By Alan Rappeport in New York

Pfizer, the world?s largest drug company by revenues, said a strong pipeline and a renewed focus on innovation will bolster it after blockbuster cholesterol drug Lipitor loses its US patent later this month.

Lipitor, which is the industry?s top-selling drug and represents about 20 per cent of Pfizer?s US sales, will be exposed to competition from generic manufacturers on November 30. Ian Read, chief executive, promised on Tuesday that Pfizer was ?well prepared? for the loss, with plans in place to support the brand and to continue generating revenue from it even after its monopoly fades.

?We have worked hard to maximise the value of and best position the brand ahead of the loss of exclusivity,? Mr Read said.

In July, Pfizer won a six-month extension on its Lipitor patent in most European Union countries, giving it exclusivity until May 2012. The company also plans to distribute an ?authorised? generic version through Watson Pharmaceuticals and has considered trying to sell an over-the-counter version of the drug. ?Clearly there is an intent at some point to try and have an OTC version of Lipitor on the marketplace,? Mr Read told analysts.

However, Pfizer acknowledged that the ?patent cliff? will be a blow to its sales, noting that, in the third quarter, patent expirations shaved $950m, or 6 per cent, from its revenues.

Les Funtleyder, analyst and fund manager at Miller Tabak, estimated that Pfizer will be able to maintain about 40 per cent of the market for Lipitor next year and that it would be wise to continue seeking to maintain its monopolies in other markets as long as possible.

?The longer Pfizer can hold on to a greater amount of market share of a $12bn-a-year drug, the better,? Mr Funtleyder said. ?It?s worth millions of dollars a day.?

Pfizer raised its 2011 outlook, but warned that macro?economic worries in Europe and the potential of US budget cuts from a congressional ?super committee? were concerns. However, the company said that its third-quarter profits surged due to greater demand in emerging markets and the sale of its Capsugel business.

Net income rose from $866m or 11 cents a share a year ago to $3.7bn or 48 cents a share in the third quarter of this year. The results beat analysts? expectations but Pfizer?s shares fell 0.76 per cent to $19.67 in midday trading.

The company?s results also benefited from a $1.5bn charge that depressed its earnings a year ago.

Pfizer?s revenues rose by 7 per cent year-on-year to $17.2bn. Global revenues, which account for 60 per cent of Pfizer?s sales, grew by 15 per cent year-on-year, while US sales declined by 3 per cent.

Last April, Pfizer sold Capsugel to KKR for $2.4bn, marking the beginning of its restructuring plan. The company also plans to sell or spin off its nutrition and animal health businesses as it looks to become more focused. Mr Read said he would make decisions about the units next year and that separations would likely occur by mid-2013.

? The Financial Times Limited 2011