On July 21, 2015 Commenting on the results, Joseph Jimenez, CEO of Novartis, reported: "Novartis had a strong quarter for innovation, with US approval and launch of both Entresto and Glatopa being key highlights (Press release, Sandoz, JUL 21, 2015, View Source [SID:1234506742]). Additionally, we reported a broad range of positive clinical data across franchises, including Tafinlar/Mekinist in metastatic melanoma and Cosentyx in ankylosing spondylitis. We are confident we will deliver on our priorities for the year, and confirm our full-year guidance."
Schedule your 30 min Free 1stOncology Demo!
Discover why more than 1,500 members use 1stOncology™ to excel in:
Early/Late Stage Pipeline Development - Target Scouting - Clinical Biomarkers - Indication Selection & Expansion - BD&L Contacts - Conference Reports - Combinatorial Drug Settings - Companion Diagnostics - Drug Repositioning - First-in-class Analysis - Competitive Analysis - Deals & Licensing
Schedule Your 30 min Free Demo!
Sales, core[1] operating income and core EPS grew (cc[1]) for continuing operations[2] in Q2:
Net sales amounted to USD 12.7 billion (-5%, +6% cc)
Operating income was USD 2.3 billion (-28%, -14% cc)
Core operating income was USD 3.6 billion (-7%, +6% cc)
Q2 core margin improved 0.3 percentage points (cc)
Core EPS was USD 1.27 (-7%, +7% cc), and free cash flow[1] was USD 2.1 billion
Further strengthening of USD impacted sales by -11% and core operating income by -13%
Strong performance for Sandoz (net sales +11% cc, core operating income +30% cc) and Pharmaceuticals (net sales +6% cc, core operating income +9% cc), more than offset weak quarter for Alcon (net sales 0% cc, core operating income -10% cc)
Strong innovation momentum continued in Q2, culminating in key launches
Entresto approved and launched in US (July) for chronic heart failure with reduced ejection fraction
Glatopa, the first generic competitor to Copaxone 20mg, approved and launched in US
Approvals for Zykadia (EU) and Promacta (US), and positive CHMP opinion for Farydak
Positive data including Tafinlar/Mekinist combination in metastatic melanoma, Afinitor in GI and lung NET and Cosentyx in ankylosing spondylitis
Growth Products continued to drive Q2 performance and rejuvenate portfolio
Growth Products[3] grew 24% (USD) to USD 4.4 billion, or 35% of net sales
Strong performance in Emerging Growth Markets[3] (+8% cc)
Outlook 2015 for continuing operations confirmed:
Continuing operations net sales expected to grow mid-single digit (cc); core operating income expected to grow ahead of sales at a high-single digit rate (cc)
To reflect first half performance, Novartis raises Sandoz FY guidance to high single digit sales growth (cc), lowers Alcon FY guidance to low single digit sales growth (cc)