Key facts
- Merck's third-quarter revenue reached $18.1 billion, beating estimates of $17.3 billion.
- Adjusted earnings per share were $2.49, exceeding expectations of $2.08.
- Keytruda sales grew 6% to $8.6 billion.
- Gardasil sales rose 14% to nearly $2 billion.
- Merck raised its full-year revenue forecast to $66.8 billion-$67.3 billion.
- Full-year adjusted earnings are now projected at $2.77-$2.82 per share.
Merck & Co. Inc. posted higher-than-expected third-quarter earnings on Thursday, driven by strong demand for its blockbuster cancer drug Keytruda and its HPV vaccine Gardasil. The US drugmaker reported third-quarter revenue of $18.1 billion, topping analysts' average estimate of $17.3 billion. Adjusted earnings were $2.49 per share, ahead of expectations for $2.08 per share. Sales of immunotherapy Keytruda rose 6% from the year-ago quarter to $8.6 billion, beating analysts' estimates of $8.0 billion. Gardasil sales rose 14% to just under $2 billion, compared with Wall Street estimates of $1.8 billion. About $550 million of the company's growth in the quarter was due to purchases of drugs being made earlier than expected, the company said. Pulmonary arterial hypertension drug Winrevair generated $694 million in sales, up 94% from last year and above Wall Street expectations of $645 million. Merck raised the low end of its full-year revenue forecast to $66.8 billion from $66.3 billion previously, while maintaining the prior high-end projection of $67.3 billion. The company also increased its adjusted earnings forecast and now expects a profit of $2.77 to $2.82 per share, compared with its prior outlook of $2.66 to $2.76 per share. Last week, Merck and partner Moderna published data showing their mRNA cancer vaccine significantly cut the risk of death or recurrence of melanoma when combined with Keytruda.