Pfizer has lowered its 2015 sales and earnings forecasts as it became the latest international pharma to be hit by the weakening Euro.
The drugs giant is now expecting earnings per share of $1.95 to $2.05, slipping from its earlier estimate of $2.00-$2.10, as currency effects continue to bite, while sales expectations were cut back $500 million to $44 billion-$46 billion.
The revisions are “solely due to recent negative changes in foreign exchange rates and does not reflect any unfavourable changes to our operational outlook for the year,” stressed Pfizer chief financial officer Frank D'Amelio.
The move came as the drugmaker posted a 4% dip in first-quarter sales to $10.86 billion and a 2% rise in net income to $2.38 billion.
D-Amelio said he was pleased with overall performance during the period, noting that, on an operational basis, sales actually grew 2% “despite the significant negative impact” from generic competition, including to Celebrex in the US, and the termination of the Spiriva co-promotion collaboration, also in the US.
Growth in developed markets was driven by strong performances of certain key products, including: the pneumonia jab Prevnar (up 48% at CER to $1.30 billion); epilepsy and pain drug Lyrica (pregabalin; up 10% at $1.19 billion); rheumatoid arthritis pill Xeljanz (tofacitinib; up 87% at $96 million); and erectile dysfunction therapy Viagra (sildenafil; up 10% at $396 million), as well as the launch of breast cancer drug Ibrance (palbociclib) in the US in February, which generated $38 million.