Pfizer Q2 profit beats forecasts

Pfizer, the biggest US drug maker, said Tuesday its second-quarter profit had surged 25 percent from a year earlier, boosted by cost-cutting that offset lower sales. Pfizer said net income was $3.25 billion in the April-June period, compared with $2.6 billion in the same quarter last year. Excluding special items, earnings were 62 cents per share, well above the average analyst estimate of 54 cents. Revenue fell 9.0 percent to $15.0 billion, better than expected, as Pfizer continued to suffer from the loss of exclusivity for its blockbuster anti-cholesterol drug Lipitor. Ian Read, Pfizer's chairman and chief executive, noted the second-quarter performance was achieved despite a $1.8 billion, or 11 percent, hit on revenues from losses of exclusivity on products, mainly Lipitor in most major markets. US revenues fell 15 percent to $5.7 billion, primarily as a result of the US loss of exclusivity of Lipitor on November 30, 2011, the New York-based Pfizer said. International revenues slipped 5.0 percent to $9.3 billion as sales were hit by unfavorable foreign-exchange rates. In emerging markets, sales grew 14 percent, driven largely by targeted investments in China and Russia. "Overall, I am confident that Pfizer is well-positioned for long-term success given the potential of our innovative late-stage and emerging pipeline" of products and strong cash flow, among other factors, Read said. Pfizer reaffirmed it 2012 forecast of earnings per share of $2.14 to $2.24, and revenues between $58.0 to $60.0 billion. Shares were up 2.3 percent at $24.25 in pre-market trading.