Pfizer, Inc. · NYSE:PFE
Pfizer — UBS Global Life Sciences Conference 2008
23 slides from Pfizer's conference presentation, Sep 22, 2008
Slide 1: UBS Global Life Sciences Conference
UBS Global Life Sciences Conference Ian Read President, Worldwide Pharmaceutical Operations September 22, 2008
Slide 2: Forward-Looking Statements and Non-GAAP Financial Information
Forward-Looking Statements and Non-GAAP Financial Information Discussions at this meeting will include forward-looking statements. Actual results could differ materially from those projected in the forward- looking statements. The factors that could cause actual results to differ are discussed in
Slide 3: Our Path Forward
Our Path Forward Maximize Revenues from Existing, New & Diverse Sources Take Advantage of Size, Scale of Pfizer Establish a Lower, More Flexible Cost Base Operate with Agility, Speed, Focus of an Entrepreneurial Organization Innovate the Business Model Drive Greater Total Shareholder Return 3
Slide 4: Our Path Forward: Today's Focus
Our Path Forward: Today’s Focus US Lipitor Post Today LOE Lipitor Optimize the Patent-Protected Portfolio Maximize the Value of New and Inline Products Advance Compounds in the Pipeline Maximize Capitalize on Established Products Revenues Sustainable TSR Growth Grow in Emerging Markets Revenue
Slide 5: Our Broad Patent-Protected Portfolio
Our Broad Patent-Protected Portfolio First Half 2008 Global Product Revenues ($ Millions) % Change $6,113 1 1,200 12 Primary Care 1,196 50 923 13 / 603 5 / 484 33 293 11 * 225 22 / 841 12 551 20 / Specialty 473 20 444 10 401 62 358 22 221 19 * Represents direct sales under license agreement with Eis
Slide 6: Our Strong Global Presence
Our Strong Global Presence United States International Revenues $12.4B in 1H2008 (+16%G) and Growth * $9.5B in 1H2008 (-13%G) #2 Europe $14.3B 6.8% Share 2.4%G #1 U.S. #4 Africa/ #1 Japan $24.0B Middle East #1 Asia $4.1B 8.6% Share $0.5B $2.7B 6.4% Share -11.2%G 5.7% Share 5.3% Share 5.3%G 10.9%G 9.
Slide 7: Lots of Life Left for Lipitor
Lots of Life Left for Lipitor United States International Revenues and Growth* $3.1B in 1H2008 (-11%G) $3.0B in 1H2008 (+16%G) • Hyper-competitive, generic, • Advocating first-line simvastatin use decelerating market growth in most EU markets Market Dynamics • Heightened cost sensitivity • Access ch
Slide 8: Restoring Confidence in Chantix/Champix
Restoring Confidence in Chantix/Champix United States International Revenues and Growth* $302MM 1H2008 (-3%G) $182MM 1H2008 (+264%G) • 3 label changes • Muted media coverage Market • Negative media coverage • Positive support from key Dynamics • Physician and patient confidence influencers & smoking
Slide 9: Growing Lyrica's Leadership
Growing Lyrica’s Leadership United States International Revenues and Growth* $686MM 1H2008 (+50%G) $510MM 1H2008 (+49%G) • Cymbalta launch • Challenging access environment • Low diagnosis & treatment levels • Preference for cheaper alternatives Market Dynamics • Generics are increasingly being • Cym
Slide 10: Sutent – The Bedrock of Our Oncology Portfolio
Sutent – The Bedrock of Our Oncology Portfolio United States International Revenues and Growth* $126MM 1H2008 (+10%G) $275MM 1H2008 (+106%G) Rapid uptake of new agents Increased 1st line RCC competition High unmet medical needs More stringent reimbursement and Market Dynamics Extended trea
Slide 11: Investing to Win in Oncology
Investing to Win in Oncology Global Oncology Opportunity: Four Research Platforms $81B by 2012 with 7% CAGR Pfizer Oncology products $1.3B 1H2008 ANTI- IMMUNO- Pfizer Assets and Advantages: ANGIOGENESIS THERAPY Among top Oncology field forces Blocks growth Reawakens of tumor blood immune s
Slide 12: Promising Commercial Potential From Our Phase 3 Portfolio
Promising Commercial Potential From Our Phase 3 Portfolio axitinib – Pancreatic Cancer PD-332334 – GAD apixaban – VTE Prevention esreboxetine – Fibromyalgia NMEs CP-945598 – Obesity Zithromax/chloroquine – Malaria CP-751871 – Lung Cancer PF-1228305 (Thelin) – PAH Dimebon* - Alzheim
