Merck said Tuesday it will cut $3 billion in costs by 2027 and fully reinvest the savings to support new drug launches and pipeline development, according to CNBC. The restructuring comes as Merck braces for the 2028 patent expiration of its cancer drug Keytruda and prepares for new pharmaceutical tariffs under President Donald Trump. Merck plans to eliminate select jobs, reduce its manufacturing network, and scale back its real estate footprint. The company expects $1.7 billion in annual savings by the end of 2027. Second-quarter revenue fell 2% year-over-year to $15.81 billion, missing Wall Street’s forecast of $15.89 billion. Adjusted earnings per share of $2.13 beat estimates. The company narrowed full-year guidance and cited a $200 million impact from tariffs already in effect.
