Slide 1: March 28, 2025
March 28, 2025 Presentation intended for the investment community Pfizer 2025 | Confidential and Proprietary
Slide 2: Forward-looking statements
Our discussions during this presentation will include statements. Additional information regarding these and forward looking statements about, among other topics, other factors can be found in Pfizer’s Annual Report on the Inflation Reduction Act of 2022 (IRA) Part D redesign Form 10-K for the fisca
Slide 3: Pfizer 2025 | Confidential and Proprietary
Pfizer 2025 | Confidential and Proprietary 3
Slide 4: Total Expected Net Impact of IRA Part D Redesign
• $2,000 annual out-of-pocket cap and new Prescription Payment Plan • Sunsetting of the Coverage Gap Discount Program and addition of new manufacturer discounts in the initial and catastrophic coverage phases Total Expected Net Impact of IRA Part D Redesign 1. Calculation performed on FY-2024 Revenu
Slide 5: Impact Expected to Vary Based on Drug Cost and Portion of Medicare Scripts
Impact is Expected to Vary Based on Drug Cost as Well as Portion of Medicare Scripts Beneficiary Plan Manufacturer Government • Deductible Phase: Beneficiaries pay 100% of costs • Initial Coverage Limit (ICL) Phase: Beneficiaries pay 25% of costs, Deductible Phase Initial Coverage Phase Coverage Gap
Slide 6: Illustrative manufacturer rebate, higher-priced medicine
Illustrative: Not intended to be reflective of specific Pfizer products 2024 2025 % of Rebate • In , manufacturers were subject to a 1 2 3 4 5 6 7 8 9 10 11 12 mandatory discount during the coverage Month YoY gap for some scripts Impact • In , all scripts are subject to Script 1-3 13% 16% mandatory
Slide 7: Illustrative manufacturer discount by month, 2024 vs 2025
Illustrative: Not intended to be reflective of specific Pfizer products % of Rebate 1 2 3 4 5 6 7 8 9 10 11 12 Month • In , manufacturer discount applicable 2024 Non-LIS 2024 LIS & Non-LIS (50/50) 2025 LIS & Non-LIS once patient reached coverage gap YoY • In , manufacturer discount begins Impact onc
Slide 8: Impact examples for lower-priced and higher-priced products
1. A ‘higher-priced’ medicine that has a monthly WAC price of $5,000 or more and will hit the catastrophic phase with first 1 or 2 scripts. 2. Within the examples of "lower-priced" products, 'Abrysvo’ (and its revenue contribution) pertains only to the Older Adult indication; and the FY-24 revenues
Slide 9: Percentage of Scripts under Medicare Part D and LIS Patients
Illustrative 0% Percentage of Scripts under Medicare Part D 60%+ • 65+ • Under 65 with disabilities or end-stage renal disease 0% Percentage of LIS Patients to Medicare Part D Scripts 60%+ • Below 150% of the federal poverty level and modest assets • Included under Manufacturer Discount Program (MDP
Slide 10: Reduced out-of-pocket costs for Medicare beneficiaries with $2,000 annual cap
• Reduced out-of-pocket costs for • Patients will have deductible and co- • Potential formulary strategy changes Medicare beneficiaries with $2,000 pay in the first months of the year and higher hurdles for access on plan annual cap formularies • Improved potential compliance (i.e., • Increased affo
Slide 11: Estimated $1B unfavorable net impact on Medicare US sales in 2025
Estimated $1B unfavorable overall net Expect a higher Gross-to-Net impact impact on Medicare US sales in 2025, in the beginning of 2025, expected to combining rebating headwind & moderate through the remainder of volume tailwind from OOP1 cap the year, when compared to 2024 IRA Part D Redesign impac
Slide 12: Pfizer 2025 | Confidential and Proprietary
Pfizer 2025 | Confidential and Proprietary 12