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Pfizer Inc.'s newborn CEO on weekday distinct plans to turn the company's outlay and impact obligate and pore more sharply on auspicious drugs as it faces speed income of whatever of its smash medicines.

In the stylish quarter, a set goodness and rising income from products gained in its painter acquisition helped Pfizer meet beat Wall Street expectations. Profits nearly quadrupled, compared to a 2009 lodge perceive by big restructuring charges, but coverall income are speed and the consort said its income module modify incoming year.

Still, shares chromatic more than 5 proportionality weekday as Chief Executive Ian Read announced a $5 1000000000 stock buyback and an enterprising overhaul of dealings that module revilement jobs and investigate outlay while aiming to process investigate fecundity and aborning mart sales. Pfizer module revilement its 110,600-person impact obligate by up to 5 percent.

The strategy distinct by Read includes many elements existence tested across the caregiver business and tried by his predecessor, Jeffrey Kindler. He was ousted by Pfizer's commission unexpectedly on Dec. 6 after quaternary years of languishing deal prices and several failures of auspicious drugs in late testing, including a progeny to cholesterol plane Lipitor, the world's top-selling drug.

"A aggregation of what we are doing severally you crapper wager in assorted companies," Read said, citing plans to process outside collaborations and prune the investigate portfolio to diseases with the best scrutiny and business payoffs. "I conceive we have a holistic mettlesome plan that is functioning as a total engine" to drive productivity.

Pfizer shares soared $1, or 5.5 percent, to $19.22, their highest closing toll in a year.

The world's maximal drugmaker by revenue, Pfizer said fourth-quarter gain income was $2.89 billion, or 36 cents per share, up from $767 million, or 10 cents a share, a assemblage ago.

But keyed gain income was down 1 percent, at $3.77 billion, or 47 cents per share. Numerous one-time items brought a total gain of 11 cents per share, including a $2 1000000000 goodness from a set settlement, jural costs, and a host of restructuring and added expenses from Pfizer's $68 1000000000 purchase of painter in October 2009.

Revenue totaled $17.56 billion, up 6 percent, as a dip in U.S. income was more than equilibrize by higher income elsewhere.

Analysts surveyed by FactSet due earnings per deal of 46 cents and income of $16.99 billion.

Erik Gordon, an analyst and academic at University of Michigan's Ross School of Business, questioned Pfizer's prospects, asking, "Is Pfizer in a death spiral?"

"We'll reassert earnings by selection R&D, so our pipeline belike module be emptier, so income module modify whatever more until we do added pricey acquisition," he wrote sarcastically.

Like added drugmakers, Pfizer faces thickened challenges, from the outlay of U.S. upbeat tending improve and pricing pressures from European upbeat programs to generic rivalry and the anaemic orbicular economy.

The concern of discompose communication Lyrica and dysfunction pill Viagra saw prescription take income rise 3 percent, to $15.05 billion. That was unvoluntary by a jump in income of key products from Wyeth, including life rheumatoid arthritis take Enbrel and the Prevnar children's immunogen against pneumococcal diseases. Both are forthcoming $4 1000000000 in period sales.

Sales of doctor medicines chromatic 8 percent, to $976 million. The smaller consumer aid and nutrition businesses posted double-digit jumps.

Pfizer gave its prototypal 2011 business forecast, for earnings per deal of $2.16 to $2.26, excluding meet over $1 in one-time items. It expects insipid revenue, at most $67 billion.

Analysts prognosticate earnings per deal of $2.30 and income of $66.55 billion, on average.

Pfizer low its prior 2012 income prognosticate for 2012 by $2.2 billion, to most 64.25 billion. That assemblage is key because Lipitor, with nearly $12 1000000000 in period sales, loses U.S. papers endorsement Nov. 30. The consort noted it distant income projections from drugs in late-stage development.

Because Pfizer plans to revilement 2012 investigate outlay by $1.5 billion, to most $8.25 billion, it ease expects keyed earnings per deal of $2.25 to $2.35. Analysts are expecting slightly modify EPS and revenue.

"Longer-term investors should (breathe) a respire of relief" over the 2012 forecast, Credit Suisse analyst Catherine traitor wrote. She noted fourth-quarter expenses came in nearly $1 1000000000 above her expectations, but were equilibrize by higher income and modify taxes.

The investigate cuts module become mainly from phasing discover impact in quaternary disease areas: allergy and respiratory, urology, general penalization and tissue repair. Pfizer module opening a 2,400-employee investigate artefact in Sandwich, U.K., and turn the impact obligate of its Groton, Conn., artefact from 4,500 to most 3,400 in the incoming 18 months.

Read said Pfizer module analyse its entire investigate portfolio this year. It module start evaluating take candidates sooner — before pricey clinical trials begin — and modify whether to amend them in-house, partner with added company, authorise discover drugs' rights, or piece them.

That selection module center on "what is the outlay to bring the project every the artefact forward, and what is the convey on investment," said Mikael Dolsten, head of worldwide investigate and development.

The consort said it is ease on road to revilement period outlay by $4 1000000000 to $5 1000000000 by the modify of 2012, compared with 2008 levels, as it continues to shed nearly 20,000 jobs and near numerous factories and investigate sites since buying Wyeth.

For every of 2010, Pfizer reportable a 4 proportionality decline in gain income, to $8.26 billion, or $1.02 per share. Revenue totaled $67.81 billion, up 36 percent, thanks to $18.1 1000000000 from income of painter products.

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