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Investing.com -- Merck & Co (NYSE:MRK), the New Jersey-based pharmaceutical giant, has announced a halt in shipments of its Gardasil vaccine to China, a move that has negatively impacted the company’s sales forecast. The Gardasil vaccine, a key product in Merck (NSE:PROR)’s portfolio used in the prevention of cancer, has seen a slump in demand in China, leading to a significant drop in the company’s outlook.
The cessation of Gardasil sales is projected to continue at least until the middle of this year, according to the company’s statement on Tuesday. This is not the first challenge Merck has faced in the Chinese market, as it experienced a decrease in demand for the vaccine in 2024, which had a negative impact on investor sentiment.
Merck has revised its total sales forecast for the year, now expecting to generate between $64.1 billion and $65.6 billion. This is a downward adjustment from Wall Street analysts’ average expectation of $67.4 billion. This revised estimate reflects the impact of the halt in Gardasil shipments to China, and further emphasizes the importance of the Chinese market to the company’s financial performance.
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