Pfizer Reports Strong Third-Quarter 2026 Results And Raises 2026 Guidance
Pfizer Reports Strong Third-Quarter 2026 Results And Raises 2026 Guidance ■ Focused Execution Drove 32% Operational Revenue Growth of Launched and Acquired Products (1)
— Pfizer Inc. (NYSE: PFE) reported financial results for the third quarter of 2026 and raised its full-year 2026 guidance (2) for both Revenues and Adjusted (3) diluted EPS.
"Pfizer had another strong quarter with commercial momentum and disciplined execution while advancing our strategy for creating long-term shareholder value. Our obesity program continued to advance and recent milestones in oncology, immunology and vaccines further demonstrate the potential of our pipeline. With a robust slate of expected catalysts ahead, I believe we're well positioned to deliver meaningful new medicines for patients and lasting value in the years ahead."
“Our third-quarter results reflect strong commercial performance globally and continued operational discipline. This quarter, our non-COVID products delivered strong 7% operational revenue growth, and I’m particularly pleased with the 32% year-over-year operational revenue growth from our launched and acquired products (1) . Today, we are raising our full-year 2026 Revenue and Adjusted diluted EPS guidance, reflecting our strong year-to-date performance and confidence in our business.”
Third-Quarter 2026 Revenues of $16.6 Billion, Relatively Flat Year-over-Year Operationally
– Excluding Contributions from Comirnaty and Paxlovid, Revenues Grew 7% Operationally
Third-Quarter 2026 Reported (4) Diluted EPS of $0.56, and Adjusted (3) Diluted EPS of $0.87
■ Raises Full-Year 2026 Revenue Guidance (2) by $1.5 billion at the Midpoint to a Range of $62.0 to $64.0 billion
■ Raises and Narrows Full-Year 2026 Adjusted (3) Diluted EPS Guidance to a Range of $2.95 to $3.05
■ Recent Late-Stage Pipeline Progress Includes Eight Key Pivotal Study Starts, One Pivotal Readout and Two Regulatory Decisions - 1 - Some amounts in this press release may not add due to rounding. All percentages have been calculated using unrounded amounts. References to operational variances pertain to period-over-period changes that exclude the impact of foreign exchange rates (5) .
Results for the third quarter and first nine months of 2026 and 2025 (6) are summarized below.
■ Raises full-year 2026 Revenue guidance (2) by $1.5 billion at the midpoint to a range of $62.0 to $64.0 billion from $60.5 to $62.5 billion previously.
■ Raises and narrows full-year 2026 Adjusted (3) diluted EPS guidance (2) to a range of $2.95 to $3.05 from $2.80 to $3.00 previously.
– Includes a one-time $650 million Acquired In-Process R&D charge related to the in-licensing and collaboration agreement with Innovent Biologics, Inc. recorded in the third quarter of 2026 with an unfavorable impact of approximately $0.10.
■ The company’s guidance takes into consideration our strong year-to-date performance, continued confidence in our business and progress with ongoing cost improvement initiatives.
Revenues $62.0 to $64.0 billion -previously $60.5 to $62.5 billion Adjusted(3)SI&A $12.5 to $13.5 billion Expenses Adjusted(3)R&D Expenses $10.8 to $11.8 billion -previously $10.5 to $11.5 billion Effective Tax Rate on Approximately 15.0% Adjusted(3)Income Adjusted(3)Diluted EPS $2.95 to $3.05 -previously $2.80 to $3.00
During the first nine months of 2026, Pfizer deployed its capital in a variety of ways, which primarily included:
■ Reinvesting capital into initiatives intended to enhance the future growth prospects of the company, including:
– Approximately $850 million invested in business development transactions, primarily reflecting the Innovent Biologics, Inc. in-licensing deal.
■ Returning capital directly to shareholders through $7.3 billion of cash dividends, or $1.29 per share of common stock.
Our capital allocation framework is designed to enhance long-term shareholder value, and is based on three core pillars: (i) reinvesting in the business, including maintaining the flexibility to deploy capital towards potential value- creating business development transactions, (ii) maintaining and, over the long term, growing our dividend, and (iii) in the future, the potential to resume the return of capital to shareholders through value-enhancing share - 3 - repurchases after de-levering our balance sheet. The company expects to continue to de-lever over the longer term in a prudent manner in order to maintain a balanced capital allocation strategy.
No share repurchases have been completed to date in 2026. As of November 3, 2026, Pfizer’s remaining share repurchase authorization is $3.3 billion. Current financial guidance does not anticipate any share repurchases in 2026.
Diluted weighted-average shares outstanding of 5,751 million and 5,714 million were used to calculate Reported (4) and Adjusted (3) diluted EPS for third- quarter 2026 and 2025, respectively.
Third-quarter 2026 revenues totaled $16.6 billion, a decrease of $71 million, or relatively flat on a percentage basis compared to the prior-year quarter, reflecting an operational decrease of $57 million and an unfavorable impact of foreign exchange of $15 million. The operational decrease was driven by a decline in revenues from COVID-19 products, the Prevnar family and several other products across categories, largely offset by an increase in revenues for Eliquis, Padcev, the Vyndaqel family, Nurtec, Lorbrena and several other products across categories. Excluding contributions from Comirnaty and Paxlovid, revenues for the third quarter grew 7% operationally. Additionally, third- quarter revenues of our Launched and Acquired Products (1) grew 32% operationally.
■ Eliquis globally, up $513 million, or 25%, operationally, driven primarily by higher net price in the U.S. primarily due to pricing dynamics, including lower rebates and channel mix favorability, as well as higher demand globally; partially offset by declines due to generic entry and price erosion in certain international markets;
■ Padcev globally, up $255 million, or 55%, operationally, driven primarily by increased market share in first-line locally advanced or metastatic urothelial cancer (la/mUC), as well as launch uptake in the cisplatin-ineligible indication for muscle-invasive bladder cancer;
■ Vyndaqel family (Vyndaqel, Vyndamax, Vynmac) globally, up $193 million, or 12%, operationally, driven primarily by continued market expansion in the U.S., as well as strong demand with continuing uptake in patient diagnosis across international markets and improved access in certain international markets;
■ Nurtec ODT/Vydura globally, up $135 million, or 33%, operationally, driven primarily by strong demand in the U.S., as well as launch uptake in certain international markets; and
■ Lorbrena globally, up $114 million, or 43%, operationally, driven primarily by increased patient share in the first-line ALK-positive metastatic non-small cell lung cancer (ALK+ mNSCLC) treatment setting in the U.S., China, and certain other international markets; - 4 - offset primarily by lower revenues for:
■ Paxlovid globally, down $771 million, or 63%, operationally, driven primarily by lower COVID-19 infections across the U.S. and international markets, partially offset by timing of government purchases in certain emerging markets;
■ Comirnaty globally, down $339 million, or 29%, operationally, driven primarily by a lower favorable adjustment to the U.S. returns provision, lower utilization in the U.S. primarily resulting from narrower vaccine recommendations, as well as lower contractual deliveries in certain international markets; and
■ Prevnar family globally, down $180 million, or 10%, operationally, driven primarily in the U.S. by lower vaccination rates in the adult and pediatric indications, as well as market share erosion for the adult indication; and by lower demand in the pediatric indication in certain international markets.
Third-quarter 2026 Cost of Sales (4) as a percentage of revenues decreased by 0.8 percentage points compared to the prior-year quarter, primarily driven by a favorable change in sales mix and a favorable impact from foreign exchange, partially offset by the non-recurrence of a favorable revision to our estimate of accrued royalties in the third quarter of 2025.
Third-quarter 2026 SI&A Expenses (4) increased 3% operationally compared to the prior-year quarter, primarily reflecting an increase in compensation-related expenses in the quarter, a lower favorable adjustment of U.S. healthcare reform fees recorded in the third quarter of 2026 compared to the third quarter of 2025, and an increase in implementation costs associated with our cost realignment program; partially offset by a decrease in marketing and promotional spend on various products from more targeted investments and ongoing productivity improvements. - 5 - Third-quarter 2026 R&D Expenses (4) increased 18% operationally compared to the prior-year quarter, driven primarily by an anticipated net increase in spending in certain oncology and obesity product candidates, as well as an increase in compensation-related expenses in the quarter.
Third-quarter 2026 Acquired In-Process R&D Expenses (4) decreased $722 million compared to the prior-year quarter, primarily reflecting a $650 million charge in the third quarter of 2026 related to an in-licensing and collaboration agreement with Innovent Biologics, Inc., compared to a $1.35 billion charge in the prior-year quarter related to an in-licensing agreement with 3SBio, Inc.
Pfizer’s higher effective tax rate on Reported (4) income for the third quarter of 2026 compared to the prior-year quarter reflects the non-recurrence of the remeasurement of certain deferred tax liabilities and agreements with tax authorities, partially offset by favorable changes in the jurisdictional mix of earnings.
See the reconciliations of certain Reported (4) to non-GAAP Adjusted (3) financial measures and associated footnotes in the financial tables section of this press release.
Product/Project Milestone Recent Development Link August 2026.Pfizer and BioNTech announced U.S. Food and Drug Administration (FDA) approval for the companies’ 2026-2027 COVID-19 vaccine formula targeting the Comirnaty (COVID-19 XFG variant for use in Vaccine, mRNA) Regulatory adults ages 65 years Full Release and older, as well as in individuals ages 5 through 64 years with at least one underlying condition that puts them at high risk for severe outcomes from COVID-19.
Product/Project Milestone Recent Development Link October 2026.Announced topline results from the investigational Phase 3 MagnetisMM-32 study evaluating Elrexfio as monotherapy in adults with relapsed or refractory multiple myeloma (RRMM) who received at least one prior line of treatment with anti-CD38 therapy and lenalidomide. At the pre-specified interim analysis for efficacy, the study met its primary endpoint of progression-free survival (PFS) as assessed by blinded independent central Elrexfio review (BICR). (elranatamab) Phase 3 Results Elrexfio Full Release demonstrated a statistically significant and clinically meaningful reduction in the risk of disease progression or death versus investigator’s choice of elotuzumab, pomalidomide and dexamethasone (EloPd); pomalidomide, bortezomib and dexamethasone (PVd); or carfilzomib and dexamethasone (Kd). The safety profile of Elrexfio in MagnetisMM-32 was consistent with its known profile and no new safety signals were identified. October 2026.Presented results from two investigational Phase 3 trials -- TRANQUILLO 2 and TRANQUILLO – in which once-daily oral Litfulo significantly improved facial and total body repigmentation at Litfulo Phase 3 Results Week 52 compared to Full Release (ritlecitinib) placebo in patients with nonsegmental vitiligo (NSV). The safety profile of Litfulo in NSV was consistent with the established safety profile in alopecia areata. Pfizer intends to submit these data to regulatory authorities globally. October 2026.Announced FDA expanded approval of Talzenna in combination with Xtandi expanding use to the treatment of men with metastatic androgen pathway modulation-naïve or -sensitive (mAPMN/S) prostate Talzenna Regulatory cancer with Full Release (talazoparib) homologous recombination repair (HRR) gene mutations, including both BRCA and non-BRCA mutations. Approval was based on the pivotal TALAPRO-3 data, offering a potential new standard of care earlier in the course of disease. October 2026.Announced FDA approval of Tukysa in combination with trastuzumab and pertuzumab for the maintenance treatment of adults with unresectable locally advanced or metastatic human epidermal growth factor receptor 2-positive (HER2+) Tukysa (tucatinib) Regulatory breast cancer Full Release following induction treatment. The approval expands the use of Tukysa to frontline, an earlier stage of metastatic disease, offering a new chemotherapy-free maintenance treatment option that may help further delay disease progression.
A comprehensive update of Pfizer’s development pipeline was published today and is now available at www.pfizer.com/science/drug-product-pipeline. It includes an overview of Pfizer’s research and a list of compounds in development with targeted indication and phase of development, as well as mechanism of action for some candidates in Phase 1 and all candidates from Phase 2 through registration. - 7 -
Product/Project Milestone Recent Development Link October 2026.Announced detailed results across serotypes from a Phase 2 study (NCT06524414) investigating 25-valent pneumococcal conjugate vaccine 25-valent candidate (25vPnC) pneumococcal in infants. In the conjugate vaccine Phase 2 Results study, a four-dose Full Release candidate series of 25vPnC (PF-07872412) elicited robust immune responses against all 25 serotypes and showed safety and tolerability comparable to four doses of Prevnar 20. These data support the ongoing Phase 3 development program for 25vPnC. August 2026.Pfizer and Valneva SE announced the European Medicines Agency (EMA) validated the Marketing Authorization Application (MAA) for the companies’ 6-valent outer surface protein A Lyme disease (OspA)-based Lyme vaccine candidate Regulatory disease vaccine Full Release (PF-07307405) candidate and will begin its assessment of the application. The submission was based on favorable efficacy and safety results from the Phase 3 VALOR “Vaccine Against Lyme for Outdoor Recreationists” trial. October 2026.Presented detailed results from an ongoing Phase 2 study investigating the potentially first-in-class trispecific antibody tilrekimig in adults with moderate-to-severe atopic dermatitis (AD). The study met its primary endpoint, demonstrating a statistically significant increase in the percentage of participants achieving EASI-75 (≥75% reduction in the Eczema Area and Tilrekimig Phase 2 Results Severity Index) at Full Release (PF-07275315) Week 16 across all evaluated doses compared to placebo. Tilrekimig was well-tolerated, with no dose-dependent safety signals, with treatment-emergent adverse event rates comparable between treatment and placebo groups. The Phase 3 pivotal program is underway with ongoing studies in AD and asthma. Tilrekimig is also being studied in an ongoing Phase 2b/3 study in chronic obstructive pulmonary disease (COPD).
