Pfizer Q1 2026 Earnings: Revenue Up, EPS Down
Pfizer Q1 2026 earnings showed revenue growth while adjusted EPS fell as R&D rose, a mix that may push traders to reprice R&D risk and growth exposure.
KEY TAKEAWAYS
- Revenue was $14.5 billion, up 5.0% reported and 2.0% operational versus year-ago.
- Adjusted diluted EPS fell 18.0% to $0.75, tied to a 12.0% rise in R&D spending.
- Reaffirmed 2026 guidance with revenues $59.5-62.5 billion and adjusted EPS $2.80-3.00.
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Pfizer Inc. (PFE) reported first-quarter 2026 earnings on May 5, showing revenue growth despite a decline in adjusted earnings as the company increased research and development (R&D) spending and reaffirmed its full-year guidance.
Quarter Results and Revenue Drivers
Pfizer posted first-quarter revenue of $14.5 billion, up 5.0% on a reported basis and 2.0% operationally compared with the year-ago quarter. Excluding sales of Comirnaty and Paxlovid, operational revenue rose 7.0%.
Reported net income fell 9.0% year over year to $2.7 billion, while reported diluted earnings per share (EPS) declined 10.0% to $0.47. Adjusted diluted EPS dropped 18.0% to $0.75, a decrease the company attributed to a 12.0% operational increase in R&D spending focused on oncology and obesity candidates.
Revenue from launched and acquired products grew 22.0% operationally, led by Padcev and Eliquis. Oncology biosimilars rose 52.0%, Nurtec 41.0%, Lorbrena 32.0%, Xeljanz 34.0%, and Abrysvo 31.0%. Pandemic-era products continued to decline sharply, with Comirnaty down 59.0% and Paxlovid down 63.0% operationally.
Selling, informational, and administrative expenses fell 4.0% operationally year over year, while the cost of sales increased by 3.8 percentage points as a share of revenue.
Guidance and Capital Allocation
Pfizer reaffirmed its full-year 2026 guidance, projecting revenues between $59.5 billion and $62.5 billion and adjusted diluted EPS of $2.80 to $3.00. The company expects adjusted selling, informational, and administrative expenses of $12.5 billion to $13.5 billion, adjusted R&D expenses of $10.5 billion to $11.5 billion, and an effective tax rate near 15.0%.
Management said it does not anticipate share repurchases in 2026 and reported $3.3 billion of remaining authorization as of May 5. The company expects roughly 4.0% operational revenue growth at the midpoint, excluding COVID products and loss-of-exclusivity impacts. David Denton, chief financial officer, said, "Today, we are reaffirming our full-year 2026 financial guidance."
Pipeline Milestones and Regulatory Updates
Pfizer highlighted recent clinical and regulatory developments. The FDA accepted a supplemental biologics license application for Hympavzi (marstacimab) with priority review in February 2026, seeking expanded hemophilia A/B indications for patients age six and older. The Prescription Drug User Fee Act (PDUFA) date is set for the second quarter of 2026.
Padcev (enfortumab vedotin) showed positive Phase 3 EV-304 results in February, demonstrating a 47.0% risk reduction (hazard ratio 0.53) when combined with pembrolizumab in muscle-invasive bladder cancer. The Phase 2 FOURLIGHT-1 topline for atirmociclib in March reported a progression-free survival hazard ratio of 0.60 in hormone receptor-positive, HER2-negative breast cancer after CDK4/6 therapy.
The Phase 3 VALOR topline for the Lyme vaccine PF-07307405/LB6V in March showed 73–75% efficacy but missed a statistical criterion. Pfizer said regulatory submissions are planned.
These near-term regulatory milestones, particularly the Hympavzi PDUFA in the second quarter, represent key upcoming catalysts for the company.
