Pharmaceutical giant Pfizer (NYSE: PFE) reported second-quarter earnings that exceeded Wall Street expectations, buoyed by robust sales of its core non-COVID products. The company also nudged up its full-year revenue guidance, signaling confidence in its growth trajectory despite ongoing headwinds in its COVID-19 portfolio.
For the quarter ended June 30, 2026, Pfizer posted revenues of $15.03 billion, a 4.4% beat over the consensus estimate of $14.40 billion. Adjusted earnings per share came in at $0.77, surpassing analyst projections of $0.68 by 13.2%, although this was a penny lower than the $0.78 reported in the same period last year.
The company raised the midpoint of its 2026 revenue guidance by 0.8% to $61.5 billion, from a previous midpoint of $61.0 billion. This adjustment reflects a $1.5 billion increase in expected non-COVID product sales, partially offset by a $1.0 billion reduction in anticipated COVID-related revenue. The revised range now stands at $60.5 billion to $62.5 billion, with COVID product sales now projected at approximately $4.0 billion, down from about $5.0 billion.
Driving the outperformance were four key franchises: Eliquis, Vyndaqel, Padcev, and Lorbrena. These drugs collectively contributed an additional $797 million in sales compared to the same quarter last year, more than double the company's overall revenue growth of $381 million. Eliquis alone added $422 million, representing 111% of total revenue growth, fueled by higher U.S. net prices and robust worldwide demand, despite generic competition in some markets. Vyndaqel family sales rose by $147 million (8%), Padcev by $125 million (23%), and Lorbrena by $103 million (37%).
Meanwhile, combined sales of Paxlovid and Comirnaty plunged by $526 million, a 95% decline for Paxlovid and 34% for Comirnaty, reflecting the continued normalization of COVID demand. The strength of the core portfolio more than offset this decline, resulting in a net $271 million improvement from these four drugs versus the COVID products' drop.
The company also recorded a GAAP net loss of $248 million, or $0.04 per share, driven by $4.325 billion in non-cash impairment charges. Of this, $3.8 billion was related to sigvotatug vedotin following disappointing Phase 3 data, and $525 million was attributed to the rights of Oxbryta, for which no viable U.S. re-entry strategy was identified.
Looking ahead, Pfizer unveiled an additional $2.5 billion in cost savings expected by 2029, split between $1 billion from selling and administrative reductions and $1.5 billion from manufacturing efficiencies. One-time implementation costs could reach $6 billion. Management reiterated its commitment to shareholder returns, having paid $4.9 billion in dividends in the first half, though no share repurchases are planned for 2026.
CEO Albert Bourla highlighted oncology as "a source of strength" and noted "meaningful momentum" in obesity, though the largest dollar growth came from established franchises. The company continues to face risks from patent expirations, with approximately $1.1 billion in expected generic and biosimilar headwinds, and the impairment underscores the volatility of pipeline valuations.
In premarket trading, Pfizer shares were steady at $25.03. The stock has been under pressure amid concerns about COVID product declines and pipeline setbacks, but today's results offer a more optimistic picture of the company's underlying health.
