Summary
Pfizer Inc. is a global biopharmaceutical company focused on discovering, developing, and manufacturing healthcare products. In 2013, Pfizer completed significant divestitures, including its Animal Health business (valued at approximately $17.5 billion combined cash and stock) and its Nutrition business ($11.85 billion in cash), strategically reshaping its portfolio to focus on core pharmaceutical operations. The company reported that its biopharmaceutical products accounted for approximately 93% of its total revenues in 2013, which were $47.9 billion, a 7% decrease from the prior year. This decline was attributed to operational revenue decreases and unfavorable foreign exchange impacts. Pfizer's R&D spending was substantial at $6.7 billion in 2013, reflecting its commitment to innovation. The company is navigating a complex regulatory environment globally, with significant attention on healthcare reforms in the U.S. (ACA) and pricing pressures in international markets, particularly in Europe and Japan. Pfizer is also strategically reorganizing its commercial operations into three global businesses for fiscal year 2014: Global Innovative Pharmaceutical (GIP), Global Vaccines, Oncology and Consumer Healthcare (VOC), and Global Established Pharmaceutical (GEP), aiming for greater transparency and efficiency.
Financial Highlights
56 data points| Revenue | $51.58B |
| Cost of Revenue | $9.59B |
| Gross Profit | $42.00B |
| SG&A Expenses | $14.36B |
| Operating Income | $11.38B |
| Interest Expense | $1.41B |
| Net Income | $22.00B |
| EPS (Basic) | $3.23 |
| EPS (Diluted) | $3.19 |
| Shares Outstanding (Basic) | 6.81B |
| Shares Outstanding (Diluted) | 6.89B |
Key Highlights
- 1Pfizer completed major divestitures in 2013, including its Animal Health and Nutrition businesses, to streamline its focus on core biopharmaceutical operations.
- 2Biopharmaceutical products constituted approximately 93% of Pfizer's total revenues in 2013, which decreased by 7% to $47.9 billion.
- 3Research and Development (R&D) investment remained substantial, totaling $6.7 billion in 2013.
- 4The company is reorganizing its commercial operations into three global businesses (GIP, VOC, GEP) starting in fiscal year 2014 to enhance focus and transparency.
- 5Pfizer faces ongoing pricing pressures and complex regulatory environments in both U.S. and international markets, including impacts from the U.S. Affordable Care Act (ACA).
- 6Key products like Lyrica, Prevnar, Enbrel, Celebrex, and Lipitor were significant revenue contributors, though some are facing or will face patent expirations and generic competition.
- 7International operations accounted for 61% of total revenues in 2013, highlighting the company's global reach.