Pfizer 3Q

Pfizer

3Q Revenues: $12.0 billion (-2%)

3Q Earnings: $761 million (-77%)

YTD Revenues: $35.6 billion (-1%)

YTD Earnings: $5.4 billion (-45%)

Comments: 3Q Pharma sales dropped 4% to $11.0 billion. Ongoing generic erosion from Zoloft (June 2006) and Norvasc (March 2007) hurt revenues for 3Q and YTD. Sales for those products dropped from $1.6 billion in 3Q06 to $764 million in 3Q07 and $5.5 billion YTD06 to $2.8 billion in YTD07. Lipitor sales decreased 5% to $3.2 billion due to competition from generic statins. Lyrica sales grew 37% to $465 million and  Chantix grew from $33 million to $241 million. Earnings were pounded by a $2.8 billion writeoff from the company’s decision to drop Exubera inhaled insulin.