Merck Q1 2026 earnings beat estimates on Keytruda sales

2 min readUpdated April 30, 2026

Merck $MRK reported first-quarter revenue of $16.29 billion on Thursday, up 5% from a year earlier. That beat analyst expectations of $15.82 billion, according to CNBC.

Keytruda brought in $8.03 billion during the quarter, a 12% year-over-year gain, the company said. Demand for the immunotherapy was particularly strong in metastatic settings, while prescriptions for earlier-stage cancers — including triple-negative breast cancer, cervical cancer, and renal cell carcinoma — also contributed to the increase. A subcutaneous formulation of the drug, marketed as Keytruda Qlex, accounted for $128 million of those sales as it completed its first meaningful quarter on the market.

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Winrevair, approved to treat a rare and life-threatening lung disease, reached $525 million in quarterly sales, an 88% jump compared with the same period last year. Expanding use among U.S. patients and initial rollouts in Japan and Europe drove the increase, the company said.

Revenue from Gardasil, the HPV vaccine, dropped 19% to $1.07 billion. Merck $MRK, which had previously suspended shipments of the vaccine to China, cited continued softness in that market along with weaker volumes in Japan and the United States. Combined revenue from the diabetes franchise — Januvia and Janumet — declined 28% to $574 million, hurt by pricing headwinds and softening demand domestically and by the encroachment of generics in certain overseas markets.

The animal health segment brought in $1.79 billion, up 13% year over year, with gains spread across both the livestock and companion animal businesses, the company said.

Looking ahead to the full year, Merck tightened its 2026 revenue guidance to a range of $65.8 billion to $67 billion, lifting the floor from the previous $65.5 billion, while its updated adjusted earnings outlook of $5.04 to $5.16 per share nudged above the earlier $5 to $5.15 range. That outlook includes the $3.62 per share charge for the Cidara acquisition but does not reflect Merck's planned acquisition of Terns Pharmaceuticals, which the company said is expected to close in May and result in an additional one-time charge of about $2.35 per share.

Merck beats earnings estimates as cancer drug Keytruda sales surge

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