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Pfizer Q3 2025 Earnings Report: Pfizer announced stronger-than-expected results for the third quarter on Thursday, with both earnings and revenue surpassing market forecasts. The company said cost-cutting efforts helped cushion the impact of slowing sales during the period.
Buoyed by its performance, Pfizer raised its full-year profit outlook. It now expects adjusted earnings of between $3.00 and $3.15 per share, compared with its earlier guidance of $2.90 to $3.10 per share.
The company said the revised forecast reflects steady operational performance, growing confidence in its long-term business outlook, and continued progress in reducing expenses.
Pfizer said its latest earnings were affected by a one-time charge of $1.35 billion linked to a licensing deal with Chinese biotech firm 3SBio, reducing profit by about 20 cents per share.
The company added that its 2025 forecast already factors in the tariffs imposed by President Donald Trump on China, Canada, and Mexico.
However, it does not include the potential impact of Trump’s proposed tariffs targeting the pharmaceutical industry, as Pfizer is exempt from those under a new drug pricing agreement with the administration.
Pfizer reaffirmed its full-year revenue outlook of $61 billion to $64 billion after posting third-quarter results that surpassed analyst expectations.
The company reported adjusted earnings of 87 cents per share, higher than Wall Street’s forecast of 63 cents per share, according to data from LSEG. Quarterly revenue reached $16.65 billion, slightly above projections of $16.58 billion.
However, overall revenue fell 6% compared with the same quarter last year, as sales of Pfizer’s COVID-19 vaccine and its antiviral treatment Paxlovid continued to decline.
Pfizer posted a third-quarter net profit of $3.54 billion, translating to 62 cents per share, down from $4.47 billion, or 78 cents per share, in the same period last year.
After excluding one-time expenses such as restructuring costs and charges related to intangible assets, the company reported adjusted earnings of 87 cents per share for the quarter.
Pfizer said on Tuesday that it is progressing toward its goal of cutting about $7.7 billion in expenses by the end of 2027 through two major cost-reduction programs. Of that amount, the company plans to achieve $4.5 billion in savings by the end of 2025.
The announcement follows Pfizer’s recent agreement with President Donald Trump’s administration to voluntarily lower prices on its medications.
The deal makes Pfizer the first pharmaceutical company to participate in the initiative, which seeks to bring U.S. drug prices closer to those in other countries.
As part of the agreement, Pfizer will be exempt from President Donald Trump’s proposed tariffs on pharmaceutical products for a period of three years. The exemption applies on the condition that the company increases its investment in U.S. manufacturing.
Pfizer said it plans to invest $70 billion to expand domestic drug production and enhance research facilities, reinforcing its commitment to strengthening the country’s pharmaceutical supply chain and innovation base.
Pfizer is working to rebuild its business after a sharp downturn in COVID-related sales over the past three years.
The company is shifting its focus toward new revenue streams, including cancer therapies gained through its $43 billion acquisition of Seagen and a proposed deal with obesity drug developer Metsera.
The drugmaker, however, is locked in a bidding battle with Novo Nordisk for Metsera.
On Monday, Pfizer filed a second lawsuit against both companies, accusing Novo Nordisk of anticompetitive conduct in its efforts to outbid Pfizer for the acquisition.
So far this year, Pfizer’s stock has declined about 7%.
Declining COVID Sales Challenge Pfizer’s Recovery
Pfizer said its third-quarter sales were affected by weaker demand for COVID-19 products. The company noted that lower infection rates have led to a decline in use of its antiviral treatment Paxlovid, while updated U.S. Centers for Disease Control and Prevention (CDC) guidelines narrowed the group eligible to receive its COVID-19 vaccine, Comirnaty.
In September, advisers to the U.S. Centers for Disease Control and Prevention (CDC) issued updated guidance suggesting that people speak with their healthcare providers before deciding on COVID-19 vaccination.
The recommendation marked a softer stance compared with the agency’s previous universal call for vaccination.
Health and Human Services Secretary Robert F. Kennedy Jr., a longtime critic of vaccines, has also pushed for significant changes to national immunization policies, introducing several measures aimed at reshaping how vaccines are recommended and administered across the country.
Pfizer said its COVID-19 vaccine brought in $1.15 billion in revenue during the third quarter, a 19% decline from the same period last year. The figure was slightly above analyst expectations of $1.13 billion, according to estimates from StreetAccount.
The company’s antiviral treatment Paxlovid generated $1.23 billion in sales for the quarter, down 55% from a year earlier. That result came in below analyst projections of $1.37 billion, StreetAccount data showed.
Pfizer said its third-quarter performance benefited from stronger sales across several key products, led by the blood thinner Eliquis, which it co-markets with Bristol Myers Squibb.
The drug brought in $2.02 billion in revenue, a 25% rise from a year earlier, beating analyst estimates, according to StreetAccount.
Eliquis is among the first group of medications slated for Medicare price negotiations in 2026 under the Inflation Reduction Act, a policy aimed at reducing prescription drug costs for older Americans.
Pfizer reported higher third-quarter sales for its Vyndaqel line of medicines, used to treat a specific type of heart muscle disease known as cardiomyopathy, and for its migraine therapy Nurtec.
The company said Vyndaqel generated $1.59 billion in revenue, while Nurtec brought in $412 million during the quarter. Both drugs outperformed analyst estimates for the period.
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