Pfizer Inc. (PFE) exceeded analysts’ expectations for earnings per share (EPS) in the third quarter of 2025, showcasing its focus on long-term growth and efficiency despite a slight decrease in revenue. The company attributed this success to cost management strategies and continued strength in non-COVID products.
The company reported $16.7 billion in Q3 revenues, representing a 6% year-over-year decline largely driven by reduced COVID-19 product sales like Paxlovid and Comirnaty due to lower infection rates and vaccine restrictions. However, the company’s non-COVID portfolio saw healthy growth of 4%, thanks to products like Eliquis and Vyndaqel.
While Q3 EPS fell short of expectations at $0.62 (diluted), adjusted diluted EPS reached $0.87, exceeding forecasts by a significant margin. This demonstrates Pfizer’s ability to optimize costs despite the revenue shift. Moreover, favorable foreign exchange fluctuations contributed an additional $203 million.
Looking ahead, Pfizer is reaffirming its full-year 2025 revenue guidance and raising adjusted diluted EPS guidance to $3.00-$3.15, reflecting confidence in cost savings initiatives and a strong year-to-date performance.
Pfizer’s strategic focus on non-COVID product development and operational efficiency is driving these results. The company plans to achieve approximately $7.2 billion in total cost savings by the end of 2027, further boosting profitability and market share. Strategic acquisitions like the acquisition of Metsera and collaborations with the U.S. Government add long-term clarity and strengthen Pfizer’s position in promising markets.
The author does not hold or have a position in any securities discussed in this article. All stock prices were quoted at the time of writing.