Merck Raises 2026 Profit Outlook After Keytruda Sales Beat Estimates
The drugmaker lifted its adjusted earnings forecast after quarterly revenue and sales of its newer Keytruda injection exceeded analyst expectations.
Key takeaways
- Merck raised its 2026 adjusted earnings forecast to $2.77-$2.82 per share.
- Third-quarter revenue rose 5% to $18.09 billion, while adjusted earnings were $2.49 per share.
- Keytruda Qlex generated $830 million in quarterly sales.
Merck raised its 2026 adjusted earnings forecast after third-quarter revenue reached $18.09 billion and Keytruda sales topped analyst estimates. The company now expects adjusted earnings of $2.77 to $2.82 per share, up from a previous range of $2.66 to $2.76.
The updated forecast includes a one-time $400 million charge, equal to 12 cents per share, tied to a licensing agreement with Chinese cancer drugmaker SciBrunch. Merck also narrowed the lower end of its 2026 revenue outlook to $66.8 billion, while keeping the upper end at $67.3 billion.
Quarterly revenue rose 5% from a year earlier. Adjusted earnings were $2.49 per share, above the $2.08 analysts expected, while net income fell to $5.07 billion from $5.79 billion a year earlier.
Keytruda brought in $8.60 billion, including $830 million from its newer injectable form, Keytruda Qlex. The Qlex sales figure was above analysts’ $649 million estimate and was its highest quarterly total since launching in 2025.
Winrevair sales increased 93% year over year to $694 million, beating analyst estimates. Gardasil sales reached about $2 billion, also ahead of expectations. As of Thursday afternoon, Merck shares traded at $147.47, up 4.64% from the previous close.
This article was produced with the help of AI technology. Based on reporting by the outlets listed above.
