Pfizer 2008 Annual Report Download - page 97

Financial Summary
Pfizer Inc and Subsidiary Companies
AS OF/FOR THE YEAR ENDED DECEMBER 31
(MILLIONS, EXCEPT PER COMMON SHARE DATA) 2008 2007 2006 2005 2004 2003
Revenues $ 48,296 $ 48,418 $ 48,371 $ 47,405 $ 48,988 $ 41,787
Research and development expenses(a) 7,945 8,089 7,599 7,256 7,513 7,279
Other costs and expenses 27,349 28,234 25,586 26,341 25,850 25,652
Acquisition-related in-process research and development
charges(b) 633 283 835 1,652 1,071 5,052
Restructuring charges and acquisition-related costs(c) 2,675 2,534 1,323 1,356 1,151 1,023
Income from continuing operations before provision for taxes
on income, minority interests and cumulative effect of a
change in accounting principles 9,694 9,278 13,028 10,800 13,403 2,781
Provision for taxes on income (1,645) (1,023) (1,992) (3,178) (2,460) (1,614)
Income from continuing operations before cumulative effect of
a change in accounting principles 8,026 8,213 11,024 7,610 10,936 1,164
Discontinued operations—net of tax 78 (69) 8,313 498 425 2,776
Cumulative effect of a change in accounting principles—net
of tax(d) —— — (23) — (30)
Net income 8,104 8,144 19,337 8,085 11,361 3,910
Effective tax rate—continuing operations 17.0% 11.0% 15.3% 29.4% 18.4% 58.0%
Depreciation and amortization(e) 5,090 5,200 5,293 5,576 5,093 4,025
Property, plant and equipment additions(e) 1,701 1,880 2,050 2,106 2,601 2,629
Cash dividends paid 8,541 7,975 6,919 5,555 5,082 4,353
Working capital(f) 16,067 25,014 25,559 18,433 17,582 6,059
Property, plant and equipment, less accumulated
depreciation 13,287 15,734 16,632 16,233 17,593 17,573
Total assets(f) 111,148 115,268 115,546 116,970 125,848 111,131
Long-term debt 7,963 7,314 5,546 6,347 7,279 5,755
Long-term capital(g) 68,662 80,134 84,993 81,895 88,959 78,866
Shareholders’ equity 57,556 65,010 71,358 65,764 68,433 60,049
Earnings per common share—basic:
Income from continuing operations before cumulative
effect of a change in accounting principles 1.19 1.19 1.52 1.03 1.45 0.16
Discontinued operations—net of tax 0.01 (0.01) 1.15 0.07 0.06 0.38
Cumulative effect of a change in accounting principles—
net of tax(d) ————— —
Net income 1.20 1.18 2.67 1.10 1.51 0.54
Earnings per common share—diluted:
Income from continuing operations before cumulative
effect of a change in accounting principles 1.19 1.18 1.52 1.02 1.43 0.16
Discontinued operations—net of tax 0.01 (0.01) 1.14 0.07 0.06 0.38
Cumulative effect of a change in accounting principles—
net of tax(d) ————— —
Net income 1.20 1.17 2.66 1.09 1.49 0.54
Market value per share (December 31) 17.71 22.73 25.90 23.32 26.89 35.33
Return on shareholders’ equity 13.22% 11.94% 28.20% 12.0% 17.7% 10.0%
Cash dividends paid per common share 1.28 1.16 0.96 0.76 0.68 0.60
Shareholders’ equity per common share 8.56 9.65 10.05 8.98 9.21 7.93
Current ratio 1.59:1 2.15:1 2.16:1 1.65:1 1.63:1 1.26:1
Weighted-average shares used to calculate:
Basic earnings per common share amounts 6,727 6,917 7,242 7,361 7,531 7,213
Diluted earnings per common share amounts 6,750 6,939 7,274 7,411 7,614 7,286
On April 16, 2003, Pfizer acquired Pharmacia Corporation in a transaction accounted for as a purchase. All financial information reflects the following as
discontinued operations: our Consumer Healthcare, in-vitro allergy and autoimmune diagnostic testing, certain European generics, surgical ophthalmic,
confectionery, shaving and fish-care products businesses and the femhrt, Loestrin and Estrostep women’s health product lines, as applicable.
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