Pfizer New Products Drive 14.6% YoY Revenue Growth, R&D at 16.6%
Pfizer's new product revenues grew 14.6% year-on-year through recent launches and acquisitions, while its net interest coverage ratio held at 6.91x despite elevated debt levels. R&D spending accounted for 16.6% of FY2025 revenues, matching its five-year pre-pandemic average and supporting its ongoing portfolio renewal.
1. New Product Revenue Growth
Pfizer reported a 14.6% year-on-year increase in revenues from new products in FY2025, driven by recent launches and acquisitions of late-stage assets. This growth helped offset declines in established medicines facing patent expiries and competitive pressures.
2. Robust Interest Coverage Ratio
Despite elevated leverage from strategic deals, Pfizer maintained a net interest coverage ratio of 6.91x, indicating strong earnings relative to interest expenses. This demonstrates the company’s ability to service debt while pursuing further growth initiatives.
3. R&D Spending Aligns With Long-Term Averages
R&D expenses equaled 16.6% of total revenues in FY2025, closely matching the five-year pre-pandemic average of 16.3%. Continued investment in research and development underpins Pfizer’s strategy to replenish its pipeline and drive future earnings.