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Pfizer confirms forecast, sees mixed COVID-19 impact on sales
NEW YORK, April 28, 2020 (BSS/AFP) – Pfizer reaffirmed its 2020 profit
forecast Tuesday following solid results that showed a mixed effect of the
COVID-19 crisis on medical product sales.
Revenues at the pharmaceutical giant were dented by the halt to non-
essential surgeries, and Pfizer also ceased in-person meetings with
healthcare professionals in many markets, impeding prescriptions of some new
drugs.
But Pfizer also pointed to increased sales of drugs stemming from
consumers seeking to avoid pharmaceutical visits. Some products also got a
boost from their apparent use to treat COVID-19, even though they have not
been approved for that use, the company said.
Net income came in at $3.4 billion, 12 percent below last year, which
translated into per-share results that topped analyst expectations.
Revenues declined eight percent to $12.0 billion.
Pfizer confirmed its full-year forecasts for revenues and adjusted
profits, while tweaking a number of other aspects of its outlook.
It also said it faces no liquidity problems for “the forseeable future.”
Pfizer boosted by $500 million the range of its research and development
budget for spending on a potential vaccine for COVID-19 as well as evaluation
of existing products to treat the virus.
Pfizer saw an increase in some medicines that it believes have been used
in response to COVID-19, including Prevnar 13, a vaccine for pneumococcal
pneumonia as well as some sterile injectable products used for patients on
ventilators.
“None of these products are approved for the treatment of COVID-19 and,
therefore, Pfizer does not know the benefit/risk profile for their use in
this disease,” the company said.
Pfizer halted recruitments for some new clinical trials in March, but
resumed the activities in late April.
The company has not had problems distributing its products, in part thanks
to “newly available commercial air capacity to transport inventory,” it said.
Shares rose 2.0 percent in pre-market trading to $39.10.
BSS/AFP/MRU/1857hrs