Pfizer reported a net loss for the fourth quarter of 2025, as declining sales of its COVID-19 products outweighed gains in other areas of its pharmaceutical business. The company posted a loss of $1.65 billion, or 29 cents per share, compared to a profit of $410 million, or 7 cents per share, during the same period last year. However, adjusted earnings per share came in at 66 cents, exceeding analyst expectations of 57 cents.
The reported revenue for the quarter was $17.56 billion, a slight decrease of around 1% compared to the $17.6 billion reported in the fourth quarter of 2024. Despite this overall decline, revenue surpassed the Zacks Consensus Estimate of $16.93 billion and the Wall Street expectation of $16.95 billion. The company attributes the revenue decrease primarily to reduced demand for its COVID-19 vaccine, Comirnaty, and antiviral treatment, Paxlovid.
Pfizer’s performance reflects a broader trend in the pharmaceutical industry as the acute phase of the COVID-19 pandemic recedes. Demand for both Comirnaty and Paxlovid has fallen significantly, with Comirnaty revenues down 35% and Paxlovid revenues down 70% in the fourth quarter. This decline is attributed to lower COVID-19 infection rates and changes in vaccine recommendations, reducing the eligible population for Comirnaty.
Despite the challenges posed by declining COVID-19 product sales, Pfizer highlighted growth in other segments of its business. Sales in the Specialty Care unit increased by 6% to $4.77 billion, and Oncology sales rose 8% to $4.44 billion. Within the Primary Care segment, alliance revenues and direct sales from Eliquis increased by 8% to $2.02 billion, driven by global demand and favorable pricing in the United States. Global Prevnar family revenues also saw an 8% increase to $1.71 billion, boosted by higher revenues in both the U.S. And international markets.
Pfizer is actively pursuing strategies to mitigate the impact of declining COVID-19 revenues and patent expirations on older drugs. A key component of this strategy is the $10 billion acquisition of Metsera, an obesity biotech company. The company showcased the potential of this investment on , reporting mid-stage data indicating that an obesity injection acquired from Metsera can be administered monthly and deliver substantial weight loss.
Looking ahead, Pfizer reaffirmed its modest 2026 outlook, which initially rattled investors in December. The company projects adjusted earnings per share between $2.80 and $3.00 for 2026, and revenue between $59.5 billion and $62.5 billion. This guidance anticipates a continued decline in COVID-19 product revenue, estimating a $1.5 billion decrease compared to 2025, and a $1.5 billion negative impact from the loss of exclusivity for certain products.
Pfizer also plans to reduce costs by approximately $7.7 billion by the end of 2027 through two separate initiatives. This cost-cutting measure is intended to offset declining revenues and support investments in its pipeline, including the development of new drugs like the obesity treatment acquired from Metsera.
Despite the better-than-expected earnings report, Pfizer shares fell more than 3% on . This suggests that investors remain cautious about the company’s ability to navigate the challenges of declining COVID-19 revenues and successfully transition to a new growth phase. The market’s reaction highlights the importance of Pfizer’s pipeline investments and its ability to deliver on its cost-cutting targets.
For the full year 2025, Pfizer reported a roughly 2% decrease in revenue to $62.6 billion. However, excluding the impact of COVID-19 products, the company experienced operational growth of 6%. This indicates that Pfizer’s underlying business is performing relatively well, despite the headwinds from the declining pandemic-related revenue stream.
The company’s revenue is reported under three segments: Primary Care, Specialty Care, and Oncology. The Primary Care segment experienced a 13% operational decline, while Specialty Care saw a 6% increase and Oncology rose by 8%. This segment performance underscores the diversification of Pfizer’s portfolio and its increasing reliance on non-COVID-19 products for revenue generation.