $3.20 at the top end. Full year revenue is projected to come in at between $70.50 billion and $72.5 billion, up from its previous forecast of $61.4 at the top end.
Pfizer shares have risen over 18% since March 2021, when the vaccine program really got underway, and the Pfizer vax is currently the most popular in the U.S. with 131 million people already receiving the shot, compared to 109 million for Moderna, and fewer than 8 million for J&J. Go Pfizer.
“I am extremely proud of the way we have begun 2021, delivering strong financial results in the first quarter,” said the company’s CEO, Albert Bourla, in a statement.
Crude Oil Prices Plunge over Demand Uncertainty
“Even excluding the growth provided from, our revenues grew 8% operationally, which aligns with our stated goal of delivering at least a 6% compound annual growth rate through 2025.”
Pfizer Earnings in Good Health after Vaccine Demand Boost
