The suspension, which will last at least through mid-2025, led Merck to lower its revenue guidance to between $64.1 billion and $65.6 billion, significantly below the $67.31 billion that analysts had predicted.
Gardasil, a vaccine that prevents cancers caused by human papillomavirus has faced declining sales in China, a key market for the product. Merck’s shipping pause aims to reduce excess inventory and stabilize the financial position of Merck’s commercialization partner in China, Zhifei.
Merck had previously set an $11 billion sales target for Gardasil, but the company withdrew this goal due to the uncertain timing of China’s economic recovery