Recent Development November 2026.Cecile Guegan appointed Chief Topic Financial Officer, Executive Vice President Link Finance Leadership effective November 1, 2026. - ──────────────────────────────────────────────────────────────────────────────
Pfizer will host a live conference call and webcast today, November 3, 2026, at 10:00 AM EST. To access the live conference call, the third-quarter 2026 earnings presentation, and the accompanying prepared remarks from management, visit our website at pfizer.com/investors.
You can also listen to the conference call by dialing either 800-456-4352 in the U.S. and Canada or 785-424-1086 outside of the U.S. and Canada. The passcode is “11974”. - 8 - The transcript and webcast replay of the call will be made available on our website at pfizer.com/investors within 24 hours after the end of the live conference call and will be accessible for at least 90 days. - 9 - For additional details, see the attached financial schedules, product revenue tables and disclosure notice.
(1) ‘Launched and Acquired Products’ represent select recently launched and acquired products, including new indications. Launched products primarily include Prevnar 20 (Pediatrics), Abrysvo (Older Adult / Maternal), Elrexfio, Cibinqo, Talzenna, Litfulo, Ngenla, Hympavzi, Penbraya Adolescent, and Lorbrena (added Q1-26); and acquired products primarily include Padcev, Adcetris, Tukysa, Tivdak, Nurtec ODT/Vydura, and Velsipity.
(2) Pfizer does not provide guidance for U.S. generally accepted accounting principles (GAAP) Reported financial measures (other than revenues) or a reconciliation of forward-looking non-GAAP financial measures to the most directly comparable GAAP Reported financial measures on a forward-looking basis because it is unable to predict with reasonable certainty the ultimate outcome of unusual gains and losses, certain acquisition-related expenses, gains and losses from equity securities, actuarial gains and losses from pension and postretirement plan remeasurements, potential future asset impairments and pending litigation without unreasonable effort. These items are uncertain, depend on various factors, and could have a material impact on GAAP Reported results for the guidance period.
▪ Does not assume the completion of any business development transactions not completed as of November 3, 2026.
▪ An anticipated unfavorable revenue impact of approximately $1.1 billion due to recent and expected generic and biosimilar competition for certain products that have recently lost patent or regulatory protection or that are anticipated to lose patent or regulatory protection.
▪ Exchange rates assumed are a blend of actual rates in effect through third- quarter 2026 and mid-October 2026 rates for the remainder of the year.
▪ Guidance for Adjusted (3) diluted EPS assumes diluted weighted-average shares outstanding of approximately 5.74 billion shares, and assumes no share repurchases in 2026.
(3) Adjusted income and Adjusted diluted earnings per share (EPS) are defined as U.S. GAAP net income attributable to Pfizer Inc. common shareholders and U.S. GAAP diluted EPS attributable to Pfizer Inc. common shareholders before the impact of amortization of intangible assets, certain acquisition-related items, discontinued operations and certain significant items. See the accompanying reconciliations of certain GAAP Reported to Non-GAAP Adjusted information for the third quarter and the first nine months of 2026 and 2025. Adjusted income and its components and Adjusted diluted EPS measures are not, and should not be viewed as, substitutes for U.S. GAAP net income and its components and diluted EPS (4) . See the Non-GAAP Financial Measure: Adjusted Income section of Management’s Discussion and Analysis of Financial Condition and Results of Operations in Pfizer’s 2025 Annual Report on Form 10-K and the accompanying Non- GAAP Financial Measure: Adjusted Income section of this press release for a definition of each component of Adjusted income as well as other relevant information. - 10 - (4) Revenues is defined as revenues in accordance with U.S. GAAP. Reported net income and its components are defined as net income attributable to Pfizer Inc. common shareholders and its components in accordance with U.S. GAAP. Reported diluted earnings per share (EPS) is defined as diluted EPS attributable to Pfizer Inc. common shareholders in accordance with U.S. GAAP.
(5) References to operational variances in this press release pertain to period- over-period changes that exclude the impact of foreign exchange rates. Although foreign exchange rate changes are part of Pfizer’s business, they are not within Pfizer’s control and because they can mask positive or negative trends in the business, Pfizer believes presenting operational variances excluding these foreign exchange changes provides useful information to evaluate Pfizer’s results.
(6) Pfizer’s fiscal year-end for international subsidiaries is November 30 while Pfizer’s fiscal year-end for U.S. subsidiaries is December 31. Therefore, Pfizer’s third quarter and first nine months for U.S. subsidiaries reflect the three and nine months ended on September 27, 2026 and September 28, 2025, while Pfizer’s third quarter and first nine months for subsidiaries operating outside the U.S. reflect the three and nine months ended on August 23, 2026 and August 24, 2025. - 11 -
NOTES TO CONSOLIDATED STATEMENTS OF OPERATIONS - (UNAUDITED) (1) The financial statements present the three and nine months ended September 27, 2026 and September 28, 2025. Subsidiaries operating outside the U.S. are included for the three and nine months ended August 23, 2026 and August 24, 2025.
The financial results for the three and nine months ended September 27, 2026 are not necessarily indicative of the results that ultimately could be achieved for the full year.
Certain amounts in the consolidated statements of operations and associated notes may not add due to rounding. All percentages have been calculated using unrounded amounts.
(3) Acquired in-process research and development expenses for the third quarter and first nine months of 2026 include a $650 million charge related to an in- licensing and collaboration agreement with Innovent Biologics, Inc. Acquired in- process research and development expenses for the third quarter and first nine months of 2025 include a $1.35 billion charge related to an in-licensing agreement with 3SBio, Inc.
(4) Restructuring charges and certain acquisition-related costs include the following:
(a) Includes charges/(credits) for employee terminations, asset impairments and other exit costs associated with business combinations.
(b) Includes charges/(credits) for employee terminations, asset impairments and other exit costs not associated with acquisitions. The charges for the third quarter and first nine months of 2026 primarily represent employee termination costs associated with our enterprise-wide cost realignment program. The charges for the first nine months of 2025 primarily represented employee termination costs, asset impairments and exit costs associated with our enterprise-wide cost realignment program, partially offset by revisions of estimates of previously recorded accruals for employee termination costs associated with our Manufacturing Optimization Program, driven in large part by higher-than-expected voluntary attrition.
(c) Integration costs and other represent external, incremental costs directly related to integrating acquired businesses, such as expenditures for consulting and the integration of systems and processes, and certain other qualifying costs.
(a) The first nine months of 2026 primarily include certain product liability and other legal expenses. The third quarter of 2025 primarily included certain product liability expenses. The first nine months of 2025 primarily included certain product liability and other legal expenses.
(b) The amount for the first nine months of 2026 represents intangible asset impairment charges composed of: (i) $3.8 billion in impairments of in-process research and development (IPR&D) assets associated with a Phase 3 study for sigvotatug vedotin for the - 13 -
NOTES TO CONSOLIDATED STATEMENTS OF OPERATIONS - (UNAUDITED) second line treatment of metastatic non-squamous non-small cell lung cancer, reflecting unfavorable clinical trial results, and (ii) $525 million for Oxbryta (voxelotor) developed technology rights, after engaging with the FDA in July 2026 to discuss their assessment of data and analyses, and it was determined there was no viable pathway to return Oxbryta to the market in the U.S. The amounts for the third quarter and first nine months of 2025 included a $260 million intangible asset impairment charge related to IPR&D associated with a Phase 3 study for inclacumab for the treatment of sickle cell disease, which reflects unfavorable clinical trial results. The amount for the first nine months of 2025 also included an intangible asset impairment charge of $210 million for a Phase 2 indefinite-lived out-licensed asset that was discontinued by our out-licensing partner.
(c) The amounts for the third quarter and first nine months of 2026 include, among other things, dividend income of $58 million and $239 million, respectively, from our previous investment in ViiV. The amounts for the third quarter and first nine months of 2025 included, among other things, dividend income of $72 million and $184 million, respectively, from our previous investment in ViiV.
(6) Our effective tax rates for income from continuing operations were 3.9% and 3.2% for the three and nine months ended September 27, 2026, respectively, and (6.5)% and (2.9)% for the three and nine months ended September 28, 2025, respectively. The higher effective tax rates for the third quarter and first nine months of 2026, compared to the third quarter and first nine months of 2025, were primarily due to the non-recurrence of the remeasurement of certain deferred tax liabilities, agreements, and resolutions with tax authorities, partially offset by favorable changes in the jurisdictional mix of earnings. - 14 -
NON-GAAP FINANCIAL MEASURE: ADJUSTED INCOME Adjusted income is an alternative measure of performance used by management to evaluate our overall performance as a supplement to our GAAP Reported performance measures. As such, we believe that investors’ understanding of our performance is enhanced by disclosing this measure. We use Adjusted income, certain components of Adjusted income and Adjusted diluted EPS to present the results of our major operations––the discovery, development, manufacture, marketing, sale and distribution of biopharmaceutical products worldwide––prior to considering certain income statement elements as follows:
Relevance of Metrics to Measure Definition Our Business Performance •Provides investors useful information to: ◦evaluate the normal recurring operational activities, and their Net income attributable components, on a to Pfizer Inc. common comparable shareholders(a)before year-over-year basis the impact of ◦assist in modeling amortization of expected future Adjusted income intangible assets, performance on a certain normalized basis acquisition-related •Provides investors items, discontinued insight into the way we operations and certain manage our budgeting significant items and forecasting, how we evaluate and manage our recurring operations and how we reward and compensate our senior management(b) Cost of sales, Selling, informational and administrative Adjusted cost of expenses, Research and sales, Adjusted development selling, informational expensesandOther and (income)/deductions––n… administrative each before the impact expenses, Adjusted of amortization of research and intangible assets, development expenses certain and acquisition-related Adjusted other items, discontinued (income)/deductions––… operations and certain significant items, which are components of the Adjusted income measure EPS attributable to Pfizer Inc. common shareholders––diluted(… the impact of amortization of Adjusted diluted EPS intangible assets, certain acquisition-related items, discontinued operations and certain significant items
(b) Any expenses for acquired IPR&D are included in our non-GAAP Adjusted results but we exclude certain of these expenses for our financial results for annual incentive compensation purposes.
Adjusted income and its components and Adjusted diluted EPS are non-GAAP financial measures that have no standardized meaning prescribed by GAAP and, therefore, are limited in their usefulness to investors. Because of their non- standardized definitions, they may not be comparable to the calculation of similar measures of other companies and are presented to permit investors to more fully understand how management assesses performance. A limitation of these measures is that they provide a view of our operations without including all events during a period, and do not provide a comparable view of our performance to peers. These measures are not, and should not be viewed as, substitutes for their most directly comparable GAAP measures of Net income attributable to Pfizer Inc. common shareholders , components of Net income attributable to Pfizer Inc. common shareholders and EPS attributable to Pfizer Inc. common shareholders—diluted , respectively.
We also recognize that, as internal measures of performance, these measures have limitations, and we do not restrict our performance-management process solely to these measures. We also use other tools designed to achieve the highest levels of performance. For example, our R&D organization has productivity targets, upon which its effectiveness is measured. In addition, total shareholder return, both on an absolute basis and relative to a publicly traded pharmaceutical index, plays a significant role in determining payouts under certain of our incentive compensation plans.
See the reconciliations of certain GAAP Reported to Non-GAAP Adjusted information for the third quarter and first nine months of 2026 and 2025 below and the Non-GAAP Financial Measure: Adjusted Income section of Management’s Discussion and Analysis of Financial Condition and Results of Operations in Pfizer’s 2025 Annual Report on Form 10-K for additional information. - 15 -
CERTAIN LINE ITEMS - (UNAUDITED) (1) Items that reconcile GAAP Reported to non-GAAP Adjusted balances are shown pre-tax. Our effective tax rates for GAAP Reported income from continuing operations were 3.9% and 3.2% for the three and nine months ended September 27, 2026, respectively , and (6.5)% and (2.9)% for the three and nine months ended September 28, 2025, respectively. See Note (6) to the Consolidated Statements of Operations above. Our effective tax rates for non-GAAP Adjusted income were 14.0% and 14.9% for the three and nine months ended September 27, 2026, respectively, and 7.9% and 9.5% for the three and nine months ended September 28, 2025, respectively.
(2) The amounts for the third quarter and first nine months of 2026 and 2025 include reconciling amounts for Research and development expenses that are not material to our non-GAAP consolidated results of operations.
(3) Includes employee termination costs, asset impairments and other exit costs related to our cost-reduction and productivity initiatives not associated with acquisitions.
(5) For the first nine months of 2026, the total Other (income)/deductions––net adjustment of $871 million primarily includes: (i) a net gain of $1.870 billion from the sale of our previous investment in ViiV, partially offset by (ii) charges of $1.0 billion for certain legal matters, primarily representing certain product liability and other legal expenses. For the third quarter and first nine months of 2025, the total Other (income)/deductions––net adjustments of $177 million and $855 million, respectively, primarily included charges of $191 million for the third quarter for certain legal matters, primarily representing certain product liability expenses and $755 million for the first nine months for certain legal matters, primarily representing certain product liability and other legal expenses.
