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Segment, Geographic and Other Revenue Information
 6 Months Ended
Jul. 02, 2023
Segment Reporting [Abstract]  
Segment, Geographic and Other Revenue Information Segment, Geographic and Other Revenue Information
A. Segment Information
We manage our commercial operations through two operating segments, each led by a single manager: Biopharma and Business Innovation, an operating segment established in the first quarter of 2023 that includes PC1, our contract development and manufacturing organization and a leading supplier of specialty active pharmaceutical ingredients, and Pfizer Ignite, a recently launched offering that provides strategic guidance and end-to-end R&D services to select innovative biotech companies that align with Pfizer’s R&D focus areas. Biopharma is the only reportable segment. Each operating segment has responsibility for its commercial activities. Regional commercial organizations market, distribute and sell our products and are supported by global platform functions that are responsible for the research, development, manufacturing and supply of our products and global corporate enabling functions. Biopharma receives its R&D services from WRDM and GPD. These services include IPR&D projects for new investigational products and additional indications for in-line products. Each operating segment has a geographic footprint across developed and emerging markets. Our chief operating decision maker uses the revenues and earnings of the operating segments, among other factors, for performance evaluation and resource allocation.
Other Business Activities and Reconciling Items––Other business activities include the operating results of Business Innovation as well as certain pre-tax costs not allocated to our operating segment results, such as costs associated with: (i) R&D and medical expenses managed by our WRDM organization and costs associated with our GPD organization; (ii) corporate enabling functions and other corporate costs; (iii) overhead costs primarily associated with our manufacturing operations; and (iv) our share of earnings from Haleon/the Consumer Healthcare JV. Reconciling items include the following items, transactions and events that are not allocated to our operating segments: (i) all amortization of intangible assets; (ii) acquisition-related items; and (iii) certain significant items, representing substantive and/or unusual, and in some cases recurring, items that are evaluated on an individual basis by management and that, either as a result of their nature or size, would not be expected to occur as part of our normal business on a regular basis.
Segment Assets––We manage our assets on a total company basis, not by operating segment, as our operating assets are shared or commingled. Therefore, our chief operating decision maker does not regularly review any asset information by operating segment and, accordingly, we do not report asset information by operating segment. Total assets were $220 billion as of July 2, 2023 and $197 billion as of December 31, 2022.
Selected Income Statement Information
The following provides selected income statement information by reportable segment:
Three Months EndedSix Months Ended
 Revenues
Earnings(a)
Revenues
Earnings(a)
(MILLIONS)July 2,
2023		July 3,
2022		July 2,
2023		July 3,
2022		July 2,
2023		July 3,
2022		July 2,
2023		July 3,
2022
Reportable Segment:
Biopharma$12,418 $27,425 $7,003 $17,166 $30,389 $52,748 $17,939 $30,557 
Other business activities(b)
316 317 (2,871)(3,384)626 655 (5,605)(5,812)
Reconciling Items:
Amortization of intangible assets(1,184)(822)(2,287)(1,657)
Acquisition-related items(387)(82)(550)(269)
Certain significant items(c)
(293)(1,431)(958)(2,322)
$12,734 $27,742 $2,269 $11,447 $31,015 $53,402 $8,539 $20,497 
(a)Income from continuing operations before provision/(benefit) for taxes on income. Biopharma’s earnings include dividend income from our investment in ViiV of $91 million in the second quarter of 2023 and $69 million in the second quarter of 2022, and $183 million in the first six months of 2023 and $125 million in the first six months of 2022. In connection with the organizational changes effective in the third quarter of 2022, certain functions transferred between Biopharma and corporate enabling functions and certain activities were realigned within the GPD organization. We have reclassified $58 million of costs in the second quarter of 2022 and $105 million in the first six months of 2022 from corporate enabling functions, which are included in Other business activities, to Biopharma to conform to the current period presentation.
(b)Other business activities include revenues and costs associated with Business Innovation and costs that we do not allocate to our operating segments, per above, including acquired IPR&D expenses in the periods presented. Earnings in the second quarter and first six months of 2023 include approximately $140 million and $260 million, respectively, of write-offs to Cost of sales of inventory related to COVID-19 products that exceeded or were expected to exceed their approved shelf-lives prior to being used. Earnings in the second quarter and first six months of 2022 included a $450 million write-off to Cost of sales of inventory related to COVID-19 products that exceeded or were expected to exceed their approved shelf-lives prior to being used.
(c)Certain significant items are substantive and/or unusual, and in some cases recurring, items (as noted above). Earnings in the second quarter and first six months of 2022 included, among other items, net losses on equity securities of $539 million and $1.2 billion, respectively, recorded in Other (income)/deductions––net. See Note 4.
