Pfizer’s 3Q profit, up due to tax cut, beats expectations

Pfizer posted a 45 percent jump in third-quarter profit, as it benefited from sharply lower taxes due to this year’s federal tax cut and slightly higher revenue.

The maker of Viagra and nerve pain treatment Lyrica on Tuesday reported net income of $4.11 billion, or 69 cents per share.

Adusted for one-time gains and costs, the New York drugmaker said income came to 78 cents per share. That beat analyst expectations for earnings of 76 cents per share, according to Zacks Investment Research.

Revenue was $13.3 billion, up 1 percent, led by Lyrica, stroke-preventing pill Eliquis and the Prevnar 13 vaccine against pneumococcal infections that cause ear aches, blood infections and pheumonia.

Pfizer narrowed its full-year profit forecast to earnings per share in the range of $2.98 to $3.02, from its July forecast of $2.95 to $3.05 per share. The company also narrowed and lowered its 2018 revenue forecast to $53 billion to $53.7 billion, down from $53 billion to $55 billion.

Longtime CEO Ian Rad, who will be succeeded in January by Albert Bourla, Pfizer’s chief operating officer, said in a statement that he’s confident in the new leadership team Bourla is building. Chief financial officer Frank D’Amelio, research head Mikael Dolsten and some other long-term executives will remain in their posts, but new execs will be heading Pfizer’s innovative medicines business and its essential heath segment, which sells mostly off-patent drugs.

In premarket trading, Pfizer Inc. shares fell $1.54, or 3.6 percent, at $41.69. Pfizer shares have climbed 19 percent since the beginning of the year.

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Follow Linda A. Johnson at https://twitter.com/LindaJ—onPharma

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Elements of this story were generated by Automated Insights (http://automatedinsights.com/ap) using data from Zacks Investment Research. Access a Zacks stock report on PFE at https://www.zacks.com/ap/PFE

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This story was generated by Automated Insights (http://automatedinsights.com/ap) using data from Zacks Investment Research. Access a Zacks stock report on PFE at https://www.zacks.com/ap/PFE

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