(6) The components of non-GAAP Adjusted Other (income)/deductions––net include the following:
See Note (5) to the Consolidated Statements of Operations above for additional information on the components comprising GAAP Reported Other (income)/deductions –– net . - 18 -
In the first quarter of 2026, we made changes in our commercial structure, which included the transition of certain off-patent branded and generic sterile injectables and biosimilars primarily from the Specialty Care and Oncology product portfolios to a new Hospital and Biosimilars product portfolio within our Biopharma reportable segment. Effective January 1, 2026, the commercial structure within the Biopharma reportable segment is composed of the Pfizer U.S. Commercial Division, the Pfizer International Commercial Division and the Global Hospital and Biosimilars Division. We reclassified prior period amounts to conform to the current period presentation. For additional information regarding our commercial organizational structure, see theItem 1. Business––Commercial Operationssection of our 2025 Annual Report (a) on Form 10-K. ────────────────────────────────────────────────────────────────────────────── -b Reflects alliance revenues and product revenues. Prevnar family includes revenues from Prevnar 20/Prevenar 20 -c (pediatric and adult) and Prevnar 13/Prevenar 13 (pediatric and adult). (d) Primarily reflects alliance revenues and royalty revenues. (e) Reflects product revenues and royalty revenues. (f) Reflects alliance revenues. (g) Vyndaqel family includes global revenues from Vyndaqel, as well as revenues for Vyndamax in the U.S. and Vynmac in Japan. Biosimilars are highly similar versions of approved and (h) authorized biological medicines. Oncology biosimilars primarily include Retacrit, Ruxience, Zirabev, Trazimera and Nivestym. Pfizer CentreOne (PC1) includes revenues from our contract manufacturing and our active pharmaceutical ingredient sales operation, as well as revenues related to our manufacturing and (i) supply agreements with legacy Pfizer businesses/partnerships. Also includes revenues associated with the wind-down of our former Pfizer Ignite operating segment, which were not material in all periods presented. We reclassified prior period amounts to conform to the current period presentation. Includes the commercial organization covering Pfizer’s Hospital and Biosimilars product portfolio of off-patent branded and (j) generic sterile injectables and biosimilars except in China, Hong Kong, and certain other international markets, which are part of the Pfizer International Commercial Division. * Indicates calculation not meaningful or results are greater than 100%. Amounts may not add due to rounding. All percentages have been calculated using unrounded amounts.
- 21 - DISCLOSURE NOTICE: Except where otherwise noted, the information contained in this earnings release and the related attachments is as of November 3, 2026. We assume no obligation to update any forward-looking statements contained in this earnings release and the related attachments as a result of new information or future events or developments.
This earnings release and the related attachments contain forward-looking statements about, among other topics, our anticipated operating and financial performance, including financial guidance and projections; reorganizations; business plans, strategy, goals and prospects; expectations for our product pipeline (including products from completed or anticipated acquisitions), in- line products and product candidates, including anticipated regulatory submissions, data read-outs, study starts, approvals, launches, clinical development plans, discontinuations, clinical trial results and other developing data, revenue contribution and projections, pricing and reimbursement, market dynamics, including demand, market size and utilization rates and growth, performance, timing and duration of exclusivity and potential benefits; the impact and potential impact of tariffs and pricing dynamics; global economic and/or geopolitical instability, foreign exchange rate fluctuations and inflationary pressures; strategic reviews; leverage and capital allocation objectives; an enterprise-wide cost realignment program (including anticipated costs, savings and potential benefits); a Manufacturing Optimization Program designed to reduce our cost of goods sold (including anticipated costs, savings and potential benefits); dividends and share repurchases; plans for and prospects of our acquisitions, dispositions and other business development activities, and our ability to successfully capitalize on growth opportunities and prospects; our voluntary agreements with the U.S. Government designed to lower drug costs for U.S. patients and to include certain Pfizer products on the TrumpRx.gov platform, Pfizer’s plans to further invest in U.S. manufacturing and potential tariff impacts; manufacturing and product supply; our expectations regarding AI and our ability to successfully integrate and scale our AI initiatives; our expectations regarding the impact of COVID-19 on our business, operations and financial results; and the expected seasonality of demand for certain of our products. Given their forward-looking nature, these statements involve substantial risks, uncertainties and potentially inaccurate assumptions and we cannot assure you that any outcome expressed in these forward-looking statements will be realized in whole or in part. You can identify these statements by the fact that they use future dates or use words such as “will,” “may,” “could,” “likely,” “ongoing,” “anticipate,” “estimate,” “expect,” “project,” “intend,” “plan,” “believe,” “assume,” “target,” “forecast,” “guidance,” “goal,” “objective,” “aim,” “seek,” “potential,” “hope” and other words and terms of similar meaning. Pfizer’s financial guidance is based on estimates and assumptions that are subject to significant uncertainties.
Among the factors that could cause actual results to differ materially from past results and future plans and projected future results are the following:
Risks Related to Our Business, Industry and Operations, and Business Development:
• the outcome of research and development (R&D) activities, including the ability to meet anticipated pre-clinical or clinical endpoints, commencement and/or completion dates for our pre-clinical or clinical trials, regulatory submission dates, and/or regulatory approval and/or launch dates; the possibility of unfavorable pre-clinical and clinical trial results, including the possibility of unfavorable new pre-clinical or clinical data and further analyses of existing pre-clinical or clinical data; risks associated with preliminary, early stage or interim data; the risk that pre-clinical and clinical trial data are subject to differing interpretations and assessments, including during the peer review/publication process, in the scientific community generally, and by regulatory authorities; whether and when additional data from our pipeline programs will be published in scientific journal publications, and if so, when and with what modifications and interpretations; and uncertainties regarding the future development of our product candidates, including whether or when our product candidates will advance to future studies or phases of development or whether or when regulatory applications may be filed for any of our product candidates, including as a result of clinical trial data or regulatory decisions or feedback that could impact the future development of our product candidates, including our vaccine candidates such as our next generation pneumococcal conjugate vaccine candidates;
• our ability to successfully address comments received from regulatory authorities such as the FDA or the EMA, or obtain approval for new products and indications from regulators on a timely basis or at all;
• regulatory decisions impacting labeling, approval or authorization, including the scope of indicated patient populations, product dosage, manufacturing processes, safety and/or other matters, including decisions relating to developments regarding potential product impurities; uncertainties regarding the ability to obtain or maintain, and the scope of, recommendations by technical or advisory committees, and the timing of, and ability to obtain, pricing/reimbursement, approvals and product launches, all of which could impact the availability or commercial potential of our products and product candidates;
• claims and concerns that may arise regarding the safety or efficacy of in-line products and product candidates, including claims and concerns that may arise from the conduct or outcome of post-approval - 22 - clinical trials, pharmacovigilance or Risk Evaluation and Mitigation Strategies, which could impact marketing approval, product labeling, other in-line products and product candidates, and/or availability or commercial potential;
• the success and impact of external business development activities, as well as risks and uncertainties related to the ability to identify and execute on potential business development opportunities; the ability to satisfy the conditions to closing of any transactions in the anticipated time frame or at all, including the possibility that such transactions do not close; the ability to realize the anticipated benefits of any such transactions in the anticipated time frame or at all; the potential need for and impact of additional equity or debt financing to pursue these opportunities, which has in the past and could in the future result in increased leverage and/or a downgrade of our credit ratings and could limit our ability to obtain future financing; challenges integrating the businesses and operations; disruption to business or operations relationships; risks related to achieving or growing revenues for certain acquired or partnered products; significant transaction costs; and unknown liabilities;
• competition, including from new product entrants, in-line branded products, generic products, private label products, biosimilars and product candidates that treat or prevent diseases and conditions similar to those treated or intended to be prevented by our in-line products and product candidates, including as a result of competitor contracts with customers;
• the ability to successfully market both new and existing products, including biosimilars;
• difficulties or delays in manufacturing, sales or marketing; supply disruptions, shortages or stock-outs at our facilities or third-party facilities that we rely on; and legal or regulatory actions;
• the impact of public health outbreaks, epidemics or pandemics on our business, operations and financial condition and results, including impacts on our employees, manufacturing, supply chain, sales and marketing, R&D and clinical trials;
• risks and uncertainties related to Comirnaty and Paxlovid or any potential future COVID-19 vaccines, treatments or combinations, including, among others, the risk that as the market for COVID-19 products remains endemic and seasonal and/or COVID-19 infection rates do not follow prior patterns, demand for our COVID-19 products has and may continue to be reduced or not meet expectations, which has in the past and may continue to lead to reduced revenues, excess inventory or other unanticipated charges; risks related to our ability to develop, receive regulatory approval for, and commercialize variant adapted vaccines, combinations and/or treatments; uncertainties related to recommendations and coverage for, and the public’s adherence to, vaccines, boosters, treatments or combinations, including uncertainties related to the potential impact of narrowing recommended patient populations; whether our licenses will be terminated, revoked or modified; risks related to our ability to accurately predict or achieve our revenue forecasts for Comirnaty and Paxlovid or any potential future COVID-19 vaccines or treatments; and potential third-party royalties or other claims related to Comirnaty and Paxlovid;
• trends toward managed care and healthcare cost containment, and our ability to obtain or maintain timely or adequate pricing or favorable formulary placement for our products;
• interest rate and foreign currency exchange rate fluctuations, including the impact of global trade tensions, as well as currency devaluations and monetary policy actions in countries experiencing high inflation or deflation rates;
• any significant issues involving our largest wholesale distributors, which account for a substantial portion of our revenues;
• the impact of the increased presence of counterfeit medicines, vaccines or other products in the pharmaceutical supply chain;
• any significant issues related to the outsourcing of certain operational and staff functions to third parties;
• any significant issues related to our JVs and other third-party business arrangements, including modifications or disputes related to supply agreements or other contracts with customers including governments or other payors;
• uncertainties related to general economic, political, business, industry, regulatory and market conditions including, without limitation, uncertainties related to the impact on us, our customers, suppliers and lenders and counterparties to our foreign-exchange and interest-rate agreements of challenging global economic conditions, such as inflation or interest rate fluctuations, and changes in global financial markets;
• the exposure of our operations globally to possible capital and exchange controls, economic conditions, expropriation, sanctions, tariffs and/or other restrictive government actions, changes in intellectual property legal protections and remedies, unstable governments and legal systems and inter- governmental disputes; - 23 - • risks and uncertainties related to issued or future executive orders or other new, or changes in, laws, regulations or policy regarding tariffs or other trade or foreign policy and/or the impact of any potential U.S. Governmental shutdowns, including impacts on governmental agencies due to a shutdown;
• the risk and impact of tariffs on our business, which is subject to a number of factors including, but not limited to, restrictions on trade, the effective date and duration of such tariffs, countries included in the scope of tariffs, changes to amounts of tariffs, and potential retaliatory tariffs or other retaliatory actions imposed by other countries;
• any changes in business, political and economic conditions due to actual or threatened terrorist activity, geopolitical instability, political or civil unrest or military action and the resulting economic or other consequences;
• the impact of product recalls, withdrawals and other unusual items, including uncertainties related to regulator-directed risk evaluations and assessments, such as our ongoing evaluation of our product portfolio for the potential presence or formation of nitrosamines;
• the risk of an impairment charge related to our intangible assets, goodwill or equity-method investments;
• the impact of, and risks and uncertainties related to, restructurings and internal reorganizations, as well as any other corporate strategic initiatives and growth strategies, and cost-reduction and productivity initiatives, including any potential future phases, each of which requires upfront costs but may fail to yield anticipated benefits and may result in unexpected costs, organizational disruption, adverse effects on employee morale, retention issues or other unintended consequences;
• the ability to successfully achieve our climate-related goals and progress our environmental and other sustainability priorities;
Risks Related to Government Regulation, Legal Proceedings and Changes in Laws and Accounting Standards:
• the impact of any U.S. healthcare reform or legislation, including executive orders or other change in laws, regulations or policy, or any significant spending reduction or cost control efforts affecting Medicare, Medicaid, the 340B Drug Pricing Program or other publicly funded or subsidized health programs, including the Inflation Reduction Act of 2022 (IRA) and the IRA Medicare Part D Redesign, government cuts to Affordable Care Act (ACA) subsidies, or changes in the tax treatment of employer-sponsored health insurance that may be implemented;
• risks and uncertainties related to the impact of Pfizer’s voluntary agreements with the U.S. Government designed to lower drug costs for U.S. patients and to include certain Pfizer products on the TrumpRx.gov platform, Pfizer’s plans to further invest in U.S. manufacturing and potential tariff impacts;
• U.S. federal or state legislation or regulatory action and/or policy efforts affecting, among other things, pharmaceutical product pricing, including international reference pricing (including Most-Favored-Nation drug pricing), intellectual property, product research, development and approval processes and pathways, reimbursement or access to or recommendations for our medicines and vaccines, tax changes or other restrictions on U.S. direct-to-consumer advertising; limitations on interactions with healthcare professionals and other industry stakeholders; as well as pricing pressures for our products as a result of highly competitive biopharmaceutical markets;
• U.S. federal or state legislation or regulatory action and/or policy efforts affecting, among other things, our activities in markets outside of the U.S., such as China, including, without limitation, clinical trial activities and our ability to enter into biotechnology investments or other transactions;
• risks and uncertainties related to changes to vaccine or other healthcare policy in the U.S., including: (i) risks and uncertainties relating to the evolving vaccine landscape and impacts on vaccine demand, market size and utilization rates; and (ii) the FDA's recently adopted policy of disclosing Complete Response Letters for unapproved drug candidates and the attendant risk of disclosure of trade secrets or confidential commercial information;
• legislation or regulatory action and/or policy efforts in markets outside of the U.S., such as China or Europe, including, without limitation, laws related to pharmaceutical product pricing, intellectual property, medical regulation, environmental protections, data protection and cybersecurity, reimbursement or access, including, in particular, continued government-mandated reductions in prices and access restrictions for certain products to control costs in those markets; - 24 - • legal defense costs, insurance expenses, settlement amounts, including related costs and contingencies, including without limitation, those related to legal proceedings and actual or alleged environmental contamination;
• the risk and impact of an adverse decision or settlement and risk related to the adequacy of reserves related to legal proceedings;
• governmental laws, regulations, policies and accounting standards affecting our operations, including, without limitation, the IRA, as well as new or changes in such laws, regulations, policies or accounting standards or their interpretation, including, among others, new or changes in tariffs, tax laws and regulations internationally and in the U.S., including the One Big Beautiful Bill Act, which was enacted on July 4, 2025, and is still subject to further guidance; the adoption of global minimum taxation requirements outside the U.S. generally effective in most jurisdictions since January 1, 2024, government cost-cutting measures and related impacts on, among other matters, government staffing, resources and ability to timely review and process regulatory or other submissions; restrictions related to certain data transfers, including data security, data localization and cross border data transfer regulations, and transactions involving certain countries; and potential changes to existing tax laws, tariffs, or changes to other laws, regulations or policies in the U.S., including by the U.S. Presidential administration and Congress, as well as in other countries;
• the risk that our currently pending or future patent applications may not be granted on a timely basis or at all, or any patent-term extensions that we seek may not be granted on a timely basis, if at all;
• risks to our products, patents and other intellectual property, such as: (i) claims of invalidity that could result in loss of patent coverage; (ii) claims of patent infringement, including asserted and/or unasserted intellectual property claims; (iii) claims we may assert against intellectual property rights held by third parties; (iv) challenges faced by our collaboration or licensing partners to the validity of their patent rights; or (v) any pressure from, or legal or regulatory action by, various stakeholders or governments that could potentially result in us not seeking intellectual property protection or agreeing not to enforce or being restricted from enforcing intellectual property rights related to our products;
• any significant breakdown or interruption of our information technology systems and infrastructure (including cloud services);
• any business disruption, theft of confidential or proprietary information, security threats on facilities or infrastructure, extortion or integrity compromise resulting from a cyber-attack, which may include those using adversarial artificial intelligence techniques, or other malfeasance by, but not limited to, nation states, employees, business partners or others; and
• risks and challenges related to the use of proprietary or third-party software, systems and services (including cloud services) that include artificial intelligence-based functionality and other emerging technologies, such as the risk of inaccurate, biased or otherwise flawed outputs of AI tools and models; risks related to the protection of proprietary data and confidential information used in or generated by AI systems; reputational risks related to the use of AI in drug discovery, clinical development, manufacturing, commercial operations or patient-facing applications; and the risk that anticipated cost savings or benefits from AI, automation and digital enablement efforts may not be realized in the expected amounts or within expected timeframes.
