Updated from 4:28 a.m. ESTBASEL, Switzerland ( TheStreet) -- Novartis ( NVS) said fourth-quarter earnings fell 2% despite a 10% increase in revenue. Novartis, the Swiss drugmaker, earned $2.265 billion in the quarter, down from $2.323 billion a year earlier. Net sales in the quarter rose to $14.2 billion from $12.93 billion. Pharmaceutical sales rose 3% to $8 billion. Novartis said sales in its vaccine division fell 74% to $361 million, impacting fourth-quarter profits. A year earlier the company saw $1 billion of pandemic flu vaccine sales which weren't repeated in the latest quarter. In 2011, Novartis said reported sales growth would be lower "as a result of the combined effect of price reductions seen in 2010, the full impact of health care reform in the U.S. and generic competition." -- Written by Joseph Woelfel >To contact the writer of this article, click here: Joseph Woelfel >To submit a news tip, send an email to: firstname.lastname@example.org.