Merck (NYSE:MKR) on Thursday reported first-quarter revenue that fell 9% from the same period a year ago largely due to a steep drop in sales of its Covid antiviral treatment molnupiravir.
Sales of molnupiravir plunged to $392 million during the period, down 88% from the $3.2 billion reported in the first quarter of 2022. Merck said the decrease is primarily the result of lower sales in the U.S., U.K., Japan and Australia.
The company reported total revenue of $14.5 billion during the quarter, down nearly $1.5 billion from the same period a year ago. But excluding the Covid drug, Merck said its revenue grew 11%.
Earnings per share proved to be $1.40 adjusted, vs. $1.32 expected, on revenue of $14.49 billion, vs. $13.78 billion expected.
The pharmaceutical giant posted a net income of $2.82 billion, or $1.11 per share. That compares with a net income of $4.31 billion, or $1.70 per share, for the same period a year ago. Excluding certain items, Merck’s adjusted earnings per share were $1.40 for the period.
The Rahway, New Jersey-based company is now forecasting 2023 sales of $57.7 billion to $58.9 billion, slightly higher than the $57.2 to $58.7 billion guidance provided in early February. The lifted guidance includes approximately $1 billion in sales of molnupiravir.
The company also raised its full-year adjusted earnings outlook to $6.88 to $7.00 per share, from a previous forecast of $6.80 to $6.95 per share.
MKR shares docked $1.08, or 1%, to $112.35.
