Merck reports strong third-quarter results and raises profit outlook

Merck has exceeded Wall Street expectations for its third quarter, leading the company to raise its full-year profit guidance. Adjusted earnings are now projected to be between $2.77 and $2.82 per share, up from the previous range of $2.66 to $2.76.

Total sales grew by 5% to over $18 billion, driven largely by the cancer drug Keytruda, which generated $8.60 billion in quarterly sales. The newer injectable formulation, Keytruda Qlex, contributed $830 million, surpassing analyst estimates. This product is central to Merck’s strategy to maintain revenue as the original version of Keytruda approaches patent expirations in 2028.

Other notable performers included the HPV vaccine Gardasil, which saw approximately $2 billion in sales, and Winrevair, which generated $694 million, a 93% increase from the prior year. Despite a one-time $400 million charge related to a licensing agreement with Chinese firm SciBrunch, Merck narrowed its 2026 revenue guidance to a range of $66.8 billion to $67.3 billion.