Pfizer has forecast a sharp fall in annual sales in 2023 due to the easing of the pandemic emergency and reduced contributions from its Covid-19 vaccine and antiviral medicine.
The US drugmaker said on Tuesday it expected to generate revenues of between $67bn and $71bn in 2023, down from a record $100.3bn in the previous year. It forecast adjusted earnings in a range of $3.25 to $3.45 a share in 2023, well below analysts’ consensus estimates for earnings of $4.42.
Pfizer reported earnings per share of $6.58 in 2022, a record for the 174-year-old company. It also reported a strong fourth quarter, with adjusted earnings of $1.14 a share, well above consensus forecasts of $1.05 a share.
But as the threat from Covid eases, sales of Pfizer’s vaccine and antiviral treatments are forecast to fall to $13.5bn and $8bn this year respectively, compared with sales of $37.8bn and $18.9bn in 2022.
Chief executive Albert Bourla said 2023 would be a transition year for the company as the Covid market in the US moved from a government to a private marketplace and Pfizer prepared to launch a large number of new products.
“In 2022, we sold at pandemic prices more treatment courses than were eventually used. This resulted in a government inventory build that we expect to be absorbed some time in 2023, probably second half. Around that time, we expect to start selling Paxlovid through the commercial channels at commercial prices,” he said.
Pfizer expects revenues from Covid products to grow in 2024 after hitting a low point in 2023.