Shares in Pfizer have jumped almost 3 per cent in pre-market trading after the US drugmaker reported first quarter profits and sales ahead of analyst expectations, weeks after its $160bn takeover of Allergan was thwarted by government intervention.
The company posted adjusted earnings of 67 cents per share, about 12 cents higher than the typical Wall Street analyst was expecting, on revenues that were almost $1bn higher than consensus at $13bn, writes David Crow.
Pfizer also nudged up its guidance for the rest of the year, crediting an “improved business outlook” and more advantageous exchange rates.
It now expects to post about $52bn annual revenue, roughly $2bn higher than its previous estimate, while it forecasts adjusted earnings of $2.43 per share, about 18 cents higher than before.
The cost of terminating the Allergan deal, which would have allowed Pfizer to slash its tax bill by relocating to Ireland, was roughly $174m, including the $150m break-fee it paid to Dublin-based Allergan.