Pfizer's Forecast Disappoints

Updated from 10:23 a.m. EST

Pfizer (PFE Quote) said Friday that 2006 will yield flat sales and slightly lower earnings per share, but the drug giant indicated that its top-line growth should resume in 2007 as new drugs more than offset the loss of patents on its existing medications.

The company is looking for what it calls an adjusted profit of about $2 a share this year, excluding items, or $1.52 to $1.56 when calculated using generally accepted accounting principles. Pfizer's projection that revenue in 2006 will be "comparable" to last year implies overall sales of about $51.3 billion. The consensus Wall Street estimate is just under $51.6 billion.

On average, analysts surveyed by Thomson First Call were looking for an adjusted profit of $2.04 a share this year. In 2005, Pfizer earned $2.02 a share, before items. GAAP earnings were $1.09 a share last year. ...