Should known or unknown risks or uncertainties materialize or should underlying assumptions prove inaccurate, actual results could vary materially from past results and those anticipated, estimated or projected. Investors are cautioned not to put undue reliance on forward-looking statements. A further list and description of risks, uncertainties and other matters can be found in our Annual Report on Form 10-K for the fiscal year ended December 31, 2025 and in our subsequent reports on Form 10-Q, in each case including in the sections thereof captioned “Forward-Looking Information and Factors That May Affect Future Results” and “Item 1A. Risk Factors,” and in our subsequent reports on Form 8-K.
This earnings release may include discussion of certain clinical studies relating to various in-line products and/or product candidates. These studies typically are part of a larger body of clinical data relating to such products or product candidates, and the discussion herein should be considered in the context of the larger body of data. In addition, clinical trial data are subject to differing interpretations, and, even when we view data as sufficient to support the safety and/or effectiveness of a product candidate or a new indication for an in-line product, regulatory authorities may not share our views and may require additional data or may deny approval altogether.
The information contained on our website or any third-party website is not incorporated by reference into this earnings release. All trademarks mentioned are the property of their owners. - 25 - Certain of the products and product candidates discussed in this earnings release are being co-researched, co-developed and/or co-promoted in collaboration with other companies for which Pfizer’s rights vary by market or are the subject of agreements pursuant to which Pfizer has commercialization rights in certain markets. - 26 -
Full text with the tables
Exhibit 99
Pfizer Reports Strong Third-Quarter 2026 Results And Raises 2026 Guidance
■ Focused Execution Drove 32% Operational Revenue Growth of Launched and
Acquired Products (1)
■ Advancing Robust Late-Stage Pipeline with Multiple Key Catalysts Ahead
■ Raises 2026 Guidance (2) on Strong Year-to-Date Performance
■ Appoints Cecile Guegan Chief Financial Officer, Executive Vice President
NEW YORK, Tuesday, November 3, 2026
— Pfizer Inc. (NYSE: PFE) reported financial results for the third quarter of
2026 and raised its full-year 2026 guidance (2) for both Revenues and Adjusted
(3) diluted EPS.
EXECUTIVE COMMENTARY
Dr. Albert Bourla, Chairman and CEO of Pfizer:
"Pfizer had another strong quarter with commercial momentum and disciplined
execution while advancing our strategy for creating long-term shareholder value.
Our obesity program continued to advance and recent milestones in oncology,
immunology and vaccines further demonstrate the potential of our pipeline. With
a robust slate of expected catalysts ahead, I believe we're well positioned to
deliver meaningful new medicines for patients and lasting value in the years
ahead."
Cecile Guegan, CFO and EVP of Pfizer:
“Our third-quarter results reflect strong commercial performance globally and
continued operational discipline. This quarter, our non-COVID products delivered
strong 7% operational revenue growth, and I’m particularly pleased with the 32%
year-over-year operational revenue growth from our launched and acquired
products (1) . Today, we are raising our full-year 2026 Revenue and Adjusted
diluted EPS guidance, reflecting our strong year-to-date performance and
confidence in our business.”
OVERALL RESULTS
■
Third-Quarter 2026 Revenues of $16.6 Billion, Relatively Flat Year-over-Year
Operationally
– Excluding Contributions from Comirnaty and Paxlovid, Revenues Grew 7%
Operationally
– Revenues of Launched and Acquired Products (1) Grew 32% Operationally
■
Third-Quarter 2026 Reported (4) Diluted EPS of $0.56, and Adjusted (3) Diluted
EPS of $0.87
■ Raises Full-Year 2026 Revenue Guidance (2) by $1.5 billion at the Midpoint to
a Range of $62.0 to $64.0 billion
■ Raises and Narrows Full-Year 2026 Adjusted (3) Diluted EPS Guidance to a Range
of $2.95 to $3.05
■ Recent Late-Stage Pipeline Progress Includes Eight Key Pivotal Study Starts,
One Pivotal Readout and Two Regulatory Decisions
- 1 -
Some amounts in this press release may not add due to rounding. All percentages
have been calculated using unrounded amounts. References to operational
variances pertain to period-over-period changes that exclude the impact of
foreign exchange rates (5) .
Results for the third quarter and first nine months of 2026 and 2025 (6) are
summarized below.
($
in
mi… Nine
ex… Thi… Mon…
per
sh…
am…
2026 2025 % 2026 2025 %
Cha… Chan…
Re… $ $ — $ $ 2%
16,… 16,… 46,… 45,…
Re… 3,2… 3,5… -8% 5,6… 9,4… -40%
In…
Re… 0.56 0.62 -9% 0.99 1.65 -40%
EPS
Ad… 4,9… 4,9… 1% 13,… 14,… -6%
Ad… 0.87 0.87 — 2.39 2.56 -7%
EPS
REVENUES
… Ni…
… T… Mo…
…
2… 2… % 20… 20… %
C… Ch…
T… O… To… O…
…
… $ $ — — $ $ 2% 1%
… 1… 16… 4… 4…
…
… 3… 344 -… -1… 9… 9… — -…
…
… $ $ — — $ $ 2% 1%
… 1… 16… 4… 4…
- 2 -
2026 FINANCIAL GUIDANCE
(2)
■ Raises full-year 2026 Revenue guidance (2) by $1.5 billion at the midpoint to
a range of $62.0 to $64.0 billion from $60.5 to $62.5 billion previously.
■ Raises and narrows full-year 2026 Adjusted (3) diluted EPS guidance (2) to a
range of $2.95 to $3.05 from $2.80 to $3.00 previously.
– Includes a one-time $650 million Acquired In-Process R&D charge related to the
in-licensing and collaboration agreement with Innovent Biologics, Inc. recorded
in the third quarter of 2026 with an unfavorable impact of approximately $0.10.
■ The company’s guidance takes into consideration our strong year-to-date
performance, continued confidence in our business and progress with ongoing cost
improvement initiatives.
Revenues $62.0 to $64.0 billion
-previously $60.5 to
$62.5 billion
Adjusted(3)SI&A $12.5 to $13.5 billion
Expenses
Adjusted(3)R&D Expenses $10.8 to $11.8 billion
-previously $10.5 to
$11.5 billion
Effective Tax Rate on Approximately 15.0%
Adjusted(3)Income
Adjusted(3)Diluted EPS $2.95 to $3.05
-previously $2.80 to
$3.00
CAPITAL ALLOCATION
During the first nine months of 2026, Pfizer deployed its capital in a variety
of ways, which primarily included:
■ Reinvesting capital into initiatives intended to enhance the future growth
prospects of the company, including:
– $8.3 billion invested in internal research and development projects, and
– Approximately $850 million invested in business development transactions,
primarily reflecting the Innovent Biologics, Inc. in-licensing deal.
■ Returning capital directly to shareholders through $7.3 billion of cash
dividends, or $1.29 per share of common stock.
Our capital allocation framework is designed to enhance long-term shareholder
value, and is based on three core pillars: (i) reinvesting in the business,
including maintaining the flexibility to deploy capital towards potential value-
creating business development transactions, (ii) maintaining and, over the long
term, growing our dividend, and (iii) in the future, the potential to resume the
return of capital to shareholders through value-enhancing share
- 3 -
repurchases after de-levering our balance sheet. The company expects to continue
to de-lever over the longer term in a prudent manner in order to maintain a
balanced capital allocation strategy.
No share repurchases have been completed to date in 2026. As of November 3,
2026, Pfizer’s remaining share repurchase authorization is $3.3 billion. Current
financial guidance does not anticipate any share repurchases in 2026.
Diluted weighted-average shares outstanding of 5,751 million and 5,714 million
were used to calculate Reported (4) and Adjusted (3) diluted EPS for third-
quarter 2026 and 2025, respectively.
QUARTERLY FINANCIAL HIGHLIGHTS (Third-Quarter 2026 vs. Third-Quarter 2025)
Third-quarter 2026 revenues totaled $16.6 billion, a decrease of $71 million, or
relatively flat on a percentage basis compared to the prior-year quarter,
reflecting an operational decrease of $57 million and an unfavorable impact of
foreign exchange of $15 million. The operational decrease was driven by a
decline in revenues from COVID-19 products, the Prevnar family and several other
products across categories, largely offset by an increase in revenues for
Eliquis, Padcev, the Vyndaqel family, Nurtec, Lorbrena and several other
products across categories. Excluding contributions from Comirnaty and Paxlovid,
revenues for the third quarter grew 7% operationally. Additionally, third-
quarter revenues of our Launched and Acquired Products (1) grew 32%
operationally.
Third-quarter 2026 operational revenue reflected higher revenues primarily for:
■ Eliquis globally, up $513 million, or 25%, operationally, driven primarily by
higher net price in the U.S. primarily due to pricing dynamics, including lower
rebates and channel mix favorability, as well as higher demand globally;
partially offset by declines due to generic entry and price erosion in certain
international markets;
■ Padcev globally, up $255 million, or 55%, operationally, driven primarily by
increased market share in first-line locally advanced or metastatic urothelial
cancer (la/mUC), as well as launch uptake in the cisplatin-ineligible indication
for muscle-invasive bladder cancer;
■ Vyndaqel family (Vyndaqel, Vyndamax, Vynmac) globally, up $193 million, or
12%, operationally, driven primarily by continued market expansion in the U.S.,
as well as strong demand with continuing uptake in patient diagnosis across
international markets and improved access in certain international markets;
■ Nurtec ODT/Vydura globally, up $135 million, or 33%, operationally, driven
primarily by strong demand in the U.S., as well as launch uptake in certain
international markets; and
■ Lorbrena globally, up $114 million, or 43%, operationally, driven primarily by
increased patient share in the first-line ALK-positive metastatic non-small cell
lung cancer (ALK+ mNSCLC) treatment setting in the U.S., China, and certain
other international markets;
- 4 -
offset primarily by lower revenues for:
■ Paxlovid globally, down $771 million, or 63%, operationally, driven primarily
by lower COVID-19 infections across the U.S. and international markets,
partially offset by timing of government purchases in certain emerging markets;
■ Comirnaty globally, down $339 million, or 29%, operationally, driven primarily
by a lower favorable adjustment to the U.S. returns provision, lower utilization
in the U.S. primarily resulting from narrower vaccine recommendations, as well
as lower contractual deliveries in certain international markets; and
■ Prevnar family globally, down $180 million, or 10%, operationally, driven
primarily in the U.S. by lower vaccination rates in the adult and pediatric
indications, as well as market share erosion for the adult indication; and by
lower demand in the pediatric indication in certain international markets.
GAAP Reported
(4)
Statement of Operations Highlights
SELECTED REPORTED
(4)
COSTS AND EXPENSES
… N…
… T… M…
…
2… 2… % 2… 2… %
C… C…
T… O… T… …
… $ $ $ $
… 4… 4… -… … … … 8% …
…
…
… 2… % 2… % N… … … % … % N… …
…
… 3… 3… 3% … … … — …
…
… 3… 2… 1… … … … 1… …
…
…
… 6… 1… -… … … … -… …
…
… 2… 5… -… … … … * *
…
…
…
… 3… % (… … … % -…
…
…
*
…
…
…
…
…
…
…
…
…
…
Third-quarter 2026 Cost of Sales (4) as a percentage of revenues decreased by
0.8 percentage points compared to the prior-year quarter, primarily driven by a
favorable change in sales mix and a favorable impact from foreign exchange,
partially offset by the non-recurrence of a favorable revision to our estimate
of accrued royalties in the third quarter of 2025.
