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Mar 30

Pfizer Q1 2025 Earnings Report

Pfizer delivered solid results despite revenue declines compared to the prior year.

Key Takeaways

Pfizer posted a strong adjusted EPS and net income despite a revenue decrease driven by lower Paxlovid sales. Cost-saving initiatives and R&D productivity improvements bolstered performance.

First-quarter revenues totaled $13715000000, down 8% year-over-year.

Adjusted diluted EPS increased by 12% to $0.92.

Net income reached $2967000000, slightly down from $3115000000 last year.

Operational efficiency and cost-saving measures are trending toward the upper end of 2025 EPS guidance.

Total Revenue
$13.7B
Previous year: $14.9B
-7.8%
EPS
$0.92
Previous year: $0.82
+12.2%
Cost of Sales
$2.85B
Previous year: $3.38B
-15.8%
SG&A Expenses
$3.03B
Previous year: $3.5B
-13.3%
R&D Expenses
$2.2B
Previous year: $2.49B
-11.6%
Gross Profit
$10.9B
Previous year: $10.5B
+3.5%
Free Cash Flow
$1.77B
Previous year: $386M
+358.8%

Pfizer

Pfizer

Pfizer Revenue by Segment

Forward Guidance

Pfizer reaffirmed its full-year 2025 financial guidance, expecting revenues between $61000000000 and $64000000000 and adjusted diluted EPS between $2.80 and $3.00.

Positive Outlook

  • Operational efficiency improvements are delivering cost savings.
  • Strong R&D pipeline progress with new regulatory approvals and expansions.
  • On track for $4.5B cost savings by 2025 with further productivity gains expected.
  • Capital deployment focused on R&D and dividend payments.
  • Expanded use of digital enablement and AI across operations.

Challenges Ahead

  • Revenue impacted by sharp decline in Paxlovid sales.
  • Higher manufacturer discounts due to Inflation Reduction Act affecting net prices.
  • Unfavorable foreign exchange headwinds reduced revenues by 2%.
  • Lower revenues from Eliquis and Xeljanz.
  • Potential uncertainty from tariffs and trade policy changes not included in current guidance.

Revenue & Expenses

Visualization of income flow from segment revenue to net income