An office building designed by Frank O. Gary on the Novartis AG headquarters campus in Basel, Switzerland.
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Swiss pharmaceutical giant Novartis On Friday, the fourth quarter reported that it was more than expected, but reported that it was not as good as a unique guidance over the year.
In the fourth quarter, the pure sales were $ 13.2 billion on a certain currency basis, compared to $ 12,7995 billion estimated by analysts in LSEG’s polls.
The quarterly adjusted core operating profit was obtained at $ 4,866 million for the expected $ 4.23 billion.
Stocks increased by 3.16 % by 10 am in London time.
In 2024, the net sales were $ 50.32 billion, an increase of 12 % on a certain currency basis, and $ 50.47 billion was expected. Core operating profit overnight increased by 22 % to $ 19.5 billion, with $ 17.02 billion forecasts.
The company stated that the growth of sales was mainly promoted by the invasion of drugs and the drug Cosentyx of the huge hit heart launch drugs and arthritis.
Novartis is expected to raise a profit guidance in 2024 in the third quarter of October and grow in both the “teen height” and the previous “high school from the middle of teens”. I said.
CEO Vas Narasimhan stated that the result was a positive initial signal, as the strategic overhaul was implemented in 2023 and novartis was positioned as a “pure innovative pharmaceutical company.”
“Looking at the momentum we participated in business, I really feel that there is a growth driver to take care of until 2025,” Narashimhan told Calin Ross of CNBC.
2025 Outlook
Novartis has an overview of the guidance of 2025, and the prediction of net sales increases in “medium to high 1 digit”, and the core operating profit increases by “two digits from single”.
Narashimhan also neglected the expiration date of the US patent, a top -sales drug factory, which had a $ 7.8 billion revenue worldwide in 2024.
“We have a tremendous exchange power,” he said, and mentioned the drug manufacturer’s abilities that bring new treatments to the market when the patent expires with an existing product.
“Many companies can guide the growth we are guiding.” Given these expenses, it is really a proof of pipeline and exchange in the company. Regarding growth issues. I am convinced that I can grow in 2026.
Narasimhan said that Novartis focuses on the progress of the development pipeline, including over 30 assets.
This includes some important clinical trial results scheduled for the second half of this year. It is mainly a treatment for prostate cancer and a treatment for chronic voluntary UR measles, which is a type of skin condition.
Narasimhan stated that the business will continue to explore growth through the acquisition of small and medium -sized enterprises, and promote early and medium -term development pipelines. Currently, about 60 % of novartis sales are from the drug created inside, and 40 % are external, and Narasimhan states that the ratio reaches 50-50 %. I added it.
“Generally, large -scale transactions are not rewarded in biopharmaceutical sector. Bolt -ons can well integrate them and bring those techniques to the company,” he said. During the bolt -in -ranction, the company gets another small business to complement or expand existing services.
