Pfizer’s forecast for a greater-than-anticipated decline in revenues for its COVID-19 vaccination and treatment this year shocked Wall Street.
The drugmaker also provided an earnings projection that fell short of analyst forecasts, which caused shares to decline before Tuesday’s market start.
Pfizer anticipates a decline in Comirnaty and Paxlovid sales next year, followed by a gradual recovery.
That decrease was expected when the medicine manufacturer switched from supplying government contracts to deals on the American commercial market.
However, Pfizer stated Tuesday that it anticipates a 64% decline in Comirnaty sales to approximately $13.5 billion this year.
For Paxlovid, it forecasts a 58% decline to roughly $8 billion.
According to FactSet, Wall Street anticipates that Comirnaty will generate revenues of more than $14 billion and Paxlovid will generate another $10.5 billion.
In the coming year, Pfizer expects that overall, adjusted earnings would range from $3.25 to $3.45 per share.
Analysts anticipate $4.34 in earnings per share.
Nearly half of Pfizer’s $24.29 billion revenue for the recently ended fourth quarter came from the company’s best-selling COVID-19 vaccine, Comirnaty, and Paxlovid contributed an additional $1.8 billion to the corporation.
The drug manufacturer reported $1.14 in adjusted earnings per share.
According to FactSet, analysts anticipate fourth-quarter earnings of $1.05 per share on $24.38 billion in revenue.