#What Happened
Novartis reported a 23% rise in third-quarter net profit, reaching $3.93 billion compared to $3.19 billion for the same period in 2024. The Swiss pharmaceutical company's sales increased to $13.91 billion, up from $12.82 billion year-over-year. Core operating profit rose to $5.46 billion, from $5.145 billion. Analysts had anticipated sales of $13.99 billion and core operating profit of $5.54 billion. Despite facing challenges from generic competition in the U.S., particularly for its heart medication Entresto, the company offset these losses with strong sales from key products like Kisqali, Kesimpta, and Pluvicto. Novartis has reiterated its full-year guidance, expecting sales growth in the high-single digits and core operating income growth in the low-teen digits.
#Why It Matters
This strong financial performance signifies resilience amid patent expirations and competitive pressure, potentially reinforcing investor confidence in Novartis's growth trajectory.
#What to Watch Next
Investors should monitor upcoming quarterly reports and any announcements regarding product developments and patent statuses that could impact future revenues.
#Quick Take
Novartis's robust quarterly earnings highlight its capability to navigate market challenges, potentially benefiting shareholder value.