Third-quarter 2026 SI&A Expenses (4) increased 3% operationally compared to the
prior-year quarter, primarily reflecting an increase in compensation-related
expenses in the quarter, a lower favorable adjustment of U.S. healthcare reform
fees recorded in the third quarter of 2026 compared to the third quarter of
2025, and an increase in implementation costs associated with our cost
realignment program; partially offset by a decrease in marketing and promotional
spend on various products from more targeted investments and ongoing
productivity improvements.
- 5 -
Third-quarter 2026 R&D Expenses (4) increased 18% operationally compared to the
prior-year quarter, driven primarily by an anticipated net increase in spending
in certain oncology and obesity product candidates, as well as an increase in
compensation-related expenses in the quarter.
Third-quarter 2026 Acquired In-Process R&D Expenses (4) decreased $722 million
compared to the prior-year quarter, primarily reflecting a $650 million charge
in the third quarter of 2026 related to an in-licensing and collaboration
agreement with Innovent Biologics, Inc., compared to a $1.35 billion charge in
the prior-year quarter related to an in-licensing agreement with 3SBio, Inc.
Pfizer’s higher effective tax rate on Reported (4) income for the third quarter
of 2026 compared to the prior-year quarter reflects the non-recurrence of the
remeasurement of certain deferred tax liabilities and agreements with tax
authorities, partially offset by favorable changes in the jurisdictional mix of
earnings.
Adjusted
(3)
Statement of Operations Highlights
SELECTED ADJUSTED
(3)
COSTS AND EXPENSES
… N…
… T… M…
…
2… 2… % 2… 2… %
C… C…
T… O… T… …
… $ $ $ $
… 3… 3… -… — … … 8% …
…
…
… 2… % 2… % N… … … % … % N… …
…
… 3… 3… 2% … … … -… …
…
… 2… 2… 1… … … … 1… …
…
…
… 6… 1… -… … … … -… …
…
… 1… 2… -… … … … -… …
…
…
…
… 1… 7… % … % … %
…
…
See the reconciliations of certain Reported (4) to non-GAAP Adjusted (3)
financial measures and associated footnotes in the financial tables section of
this press release.
RECENT NOTABLE DEVELOPMENTS (Since August 4, 2026)
Product Developments
Product/Project Milestone Recent Development Link
August 2026.Pfizer and
BioNTech announced
U.S. Food and Drug
Administration (FDA)
approval for the
companies’ 2026-2027
COVID-19 vaccine
formula targeting the
Comirnaty (COVID-19 XFG variant for use in
Vaccine, mRNA) Regulatory adults ages 65 years Full Release
and older, as well as
in individuals ages 5
through 64 years with
at least one
underlying condition
that puts them at high
risk for severe
outcomes from
COVID-19.
- 6 -
Product/Project Milestone Recent Development Link
October
2026.Announced
topline results
from the
investigational
Phase 3
MagnetisMM-32 study
evaluating Elrexfio
as monotherapy in
adults with
relapsed or
refractory multiple
myeloma (RRMM) who
received at least
one prior line of
treatment with
anti-CD38 therapy
and lenalidomide.
At the
pre-specified
interim analysis
for efficacy, the
study met its
primary endpoint of
progression-free
survival (PFS) as
assessed by blinded
independent central
Elrexfio review (BICR).
(elranatamab) Phase 3 Results Elrexfio Full Release
demonstrated a
statistically
significant and
clinically
meaningful
reduction in the
risk of disease
progression or
death versus
investigator’s
choice of
elotuzumab,
pomalidomide and
dexamethasone
(EloPd);
pomalidomide,
bortezomib and
dexamethasone
(PVd); or
carfilzomib and
dexamethasone (Kd).
The safety profile
of Elrexfio in
MagnetisMM-32 was
consistent with its
known profile and
no new safety
signals were
identified.
October
2026.Presented
results from two
investigational
Phase 3 trials --
TRANQUILLO 2 and
TRANQUILLO – in
which once-daily
oral Litfulo
significantly
improved facial and
total body
repigmentation at
Litfulo Phase 3 Results Week 52 compared to Full Release
(ritlecitinib) placebo in patients
with nonsegmental
vitiligo (NSV). The
safety profile of
Litfulo in NSV was
consistent with the
established safety
profile in alopecia
areata. Pfizer
intends to submit
these data to
regulatory
authorities
globally.
October
2026.Announced FDA
expanded approval
of Talzenna in
combination with
Xtandi expanding
use to the
treatment of men
with metastatic
androgen pathway
modulation-naïve or
-sensitive
(mAPMN/S) prostate
Talzenna Regulatory cancer with Full Release
(talazoparib) homologous
recombination
repair (HRR) gene
mutations,
including both BRCA
and non-BRCA
mutations. Approval
was based on the
pivotal TALAPRO-3
data, offering a
potential new
standard of care
earlier in the
course of disease.
October
2026.Announced FDA
approval of Tukysa
in combination with
trastuzumab and
pertuzumab for the
maintenance
treatment of adults
with unresectable
locally advanced or
metastatic human
epidermal growth
factor receptor
2-positive (HER2+)
Tukysa (tucatinib) Regulatory breast cancer Full Release
following induction
treatment. The
approval expands
the use of Tukysa
to frontline, an
earlier stage of
metastatic disease,
offering a new
chemotherapy-free
maintenance
treatment option
that may help
further delay
disease
progression.
Pipeline Developments
A comprehensive update of Pfizer’s development pipeline was published today and
is now available at www.pfizer.com/science/drug-product-pipeline. It includes an
overview of Pfizer’s research and a list of compounds in development with
targeted indication and phase of development, as well as mechanism of action for
some candidates in Phase 1 and all candidates from Phase 2 through registration.
- 7 -
Product/Project Milestone Recent Development Link
October
2026.Announced
detailed results
across serotypes
from a Phase 2
study (NCT06524414)
investigating
25-valent
pneumococcal
conjugate vaccine
25-valent candidate (25vPnC)
pneumococcal in infants. In the
conjugate vaccine Phase 2 Results study, a four-dose Full Release
candidate series of 25vPnC
(PF-07872412) elicited robust
immune responses
against all 25
serotypes and
showed safety and
tolerability
comparable to four
doses of Prevnar
20. These data
support the ongoing
Phase 3 development
program for 25vPnC.
August 2026.Pfizer
and Valneva SE
announced the
European Medicines
Agency (EMA)
validated the
Marketing
Authorization
Application (MAA)
for the companies’
6-valent outer
surface protein A
Lyme disease (OspA)-based Lyme
vaccine candidate Regulatory disease vaccine Full Release
(PF-07307405) candidate and will
begin its
assessment of the
application. The
submission was
based on favorable
efficacy and safety
results from the
Phase 3 VALOR
“Vaccine Against
Lyme for Outdoor
Recreationists”
trial.
October
2026.Presented
detailed results
from an ongoing
Phase 2 study
investigating the
potentially
first-in-class
trispecific
antibody tilrekimig
in adults with
moderate-to-severe
atopic dermatitis
(AD). The study met
its primary
endpoint,
demonstrating a
statistically
significant
increase in the
percentage of
participants
achieving EASI-75
(≥75% reduction in
the Eczema Area and
Tilrekimig Phase 2 Results Severity Index) at Full Release
(PF-07275315) Week 16 across all
evaluated doses
compared to
placebo. Tilrekimig
was well-tolerated,
with no
dose-dependent
safety signals,
with
treatment-emergent
adverse event rates
comparable between
treatment and
placebo groups. The
Phase 3 pivotal
program is underway
with ongoing
studies in AD and
asthma. Tilrekimig
is also being
studied in an
ongoing Phase 2b/3
study in chronic
obstructive
pulmonary disease
(COPD).
Corporate Developments
Recent Development
November 2026.Cecile Guegan appointed Chief
Topic Financial Officer, Executive Vice President Link
Finance Leadership effective November 1, 2026. -
──────────────────────────────────────────────────────────────────────────────
PFIZER TO HOST CONFERENCE CALL
Pfizer will host a live conference call and webcast today, November 3, 2026, at
10:00 AM EST. To access the live conference call, the third-quarter 2026
earnings presentation, and the accompanying prepared remarks from management,
visit our website at pfizer.com/investors.
You can also listen to the conference call by dialing either 800-456-4352 in the
U.S. and Canada or 785-424-1086 outside of the U.S. and Canada. The passcode is
“11974”.
- 8 -
The transcript and webcast replay of the call will be made available on our
website at pfizer.com/investors within 24 hours after the end of the live
conference call and will be accessible for at least 90 days.
- 9 -
For additional details, see the attached financial schedules, product revenue
tables and disclosure notice.
(1) ‘Launched and Acquired Products’ represent select recently launched and
acquired products, including new indications. Launched products primarily
include Prevnar 20 (Pediatrics), Abrysvo (Older Adult / Maternal), Elrexfio,
Cibinqo, Talzenna, Litfulo, Ngenla, Hympavzi, Penbraya Adolescent, and Lorbrena
(added Q1-26); and acquired products primarily include Padcev, Adcetris, Tukysa,
Tivdak, Nurtec ODT/Vydura, and Velsipity.
(2) Pfizer does not provide guidance for U.S. generally accepted accounting
principles (GAAP) Reported financial measures (other than revenues) or a
reconciliation of forward-looking non-GAAP financial measures to the most
directly comparable GAAP Reported financial measures on a forward-looking basis
because it is unable to predict with reasonable certainty the ultimate outcome
of unusual gains and losses, certain acquisition-related expenses, gains and
losses from equity securities, actuarial gains and losses from pension and
postretirement plan remeasurements, potential future asset impairments and
pending litigation without unreasonable effort. These items are uncertain,
depend on various factors, and could have a material impact on GAAP Reported
results for the guidance period.
Financial guidance for full-year 2026 reflects the following:
▪ Does not assume the completion of any business development transactions not
completed as of November 3, 2026.
▪ An anticipated unfavorable revenue impact of approximately $1.1 billion due to
recent and expected generic and biosimilar competition for certain products that
have recently lost patent or regulatory protection or that are anticipated to
lose patent or regulatory protection.
▪ Exchange rates assumed are a blend of actual rates in effect through third-
quarter 2026 and mid-October 2026 rates for the remainder of the year.
▪ Guidance for Adjusted (3) diluted EPS assumes diluted weighted-average shares
outstanding of approximately 5.74 billion shares, and assumes no share
repurchases in 2026.
(3) Adjusted income and Adjusted diluted earnings per share (EPS) are defined as
U.S. GAAP net income attributable to Pfizer Inc. common shareholders and U.S.
GAAP diluted EPS attributable to Pfizer Inc. common shareholders before the
impact of amortization of intangible assets, certain acquisition-related items,
discontinued operations and certain significant items. See the accompanying
reconciliations of certain GAAP Reported to Non-GAAP Adjusted information for
the third quarter and the first nine months of 2026 and 2025. Adjusted income
and its components and Adjusted diluted EPS measures are not, and should not be
viewed as, substitutes for U.S. GAAP net income and its components and diluted
EPS (4) . See the Non-GAAP Financial Measure: Adjusted Income section of
Management’s Discussion and Analysis of Financial Condition and Results of
Operations in Pfizer’s 2025 Annual Report on Form 10-K and the accompanying Non-
GAAP Financial Measure: Adjusted Income section of this press release for a
definition of each component of Adjusted income as well as other relevant
information.
- 10 -
(4) Revenues is defined as revenues in accordance with U.S. GAAP. Reported net
income and its components are defined as net income attributable to Pfizer Inc.
common shareholders and its components in accordance with U.S. GAAP. Reported
diluted earnings per share (EPS) is defined as diluted EPS attributable to
Pfizer Inc. common shareholders in accordance with U.S. GAAP.
(5) References to operational variances in this press release pertain to period-
over-period changes that exclude the impact of foreign exchange rates. Although
foreign exchange rate changes are part of Pfizer’s business, they are not within
Pfizer’s control and because they can mask positive or negative trends in the
business, Pfizer believes presenting operational variances excluding these
foreign exchange changes provides useful information to evaluate Pfizer’s
results.
(6) Pfizer’s fiscal year-end for international subsidiaries is November 30 while
Pfizer’s fiscal year-end for U.S. subsidiaries is December 31. Therefore,
Pfizer’s third quarter and first nine months for U.S. subsidiaries reflect the
three and nine months ended on September 27, 2026 and September 28, 2025, while
Pfizer’s third quarter and first nine months for subsidiaries operating outside
the U.S. reflect the three and nine months ended on August 23, 2026 and August
24, 2025.
- 11 -
PFIZER INC. AND SUBSIDIARY COMPANIES
CONSOLIDATED STATEMENTS OF OPERATIONS (1)
(UNAUDITED)
(millions, except per share data)
% %
In… In…
/ N… /
R… Th… 20… 2… (D… M… 2… 2… (D…
──────────────────────────────────────────────────────────────────────────────
P… $ 13… $ 13… -5 $ 36… $ 37… -1
r…
A… 2,… 2,… 24 7,… 6,… 18
r…
R… 477 436 9 1,… 1,… 15
r…
T… 16… 16… — 46… 45… 2
r…
C…
a…
e…
C…
of 4,… 4,… -3 11… 10… 8
s…
S…
i…
a… 3,… 3,… 3 9,… 9,… —
a…
e…
R…
a… 3,… 2,… 18 8,… 7,… 15
d…
e…
A…
i…
r… 669 1,… -52 822 1,… -41
a…
d…
e…
A…
of 1,… 1,… -8 3,… 3,… -4
i…
a…
R…
c…
a… 791 286 * 1,… 945 43
c…
a…
c…
O… 288 517 -44 4,… 2,… *
(…
I…
f…
c…
o…
b… 3,… 3,… 2 5,… 9,… -36
p…
f…
t…
on
i…
P…
f…
t… 134 -2… * 188 -2… *
on
i…
I…
f… 3,… 3,… -8 5,… 9,… -39
c…
o…
D…
o… — — * -5 25 *
of
t…
N…
i…
b…
a… 3,… 3,… -8 5,… 9,… -40
to
n…
i…
L…
N…
i…
a… 10 9 12 29 33 -14
to
n…
i…
N…
i…
a…
to $ 3,… $ 3,… -8 $ 5,… $ 9,… -40
P…
I…
c…
s…
E…
p…
c…
s…
I…
f…
c…
o…
a… $ 0.… $ 0.… -9 $ 1.… $ 1.… -40
to
P…
I…
c…
s…
D…
o… — — — — — —
of
t…
N…
i…
a…
to $ 0.… $ 0.… -9 $ 1.… $ 1.… -40
P…
I…
c…
s…
E…
p…
c…
s…
I…
f…
c…
o…
a… $ 0.… $ 0.… -9 $ 0.… $ 1.… -40
to
P…
I…
c…
s…
D…
o… — — — — — —
of
t…
N…
i…
a…
to $ 0.… $ 0.… -9 $ 0.… $ 1.… -40
P…
I…
c…
s…
W…
s…
u…
to
c…
e…
p…
c…
s…
B… 5,… 5,… 5,… 5,…
D… 5,… 5,… 5,… 5,…
* Indicates calculation not meaningful or results are greater than 100%.
