10-KPeriod: FY2021

PFIZER INC Annual Report, Year Ended Dec 31, 2021

Filed February 24, 2022For Securities:PFE

Summary

Pfizer Inc. reported robust financial performance for the fiscal year ended December 31, 2021, driven significantly by the remarkable success of its COVID-19 vaccine, Comirnaty, which accounted for a substantial portion of the company's $81.3 billion in total revenues. This surge in revenue, a 95% increase year-over-year, also saw a significant boost in operational cash flow and diluted earnings per share. The company has strategically focused on its innovative medicines and vaccines portfolio, with recent business development activities including acquisitions and collaborations aimed at strengthening its pipeline in areas like immuno-oncology and inflammatory diseases. Pfizer's operational structure was refined into two segments: Biopharma and Pfizer CentreOne (PC1), with Biopharma being the sole reportable segment. The company continues to prioritize scientific advancement and patient access, while also navigating a complex regulatory and pricing environment across its global operations.

Financial Highlights

56 data points
Beta

Revenue

$81.29B

62.1% Gross Margin

Net Income

$21.98B

27.0% Net Margin

EPS (Diluted)

$3.85

Total Assets

$181.48B

Cash & Equivalents

$1.94B

Free Cash Flow

$29.87B

Financial Statements
Beta
Revenue$81.29B
Cost of Revenue$30.82B
Gross Profit$50.47B
SG&A Expenses$12.70B
Operating Income$22.41B
Interest Expense$1.29B
Net Income$21.98B
EPS (Basic)$3.92
EPS (Diluted)$3.85
Shares Outstanding (Basic)5.60B
Shares Outstanding (Diluted)5.71B

Key Highlights

  • 1Total revenues reached $81.3 billion, a 95% increase from 2020, largely driven by the COVID-19 vaccine, Comirnaty.
  • 2Net income attributable to Pfizer Inc. common shareholders was $21.98 billion, a substantial increase from $9.16 billion in 2020.
  • 3Diluted EPS was $3.85, significantly up from $1.63 in the prior year.
  • 4The company completed significant business development activities in 2021, including collaborations with Arvinas, Biohaven, and Beam, and the acquisition of Trillium, to enhance its pipeline.
  • 5Pfizer reorganized its commercial operations into two segments: Biopharma (reportable segment) and Pfizer CentreOne (PC1).
  • 6Comirnaty (COVID-19 vaccine) accounted for 45% of total revenues ($36.8 billion) in 2021.
  • 7The company maintained strong operating cash flow, generating $32.6 billion in 2021.

Frequently Asked Questions

Pfizer's primary revenue driver in 2021 was its COVID-19 vaccine, Comirnaty (BNT162b2), which generated $36.8 billion in revenue and represented 45% of the company's total revenue for the year.

In 2021, Pfizer actively pursued strategic growth through business development. Key activities included a global collaboration with Arvinas for ARV-471 (a breast cancer treatment), a collaboration with Biohaven to commercialize migraine treatments outside the U.S., the acquisition of Trillium (an immuno-oncology company), and a research collaboration with Beam for rare genetic diseases. These moves underscore Pfizer's commitment to advancing its pipeline and expanding its therapeutic reach.

As of the fourth quarter of 2021, Pfizer reorganized its commercial operations into two segments: Biopharma and Pfizer CentreOne (PC1). Biopharma is its primary innovative science-based biopharmaceutical business and is the sole reportable segment. PC1 is its global contract development and manufacturing organization. This structure reflects Pfizer's strategy to focus on its innovative medicines and vaccines.

Pfizer identified several key risks, including managed care trends leading to pricing pressures, competition from generic and biosimilar products, concentration of revenue from a few key products, research and development risks (high costs, long timelines, potential failures), global operations risks (currency fluctuations, geopolitical events), product manufacturing and sales/marketing risks, intellectual property protection challenges, and cybersecurity threats. The impact of the COVID-19 pandemic also continued to be a significant risk factor.