Merck hikes revenue outlook as new drug sales grow, but cuts profit guidance due to deal charges
Merck cut its profit guidance due to a charge tied to its acquisition of biotech company Terns Pharmaceuticals.
Merck has raised its revenue outlook for the year 2026, anticipating it to fall between $66.3 billion and $67.3 billion, following strong growth from a series of new products. However, the pharmaceutical giant has also lowered its profit guidance due to charges related to the acquisition of biotech company Terns Pharmaceuticals and Cidara Therapeutics.
The adjusted earnings per share now stand at $2.66 to $2.76, down from the previous range of $5.04 to $5.16 per share, after including a $5.7 billion, or $2.31 per share, charge tied to the Terns deal and a $9 billion, or $3.62 per share, charge related to the acquisition of Cidara Therapeutics.
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