- 12 -
PFIZER INC. AND SUBSIDIARY COMPANIES
NOTES TO CONSOLIDATED STATEMENTS OF OPERATIONS - (UNAUDITED)
(1) The financial statements present the three and nine months ended September
27, 2026 and September 28, 2025. Subsidiaries operating outside the U.S. are
included for the three and nine months ended August 23, 2026 and August 24,
2025.
The financial results for the three and nine months ended September 27, 2026 are
not necessarily indicative of the results that ultimately could be achieved for
the full year.
Certain amounts in the consolidated statements of operations and associated
notes may not add due to rounding. All percentages have been calculated using
unrounded amounts.
(2) Exclusive of amortization of intangible assets.
(3) Acquired in-process research and development expenses for the third quarter
and first nine months of 2026 include a $650 million charge related to an in-
licensing and collaboration agreement with Innovent Biologics, Inc. Acquired in-
process research and development expenses for the third quarter and first nine
months of 2025 include a $1.35 billion charge related to an in-licensing
agreement with 3SBio, Inc.
(4) Restructuring charges and certain acquisition-related costs include the
following:
Nine
(MI… Thi… 2026 2025 Mont… 2026 2025
──────────────────────────────────────────────────────────────────────────────
Res…
cha… $ 11 $ 1 $ 54 $ 13
cos…
Res…
cha… 742 236 1,1… 771
red…
ini…
Res… 753 237 1,2… 784
cha…
Tra… 2 — 2 —
cos…
Int…
cos… 35 49 124 162
and
oth…
Res…
cha…
and $ 791 $ 286 $ 1,3… $ 945
cer…
acq…
cos…
(a) Includes charges/(credits) for employee terminations, asset impairments and
other exit costs associated with business combinations.
(b) Includes charges/(credits) for employee terminations, asset impairments and
other exit costs not associated with acquisitions. The charges for the third
quarter and first nine months of 2026 primarily represent employee termination
costs associated with our enterprise-wide cost realignment program. The charges
for the first nine months of 2025 primarily represented employee termination
costs, asset impairments and exit costs associated with our enterprise-wide cost
realignment program, partially offset by revisions of estimates of previously
recorded accruals for employee termination costs associated with our
Manufacturing Optimization Program, driven in large part by higher-than-expected
voluntary attrition.
(c) Integration costs and other represent external, incremental costs directly
related to integrating acquired businesses, such as expenditures for consulting
and the integration of systems and processes, and certain other qualifying
costs.
(5) Components of Other (income)/deductions––net include:
Nine
(M… Thi… 2026 2025 Mon… 2026 20…
──────────────────────────────────────────────────────────────────────────────
In… $ -108 $ -138 $ -336 $ -437
in…
In… 662 652 1,9… 1,9…
ex…
Net
in… 554 514 1,6… 1,5…
ex…
Net
(g…
on -132 -2 -150 -91
as…
di…
Net
(g…
re…
du…
the 75 -201 121 94
pe…
on
eq…
se…
In…
fr…
co…
ou…
ar… -111 -45 -165 -82
and
sa…
of
co…
ri…
Net
pe…
be…
co… -103 -73 -258 -333
ot…
th…
se…
co…
Ce…
le… 13 191 1,0… 755
ma…
ne…
Ce…
as… — 260 4,3… 577
im…
Net
ga…
fr…
the
sa…
of — — -1,… —
in…
in
Vi…
He…
Li…
(V…
Ch…
in
fa…
va… 159 15 709 57
of
co…
co…
li…
Ot… -167 -141 -556 -291
ne…
Ot… $ 288 $ 517 $ 4,8… $ 2,2…
(i…
(a) The first nine months of 2026 primarily include certain product liability
and other legal expenses. The third quarter of 2025 primarily included certain
product liability expenses. The first nine months of 2025 primarily included
certain product liability and other legal expenses.
(b) The amount for the first nine months of 2026 represents intangible asset
impairment charges composed of: (i) $3.8 billion in impairments of in-process
research and development (IPR&D) assets associated with a Phase 3 study for
sigvotatug vedotin for the
- 13 -
PFIZER INC. AND SUBSIDIARY COMPANIES
NOTES TO CONSOLIDATED STATEMENTS OF OPERATIONS - (UNAUDITED)
second line treatment of metastatic non-squamous non-small cell lung cancer,
reflecting unfavorable clinical trial results, and (ii) $525 million for Oxbryta
(voxelotor) developed technology rights, after engaging with the FDA in July
2026 to discuss their assessment of data and analyses, and it was determined
there was no viable pathway to return Oxbryta to the market in the U.S. The
amounts for the third quarter and first nine months of 2025 included a $260
million intangible asset impairment charge related to IPR&D associated with a
Phase 3 study for inclacumab for the treatment of sickle cell disease, which
reflects unfavorable clinical trial results. The amount for the first nine
months of 2025 also included an intangible asset impairment charge of $210
million for a Phase 2 indefinite-lived out-licensed asset that was discontinued
by our out-licensing partner.
(c) The amounts for the third quarter and first nine months of 2026 include,
among other things, dividend income of $58 million and $239 million,
respectively, from our previous investment in ViiV. The amounts for the third
quarter and first nine months of 2025 included, among other things, dividend
income of $72 million and $184 million, respectively, from our previous
investment in ViiV.
(6) Our effective tax rates for income from continuing operations were 3.9% and
3.2% for the three and nine months ended September 27, 2026, respectively, and
(6.5)% and (2.9)% for the three and nine months ended September 28, 2025,
respectively. The higher effective tax rates for the third quarter and first
nine months of 2026, compared to the third quarter and first nine months of
2025, were primarily due to the non-recurrence of the remeasurement of certain
deferred tax liabilities, agreements, and resolutions with tax authorities,
partially offset by favorable changes in the jurisdictional mix of earnings.
- 14 -
PFIZER INC. AND SUBSIDIARY COMPANIES
NON-GAAP FINANCIAL MEASURE: ADJUSTED INCOME
Adjusted income is an alternative measure of performance used by management to
evaluate our overall performance as a supplement to our GAAP Reported
performance measures. As such, we believe that investors’ understanding of our
performance is enhanced by disclosing this measure. We use Adjusted income,
certain components of Adjusted income and Adjusted diluted EPS to present the
results of our major operations––the discovery, development, manufacture,
marketing, sale and distribution of biopharmaceutical products worldwide––prior
to considering certain income statement elements as follows:
Relevance of Metrics to
Measure Definition Our Business
Performance
•Provides investors
useful information to:
◦evaluate the normal
recurring operational
activities, and their
Net income attributable components, on a
to Pfizer Inc. common comparable
shareholders(a)before year-over-year basis
the impact of ◦assist in modeling
amortization of expected future
Adjusted income intangible assets, performance on a
certain normalized basis
acquisition-related •Provides investors
items, discontinued insight into the way we
operations and certain manage our budgeting
significant items and forecasting, how we
evaluate and manage our
recurring operations
and how we reward and
compensate our senior
management(b)
Cost of sales, Selling,
informational and
administrative
Adjusted cost of expenses, Research and
sales, Adjusted development
selling, informational expensesandOther
and (income)/deductions––n…
administrative each before the impact
expenses, Adjusted of amortization of
research and intangible assets,
development expenses certain
and acquisition-related
Adjusted other items, discontinued
(income)/deductions––… operations and certain
significant items,
which are components of
the Adjusted income
measure
EPS attributable to
Pfizer Inc. common
shareholders––diluted(…
the impact of
amortization of
Adjusted diluted EPS intangible assets,
certain
acquisition-related
items, discontinued
operations and certain
significant items
(a) Most directly comparable GAAP measure.
(b) Any expenses for acquired IPR&D are included in our non-GAAP Adjusted
results but we exclude certain of these expenses for our financial results for
annual incentive compensation purposes.
Adjusted income and its components and Adjusted diluted EPS are non-GAAP
financial measures that have no standardized meaning prescribed by GAAP and,
therefore, are limited in their usefulness to investors. Because of their non-
standardized definitions, they may not be comparable to the calculation of
similar measures of other companies and are presented to permit investors to
more fully understand how management assesses performance. A limitation of these
measures is that they provide a view of our operations without including all
events during a period, and do not provide a comparable view of our performance
to peers. These measures are not, and should not be viewed as, substitutes for
their most directly comparable GAAP measures of Net income attributable to
Pfizer Inc. common shareholders , components of Net income attributable to
Pfizer Inc. common shareholders and EPS attributable to Pfizer Inc. common
shareholders—diluted , respectively.
We also recognize that, as internal measures of performance, these measures have
limitations, and we do not restrict our performance-management process solely to
these measures. We also use other tools designed to achieve the highest levels
of performance. For example, our R&D organization has productivity targets, upon
which its effectiveness is measured. In addition, total shareholder return, both
on an absolute basis and relative to a publicly traded pharmaceutical index,
plays a significant role in determining payouts under certain of our incentive
compensation plans.
See the reconciliations of certain GAAP Reported to Non-GAAP Adjusted
information for the third quarter and first nine months of 2026 and 2025 below
and the Non-GAAP Financial Measure: Adjusted Income section of Management’s
Discussion and Analysis of Financial Condition and Results of Operations in
Pfizer’s 2025 Annual Report on Form 10-K for additional information.
- 15 -
PFIZER INC. AND SUBSIDIARY COMPANIES
RECONCILIATIONS OF GAAP REPORTED TO NON-GAAP ADJUSTED INFORMATION
CERTAIN LINE ITEMS - (UNAUDITED)
(millions, except per share data)
Da… Ear…
pr… Net per
wi… inc… com…
not att… sha…
(in to att…
all Thi… Sel… Pfi… to
ca… 2026 inf… Inc. Pfi…
ag… Cost and com… Inc.
to of adm… Oth… sha… com…
to… sal… exp… (in… (2) sha…
──────────────────────────────────────────────────────────────────────────────
GA… $ 4,0… $ 3,2… $ 288 $ 3,… $ 0.…
Re…
Am…
of — — — 1,…
in…
as…
Ac… -143 -4 -1… 364
it…
Di… — — — —
op…
Ce…
si…
it…
Re…
ch…
in…
wr…
im… -41 -50 — 893
co…
and
ad…
de…
re…
Ce…
as… — — — —
im…
Ga…
on — — -75 75
eq…
se…
Ac…
va…
and
ot…
pe… — — 22 -22
and
po…
pl…
ga…
Ot… — -3 21 -17
In…
tax -6…
pr…
it…
No… $ 3,8… $ 3,2… $ 102 -6 $ 4,… $ 0.…
Ad…
Nine
Mon…
End…
Sep…
27,
2026
──────────────────────────────────────────────────────────────────────────────
Da… Net Ear…
pr… inc… per
wi… Sel… att… com…
not Cost inf… to sha…
(in of and Oth… Pfi… att…
all sal… adm… (in… Inc. to
ca… exp… com… Pfi…
ag… sha… Inc.
to (2) com…
to… sha…
GA… $ 11,… $ 9,6… $ 4,… $ 5,… $ 0.…
Re…
Am…
of — — — 3,…
in…
as…
Ac… -597 -14 -7… 1,…
it…
Di… — — — -16
op…
Ce…
si…
it…
Re…
ch…
in…
wr…
im… -140 -142 — 1,…
co…
and
ad…
de…
re…
Ce…
as… — — -4… 4,…
im…
Ga…
on — — -1… 121
eq…
se…
Ac…
va…
and
ot…
pe… — — 12 -12
and
po…
pl…
ga…
Ot… -25 -15 871 -8…
In…
tax -2…
pr…
it…
No… $ 10,… $ 9,4… $ 598 -6 $ 13… $ 2.…
Ad…
See end of tables for notes.