B. Geographic Information
The following summarizes revenues by geographic area:
 Three Months EndedSix Months Ended
(MILLIONS)July 2,
2023		July 3,
2022		%
Change		July 2,
2023		July 3,
2022		%
Change
United States$6,185 $11,222 (45)$14,692 $20,140 (27)
Developed Europe2,415 5,480 (56)5,236 11,569 (55)
Developed Rest of World1,305 5,034 (74)3,778 8,320 (55)
Emerging Markets2,828 6,006 (53)7,308 13,373 (45)
Revenues$12,734 $27,742 (54)$31,015 $53,402 (42)
In May 2023, we and our collaboration partner, BioNTech, amended our contract with the EC to deliver COVID-19 vaccines to the EU. The amended agreement includes rephasing of delivery of doses annually through 2026 and an aggregate volume reduction, providing additional flexibility for EU member states. The EC will maintain access to future adapted COVID-19 vaccines and the ability to donate doses, in alignment with the original agreement. See Note 13C.
C. Other Revenue Information
Significant Customers––For information on our significant wholesale customers, see Note 17C in our 2022 Form 10-K. Additionally, revenues from the U.S. government represented 1% and 9% of total revenues for the three and six months ended July 2, 2023, respectively, and 26% and 22% of total revenues for the three and six months ended July 3, 2022, respectively. Accounts receivable from the U.S. government represented less than 1% and 4% of total trade accounts receivable as of July 2, 2023 and December 31, 2022, respectively. Revenues and accounts receivable from the U.S. government primarily represent sales of Paxlovid and Comirnaty.
Significant Product Revenues
The following provides detailed revenue information for several of our major products:
(MILLIONS)Three Months EndedSix Months Ended
PRODUCTPRIMARY INDICATION OR CLASSJuly 2,
2023		July 3,
2022		July 2,
2023		July 3,
2022
TOTAL REVENUES$12,734 $27,742 $31,015 $53,402 
GLOBAL BIOPHARMACEUTICALS BUSINESS (BIOPHARMA)(a)
$12,418 $27,425 $30,389 $52,748 
Primary Care$5,810 $20,979 $17,315 $39,830 
Comirnaty direct sales and alliance revenues(b)
Active immunization to prevent COVID-19
1,488 8,848 4,552 22,075 
PaxlovidCOVID-19 in certain high-risk patients143 8,115 4,212 9,585 
Eliquis alliance revenues and direct salesNonvalvular atrial fibrillation, deep vein thrombosis, pulmonary embolism1,762 1,745 3,636 3,537 
Prevnar familyActive immunization to prevent pneumonia, invasive disease and otitis media caused by Streptococcus pneumoniae1,388 1,429 2,981 2,994 
Nurtec ODT/VyduraAcute treatment of migraine and prevention of episodic migraine247 — 414 1 
Premarin familySymptoms of menopause95 115 207 217 
BMP2Bone graft for spinal fusion84 75 170 142 
FSME-IMMUN/TicoVacActive immunization to prevent tick-borne encephalitis disease101 68 146 110 
NimenrixActive immunization against invasive meningococcal ACWY disease38 65 78 142 
All other Primary CareVarious463 519 919 1,026 
Specialty Care$3,653 $3,358 $7,264 $6,863 
Vyndaqel familyATTR-CM and polyneuropathy782 552 1,468 1,164 
Xeljanz
RA, PsA, UC, active polyarticular course juvenile idiopathic arthritis, ankylosing spondylitis
469 430 706 802 
SulperazonBacterial infections177 210 497 420 
Enbrel (Outside the U.S. and Canada)
RA, juvenile idiopathic arthritis, PsA, plaque psoriasis, pediatric plaque psoriasis, ankylosing spondylitis and nonradiographic axial spondyloarthritis
219 257 419 537 
Ig Portfolio(c)
Various163 125 288 232 
Inflectra
Crohn’s disease, pediatric Crohn’s disease, UC, pediatric UC, RA in combination with methotrexate, ankylosing spondylitis, PsA and plaque psoriasis
74 137 252 272 
ZaviceftaBacterial infections132 100 248 204 
GenotropinReplacement of human growth hormone74 91 222 171 
BeneFIXHemophilia B106 113 215 225 
ZithromaxBacterial infections44 54 194 180 
MedrolAnti-inflammatory glucocorticoid80 79 173 155 
OxbrytaSickle cell disease77 — 148 — 
SomavertAcromegaly65 64 131 132 
FragminTreatment/prevention of venous thromboembolism59 72 117 142 
Refacto AF/XynthaHemophilia A56 64 116 129 
VfendFungal infections56 54 107 119 
CresembaFungal infections54 33 101 73 
BicillinBacterial infections53 48 97 73 
CibinqoAtopic dermatitis38 1 54 6 
All other Anti-infectivesVarious269 286 550 603 
All other Specialty CareVarious606 586 1,159 1,224 
Oncology$2,956 $3,088 $5,811 $6,055 
IbranceHR-positive/HER2-negative metastatic breast cancer1,247 1,320 2,391 2,557 
Xtandi alliance revenuesmCRPC, nmCRPC, mCSPC305 290 564 558 
InlytaAdvanced RCC262 274 521 508 
BosulifPhiladelphia chromosome–positive chronic myelogenous leukemia154 156 304 284 
Zirabev
Treatment of mCRC; unresectable, locally advanced, recurrent or metastatic NSCLC; recurrent glioblastoma; metastatic RCC; and persistent, recurrent or metastatic cervical cancer
106 138 235 286 
Lorbrena
ALK-positive metastatic NSCLC
121 77 234 149 
(MILLIONS)Three Months EndedSix Months Ended
PRODUCTPRIMARY INDICATION OR CLASSJuly 2,
2023		July 3,
2022		July 2,
2023		July 3,
2022
Ruxience
Non-hodgkin’s lymphoma, chronic lymphocytic leukemia, granulomatosis with polyangiitis (Wegener’s Granulomatosis) and microscopic polyangiitis
