Pfizer thrives despite US slowdown
pharmafile | July 24, 2008 | News story | Sales and Marketing |Â Â Â
Pfizer has posted strong second quarter results despite underwhelming performance from its US operations.
Outside the US Pfizer's revenue rose by 18% to $7.4 billion, bring total revenues to $12.1 billion for the quarter and total net income to $2.8 billion.
A favourable exchange rate and solid international sales helped the company overcome a 2% fall in US sales in the quarter.
Stateside operations were hit by patent expiries for allergy pill Zyrtec and cancer drug Camptosar, while safety concerns about smoking cessation drug Chantix, saw its sales fall 35% to $109 million.
Chief executive Jeff Kindler acknowledged the "increasingly challenging environment" the company faced, but said the company had delivered solid performance.
"The benefit of our broad-based portfolio of products, our geographic reach and our diverse strategies for growth was evident in this quarter's financial results," he added.
Pfizer's blockbuster statin Lipitor overcame almost flat US sales to increase worldwide sales by 9% to $3 billion and there was also strong performance elsewhere in its portfolio.
Sales of pain treatment Lyrica were up 52% to $614 million, sales of arthritis pain drug Celebrex rose 23% to $589 million and kidney cancer drug Sutent saw a 45% increase in sales that reached $211 million.
The company is also continuing to pursue its aggressive cost-cutting plans and said it was on-track to shave spending by at least $1.5 billion by the end of 2008 compared with 2006.
Pfizer said its savings initiatives would effectively span all divisions, functions, markets and sites. Significant job cuts have already been made, following the company's 2005 announcement that it would cut its workforce by 10% by the end of 2008, with sales positions hit particularly hard.