- 16 -
PFIZER INC. AND SUBSIDIARY COMPANIES
RECONCILIATIONS OF GAAP REPORTED TO NON-GAAP ADJUSTED INFORMATION
CERTAIN LINE ITEMS - (UNAUDITED)
(millions, except per share data)
Da… Ear…
pr… Net per
wi… inc… com…
not att… sha…
(in to att…
all Thi… Sel… Pfi… to
ca… 2025 inf… Inc. Pfi…
ag… Cost and com… Inc.
to of adm… Oth… sha… com…
to… sal… exp… (in… (2) sha…
──────────────────────────────────────────────────────────────────────────────
GA… $ 4,1… $ 3,1… $ 517 $ 3,… $ 0.…
Re…
Am…
of — — — 1,…
in…
as…
Ac… -128 -1 -13 194
it…
Di… — — — —
op…
Ce…
si…
it…
Re…
ch…
in…
wr…
im… -62 -26 — 379
co…
and
ad…
de…
re…
Ce…
as… — — -2… 260
im…
Ga…
on — — 201 -2…
eq…
se…
Ac…
va…
and
ot…
pe… — — -11 11
and
po…
pl…
ga…
Ot… -3 -1 -1… 184
In…
tax -6…
pr…
it…
No… $ 3,9… $ 3,1… $ 257 -6 $ 4,… $ 0.…
Ad…
Nine
Mon…
End…
Sep…
28,
2025
──────────────────────────────────────────────────────────────────────────────
Da… Net Ear…
pr… inc… per
wi… Sel… att… com…
not Cost inf… to sha…
(in of and Oth… Pfi… att…
all sal… adm… (in… Inc. to
ca… exp… com… Pfi…
ag… sha… Inc.
to (2) com…
to… sha…
GA… $ 10,… $ 9,6… $ 2,… $ 9,… $ 1.…
Re…
Am…
of — — — 3,…
in…
as…
Ac… -576 -2 -52 814
it…
Di… — — — -25
op…
Ce…
si…
it…
Re…
ch…
in…
wr…
im… -115 -46 — 1,…
co…
and
ad…
de…
re…
Ce…
as… — — -5… 577
im…
Ga…
on — — -94 94
eq…
se…
Ac…
va…
and
ot…
pe… — — 57 -57
and
po…
pl…
ga…
Ot… -29 -22 -8… 914
In…
tax -1…
pr…
it…
No… $ 10,… $ 9,5… $ 688 -6 $ 14… $ 2.…
Ad…
- 17 -
PFIZER INC. AND SUBSIDIARY COMPANIES
NOTES TO RECONCILIATIONS OF GAAP REPORTED TO NON-GAAP ADJUSTED INFORMATION
CERTAIN LINE ITEMS - (UNAUDITED)
(1) Items that reconcile GAAP Reported to non-GAAP Adjusted balances are shown
pre-tax. Our effective tax rates for GAAP Reported income from continuing
operations were 3.9% and 3.2% for the three and nine months ended September 27,
2026, respectively , and (6.5)% and (2.9)% for the three and nine months ended
September 28, 2025, respectively. See Note (6) to the Consolidated Statements of
Operations above. Our effective tax rates for non-GAAP Adjusted income were
14.0% and 14.9% for the three and nine months ended September 27, 2026,
respectively, and 7.9% and 9.5% for the three and nine months ended September
28, 2025, respectively.
(2) The amounts for the third quarter and first nine months of 2026 and 2025
include reconciling amounts for Research and development expenses that are not
material to our non-GAAP consolidated results of operations.
(3) Includes employee termination costs, asset impairments and other exit costs
related to our cost-reduction and productivity initiatives not associated with
acquisitions.
(4) See Note (5) to the Consolidated Statements of Operations above.
(5) For the first nine months of 2026, the total Other (income)/deductions––net
adjustment of $871 million primarily includes: (i) a net gain of $1.870 billion
from the sale of our previous investment in ViiV, partially offset by (ii)
charges of $1.0 billion for certain legal matters, primarily representing
certain product liability and other legal expenses. For the third quarter and
first nine months of 2025, the total Other (income)/deductions––net adjustments
of $177 million and $855 million, respectively, primarily included charges of
$191 million for the third quarter for certain legal matters, primarily
representing certain product liability expenses and $755 million for the first
nine months for certain legal matters, primarily representing certain product
liability and other legal expenses.
(6) The components of non-GAAP Adjusted Other (income)/deductions––net include
the following:
Nine
(M… Thi… 2026 2025 Mon… 2026 20…
──────────────────────────────────────────────────────────────────────────────
In… $ -108 $ -138 $ -336 $ -437
in…
In… 665 654 2,0… 1,9…
ex…
Net
in… 557 517 1,6… 1,5…
ex…
Net
(g…
on -132 -2 -150 -91
as…
di…
In…
fr…
co…
ou…
ar… -111 -45 -165 -82
and
sa…
of
co…
ri…
Net
pe…
be…
co… -80 -84 -246 -276
ot…
th…
se…
co…
Ce…
le… — — 19 —
ma…
net
Ot… -132 -128 -530 -393
net
No…
Ad… $ 102 $ 257 $ 598 $ 688
(i…
See Note (5) to the Consolidated Statements of Operations above for additional
information on the components comprising GAAP Reported Other (income)/deductions
–– net .
- 18 -
PFIZER INC. - REVENUES
THIRD-QUARTER 2026 and 2025 - (UNAUDITED)
…
… % … T…
… … … … % I… %
… … … … … … … 2… 2… C…
──────────────────────────────────────────────────────────────────────────────
$ … $ … — — $ … $ … … $ … $ … — …
$ … $ … — — $ … $ … — $ … $ … — …
$ … $ … … … $ … $ … … $ … $ … — …
… … … … … … … … … -… —
… … … … … … … … … -… …
… … … … … … … … … * *
… … … … … … … … … -… …
… … … … … … … … … * *
… … … … … … … … … -… …
… … … … 1 1 … … … 4% …
… … … … … … … … … -… …
$ … $ … … … $ … $ … … $ … $ … -… …
… … … … … … … … … -… …
… … … … … … … … … 5… …
… … … … … … … — — — —
… … … … … … … … … 4… …
… … … — … … … … … 1… …
… … … … … … … … … 5… …
… … … … … … … 3 5 -… …
… … … … … … … — — — —
… … … … … … … … … 1… …
… … … … … … … … … -… …
… … … — … … … … … 1… …
… … … … … … … … … 3… …
… … … … … … … 1 5 -… …
… … … … … … … … … -… …
$ … $ … … … $ … $ … … $ … $ … 1… …
… … … … … … … … … 7% …
… … … … … … … … … — …
… … … … — — — … … 1… …
… … … … — — — … … -… …
… … … … … … … — — — —
… … … … … … — … … 1… …
… … … … — — — … … 2… …
… … … … 5 … … … … -… …
… … … … … … … … … 3… …
… … … … … … … … … 3… …
$ … $ … … … $ … $ … … $ … $ … -… …
… … … … … … … … … 6% …
… … … … … … … 6 … -… …
… … … … — — — … … -… …
… … … … — — — … … -… …
… … … … … … … … … 1% …
$ … $ … … … $ … $ … … $ … $ … -… …
$ … $ … — — $ … $ … — $ … $ … — …
… … … … … … … — — — —
… … … … — — — … … 1% …
… … … … … … … … … -… …
$ … $ … … … $ … $ … … $ … $ … -… …
$ … $ … … … $ … $ … … $ 2 $ 2 7% …
- 19 -
PFIZER INC. - REVENUES
NINE MONTHS 2026 and 2025 - (UNAUDITED)
…
… % … T…
… … … … % I… %
… … … … … … … 2… 2… C…
──────────────────────────────────────────────────────────────────────────────
$ … $ … … … $ … $ … … $ … $ … 5% …
$ … $ … … … $ … $ … … $ … $ … 5% …
$ … $ … … … $ … $ … … $ … $ … 4% —
… … … … … … … … … 9% …
… … … … … … … … … 1… …
… … … … … … … … … * *
… … … … … … … … … -… …
… … … … … … … … … * *
… … … … … … … … … -… …
… … … … 5 3 … … … 1… …
… … … … … … … … … — …
$ … $ … … … $ … $ … … $ … $ … 3% …
… … … … … … … … … -… …
… … … … … … … … … 6… …
… … … … … … … — — — —
… … … … … … … … … 4… …
… … … … … … … … … 7% …
… … … … … … … … … 6… …
… … … … … … … … … -… …
… … … … … … … — — — —
… … … … … … … … … 4… …
… … … … … … … … … -… …
… … … … … … … … … 2… …
… … … … … … … … … 3… …
… … … … … … … 1 … -… …
… … … … … … … … … -… …
$ … $ … … … $ … $ … … $ … $ … 1… …
… … … … … … … … … 1… …
… … … … … … … … … -… …
… … … … — — — … … 1… …
… … … … — — — … … -… …
… … … … … … … — — — —
… … … … … … … … … 1… …
… … … … — — — … … 1… …
… … … … … … … … … -… …
… … … … … … … … … 3… …
… … … … … … … … … 3… …
$ … $ … … … $ … $ … … $ … $ … -… …
… … … … … … … … … 1… …
… … … … … … … … … -… …
… … … … — — — … … -… …
… … … … — — — … … -… …
… … … … … … … … … 4% —
$ … $ … — … $ … $ … … $ … $ … 7% …
$ … $ … … … $ … $ … … $ … $ … 5% …
… … — — … … — — — — —
… … … … — — — … … 5% …
… … … … … … … … … -… …
$ … $ … … … $ … $ … … $ … $ … 1… …
$ … $ … … … $ … $ … … $ … $ 8 2… …
- 20 -
PFIZER INC.
NOTES TO REVENUES TABLE INFORMATION
(UNAUDITED)
In the first quarter of 2026, we made changes in our commercial
structure, which included the transition of certain off-patent
branded and generic sterile injectables and biosimilars
primarily from the Specialty Care and Oncology product
portfolios to a new Hospital and Biosimilars product portfolio
within our Biopharma reportable segment. Effective January 1,
2026, the commercial structure within the Biopharma reportable
segment is composed of the Pfizer U.S. Commercial Division, the
Pfizer International Commercial Division and the Global Hospital
and Biosimilars Division.
We reclassified prior period amounts to conform to the current
period presentation. For additional information regarding our
commercial organizational structure, see theItem 1.
Business––Commercial Operationssection of our 2025 Annual Report
(a) on Form 10-K.
──────────────────────────────────────────────────────────────────────────────
-b Reflects alliance revenues and product revenues.
Prevnar family includes revenues from Prevnar 20/Prevenar 20
-c (pediatric and adult) and Prevnar 13/Prevenar 13 (pediatric and
adult).
(d) Primarily reflects alliance revenues and royalty revenues.
(e) Reflects product revenues and royalty revenues.
(f) Reflects alliance revenues.
(g) Vyndaqel family includes global revenues from Vyndaqel, as well
as revenues for Vyndamax in the U.S. and Vynmac in Japan.
Biosimilars are highly similar versions of approved and
(h) authorized biological medicines. Oncology biosimilars primarily
include Retacrit, Ruxience, Zirabev, Trazimera and Nivestym.
Pfizer CentreOne (PC1) includes revenues from our contract
manufacturing and our active pharmaceutical ingredient sales
operation, as well as revenues related to our manufacturing and
(i) supply agreements with legacy Pfizer businesses/partnerships.
Also includes revenues associated with the wind-down of our
former Pfizer Ignite operating segment, which were not material
in all periods presented. We reclassified prior period amounts
to conform to the current period presentation.
Includes the commercial organization covering Pfizer’s Hospital
and Biosimilars product portfolio of off-patent branded and
(j) generic sterile injectables and biosimilars except in China,
Hong Kong, and certain other international markets, which are
part of the Pfizer International Commercial Division.
* Indicates calculation not meaningful or results are greater than
100%.
Amounts may not add due to rounding. All percentages have been
calculated using unrounded amounts.
- 21 -
DISCLOSURE NOTICE: Except where otherwise noted, the information contained in
this earnings release and the related attachments is as of November 3, 2026. We
assume no obligation to update any forward-looking statements contained in this
earnings release and the related attachments as a result of new information or
future events or developments.
This earnings release and the related attachments contain forward-looking
statements about, among other topics, our anticipated operating and financial
performance, including financial guidance and projections; reorganizations;
business plans, strategy, goals and prospects; expectations for our product
pipeline (including products from completed or anticipated acquisitions), in-
line products and product candidates, including anticipated regulatory
submissions, data read-outs, study starts, approvals, launches, clinical
development plans, discontinuations, clinical trial results and other developing
data, revenue contribution and projections, pricing and reimbursement, market
dynamics, including demand, market size and utilization rates and growth,
performance, timing and duration of exclusivity and potential benefits; the
impact and potential impact of tariffs and pricing dynamics; global economic
and/or geopolitical instability, foreign exchange rate fluctuations and
inflationary pressures; strategic reviews; leverage and capital allocation
objectives; an enterprise-wide cost realignment program (including anticipated
costs, savings and potential benefits); a Manufacturing Optimization Program
designed to reduce our cost of goods sold (including anticipated costs, savings
and potential benefits); dividends and share repurchases; plans for and
prospects of our acquisitions, dispositions and other business development
activities, and our ability to successfully capitalize on growth opportunities
and prospects; our voluntary agreements with the U.S. Government designed to
lower drug costs for U.S. patients and to include certain Pfizer products on the
TrumpRx.gov platform, Pfizer’s plans to further invest in U.S. manufacturing and
potential tariff impacts; manufacturing and product supply; our expectations
regarding AI and our ability to successfully integrate and scale our AI
initiatives; our expectations regarding the impact of COVID-19 on our business,
operations and financial results; and the expected seasonality of demand for
certain of our products. Given their forward-looking nature, these statements
involve substantial risks, uncertainties and potentially inaccurate assumptions
and we cannot assure you that any outcome expressed in these forward-looking
statements will be realized in whole or in part. You can identify these
statements by the fact that they use future dates or use words such as “will,”
“may,” “could,” “likely,” “ongoing,” “anticipate,” “estimate,” “expect,”
“project,” “intend,” “plan,” “believe,” “assume,” “target,” “forecast,”
“guidance,” “goal,” “objective,” “aim,” “seek,” “potential,” “hope” and other
words and terms of similar meaning. Pfizer’s financial guidance is based on
estimates and assumptions that are subject to significant uncertainties.
