logo
  

Novartis Q3 Profit Tops View, Sales Match; Backs FY21 View; Mulls Strategic Options For Sandoz

Swiss drug major Novartis (NVS) reported Tuesday that its third-quarter net income climbed 43 percent to $2.76 billion from last year's $1.93 billion. Earnings per share were $1.23, up 45 percent from $0.85 a year ago.

Core net income was $3.83 billion or $1.71 per share, compared to $3.47 billion or $1.52 per share last year.

On average, five analysts polled by Thomson Reuters expected earnings of $1.65 per share for the quarter. Analysts' estimates typically exclude special items.

Net sales were $13.03 billion, up 6 percent from prior year's $12.26 billion. Sales grew 5 percent at constant currency rates. Analysts estimated revenues of $13.03 billion for the quarter.

Volume contributed 9 percentage points to sales growth,

Looking ahead for fiscal 2021, the company continues to expect net sales to grow low to mid single digit , and core operating income to grow mid single digit, ahead of sales, both at constant currency rates.

Further, the company said it is commencing a strategic review of Sandoz to maximize shareholder value, options range from retaining the business to separation.

Vas Narasimhan, CEO of Novartis, said, "Novartis delivered strong Innovative Medicines performance, driven by the continued momentum of Cosentyx and Entresto, allowing us to raise peak sales guidance for these products. ...We are also commencing a strategic review of Sandoz to maximize shareholder value. We remain confident in the strength of our pipeline and launch brands to fuel the growth of our company in the mid to longer term."

For comments and feedback contact: editorial@rttnews.com

Business News

Editors Pick
Frozen Food Development is recalling specific lots of Lidl branded 12-ounce packages of Frozen Chopped Spinach citing the potential to be contaminated with Listeria monocytogenes, the U.S. Food and Drug Administration said. The product comes in 12-ounce poly bags, and items included in the recall are marked with lot # R17742 or R17963 on the back of the poly bag with a best by date of 09/10/23. Starbucks has dropped its vaccine or weekly test requirement against Covid-19 for U.S. employees in the wake of last week's U.S. Supreme Court ruling. The court, in a 6-3 vote, has blocked President Joe Biden's vaccine-or-test mandate for private companies with 100 or more employees. However, it allowed the vaccine mandate to stand for certain health care workers. Mylan Pharmaceuticals Inc., affiliated to healthcare company Viatris Inc., is recalling one batch of its non-interchangeable Semglee (insulin glargine injection), 100 units/ml (U-100), 3mL prefilled pens due to the potential for a missing label, the U.S. Food and Drug Administration said.
Follow RTT