Merck Raises Full-Year Outlook as New Drug Sales Offset Generic Losses
Merck (MRK) reported third-quarter sales of approximately $18.1 billion, a 5% increase year-over-year. While the growth was bolstered by roughly $550 million in favorable purchase timing from wholesalers, the company's newer products are showing strong momentum. Specifically, Keytruda Qlex and Winrevair are scaling rapidly, helping to mitigate significant revenue declines in older drugs like Bridion, which saw sales drop 67% due to generic competition. Despite a dip in earnings per share caused by increased research spending and interest expenses, Merck raised its full-year non-GAAP tax rate outlook to 32%-33%, down from the previous 35%-36%. This lower tax rate is a primary driver for the improved earnings guidance. Investors are closely monitoring whether the fourth quarter will see a reversal of the current sales boost due to the timing of customer orders.
Tickers: $MRK
Topics: earnings report pharmaceuticals product performance revenue growth
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Part of the story Merck Raises Full-Year Outlook as New Drug Sales Offset Generic Losses (3 articles)