Merck’s revenue has declined following a significant drop in sales of their COVID antiviral treatment.

Merck’s revenue for the first quarter dropped by 9% compared to the previous year, primarily due to a significant decline in sales of its Covid antiviral medication, molnupiravir. The company’s sales of molnupiravir plummeted to $392 million during the period, marking an 88% decrease from the $3.2 billion reported in the first quarter of 2022.

Merck announced on Thursday that its first-quarter revenue decreased by 9% compared to the same period last year. The decline in revenue was primarily driven by a significant decrease in sales of its Covid-19 antiviral drug, molnupiravir.

Company reported a significant drop in sales for its drug, molnupiravir, during the period, with revenue falling by 88% to $392 million compared to the first quarter of 2022. The decline in sales was primarily due to decreased demand in key markets such as the U.S., U.K., Japan, and Australia.

Merck, a company, disclosed that its total revenue for the quarter was $14.5 billion, which represents a decrease of almost $1.5 billion compared to the corresponding period last year. However, if the revenue generated from the Covid drug is excluded, Merck reported that its revenue increased by 11%. According to a survey of analysts by Refinitiv, Merck’s earnings per share of $1.40 adjusted exceeded Wall Street’s expectations of $1.32, while the company’s revenue of $14.49 billion was higher than the anticipated $13.78 billion.

Merck, a leading pharmaceutical company, reported a net income of $2.82 billion, equivalent to $1.11 per share, for the current period. This represents a decrease from the same period last year, where the company recorded a net income of $4.31 billion or $1.70 per share. However, after excluding certain items, Merck’s adjusted earnings per share for the period were $1.40.