Merck

MRK Q3 2025 Earnings

Reported Oct 30, 2025 at 6:40 AM ET · SEC Source

Q3 25 EPS

$2.58

BEAT +9.85%

Est. $2.35

Q3 25 Revenue

$17.28B

BEAT +1.76%

Est. $16.98B

vs S&P Since Q3 25

+26.1%

BEATING MARKET

MRK +32.1% vs S&P +6.0%

Market Reaction

Did MRK Beat Earnings? Q3 2025 Results

Merck posted a convincing third-quarter beat, with non-GAAP EPS of $2.58 coming in 9.85% above the $2.35 consensus estimate and revenue of $17.28 billion edging past expectations by 1.76% on 3.7% year-over-year growth. The primary engine behind the q… Read more Merck posted a convincing third-quarter beat, with non-GAAP EPS of $2.58 coming in 9.85% above the $2.35 consensus estimate and revenue of $17.28 billion edging past expectations by 1.76% on 3.7% year-over-year growth. The primary engine behind the quarter was KEYTRUDA, which generated $8.14 billion in sales, up 10%, as demand broadened across both metastatic and earlier-stage cancer indications, while WINREVAIR's 141% surge to $360 million underscored the strength of Merck's cardio-pulmonary buildout. A significant regulatory milestone, the FDA approval of KEYTRUDA's subcutaneous formulation as the first deliverable in as little as one minute, added strategic momentum and drew a notable positive market reaction. GARDASIL remained a drag, sliding 24% to $1.75 billion largely due to China demand falling to zero. Looking ahead, Merck raised and narrowed its full-year 2025 non-GAAP EPS guidance to $8.93 to $8.98 and tightened its revenue outlook to $64.50 billion to $65.00 billion, reflecting operational improvements and a more favorable estimated tax rate.

Key Takeaways

  • KEYTRUDA growth of 10% driven by strong global demand across metastatic indications and robust uptake in earlier-stage indications
  • WINREVAIR sales growth of 141% reflecting continued U.S. uptake for PAH
  • CAPVAXIVE sales of $244 million representing continued uptake since Q3 2024 U.S. launch
  • Animal Health growth of 9% driven by livestock product performance with 16% growth
  • GARDASIL/GARDASIL 9 decline of 24% primarily due to lower demand in China
  • Non-GAAP gross margin expansion to 81.9% from 80.5% driven by favorable product mix
  • U.S. pharmaceutical sales grew 15% year-over-year
  • JANUVIA/JANUMET grew 29% driven by higher net pricing in the U.S.
  • WELIREG grew 42% driven by higher demand in U.S. and launch uptake in European markets
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MRK YoY Financials

Q3 2025 vs Q3 2024, source: SEC Filings

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MRK Revenue by Segment

With YoY comparisons, source: SEC Filings

Q1 25 Q1 26
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MRK Revenue by Geography

With YoY comparisons, source: SEC Filings

Q1 25 Q1 26

“In the third quarter, we continued to execute on our strategy with important pipeline advancements, significant approvals and successful new product launches.”

— Robert M. Davis, Q3 2025 Earnings Press Release