Boston, MA, 11/21/2013 (wallstreetpr) – Pfizer Inc. (NYSE:PFE) is the world’s largest drug maker with a lot of product portfolio and patents. The drug company also has a lot of medical solutions in the pipeline which it banks to improve its financial situation. Like most other businesses in the health care sector, Pfizer Inc. (NYSE:PFE) is also gripped with high operating costs which result in low benefits in terms of profits. However, its worth reporting that the drug makers has been able to maintaining its reporting in black even in the most uncomfortable business environment.
Pfizer Inc. (NYSE:PFE) develops and producers drugs with wide medical application. The company draws its revenue from drug sales and patent licensing. As of recent, PFE has been seeking FDA approval in expansion of mandate for some of its drugs. One such drug is Xeljanz which is permitted for the treatment of rheumatoid-arthritis. In Q3, the company realized more than $35 million in sales from Xeljanz.
Expanding the mandate of a drug is like killing two birds with one stone and this helps drug makers to not only expand their revenue with a single drug, but also helps in cost reduction in terms of developing a completely new line of medication for a particular condition. A lot of Pfizer Inc. (NYSE:PFE) have expanded treatment mandate which has greatly helped the company to lower its research expenses so that its focus in fresh drugs or improvement of its existing lines.
The drug maker is also looking into ways to lower its operation cost so that it can free up cash for reinvestment and dividend payment to investors. It is important noting that at the moment Pfizer Inc. (NYSE:PFE)’s books are in good shape which is good for its growth moving forward. Pfizer Inc. (NYSE:PFE) is expected to continue its cost reduction efforts so that it can up its earnings going into the future.
