The stock of Pfizer (PFE) is up about 2% after the pharmaceutical company issued third-quarter financial results that beat Wall Street forecasts and raised its forward guidance.
Pfizer reported earnings per share (EPS) of $1.06 U.S., which was well ahead of the $0.62 U.S. expected among analysts who track the company’s progress.
Revenue in the third quarter totaled $17.70 billion U.S., which topped consensus estimates of $14.95 billion U.S. Sales were up 31% from a year ago.
The company attributed the strong results to a boost in sales of its Covid-19 vaccine and antiviral pill leading into the autumn months and the start of flu season.
The Paxlovid pill that fights against Covid-19 brought in $2.70 billion U.S. in sales during the quarter, up from only $202 million U.S. a year earlier.
Pfizer’s Covid-19 vaccine racked up sales of $1.42 billion U.S. in the quarter, up 9% from the same period a year earlier.
Management said sales of the Covid-19 medications were helped by the delivery of one million treatment doses to replenish the U.S. government’s national stockpile during the third quarter.
Pfizer is in the midst of an aggressive cost-cutting plan and said that it is on track to deliver about $4 billion U.S. in savings by year’s end.
Looking ahead, the pharmaceutical giant raised its full-year guidance, saying it now expects earnings of $2.75 U.S. to $2.95 U.S. per share.
That new guidance is up from a previous range of $2.45 U.S. to $2.65 U.S. per share.
The company also said that it expects revenue in a range of $61 billion U.S. to $64 billion U.S. for this year, up from a previous forecast of $59.50 billion U.S. to $62.50 billion U.S.
Pfizer’s latest financial results come as it struggles with a proxy battle waged by activist investor Starboard Value, which has a $1 billion U.S. stake in the company and is agitating for change.
Pfizer’s sales and share price have declined sharply since the Covid-19 pandemic began to wane at the end of 2022.
Prior to today (Oct. 29), Pfizer’s stock had declined 6% over the last 12 months and was trading at $28.86 U.S. per share. However, the stock has fallen 53% since peaking in December 2021.