Pfizer Inc (PFE) announced its earnings for the first quarter that beat analysts’ estimates, though its revenue fell short of expectations, sending its shares down more than 3.5 percent on Tuesday.
Revenue of the leading U.S. drugmaker was mainly hurt by lower-than-expected sales of its famous breast cancer drug Ibrance. The company said Ibrance generates sales of $933 million in the quarter, representing a surge if 37.4 percent from the comparable quarter last year, but below analysts’ average estimate of $956.6 million.
Revenue from arthritis drug Xeljanz came in at $326 million, below $398.5 million estimated by analysts.
Overall, Pfizer reported earnings of $3.56 billion, or 59 cents a share for the three months period ended April 1, as compared to $3.12 billion, or 51 cents a share in the same period, one year ago. On an adjusted basis, the company posted a profit of 77 cents a share, surpassing analysts average estimate of 74 cents a share. Earnings were mainly driven by stronger sales of pneumonia vaccine Prevnar.
Revenue for the quarter advanced just 1 percent to $12.91 billion. Analysts on average were looking for $13.13 billion in revenue.
Looking forward, the company reaffirmed its outlook for the current fiscal year.
Pfizer is exploring options for its consumer-health business, which is valued at around $20 billion. It expects to make a decision sometime this year. The unit develops products including Centrum vitamins, Advil painkillers and heartburn reliever Nexium. Investors have been eagerly waiting for a decision since the company started reviewing the unit last year in October.
Investors have pressurized the company in the past to expand its research pipeline by making deals. Pfizer’s proposed merger with Allergan Plc (AGN) for $160 billion failed after Obama administration showed concerns about the so-called inversion merger. The company also tried to deal with U.K-based AstraZeneca Plc.