While the whole world is trying to put an end to the pandemic, a top Pfizer executive told shareholders the company is looking at a “significant opportunity” to raise the price of its Pfizer-BioNTech COVID-19 vaccine.
During the virtual Barclays Global Healthcare Conference last week, Pfizer CFO Frank D’Amelio told investors that the company was considering raising prices when the virus becomes endemic, according to a transcript of the conference posted on Pfizer’s website.
Current vaccine pricing models are pandemic-related, D’Amelio explained. After the pandemic ends and “normal market conditions” arrive, he noted the window would open for a “significant opportunity…from a pricing perspective.”
The possibility of additional applications for the COVID vaccine may also present itself. A third dose could be needed for variants and regular booster shots, D’Amelio said.
“We believe it’s becoming increasingly likely that an annual revaccination is going to take place,” he said. “Factors like efficacy, booster ability, clinical utility will basically become very important.”
D’Amelio also mentioned that Pfizer’s COVID vaccine production is exceeding forecasts.
“For the full year, we had originally said we thought we could do 1.3 billion doses. We’re now at 2 billion doses. And obviously, we’re working to improve upon that number as well.”
In a February earnings call, D’Amelio said the current vaccine cost is unrepresentative of the company’s pricing model.
“So the one price that we published is the price with the U.S. of $19.50 per dose. Obviously, that’s not a normal price like we typically get for a vaccine, $150, $175 per dose,” he said, “So pandemic pricing.”