The market for vaccines and treatments used in managing COVID-19 has shrunk by billions of dollars a year. Forced to rebuild their business, pharmaceutical companies like Pfizer Inc (NYSE: PFE) responded by slashing costs and shifting their focus to revolutionizing cancer treatment.
Smaller pharma players are also making history when it comes to oncology.
One such example is Mainz Biomed N.V. (NASDAQ: MYNZ), a molecular genetics diagnostic company specialized in early cancer diagnostics. Last week, Mainz Biomed announced it enhanced its colorectal cancer screening test, ColoAlert, a non-invasive at-home test that combines the analysis of cell DNA for specific tumor markers with the fecal immunochemical test (FIT). Revolutionizing CRC screening with mRNA biomarkers and a proprietary AI machine learning algorithm, ColoAlert is already marketed across Europe while Mainz Biomed pursues its FDA approval in the U.S.
Allowing for a convenient early screening that literally saves lives as early detection of CRC means a 90% survival rate, Mainz Biomed went even further by identifying pre-cancerous lesions known as advanced adenomas and therefore, empowered practitioners to even prevent CRC altogether. By introducing a new DNA stabilizing buffer to ColoAlert, Manz Biomed will reduce the need for retesting, enabling the delivery screening results within a few days after the laboratory receives the sample. Mainz Biomed also redesigned ColoAlert's kit for better usability.
Mainz Biomed is also developing a screening test for pancreatic cancer, PancAlert. With its findings were recognized at the American Society of Clinical Oncology and Digestive Disease Week, Mainz Biomed has further solidified its credibility in the field. So, both big and smaller players across the pharmaceutical industry have their eyes set on improving oncology.
Second-Quarter Revenue and Adjusted Earnings Topped Estimates
Fueled by cancer and heart drugs, Pfizer raised its full-year outlook as the drugmaker works to slash costs. Merck & Co Inc (NYSE: MRK) also blew past estimates, thanks in part to its blockbuster immunotherapy drug Keytruda that is dominating the cancer treatment front. Together with Moderna (NASDAQ: MRNA), Merck developed an experimental mRNA cancer vaccine that combined with Keytruda, has been showing positive data in a combined study. With its second quarter results, Merck showed more than a strong business momentum. Merck demonstrated it is all in when it comes to advancing ts diverse pipeline.
Pfizer's Second Quarter Highlights
For the quarter ended on June 30, Pfizer reported revenue grew 3% YoY to $13.28 billion, marking its first quarter of sales growth since late 2022. Excluding Covid products, revenue grew 14% on an operational basis.
Heart disease drug, Vyndaqel brought in $200 million, surpassing LSEG's consensus estimate of $1.32 billion. Cancer therapy Pancev brought in $394 million, also topping estimates of $362 million. Blood thinner Eliquis, which is co-marketed by Bristol-Myers Squibb Company (NYSE: BMY), brought in $1.88 billion as sales grew 7% YoY.
But its Covid antiviral drug Paxlovid brought in $251 million as sales grew 76% YoY because of increased infection rates, greater demand in certain international markets, as well favorable YoY comparisons as Paxlovid did not have any U.S. sales ahead of its transition to the commercial market.
Sales from newly acquired Seagen were $845 million, including $394 million from bladder cancer treatment Padcev and $279 million from lymphoma-targeting Adectris.
The resulting net income amounted to $41 million, or 1 cent per share. Excluding certain items, Pfizer earned 60 cents for the quarter, beating LSEG's estimate of 46 cents.
A Lifted Outlook
Fueled by new cancer treatments acquired through its $43 billion deal for Seagen and strong sales of its heart disease drug, Pfizer now expects full-year earnings in the range of $2.45 to $2.65 per share, on the back of revenue ranging from $59.5 billion to $62.5 billion. Previously, Pfizer guided for a more modest earnings per share range between $2.15 and $2.35 per share.
Also Pfizer raised its full-year sales forecast for its antiviral Pavloxid, used in high-risk COVID cases, by $500 million to $3.5 billion.
Pfizer is focused on stabilizing its business, but to win back Wall Street's support, it needs to win a 50-year-old war.
Pfizer accentuated the growth achieved from acquired drugs, recently launched treatments and other key products while executing its cost-cutting roadmap as it remains on track to save as much as $4 billion this year. With Covid, Pfizer did the impossible by developing the shot of a lifetime. For its post-Covid-era, it also has an impossible mission ahead as it tries to win the war against cancer, an enemy that the pharmaceutical industry has been trying to figure out for more than half of a century.