100 113 214 237 
XalkoriALK-positive and Proto-Oncogene 1, Receptor Tyrosine Kinase-positive advanced NSCLC86 118 197 244 
RetacritAnemia87 106 180 221 
Bavencio alliance revenuesLocally advanced or metastatic urothelial carcinoma; metastatic Merkel cell carcinoma; immunotherapy and tyrosine kinase inhibitor combination for patients with advanced RCC83 58 168 125 
AromasinPost-menopausal early and advanced breast cancer72 59 149 121 
BesponsaRelapsed or refractory B-cell acute lymphoblastic leukemia 59 58 117 109 
Braftovi
In combination with Mektovi for metastatic melanoma in patients with a BRAFV600E/K mutation and, in combination with Erbitux® (cetuximab)(d), for the treatment of BRAFV600E -mutant mCRC after prior therapy
50 51 99 98 
SutentAdvanced and/or metastatic RCC, adjuvant RCC, refractory gastrointestinal stromal tumors (after disease progression on, or intolerance to, imatinib mesylate) and advanced pancreatic neuroendocrine tumor45 97 94 211 
Mektovi
In combination with Braftovi for metastatic melanoma in patients with a BRAFV600E/K mutation
43 44 83 84 
TrazimeraHER2-positive breast cancer and metastatic stomach cancers33 46 67 98 
All other OncologyVarious102 82 194 163 
BUSINESS INNOVATION(a)
$316 $317 $626 $655 
Pfizer CentreOne(e)
Various306 317 611 655 
Pfizer IgniteVarious10 — 14 — 
Total Alliance revenues included above$1,967 $2,317 $4,028 $4,631 
(a)See Note 1A in our 2022 Form 10-K for information about our recent organizational changes within Biopharma. See Note 13A above for information about Business Innovation. Prior-period financial information has been revised to reflect the current period presentation.
(b)Excludes revenues for certain Comirnaty-related manufacturing activities performed on behalf of BioNTech, which are included in the PC1 contract development and manufacturing organization. See footnote (e) below.
(c)Immunoglobulin (Ig) portfolio includes the revenues from Panzyga, Octagam and Cutaquig.
(d)Erbitux® is a registered trademark of ImClone LLC.
(e)PC1 includes revenues from our contract manufacturing, including certain Comirnaty-related manufacturing activities performed on behalf of BioNTech ($6 million and $10 million for the second quarter and the first six months of 2023, respectively, and $55 million and $101 million for the second quarter and the first six months of 2022, respectively), and revenues from our active pharmaceutical ingredient sales operation, as well as revenues related to our manufacturing and supply agreements with former legacy Pfizer businesses/partnerships.
Remaining Performance Obligations––Contracted revenue expected to be recognized from remaining performance obligations for firm orders in long-term contracts to supply Comirnaty to our customers totaled approximately $9 billion as of July 2, 2023, which includes amounts received in advance and deferred, as well as amounts that will be invoiced as we deliver these products to our customers in future periods. Of this amount, current contract terms provide for expected delivery of product with contracted revenue from 2023 through 2026, the timing and terms of which may be renegotiated. Remaining performance obligations are based on foreign exchange rates as of the end of our fiscal second quarter of 2023 and exclude arrangements with an original expected contract duration of less than one year.
Deferred Revenues––Our deferred revenues primarily relate to advance payments received or receivable from various government or government sponsored customers in international markets for supply of Comirnaty. The deferred revenues related to Comirnaty total $1.2 billion as of July 2, 2023, with $1.2 billion and $28 million recorded in current liabilities and noncurrent liabilities, respectively. The deferred revenues related to Comirnaty totaled $2.5 billion as of December 31, 2022, with $2.4 billion and $77 million recorded in current liabilities and noncurrent liabilities, respectively. The decrease in Comirnaty deferred revenues during the first six months of 2023 was primarily the result of amounts recognized in Revenues as we delivered the products to our customers, partially offset by additional advance payments received as we entered into amended contracts and the impact of foreign exchange. During the second quarter and first six months of 2023, we recognized revenue of approximately $300 million and $2.0 billion, respectively, that was included in the balance of Comirnaty deferred revenues as of December 31, 2022. The Comirnaty deferred revenues as of July 2, 2023 will be recognized in Revenues proportionately as we transfer control of the product to our customers and satisfy our performance obligation under the contracts, with the amounts included in current liabilities expected to be recognized in Revenues within the next 12 months, and the amounts included in noncurrent liabilities expected to be recognized in Revenues in 2024. Deferred revenues associated with contracts for other products were not significant as of July 2, 2023 or December 31, 2022.