Pfizer, Merck Beat Estimates on Eliquis, Keytruda Strength
Cover image from cnbc.com, which was analyzed for this article
Pfizer raised revenue guidance on Eliquis strength while Merck posted better-than-expected results driven by Keytruda, though both adjusted profit outlooks due to charges.
PoliticalOS
Tuesday, August 4, 2026 — Business
Both companies cleared revenue estimates on key non-COVID drugs yet booked acquisition charges that altered profit guidance. The results underscore the sector’s reliance on a handful of mature blockbusters while new pipeline bets remain years from material impact.
What outlets missed
The Reuters dispatches on both companies supplied precise product-level breakdowns and consensus comparisons that the CNBC piece lacked. No outlet examined the combined impact of the two firms’ acquisition charges on near-term margins or investor sentiment toward large pharma M&A. Details on the subcutaneous Keytruda formulation’s contribution and Pfizer’s separate $1 billion savings program appeared in only one report each and were not cross-referenced. The tension between raised revenue guidance and lowered adjusted-profit ranges due to one-time items received limited explicit discussion across the coverage.
Pharmaceutical giants Pfizer and Merck both exceeded Wall Street expectations for second-quarter revenue, driven by strong sales of established drugs, yet each adjusted its profit outlook after recording sizable acquisition-related charges. Investors are watching whether these legacy products can sustain growth as COVID-related revenue fades and companies pursue new pipelines in areas such as obesity.
Pfizer reported adjusted earnings of 77 cents per share, above the 68-cent consensus compiled by LSEG, on revenue of $15.03 billion. Eliquis sales reached $2.43 billion, well ahead of the $2.08 billion estimate, while the company raised the lower bound of its full-year revenue guidance to a range of $60.5 billion to $62.5 billion. It simultaneously lowered its COVID-product revenue forecast to $4 billion and recorded a net loss of $248 million after restructuring charges. Merck posted revenue of $16.61 billion, topping the $16.36 billion consensus, with Keytruda sales of $8.37 billion including $463 million from the new subcutaneous formulation. The company raised its 2026 revenue outlook to $66.3 billion–$67.3 billion but reported a 13-cent-per-share loss after a $5.7 billion charge tied to the Terns Pharmaceuticals acquisition.
Both firms highlighted cost-reduction programs and longer-term bets on pipeline assets. Pfizer cited an additional $1 billion in targeted savings through 2029 on top of prior initiatives and pointed to its $10 billion Metsera acquisition. Merck noted double-digit U.S. uptake of Keytruda QLEX and continued Gardasil sales of $1.17 billion. Shares of Pfizer rose 1.8 percent in premarket trading following the results.
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