Pfizer narrows its focus and profit soars in 3Q

1010 WINS Newsroom
October 29, 2019 - 8:07 am

FILE - In this April 26, 2019, file photo, RELPAX migraine pills manufactured by Pfizer are arranged for a photo in Doral, Fla. Pfizer Inc. reports financial earns Tuesday, Oct. 29. (AP Photo/Wilfredo Lee, File)

Pfizer's third-quarter profit nearly doubled after it booked a $8.1 billion gain on the creation of a consumer health products joint venture, part the drugmaker's plan to narrow its focus on cancer treatments and other innovative medicines.

The New York company's profit handily beat Wall Street forecasts, even though revenue dropped 5%, and it raised its financial outlook for the year.

Pfizer created the consumer health joint venture with GlaxoSmithKline on Aug. 1 and it's is creating a hybrid new drug company by combining its off-patent branded drug business with the generic pharmaceutical company Mylan.

The biggest U.S. drugmaker on Tuesday reported earnings of $7.68 billion, or $1.36 per share, up from $4.11 billion, or 69 cents per share. Excluding one-time charges, per-share earnings were 75 cents, or 12 cents better than Wall Street had been expecting, according to Zacks Investment Research.

Revenue declined 5% to $12.68 billion, still better than expected.

Sales were led by breast cancer drug Ibrance, the Prevnar 13 vaccine against pneumococcal infections and blood thinner Eliquis.

Pfizer said it expects full-year earnings in the range of $2.94 to $3 per share, up from its July forecast for $2.76 to $2.86, and revenue between $51.2 billion and $52.2 billion, up from $50.5 billion to $52.5 billion.

____

Follow Linda A. Johnson at https://twitter.com/LindaJ_onPharma

___

Portions of this story were generated by Automated Insights (http://automatedinsights.com/ap) using data from Zacks Investment Research.

AP Editorial Categories: