Pfizer (PFE) Q3 Revenue Hit by Loss of Lipitor Exclusivity
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Revenue Growth %: -22.7%
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Today's EPS Names:
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Revenue Growth %: -22.7%
Financial Fact:
Discontinued operations--net of tax (in dollars per share): 0
Today's EPS Names:
MAXN, CSTR, ACU, More
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Pharmaceutical giant, Pfizer (NYSE: PFE) reported third quarter earnings this morning that met expectations, though sales fell short. As a result, shares are trading lower by 1 percent.
Pfizer sales totaled $13.98 billion, 16 percent lower than in 2011, and slightly below estimates that called for revenue of $14.65 billion. U.S. sales sank 18 percent as a result of a loss of exclusivity of cholesterol-lowing drug Lipitor.
Pfizer Adjusted Diluted EPS came in at 53 cents, in-line with analyst estimates.
Ian Read, Chairman and Chief Executive Officer, stated, "Overall, our results this quarter reflect continued product losses of exclusivity, most notably Lipitor in all major markets. Despite a challenging and dynamic environment, worldwide revenues from many of our key medicines, including Enbrel, Celebrex and Lyrica, continued to grow operationally. Additionally, we continued to perform well in emerging markets, most notably in China, given the breadth of our portfolio and focused investment."
With regard to innovation, Read said "I am very pleased with the recent U.S. Food and Drug Administration approval of Bosulif (bosutinib) for chronic myelogenous leukemia, as well as approval of Inlyta (axitinib) for advanced renal cell carcinoma and conditional marketing authorization of Xalkori (critzotinib) for advanced non-small cell lung cancer, both in the EU. I also look forward to regulatory action for tofacitinib in moderate-to-severe rheumatoid arthritis and Eliquis (apixaban) in atrial fibrillation in the U.S., EU and Japan as well as Bosulif in key international markets."
Looking ahead, Pfizer sees FY2012 EPS of $2.14-2.17, versus prior guidance of $2.12-2.22 and the consensus of $2.21. Revenue is expected to be $58 to $59 billion.
Pfizer also announced a $10 billion share repurchase plan from the proceeds of the Nutrition(1) business to Nestle. This is on top of the $4.1 billion remaining under the current share repurchase program. "Importantly," analysts at Goldman Sachs note, "consensus estimates next year do not incorporate management's planned
$10 bn of buy backs."
Pfizer sales totaled $13.98 billion, 16 percent lower than in 2011, and slightly below estimates that called for revenue of $14.65 billion. U.S. sales sank 18 percent as a result of a loss of exclusivity of cholesterol-lowing drug Lipitor.
Pfizer Adjusted Diluted EPS came in at 53 cents, in-line with analyst estimates.
Ian Read, Chairman and Chief Executive Officer, stated, "Overall, our results this quarter reflect continued product losses of exclusivity, most notably Lipitor in all major markets. Despite a challenging and dynamic environment, worldwide revenues from many of our key medicines, including Enbrel, Celebrex and Lyrica, continued to grow operationally. Additionally, we continued to perform well in emerging markets, most notably in China, given the breadth of our portfolio and focused investment."
With regard to innovation, Read said "I am very pleased with the recent U.S. Food and Drug Administration approval of Bosulif (bosutinib) for chronic myelogenous leukemia, as well as approval of Inlyta (axitinib) for advanced renal cell carcinoma and conditional marketing authorization of Xalkori (critzotinib) for advanced non-small cell lung cancer, both in the EU. I also look forward to regulatory action for tofacitinib in moderate-to-severe rheumatoid arthritis and Eliquis (apixaban) in atrial fibrillation in the U.S., EU and Japan as well as Bosulif in key international markets."
Looking ahead, Pfizer sees FY2012 EPS of $2.14-2.17, versus prior guidance of $2.12-2.22 and the consensus of $2.21. Revenue is expected to be $58 to $59 billion.
Pfizer also announced a $10 billion share repurchase plan from the proceeds of the Nutrition(1) business to Nestle. This is on top of the $4.1 billion remaining under the current share repurchase program. "Importantly," analysts at Goldman Sachs note, "consensus estimates next year do not incorporate management's planned
$10 bn of buy backs."
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