Pfizer CEO says 2023 will be ‘transition year’ as it sees drop in COVID sales
Global News
Pfizer Inc on Tuesday forecast a bigger-than-expected drop in sales of its COVID-19 vaccine and treatment for 2023, intensifying investor concerns over demand for the products.
Pfizer Inc on Tuesday forecast a bigger-than-expected drop in sales of its COVID-19 vaccine and treatment for 2023, intensifying investor concerns over demand for the products as governments cut orders and work through inventories.
Chief Executive Albert Bourla said that 2023 should be a “transition year” for Pfizer’s COVID products, before potentially returning to growth in 2024.
Pfizer’s total annual sales crossed the $100 billion mark for the first time in 2022, driven by the more than $56 billion in sales of its COVID-19 vaccine and Paxlovid antiviral treatment. It expects total 2023 revenue of $67 billion to $71 billion.
“We are building on a significant capital position that we know how to deploy to create growth,” Bourla told analysts and investors on conference call. “We are building an R&D engine that is more productive than ever.”
The company launched five new products last year and hopes to introduce as many as 14 more over the next year and a half,including a vaccine for respiratory syncytial virus (RSV) and an mRNA flu vaccine.
Pfizer shares were down slightly at $43.53. The stock had tumbled 15 per cent this month, through Monday’s close.
Citi analyst Andrew Baum said the company is struggling to escape its dependence on COVID drugs.
“We see little here to change our cautious view on Pfizer’s ex-COVID business,” Baum said in a research note.
