Pfizer shares fall 5% as forecast for vaccine sales falls short

The oral Covid-19 antiviral Paxlovid has shown promise in cutting hospitalisations and deaths in high-risk patients

The Pfizer vaccine, based on the mRNA technology that is also behind rival Moderna's shots, is used in more than 160 countries.

Pfizer forecast $54bn (€47.6bn) in full-year sales of its Covid-19 vaccine and antiviral pill that fell short of lofty estimates, sending its shares down 5%.

Although Pfizer raised its forecast for the vaccine, developed with Germany's BioNTech, by $1bn to $32bn, the drug-maker warned that it does not expect final sales for the year to top that figure by much.

Analysts have forecast sales of $33.79bn for the vaccine in 2022, according to Refinitiv data.

"There is less potential upside to this guidance through the year, compared to the situation we faced in 2021 when the vaccine was newly available and few people had received any doses of the vaccine," chief financial officer Frank D’Amelio said. 

The company, however, said its forecast for oral Covid-19 antiviral Paxlovid could increase. Pfizer said it expects $22bn in 2022 sales, compared with estimates of $22.88bn, according to 10 analysts polled by Refinitiv.

JP Morgan analyst Chris Schott said in a research note that it is unclear whether Pfizer's sales from its Covid-19 products are sustainable in the long term. Pipeline development and capital deployment will be key for the drug-maker to outperform expectations, he said.

Overall, Pfizer forecast sales of $98bn to $102bn for the year, also below estimates of $105.48bn. The sales outlook, however, pointed to a second straight year of record sales for the drug-maker.

The vaccine, based on the mRNA technology that is also behind rival Moderna's shots, is used in more than 160 countries.  Pfizer aims to make more than 4 billion doses of the shot in 2022. That compares with last year's 3 billion doses.

The company reported $36.8 billion in sales of the vaccine in 2021.

Paxlovid has shown promise in cutting hospitalisations and deaths in high-risk patients, and the company expects to produce at least 120 million courses of the pill this year. 

Reuters