Slide 13: Two Distinct, Yet Complementary Strategic Growth Initiatives
Two Distinct, Yet Complementary Strategic Growth Initiatives Established Products Emerging Markets • Medicines that have lost – or are • Asian, Latin American and about to lose – patent protection Eastern European countries with growing economies and • Fastest growing segment of the middle-class pop
Slide 14: Established Products $523B Opportunity by 2012
Established Products $523B Opportunity by 2012 Dispensing Drivers: Payers and Pharmacy Channel, with Physician Branded Emerging Markets and Pharmacy Influence Branded Traditional Markets IP-Driven Markets Brand: Moderately Important 2012 Size: $130B LOE Cliff: Moderate Dispensing Drivers: Paye
Slide 15: Unlocking the Value in Established Products – Strategy Overview
Unlocking the Value in Established Products – Strategy Overview Strengths Focus Goals 9 Brand equity A leader in and breadth Oral solid dose 1 the LOE Market 9 Product quality and reliability Product enhancements and 9 Global reformulations A leading provider presence 2 of low cost medicines 9 T
Slide 16: Emerging Markets $267B Opportunity by 2012
Emerging Markets $267B Opportunity by 2012 Global Pharma Revenues ($ Billions) 267 CAGR Brazil………….. 10% 152 China………….. 20% Top-priority Areas India…………… 13% Expected to Grow 154 Mexico………….. 7% 13% CAGR and Russia………… 16% $71 Billion by South Korea….. 9% 2012 83 Turkey………… 14% 7 Priority Markets 1
Slide 17: We're Already On Our Way…
We’re Already On Our Way… BRAZIL TURKEY Double-digit brand growth for both patent All major products lack IP protection protected and LOE products 8 product launches in 2008; 1 to go Sutent, +270% since launch Expanded field force ~ 50% since 2006 More nimble, flexible use of marketing
Slide 18: Growing in Emerging Markets – Strategy Overview
Growing in Emerging Markets – Strategy Overview Strengths Focus Goals 9 Brand equity and breadth New segments A leading Pharma 9 Global Scale 1 company in our 7 priority areas 9 R&D Presence Leading market growth where we are already present 9 Established, Grow faster than experienced local tale
Slide 19: Innovation Focuses on Three Areas
Innovation Focuses on Three Areas Customer Centricity Create Create access access to to Optimize Optimize our our new new markets, markets, new new interactions interactions with with business business models, models, and and in in support support of of and and differentiated differentiated
Slide 20: Innovating the Business Model: Europe
Innovating the Business Model: Europe Change Benefits Realized Replaced ALL traditional sales reps with Key Account Managers, who changed their focus from GPs to new Sweden customers and influencers More resources allocated to support optimal product usage Lipitor sales went from flat-to-negat
Slide 21: Innovating the Business Model: US
Innovating the Business Model: US In Place Today Pilots to be Scaled New Models in Development Account Mgt. Needs Based Selling Closed-Loop Marketing Medical State Planning E-detail Rep visit Customized Tactics Behavioral Model Regional Business Unit Regional General Manager P&L Talent Mgmt 21
Slide 22: Cumulative Progress on Cost-Reduction Target (Second-Quarter 2008)
Cumulative Progress on Cost-Reduction Target (Second-Quarter 2008) On-track to reduce absolute Cost Reduction Period (2006 Currency Rates) adjusted total costs1 by at least $1.5 to $2.0 billion on a constant currency basis2 for FY2007 $600 Million 2008 vs. 2006 Q1 ’08 $170 Million Cumulative ope
Slide 23: Our Path Forward: Strategies for Growth
Our Path Forward: Strategies for Growth US Lipitor Post Today LOE Lipitor Optimize the Patent-Protected Portfolio Maximize the Value of New and Inline Products Advance Compounds in the Pipeline Maximize Capitalize on Established Products Revenues Sustainable TSR Growth Grow in Emerging Markets