Pfizer posts losses for Q4, full-year 2007; Lipitor sales down

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Pfizer reported losses for the fourth-quarter and full-year of 2007.

For the fourth-quarter 2007, Pfizer recorded revenues of $13.1 billion, an increase of 4% compared with $12.6 billion in the year-ago quarter, despite the March 2007 loss of U.S. exclusivity of Norvasc, which lead to a decrease in Norvasc revenues of $667 million.

The fourth-quarter 2007 revenues were positively impacted by foreign exchange, which increased revenues by approximately $610 million or 5%, and the strong performance of many new and in-line products, according to the New York City-based Pfizer.

For the fourth-quarter 2007, the company reported a net income of $2.9 billion, a decrease of 70% compared with $9.4 billion in the prior-year quarter, a decrease of 68% compared with $1.32 in the prior-year quarter. Pfizer attributed the decline primarily to the one-time after-tax gain of $7.9 billion in the fourth-quarter 2006 related to the sale of the consumer healthcare business.

Pfizer recorded full-year 2007 revenues of $48.6 billion, an increase of 1% compared with $48.4 billion in 2006, notwithstanding the loss of U.S. exclusivity of Norvasc and Zoloft, which contributed to a decrease in Norvasc and Zoloft revenues of $3.4 billion. The 1% increase reflects the favorable impact of foreign exchange, which increased revenues by approximately $1.5 billion or 3%, in addition to the strong performance of many new and in-line products, according to the company.

For the full-year 2007, the company posted a net income of $8.3 billion, a decrease of 57% compared with $19.3 billion in 2006, a decrease of 55% compared with $2.66 in 2006. The decline was primarily attributable to the one-time after-tax gain of $7.9 billion in 2006 related to the sale of the consumer healthcare business as well as after-tax charges of $2.1 billion in the third-quarter 2007 related to the write-off of assets and other costs associated with Pfizer’s decision to exit Exubera, Pfizer said.

Overall, the company’s domestic revenue dropped 11% to $21.74 billion in 2007. Lipitor (atorvastatin calcium) had revenue of approximately $7.2 billion in the U.S. last year compared with approximately $7.85 billion in 2006. Worldwide Lipitor revenues were approximately $12.7 billion, a 2% decrease from 2006.

Despite negative returns, the company is projecting positive results for 2008. “We are increasing our full-year 2008 revenue guidance to a range of $47 to $49 billion and providing additional full-year details,” according to Frank D’Amelio, chief financial officer of Pfizer.