Merck slashes profit forecast on Terns acquisition charge, but raises sales outlook

Merck cut its full-year profit outlook due to charges related to its acquisition of cancer biotech company Terns Pharmaceuticals, which closed in May. The pharma giant now projects adjusted EPS of $2.66 to $2.76, down from a prior range of $5.04 to $5.16. Despite the profit revision, Merck raised its annual sales forecast to between $66.3 billion and $67.3 billion, citing strong performance from new products.