Pfizer Inc. (NYSE:PFE) Q4 2022 Earnings Call Transcript

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Dr. Albert Bourla: I’ll take the last one and then Angela will answer the European vaccine and the Paxlovid. As you know, the flu vaccine that we are developing, BioNTech also have an economic position into it. And of course, the COVID vaccine, it is a vaccine that we are sharing with them. So, we are not ready to make any comments regarding the economics about the potential COVID and flu vaccine. Angela, what about the European situation and Paxlovid pricing?

Angela Hwang: So, for Comirnaty in Europe, as you know, this was a multiyear contract that we entered into with the Commission and the member states. And so I think the pricing there is what it is for the contract. And we’re in discussions with the European Commission regarding €˜23 and what the deliveries will look like. Specifically for Pax, I think that was your next question, that is going commercial only later in this year. So, we are now preparing what those pricing scenarios could look like, and we’ll share more at the right time.

Dr. Albert Bourla: Thank you, Angela. And also to repeat, I think David has mentioned it already that in our guidance for this year, we factor only a portion of the European contract. So, we spread the volumes into multiple years, although no agreement has been reached yet. Next question, please.

Operator: Our next question will come from Robyn Karnauskas with Truist.

Robyn Karnauskas: So just to drill down a little bit on Paxlovid. It looks like a IQVIA numbers are implying about 9.3 million versus say the 12 million that you mentioned for 2022. So, I was wondering if you think about the split going forward ex U.S., could it be somewhat similar? Do you think it’ll be more skewed, be more even to the U.S. and ex U.S.? And then my second question is, it also could imply that about half of your 20 million contracts were used in 2022. So, how do you think about — could it be very minimal revenue as you draw down that Paxlovid and will that go into a stockpile? Thanks.

Dr. Albert Bourla: Angela?

Angela Hwang: Well, let’s start with the U.S. Paxlovid. So, in 2022, when we launched Paxlovid, we — the first quarter of Paxlovid, the first quarter post launch, we did not really have sufficient supply because we were still ramping up. So, the total number of doses that were used in the U.S. for Paxlovid is actually less than the demand. So, that’s why you see — we used about 8.6 million, 8.9 million doses in the U.S. when actually demand was much more than that. Then you asked a question about IQVIA, the difference. As you know, IQVIA doesn’t capture all the channels, so you’re not going to see an exact match. But I think that in general for 2023, the number of doses that you will see for the U.S. and for ex U.S. is just going to be a function of the contracts that were made, the deliveries that we have to make in each of the countries and also the timing of the commercialization. And it just looks different in every single country.

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