Q3 2026 results
| Metric | Result | Change |
|---|---|---|
| Total Revenue | $18.1 billion | 5% increase |
| KEYTRUDA Sales | $8.6 billion | 6% increase |
| WINREVAIR Sales | $694 million | 94% increase |
| GARDASIL Sales | $2 billion | 14% increase |
| Earnings Per Share | $2.49 | Not stated |
Guidance and outlook
- Full-year revenue expected between $66.8 billion and $67.3 billion.
- Full-year EPS expected between $2.77 and $2.82.
- Full-year tax rate expected between 32% and 33%.
- Operating expenses expected between $42.4 billion and $42.9 billion.
How management sounded
Positive (+6 on our -10 to +10 scale). Management raised the midpoint of full-year revenue and EPS guidance and highlighted successful clinical milestones across their oncology and pipeline portfolio. Management sounded more upbeat than on 8% of the 190 calls we cover; most companies sound positive on their own calls, so the comparison says more than the label.
Q&A summary
2027 Outlook
Asked: Analysts asked if 2027 expectations are reflected in consensus and if R&D spend pulls forward trough earnings.
Answer: Management expects moderate top-line growth in 2027, noting investments in the pipeline and launches will drive long-term growth beyond the KEYTRUDA loss of exclusivity.
WINREVAIR and CORIST trial
Asked: Analysts asked for the WINREVAIR one-time benefit and details on the CORIST trial.
Answer: Management noted a $50 million benefit for WINREVAIR in Q3 and clarified that the CORIST trial targets a high unmet need in Group 1 pulmonary hypertension.
Oncology/TroFuse
Asked: Analysts asked about confidence in replicating China data globally for sac-TMT.
Answer: Management noted that while data is not translated exactly, the China data provides important signals that increase confidence in global trial success.
LIPFENDRA launch
Asked: Analysts asked about LIPFENDRA sales and prescription trends.
Answer: Management reported over 11,000 prescriptions from over 6,500 prescribers and noted positive early uptake beyond the PCSK9 marketplace.
What to watch before the next call
- The unwinding of $550 million in purchase timing benefits in the fourth quarter and 2027.
- Regulatory progress for sac-TMT in endometrial cancer and intismeran.
- Policy dynamics in Germany impacting KEYTRUDA growth.
