Excluding special items, New York-based Pfizer earned 42 cents per share. Analysts on average expected 50 cents, according to Reuters Estimates. The company affirmed its 2007 and 2008 profit forecasts.
Pfizer, hurt by the recent loss of patent protection on its anti-depressant Zoloft and blood pressure treatment Norvasc, said global company revenue fell 6% to $11.08 billion. That was shy of Wall Street expectations of $11.44 billion.
"I think this is a disappointing result, particularly relative to their first quarter report," Leerink Swann analyst Seamus Fernandez said.
The company said sales of Lipitor, by far the world's biggest drug, rose 5% overseas but tumbled 25% in the important U.S. market. Global Lipitor sales were $2.7 billion.
Pfizer attributed Lipitor's U.S. freefall to declining prescriptions of the medicine, now facing competition from far cheaper generic forms of Merck's Zocor, and by
patterns of stocking by wholesalers and related factors.
The wholesaler inventory patterns should not have a negative impact on U.S. Lipitor sales during the rest of the year, New York-based Pfizer said.
For the full year, the company expects Lipitor sales to range from flat to a 5% decline compared with 2006.