Lipitor attributes to Pfizer’s 14% profit drop

Hannah Blake

pharmaphorum

Pfizer has reported its third quarter financial results, which saw the company’s revenue decrease by 16% to US $14 billion, compared with $16.6 billion in the same quarter last year.

In the United States, Pfizer’s revenue was further hit by the loss of exclusivity of high chlorestorol medication, Lipitor (atorvastatin calcium), when its patent ran out in November 2011. International revenues fell by 14% compared to the prior-year quarter, again due to the loss of exclusivity of Lipitor in developed Europe during 2012’s second quarter.

Despite loss of revenue, Pfizer’s shares have risen 13.5% in the last year, outperforming 11.5% gains for the drug sector, largely because of the pharma company’s optimism for its new treatments for cancer, blood clots, arthritis and other diseases.

“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.”

Ian Read, Chairman and Chief Executive Officer.

Revenues in the emerging markets grew 6% operationally, compared to this time last year. This was primarily due to volume growth in China, Mexico and Russia, as a result of more targeted promotional efforts for key innovative and established products.

Pfizer said it now expects 2012 earnings of $2.14 to $2.17 per share, instead of its previous estimate of $2.12 to $2.22 per share.

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