American pharmaceutical firm Pfizer, Inc. (NYSE:PFE) reported higher-than-expected quarterly revenue on Tuesday, boosted by huge demand for the drugmaker’s pneumonia vaccine and its Hospira acquisition.
The company’s revenue increased by 7% to $14.05 billion in the last 3 months of December, beating analysts’ estimates of $13.56 billion.
Full year revenue and earnings, however, didn’t meet forecasts due to stiff competition from generic drug producers and a generally strong American currency.
Pfizer’s net income slipped to $613 million, or $0.10 a share, from $1.23 billion, or $0.19 per share, just a year before.
Looking at the numbers on an adjusted basis, the American drugmaker earned $0.53 per share, outperforming analysts’ average estimates of $0.52.
The company is currently in the process of acquiring Botox-maker Allergan Plc for $160 billion, which would make Pfizer the world’s largest pharmaceutical company. The deal is seen as a tax-saving measure for Pfizer, which could save the company millions of dollars in U.S. taxes as the acquisition would involve the transfer of the company’s incorporation from New York to Dublin. The deal is expected to close in the 2nd half of the year.
Pfizer said it expects total revenue of around $49 billion to $51 billion for 2016 with adjusted earnings of $2.20 to $2.30 per share.
