How Pfizer’s Internal Medicine Core Drugs Are Performing



Lyrica: Major drug in Internal Medicine portfolio

The major contributors in Pfizer’s (PFE) Internal Medicine business include Lyrica and Viagra. Lyrica’s Innovative Health (or IH) contribution to the Internal Medicine portfolio stood at 48%. Pfizer reports Lyrica’s revenues under its IH and Essential Health (or EH) segments as Lyrica IH and Lyrica EH.

Lyrica’s total revenues stood at $1.3 billion in 2Q16, with a split of ~$1.0 billion and $0.21 billion in its IH and EH businesses. The drug’s revenues in the US stood at $788 million, totaling ~62% of its total revenues in 2Q16.

Lyrica EH takes its revenues from all of Europe, Russia, Turkey, Israel, and Central Asia. Its revenue under IH includes all other geographies. With its growth in volume coupled with the price hike, the drug’s revenues in the US increased by 21% in 2Q16.

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Lyrica’s patent protection and indications

In the European Union, Lyrica’s regulatory exclusivity expired in 2014. It still holds exclusivity in the US and Japan until 2018 and 2022, respectively.

In the US, Lyrica is indicated for neuropathic pain conditions. Outside the US, it’s indicated for neuropathic pain along with fibromyalgia, adjunctive treatment of epilepsy, and generalized anxiety disorder. In the antiepileptic space, Pfizer competes with Johnson & Johnson (JNJ), GlaxoSmithKline (GSK), and Shire (SHPG).


Viagra is indicated for erectile dysfunction. Its total revenues during 2Q16 stood at $401 million, and its contribution to the IH business totaled $300 million. Viagra IH represents the drug’s revenue in the US and Canada, and Viagra EH includes revenues from all other regions.

The drug’s revenues in the IH and EH businesses decreased by 10% and 6%, respectively, in 2Q16. The major factors that drove the decline include access constraints and increased rebates for the drug.

If you invest in the iShares Core High Dividend ETF (HDV), you can gain exposure to Pfizer as the fund holds ~5.5% of its assets in Pfizer.

Continue to the next part for details on Pfizer’s declining Vaccine portfolio.


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