Pfizer CEO Albert Bourla speaks about street squawk at the World Economic Forum in Davos, Switzerland on January 20, 2026.
Oscar Molina CNBC
pfizer The company’s fourth-quarter results on Tuesday beat expectations even as demand for coronavirus products declined and reaffirmed the subdued 2026 outlook that spooked investors in December.
Pharmaceutical giants are looking to make long-term investments in their pipelines, including the $10 billion acquisition of obesity biotech Metsala, to counter sluggish sales of coronavirus-related products and declines in older medicines. Pfizer moved to show the promise of its investment on Tuesday, when it also reported preliminary data showing its Metsala bariatric shot can promote reliable weight loss when administered once a month.
In addition, Pfizer aims to reduce costs by approximately $7.7 billion by the end of 2027 as part of two separate initiatives.
Below is a comparison of the company’s fourth-quarter report and Wall Street expectations, based on an LSEG analyst survey.
Earnings per share: 66 cents adjusted, 57 cents expected; Revenue: $17.56 billion, $16.95 billion expected.
Pfizer reported fourth-quarter sales of $17.56 billion, down about 1% from a year earlier. The main reason for this is declining demand for the company’s coronavirus vaccine and antiviral drug Paxrobid.
The company reported a net loss of $1.65 billion, or 29 cents per share. This compares with net income of $410 million, or 7 cents per share, in the year-ago period.
Excluding certain items such as restructuring charges and charges related to intangible assets, the company posted earnings of 66 cents per share in the quarter.
Pfizer expects adjusted earnings in 2026 to be between $2.80 and $3 per share, with total sales between $59.5 billion and $62.5 billion. These sales will be roughly flat compared to 2025 sales.
Pfizer previously said its lackluster earnings outlook was due in part to lower sales of its COVID-19 vaccine and the antiviral drug paxlobid, with sales expected to fall by about $1.5 billion from a year ago to $5 billion.
The company also noted that sales are expected to decline by an additional approximately $1.5 billion year-over-year due to the loss of market exclusivity for certain products. Some blockbuster drugs, such as the company’s pneumonia vaccine Prevnar, are facing increased competition from rivals.
Pfizer Chief Financial Officer Dave Denton told investors in December that the company plans to offer “significant discounts” on its Medicaid business as part of a landmark drug pricing agreement with President Donald Trump, and that the company’s 2026 guidance “also incorporates price compression and margin compression.”
Under the agreement, Pfizer agreed to sell existing drugs to Medicaid patients at the lowest prices offered in other developed countries, and to guarantee the same “most favored nation” prices for new drugs to Medicare, Medicaid, and commercial payers. In return, the company will be exempt from customs duties for three years.
Pfizer’s drugs for rheumatoid arthritis and other inflammatory diseases, Xeljanz and Xeljanz XR, were selected for the third round of Medicare price negotiations in January. The new negotiated price will take effect in 2028.
