Novartis, the Swiss pharmaceutical giant, has announced higher net profit and sales for the third quarter of the year, driven by strong sales of key drugs. As a result, the company has increased its full-year earnings guidance for the third time this year.
Revised Earnings Guidance
Novartis now expects its core operating profit to grow by a percentage in the mid to high teens range for the year. This is a more optimistic outlook compared to the previous growth rate from low double percentage digits to mid teens, excluding the generics unit Sandoz, which was spun off earlier this month.
Positive Sales Projections
The company has also reiterated its expectation for a high single digit growth in net sales for 2023.
Financial Performance
In the third quarter, Novartis reported a net profit of $1.76 billion, an increase from $1.57 billion in the same period last year. Net sales for the quarter reached $11.78 billion, up from $10.49 billion.
Strong Performance of Key Drugs
Novartis’ Chief Executive, Vas Narasimhan, highlighted the strong performance of their growth drivers in the market. Drugs such as Kesimpta, Entresto, Kisqali, and Pluvicto continue to perform well.
Core Operating Income Growth
Excluding exceptional items, core operating income from continuing operations showed a 21% increase to $4.41 billion.