Among the factors that could cause actual results to differ materially from past
results and future plans and projected future results are the following:
Risks Related to Our Business, Industry and Operations, and Business
Development:
• the outcome of research and development (R&D) activities, including the
ability to meet anticipated pre-clinical or clinical endpoints, commencement
and/or completion dates for our pre-clinical or clinical trials, regulatory
submission dates, and/or regulatory approval and/or launch dates; the
possibility of unfavorable pre-clinical and clinical trial results, including
the possibility of unfavorable new pre-clinical or clinical data and further
analyses of existing pre-clinical or clinical data; risks associated with
preliminary, early stage or interim data; the risk that pre-clinical and
clinical trial data are subject to differing interpretations and assessments,
including during the peer review/publication process, in the scientific
community generally, and by regulatory authorities; whether and when additional
data from our pipeline programs will be published in scientific journal
publications, and if so, when and with what modifications and interpretations;
and uncertainties regarding the future development of our product candidates,
including whether or when our product candidates will advance to future studies
or phases of development or whether or when regulatory applications may be filed
for any of our product candidates, including as a result of clinical trial data
or regulatory decisions or feedback that could impact the future development of
our product candidates, including our vaccine candidates such as our next
generation pneumococcal conjugate vaccine candidates;
• our ability to successfully address comments received from regulatory
authorities such as the FDA or the EMA, or obtain approval for new products and
indications from regulators on a timely basis or at all;
• regulatory decisions impacting labeling, approval or authorization, including
the scope of indicated patient populations, product dosage, manufacturing
processes, safety and/or other matters, including decisions relating to
developments regarding potential product impurities; uncertainties regarding the
ability to obtain or maintain, and the scope of, recommendations by technical or
advisory committees, and the timing of, and ability to obtain,
pricing/reimbursement, approvals and product launches, all of which could impact
the availability or commercial potential of our products and product candidates;
• claims and concerns that may arise regarding the safety or efficacy of in-line
products and product candidates, including claims and concerns that may arise
from the conduct or outcome of post-approval
- 22 -
clinical trials, pharmacovigilance or Risk Evaluation and Mitigation Strategies,
which could impact marketing approval, product labeling, other in-line products
and product candidates, and/or availability or commercial potential;
• the success and impact of external business development activities, as well as
risks and uncertainties related to the ability to identify and execute on
potential business development opportunities; the ability to satisfy the
conditions to closing of any transactions in the anticipated time frame or at
all, including the possibility that such transactions do not close; the ability
to realize the anticipated benefits of any such transactions in the anticipated
time frame or at all; the potential need for and impact of additional equity or
debt financing to pursue these opportunities, which has in the past and could in
the future result in increased leverage and/or a downgrade of our credit ratings
and could limit our ability to obtain future financing; challenges integrating
the businesses and operations; disruption to business or operations
relationships; risks related to achieving or growing revenues for certain
acquired or partnered products; significant transaction costs; and unknown
liabilities;
• competition, including from new product entrants, in-line branded products,
generic products, private label products, biosimilars and product candidates
that treat or prevent diseases and conditions similar to those treated or
intended to be prevented by our in-line products and product candidates,
including as a result of competitor contracts with customers;
• the ability to successfully market both new and existing products, including
biosimilars;
• difficulties or delays in manufacturing, sales or marketing; supply
disruptions, shortages or stock-outs at our facilities or third-party facilities
that we rely on; and legal or regulatory actions;
• the impact of public health outbreaks, epidemics or pandemics on our business,
operations and financial condition and results, including impacts on our
employees, manufacturing, supply chain, sales and marketing, R&D and clinical
trials;
• risks and uncertainties related to Comirnaty and Paxlovid or any potential
future COVID-19 vaccines, treatments or combinations, including, among others,
the risk that as the market for COVID-19 products remains endemic and seasonal
and/or COVID-19 infection rates do not follow prior patterns, demand for our
COVID-19 products has and may continue to be reduced or not meet expectations,
which has in the past and may continue to lead to reduced revenues, excess
inventory or other unanticipated charges; risks related to our ability to
develop, receive regulatory approval for, and commercialize variant adapted
vaccines, combinations and/or treatments; uncertainties related to
recommendations and coverage for, and the public’s adherence to, vaccines,
boosters, treatments or combinations, including uncertainties related to the
potential impact of narrowing recommended patient populations; whether our
licenses will be terminated, revoked or modified; risks related to our ability
to accurately predict or achieve our revenue forecasts for Comirnaty and
Paxlovid or any potential future COVID-19 vaccines or treatments; and potential
third-party royalties or other claims related to Comirnaty and Paxlovid;
• trends toward managed care and healthcare cost containment, and our ability to
obtain or maintain timely or adequate pricing or favorable formulary placement
for our products;
• interest rate and foreign currency exchange rate fluctuations, including the
impact of global trade tensions, as well as currency devaluations and monetary
policy actions in countries experiencing high inflation or deflation rates;
• any significant issues involving our largest wholesale distributors, which
account for a substantial portion of our revenues;
• the impact of the increased presence of counterfeit medicines, vaccines or
other products in the pharmaceutical supply chain;
• any significant issues related to the outsourcing of certain operational and
staff functions to third parties;
• any significant issues related to our JVs and other third-party business
arrangements, including modifications or disputes related to supply agreements
or other contracts with customers including governments or other payors;
• uncertainties related to general economic, political, business, industry,
regulatory and market conditions including, without limitation, uncertainties
related to the impact on us, our customers, suppliers and lenders and
counterparties to our foreign-exchange and interest-rate agreements of
challenging global economic conditions, such as inflation or interest rate
fluctuations, and changes in global financial markets;
• the exposure of our operations globally to possible capital and exchange
controls, economic conditions, expropriation, sanctions, tariffs and/or other
restrictive government actions, changes in intellectual property legal
protections and remedies, unstable governments and legal systems and inter-
governmental disputes;
- 23 -
• risks and uncertainties related to issued or future executive orders or other
new, or changes in, laws, regulations or policy regarding tariffs or other trade
or foreign policy and/or the impact of any potential U.S. Governmental
shutdowns, including impacts on governmental agencies due to a shutdown;
• the risk and impact of tariffs on our business, which is subject to a number
of factors including, but not limited to, restrictions on trade, the effective
date and duration of such tariffs, countries included in the scope of tariffs,
changes to amounts of tariffs, and potential retaliatory tariffs or other
retaliatory actions imposed by other countries;
• the impact of disruptions related to climate change and natural disasters;
• any changes in business, political and economic conditions due to actual or
threatened terrorist activity, geopolitical instability, political or civil
unrest or military action and the resulting economic or other consequences;
• the impact of product recalls, withdrawals and other unusual items, including
uncertainties related to regulator-directed risk evaluations and assessments,
such as our ongoing evaluation of our product portfolio for the potential
presence or formation of nitrosamines;
• trade buying patterns;
• the risk of an impairment charge related to our intangible assets, goodwill or
equity-method investments;
• the impact of, and risks and uncertainties related to, restructurings and
internal reorganizations, as well as any other corporate strategic initiatives
and growth strategies, and cost-reduction and productivity initiatives,
including any potential future phases, each of which requires upfront costs but
may fail to yield anticipated benefits and may result in unexpected costs,
organizational disruption, adverse effects on employee morale, retention issues
or other unintended consequences;
• the ability to successfully achieve our climate-related goals and progress our
environmental and other sustainability priorities;
Risks Related to Government Regulation, Legal Proceedings and Changes in Laws
and Accounting Standards:
• the impact of any U.S. healthcare reform or legislation, including executive
orders or other change in laws, regulations or policy, or any significant
spending reduction or cost control efforts affecting Medicare, Medicaid, the
340B Drug Pricing Program or other publicly funded or subsidized health
programs, including the Inflation Reduction Act of 2022 (IRA) and the IRA
Medicare Part D Redesign, government cuts to Affordable Care Act (ACA)
subsidies, or changes in the tax treatment of employer-sponsored health
insurance that may be implemented;
• risks and uncertainties related to the impact of Pfizer’s voluntary agreements
with the U.S. Government designed to lower drug costs for U.S. patients and to
include certain Pfizer products on the TrumpRx.gov platform, Pfizer’s plans to
further invest in U.S. manufacturing and potential tariff impacts;
• U.S. federal or state legislation or regulatory action and/or policy efforts
affecting, among other things, pharmaceutical product pricing, including
international reference pricing (including Most-Favored-Nation drug pricing),
intellectual property, product research, development and approval processes and
pathways, reimbursement or access to or recommendations for our medicines and
vaccines, tax changes or other restrictions on U.S. direct-to-consumer
advertising; limitations on interactions with healthcare professionals and other
industry stakeholders; as well as pricing pressures for our products as a result
of highly competitive biopharmaceutical markets;
• U.S. federal or state legislation or regulatory action and/or policy efforts
affecting, among other things, our activities in markets outside of the U.S.,
such as China, including, without limitation, clinical trial activities and our
ability to enter into biotechnology investments or other transactions;
• risks and uncertainties related to changes to vaccine or other healthcare
policy in the U.S., including: (i) risks and uncertainties relating to the
evolving vaccine landscape and impacts on vaccine demand, market size and
utilization rates; and (ii) the FDA's recently adopted policy of disclosing
Complete Response Letters for unapproved drug candidates and the attendant risk
of disclosure of trade secrets or confidential commercial information;
• legislation or regulatory action and/or policy efforts in markets outside of
the U.S., such as China or Europe, including, without limitation, laws related
to pharmaceutical product pricing, intellectual property, medical regulation,
environmental protections, data protection and cybersecurity, reimbursement or
access, including, in particular, continued government-mandated reductions in
prices and access restrictions for certain products to control costs in those
markets;
- 24 -
• legal defense costs, insurance expenses, settlement amounts, including related
costs and contingencies, including without limitation, those related to legal
proceedings and actual or alleged environmental contamination;
• the risk and impact of an adverse decision or settlement and risk related to
the adequacy of reserves related to legal proceedings;
• the risk and impact of tax related litigation and investigations;
• governmental laws, regulations, policies and accounting standards affecting
our operations, including, without limitation, the IRA, as well as new or
changes in such laws, regulations, policies or accounting standards or their
interpretation, including, among others, new or changes in tariffs, tax laws and
regulations internationally and in the U.S., including the One Big Beautiful
Bill Act, which was enacted on July 4, 2025, and is still subject to further
guidance; the adoption of global minimum taxation requirements outside the U.S.
generally effective in most jurisdictions since January 1, 2024, government
cost-cutting measures and related impacts on, among other matters, government
staffing, resources and ability to timely review and process regulatory or other
submissions; restrictions related to certain data transfers, including data
security, data localization and cross border data transfer regulations, and
transactions involving certain countries; and potential changes to existing tax
laws, tariffs, or changes to other laws, regulations or policies in the U.S.,
including by the U.S. Presidential administration and Congress, as well as in
other countries;
Risks Related to Intellectual Property, Technology and Cybersecurity:
• the risk that our currently pending or future patent applications may not be
granted on a timely basis or at all, or any patent-term extensions that we seek
may not be granted on a timely basis, if at all;
• risks to our products, patents and other intellectual property, such as: (i)
claims of invalidity that could result in loss of patent coverage; (ii) claims
of patent infringement, including asserted and/or unasserted intellectual
property claims; (iii) claims we may assert against intellectual property rights
held by third parties; (iv) challenges faced by our collaboration or licensing
partners to the validity of their patent rights; or (v) any pressure from, or
legal or regulatory action by, various stakeholders or governments that could
potentially result in us not seeking intellectual property protection or
agreeing not to enforce or being restricted from enforcing intellectual property
rights related to our products;
• any significant breakdown or interruption of our information technology
systems and infrastructure (including cloud services);
• any business disruption, theft of confidential or proprietary information,
security threats on facilities or infrastructure, extortion or integrity
compromise resulting from a cyber-attack, which may include those using
adversarial artificial intelligence techniques, or other malfeasance by, but not
limited to, nation states, employees, business partners or others; and
• risks and challenges related to the use of proprietary or third-party
software, systems and services (including cloud services) that include
artificial intelligence-based functionality and other emerging technologies,
such as the risk of inaccurate, biased or otherwise flawed outputs of AI tools
and models; risks related to the protection of proprietary data and confidential
information used in or generated by AI systems; reputational risks related to
the use of AI in drug discovery, clinical development, manufacturing, commercial
operations or patient-facing applications; and the risk that anticipated cost
savings or benefits from AI, automation and digital enablement efforts may not
be realized in the expected amounts or within expected timeframes.
Should known or unknown risks or uncertainties materialize or should underlying
assumptions prove inaccurate, actual results could vary materially from past
results and those anticipated, estimated or projected. Investors are cautioned
not to put undue reliance on forward-looking statements. A further list and
description of risks, uncertainties and other matters can be found in our Annual
Report on Form 10-K for the fiscal year ended December 31, 2025 and in our
subsequent reports on Form 10-Q, in each case including in the sections thereof
captioned “Forward-Looking Information and Factors That May Affect Future
Results” and “Item 1A. Risk Factors,” and in our subsequent reports on Form 8-K.
This earnings release may include discussion of certain clinical studies
relating to various in-line products and/or product candidates. These studies
typically are part of a larger body of clinical data relating to such products
or product candidates, and the discussion herein should be considered in the
context of the larger body of data. In addition, clinical trial data are subject
to differing interpretations, and, even when we view data as sufficient to
support the safety and/or effectiveness of a product candidate or a new
indication for an in-line product, regulatory authorities may not share our
views and may require additional data or may deny approval altogether.
The information contained on our website or any third-party website is not
incorporated by reference into this earnings release. All trademarks mentioned
are the property of their owners.
- 25 -
Certain of the products and product candidates discussed in this earnings
release are being co-researched, co-developed and/or co-promoted in
collaboration with other companies for which Pfizer’s rights vary by market or
are the subject of agreements pursuant to which Pfizer has commercialization
rights in certain markets.
- 26 -