Novartis hikes full-year guidance as Q1 results exceed estimates, shares pop

Published 04/23/2024, 04:23 AM
Updated 04/23/2024, 04:25 AM
© Reuters.  Novartis hikes full-year guidance as Q1 results exceed estimates, shares pop

Novartis (SIX:NOVN) (NVSEF) shares surged 4.7% in European trading Tuesday after the Swiss pharmaceutical company's release of impressive first-quarter results.

The company reported a core earnings per share (EPS) of $1.80, surpassing the consensus estimate of $1.67. Core operating profit reached $4.54 billion, exceeding expectations of $4.22 billion.

The company's net sales for the quarter were $11.83 billion, which also beat the forecast of $11.43 billion.

In terms of specific product sales, the most notable beats were Cosentyx and Entresto, which outperformed estimates, bringing in $1.33 billion and $1.88 billion, respectively, compared to projections of $1.23 billion and $1.64 billion.

Following these strong results, Novartis has hiked its full-year guidance.

The company now expects net sales to increase by a high single to low double-digit percentage, and adjusted operating income to grow by a low double-digit to mid-teens percentage.

This is an upward revision from its previous forecast, which projected a high single-digit percentage increase in adjusted operating income and mid-single-digit sales growth.

Moreover, Novartis announced that Giovanni Caforio, the former CEO of Bristol Myers Squibb, is slated to be proposed as the Chair of the Board of Directors at the 2025 annual shareholders meeting.

The current Chair, Joerg Reinhardt, will not seek re-election after serving 12 years.

Latest comments

Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.
© 2007-2024 - Fusion Media Limited. All Rights Reserved.