Merck's 2025 revenue forecast fell short of Wall Street expectations, following the company's decision to temporarily halt shipments of its cancer vaccine, Gardasil, to China, CNBC reported Feb. 4.
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