Pfizer beats Q1-consensus

Pfizer Financial Results Analysis

Pfizer . reported Q1 2021 earnings that have shattered consensus estimates. Adjusted EPS, earnings per share, of $0.93 exceeded analysts' predictions of $0.76 and marked YOY, year-over-year, growth of close to 50%. Pfizer 's profit was $14.6 billion, 44.6% higher than for Q1(January, February, and March) FY 2020 and 8.1% above the analyst's expectations.

Pfizer 's Key Metric: COVID-19 Vaccine Profits

Pfizer outperformed predicted gain when it comes to the critical matric of Pfizer 's COVID -19 vaccination profits. Pfizer 's COVID-19 vaccine is referred to as "BNT162b2" in press releases. This vaccine generated $3.5 billion in terms of revenues for Q1 FY 2021. The predicted revenue by the analysts had $2.2 billion for this product in this time frame. Investors have expected to observe Pfizer 's COVID-19 vaccine revenue for Q1(January, February, March), as it is the primary full quarter of vaccine sales after the company was acknowledged for an emergency authorization late last year. A strong performance in this area is viewed as a reflection of Pfizer 's capability of increasing vaccine production and revenue as it takes on new government supply contracts.

Indeed, Pfizer announced Q1 earnings proclaim that the company has signed contracts to deliver 1.6 billion doses of the vaccine in 2021; this is an additional contract with the governments of Canada and Israel for distributions beyond 2021 as well. Since Pfizer 's COVID-19 vaccine revenue for Q1 was already higher than anticipated, it is easily estimated that this revenue could continue to expand in the future. United states’ Food and Drug Administration is reportedly set to authorize the use of Pfizer ’s vaccine in adolescents between the age bracket of 12 and 15 as early as in the second week of May 2021. For Q1, the vaccine had only received emergency authorization for individuals 16 years of age and older. Pfizer has requested similar adjustments by other regulatory agencies around the world.

Pfizer 's Guidance

Pfizer increased its full-year 2021 guidance, motivated by the strength of its COVID-19 vaccine performance and 8% revenue growth that operationally excludes the product's revenue. The company recently anticipated revenues between $70.5 billion and $72.5 billion, up from $59.4 billion to $61.4 billion, and adjusted EPS between $3.55 and $3.65, up from $3.10 to $3.20.

Pfizer 's Stock Performance

Pfizer shares were up about 1.5% in pre-market trading, resulting announcement of the earnings. In the past year, Pfizer stock has significantly disappointed the broader market, with a one-year trailing total return of 16.3% compared with 47.5% for the S&P 500 as of May 4, 2021.

Pfizer Earnings Call Recap

Alan Bourla, Chief Executive Officer, was optimistic about the future sales growth of Pfizer 's COVID-19 vaccine in an earnings conference call. He said that based on what they have seen, they believe that strong demand for our Covid-19 vaccine -– similar to that of flu vaccines –- is a likely result. Bourla also spoke about the recent marked slowdown in the rate of vaccinations in the United States. He believed that it was “normal” that some people are hesitant to get vaccinated, but Bourla believes that he expects an increase in vaccinations once the FDA authorizes shots for children ages 12 to 15, as it is likely to happen in May.

Pfizer 's following earnings report for Q2 (April, May, June) FY2021 is predicted to be released on Aug. 3, 2021.