Boston, MA 02/10/2014 (wallstreetpr) – The biggest news that Pfizer Inc. (NYSE:PFE) has been expecting finally came true as it won the battle of barring generic versions of its No 1 product Lyrica until December 2018. This was one of the best news as Pfizer gears to increase sales of its number one product. Since losing its patent protection on Cholesterol pill Lipitor its income has been severely impacted thus the much needed news on the barring of generics for Lyrica.
The ruling will now bar Teva Pharmaceuticals Industries Ltd (TEVA), Actavis Plc (ACT) and Lupin Ltd (LPC) from the production of the generics to Lyrica. The other generic drug makers that were barred include Sun Pharmaceuticals Industries Ltd, Wockhardt Ltd and Mylan Inc.
Court impact on sales for Pfizer
Pfizer Inc. (NYSE:PFE) used to generate revenues totaling $13 billion a year with its Cholesterol pill Lipitor before it lost the patent case in court. Lyrica on its own is used to treat Shingles, Fibromyalgia epilepsy and hot flashes, last year alone the drug recorded total sales worth $4.6 billion a 9% of Pfizer total revenue. Pfizer would wish to make a good chunk of revenue out of the ruling before it expires in 2018.
Pfizer to lower tax rate
Pfizer Inc. (NYSE:PFE) intends to lower its high industry tax rate in a bid of trying to repurchase back billions in stock. The company has already projected a tax rate of 27% for the year which might be difficult to reduce in further as the company strives to bringing more cash from overseas. Pfizer posted positive results for the fourth quarter with earnings per share of 56 cents above the consensus estimate of $52cents. The divesture of its two units had a negative impact causing a slump of revenue by 2% to lows of $13.6 billion.
