A look at Pfizer’s earnings
Pfizer (PFE) released its Q2 2018 earnings today, reporting another strong quarter for the Innovative Health business. The company reported 4% growth in revenues to ~$13.5 billion for Q2 2018, compared to ~$12.9 billion in Q2 2017.
The above chart compares revenues and earnings per share (or EPS) for Pfizer since Q1 2017. Pfizer beat Wall Street analysts’ estimates for EPS and revenues, reporting EPS of $0.81 on revenues of ~$13.5 billion, compared to estimates of $0.74 on revenues of ~$13.3 billion in Q2 2018.
Q2 2018 performance
Pfizer’s top line increased 4% to $13,466 million in Q2 2018, including 2% growth in operating revenues and a 2% favorable impact of foreign exchange during the quarter.
US markets reported a 2% decline in revenues to $6.3 billion in Q2 2018, compared to revenues of ~$6.3 billion in Q2 2017. The decline was driven by a 14% decline in sales of essential health products to ~$1.6 billion, partially offset by 3% growth in sales of innovative health products to ~$4.6 billion in Q2 2018.
International markets reported 11% growth in revenues to ~$7.2 billion in Q2 2018, including 5% operational growth and a 6% favorable impact of foreign exchange.
Updates on 2018 guidance
Pfizer updated its 2018 guidance. It now expects revenues in the range of $53.0 billion to $55.0 billion for 2018, previously estimated in the range of $53.5 billion–55.5 billion. Research and development expenses are now estimated in the range of $7.7 billion–$8.1 billion. Adjusted diluted EPS are now estimated at $2.95–$3.05 for 2018.