Pharma Novartis feels sales erosion in the final quarter due to imitators
Novartis almost came to a standstill in the final quarter of 2025. This was due to sales erosion caused by copycats. Management has a mixed outlook for the current financial year 2026.
04.02.2026, 07:04
04.02.2026, 07:16
SDA
As Novartis announced on Wednesday, sales climbed to USD 13.3 billion in the fourth quarter. This is an increase of 1 percent compared to the same period last year. At constant exchange rates (CER), this resulted in a minus of 1 percent. The pace of growth has thus slowed considerably compared to the previous quarter (+8%), after double-digit growth in each of the first two quarters.
The Basel-based company recorded a 2% increase in operating profit to 3.6 billion. The bottom line was a consolidated profit of 2.4 billion after 2.8 billion in the same period of the previous year. The decline was mainly due to higher income taxes, according to the press release.
For analysts, however, the core operating profit adjusted for various factors is the most important factor. At 4.9 billion, this increased by 1 percent and thus met the AWP consensus of 4.9 billion.
In the full financial year 2025, Novartis generated sales of CHF 54.5 billion (+8%). At constant exchange rates, this also resulted in an increase of 8 percent. The company thus achieved the net growth in the high single-digit percentage range forecast by management. The bottom line was an annual profit of 14 billion after just under 12 billion in the previous year.
Shareholders will receive a dividend increased from 3.50 to 3.70 Swiss francs.
In the current year, Novartis management is aiming for sales growth in the low single-digit percentage range at constant exchange rates. Core operating profit is expected to decline in the low single-digit percentage range.
