Pfizer Inc.'s sales continued to fall in the second quarter as its drugs faced increased competition from biosimilars, but the company still gave a rosy earnings outlook for the year.
The drugmaker raised the low end of its full-year adjusted earnings guidance, citing reduced expenses and higher-than-expected royalty income from certain products. The company now expects earnings of $2.54 to $2.60 per share, compared with prior guidance of $2.50 to $2.60 per share. Analysts polled by Thomson Reuters had forecast earnings of $2.55 per share for the year.
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Pfizer said revenue in its essential health unit, which includes the antidepressant Pristiq and antiepileptic drug Lyrica, slid 14% as the company continued to face competition from cheaper knockoff drugs as its products have lost patent protection.
Sales at its innovative health unit jumped 8%, driven by Ibrance and Eliquis brands.
In all, Pfizer reported earnings of $3.07 billion, or 51 cents per share, up from $2.05 billion, or 33 cents per share, a year earlier. Excluding certain items, earnings rose by 3 cents to 67 cents. Revenue fell 1.9% to $12.9 billion. Excluding the impact of a recent divestiture, the company says revenue rose 2%.
Analysts were looking for earnings of 66 cents on $13.08 billion in sales.
Shares edged up 0.7% to $33.39 in premarket trading after gaining 2.1% this year through Monday's close.
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(END) Dow Jones Newswires
August 01, 2017 07:37 ET (11:37 GMT)