01—Abstract
Summary
Summary of the 10-Q filed November 3, 2026. Cited figures are marked; the original filing is the authoritative source.
Pfizer reported total revenues of $16.58 billiona for the third quarter ended September 27, 2026, a slight decrease from $16.65 billion in the same period last year, primarily driven by declining revenues from COVID-19 products, offset by strong growth in Eliquis, Padcev, and the Vyndaqel family.
Excluding COVID-19 products, total revenues increased 7% operationally year-over-year. Net income attributable to Pfizer Inc. common shareholders decreased to $3.24 billionb ($0.56 per diluted share) from $3.54 billion ($0.62 per diluted share) in the prior year's quarter. The company experienced a significant increase in Research and Development expenses and substantial restructuring charges, while also benefiting from the sale of its investment in ViiV and a decrease in acquired in-process R&D expenses.
For the nine months ended September 27, 2026, total revenues grew to $46.07 billionc from $45.02 billion in the prior year, also driven by growth in key products like Eliquis and Padcev, with operational growth of 7% excluding COVID-19 products. Net income for the nine-month period decreased to $5.68 billion ($0.99 per diluted share) from $9.42 billion ($1.65 per diluted share) in the prior year.
This decrease was significantly impacted by substantial intangible asset impairments totaling $4.3 billiond, increased legal charges, and higher R&D expenses, partially offset by the ViiV investment sale. Pfizer continues to focus on cost optimization and strategic investments in its pipeline, while navigating patent expirations and pricing pressures.
02—Key points
Key Highlights
- Total revenues for Q3 2026 were $16.58 billion, relatively flat year-over-year, with a 7% operational increase excluding COVID-19 products.
- Net income attributable to Pfizer Inc. common shareholders for Q3 2026 decreased to $3.24 billion ($0.56 EPS) from $3.54 billion ($0.62 EPS) in Q3 2025.
- Nine-month total revenues increased to $46.07 billion from $45.02 billion year-over-year, with a 7% operational increase excluding COVID-19 products.
- Nine-month net income attributable to Pfizer Inc. common shareholders decreased to $5.68 billion ($0.99 EPS) from $9.42 billion ($1.65 EPS) in the prior year, impacted by significant asset impairments and legal charges.
- Research and Development expenses increased by 18% in Q3 and 15% year-to-date, reflecting strategic investments in oncology and obesity candidates.
- The company recognized substantial restructuring charges and certain acquisition-related costs of $791 million in Q3 2026, compared to $286 million in Q3 2025.
- Pfizer completed the exit of its investment in ViiV for $1.875 billion in cash during the second quarter of 2026, contributing to cash flow.
03—One dollar
04—Financials
Financial Highlights
Figures from 10-QQ3 FY2026filed November 3, 2026Financial Statements
Q3 FY2026 against Q3 FY2025
| Line item | Q3 FY2026Q3 FY2025 | Change |
|---|---|---|
| Revenue | $16.58B$16.65B | −0.4% |
| Cost of Revenue | $4.03B$4.17B | −3.5% |
| Gross Profit | $12.55B$12.48B | +0.6% |
| SG&A Expenses | $3.28B$3.19B | +2.9% |
| Interest Expense | $662.00M$652.00M | +1.5% |
| Net Income | $3.24B$3.54B | −8.4% |
| EPS (Basic) | $0.57$0.62 | −8.1% |
| EPS (Diluted) | $0.56$0.62 | −9.7% |
| Shares Outstanding (Basic) | 5.70B5.68B | +0.3% |
| Shares Outstanding (Diluted) | 5.75B5.71B | +0.6% |
05—Questions
Frequently Asked Questions
What were the primary drivers of revenue performance in the third quarter of 2026?
Total revenues were relatively flat at $16.58 billion compared to $16.65 billion in the prior year's quarter. Key growth drivers included Eliquis, Padcev, the Vyndaqel family, and Nurtec ODT/Vydura. Declines were observed in revenues from COVID-19 products and the Prevnar family. Excluding COVID-19 products, total revenues saw an operational increase of 7%.
What is the impact of the significant asset impairments on the company's financial results?
For the nine months ended September 27, 2026, Pfizer recorded intangible asset impairment charges totaling $4.3 billion. These impairments significantly impacted net income, contributing to the decrease compared to the prior year. The impairments were primarily related to IPR&D assets for a Phase 3 study in NSCLC and developed technology rights for Oxbryta.
How is Pfizer managing its cost structure and what are the implications of its restructuring programs?
Pfizer announced additional savings from its 'Realigning Our Cost Base Program' and the next phase of its 'Manufacturing Optimization Program'. These programs aim to reduce costs in Selling, Informational and Administrative expenses and Cost of Goods Sold, respectively. The company expects to incur significant one-time costs to achieve these savings but anticipates substantial net cost savings through 2029. These initiatives reflect a strategic effort to optimize operations amidst patent expirations and market dynamics.
What is the company's outlook regarding patent expirations and their financial impact?
Pfizer anticipates a significant reduction in revenue from patent-based or regulatory exclusivity expiries between 2026 and 2030, with an expected unfavorable revenue impact of approximately $1.1 billion in 2026. This is a key factor influencing the company's strategy, including its focus on pipeline development and cost-reduction initiatives.
06—Continue